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This is one of the presentations at the 1st day of "Technical Exchange on Jurisdictional REDD". See more at: http://www.idesam.org.br/technical-exchange-on-jurisdictional-redd-presentations/
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DRC ER-PIN An Emission Reduction Program Idea Note for the Democratic Republic of the Congo
République Démocratique du Congo
REDD+ and the DRC A Turning Point
• DRC is the world’s prime example of an HFLD country o 154M hectares of forest, 0.2% reported deforestation rate
• 186th out of 186 on the Human Development Index o Stability returning, investment climate improving, but these advances
intrinsically put forests under threat
• Brazil’s forest estate is 3X as big as DRC, but it earns 100X the income from its forest sector • REDD+ has the potential to help DRC avoid the traditional route of
deforestation for development
The increasing pressure on DRC to move from HFLD to HFHD…to LFHD…
• National level and Regional Level
• Population increase
• Increasing political stability
• Increased investment in extractives: forestry, mining, etc.
The Dilemma of HFLD
• HFLD countries offer a vital opportunity for REDD+ mechanism – they
still have a large % of intact forest, and deforestation has not yet
become a force of development
• Therefore REDD+ offers the possibility to protect intact forests, without
having to displace entrenched massive deforestation
• But there are 2 significant hurdles for DRC:
• 1. The common historical approach in REDD+ to REL provides greater
rewards to countries that have already achieved development progress
through deforestation than to countries that have not, leaving a built-in
disincentive for early action
• 2. The past does not predict the future – a historical REL fails to capture the
growing pressure on forest resources, thereby limiting REDD’s potential to
succeed as an alternative financially viable development path
What is needed to make REDD+ work for DRC as an HFLD?
• Leadership and Collaboration – strong govt commitment, civil society
involvement, private sector partnerships
• Ground-up meet top-down: initiate actions and test methods and
approaches at subnational scale, incorporate lessons from pilot
activities into national process
• Reward performance against realistic projected threat due to changing
national circumstances
• Insure rewards reach actors on the ground and are equitably distributed
based on performance
• Program must represent viable financial alternative that allows
DRC to use its forests as a means of development, the top priority
for the People of the DRC
Program Approach
• Goal: a model provincial green development program that provides
alternatives and rewards performance to address the challenges of
climate change, poverty reduction, natural resource conservation
and protection of biodiversity
• Serves as both a broad-scale Program with provincial-level enforcement
and incentive programs, and an umbrella for projects targeting specific
drivers and actors
• Aligns with the activities financed in the FIP, and includes both enabling
and emission-reducing activities
• Planning to pilot the VCS Joint Nested REDD+ standard, and in
discussions to pilot the REDD+ SES standard
Mai Ndombe REDD+ Program A world class public-private
partnership • MECNT/CN-REDD – governing the second-largest tropical forest estate
in the world, with the Mai Ndombe Program Area representing a frontier
of deforestation/degradation
• ERA/WWC – leading REDD+ developers, with VCS validated and
verified REDD+ project in the Program area
• WWF-DRC – global leader in conservation, with deep experience and
engagement in the Program area
Cascade Deforestation
Why Mai Ndombe?
