Soil Carbon: A Solution for Climate, Soil Health and Productivity
What is Soil Carbon?
Soil carbon is the amount of carbon stored in the soil, primarily as soil organic carbon (SOC) which comes from decomposed plant and animal matter. It's a critical component of soil health, contributing to structure, fertility, water retention, and microbial activity. Healthy soils with high organic carbon are more resilient, productive, and better equipped to support sustainable agriculture and environmental outcomes.
Increasing soil carbon delivers wide-ranging benefits:
Climate Change Mitigation: Soils can capture and store carbon dioxide from the atmosphere, known as carbon sequestration which helps to reduce greenhouse gas emissions.
Improved Soil Function: Higher carbon levels enhance soil structure, retain more water, and support nutrient cycling, leading to better crop yields and drought resilience.
Economic Opportunities for Landholders: Landholders can generate Australian Carbon Credit Units (ACCUs) through soil carbon increase projects under the federal government’s Emissions Reduction Fund (ERF). Supported by government programs such as the Carbon Farming Outreach Program, the approach combines rigorous science with practical tools for landholders to monitor and manage carbon in their soils.
Land management practices that help increase soil carbon include:
• Regenerative grazing and cover cropping
• Reduced tillage and stubble retention
• Compost and organic matter applications
• Revegetation of degraded landscapes
These techniques not only support carbon sequestration but also improve productivity and reduce input costs.
While the benefits of soil carbon are significant, challenges remain. Measurement can be costly, results can vary with climate and soil type, and long-term carbon storage requires careful land management. Transparency, scientific rigour, and fair return on investment are key to ensuring credibility and participation. Soil carbon is one of the most promising natural solutions to tackle climate change while supporting profitable and sustainable agriculture. With continued innovation, collaboration, and science-led policy, Australia is well-positioned to lead the way.
Success With Soil Carbon Farming - Peter and Julie Ramsey's Story
Ten years ago, Peter and Julie Ramsey concluded that they had to do things differently to ensure a brighter future on the land for their children and families. The farm has been in Julie’s family for three generations and they are keen to maintain that connection.
The Ramseys chose soil carbon credits rather than vegetation carbon as their major motivation was improving productivity from their pastures and the overall resilience of the farm. Soil carbon stays on the farm providing ongoing production benefits well into the future. The whole process of establishing the soil carbon project was made easy by signing up through a Carbon Manager. The Carbon Manager is responsible for managing the registration, ongoing monitoring, and associated paperwork, including soil testing and reporting. These costs are covered over time as credits from the soil carbon are awarded.
For Peter and Julie, the real motivation to start a soil carbon project was to increase production from paddocks that were getting tired after 100 years of grazing. "Being able to leave the farm in a healthy and more productive state was a major driver. So why not get the benefit of carbon credits while we are doing it,” they said. “More standing feed for the livestock has increased production and decreased input costs as the improved soil does all the hard work with a bit of help from us.”
The first step for the Ramsey’s soil carbon project was to install an exclusion fence to better manage grazing pressure. A mix of grass, legumes, forbes, brassicas and chenopods were seeded into the disturbed ground following clearing. Fencing of paddocks has allowed effective management of grazing pressure with pasture recovering much quicker. Stock are a key part of the soil carbon cycle the Ramsey’s have recreated, providing the disturbance and manure that plants and soil need to sequester carbon.
Benefits:
Major changes that Peter and Julie have seen include more water being held in the soil.
“Before soil carbon levels started going up, 2-3 inches of rain would just run straight off, and we would be looking for more. Fast forward to now, the increased carbon makes the soil spongy so 2-3 inches is soaked up and we aren’t looking for rain again for six weeks. With rainfall getting more unpredictable, the more moisture we can store in the soil, the longer our pasture holds on and the quicker we can turn livestock off.”
“The country looks better and so does our future as the project will help us and the family to stay on the farm living a life we love like those before us and those who will inherit the farm in an improved state. The carbon credits are only part of that inheritance but are providing us all peace of mind in these rapidly changing times.”