Every year, our planet's forests absorb approximately 15.6 billion tons of carbon dioxide (CO2)To put that into perspective, this amount is equivalent to about three times the annual CO2 emissions of the United States, or about 40 % of global CO2 emissions.For this reason, forests play a key role in regulating global temperatures and achieving net zero emissions by 2050. This article, sponsored by Carbon Streaming Corporation and featured on Visual Capitalist, takes a closer look at the Earth's natural carbon sinks and breaks down their capacity to store carbon.

Carbon storage in ecosystems

Forests contain several carbon sinks, from living biomass such as roots and leaves to soil. In fact, soil contains almost twice as much carbon as the atmosphere, plant life, and animal life combined. Specific carbon storage values are as follows:

• Soil: 2,500 gigatonnes (Gt)
• Atmosphere: 800 GT
• Plant and animal life: 560 GT

Soil type, vegetation, and climate affect how carbon is stored. For example, cooler, wetter climates promote the most efficient storage of carbon in soil. Wetlands are significant carbon sinks. Although they cover only 5–8% of the Earth’s surface, they store between 20 to 30 % of all estimated soil organic carbon.

The average amount of stored carbon (in tonnes of carbon per hectare at a depth of one metre) in different ecosystems varies:

• Wetlands: 43 tons in vegetation, 643 tons in soil
• Boreal forests: 64 tons in vegetation, 344 tons in soil
• Tropical forests: 120 tons in vegetation, 123 tons in soil
• Temperate forests: 57 tons in vegetation, 96 tons in soil
• Tundra: 6 tons in vegetation, 127 tons in soil

These data highlight the complex role of different ecosystems in regulating the planet's carbon cycle.

Risks to natural carbon sinks

Despite the ability of ecosystems to store carbon, approximately 8.1 billion tons of CO2 leaks back into the atmosphere every year. Over the past 20 years, the world has lost an estimated 10 % of its forest cover, or 411 million hectares (Mha). The main causes are forestry (119 Mha), deforestation for commodities (103 Mha) and forest fires (89 Mha). In addition, research suggests that the Amazon rainforest is emitting more carbon than it is absorbing, due to record levels of fires, many of which are deliberately set to clear land for commodity production. With the increasing frequency of forest fires and deforestation, the world’s forests are at risk of releasing carbon. Protecting and conserving these biomes is therefore crucial for the Earth's carbon balance and climate change mitigation.

Carbon credits as a solution

Given the risk of losing critical carbon sinks, carbon credits play an important role in preserving these ecosystems. Carbon credits can help finance projects that reduce or remove greenhouse gas (GHG) emissions from the atmosphere. There are a number of different types of carbon projects in wetlands, grasslands, and various forests, including:

• Reforestation and afforestation
• Preventing deforestation
• Natural forest management
• Restoration of wetlands

For example, a carbon credit project can protect thousands of hectares of endangered tropical lowland peatland forests, such as the Rimba Raya Biodiversity Reserve in Indonesia. This project, on which Carbon Streaming has its carbon stream, prevents the conversion of forests to palm oil plantations, thereby reducing and preventing emissions over the 30-year project period. 130 million tons of GHGAnother example is the Cerrado Biome project in Brazil, where Carbon Streaming also has a flow agreement that protects and preserves native forests and grasslands from conversion to commercial agriculture. It is important to note that these projects would without the sale of carbon credits they were not economically viable.

Protecting stored carbon

Government policies, NGO-led initiatives, and funding for carbon offset projects are gaining momentum to prevent further loss of stored carbon. Together, they offer a key intervention needed to preserve the Earth's "carbon vaults." JRi

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