"REDD" - How will tropical forest carbon projects be brought to market post Kyoto?
Submitted by Grant Boyle
The forestry sector, mainly through deforestation in developing countries, accounts for about 17.5% of global greenhouse emissions. 80% of these emissions are caused by only ten countries. 33% of the emissions come from Indonesia and 18% from Brazil alone.
Theoretically reducing emissions from tropical deforestation offers a cost effective climate change mitigation measure. According to the UK-commissioned Eliasch-review, the cost of reaching the 2 degrees target can be reduced by as much as 50% if forests are included in the climate regime currently under discussion at Copenhagen.
At the end of last week's negotiations in Copenhagen, the Chair of the Working Group on Long-Term Cooperative Action highlighted progress in negotiations over "REDD" ( Reducing Emissions from Deforestation and Degradation).
Section 26 of the draft text says developing countries may, as part of their agreed "nationally appropriate mitigation actions" undertake mitigation in the forest sector by reducing emissions from deforestation, reducing emissions from forest degradation, conservation of forest carbon stocks, sustainable management of forest and enhancement of forest carbon stocks.
As discussed in an earlier posting the draft text shows developed countries may agree to help finance these activities, either though public or private mechanisms.
Norway has started developing a fundof this sort. Current US cap and trade bills include provisions that would allow US emitters to comply with domestic targets using international forestry credits - possibly of the type under discussion in current REDD negotiations.
The United Nations Environment Program announced a report: Bringing Forest Carbon Projects to the Market over the weekend that looks helpful in figuring out how this may work....Certainly REDD activities, if they are to be successful, will require more than financing. Measuring, monitoring, land tenure, co-benefits, and institution-building are other concerns under discussion.