FORESTS AND THE KYOTO PROTOCOL

Darren C GoetzeSenior Policy AdvisorInternational Affairs Div., Climate Change Bureau

Carbon Sinks in the CDM: Policy, Opportunities & Challenges

Overview

Environmental potential of sinks projectCurrent status of sinks in the CDMTowards a CDM sinks strategyCase studiesConclusion

Potential Sinks Projects

Direct reduction of emissions reducing deforestation by protecting forests under

threat of conversion to agriculture or pasture, reducing forest degradation by protecting natural

forests from the impacts of human activities, substituting biomass energy sources for fossil fuels, slowing/reversing degradation of agricultural soils.

Indirect reduction of emissions via sequestration restoring natural forests in deforested/degraded areas, expanding agroforests and plantations.

Co-benefits of Sinks Projects

Biodiversity Habitat preservation/expansion

Desertification Soil moisture conservation Soil stabilization/erosion prevention

Socio-economic Sustainable use of non-wood products Economic development

Bonn Agreement

Afforestation and reforestation projects eligible under the CDM

Credits limited to 1% of Annex I Party’s base year emissions per year Equivalent to ca. 50 Mt C/yr (total Annex

I)

Marrakech Accord

Relevant elements of the deal include:

Prompt start of the CDM

Modalities and procedures

Simplified modalities and procedures for some small-scale projects by CoP 8 “Other project activities that both reduce

anthropogenic emissions by sources and that directly emit less than 15 kt CO2/ yr”

Missing Pieces

Still required for operationalizing CDM afforestation and reforestation projects:

Definitions and modalities Workshop before SBSTA 16 Decision at CoP 9

Good practice guidance Part of IPCC work programme

Definitions and Modalities

Definitions should be consistent with those decided for Article 3 activities

Modalities should be guided by the IPCC SR LULUCF project chapter

Towards a Sinks Project Strategy

Elements of SuccessSecure, high-quality carbon credits

Risk-management and dilution key Matching credit stream to investor carbon

liabilities Improved sustainability of ecosystem

services Deliver high co-benefits

Recognition of local resource use Meet the need, don’t fight it

Contribution to local economic development Sustainable income potentials, local partners

Towards a Sinks Project Strategy

Recommended focus:Portfolio of multi-component projects

that deliver high environmental co-benefits and engage local communities

Case Study – Nyakach, Kenya

Nyakach Region Biomass Enhancement Project

Reforestation of ca. marginal semi-arid low-lying plains in Nyakach region with sisal and Prosopis Reduced rate of deforestation and environmental

degradation

Co-benefits include Soil rehabilitation Quality fodder and cleaner biofuel for cooking and

heating Wood, fiber and dyes for local entrepreneurs Poverty alleviation, improved living standard for

women

Case Study – Colombia

Andean Biodiversity Corridor ProjectReforestation project to build 2 biodiversity

corridors by restoring native biomes around existing forest fragments

Silvo-pastoril buffers on edges of the corridorsBuild on ongoing research and conservation in

corridors supported by GEFUmbrella Project with heavy local involvementSequestration of ca. 76 Mt C over 50 year

project lifetime

Case Study – Colombia

Co-benefits include Agro-forestry programs for local

energy/heatWood Energy Source protects corridor

Silvo-pastoril milk cow management with nitrogen-fixing legumesProvide High Quality Fodder for CowsCoexists with Local Pasture Species

Conclusion

Eligibility and credits limited, uncertainty remains, sinks still regarded with suspicion

1st CP key: Must pick projects strategically, manage risk carefully and deliver high co-benefits

Darren Goetze, Senior Policy Advisor Environment Canada < darren.goetze@ec.gc.ca >

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