Project overview
General interest in natural capital as an asset is growing. Agricultural natural capital sits at a critical intersection, with the potential to deliver ecological outcomes alongside commercial returns. While demand for investment in biodiversity, carbon, and other natural assets is increasing, there remains limited shared understanding of how these opportunities can be practically designed, governed, and scaled within Australian agricultural landscapes.
This project explored the barriers and opportunities for agricultural natural capital in the form of Natural Capital Production Landscapes (NCPLs) to function as a viable asset class. Its focus was on understanding how growers, Aboriginal corporations, investors, and regional organisations can be better aligned to enable investable, place-based natural capital outcomes that support both environmental repair and farm resilience.
Impact and results
Through a combination of systematic review, surveys, and extensive engagement with both growers and investors, the project examined existing barriers and opportunities to the creation of NCPL asset classes. Additionally, ten producer-facing workshops were organised to understand the barriers and opportunities, including a landmark Aboriginal Cultural Natural Capital workshop, which highlighted the role of Aboriginal stewardship and governance within natural capital systems.
The project revealed strong investor appetite for tangible, place-based projects, and emphasised the importance of co-designed valuation tools, governance arrangements, and market mechanisms to support credible investment pathways. Collaboration is central to impact with this project catalysing new partnerships across grower groups, Natural Resource Management (NRM) organisations, Aboriginal organisations, financial and research institutions.
Looking ahead
The project identified strong demand to expand pilot NCPL sites across south-west Western Australia, particularly in degraded and salt-affected landscapes. By openly sharing tools, reports, and models the project offers a scalable pathway for natural capital investment that delivers environmental uplift, cultural value, and long-term agricultural resilience.
This project is supported by the South-West WA Drought Resilience Adoption and Innovation Hub, through funding from the Australian Government’s Future Drought Fund.
FAQs
What is natural capital?
Natural capital refers to the natural resources — like plants, animals, air, water, soil, and minerals — that provide valuable benefits to people. These benefits, often called ecosystem services, include things like clean water, fertile soil, and biodiversity.
What is natural capital accounting?
Natural capital accounting is a method for measuring and reporting on natural resources—their size, quality, and the benefits they provide. This framework combines economic and environmental data to track changes in ecosystems and understand their impact on people’s well-being and the economy.
What is a natural capital production landscape?
Natural capital production landscape refers to a large area (e.g. regional scale) that integrates primary production (such as farming, forestry, and fisheries) with the sustainable management of nature.
What are natural asset companies?
Natural Asset Companies are companies that are based on natural capital and use natural capital accounting to define and describe their works/achievements. (For a more detailed definition, please click here).
What is the key benefit of aligning natural capital with agriculture?
Combining natural capital with agricultural practices can result in diversified returns and reduced risks, representing a new kind of equity.
What drives success in natural capital projects?
Collaboration is key to achieving the best outcomes.
Natural Capital Production Landscapes depend on buy in and support from communities, growers, and investors. Investors want regional/catchment scale, project based, tangible outcomes which requires collaboration across communities.
For a case study on a community-led project involving natural capital, check out the Hay Strategy Paper.
What are the key findings of this project to date?
Our research highlights the potential of Natural Asset Companies to create a viable investment framework in production landscapes by integrating natural capital into agricultural systems. Natural Capital Production Landscapes need to appeal to communities, growers, and investors. This can be achieved by appropriate regulatory and incentive mechanisms to facilitate, develop, and upscale Natural Asset Companies.
News
- Article, Transformation UWA Natural Capital
- Article, Transformation ECU, Transformation Farmanco, Transformation Murdoch, Transformation UWA dams, Transformation UWA Natural Capital, Transformation Whole
- Article, Transformation UWA Natural Capital
- Article, Regional Nodes, Transformation UWA Natural Capital
- Article, Regional Nodes, Transformation UWA Natural Capital
- Media Release, Transformation ECU, Transformation Farmanco, Transformation Murdoch, Transformation UWA dams, Transformation UWA Natural Capital, Transformation Whole
Resources
- Webinar
- Webinar
External resources
- Media release: Helping growers see natural capital as an asset class (UWA)
- Case study: Using natural capital assets to create sustainable income for rangeland regeneration
- Video: Presentation on Natural Capiral Production Landscapes for ASHEEP&BEEF
- Video: Presentation on Natural Capiral Production Landscapes for South-West NRM
Collaborators
Project Team
Tom Picton-Warlow
Mobile Global
Dr Ram Pandit
UWA School of Agriculture and Environment
Jon Sarmiento
UWA School of Agriculture and Environment
Fiona Dempster
UWA School of Agriculture and Environment
Lizzy Lowe
Curtin University Conservation and Biodiversity Research Centre
Lucy Tomassini
SW WA Hub
Contact
Thomas Picton-Warlow
Managing Director, MobileGlobal Pty Ltd
tom@picton-warlow.com
0407 559 818
Lucy Tomassini
Project Manager, South-West WA Drought Resilience Adoption and Innovation Hub
lucy.tomassini@gga.org.au