Carbon Credit Returns through MyNativeForest Subscriptions

Here is all you need to know about the carbon credit returns from funding native trees through MyNativeForest. This blog breaks down how it works for 1 tree and then how it works for our most common tree subscription plan.

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From 1 tree, you can extrapolate out your potential returns by multiplying the numbers, but it can get tricky when cumulating over the years, which is where the power lies, just like cumulative interest 🙂

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For context, trees sequester carbon at a varying rate, when they are younger, they sequester carbon slowly, this rate then picks up over time as they grow, until it eventually slows down as the trees become mature.

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When you fund native trees, you earn a carbon credit return based on your tree's growth, this is based on the carbon look-up tables from MPI that form the basis of the Emissions Trading Scheme (ETS).

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Below is an example of how much carbon you would earn from 1 tree over 50 years.

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Example 1

Trees funded: 1

Months subscribed: 1

As you can see on the graph, the tree sequesters carbon quickly at the beginning of its life and slows down as it matures. After 50 years, your total potential earning is 0.05174 tonnes of carbon (51.744 Co2 kg).

Now let’s build this out so it is relevant to our subscription plans. Our most popular is the Forest plan, which lets you fund 10 trees a month. Below I have outlined the carbon return if you were to stay on this plan for 1 year and then stop funding trees.

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Example 2

Trees funded: 120

Months subscribed: 12

Naturally, with more trees funded, you stand to earn more carbon credits, with your first full unit being available to offset or sell in year 12. After 50 years, the 120 trees that you funded would have generated 6.2 carbon credits for you.

The last example explores what would happen if you invested in our forest plan for 5 years. Over this time, your carbon returns would cumulate, so when you are earning year 1 carbon returns from trees funded this year, you would also be earning years 2, 3, 4 and 5’s carbon credits from trees funded in the past.

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Example 3

Trees funded: 600

Months subscribed: 60

As you can see, by year 50 you would have earned a significantly larger portion of carbon credits due to the cumulative nature of your continued investment. You also start to earn full credits much earlier with your first carbon credit being realised in year 8.

This is because you have 5 years of returns stacking on top of each other.

Looking to make an even bigger positive impact?

If you are a business, philanthropic fund, or individual and would like to create a custom plan, we can provide you with a carbon analysis based on how many trees you are wanting to fund and your anticipated time frame.

You can also use our carbon return calculator to compare different scenarios.