Denmark bets on biochar for sustainable agriculture

Biochar in the spotlight: the Danish plan to cut agricultural emissions includes a huge EUR 1.35 billion investment. Chiaramonti (PoliTo): “This solution embraces economic competitiveness and will guarantee multiple benefits”

by Matteo Cavallito

Denmark is betting big on biochar with a public funding for climate mitigation initiatives in agriculture. This was announced by the Copenhagen government, releasing details of the recent agreement reached by the executive with representatives of the so-called Green Tripartite, the body set up at the end of 2023 that includes, among others, the Council for Agriculture and Food, the Danish Society for Nature Conservation and the National Confederation of Industry. The value of support for biochar between now and the year 2045 amounts to 10 billion kroner, approximately EUR 1.35 bn.

The goal: saving 1.8 million tonnes of CO2

The agreement defines initiatives to reduce greenhouse gas emissions in agriculture with the aim of contributing to Denmark’s 2030 climate goals. Deal also aims to ensure better conditions for nature, biodiversity, the aquatic environment and drinking water, said the government.

The list of measures includes in particular a historic tax on livestock emissions that will amount to 300 kroner (EUR 40) per tonne when fully implemented. From 2030, the proceeds of the tax will be returned to the industry through the establishment of a transition support fund. The combination of measures is estimated to save 1.8 million tonnes of CO2 by 2030.

The role of biochar

The biochar support programme is designed to promote the use of organic matter in agriculture by using its carbon storage properties. This property makes the soil amendment particularly valuable for climate mitigation. Produced by the thermochemical conversion of biomass through so-called slow pyrolysis (which involves heating the matter at low temperatures and its subsequent decomposition), biochar is mainly used to improve the chemical and physical properties of the soil.

The substance, especially when integrated with the traditional composting process, can also be used to increase the fertility of agricultural land.

Its positive impact on carbon sequestration, on the other hand, is especially linked to its ability to strengthen soil aggregation. Other factors, such as climatic and atmospheric conditions, the specific characteristics of the substance used (such as the ratio of carbon to nitrogen content as well as pH), application practices and different agronomic conditions, can further enhance carbon storage capacity.

“An innovative intervention in accordance with EU regulations”

The Danish initiative is bound to attract particular attention among industry experts, establishing itself as an important benchmark for policies supporting the use of soil improver. The Copenhagen measure, ‘sets a significant removal target, but above all – and it’s the first case in Europe – it provides support for the wide dissemination of biochar,’ says David Chiaramonti, Professor of Energy Systems and Energy Economics at the Politecnico di Torino and president of the Renewable Energy COnsortium for R&D.

“The action on biochar is an extremely innovative intervention that is coherent with European policies and regulations – such as the EU Fertiliser Regulation or the Carbon Removal Certification Framework – which already include the development of the biochar sector in many areas”, he adds.

A value comparable with market prices

Also significant is the economic side of the initiative. The EUR 1.35 billion investment by the Danish government, according to rumours, could in fact translate into an average subsidy of around EUR 300 per tonne of biochar. A value comparable with the indications provided by the ETS (Emission Trading System), the European carbon credit market involving players who are required by law to limit or offset their emissions.

Here, according to figures of the last two years, CO2 equivalent has on three occasions reached a price peak close to or slightly above 100 euros per tonne.

Considering that the storage capacity of the soil amendment is roughly three times its weight – that means the use of one tonne of biochar allows the sequestration of around three tonnes of CO2 – it is easy to observe how the final value is therefore aligned with the market’s historical highs (100 multiplied by three). For this reason too, says mr. Chiaramonti, the Danish measure “guarantees multiple benefits in addition to the use of biochar and the long-lasting removal of carbon, and represents one of the most interesting and economically competitive solutions in this area”.