South Africa leads in grassland carbon credits

January 27, 2026

A groundbreaking carbon credit project in Cape Town, South Africa, is redefining how rural communities participate in global climate markets. By restoring degraded grasslands and empowering small-scale farmers, the Grassland Restoration and Stewardship in South Africa (GRASS) project has established a new benchmark for high-integrity carbon credits.

Developed by carbon solutions company TASC, the initiative has issued 266,255 verified carbon units under Verra’s revised VM0042 methodology. This makes it the first grassland restoration project worldwide to earn the Climate, Community and Biodiversity (CCB) label under the updated standard. The credits were generated from rehabilitated rangelands spanning more than 95,000 hectares and involving thousands of livestock producers.

Strengthening trust in voluntary carbon markets

The issuance comes at a critical time for voluntary carbon markets, which face increasing scrutiny over transparency, social equity, and long-term environmental value. Across Africa, land-based carbon projects are growing rapidly, yet many lack strong verification systems. South Africa’s grassland initiative offers a rare, data-driven example of how carbon finance can deliver both climate mitigation and community development.

By integrating rural livelihoods into climate solutions, the project challenges the perception that carbon credits serve only financial interests. Instead, it demonstrates how environmental restoration can support inclusive economic growth.

Revitalising South Africa’s degraded rangelands

Grasslands form the backbone of South Africa’s livestock industry, covering nearly 34 million hectares. However, decades of overgrazing, uncontrolled fires, and limited institutional support have left roughly one-third of these landscapes severely degraded. Climate change has intensified these pressures, increasing drought risks and reducing agricultural productivity.

Communal farmers, who collectively manage about half of the nation’s livestock, remain underrepresented in formal markets. Despite their resources, they contribute only about 9 percent of total meat production due to restricted access to finance, veterinary care, training, and stable supply chains.

Regenerative land management at scale

The GRASS project was designed to address these challenges directly. Rather than bypassing existing systems, it works within communal land structures, promoting collaborative decision-making and sustainable grazing practices.

The initiative focuses on:

• Restoring soil carbon and vegetation

• Implementing regenerative grazing systems

• Preventing land degradation

• Creating reliable income streams for farmers

Starting on communal lands, the project later expanded to commercial farms. It now covers nearly 950,000 hectares, positioning it among the world’s largest grassland restoration efforts.

Economic and employment benefits for rural communities

During the first monitoring phase, approximately 4,000 communal farmers participated in land management activities that generated the initial carbon credits. Nearly 300 local residents were employed in roles such as ecological monitoring, fire prevention, and grazing coordination.

Carbon revenue is distributed through a community trust model, ensuring financial benefits remain within participating villages. This structure reduces the risk of profits being absorbed by intermediaries and reinforces local ownership.

To strengthen market access, the project partnered with Meat Naturally Africa. Farmers received training in livestock management, business operations, and environmental stewardship while gaining access to mobile auctions and processing facilities.

These partnerships have generated roughly ZAR56.4 million (about $3.35 million) in additional income from livestock and wool sales. For many households, this diversified revenue has improved financial stability amid changing climate conditions.

Building skills and long-term resilience

Employment created through the project now totals approximately 900 jobs, with nearly one-third held by women. Positions include ecological rangers, data technicians, and land-use coordinators, helping embed technical expertise within rural communities.

Training programs in fire control and invasive species management have also reduced environmental risks that extend beyond carbon accounting, strengthening long-term landscape resilience.

High-integrity certification enhances market value

One of the project’s most distinctive features is its certification framework. Verra’s VM0042 methodology requires precise measurement of soil carbon and strict safeguards against emissions displacement. Combined with the CCB label, the certification confirms that climate benefits are matched by social and biodiversity gains.

As corporate buyers become more selective, this dual verification system addresses major concerns surrounding low-quality or overstated carbon credits. It positions South Africa’s grassland project as a premium example of nature-based climate solutions.

Scaling climate impact through community stewardship

TASC aims to expand the GRASS project to two million hectares by 2030. At full scale, it is expected to sequester or prevent nearly two million tonnes of carbon dioxide equivalent annually. Over a century-long commitment period, the initiative targets 14 million tonnes of mitigation within its first three decades.

While modest compared to national emissions, these figures illustrate how sustained land restoration can deliver significant cumulative climate benefits.

A model for Africa’s carbon economy

Many African nations are exploring carbon markets as a source of climate finance, yet challenges related to land rights, benefit-sharing, and governance continue to slow progress. The South African grasslands initiative demonstrates that community-managed ecosystems can meet rigorous international standards while generating measurable local returns.

As scrutiny of carbon markets grows, projects like GRASS may influence how future African climate investments are structured. By prioritising transparency, community participation, and verified outcomes, the model shifts the focus from promises to proven results on the ground.