Otway Silva 2026_1 Carbon Project

Otway Silva 2026_1 Carbon Project is a plantation forestry project located in the Corangamite region of Victoria, approximately 10km north of the coastal town of Port Campbell and 50km east of the major regional centre of Warrnambool. Registered in October 2025, the project covers approximately 73 hectares of land in an area traditionally renowned for intensive dairy farming and commercial forestry.

The project operates under the Carbon Credits (Carbon Farming Initiative, Plantation Forestry) Methodology Determination 2022. Specifically, it involves the establishment of a new plantation forest (Schedule 1), which allows for the commercial harvesting of wood products. Under this methodology, carbon credits are generated by sequestering carbon in trees as they grow. The project accounts for the long-term average carbon stock, factoring in the emissions released during harvest and the carbon stored in wood products and roots over time.

The project site is situated in the Otway Ranges pricing zone, a region characterized by high reliable rainfall and fertile volcanic soils (often basalt-derived clay loams). These environmental conditions are highly conducive to rapid tree growth, making it a premier district for forestry assets such as Tasmanian Blue Gum (Eucalyptus globulus).

An interesting aspect of this project is its corporate structure. The proponent, Otway Silva Pty Limited, is a subsidiary of Munich Re, one of the world’s largest reinsurance companies, indicating significant institutional investment in Australian natural capital. The project is managed by Midway Plantations Pty Ltd, a leading Australian forestry manager and woodfibre processor, ensuring professional silvicultural operations.