SYDNEY, AUSTRALIA: RLF AgTech Ltd, a technology-driven plant nutrition company, has announced that its subsidiary, RLF Carbon Pty Ltd, has formed a strategic alliance with the Commonwealth Bank of Australia (CBA) to fund a large scale soil carbon pilot program and to explore the potential to generate carbon credits from its technology.
RLF Carbon’s technology aims to increase the amount of carbon stored in the soil by applying its plant nutrition products to crops, which can help reduce greenhouse gas emissions and improve soil health.
Under the agreement, CBA will pay RLF Carbon $1 million upfront for the first 50,000 Australian soil carbon credit units (ACCUs) to be generated from the pilot program, which will be conducted over four seasonal periods with commercial grain growers.
CBA will also have the option to buy additional ACCUs from the pilot program at a discounted rate based on the spot market price.
RLF AgTech and CBA will work together to seek to expand the soil carbon program in Australia and to create a scalable and verifiable carbon credit generation model.
RLF AgTech CEO, Ken Hancock, said: “We are delighted to partner with CBA, one of Australia’s leading financial institutions, to fund our soil carbon pilot program and to explore the potential of our technology to generate carbon credits at scale. This is a significant milestone for our company and a validation of our technology and vision. We believe that our technology can make a positive impact on the environment and the agricultural sector by increasing soil carbon sequestration and enhancing crop productivity.”
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