FAQs
Our Expertise
The Silva Carbon Origination Fund is an open-ended real asset fund, offering investors access to Australian Carbon Credit Units (ACCUs) generated through integrated projects focused on land reforestation using native vegetation and agriculture. Uniquely, the integration of carbon projects with farming seeks to enable the balance between agricultural productivity and environmental stewardship.
The fund is based on the premise that carbon sequestration and biodiversity go hand in hand with the food and fibre production.
The Fund is designed for both financial investors seeking attractive risk-weighted returns and carbon market participants seeking access to high-integrity ACCUs to help meet their emission-reduction goals.
This involves acquiring or leasing agricultural land in Australia to develop carbon sequestration projects, that actively promote sustainable agricultural and land management practices. The Fund prioritises environmental planting projects that reforest cleared land in a way that strengthens rural communities. These projects not only sequester carbon, contributing to overall decarbonisation, but also enhance biodiversity and conservation efforts while at the same time ensuring that the land remains productive for farming.
Silva Capital stands out in the carbon market for our focus on high-integrity ACCUs achieved through Environmental Planting and sustainable agricultural practices. Our approach involves:
- Regenerating and reintroducing forests on cleared lands, enhancing biodiversity, and integrating sustainable agricultural practices.
- Employing Environmental Planting strategies that incorporate a diverse range of locally sourced species, enhancing both biodiversity and the value of carbon credits.
- Designing carbon sequestration projects that maintain the agricultural productivity of the land, allowing for concurrent agricultural activities without compromising the environmental goals.
- Community Engagement: Silva Capital prioritises responsible and respectful engagement with local communities, developing strategies that ensure their needs and aspirations are met. This approach ensures the sustainability and success of the local communities we operate in and our projects.
Silva Capital’s commitment to integration of sustainable agriculture with carbon sequestration creates mutually beneficial outcomes for both the environment and agricultural sectors, making Silva Capital a leader in sustainable investment.
The Australian Government’s Safeguard Mechanism Policy requires the top 200 emitters to reduce their emissions, creating a regulatory environment that supports the transition to net zero. For many corporate entities, decarbonisation will take time, making carbon credits a vital piece of the puzzle for offsetting remaining emissions. The Paris Agreement’s global emissions reduction targets have also increased demand for ACCUs, that will see the Australian market move from oversupply to higher demand, with expected price increases over the coming years.
High-integrity projects like Environmental Planting projects are gaining traction due to the robust nature of the underlying methodology of creation and the unique benefits they offer, such as habitat restoration and biodiversity protection. Offsets sourced from these projects are considered an ‘integrity hedge’ as they sit atop of the integrity stack and should stay above the potential vagaries of future offset markets.
Market analysts, Federal and State Governments and CSIRO expect Environmental Planting (EP) to become one of the dominant supplies of new ACCU projects in the medium term. EP projects are regarded as one of the highest integrity methodologies (there is a clear regeneration of forest on previously cleared land) and can have the added benefit of integrated agricultural, biodiversity and conservation outcomes. EP projects also have the crucial benefit of being able to integrate with traditional agricultural activities. Silva Capital aims to leverage this integrated carbon and agriculture approach so that the land the projects are on continues to be productive farms into the future.
At Silva Capital, ensuring the integrity of our carbon credits is paramount. We adhere to rigorous standards in project selection and management, focusing on Environmental Planting and sustainable agricultural practices that guarantee long-term carbon sequestration and additional environmental benefits. Our commitment to transparency and high integrity in every aspect of our operations underpins the trust placed in us by investors and stakeholders, ensuring that every carbon credit we generate represents a genuine and measurable contribution to carbon reduction.