Diversified revenue Carbon credits provide another income stream for your business. Ecosystem benefits Strategically-placed plantations can improve soil, water quality and salinity. Environmental action Be recognised for your contribution to Australia’s emissions reductions. Help with these projects The basics Introduction to plantation forestry projects, how they work and their eligibility requirements. Show me the basics The details Further information and resources on plantation forestry projects under the Emissions Reduction Fund. Show me the details How these projects work Plantation forestry projects involve establishing a new plantation or changing from short rotation to long rotation plantations, increasing the amount of carbon captured in trees as they grow. Carbon can continue to be stored in timber products from harvested plantations. You need to use the free Full Carbon Accounting Model (FullCAM) software to model the carbon stored in your plantation. You earn carbon credits for modelled increases in stored carbon. Project activities You can run a plantations project by undertaking a range of new activities, such as: Establishing a new plantation. Converting a short rotation plantation to a long rotation plantation. This activity involves thinning or pruning a plantation after the start date for the long rotation, and ensuring the long rotation is at least 10 years longer than the original short rotation. Eligibility requirements Changes to regulations applying to forestry projects Amendments have been made to the Carbon Credits (Carbon Farming Initiative) Regulations 2011 (CFI Regulations) designed to reduce the regulatory burden for potential Emissions Reduction Fund plantation forestry and new farm forestry projects in higher rainfall areas. These amendments identify five regional areas in which tree planting in higher rainfall areas is unlikely to have a material adverse impact on water availability. New plantations or expanded plantations located in these regions will be taken to pass the water requirements under section 3.37 of the CFI Regulations and will not require further assessment by the relevant water authorities to be registered under the Emissions Reduction Fund. The regions cover parts of South Australia, Western Australia, Victoria, Tasmania and New South Wales. Maps of the regions are available at data.gov.au or visit the Department of Industry, Science, Energy and Resources for more information. To be eligible you must: Identify eligible land — eligibility requirements will vary depending on project activity. For example, you cannot establish a new plantation on land that has hosted a plantation within the previous seven years. Establish legal right (the right to run your project and claim carbon credits) — for example, holding a lease or other land title, or having a signed agreement with other landholders to run a project on their land. Obtain regulatory approvals and consent from everyone with an eligible interest in the land. Consent holders will vary. They may include banks, state governments (if the land is leased) or relevant native title bodies corporate. Make sure your project is new — you cannot have started project activities until we register your project. Running and reporting on your project If you are establishing a new plantation, you will need to submit a plantation forestry notification for assessment by the Department of Agriculture. There are operating, monitoring, reporting and audit obligations in running a plantation forestry project. You will need to report on your project at least once every five years. You will receive carbon credits each time you report modelled increases in carbon stored by your plantation over a period of 25 years. Your project must store carbon for 25 or 100 years to deliver a long-term benefit to the atmosphere (known as ‘permanence’). Relevant legislation and resources Factsheet: Plantation forestry projects. Carbon Credits (Carbon Farming Initiative — Plantation Forestry) Methodology Determination 2017 and the explanatory statement. Carbon Credits (Carbon Farming Initiative) Act 2011, the Carbon Credits (Carbon Farming Initiative) Regulations 2011 and the Carbon Credits (Carbon Farming Initiative) Rule 2015.