1 / 15

Engaging the Private Sector in REDD+: challenges and opportunities

Engaging the Private Sector in REDD+: challenges and opportunities. Florence Bernard ASB Partnership / ICRAF. With support from the Norwegian Development Agency. Presentation outline. Research objectives Research methodology Durban agreements Initial key findings

nodin
Télécharger la présentation

Engaging the Private Sector in REDD+: challenges and opportunities

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Engaging the Private Sector in REDD+: challenges and opportunities Florence Bernard ASB Partnership / ICRAF With support from the Norwegian Development Agency

  2. Presentation outline • Research objectives • Research methodology • Durban agreements • Initial key findings • Who is the private sector? • Private sector in the REDD+ value chain and motivations • Private sector perspectives • Government perspectives • Key questions

  3. Research objectives • Goal: Improving REDD+ outcomes by fostering successful private sector engagement. • Outcome: Enhanced understanding of current and potential future contributions of the private sector to REDD+ initiatives, and identifying key components of effective private sector engagement. • Output: A policy paper outlining the key lessons learned for successful private sector participation in implementing REDD+ initiatives.

  4. Research methodology • Comprehensive desk review • Semi-structured interviews with key informants at the country and project level (11 interviews conducted) • Review of 16 selected projects : Kenya (2), Cameroon (1), Tanzania (4), DRC (2), Madagascar (2), Zimbabwe (1), Vietnam (2), Philippines (2).

  5. Private sector is a key component in moving forward • Financing gap between current public funding commitments ($4.5bn) and the amounts required to significantly reduce deforestation (estimated at $17bn - $33bn) • COP 17: Private sector sources “could be developed” to fund project activity; financing “may come from a wide variety of sources, public and private, bilateral and multilateral, including alternative sources” and “appropriate market-based approaches could be developed” • Green Climate Fund : “private-sector facility” intended to enable the sector to finance private-sector mitigation and adaptation activities • Appropriate means and scope of private sector involvement, going beyond financing

  6. Who is the private sector? • Definition : all of the paradigm cases of private firms, including sole proprietorships, partnerships (general, limited, or limited liability), corporations (privately owned or publicly traded), cooperatives and franchises • Diverse array of firm sizes, structures and operations that range from the purely local to national, regional and international in scope. • Not-for-profit ventures, non-governmental organizations and charitable foundations will be treated as a “third sector”.

  7. Private sector in REDD value chain and their motivations • Some medium to large-sized private firms (e.g. Wildlife Works) • Large multinational firms motivated by CSR (e.g. Walt Disney Corporation) • REDD+ investors not developing projects themselves (e.g. Althelia Climate Fund and Ned Bank) • Private consulting companies for capacity building and technical development services (e.g. PDD, establishing Reference Levels, MRV or the accreditation processes) • Small number of companies (e.g. Carbon Neutral) • Companies that are major emitters : to offset their own emissions and reach ‘’carbon neutrality’’ • A lot of CSR-motivated companies

  8. Strategies to incentivize Private Sector investments and create demand for REDD+ ER credits • Number of new multimillion dollar private REDD+ investment funds have been established (e.g. Althelia ($250m), Macquarie-IFC ($25m+), Terra Global Capital ($50m+)) • Compliance markets, including new and emerging compliance markets such as the Australia and California cap and trade systems. • REDD+ delivering more and more VCS and CCB standard carbon credits which are likely to be used to access some compliance regimes • REDD+ opportunities should be brought to the attention of banks, insurance companies, large companies with a CSR orientation, customer sales, event management companies.

  9. The private sector requires a conductive regulatory, institutional and policy framework and active government support in protecting their investments • Need for a strong policy signal such as a national REDD+ strategy and incentive structures to be put in place to drive REDD+ • Level (national or project) of the performance-based payment, question of payments for overall national performance versus project-level performance and risk mitigation mechanisms • Need for a clear land tenure system • Issue of the non-permanence of emissions reductions which needs further insurance

  10. The government also needs some guarantees from the private sector to enable their engagement • Carbon rights: an agreement and Benefit Sharing Mechanism (BSM) needs to be developed • Forest rights: there is a need for a clear understanding of the implications and impacts for the communities’ access to forest resources • Land rights have to be clarified to avoid land-grabbing and appropriation • Potential role of broker raises fairness or equity issues • Need to develop appropriate social and environmental safeguards

  11. Socio-economic International context Regulation/Policy Framework REDD Value Chain

  12. Thank you for your attentionand now…Sharing your thoughts and ideas!

More Related