The CARBOFARM program offers farmers several valuable benefits: 

• A new and additional income through humus formation/carbon sequestration and the sale of the resulting CO2 certificates..
• The compensation per ton of sequestered carbon is generally based on market prices for voluntary CO2 certificates. CARBOFARM strives to provide farmers with the best possible price per ton.
• In each verification measurement, 70% of the corresponding compensation will be paid out. The remaining 30% will be retained as an insurance buffer to offset any setbacks in humus formation and to prevent claims from being made against the farmer.

If no carbon sequestration can be detected during the cyclical measurements, no compensation can, of course, be paid out.

Insurance buffer

30% of the carbon sequestration achieved per measurement cycle or the corresponding remuneration will be retained as an insurance buffer. This buffer serves as a collective risk reduction pool and aims to compensate for setbacks in carbon sequestration. This ensures that claims for already paid remunerations are prevented.

Setbacks in carbon sequestration particularly include:

• Carbon degradation due to possibly incorrect management practices
• Pest and disease outbreaks
• Harmful climate events.
• Fires
• Erosion