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Crop organization AGMs lend support to carbon credit

A number of Saskatchewan crop organizations have given their stamp of approval to a resolution calling for farmers to receive credit for their efforts to remove carbon.
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A number of Saskatchewan crop organizations have given their stamp of approval to a resolution calling for farmers to receive credit for their efforts to remove carbon.

The resolution, moved by Miles Heck and Dave Marzolf, called for lobbying to have Saskatchewan farmers “recognized and rewarded” for their carbon removal efforts.

The resolution was presented and passed recently at five Sask. Crop Organizations AGMs: by SaskFlax, Sask Wheat, SaskCanola, Sask Pulse Growers and SaskBarley. Those AGMs were held virtually on Jan. 12.

The full wording of the resolution reads as follows:

“Whereas long term studies initiated and supported by Sask growers and endorsed by Ag Canada soil scientists prove that continuous cropping and reduced or zero till prove effective in sequestering C02 in Sask Ag soils,

“And whereas this removal and storage will be an essential contribution to this and other Nations net zero targets,

“And whereas the federal government has put a value on emissions,

“Therefore be it resolved that commissions and associations lobby to have Sask farmers recognized and rewarded for these removals that correlates with the price of pollution that correlates to the price of pollution set by governments.”

Backers of the resolution say it sends a clear message to all levels of government about where the producers stand on carbon pricing.

It “certainly gives indication to both the provincial, federal and municipal governments that the producers are preferring a carbon credit versus a carbon tax, and recognizing the work of the past 50 years in Saskatchewan agriculture,” said Vicki Dutton, who was a seconder to the resolution passed at the AGMs.

She said the resolution passed at a “momentous time”, with the Trudeau government having announced a steady increase in the carbon tax to $170/tonne in nine years.

At this price, Dutton sees it as either “a problem or an opportunity.”

In presenting her seconding motion at the AGMs, Dutton stated: “I believe this is an opportunity, why? Because farms in Saskatchewan sequester carbon, and we have Ag Canada collaborated science that proves we do, and that amount can be validated.  The challenge for us is to figure out how to get value for the carbon sink we produce annually.”

There are reasons why the resolution’s backers prefer a carbon credit as opposed to a carbon tax. The movers have said at the AGMs that under the carbon tax, costs are being downloaded to the farmer and cannot be passed on to the global market.

“Farmers cannot pass on a carbon tax to a global marketplace,” Dutton said.

“We have.... the lowest price in the world, and none of our competitors have a carbon tax, so we are at an extreme disadvantage if we don’t have a solution. Plus other jurisdictions including the USA and Australia are looking at a carbon credit programming, so most people are going for a carrot on a stick type of approach.”

On the other hand, Dutton says a carbon credit would bring money in to western Canada because “you’d be selling an international commodity as a carbon exchange, so it actually becomes a source of income instead of a source of tax.”

Dutton also cited the advantage of Canada having a “very progressive” and world class Ag industry.