Dairy farmer Pete Benny is continuing to work to improve the water quality on his family farm in South Otago.

The a2 Milk Company is co-funding environmental projects of farmers who supply milk under contract to Mataura Valley Milk or Synlait for use in the manufacture of its products.

In its inaugural year, 15 farms were given grants of up to $35,000 from a2's New Zealand Farm Sustainability Fund.

Mr Benny, who milks 930 cows in Rongahere about 10km northwest of Clydevale, supplies to Mataura Valley Milk and was given more than $25,000 from the fund.

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His family has owned Camp Hill Farm for more than 100 years. It was converted to dairy from sheep and beef in 2007.

The funding would be used for riparian planting along Washpool Stream, a tributary of the Pomahaka River, which runs through the farm.

Plants had also been ordered to create shelter belts to act as "biodiversity corridors"to provide a habitat for native birds and bees and shelter for his cattle.

"It makes sense to tick both boxes."

The plant species on order for the project include cabbage tree, coprosma, lacebark and ribbonwood.

The Pomahaka Water Care Group had helped provide fencing and plants along a section of Washpool Stream on his farm and the a2 funding would continue the riparian project.

"It's all about improving water quality," Mr Berry said.

The a2 Milk Company chief executive David Bortolussi said the fund was established earlier this year and was a collaboration between a2 and Lincoln University. He said applications needed to align with the company's sustainability objectives of lowering greenhouse gas emissions, increasing on-farm carbon sequestration, improving farm system resilience and improving water quality and efficiency.