Challenges, Opportunities and Critical Aspects regarding the possible Implementation of REDD in Peru Prepared by Libélula , Consultants Lima, Peru Project Coordinator Maite Cigarán Tolmos International Financing for REDD A Project of WWF US Policy Program This is a report of the project “International Financing for REDD,” undertaken by WWF US Policy Program between July and December 2009, as part of WWF FC NI Program “Engaging Civil Society in REDD Programs. The focus of the “International Financing for REDD” project was: (a) To further UNFCCC parties’ understanding of the role and sequencing of public, private and market funding for REDD; and, (b) To discuss institutional and funding arrangements for REDD at international and national level The project worked by (a) engaging in the international REDD discussion in the run up to COP15; (b) producing or participating in the production of technical reviews, reports and proposals; (c) advising WWF network on these issues; and (d) collaborating with WWF country offices in the review of country level arrangements for REDD. This scoping exercise on the state of Peru’s REDD arrangements as of late 2009, was jointly commissioned by this project and by WWF Peru . Please direct queries regarding the project to its director Pablo Gutman at [email protected]and questions regarding WWF REDD work in Peru to Michael Valqui [email protected]or Maria Eugenia Arroyo [email protected]Report No. 5 December 2009
Transcript
Challenges, Opportunities and Critical Aspects regarding the possible
Implementation of REDD in Peru
Prepared by Libélula , Consultants
Lima, Peru Project Coordinator
Maite Cigarán Tolmos
International Financing for REDD A Project of WWF US Policy Program
This is a report of the project “International Financing for REDD,” undertaken by WWF US Policy Program between July and December 2009, as part of WWF FC NI Program “Engaging Civil Society in REDD Programs.
The focus of the “International Financing for REDD” project was: (a) To further UNFCCC parties’ understanding of the role and sequencing of public, private and market funding for REDD; and, (b) To discuss institutional and funding arrangements for REDD at international and national level
The project worked by (a) engaging in the international REDD discussion in the run up to COP15; (b) producing or participating in the production of technical reviews, reports and proposals; (c) advising WWF network on these issues; and (d) collaborating with WWF country offices in the review of country level arrangements for REDD.
This scoping exercise on the state of Peru’s REDD arrangements as of late 2009, was jointly commissioned by this project and by WWF Peru . Please direct queries regarding the project to its director Pablo Gutman at [email protected] and questions regarding WWF REDD work in Peru to Michael Valqui [email protected] or Maria Eugenia Arroyo [email protected]
Exhibit 1: Legends of the Map of REDD Projects in Peru ............................................................ 25
Exhibit 2: Legend of the Map of REDD Projects in Peru .............................................................. 26
Exhibit 2: Legend of the Map of REDD Projects in Peru .............................................................. 27
List of Tables Table 01. Deforestation per Land Use as of 2000 Table 02. Accumulated Deforested Area as of 2000 per Region in Percentage and Contribution to Total Deforestation Table 03. Extension and Variation of Forest Area in Some Countries Between 1990 and 2005 Table 04. REDD Projects in Peru Table 05. Concession Rights Granted until September 2009 Table 06. Rights Granted to Land Suitable for Forestry or Forest Resources List of Figures Figure 01. Deforestation Map of the Peruvian Amazon 3 Figure 02. REDD Process Scheme Figure 03. Map of REDD Projects in Peru
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1. INTRODUCTION
Peru is a country of great biological and cultural diversity. It is currently one of the 17 megadiverse countries of the world, a group of nations that house 70% of the planet’s biological diversity and 40% of the world population1. It features 84 of the 114 identified life zones and 28 of the 34 types of climate recognized in the world2. This wide variety of climates allows many forms of life to develop; 21,520 species of flora and fauna have been identified within the national territory, 5,872 of which are endemic3.
The emission of Greenhouse Gases (GHG) resulting from human activities is currently the main cause of the dramatic climate change that has been occurring on the planet. The characteristics of the Peruvian territory described above make it an extremely vulnerable country. In Peru, the main cause of GHG emissions is deforestation; large areas of forests and the biodiversity that these house are lost as a result of this activity. The characteristics of the Peruvian territory described in the preceding paragraph make it a country of great importance in terms of conservation for the world.
The promotion of forest conservation as an alternative that may generate more benefits than deforestation for the establishment of agricultural plots or the construction of roads is also vital. Based on this context, interest in financial incentives such as the Program on Reducing Emissions from Deforestation and Forest Degradation in Developing Countries (REDD) (payment scheme for environmental services that implies reducing emissions resulting from deforestation and forest degradation) has been sparked in Peru in order to promote the development of initiatives that contribute to preventing deforestation.
