Trees absorb CO2 through photosynthesis process. The cost of capture is only $10-40 per tonne of CO2
Apart from serving the goal of carbon sequestration, CO2 absorption by soil helps increase crop yields. Capture costs in this case are $20-90 per tonne of carbon.
Besides, the process owner has the opportunity of harvesting additional income from using the farm as an agricultural asset. Suppose landowners in the Midwest and Southeast not only trade in CO2 credits, but also grow corn, wheat, soybeans, and cotton.
Another option is to repurpose forestry. Trees absorb CO2 through photosynthesis process. In this situation, the cost of greenhouse gas capture is $10-40 per tonne of CO2.
Thanks to that low cost of carbon capture through the use of soil and trees, carbon farming has been promoted as an independent business for several years now.
However, in the beginning the transition of farmers to the carbon market was held back by high start-up costs and the lack of tools to accurately measure changes in carbon content in the soil.
For example, just a few years ago, launching a carbon farm with an area of 10,000 hectares in Australia — the country, which was among the first to start supporting carbon sequestration business — would cost one 200,000 U.S. dollars. The main expenses were monitoring, reporting, and area inspection. Reforestation projects were even more expensive – with cost estimates at $300,000.