Opportunities and challenges to developing REDD+ benefit sharing mechanisms in developing countries

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CIFOR scientist Robert Nasi gave this presentation on 15 October 2012 during the 11th Conference of Parties to the Convention on Biological Diversity (CBD COP11).

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OpportunitiesandchallengestodevelopingREDD+benefitsharingmechanismsindevelopingcountries

R.Nasi,C.Luttrell,G.Wong,D.A.Wardell“Mechanismsformeasuringanddeliveringbiodiversity

benefitsfromREDD+”

CBDCOP11,Hyderabad,15/10/2012

Forestsaremorethancarbon

REDD+andbiodiversity

Source:Venteretal.,2009

Financing

Markets/non‐marketsPrivatevs.public‘polluterspay’and‘historicalresponsibility’‘commonbutdifferentiated’GovernanceandinstitutionalarrangementsEquitableredistribution

• Elucidatingkeydriversofdeforestationanddegradationfornationalsettings

• Institutionalconfigurationsneededforcontext‐specificenablingenvironment

• Rights(access,use,property)andtenureissues

Monitoring, reporting andverification

ReferencelevelsorReferenceemissionlevels?Carbonaccounting

5pools?Whattomonitor?

(CorC+co‐benefits)? Leakage? Finances?

Grossornet?

• Methodsforintegrationofhistoricaldeforestationdatawithknowledgeofdriversofdeforestationtoconstructscenariosandprovidereasonableestimatesoffutureemissions

• Developingappropriatefactorsandequationsforproject‐andnational‐levelcarbonaccounting

• Methodstoaddressnationalandsubnationalmonitoringandaccounting

Stakeholder involvement

Noconsensusatthemoment…

Compromisetomakereferencetotheneedtoengagelocalpeople?

• Equityissues– Indigenouspeople(IP)andminority

groups

– Gender

• Definingconditionsfor– Free,PriorandInformedConsent– IPandcommunitiesinvolvementin

designandimplementation

• AssessmentofsocialimplicationsofaddressingfactorstoensuresuccessfulREDD

Co-benefits

KeepREDD+simpleanduse‘donoharm’standard?MakeREDD+pro‐poorandpro‐biodiversity?

Biodiversityorlocalinterestsmightconflictwith‘atmospheric’interests

• Developobjectivelyverifiableandeasilymeasuredindicators

• Knowledgeoncontextspecificsynergiesandtradeoffs

• Marketresearchoninvestors’attitudesandconcernsaboutco‐benefits

What do we measureand how?

Standards

Indicators

THINKING beyond the canopy

SustainableForestManagementStandards

REDD+Project/ProgramDesignStandards

GreenhouseGasAccountingStandards

ForestStewardshipCouncil(FSC)

ProgrammeforEndorsementofForestCertification(PEFC)

CCBAREDD+Social&Environmental(S&E)Standards

Climate,CommunityandBiodiversity(CCB)Standards

CarbonFixStandard(CFS)

GlobalConservationStandard(GCS)

PlanVivoStandards

SOCIALCARBONStandard

ISO14064:2006Parts2and3

VoluntaryCarbonStandard(VCS)

FromMerger,DutschkeandVerchot2010

Sustainableforestmanagement

FSC PEFC

FromMerger,DutschkeandVerchot2010

Social‐economical

CCBREDD+S&E CCB

SOCIALCARBON

FromMerger,DutschkeandVerchot2010

NetGHGbenefits

CarbonFix VCSandISO14064

FromMerger,DutschkeandVerchot2010

What do we mean by‘benefit sharing’?

• BenefitsharingisthedistributionofdirectandindirectnetgainsfromtheimplementationofREDD+

• Twotypesofdirectbenefits:• Monetarygainsfrominternational

andnationalfinancerelatedtoREDD+

• Benefitsassociatedwiththeincreasedavailabilityofforestproducts&ecosystemservices

• Indirectbenefitse.g.improvedgovernanceinfrastructureprovision

Source:Lindhjem,H.,Aronsen,I.,Bråten,K.G.andGleinsvik,A.2010Experienceswithbenefitsharing:issuesandoptionsforREDD‐plus.EconPöyry,Oslo,Norway.

Benefits come with costs:net benefits are what matter

Who should benefit?

TherearetradeoffsinvolvedinthesechoiceimpliedbythedifferentdiscourseswhichtheimplicationsfordesignofBSMs

Effectiveness/efficiencyvs.equitydiscourses

Effectiveness/efficiency=goalofemissionreductions

Equity=whohastherighttobenefit

Efficiency & EffectivenessREDD+asamechanismforpayingforestusers&ownerstoreduceemissions:

• Focusonemissionsreductions

• Paymentsasincentiveforthosewhochangeinbehaviour

• Benefitsshouldgotopeopleprovidingtheseservices

“REDD benefits should reward large-scaleindustries/companies for reducing forest emissions”

Data from CIFOR’s GCS’ policy network analysis by Maria Brockhaus (coordination), Levania Santosa &Moira Moeliano (Indonesia), Maria Fernanda Gebara & Shaozeng Zhang (Brazil)

Equity discourses

Equitydiscoursestakeadistributionalperspectiveandaskwhoaretheactorswhohavethe„right“tobenefitfromREDD+:

• Focusonpreventingunfairdistributionalresults

• StrengtheningmoralandpoliticallegitimacyofREDD+mechanism

Equity Discourses

Benefits should go to:

• thosewithlegalrights

• lowemittingforeststewards

• thoseincurringcosts

• effectivefacilitatorsofimplementation

REDD+ Benefits Sharing(a project funded by the European

Commission)

• ToprovideREDD+policymakersandpractitionerswithpolicyoptionsandguidancetoimprovethedesign,developmentandimplementationofREDD+benefitsharingmechanisms.

• Targetgroups:– Policymakersindevelopinganddevelopedcountries

– Governmentsofthesixcasestudycountries

– REDD+projectdevelopersandinvestors

ProjectStructure

Project/Household

Local/Sub‐national

National

WP5:Reviewofexistingperformance‐basedmechanisms

WP3:Costs‐benefits

ofnationalpolicies WP4:

Costs‐benefitsofsub‐nationalREDD+

WP6:Multi‐levelgovernance

WP7:RightstoREDD+benefits

WP1:Optionsassessmentsofmechanisms

WP2:Outreachanddissemination

Geographiccoverage

•Brazil Peru Tanzania Cameroon Indonesia Vietnam

WP3 X X X

WP4 X X X X X X

WP5 X X X X X X

WP6 X X X

WP7 X X X

Furtherreading:Luttrelletal.2012.Whoshouldbenefitandwhy?DiscoursesonREDD+benefitsharing.Chapter8inAngelsen,A.,Brockhaus,M.,Sunderlin,W.D.andVerchot,L.V.(eds)2012AnalysingREDD+:Challengesandchoices.CIFOR,Bogor,Indonesia.Lindhjemetal.2010.Experienceswithbenefitsharing:issuesandoptionsforREDD‐plus.EconPöyryOslo,Norway.

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