Combining biochar and microfinanceCombining biochar and microfinance for carbon offsets for carbon offsets

Rasmus Kiehl, Biochar OntarioRasmus Kiehl, Biochar Ontario

RationaleRationale• Some carbon offsets not easily quantifiable,

carbon impact may be difficult to measure

• Biochar potentially very valuable in carbon offsets: – pyrogenic carbon in soil: % easily measurable– stable in soil for very long time – agricultural and health benefits – conservation benefits: carrying capacity,

human/wildlife conflicts

Agricultural yield improvements from biochar tend to be higher in low-carbon soil.

The SahelThe Sahel

• 350M hectares• degraded soils,

low SOM, carbon 1-3% • frequent drought

ConceptConcept• collaborate with smallholder farmers in

developing countries for carbon sequestration based on biochar

• payments made only after verified amendment of soils with biochar

• use of microfinance

Participants:• Carbon offset organization • (Microfinance agency)• Smallholder farmer

• Micro-currency / alternative currency • Microfinance to promote uptake of products with

beneficial ecological / climate effects

(stoves, irrigation equipment, biogas, seeds …)

Introductory workshopIntroductory workshop

• Negotiations and information

• basics of biochar

• specifics of this microfinance mechanism

• time course and payment schedule

• other aspects: fencing, irrigation, planting

• conservation component (reforestation)

Time courseTime course0 months: start of project

- negotiations, educational session - project area clearly defined, photographed; satellite pictures also taken - initial soil samples taken for lab analysis - pyrolysis equipment (stoves, other) sold to individuals or community at low price (= at cost or subidized)

Time course, cont’dTime course, cont’d6 months: checking status / educational session / possible

first micro-payments

12 months: checking status / educational session / possible partial payments

24 months: measurements taken: - depth of soil char amendment- char content % measured - composition (feedstock) of char determined (?) -

rest of payment made (later: stretched-out payments, ongoing initiatives)

Specifics: measurementsSpecifics: measurements• Multiple samples taken per

hectare of char-amended soil, variable depth up to 1m

• Verification / supervision by independent party

• Samples taken to lab• Size of charcoal particles

measured • Average %value calculated • Micro-payment calculated

Challenges - localChallenges - local• Feedstock: unintended consequences

(e.g. deforestation, monocultures, non-native/invasive plants,

other adverse effect on wildlife, growing fuel instead of food,…) • Particle size: very large chunks could be diverted as fuel

(no “lump charcoal” !) this could be collected (dug up) and sold as fuel after program has ended and payments have been made

• Overshooting: soil carbon % too high (how to hit exact target when farmer cannot easily measure it ?)

• Lack of nutrients: all “soaked up” by char no fertilizer available, possibly decreased crop yields,

detrimental effects on local food security

• Credibility/adoption of a specific micro-currency • bad stoves: inefficient pyrolysis

for offset companyfor offset companyLong-term protection of soil

investment: erosion (semi-arid and arid regions). Perhaps there is a case for even more stretched-out payments ? 5-10 years ?

Ongoing involvement Monitoring during project, after completion

Cost to administer ? Little experience

OpportunitiesOpportunitiesChallengesChallenges

Highly verifiable offsets perfectly quantifiable, stable

Benefits to local food security

Ongoing involvement – good

Conservation benefits

Cost Could be very inexpensive / highly beneficial.