• 75% forest
• Closest forest estate to Kinshasa - under threat from growing charcoal,
timber, food needs of nearly 8 million people
• Pilot activities already existing – WWF, ERA-WWC, Novacel
• Includes southern part of the Ramsar site Tumba-Ngiri Mai Ndombe
• Salonga National Park – home to iconic but threatened species such as
the bonobo and chimpanzee; also home to Elephant, buffalo,
hippopotamus ,leopard
• 1.8 million people within Program Area, many are agricultural
households
Leadership and Implementation
Section 3: Implementing Partners Role
MECNT In charge of the national MRV system will be deployed at the level of the ER Program
Province du Bandundu – Ministère de l’environnement
Responsible for the coordination of deployment of the national REDD strategy at the provincial level and for guiding CN-REDD’s deployment in the province
ERA-WWC Technical advice in thedevelopment of the program and implementation support for MRV
WWF-DRC Technical advice in thedevelopment of the program and implementation of local land use plans
Local government and Rural Committees (CARGs) Integration and approval of local land use plans and resolution of conflicts
Customary authorities and legally recognized local community organizations (ASBL)
Implementation of village level land use plans and adoption of alternative sustainable development strategies
Agricultural companies (NOVACEL, SEBO) Implementation of alternative agricultural / agroforestery programs and control of wild fires
Legal logging companies Forestry Certification and movement towards reduced impact logging
Civil society: GTCR, RRN, CEDEN, ISCO Congo, Hans Seidel, Churches
Information, education and communication. Surveillance and support for empowerment activities
FIP, KfW, CBFF, USAID-CARPE, NORAD, AFD, JICA Lenders of funds supporting investments in empowerment and sectoral activities
Section 1: Responsible management entity MECNT
Section 2: National REDD+ Focal Point CN-REDD
Expected Program Lifetime
2010 2011 2012 2013 2014 2015 2016 Phase 1
Readiness
Phase 2
Investment
Phase 3
Implementation
FIP + other APD &
private sources
ER-Program
Readiness funding
First ER Delivery
The DRC Government considers this a permanent program for the Green Development of Mai Ndombe Province
Section 5: Drivers of Deforestation
• Charcoal production to supply Kinshasa • Slash and burn agriculture (subsistence and commercial) • Cattle Ranching (large and small holder) • Bush Fires • Illegal logging • Industrial logging • Pop. Growth • Land degradation • Lack of alternatives • Lack of governance • Low productivity • Transport network
rehabilitation
Dir
ect
Cau
ses
In
dir
ect
Cau
ses
Major Barriers to REDD+
• Low level of local capacity
• Corruption and lack of strong institutions
• Land tenure conflicts
• Illegal activities
• Poor infrastructure for access to markets
Drivers of Emissions vs. Deforestation
- Degradation in forest concessions doesn’t
always result in deforestation but takes forest
from primary to secondary and provides
access
- Deforestation from secondary forest to non-
forest inside and outside forest concessions
essentially the same drivers
- This process of logging degradation followed
by secondary agent deforestation is referred
to as cascade deforestation
Cascade Deforestation
Cascade Deforestation
Alignment with National REDD+ and Development Strategy
Enabling Activities Emission-reducing activities REDD+ requirements
Cross-cutting Activities
Bush fire control Community forestry RIL and Forest certification
Agroforestry on degraded land Agricultural intensification
Access to markets (contract planting) Improved value chain
National Registry
Reference levels
Proxy MRV method for each program and stakeholder
MRV system coherent and integrated into national system
Piloting the program Fiduciary management, benefits sharing mechanisms, legal and operational procedures Capacity building
Basic infrastructure Organization of local
institutions and communities Land use planning, micro-
zoning and land tenure modernization and recognition
Element 1
Element 2
Element 3
Element 5
Element 6
Element 9
Element 7
Element 8
Element 4
Enabling activities Community land management plans integrated to Territorial zoning
Step 1. Assess customary land rights (internal and with
neighboring communities)
Step 2. Create a land cover map using satellite imagery
Step 3. Create a baseline land use map
Step 4. Make a simple management plan for the village
• Validation of VLMP in Territorial level land use planning
• PES contract for implementation of the VLMP Activities
• PES payment based on results of implementing the VLMP
Emission-reducing Activities
• Agroforestry on degraded land to sustainably produce food and
fuelwood
• Agricultural intensification where possible as a strategy to phase out
slash & burn agriculture
• Bush fire control (major regeneration of primary forest expected)
• Reforestation
• Community forestry and conservation concessions
• Incentivize logging sector to reduce emissions through reduced-impact
logging, forest certification, etc.
Institutional arrangements
ER Program Management Entity (Bandundu Province, WWF-DRC, ERA-WWC )
Stakeholder Board of Direction Composed of CN-REDD and key
stakeholders
Provincial and local govt, Local communities NGOs, Private Sector,
Provincial govt, Local communities, NGOs, Private Sector
Emission-reducing activities Enabling activities
MECNT
Section 7: Preliminary analysis in the area of SESA
• State of advancement of SESA
• Consideration of the elements of the SESA in the program
activities
Section 8: Information sharing, communication and consultations
• FPIC is essential
• Indigenous Peoples engagement is crucial
• The state of affairs today and engagement of stakeholders
• Planned communication activities
• Two forms of workshop
• General information on ER Program and what it means to citizens of the province
• Specific FPIC for communities being asked for direct participation
• Mechanism for complaints and recourse
Section 9: Co-benefits
Stakeholder
actions
- - - -
Empowerment
Activities
Local
communities
Central and
local
Administration
Local NGOs
Project
Development
- - - -
Alternative
activities
NGOs
Local
communities
Private
investors
Local socio economic results
Program results
Capacity building
Financial Results
Pay for performance
for REDD+
Section 10: Benefit Sharing
• Up front Program investments in Community Projects to reduce
pressure on forests
• Fixed share of program revenues for communities
• Additional Share of profits between community and government
proposed
• Payments for emissions reductions performance and by proxy
• Full design will take place during Design Phase
• Existing legal agreements provide guidance
Reference Emission Levels (REL) – An evolving Approach
1. average historical emissions (2000-2010) for area outside forest concessions – has weaknesses as basis for REL
1. FACET has significant temporal data issues
2. FACET has too broad definition of secondary forest – 30-900 tCO2
3. Ignores degradation emissions from logging concessions
4. Approach Ignores soil pool
5. Doesn’t account for avoid deforestation demonstrated in REDD+ early action programs
6. Doesn’t distinguish between variable threat by land use and forest type
2. DRC is HFLD country so adjustment to pure historical baseline is appropriate
3. Nested REL Modeling approach to be proposed to capture emissions projected into future by land use type but maintain envornmental integrity at jurisdictional level in REL.
