Carbon mitigation potential and costs of forestry options in Brazil,China, India,Indonesia, Mexico,the Philippines and Tanzania

This paper summarizes studies of carbon (C) mitigation potential and costs of about 40 forestry options in seven developing countries. Each study uses the same methodological approach – Comprehensive Mitigation Assessment Process (COMAP) – to estimate the above parameters between 2000 and 2030. The approach requires the projection of baseline and mitigation land-use scenarios. Coupled with data on a per ha basis on C sequestration or avoidance, and costs and benefits, it allows the estimation of monetary benefit per Mg C, and the total costs and carbon potential. The results show that about half (3.0 Pg C) the cumulative mitigation potential of 6.2 Petagram (Pg) C between 2000 and 2030 in the seven countries (about 200× 10⁶ Mg C yr^-1) could be achieved at a negative cost and the remainder at costs ranging up to $100 Mg C^-1. About 5 Pg C could be achieved, at a cost less than $20 per Mg C. Negative cost potential indicates that non-carbon revenue is sufficient to offset direct costs of these options. The achievable potential is likely to be smaller, however, due to market, institutional, and sociocultural barriers that can delay or prevent the implementation of the analyzed options.     

Carbon abatement in the fuel market with biofuels: Implications for second best policies

A carbon tax on fuel would penalize carbon intensive fuels like gasoline and shift fuel consumption to less carbon intensive alternatives like biofuels. Since biofuel production competes for land with agricultural production, a carbon tax could increase land rents and raise food prices. This paper analyzes the welfare effect of a carbon tax on fuel consisting of gasoline and biofuel in the presence of a labor tax, with and without a biofuel subsidy. The market impacts of a carbon tax are also compared with that of a subsidy. Findings show that if a carbon tax increases biofuel demand, the tax interaction effect due to higher fuel prices is exacerbated by higher land rent and food prices and greater erosion of the carbon tax base. Thus, the second best optimal carbon tax for fuel is lower with biofuel in the fuel mix, especially if biofuel is subsidized.     

Baseline Carbon Stocks Assessment and Projection of Future Carbon Benefits of a Carbon Sequestration Project in East Timor

Climate change is one of the most pressing environmental problems humanity is facing today. Forest ecosystems serve as a source or sink of greenhouse gases, primarily CO₂. With support from the Canadian Climate Change Fund, the Community-based Natural Resource Management for Carbon Sequestration project in East Timor (CBNRM-ET) was implemented to “maintain carbon (C) stocks and increase C sequestration through the development of community-based resource management systems that will simultaneously improve livelihood security”. Project sites were in the Laclubar and Remexio Sub-districts of the Laclo watershed. The objective of this study was to quantify baseline C stocks and sequestration benefits of project components (reforestation with fast-growing species, primarily Casuarina equisetifolia, and agroforestry involving integration of Paraserianthes falcataria). Field measurements show that mature stands (≥30 years) of P. falcataria and C. equisetifolia contain up to 200 Mg C ha⁻¹ in above ground biomass, indicating the vast potential of project sites to sequester carbon. Baseline C stocks in above ground biomass were very low in both Laclubar (6.2 Mg C ha⁻¹ for reforestation sites and 5.2 Mg C ha⁻¹ for agroforestry sites and Remexio (3.0 Mg C ha⁻¹ for reforestation and 2.5 Mg C ha⁻¹ for agroforestry). Baseline soil organic C levels were much higher reaching up to 160 Mg C ha⁻¹ in Laclubar and 70 Mg C ha⁻¹ in Remexio. For the next 25 years, it is projected that 137 671 Mg C and 84 621 Mg C will be sequestered under high- and low C stock scenarios, respectively.     

Analysis of leakage in carbon sequestration projects in forestry: a case study of upper magat watershed,Philippines

The role of forestry projects in carbon conservation and sequestration is receiving much attention because of their role in the mitigation of climate change. The main objective of the study is to analyze the potential of the Upper Magat Watershed for a carbon sequestration project. The three main development components of the project are forest conservation: tree plantations, and agroforestry farm development. At Year 30, the watershed can attain a net carbon benefit of 19.5 M tC at a cost of US$ 34.5 M. The potential leakage of the project is estimated using historical experience in technology adoption in watershed areas in the Philippines and a high adoption rate. Two leakage scenarios were used: baseline and project leakage scenarios. Most of the leakage occurs in the first 10 years of the project as displacement of livelihood occurs during this time. The carbon lost via leakage is estimated to be 3.7 M tC in the historical adoption scenario, and 8.1 M tC under the enhanced adoption scenario.     

