Mainstreaming carbon balance appraisal of agriculture projects and policies? A tool for measuring Carbon-Balance in Ex-ante Project-Programme Impact Appraisal Louis Bockel FAO Agriculture Policy analyst 08/03/2010
Should we promote carbon balance appraisal on EX-ACT agriculture projects and policies? Agriculture is a major source of greenhouse gases (GHG), contributing directly 14% of total global emissions. When combined with related changes in land use including deforestation (for which agriculture is a major driver), agriculture s contribution rises to more than one-third of total GHG emissions The climate mitigation dimension of a public policy could be evaluated through the incremental carbon balance fixed and through the cost generated by ton of equivalent CO2.
Should we promote carbon balance appraisal on EX-ACT agriculture projects and policies? A promising context : Carbon Balance as an emerging criteria in both public and private policies and investments Carbon balance appraisal may help to build new strategies to adapt and prevent climate change consequences especially in developing agriculture sector. FAO has just developed EX-ACT, a tool aimed at providing ex-ante estimations of the impact of agriculture and forestry development projects on GHG emissions and C sequestration, indicating its effects on the Carbon-balance
Carbon balance and Ex-Ante sustainable Carbon-balance agriculture Tool EX-ACT Multi benefits of improved carbon soil in term of mitigation, adaptation Non climate benefits of improved carbon balance in soil are known and valued in agriculture development. They are linked with many environment objectives targeting agriculture and natural resources (watershed management, water management, drought management, sustainability of cropping systems, erosion control, flood risk management, water quality management, eco-tourism...).
Assessing soil organic carbon (SOC) changes EX-ACT Soil organic carbon can be used as an indicator to identify the soil fertility, suitability for agricultural activities, soil degradation and guide agricultural policies and mitigate climate change. It can be integrated into the Monitoring African Food and Agricultural Policies (MAFAP) OECD-FAO initiative and assist African policy-makers and other stakeholders. Quantification of SOC and the SOC sequestration potential can facilitate the recognition of agricultural services as a mitigation option to climate change and the link with carbon markets
Structure of the tool? Set of linked Microsoft Excel sheets (19) Based on land use and management practices Using IPCC default values (Tier 1) and ad hoc coefficients (Tier 2) Measures C-balance with/without project
Structure of the tool? Modular approach: Project s Description Project components (identification of changes in land use and practices foreseen using specific modules ) Computation of C-balance Continent Climate Soil Duration Deforestation Afforestation and Reforestation Other Land Use Change Annual Crops Perennial Crops Rice Grassland Livestock Inputs Other Investment Matrix (Synthesis of AFOLU) Initial / future without project / future with project
Structure of the tool? Logic behind : 3 different dynamic of change (adoption) of practice Difference used to compute the final C balance in tons CO 2 equivalent Variable considered (ha of land use, number of cattle heads, ) x 2 x 1 x 0 t 0 Implementation phase Capitalization phase t 1 t 2 With project Benefits of the project Without project Time (years)
Outputs of the tool? It computes the C balance with and without the project. The difference represents the benefits of the project and indicates the net amount of C sequestered (C sink) as a result of project. It shows if the project is able to supply environmental services in the form of C sequestration, thus contributing to climate change (CC) mitigation. Outputs could be used in financial and economic analysis of the project, guiding the project design process and the decision making on funding aspects EX-ACT could therefore help project designers to select the project activities which have higher benefits both in economic and CC mitigation terms (added value of the project) Put forward the multiple benefit of carbon as public good : Value to farmer, Value to community, Value to society
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