Forests play a significant role in climate change mitigation through carbon sequestration from the atmosphere and retaining carbon in above and belowground biomass of trees, litter biomass and soil. However, there is little empirical data on the potential carbon stock of Ethiopia’s various forests. Therefore, this study was carried out to estimate the carbon stock potential of Shatto Forest along altitudinal gradients and its contribution to climate change mitigation in Masha district, southwest Ethiopia. Using a systematic sampling design, a total of 30 plots measuring 20 x 20 m were established at 200 m intervals along seven transect lines in order to inventory the woody species. Within the main plot, a 1 m x 1 m sub-plot was used to collect soil samples and litter biomass. The biomass carbon stock was estimated using allometric equations. Results revealed that the mean total carbon stock of the study forest was 714.4 ton/ha, of which 337.38ton/ha, 67.48 ton/ha, 0.79 ton/ha and 308.75 ton/ha were stored in the aboveground carbon, belowground carbon, leaf litter carbon and soil organic carbon, respectively. The mean total CO2 equivalent of the study forest was also 2621.85 ton/ha. Along the altitudinal gradients of the study forest, the total carbon stocks contributed by the forest varied significantly at (p < 0.05), with the largest stock found at lower elevation and the lowest stock found at higher elevation. Based on the study findings, it is concluded that the forest under investigation possessed a substantial carbon stock capacity, allowing it to sequester a significant amount of CO2 and mitigate climate change while offering other ecosystem services. Thus, in order to optimize the forest’s capacity to store carbon and obtain the financial benefits of CO2 mitigation, reduced emission from deforestation and degradation (REDD+) program in the area should be integrated with carbon sequestration.
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