In an attempt to achieve net zero carbon emissions by 2050, the government has launched a new £50 million Woodland Carbon Guarantee Scheme which is due to open in 2020.
Successful applicants will be able to sell the carbon dioxide (CO2) captured by newly planted trees in the form of Woodland Carbon Units to the government for a guaranteed minimum value every five or ten years until 2055-2056.
The scheme will operate as a reverse auction whereby it is up to the applicant to calculate the money required in order for their tree planting project to be financially viable and submit a bid. If successful, the government will purchase your Woodland Carbon Units (in tonnes of CO2) for a guaranteed price every 5 or 10 years. A series of auctions will take place every six months for up to five years, beginning in 2020.
The scheme is aimed at larger scale projects and is subject to a minimum 10 hectare planting area. In order to apply for the scheme, woodland creation projects will need to be registered with and managed under the Woodland Carbon Code, which will help to calculate amount of carbon that will be “locked up” as a result of the tree planting and validates the carbon savings to be purchased.
For more information please contact one of our team on 01793 842055.