HeavyFinance, a European climate tech company, has recently enrolled 300,000 hectares of farmland in Ukraine into its carbon farming program to promote regenerative agricultural practices. This initiative is part of the company's ongoing efforts to certify soil-based carbon credits, enabling a transition to nature-based, sustainable agriculture.
The 300,000-hectare area, equivalent to 741,000 football pitches, has been chosen for its high carbon sequestration potential once shifted to regenerative agriculture. HeavyFinance, known for its work in soil carbon measurement and certification, collaborates with farmers to ensure their land sequesters more carbon by improving soil health. The company’s goal is to generate over 1 million verified soil carbon credits under Verra's methodology across Europe by 2025.
Farming Potential in Ukraine:
Ukraine's chernozem soil, known as black soil, is considered one of the most fertile in the world, significantly contributing to wheat yields. However, intensive tillage over the past 50 years has led to soil degradation and loss of organic carbon. By adopting regenerative practices, Ukraine’s agricultural land could remove an estimated 757.7 million tonnes of CO2, equivalent to Germany’s annual carbon emissions.
HeavyFinance collaborates with Agsolco, a Ukrainian agricultural company, to shift farmers to regenerative practices and enroll their lands in the carbon farming program. Agsolco’s Carbon Credit Ukraine initiative aims to leverage Ukraine’s agricultural potential for sustainable farming. With this partnership, HeavyFinance aims to enroll 500,000 hectares of Ukrainian farmland by the end of 2024.
HeavyFinance employs advanced carbon measuring techniques like satellite data, laboratory samples, and insights from agronomists to certify carbon sequestration. The carbon credits generated through these initiatives represent measurable reductions in emissions, which can be traded in global carbon markets.
Through partnerships and educational initiatives, HeavyFinance empowers farmers with the tools and financial support needed to shift to sustainable practices. The partnership with Agsolco is expected to issue the first carbon credits by the third quarter of 2025, validating the program's impact.
To further its impact, HeavyFinance recently announced a €50 million debt capital fund, with €20 million committed by the European Investment Fund. These funds will support European farmers in transitioning to regenerative agriculture, reflecting HeavyFinance's commitment to sustainable farming and climate change mitigation.
HeavyFinance's carbon farming program marks a significant step towards regenerative agriculture in Ukraine and across Europe. By enrolling farmland into the program, they aim to restore soil health, sequester carbon, and contribute to a more sustainable future for agriculture and the environment.