A cover crop scheme which aims to reduce nitrate leaching from agricultural land has been extended into the 2020-21 growing season.
Water companies Affinity Water and Cambridge Water have again teamed up to cover farmers' costs of growing cover crops.
Using the EnTrade platform and a reverse auction, they are targeting a wider area. The nitrogen saving target has also been doubled to 40 tonnes.
The platform allows farmers to say what price they are willing to be paid to grow an area of cover crop, allowing them to determine the price per hectare and the resulting nitrogen saving.
However, as this is an auction successful bids have to be competitively priced, ensuring the water companies pay the best price for the ecosystem service provided.
Shaun Dowman, agricultural advisor for Affinity Water, explained that cover crops provided a 'range of benefits' to farmers and the environment - such as reducing nitrate leaching and soil erosion.
However, the cost of seed and establishment of the crop can put farmers off: "This scheme allows the water companies to obtain the benefits they provide, but we share the financial cost.
"We know that in several Hertfordshire and Cambridgeshire groundwater catchments we are seeing increasing nitrate concentrations," Mr Dowman said.
"Cover crops can help mitigate this as well as providing other benefits to the soil and the environment. Nitrate concentrations are also rising in South Cambs."
Bids that include species that are more effective in reducing nitrate leaching and have earlier establishment dates will capture more nitrate, and are therefore likely to be more competitive.
The bidding system also includes a dial which will indicate to farmers where their bid sits in comparison to other bids.
By placing a bid on EnTrade, farmers will receive immediate feedback on the nitrate saving of their cropping choices and their standing in the auction.
Jennifer Thomas, catchment advisor at Cambridge Water, said: “If a bid becomes uncompetitive the farmer will receive an email informing them of this.
"It is a very fair bidding system as it allows farmers to adjust and edit their bid at any time before the auction closes.”
Crops that can be bid for include oil radish, turnip rape, barley, oats, mustard, forage rye and westerwolds.
The farmer can include other species of their choice up to a maximum of 25% of the eventual cover.
The price paid to farmers in last year’s scheme was on average £100 per hectare.