Rugby Station is located two km north of Rugby Village and 150 km north of Canberra in the Southern Tablelands region of New South Wales. The region typically experiences hot summers and mild to cold winters, with no distinct wet or dry season. Five Mile Creek runs along the south boundary of the property, eventually reaching the Lachlan River to the west.

The soils have either formed on granite or sedimentary geologies or on materials derived from these. Red texture-contrast (abrupt increase in clay), acidic soils (Kurosols) have formed in situ higher in the landscape, and yellow acidic (Kurosols), and neutral  versions of these soils (Chromosols) occur on the mid and lower slopes. Similar soils occur in the sedimentary landscape, with the inclusion of sandy, texture-contrast, sodic soils (Sodosols) and red and yellow sandy earths characterised by a gradual increase in clay down the soil profile (Kandosols) lower in the landscape. Shallow, stony soils on the crests and ridges and deep, quartz-rich sands in the drainage lines (Tenosols or Rudosols) occur in both the granite and sedimentary landscapes. 

Vegetation is mostly dry sclerophyll forest of eucalypt species, including yellow box (Eucalyptus melliodora), white box (E. albens), Blakely’s red gum (E. blakelyi), with some red box (E. polyanthemos) and red stringybark (E. macrorhyncha). Kurrajongs (Brachychiton populneus) are also present. Due to extensive historic clearing for agriculture, only scattered trees remain in many areas and the once common species of spear and kangaroo grasses (Austrostipa spp. and Themeda triandra) are now wholly or partly replaced by wallaby grass (Rytidosperma spp.) and microlaena (Microlaena stipoides). The property now has 50% native and 50% introduced pasture species.

Image 2. Shallow, stony soils are found on the tops of ridges and hills in this farming region. Source: the Kelly family. 

Perennial pastures, topsoil preservation and carbon cycling

The Kellys have seen a significant increase in topsoil through their approach to establishing and maintaining perennial pastures in areas that were previously degraded. Diversifying pasture and prioritising livestock health has allowed the Kellys to be ‘good soil managers.’ Belinda believes diversification has supported the ‘carbon sequestration cycle that enables the microorganisms to do the nutrient release, which enables the carbon capture to happen.’ 

High productivity and animal health

The Kellys maintain best practice animal health standards, which has observable benefits including high-growth rates, high fertility, and high-quality/quantity wool production. Their ewes on average cut 6.5 kg of wool, with a weaning percentage of 125%.

Biodiversity and co-benefits of revegetation

Biodiversity corridors are now an integral part of the management of the property, offering habitat for native flora and fauna. Belinda recognises that supporting biodiversity and protecting trees on the farm allows them to mature and offer a range of benefits that will contribute to farm productivity over the long term. Trees – whether shelterbelts or individual paddock trees – serve as vital tools for livestock protection, erosion mitigation, and wind-speed reduction across the pastures. Their significance extends beyond these functional aspects, as native trees play a crucial role in supporting diverse wildlife populations and aiding natural pest control on the farm.

The family have been fortunate to obtain several government grants to support their efforts in planting tree lanes. They saw early on the value ‘that we could get for our business and for the long-term sustainability of the landscape through putting in corridors.’ 

‘Biodiversity corridors create that opportunity for natural systems to function fully with the protection of not being eaten by stock, and allow the survival of really beneficial fertilising insects and things like that.’ Belinda Kelly

Water retention and clear water flows 

According to Belinda, the flow and volume of water in the landscape has stabilised over the years, which she mainly attributes to increased levels of groundcover and perennial pastures, as well as the ‘water holding capacity of the carbon.’ Belinda has observed how water is ‘now seeping down and slowly seeping out of the landscape over time and creating wet banks and wet environments all the way down and staying within the soil profile.’ 

Image 5. A clear flowing stream at Rugby Station. Source: the Kelly family.

⁴This section presents the benefits of practice change from the farmers’ perspective. It is based on the farmers’ observations, and in some instances their own interpretation of data and test results. The project did not include any new on-ground testing or analysis of the farmers’ data by Soils for Life.

Michael and Belinda Kelly are still busy on the farm, however they intend to pass on the reins within the next decade. They want to ensure the business remains profitable and also that there is a fair and balanced succession plan in place. Planning for this needs to take into account the different career trajectories and unique interests of their two children. With their daughter Georgie now working on the property with her husband and their son Alex focused on a career in molecular biology, the question of equity will continue to be important to clarify. Belinda suggests this is because ‘from a farm business point of view, when you are transitioning from one generation to the other, you have to put yourself into a position where you are supporting both your children.’ 

After 35 years of farming, Belinda has become a passionate advocate for farmers and she wants to see better outcomes for farming communities. She would like more Australians to recognise that farmers can play a significant role in addressing many of today’s global challenges, most obviously biodiversity loss and climate change. These days the Kellys are very concerned by the impacts of climate change on their farm and on the agriculture sector generally. They consider climate change to be one of the most significant challenges they face. Belinda notes that in the last five years they have seen a ‘maximum summer rainfall instead of a winter rainfall, and we are getting much hotter periods during the summer and then extreme storm activity and significant flood activity.’ 

As Belinda sees it, the financial security of farming families is key to incentivising and enabling farming communities to ‘be green,’ and to enable climate mitigation and adaptation. 

‘You can’t be green if you are in the red, and if you can’t feed your own family. You can’t feed your own land and you can’t return the nutrients that it requires to produce the grass that then turns around and lays down the carbon and creates the environment in which we can contribute as soil managers to a better outcome for the world.’ Belinda Kelly

The Kellys are interested in how to support better communication of the good work that farmers are doing. They feel that wider Australian society should value the contribution of farming communities more. They also don’t see government funding for farmers as a social burden because the wider benefits for the country are clear – whether they are improving the natural environment, building biodiversity or improving livestock management practices. As Belinda says, ‘I think that’s actually a contributing factor to a bigger picture of where we can really contribute as a society, and it gives the sense that everybody is helping towards a better outcome.’