Climate Change Mitigation Activities in the Philippine Forestry Sector: Application of the COMAP Model

The forest sector in the Philippines has the potential to be amajor sink for carbon (C). The present study was conducted to evaluatepotential forestry mitigation options in the Philippines using the Comprehensive Mitigation Assessment Process (COMAP)model. The baseline scenario (BAU) assumes that current trends continue upto the year 2030 (`business-as-usual'). Two mitigation scenarios wereevaluated: high scenario (HS) and low scenario (LS). The former ispatterned largely from the government's forest master plan while thelatter assumes a 50% lower success rate of the master plan.The results of the analyses show that by 2030, the total C stock of thePhilippine forest sector in the baseline scenario decreases to 814× 10⁶ Mg C,down by 37% compared to the 1990 level. The C stocks of the HS andLS mitigation scenarios were 22% and 18% higher than the BAU,respectively. Of the mitigation options assessed, long rotation plantationsand forest protection activities produce the greatest C gain (199 and 104× 10⁶ Mg, respectively under HS). The not present value (NPV)of benefits is highest in the bioenergyoption with $24.48 per Mg C (excluding opportunity costs) at a realdiscount rate of 12%. However, the investment and life cycle costs arealso highest using bioenergy.The study also estimated potential investments needed under the mitigationscenarios. The investment requirement for the LS amounts to $263× 10⁶ while for the HS it is $748 × 10⁶. Finally, policy issues anddecisions that may be useful for the Philippines to evaluate LULUCFmitigation options under the UNFCCC Kyoto Protocol, are identified anddiscussed.     

Forest land use change in the philippines and climate change mitigation

Tropical forests in countries like thePhilippines are important sources and sinks of carbon(C). The paper analyzes the contribution of Philippineforests in climate change mitigation. Since the 1500s,deforestation of 20.9 M ha (10⁶ ha) of Philippineforests contributed 3.7 Pg (10¹⁵ g) of C to theatmosphere of which 2.6 Pg were released this century. At present, forest land uses store 1091 Tg(10¹² g) of C and sequester 30.5 Tg C/yr whilereleasing 11.4 Tg C/yr through deforestation andharvesting. In the year 2015, it is expected that thetotal C storage will decline by 8% (1005 Tg) andtotal rate of C sequestration will increase by 17%(35.5 Tg/yr). This trend is due to the decline innatural forest area accompanied by an increase intree plantation area. We have shown that uncertaintyin national C estimates still exists because they arereadily affected by the source of biomass and Cdensity data. Philippine forests can act as C sink by:conserving existing C sinks, expanding C stocks, andsubstituting wood products for fossil fuels. Here weanalyze the possible implications of the provisions ofthe Kyoto Protocol to Philippine forests. Finally, wepresent current research and development efforts ontropical forests and climate change in the Philippinesto improve assessments of their role in the nations Cbudgets.     

Reducing emissions from deforestation and forest degradation plus (REDD+) in the Philippines: will it make a difference in financing forest development?

There is a high level of interest in reducing emissions from deforestation and forest degradation plus (REDD+) carbon (C) financing as a way to accelerate forest conservation and development. However, there is very limited information on the potential costs and benefits of REDD+ in developing countries like the Philippines. In this paper, we estimated the range of likely financial benefits of REDD+ implementation in the country under various forest degradation and mitigation scenarios. Our findings show that reducing the rate of forest degradation by a modest 5 to 15 % annually while increasing the doubling the rate of reforestation to 1.5 % annually could reduce C emissions by up to about 60 million t C by 2030. These are equivalent to US$ 97 to 417 million of mean C credits annually at US$ 5 per ton C. These figures are much higher than the total budget of the government and official development assistance for forestry activities in the country which amounted to US$ 46 million in 2005 and US$ 12 million in 2006, respectively. We conclude that REDD+ C credits could be a significant source of financing for forestry projects in developing countries like the Philippines.     

