Engineered Woodlands
But landholders are unwilling to replace annual agricultural
incomes with risky long-term returns from trees
Engineered Woodlands
• Integrate commercial trees into existing agricultural systems
• Minimise loss of agricultural income
• Maximise tree growth and survival
• Source income from other benefits
The Solution
Maintain agricultural incomes
Engineered WoodlandsMultiple income/benefit streams
TimberCarbon credits
Higher lambing rates from shelter
Engineered WoodlandsCritical Success Factors
• Soil preparation
• Fallow
• Weed control
•Weed control
•Weed control!
Engineered WoodlandsCritical Success Factors
• Planting the right species
• Frost hardy
• Having a market
• Fast growth
• Re-introducing agriculture quickly
Engineered WoodlandsCritical Success Factors
• Can our farmers access it?
• What is it worth?
• Are the rules too inflexible?
The carbon market
Engineered WoodlandsDoes it
pay?
-20,000
0
20,000
40,000
60,000
80,000
100,000
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Year
Ne
t fa
rm in
co
me
($
)
Net farm incomewithout contourshelter
Net farm incomewith contourshelter
Drought yearDrought year
Results from a typical Northern Tablelands farm using whole-farm financial modeling and
assuming:
• 11% of farm planted to contour belts over 10 yrs (15 ha per year @ $421/ha establishment cost)
• Stock shelter benefits only:
10% increase in lambing rate
50% in sheep death rate
• No timber income
Internal rate of return = 32%
Net Present Value = $87/ha
As a result of increased sales of surplus hoggets, ewes
and wethers