Research, innovation and market development

The Land Restoration Fund (LRF) makes investments in research, innovation and development to grow environmental markets in Queensland, including the carbon market.

Queensland has natural advantages for carbon farming including long coastlines, extensive wetlands and vast savannas. The LRF supports research and development that helps Queensland landholders harness these advantages to participate in projects that will deliver benefits over and above carbon sequestration.

Carbon method development

The LRF works with the Clean Energy Regulator to develop new carbon methods and revise existing carbon methods under the Australian Government’s ACCU Scheme. This included participation in co-design of the first blue carbon method for Australia that was released in January 2022.

Blue carbon is carbon stored in coastal vegetation and sediments – mainly mangroves, tidal marshes and seagrasses. Coastal ecosystems are particularly effective in sequestering carbon and are abundant in Queensland.

The LRF is assessing blue carbon potential in Queensland and trialling on-ground approaches through:

• participation in the Blue Heart initiative on the Maroochy floodplain in partnership with Sunshine Coast Council and Unitywater. This initiative includes a trial blue carbon project to demonstrate blue carbon abatement with co-benefits. More information can be found by visiting the Blue Heart Sunshine Coast webpage.
• partnering with the Great Barrier Reef Foundation to identify and support project opportunities that will enable more blue carbon projects to occur in Great Barrier Reef catchments.
• supporting a series of Pilot Projects to trial the application of new carbon methods, including blue carbon.

Measuring, verifying and reporting co-benefits

Co-benefits are the additional positive outcomes generated through carbon projects, over and above carbon sequestration. Environmental, socio-economic and First Nations co-benefits claimed as part of an LRF carbon project must be measured, verified and reported to ensure they are genuine. Find out more about valuing and verifying co-benefits.

The LRF is continually improving co-benefit assessment and verification processes through:

• ongoing development of the LRF Co-Benefits Standard (PDF, 2.1 MB) . The LRF is underpinned by the LRF Co-benefits Standard, which outlines how co-benefits from LRF projects are to be claimed, measured, reported and verified. This Standard ensures that co-benefits associated with carbon projects are evidence-based. The Standard is updated as new protocols, carbon methods and tools become available.
• supporting Accounting for Nature to: build the capacity of NRM groups in environmental accounting; develop a digital platform to make building environmental accounts easier; and pilot a cultural condition framework with Traditional Owners to measure and track the significance and condition of Indigenous cultural heritage.
• supporting Aboriginal Carbon Foundation to develop and implement the Core Benefits Verification Framework, which values First Nations peoples as experts in the verification of environmental, social and cultural values associated with carbon farming.
• collaboration with CSIRO on strengthening social co-benefit measures and verification.
• continuous review and enhancement of the LRF Co-benefit Tool used to identify and assess co-benefits delivered by LRF carbon projects.

Self assessment tools

The LRF worked with CSIRO to update the LOOC-C tool with more information for Queensland landholders. LOOC-C now provides a rating indicating the likelihood of generating different co-benefits on a selected area using approved ACCU Scheme methods. It allows landholders to assess options on their property for certain co-benefits offered under the LRF.

Building capacity to participate in the carbon market

The LRF through a range of partnerships, supports Queensland landholders to participate in carbon and other environmental markets by:

• supporting landholders to access carbon farming advice tailored to their property and circumstances through the Carbon Farming Advice Scheme. Since 2020, the LRF conducted three rounds of the Scheme, supporting over 260 landholders to access up to $10,000 to pay for expert carbon farming advice from an LRF Approved Adviser.
• building a network of LRF Approved Advisers from a range of professions across Queensland who can support landholders with carbon farming advice.
• funding the Carbon Market Institute to deliver training and capacity building within the finance and professional services sectors to support uptake of carbon farming in Queensland.
• supporting the development and implementation of the Australian Carbon Industry Code of Conduct.
• funding Meat and Livestock Australia to review and develop scientific methods for producers to be remunerated for providing ecosystem services (generation of carbon credits, biodiversity credits, water quality credits) whilst producing livestock.
• supporting the Indigenous Carbon Industry Network to lead key industry events, including the National Indigenous Carbon Forum and the North Australian Savanna Fire Forum, and to develop resources that help Indigenous organisations to engage in the carbon industry.
• supporting Regen Farmers Mutual Limited to explore the potential for multi-property ‘landscape-scale’ projects in the Traprock Region through landholder education, outreach and upskilling.
• partnering with NRM Regions Queensland and Queensland Farmers’ Federation to deliver 21 in-person regional workshops and 3 webinars to over 1300 Queensland landholders and industry. The workshops supported LRF investment rounds, featured local case studies and QandA with Clean Energy Regulator officers.
• funding NRM Regions Queensland and Queensland Farmers’ Federation to deliver the Queensland Carbon Farming Community of Practice, where experts share knowledge and learnings around carbon projects with managers from NRMs and Landcare groups.

Research and innovation activities

The LRF drives innovation and addresses barriers to participation in carbon markets in Queensland by:

• supporting the piloting and development of a Cassowary Credits biodiversity credit scheme to facilitate investment in large-scale rainforest restoration in North Queensland.
• funding innovative work by the University of Queensland to develop metrics to measure the condition of bird communities, with plans to extend the methodology to other fauna groups.
• engaging brokers to commence delivery of the innovative Reef Credit Fund supporting the delivery of on-ground Reef Credit projects and stimulating the Reef Credit market, driving a market for farmers to reduce nutrient or sediment flowing to the Great Barrier Reef.
• collaborating with the Great Barrier Reef Foundation to facilitate blue carbon projects in Great Barrier Reef catchments.
• working with Queensland Trust for Nature to trial approaches to integrate carbon farming into koala habitat restoration in Southeast Queensland.
• supporting the development of new and improved carbon methods to increase opportunities to participate in the carbon market and ensure the integrity of carbon abatement claims.
• supporting a trial blue carbon project in the Blue Heart Sunshine Coast, including key research to identify and measure carbon abatement and co-benefits through re-establishing blue carbon ecosystems.

Carbon market research

The LRF funded research into the carbon farming market in Queensland including:

• The Carbon Farming Industry Roadmap which estimates carbon farming could generate 10,500–21,000 direct and indirect jobs by 2030.
• Unlocking value for the Queensland economy with land and agricultural offsets which indicates that from 2017 to 2030, using a conservative approach, between $1.4 to $4.7 billion could be generated through carbon farming from the land and agriculture sector in the state.