Download (PDF, 6.71MB) - TEEB

REWARDING BENEFITS THROUGH PAYMENTS AND MARKETS
Meridian Institute (2009) suggests three phases entailing:
• voluntary funding for national REDD strategy
development and capacity building;
• implementation of policies and measures proposed
in national REDD strategies, supported by an
internationally-binding financial instrument funded
by e.g. auctioning AAUs; and
• payment for performance on the basis of quantified
forest emission reductions measured against
agreed reference levels. This could be financed on
a large scale by the sale of REDD units within global
carbon markets or by a non-market mechanism.
Pending agreement on a REDD-Plus mechanism, a growing
number of international contributions and funds
have already been set up to help address deforestation.
Sponsors include the World Bank, Norway, Japan, Germany,
the United Kingdom, Australia, the European
Commission, Brazil and Guyana (see Box 5.12).
MAXIMISING BIODIVERSITY CO-BENEFITS
OF REDD AT NATIONAL AND LOCAL LEVEL
As noted, biodiversity co-benefits can be maximised if
REDD activities are implemented in areas of high carbon
and high biodiversity benefits. Identifying suitable areas
requires tools to assess where these benefits occur geographically
and are spatially correlated. By mapping
where these benefits overlap, governments and/or
private-sector investors can capture two environmental
Box 5.12: Funding initiatives to address deforestation
National donor activities
• the Norway Forest Fund, which has committed US$ 2.8 billion over five years from 2008;
• the Japanese Government’s Cool Earth Partnership designed to support adaptation to climate
change and access to clean energy, which includes forest measures; US$ 2 billion per year from
a US$ 10 billion fund is allocated for adaptation measures;
• the Australian Deforestation Fund, aimed at reducing deforestation in the Southeast Asia region,
with funds of AUS$ 200 million; and
• the German commitment of 500 million EUR/year for biodiversity.
Source: adapted from The Prince’s Rainforests Project, http://www.rainforestsos.org/ and
http://www.mofa.go.jp/policy/economy/wef/2008/mechanism.html
Beneficiaries
• the Congo Basin Fund, supported by Norway and the UK, with funding of US$ 195 million;
• Brazil’s Fund for the protection of the Amazon rainforest has received a commitment for
an initial US$ 130 million from Norway (drawn from the Norwegian Forest Fund).
Source: adapted from The Prince’s Rainforests Project, http://www.rainforestsos.org/
Emergency funding
The Prince's Rainforests Project has proposed an emergency global fund to protect rainforests, financed by
a public-private partnership in developed countries which could include issuing Rainforest Bonds. The aim
is to raise around £ 10 billion per year. An international working group was formed in April 2009 with G20
support to study a range of proposals.
Source: http://www.rainforestsos.org/pages/emergency-package/
Reforestation registered under the UNFCCC Clean Development Mechanism (CDM)
Eight forestry projects have been registered under the CDM. The first African project registered is the Nile
Basin Reforestation Project, undertaken by Uganda’s National Forestry Authority in association with local
community organisations. The project in the Rwoho Central Forest Reserve will generate up to 700 local
jobs and receive revenues from the World Bank BioCarbon Fund for planting pine and mixed native tree species
on degraded grasslands. It is designed to deliver co-benefits for livelihoods, greater climate resilience
and biodiversity (through reduced pressure on the country’s remaining native forests).
Source: World Bank Press Release No:2010/093/AFR.
http://beta.worldbank.org/climatechange/news/uganda-registers-first-forestry-project-africa-reduce-global-warming-emissions
TEEB FOR NATIONAL AND INTERNATIONAL POLICY MAKERS - CHAPTER 5: PAGE 27