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REDD Reducing Emissions from Deforestation and Forest Degradation in Developing Countries. Alice Lipski Jolanta Besfamilnaja Lena Lundahl Linnéa Kallhed.
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REDDReducing Emissions from Deforestation and Forest Degradationin Developing Countries Alice Lipski JolantaBesfamilnaja Lena Lundahl Linnéa Kallhed
What type of market-based system is REDD?Which types of challenges and benefits do you identify in the use of this regulatory instrument?
Introduction • The development of REDD • Explanation of the system • Benefits • Challenges • Discussion
What is REDD? • Reducing Emissions from Deforestation and forest Degradation • Deforestation: • The permanent removal of trees and withdrawal of land from forestuse • Forest degradation: • Negative changes in the forest area that limit itsproductioncapacity
What is REDD? (cont’d) • Concept: Rewards for keeping forests instead of cutting them down • Paying for actions that prevent forest loss or degradation • BUT: Not literally for keeping forests, but for reducing emissions
Whywas it developed? • REDD 20% of the annual greenhouse gas emissions • This is more than the emissions from the entire global transport sector • How is that possible? • Forests are damaged • The trees release all the carbon stored into the atmosphere May lead to severe climate change
The Development of REDD • 1997: REDD excluded • formation of the Coalition for Rainforest Nations • 2005: Proposal by the CRN • 2007: Proposal acknowledged in Bali • 2008: Negotiators agreed that REDD activities should be broadened (REDD+) • 2010 (COP 16): REDD formed part of the Cancun Agreements • 2011 (COP 17): Decision on funding
Art 70 AWG/LCA: “Encourages developing country Parties to contribute to mitigation actions in the forest sector by undertaking the following activities, as deemed appropriate by each Party and in accordance with their respective capabilities and national circumstances: • reduce emissions from deforestation and • reduce emissions from forest degradation • conservation of forest carbon stocks • sustainable management of forests • enhancement of forest carbon stocks” REDD REDD+
Objectives • Constraining the impacts of climate change by reducing greenhouse gases • Offering incentives for developing countries to reduce emissions. • Creating a financial value for the carbon stored in forests. • Conservation, sustainable management of forests and enhancement of forest carbon stocks (REDD+)
Howdoes REDD work? • Developedcountriespaydevelopingcountries • Fundingrewardsgoodforest management • Carbontrading or trust funds • Forests to be madeworthmorestandingthancutdown
Benefits • The protection of ecological services • An increase in the involvementoflocal communities • A possibility to open the door to further land use • The establishment of statehood
Challenges • Funding • Measuring and monitoring • Transaction costs • Land tenure • Accountability
1. Funding • How should REDD+ be financed? • The success of REDD+ depends on governance • Decision in Durban, COP 17 • Two main mechanisms: • Government funds • Market-based system
GovernmentFunding • Governments committing by depositing money in a fund. • Two important funds on international level • Forest Carbon Partnership Facility (FCPF) • UN-REDD • More money is needed!
Market-Based System • Provide sufficient incentives and generate enough resources • Risk of increased corruption? • Prices might drop • Structure of the system?
COP 17 (2011) – Durban • How to overcome a funding gap in public resources: • Public and private sources • Market-based approaches • Non market-based approaches • “One-fits-all”?
2. Measuring and Monitoring • Placing a value on the carbon-bearing potential • Accurateestimationsneeded • Historical data to establishbaselines
3. Transaction Costs • Transaction costsinstead of actual prevention • Up to 55% of REDD funding? • Support for monitoring systems • Institutionaldevelopment • Technicalassistance and training • Educational programs
4. Land Tenure • Recognition of the land and resource rights of indigenouspeoples and traditionalcommunities • Alternative and sustainable livelihoods for forest-dependent peoples
5. Accountability • Whatif the forests still get destroyed?
OtherAspects • No definitions • Tax incentives for land clearing • More sustainable infrastructure development • Strengthening of weak governments • Leakage
Discussion • Should REDD be financed through government funds or should it be market-based? Or a combination of the two? • How will it be organized? Who will get the money? And how much? • Governance? “One-fits-all”? • Sanctions?