Is the Code of Practice standard pivotal to scaling the biochar market?

1 August 2025

Absolutely, but it is only part of the story.

Jennifer Lauber Patterson

Managing Director, Frontier Impact Group, FutureEnergy Australia

Chair, Innovation Working Group, ANZBIG

Biochar has long been recognised as a promising solution for both climate mitigation and soil health, championed quietly for decades by scientists, farmers, and early adopters. At Frontier Impact Group, we began working with biochar nearly eight years ago through our renewable fuel projects, where biochar first emerged as a valuable by-product.

For some time, biochar was seen as having significant potential for climate resilience but struggled to gain widespread traction. Thanks to the dedication and hard work of many, and with the strong foundations laid by the Australian and New Zealand Biochar Industry Group (ANZBIG), the sector is now positioned to thrive.

This is partly because of progress on the biochar industry standards, deep research and development in product results and impact as well as the ability to recognise a carbon method with regards to biochar, that can significantly benefit soil heath and build soil carbon.

In 2009, then Opposition Leader Malcolm Turnbull called biochar a “win-win-win", for jobs, the environment, and agriculture, suggesting it could offset up to 100 million tonnes of CO₂ annually. He was right about the promise, but the reality was more complex. At the time, a lack of standards meant that results were inconsistent. Biochar varies widely depending on feedstock and process; applying the wrong type to the wrong use often led to underwhelming or even negative outcomes. This damaged market confidence and created hesitation that lingered for years.

Frontier Impact Group got involved in ANZBIG in 2019, when we initiated a series of State Government Round Tables, that were held across Australia’s eastern states to explore what was holding the sector back. These brought together policymakers, researchers, and industry leaders. One critical insight emerged: without a transparent and reliable standard for biochar quality and application, it would be impossible to scale with credibility. The roundtables helped shift the conversation, highlighting the need to show what biochar can achieve when used correctly and fit-for-purpose.

A Californian government advisor put it succinctly:

“The absence of a standardised approach to biochar quality is one of the most critical barriers to market growth.”

Thankfully, that barrier is now being addressed. The Australia New Zealand Biochar Industry Group (ANZBIG) has developed a robust Code of Practice, and in partnership with Standards Australia, has laid the groundwork for independent oversight. These developments mark a turning point, providing the consistency and confidence needed for scale.

Today, Australia produces around 50,000 tonnes of biochar annually, but the ANZBIG Roadmap outlines a path to 6.6 million tonnes by 2030. With long-term carbon stability, potentially lasting centuries, biochar is emerging as a powerful climate tool. But its applications extend well beyond soil: water purification, livestock feed, waste transformation, building materials, and even the production of graphene, a breakthrough material in energy storage and semiconductors.

 

As Chair of ANZBIG’s Innovation Working Group, I am fortunate to work with a passionate community focused on accelerating real-world demonstrations and supporting next-generation applications of biochar. Across the country, we are seeing exciting new developments that pair innovation with environmental benefit, but there is much more to do.

Critically, for biochar to achieve its full climate contribution, it must be supported by a credible, fit-for-purpose carbon credit methodology in the ACCU scheme in Australia. This will be essential not only to validate sequestration outcomes but also to attract investment and support the financial viability of projects.

“Great change rarely comes from one voice, but from many working together with shared intent.”

Biochar will only succeed at scale through deep collaboration, between researchers, governments, landholders, project developers, and industry champions. The conditions are finally right, but it is up to all of us to take the next step. That means demonstrating biochar’s impact, ensuring its quality, and linking its application to meaningful carbon outcomes.

Next Step: Carbon Markets and Biochar

As the processes for standardization and verification continue to evolve, and as the production of biochar scales up, there is a significant opportunity to integrate biochar into carbon markets as a solution for building soil carbon. In an ideal scenario, biochar could be incorporated into carbon trading systems, enabling companies to purchase carbon credits based on the amount of CO₂ sequestered in the soil by biochar.

Organizations like ANZBIG  and other experts are leading the charge in the development of these market mechanisms but are at early stages. Their efforts are crucial in driving the liquidity of carbon markets, which will make it easier for participants to trade carbon credits derived from biochar projects.

For farmers, the ability to earn incentives through carbon credits offers significant potential. By incorporating biochar into their practices, farmers can restore land, improve soil productivity, reduce input costs, and lower their carbon footprint. This creates a win-win situation: farmers benefit from both enhanced agricultural productivity and the additional revenue stream from carbon credits.

For Australia as a whole, this development presents a unique opportunity to restore our land while contributing to our national emissions reduction targets. Biochar’s role in carbon markets could drive long-term benefits for the agricultural sector, improve sustainability, and support broader efforts to combat climate change.

Members of ANZBIG Executive and Advisory Boards at the 2024 national conference — working together to advance standards, innovation, and collaboration across the biochar sector.

If you are passionate about climate solutions or circular economy innovation, I encourage you to connect with the growing biochar community. Whether through ANZBIG membership, research partnerships, or on-ground projects, now is the time to get involved. 

If you have any questions, I am happy to help.