Value From the Carbon Market for the Next Land Use of Peat Production Areas (ArvoHiili)

Our aim is to identify the scientific, technical, legal-administrative, and economic prerequisites for deriving value from carbon storage and sequestration through paludiculture and mire creation. This project is co-funded by the European Union.

The ´Value from the carbon market for the next land use of peat production areas (ArvoHiili) investigates the opportunities and constraints for carbon market activities in areas released from peat extraction in South Ostrobothnia. The aim is to identify the scientific, technical, legal-administrative, and economic prerequisites for deriving value from carbon storage and sequestration through paludiculture and mire creation. The project aims to respond to the opportunities offered by carbon trading in the context of a rapidly evolving market.

The project is implemented by the Geological Survey of Finland (GTK) (coordinator), University of Eastern Finland (UEF) (School of Forest Sciences and UEF Law School), Natural Resources Institute Finland (Luke) and Seinäjoki University of Applied Sciences (SeAMK) in cooperation with local landowners. The following types of land use and the value chains originating from them are under consideration:

1. Mire creation

2. Short-rotation cultivation of willow with high water level, conventional cultivation as a control

3. Cultivation of reed canary grass with high water level, conventional cultivation as a control

4. Cultivation of Sphagnum moss

5. Cattail (Typha spp.) paludiculture

UEF Law School’s sub-project will identify and describe the existing legal and regulatory instruments for these five land use types and value chains at national level. The aim is to develop, in cooperation with the other project partners, a justified set of policy instruments for the most potential value chains (2–3). In addition, the impact of EU legislation on the policy options chosen will be assessed in the short and medium term.

Project duration: 2023–2026