A new initiative for greener agricultural practices

The agricultural sector currently accounts for approximately 10% of Canada’s greenhouse gas (GHG) emissions. GHGs contribute to global warming and have significant environmental impacts, particularly with regard to water availability and quality, soil health, and biodiversity. Extreme weather events, such as the 2021 drought and forest fires, are expected to become worse and worse over the decades to come.

The On-Farm Climate Action Fund is a $200 million initiative that will support producers in adopting beneficial management practices that reduce GHGs and store carbon. The Fund aims to reduce the barriers farmers face in adopting these practices, such as up-front implementation costs, associated risk management costs, minimal or delayed returns on investment and limited availability of information and agronomic services

A collective effort

Many Canadian farmers already use beneficial agricultural practices. However, by immediately adopting these environmentally friendly practices on a larger scale, farmers will limit long-term impacts and contribute to achieving our 2030 emissions-reduction targets and carbon neutrality by 2050.

Under the Fund, resources will be allocated to eligible producers to implement initiatives in the following fields:

• Nitrogen management: for example, agronomic services to develop farm-specific nutrient management plans, equipment modifications for fertilizer application in fields, and soil sampling and analysis.
• Cover cropping: for example, payment-per-acre to cover adoption or related costs such as seeds and equipment. Cover crops are planted to cover the soil rather than for harvest.
• Rotational gazing: for example, agronomic services to develop grazing management plans to improve soil health, and legume and forage seeds.

The selection of partners that will help implement the program will take place in fall 2021. Some training and agronomic services may be offered, starting in early 2022. The projects themselves may begin as early as spring 2022.

The Fund, which will remain in place until 2024, is part of the Agricultural Climate Solutions program, which falls under the Natural Climate Solutions Fund (NCSF). The NCSF is delivered by Natural Resources Canada, Environment and Climate Change Canada, and Agriculture and Agri-Food Canada.

Learn more about the On-Farm Climate Action Fund and the Natural Climate Solutions Fund

For more information about the Fund’s criteria, please send an email to aafc.acs-sac.aac@agr.gc.ca.