Today, Agreena, the most significant soil carbon platform in Europe, reported the results of its second harvest year (HY), marking a tenfold increase in enrolled hectares and a fourfold rise in farmer participation. The agtech company, active in 16 European countries, has become a key player in financing farmers’ transition towards regenerative practices.Photo by Marcin Jozwiak on Unsplash
In this year’s payout, Agreena set new records by offering the highest farmer incentives under a soil carbon scheme. The rate stands at €32 to €36 per anticipated carbon certificate generated, varying by region. This represents an uptick of up to 45% from last year, underscoring the company’s commitment to nature-based soil carbon removals.
The issued carbon certificates, an innovative means of promoting regenerative farming, will soon enter the market. Corporations striving to combat climate change and biodiversity loss and ensure future food security can thus participate by purchasing these certificates.
Agricultural carbon sequestration has gained recognition as an accessible, impactful strategy for climate action. However, the initial investment required from farmers is a significant hurdle to widespread adoption. Agreena addresses this issue by leveraging the voluntary carbon market (VCM), translating eco-friendly farming initiatives into high-quality carbon certificates, thereby providing farmers with a new revenue stream.
“Agreena is introducing a new category of carbon certificates into the market. It’s a process that requires time to scale, but we can’t afford to wait. Farmers need a reliable and liquid payment to cover their transition efforts,” explained Simon Haldrup, CEO of Agreena.
Agreena has successfully bridged the timing gap between farmers and companies depending on carbon certificates for their ESG and sustainability efforts. By introducing an early payout option, Agreena ensures that farmers receive compensation soon after each harvest year, helping them to cover their upfront costs. Importantly, any potential upside when Agreena’s certificates are sold is shared with the farmer.
Agreena’s carbon certificates result from farmers adopting practices to sequester more carbon within their soils while minimizing their emissions. Examples of these practices include the ‘no till’ farming technique. Agreena’s program aligns with the latest IPCC science and VCM principles and has developed strong relationships with European agricultural partners.
Agreena has recently developed its corporate unit, which is responsible for certificate sales and managing MRV and risk solutions. The company works closely with certificate buyers to tailor, structure, and scale portfolios from its inventory, mirroring the approach of traditional financial markets.
Frederik Aagaard, Agreena’s Director of Carbon Markets, commented on the presale of their first vintage of high-quality carbon certificates sourced from Central European farmers, “We’re delighted to be able to facilitate the participation of companies in helping finance this journey for farmers.”
Farmers interested in joining Agreena’s 2023 program have until June 30 to enroll. The company’s website provides a form for potential earnings calculations and applications, along with more details about the program.
As the VCM grows, Agreena anticipates further certification advancements and new standards. The company’s GHG reduction and carbon removal certificate portfolio, currently accredited to the ISO 14064-2 standard, is also undergoing Verra VCS certification, with results expected by the end of the year.