FIT 2020 Carbon Projects ERF

FIT 2020 Carbon Projects ERF is a commercial plantation forestry project located in the Green Triangle region of Western Victoria, situated immediately north of Casterton and approximately 60km east of Mount Gambier. Registered on March 13, 2020, the project covers a substantial area of 3,619 hectares across the Glenelg and West Wimmera Shires. It is operated by The Trust Company (Australia) Limited as trustee for the Forestry Investment Trust (FIT), a major asset vehicle managed by global investment manager New Forests.

The project operates under the Carbon Credits (Carbon Farming Initiative-Plantation Forestry) Methodology Determination 2017. Its primary activities involve converting existing short-rotation plantations, typically harvested quickly for woodchip or pulp, into long-rotation plantations destined for sawlogs, as well as establishing new forest areas. By extending the rotation period, the project allows trees to grow larger and sequester more carbon over a longer timeframe, while also locking carbon away in long-lived wood building products after harvest.

The surrounding Green Triangle region is one of Australia's premier forestry zones, renowned for its conducive growing conditions. The area typically receives high reliable rainfall, averaging between 600mm and 700mm annually, and features deep sandy loam and clay soils that support rapid pine and blue gum growth. The regional land use is heavily dominated by commercial forestry and grazing, making it an ideal location for large-scale timber assets.

A notable aspect of this project is its scale and commercial integration; the Forestry Investment Trust is a large institutional asset comprising over 110,000 hectares of plantation estate. The project holds an Optional Delivery contract with the Clean Energy Regulator, giving the proponent the flexibility to sell Australian Carbon Credit Units (ACCUs) to the government or into the private market depending on price and demand.