Saturday, 20 April 2024

CBA helps farmers to measure emissions and model abatement options

5 min read

The Commonwealth Bank of Australia (CBA) has commenced a pilot with emissions platform Ruminati that provides farmers with tools to calculate baseline emissions and to model what changes in farming practices might have for them.

In the first phase of the pilot, the emissions calculator has been made available to a group of livestock and mixed farming customers in Victoria, Queensland and New South Wales.

Through gaining a better understanding of what is driving their current emissions, producers can unlock opportunities both within their supply chain and on farm, to identify practice changes which can support both improved economic and environmental outcomes. These could include changed grazing practices, alternative stocking rates, cover cropping, biodiversity corridors or practices which involve a reduction or change in chemical usage.

The Ruminati pilot follows CBA’s investment in AgTech integrator Pairtree Intelligence, which aims to reduce complexity for farmers by providing seamless integrations with 100-plus leading AgTech companies.

Paul Fowler, executive general manager regional and agribusiness banking at CBA, said: “The pilot with Ruminati is a further demonstration of our commitment to support farmers through transition as they build future-fit farming businesses. The conversation is shifting from curiosity towards intent and from intent towards action. We want to support customers with access to tools and resources which help them make informed decisions, so they are well placed to take advantage of the opportunities to improve productivity and profitability with the benefit of enhancing natural capital."

Natasha Greenwood, general manager agribusiness at CBA, said: “In addition to being able to identify on-farm benefits and efficiencies, supply chains are starting to mobilise around information that is important to them as they seek to meet their own climate commitments. Emissions measurement will also become increasingly important to strengthening ongoing market access, taking advantage of export opportunities and meeting supply chain expectations.

“CBA’s collaboration with Ruminati will help us to support the sector by providing farmers with data and insights they can use to support these requirements and optimise opportunities within their own farming enterprise.”

Bobby Miller, co-founder of Ruminati and farmer said: "We are very excited to collaborate with CBA on this project. Our partnership with CBA is underscored by the significance of our tool being created by producers, for producers. Understanding the unique challenges faced by those on the land is at the core of our platform. This project is not just about measuring emissions, it's about fostering a movement where producers can own their sustainability story and lead the industry towards a more resilient future from the ground up.

Australian producers play a pivotal role at the intersection of climate change and food production. Farmers and graziers possess the capability to reduce emissions and enhance greenhouse gas sequestration, contributing significantly to mitigating climate change, however they require the necessary tools and capital to make a meaningful impact. This pilot project with CBA aims to chart a course where these tools and capital become accessible, eliminating barriers to proactive climate action.

Miller said: "Working closely with Australia's largest bank has been a fantastic experience and gaining insights from their perspective has allowed us to fine-tune our approach.”

CBA has a range of sustainable finance solutions to give our customers a range of options to invest in improving natural capital, business efficiencies and productivity. These include Australia’s first agri green loan, green asset finance, sustainability-linked loans and the pre-finance of carbon credits.

Re-disseminated by The Asian Banker

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