Section 11: REL and Deforestation Risk
Future Mai Ndombe Province Land-use Based REL Separate reference levels for each concession
Nested RELs
Monitoring, Reporting and Verification
ER-Program Data will be fully integrated into the National Forest Monitoring system for REDD+ : 1. REDD+ Registry 2. Terra Congo (satelitte land monitoring system)
ER-Program MRV system based on
• National Forest Inventory • Greenhouse Gas Inventory • Baseline 2010 FACET forest cover map • Will be tightly integrated with REL • Proposed scope deforestation and degradation
and all above and belowground biomass pools (soil very significant but not included yet in REL)
Section 13: Timetable
• ER Program Design – 6-12 months
• ER Program implementation 12-18 months
0 4 8 12 16 20 24 28 32 36 40 44 48 52 56 60 64 68 72 76
Calculate Baseline …
Identify Deforestation …
Construct Baseline Forest …
Prepare Jurisdictional …
Consult Stakeholders
Obtain National Approval …
Identify Leakage
Mitigate Leakage
Quantify Unmitigated …
Design Monitoring Program
Contract with Validator
Interface with Validator
Register Baseline
Conduct Monitoring
Resolve Stakeholder …
Implement Safeguards & …
Quantify Net Reductions …
Reconcile Project & …
Non-Permanence Risk …
Write Monitoring Report
Contract with Verifier
Interface with Verifier
Register Offsets (Optional)
Supply Buffer Credits
Future Mai Ndombe - Jurisdictional ER Program Timeline
weeks
Section 14: Financing Plan
• $20M Annual Fixed ER Program Cost Estimate
• $Donor Funded Start Up Financing ?
FCPF-CF
FIP
NORAD
• Potential to Reduce Emissions to earn up to $120M per year in
Revenues
Result Based Sustainable Financing
Investment in Enabling and
emission reducing Activities
MRVed ERs
FCPF and others buys ERs from National REDD+ Fund
National REDD+ Fund:
1-PES to participants based on contribution to MRVed results
2-Cover program management costs
3-Covers National MRV system
National REDD+ Fund:
Assesses proposals for program expansion
Proceeds from sale of ERs go to the
ER-Program:
- Core management costs (fixed %)
- National MRV system (fixed %)
- Program activities (enabling and
emission-reducing in Program area)
Performance based payments as
MRVed (PES scheme)
- Emission Reduction Impact (based on MRV)
- Area of action (e.g. number of ha under
agroforestry, under RIL, )
- Volume of activities implemented (no of
improved cook-stoves, no of improved kilns)
- Opportunity costs
- Source of investments (public/private)
Key Messages • DRC is the most important HFLD country. Its needs are very different than those of
Brazil or non HFLD countries. It should be treated differently.
• DRC is committed to protecting its forests, and doesn’t want charity, it wants to earn
ERs but it must have a realistic REL that allows it to earn enough revenue from REDD
to make REDD a viable economic alternative to increasing logging to fuel development.
• Mai Ndombe will provide a unique opportunity for the international community to
explore how public and private financing can support a public private partnership to
deliver large scale REDD+ in an HFLD country.
• We are committed to developing this ER Program and hope the CF will be a
cornerstone customer, but realize we have to find customers for the entire program to
make it viable, so need to design it flexibly to support multiple revenue streams.
• How to move quickly but not lock in early limitations – adaptive program.
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