As far as I know, it's model grass that is applied to the model electro statically using an electrical charge. Noch (European) brand make a kit for this but it is super pricey at $150 or so. If you are skilled enough you can make your own electrostatic applicator with a 12v car battery... At your own risk of course. 
It's more advantageous for people needing to cover large amounts of their layouts with scenery; from what I gather this is a very small area? Any pics you could show would be helpful too.
It's more advantageous for people needing to cover large amounts of their layouts with scenery; from what I gather this is a very small area? Any pics you could show would be helpful too.