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This presentation by E. Marinho and S. Wunder examines the experience of REDD+ implementation, and the associated costs, across different types of settlements in Brazil.
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Accounting for REDD costs at multiple scalesThe Brazilian case
Marinho, E. and Wunder, S.
Facts about REDD in Brazil
A pioneer country
• Started reducing deforestation 10 years ago
• Reduction of 80% (2004-2012, INPE)
• Equivalent to 3.2 billion tCO2
Action Plan for Prevention and Control of the Legal Amazon Deforestation
• Command and control
• Soy and beef voluntary supply chain agreements
• Protected and indigenous areas increased by 60millions ha
• Black list of municipalities
• Land ownership regularization
Costs of REDD in Brazil
Implementation costs
• PPCDAm: 626 millions USD over 4 years (2012-2015)
Funds for REDD through the Amazon Fund
• 787 millions USD between 2009 and 2014
• 96% from the Norway’s Government
• 5 USD/tCO2 equivalent
• Accounts for less than 0.5% of the reduction in emissions
Opportunity costs
• 1 billion USD/year (Borner et al.)
• Unbearable for smallholders!
• Benefit sharing mechanisms
Sustainable Settlements in the Amazon (SSA) - IPAM
Funded by the Amazon Fund
• 11,1 million USD over 5 years
Strategy: promotion of ways to increase settlers income and quality of life with no need for additional florest clearing
5 to 10 years to observe decline in deforestion
3 settlements in Pará state in thedeforestation arc
HH:
692+350
Area:
96107 ha
Forest left: 64%
Created:
1997
HH:
110
Area:
6202 ha
Forest left: 73 %
Created:
1997
HH:
1577
Area:
136405 ha
Forest left: 87 %
Created:
2006
Activities SSA
Readiness (2700 families):
• Creation of participatory management system
• Socioeconomic and environmental diagnosis and monitoring
• Environmental Rural Registry
Fostering of smallholder agriculture (650 families)
• Technical assistance and investments
• Agriculture and forest management
Payments for environmental services (350 families)
SSA Costs by year total 11,1 million USD
Personnel58%
Contractors13%
Consumable Supplies
1%
Occupancy3%
Capital Assets9%
Maintenance6%
Travel7%
Miscellaneous3%
2012 / 1.941.322 USD
Personnel40%
Contractors6%
Consumable Supplies
33%
Occupancy2%
Maintenance4%
Travel3%
Miscellaneous4%
PES8%
2013 / 2.932.073 USD
Personnel51%
Contractors6%
Consumable Supplies
16%
Occupancy2%
Maintenance5%
Travel4%
Miscellaneous6%
PES10%
2014 / 2.299.329 USD
Personnel57%
Contractors4%
Consumable Supplies
12%
Occupancy3%
Maintenance5%
Travel4%
Miscellaneous3%
PES12%
2015 / 2.064.869 USD
Personnel57%
Contractors4%
Consumable Supplies
7%
Occupancy3%
Maintenance6%
Travel4%
Miscellaneous…
PES17%
2016 / 1.815.759 USD
Core team39%
Field tem61%
SSA Costs by settlement
Personnel42%
Contractors4%
Consumable Supplies
26%
Occupancy6%
Capital Assets2%
Maintenance9%
Travel4%
Miscellaneous7%
MOJU / 1.169.008 USD
Personnel42%
Contractors4%
Consumable Supplies
24%
Occupancy6%
Capital Assets5%
Maintenance9%
Travel4%
Miscellaneous6%
CRISTALINO / 1.171.231 USD
Personnel45%
Contractors1%
Consumable Supplies21%
Occupancy2%
Capital Assets2%
Maintenance6%
Travel2%
Miscellaneous3%
PES18%
BOM JARDIM / 5.614.830 USD
Personnel71%
Contractors16%
Capital Assets1%
Miscellaneous3%
CORE / 3.058.150 USDPolicy and Planning
17%Methodology Development
and MRV12%
Community Development
9%
Information Education &
Communication12%
Marketing2%
Finance and Administration
48%
CORE BY FUNCTION
Up-scaling SSA costs to West Para
Cost=731 USD/y/HH no PES
• Core: 227 USD/y/HH (31%)
• Field: 506 USD/y/HH (69%)
• PES: 739 USD/y/HH
• Average cost: 526 USD
But high heterogeneity!
• Moju: 148 USD/y/HH
• Bom Jardim: 879 USD/y/HH
• Cristalino: 2130 USD/y/HH
• Equiprobable per HH costs: 1502 USD
But how representative are these settlements?
Cost Average: 782 USD Total : 26 millions USD
Brazil: 475 millions USD/y
Conclusions
Brazil is a successful case but not within settlements
Performance based funds start to be used to address the problem
Slower and expensive: 3x PPCDAm budget!
What strategy?
• Start with the biggest settlements
• Expand to smaller as satellites
• Aggregate small and neighboring settlements
Perspectives
• Use the information on perceived economies of scale
• Expand the study to other projects