The impact of swidden decline on livelihoods and ecosystem services in Southeast Asia: A review of the evidence from 1990 to 2015

Global economic change and policy interventions are driving transitions from long-fallow swidden (LFS) systems to alternative land uses in Southeast Asia’s uplands. This study presents a systematic review of how these transitions impact upon livelihoods and ecosystem services in the region. Over 17 000 studies published between 1950 and 2015 were narrowed, based on relevance and quality, to 93 studies for further analysis. Our analysis of land-use transitions from swidden to intensified cropping systems showed several outcomes: more households had increased overall income, but these benefits came at significant cost such as reductions of customary practice, socio-economic wellbeing, livelihood options, and staple yields. Examining the effects of transitions on soil properties revealed negative impacts on soil organic carbon, cation-exchange capacity, and aboveground carbon. Taken together, the proximate and underlying drivers of the transitions from LFS to alternative land uses, especially intensified perennial and annual cash cropping, led to significant declines in pre-existing livelihood security and the ecosystem services supporting this security. Our results suggest that policies imposing land-use transitions on upland farmers so as to improve livelihoods and environments have been misguided; in the context of varied land uses, swidden agriculture can support livelihoods and ecosystem services that will help buffer the impacts of climate change in Southeast Asia.     

Assessment of GHG inventories from the LUCF sector of Annex-I countries

Reporting of CO₂ emissions and removals from the landuse change and forestry (LUCF) sector is assessed in this paper based onthe National GHG inventories and the National Communications submittedby the Annex-I countries. LUCF sector is a net sink for 27 countries outof 31 countries and a source for Australia, Estonia, Lithuania and UnitedKingdom. LUCF sector for Annex-I countries, as a group is a net sink of2035 Tg CO₂ (555 Tg Carbon). The sink feature is largely due toCO₂ removal by the existing forests, plantations and other trees.Forest and grassland conversion (deforestation) is not a major source ofCO₂ in the Annex-I countries. Many Annex-I countries have notfully adopted the reporting format of IPCC limiting the comparability andtransparency. Several Annex-I countries have modified the CO₂emission/removal estimates for 1990, but have not explained the reasons.Reporting of uncertainty is very limited. The methods adopted andparticularly reporting is inadequate to meet the requirements foroperationalising the Kyoto Protocol articles relevant to LUCF;comparability, transparency and verifiability.     

Smallholder Agroforestry Systems For Carbon Storage

Most smallholder agroforestry systems in Southeast Asia are tree- and species-rich systems producing non-wood and wood products for both home use and market sale. Due to their high biomass, these systems contain large carbon (C) stocks. While the systems of individual farmers are of limited size, on a per area basis smallholder systems accumulate significant amounts of C, equaling the amount of C stored in some secondary forests of similar age. Their ability to simultaneously address smallholders’ livelihood needs and store large amounts of C makes smallholder systems viable project types under the Clean Development Mechanism (CDM) of the Kyoto Protocol, with its dual objective of emissions reduction and sustainable development. Smallholder systems have not developed in areas where enabling conditions do not exist. A CDM project that facilitates a minimum threshold of enabling conditions that make smallholder agroforestation possible should qualify for C credits. To secure smallholder confidence, the agroforestry systems promoted through a CDM project must be socially and economically viable independent of C payments. To assure system productivity and profitability, projects should provide farmers with technical and marketing assistance. Additionally, project sites should meet the following preconditions: areas of underutilized low-biomass landuse systems available for rehabilitation; smallholders interested in tree farming; accessible markets for tree products; supportive local governments; sufficient infrastructure; and transparent and equitable relationships between project partners. Questions of leakage and additionality should not be problematic and can be addressed through the project design, establishment of quantifiable baseline data and facilitating enabling conditions. However, smallholder-focused CDM projects would have high transaction costs. The subsequent challenge is thus to develop mechanisms that reduce the costs of: (a) making information (e.g., technology, markets) more accessible to multiple clients; (b) facilitating and enforcing smallholder agreements and (c) designing feasible monitoring systems.