REDD+ and the Paris Agreement Prespective

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1 REDD+ and the Paris Agreement Prespective Divisione IAFES Impacts on Agriculture, Forests and Ecosystem Services Lucia Perugini 10/04/2017

2 PARIS AGREEMENT Mitigation long term objective: hold the increase in T below 2 C [1.5 C] Adaptation Increase the adapting capacity to climate change Finance - ensure funds in line with the pathway towards a low carbon and resilient development «BOTTOM UP» agreement based on National Determined Contribution (NDC) with a long term ambition

3 Types of NDC Grassi et al. Nature Climate Change (2017)

4 LAND USE SECTOR CONTRIBUTION Relative to the emissions from all sectors, the estimated contribution from LULUCF at global level is about 20-25% 0.8 GtCO 2 e/yr 0.8 GtCO 2 e/yr Grassi et al. Nature Climate Change (2017)

5 LAND USE SECTOR Grassi et al. Nature Climate Change (2017)

6 REDD+ IN THE PA: Article 5 Land use is the only sector that has a dedicated Article in the Paris Agreement Parties are encouraged to take action to implement and support, including through results-based payments, the existing framework under UNFCCC for REDD+ Dec. 1/CP21-> Recognizes the importance of adequate and predictable financial resources, including for results-based payments, for the implementation of REDD+

7 REDD+ scope (Dec. 1/CP.16 par. 70) Encourages developing country Parties to contribute to mitigation actions in the forest sector by undertaking the following activities[ ]: RED Reducing emissions from deforestation D Reducing emissions from forest degradation + Conservation of forest carbon stocks; Sustainable management of forests; SCALE: National (sub-national ad interim) Enhancement of forest carbon stocks; Afforestation/reforestation Activities

8 REDD+ framework Framework of 13 decisions developed in 7 years Covers all the aspects of the framework: Step-wise approach -> from readiness to result based payment Criteria for access (National strategy; FRL/FREL; Monitoring system; SIS) Forest reference level/emissions level + Tech. Assessment process Safeguard information system MRV Financing -> role of GCF; private and public sectors, coordination of support Information hub -> publish information on the results of REDD+ activities, and corresponding results-based payments (Lima REDD+ Information Hub )

9 GREEN CLIMATE FUND GCF is working on a first Request for proposal on Result Based Finance Questionnaire to the Board members and REDD+ stakeholder held on March days expert workshop in April in Bali Details under considerations: Access modalities Size of budget allocated and its share among countries/regions Price for ER Need of a registry Ownership, legal title and implications for NDCs Benefit sharing Eligibility date for payments Scale of implementation etc.

10 Voluntary cooperation for NDC Article 6.2 COOPERATION APPROACHES refers to countries engaging on a voluntary basis in cooperative approaches to use internationally transferred mitigation outcomes to fulfil their NDCs Article 6.4 CENTRALIZED MARKET MECHANISM is commonly understood to establish a mitigation mechanism under UNFCCC authority, with provisions that strongly resemble those of the CDM/JI. The mechanism has a dual objective of supporting mitigation action as well as sustainable development; it is supervised by a UNFCCC body; it involves public as well as private entities Guidance for robust accounting - ensure avoidance of double counting, rules, modalities and procedures are still to be defined

11 General accounting framework NDC 1 NDC 2 NDC 3 market ACCUONTING ACCUONTING ACCUONTING Common registry Guidance for robust accounting - ensure avoidance of double counting

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13 CONCLUSION General framework on the main function of the markets under the PA is still unclear Many Parties do not see REDD+ as a market mechanism but only a tool for finance for domestic NDC (e.g. Brazil) REDD+ has traditionally been linked with markets, and a lot of progress has been done, methodologically speaking, to pave the way for this Private finance should play an important role but right incentives should be established The overall environmental integrity of the system shall be preserved

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15 GRAZIE Lucia Perugini 10/04/2017

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17 FOREST DEGRADATION EMISSIONS 53% timber harvest 30% woodfuel harvest 17% forest fires Forest degradation emissions = 2.2 Gt CO 2 year 1 25% of the summed emissions from deforestation and forest degradation (8.28 Gt CO 2 year 1 ) Pearson et al. Carbon Balance Manage (2017) 12:3

18 Current status Steps of the UNFCCC voluntary process for REDD+ FRL submission: 26 submissions Technical assessment of FRL (9 completed, 17 ongoing) Submission of REDD+ results as BUR annex: 4 countries Technical analysis of REDD+ results annex as part of International Consultation and Analysis: 1 completed - Brazil, 3 ongoing Colombia, Ecuador, Malaysia Highlights: most countries include deforestation (24) 2/3 using remote sensing for activity data 3/4 choose simple historical average for FRL REDD+ results: Brazil Amazon 600 MtCO2 reduction /yr ( ) C,E,M around 40 MtCO2 / yr (varying periods

19 GLOBAL CARBON BUDGET Sources 34.1 GtCO 2 /yr 91% 16.4 GtCO 2 /yr 44% Sinks Remains in the atmosphere 9% 3.5 GtCO 2 /yr Forest are part of the problem and part of the solution 31% 11.6 GtCO 2 /yr 26% 9.7 GtCO 2 /yr Absorbed by forests Absorbed by oceans Source: CDIAC; NOAA-ESRL; Houghton et al 2012; Giglio et al 2013; Le Quéré et al 2016; Global Carbon Budget 2016

20 REDD+ Decisions Decision 2/CP.17 results-based finance may come from a wide variety of sources, public and private, bilateral and multilateral, including alternative sources; 66. Considers that, in the light of the experience gained from current and future demonstration activities, appropriate market-based approaches could be developed by the Conference of the Parties to support the results-based actions by developing country Parties referred to in decision 1/CP.16, paragraph 73, ensuring that environmental integrity is preserved, that the provisions of decision 1/CP.16, appendices I and II, are fully respected, and should be consistent with the relevant provisions of decisions 1/CP.16 and 12/CP.17 and any future decision by the Conference of the Parties on these matters; Decision 14/CP.19, Modalities for measuring, reporting and verifying 15. Agrees that results-based actions that may be eligible to appropriate marketbased approaches that could be developed by the Conference of the Parties, as per decision 2/CP.l7, paragraph 66, may be subject to any further specific modalities for verification consistent with any relevant decision of the Conference of the Parties.