Carbon Credits

[kamichel]

Just wondering what other farmers are thinking about carbon credits. I for one am in dissagreement for the selling of carbon credits. For once us min till farmers have the environment going for us only to sell CO2 for 4 dollars per ton.
4 dollars seems a little too low since if one compares to Fertilizer 500 per ton. Canola to 352 per ton. How can CO2 be only worth 4 dollars per ton. Just my thinking. Would like some other farmers thinking on this issue.

[kamichel]

Just that most people I have talked to figure to just take the money and run.

[parsley]

Rent them out?

[carebear300]

I agree with you, it does sound way to cheap and I am just stubborn enough to wait for at least twice as much. After I say that I will likely wait too long and get nothing but if I am going to sign up I want some serious coin not chicken feed.

[kamichel]

Have you guys not heard about it. It is about CO2 stored in min tilled soil as a carbon sink. We had a meeting in Leroy Sask. about it and anyone that wanted to sign up acres could do so. you can be creditted .4 ton per acre of CO2 over the past 4 years worth 4 dollars per ton. Then also a contract for the next 4 years at .4 ton per acre at 4 dollars per ton. So if one farmed 2500 acres you could sell 8000 tons of C02 for 32000 dollars. It just does not seem right to me is the reason for the post.
As far as I am concerned the Carbon sink is only good for so many years and then one would be at the maximum. The big boys at the meeting did not seem to think there was a max. that the soil could hold. So back to the , I think we are being duped.

[cropduster]

Was this C-green Aggregators Ltd?Sounds like the rate is too low.Still can`t believe it either!

[kamichel]

Yes C-Green as the trader and Sask. Crop Ins. as the verifier in Sask.

[tower]

If the brokers can get tonnes that cheap they will certainly take them. It looks like an attempt to get some people in early with what looks like a significant amount of money. Once some have accepted it, it's always harder to push for a higher number.

Was there any justification given for the $4/tonne?

[Vader]

If you accept $32,000.00 are you liable? Can you be made to pay it back some day if conditions change?

You are storing the CO2. If you need to till the soil and the CO2 gets away you may be forced to give the money back.

If this is the case and there is an ongoing liability, there should be some ongoing compensation.

It would be a better system if rather than being paid to "own" the carbon we should be paid for "storage" on an annual basis. The more you store each year the higher your rent payment. If you till the soil and your storage goes down your rent would also go down but you would not be asked to give the money back.

[Braveheart]

Sask Power offered 5$/ton back in 1999. This would have been annually. Estimated 1 ton per acre per year carbon stored with no-till/0-till. The contract was a lengthy (can't remember but like 20 years?). We turned it down because of uncertainty over the long term and what carbon was worth then and in the future.

The Canadian Climate Exchange at the WCE was formed to trade carbon should Kyoto take hold. This would have allowed price discovery and trading of credits but then Kyoto stalled out.

On carbon, how many credits are created when a wind tower is built? The wind companies don't share any of those with the landowners to my knowledge and they must be huge.

[kamichel]

I cannot explain everything , check out www.c-green.ca and click frequently asked questions. Lots of answers there. Actually the .4 ton per year carbon stored into the black soil is supposed to be on the safe side, brown soil is .2 ton . Also there is a 25 percent hold back on the payment and that money is pooled as insurance against some producers that are not in compliance. Also there is no liability. If one has to till the land while in the 4 year contract then the farmer just does not get paid for the one year. There is a max. width of opener for row spacing allowed. Cannot burn straw or bale straw. And again if say if you cannot comply for one year say you need to burn the straw then just don't get paid for that year. No liability. I don't really understand the CCX exchange, also something to the affect that it is not Mandatory. The people buying the credits on the other end of the contract are just purchasing in anticipation of emmision rules to come.And the the exchange that trades Mandatory C02, the c02 is worth much more and they do not allow soil carbon sinks.

[ado089]

GET YOUR MONEY NOW. This carbon offset program is all smoke and mirriors....I'ts big buinesses way of justifying pollution. In 5 years when global warming is still going strong the public will demmand real reform. I know there are some companies in Alberta that will get you credits back to 2000 and are working on getting them back to 1990. Even at $20/ac over 2,500 ac that's $50,000...put it in the bank and retire a year earlier!

[wd9]

karmichel re: No liability

Don't be so naive. They are banking on the 'dumb farmer' to be just that. Carbon sink today, liability tommorrow. Do not be deceived. And no, the sky isn't falling, it is just business.

[nicolaas]

They will have to pay a lot more to me if they expect to use my land as a carbon sink. The contract you sign will hold you fiscally responsible if you have a wet year and have to smooth out sprayer/combine ruts. You can not bale or burn residue. They will take soil tests to measure your carbon levels in the soil. Seems like a lot of liability for little gain. Tieing your hands for 12k is a bit ridiculous. It is a load of crap, stopping global warming by buying credits....smoke and mirrors!!

[cottonpicken]

The paris report is out today.
Unfortunatly the sky will fall for millions of people,if were lucky.
If were unlucky....