diff --git a/src/ac/ed/lurg/landuse/ConversionCostReader.java b/src/ac/ed/lurg/landuse/ConversionCostReader.java
index 1c3ff8685bea351c3fa266d93d46eba0b21b671a..3e7c8ee34b99bc5ebc00c496068cd817de61980e 100644
--- a/src/ac/ed/lurg/landuse/ConversionCostReader.java
+++ b/src/ac/ed/lurg/landuse/ConversionCostReader.java
@@ -65,6 +65,7 @@ public class ConversionCostReader {
 				if (fromLc.equals(toLc)) { // skip
 					continue;
 				}
+				double adj = ModelConfig.IS_FORESTRY_ON ? 0 : 0.07; // adjust to account for vegetation clearance cost
 				switch(fromLc) {
 				case CROPLAND:
 					conversionCosts.put(new LccKey(fromLc, toLc), ModelConfig.CROPLAND_CONVERSION_COST);
@@ -73,10 +74,10 @@ public class ConversionCostReader {
 					conversionCosts.put(new LccKey(fromLc, toLc), ModelConfig.PASTURE_CONVERSION_COST);
 					break;
 				case TIMBER_FOREST, CARBON_FOREST:
-					conversionCosts.put(new LccKey(fromLc, toLc), ModelConfig.FOREST_CONVERSION_COST);
+					conversionCosts.put(new LccKey(fromLc, toLc), ModelConfig.FOREST_CONVERSION_COST + adj);
 					break;
-					case NATURAL:
-					conversionCosts.put(new LccKey(fromLc, toLc), ModelConfig.NATURAL_CONVERSION_COST);
+				case NATURAL:
+					conversionCosts.put(new LccKey(fromLc, toLc), ModelConfig.NATURAL_CONVERSION_COST + adj);
 					break;
 				default:
 					conversionCosts.put(new LccKey(fromLc, toLc), 0.0);