4.4. How much can I expect to earn?

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4.4. How much can I expect to earn?

  • Your potential earnings depend on your practices, context and efforts throughout the programme. The baseline assessment already gives you an idea of your potential gains for the following year. Indeed, if you are already a net sequestering farm when you register, your annual GHG balance will be compared to a fixed regional reference (+250kg CO2e/ha for regions assessed so far). If you are a net emitter, your annual GHG balance will be compared to your baseline assessment and you will therefore have to improve your practices to earn carbon revenue;
  • A free simulation tool is available on our website. To access it, simply create an account on our mySoilCapital platform. It will allow you to estimate your initial profile and to your future carbon earnings.
  • Although it depends on your practices, it is not uncommon to store between 0.5 and 2 tonnes of carbon per hectare per year or to improve your carbon profile by 0.5 to 1 tonne of carbon per hectare per year. We make it a point to ensure that you earn a minimum income of £23 per tonne sold. In fact, we make a floor price commitment of €27.50 per certificate, which is £23 at a GBP-EUR exchange rate of 1.2 (future prices are subject to the prevailing exchange rate at that time);
  • A 200 ha farm that stores 1 tonne of carbon per ha per year would generate a net gain of at least £22,640 over the course of the programme, as per the below table.
Years012345 1112131415
Costs£980£980£980£980£980£980      
Area (ha)200200200200200200 200200200200200
Minimum income per certificate £23£23£23£23£23 £23£23£23£23£23
Certificates per hectare (carbon stored + 0.25 t/ha) 1.251.251.251.251.25      
Volume sold 80%80%80%80%80% 20%20%20%20%20%
Carbon payments £4,600£4,600£4,600£4,600£4,600 £1,104£1,104£1,104£1,104£1,104
Min. Net gains-£980£3,620£3,620£3,620£3,620£3,620 £1,104£1,104£1,104£1,104£1,104