The world is currently on track for a catastrophic 2.9°C warming by 2100. The voluntary carbon market has become one of the most powerful tools we have available to limit warming to 1.5°C. With expanding access to carbon markets, many family forest owners are taking action to sequester carbon and restore healthy environments for future generations while generating revenue from forest carbon credits.
But how do you know which program may best fit the needs of your forest and family? Consider the following five factors while comparing your options to ensure reliable payments and thriving forests that your family can enjoy for generations.
The Top 5 Considerations For Forest Carbon Programs Explained:
1. Registry Verified and Certified Credits
The most important question to ask about any carbon program is “Does this program produce registry-verified carbon credits?” Organizations that purchase credits are looking for verified credits that will stand the test of time. Your chosen program’s methodology and standards must create confidence in the environmental and scientific integrity of the carbon offsets being sold. Though carbon credit verification is not regulated by the government, there are several widely recognized and respected voluntary standards for governance to look for. Here are three registries to consider:
- The American Carbon Registry (ACR) provides well-defined requirements for non-industrial, private forest lands. It was the first carbon offset registry in the United States and continues to set the standard for credit quality. The ACR has many methodologies, and forest carbon credit programs like LandYield use one that is specifically designed for small, non-industrial forest owners. With the ACR methodology, it’s possible to efficiently and rigorously quantify, monitor, and verify greenhouse gas emission reductions and removals generated by your forest. After a successful verification — by qualified, accredited independent auditors — the ACR issues reliable credits on its transparent, secure registry.
- The Climate Action Reserve (CAR) is another registry that establishes standards for quantifying and verifying projects that prevent, reduce, or remove carbon emissions. CAR also issues and tracks carbon credits, which are called Climate Reserve Tonnes (CRTs) under their methodology. Due to a linkage/relationship with the Verified Carbon Standard (VCS), CRTs are also able to be converted into Verified Carbon Units (VCUs) and used by VCS registries.
- Verra is another carbon registry that issues highly respected verified carbon units. Their Verified Carbon Standard (VCS) Program is currently the world’s most widely used greenhouse gas crediting program.
Check potential forest carbon programs to see what registry they use to certify credits and for verification badges that indicate adherence to standards set by esteemed organizations like these. Registries are also the platforms through which credits are transacted and tracked, so your choice will have a strong influence over the process of selling the credits.
While all credits must go through a registry like ACR, CAR, and Verra to become certified, there are additional standards projects can meet in order to add credibility to any carbon credits generated by your land. For example, if your project meets SDGs (Sustainable Development Goals set by the UN), has biodiversity certifications, or meets robust ICVCM standards, these are all factors that make credits more attractive and valuable. Such projects are in high demand — and will be for the foreseeable future.
2. Expected Revenue Per Acre
An estimate of your potential carbon credit income can be a deciding factor in which program you choose (or whether enrolling in a carbon program is right for your family forest).
Many factors can impact your expected revenue per acre, including:
- The type of trees in your forest
- Site productivity/growth rates
- Regional timber markets
- Harvesting constraints
- The current condition of the forest (stocking, size, species, etc.)
- Methodology requirements
LandYield offers landowners a fixed offset price in the first three years of deferred harvests for reliable, predictable payments. Beginning in the fourth year, payments will be tied to current carbon offset market prices. As prices rise, your revenue has the opportunity to grow accordingly.
LandYield provides a free tool you can use to get an instant estimate based on your county and forested acres.
3. Activities Allowed (or Not Allowed) on the Land
While a multi-decade commitment to a forest carbon program may seem long, it does not preclude most activities family landowners enjoy most on their forests. Check the terms set by each program you’re comparing for what you can or can’t do on the land during its enrollment period. LandYield allows for many valued activities to continue in the absence of commercial timber harvests. For instance, you can continue to:
- Enjoy hiking and fishing with your family
- Cut/collect firewood for personal use
- Install small clearings for camping or homesite
- Engage in salvage harvesting after a disturbance (pest, fire, etc.)
- Lease hunting, camping, and/or fishing rights
- Collect non-timber forest products like pine straw
- Allow tourism of cultural sites
- Create food plots for wildlife
- Maintain and rent cabin sites
- Create new hunting stands
- Other commercial activities not affecting the timber
These are just some examples. Check our FAQ for more information on landowner obligations while enrolled in our forest carbon program.
4. The Program’s Eligibility Criteria
Eligibility requirements are likely to vary widely, depending on the carbon program’s methodology and goals. Before digging into any specifics, you’ll at least want to make sure that your family forest meets the size and location requirements of the program. LandYield was designed to serve owners of private, non-industrial forest land in Southeast states (AL, AR, FL, GA, KY, LA, MS, NC, OK, SC, TN, TX, and WV) with 40 and 5,000 forested acres available to enroll.
Examples of other types of eligibility conditions could include:
- Condition and age of timber (timber must be accessible and of merchantable size in order to be eligible under most programs)
- Legal restrictions on the site that prevent timber harvesting
- Type of land: plantation forest, natural forest, recently-logged stands, non-forested area, etc.
- Whether there is a lien/mortgage on the land
- Permanent conservation easements on the land
Our FAQ has more information on eligibility criteria and requirements specific to participation in the LandYield program.
5. Enrollment Costs and Process
An easy enrollment process is a key differentiator of the best forest carbon programs. For landowners who are not already well-versed in the nuances of carbon accounting standards, carbon sequestration practices, and the credit verification process, getting started can feel overwhelming.
LandYield streamlines everything with cutting-edge technology and confident guidance from carbon market experts. Our free digital mapping tools give you an easy-to-use platform to quickly map out your forest land and calculate its potential carbon credit earnings. We’ll work with you to swiftly evaluate the economics of your project, identify the best tracts for enrollment, and advise you on the next steps.
Unlike with many other programs, the cost to enroll is zero. Our methodology was specially developed to remove financial barriers such as on-site mapping, a forest inventory, and other historically high costs of establishing carbon projects. LandYield helps you get set up with ease and pays all costs associated with launching and managing your project.
Where to Go Next
Research on the above seven factors is a great place to start when comparing forest carbon credit programs. However, the right fit is more than a list of basic criteria. It’s best to get in touch with programs that interest you directly and ask as many questions as possible about methodology, earnings, obligations, and what it takes to get started.
Connect with the LandYield team today for more info on how you can generate income from carbon stored in your forest.