One of the main stakeholders in the implementation of REDD schemes in Peru is the recently created Ministry of the Environment (MINAM), the entity responsible for the National Climate Change Strategy. The Ministry is also the focal point of the United Nations Framework Convention on Climate Change (UNFCCC) and leads the National Climate Change Commission (NCCC). Other key organizations in this implementation process are as follows: the National Environmental Fund (FONAM), in charge of promoting public and private investments in the development of environmental projects in Peru, and the Division of Forestry and Wildlife at the Ministry of Agriculture (MINAG), that is the national authority regarding forestry issues.
It is worth mentioning that the official data regarding deforestation figures, among others, were prepared by the Program for the Building of National Capacities to Manage the Impact of Climate Change and Air Pollution (PROCLIM) and published in 2005 with information gathered in 2000. The purpose of this program was to contribute to the reduction in poverty by promoting the integration of climate change and air quality in sustainable development policies. After the PROCLIM study, no new consolidated official figures have been generated on the status of deforestation. Nevertheless, new studies are necessary since forest dynamics, deforestation patterns, deforestation factors, etc., may have changed.
In general, civil society and the government have already taken steps to address the new climate change scenarios, beginning with the analysis of the phenomena and its impacts in Peru. Still these studies will take several more years and currently there is no balance sheet on the pros and cons of different actions and policies that may help institutions involved in the national, regional and local adaptation and mitigation processes make good decisions4.
1 United Nations Environmental Program - UNEP (2009) 2 Intermediate Technology Development Group - ITDG (2008) 3 National Institute of Statistics and Informatics - INEI (2009) 4 ITDG (2008)
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The application of REDD mechanisms in Peru could be a great opportunity to reduce the rate of deforestation, thus contributing to the conservation and sustainable management of forests. In this regard, the purpose of this document is to provide an overview on the status of the public and private initiatives for the design and establishment of REDD schemes in Peru.
Peru’s position with regard to REDD and the expectations regarding the Conference of the Parties (COP 15) to be held in Copenhagen is for world policies and incentives to be clarified in order to support efforts to control deforestation and forest degradation, as well as the conservation and sustainable management thereof. In the 14th Conference of the Parties (COP) held in December 2008 in Poznan, Poland, the Peruvian Ministry of the Environment presented an ambitious national project to voluntarily stop deforestation, rendering the conservation of 54 million hectares of forest sustainable. It was stated that the 72 million hectares of tropical forests in Peru keep at least 9,900 million tons of carbon captive in biomass (150 tons / hectare), which release by burning would generate 36,300 million tons of CO2 in the atmosphere.
2. DEFORESTATION IN PERU
2.1 Current Deforestation Situation in Peru
Pursuant to the National Inventory of Greenhouse Gas Emissions as of 20005, 47% of all emissions in Peru are caused by deforestation.
The deforestation process in the country occurs in the three natural regions: the coast, the highlands and the jungle. However, studies and detailed estimates only exist of the Amazon forest. There are no reliable estimates on the forests located in the coastal region (the dry forest in the north is the most significant) or the forests found in the highlands, known as relict forests, highland forests or Andean forests6.
The Deforestation Map of the Peruvian Amazon (2000), prepared as part of the PROCLIM - CONAM Project (2005), indicates that the 7.17 million hectares of the Peruvian Amazon have been deforested as of 2000, representing 9.25% of the Amazon rainforest in the country and 5.58% of the national territory. The rate of deforestation for the 1990 – 2000 period was approximately 150,000 hectares per year.7
5 National Environmental Council - CONAM (2005) 6 CONAM (2006) 7 In order to estimate the total deforested area and average annual deforestation between 1990 and 2000, it was necessary to use the
information obtained in previous studies for the initial year (1990) as a starting point. For this reason, the database of the “Vegetation Cover and Land Use Map” (Natural Resource and Infrastructure Database - INRENA, 2000) was selected, a study carried out nationwide through the interpretation of satellite images on printed paper, which was then reviewed and adjusted, thus indicating that the deforested area amounted
to 5,676,236 hectares in 1990.
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Figure 01: Deforestation Map of the Peruvian Amazon as of 2000
Source: National Institute of Natural Resources - INRENA (2000)8
Furthermore, the Deforestation Map shows the dynamics of deforestation, namely the end use of the deforested land that, as shown in table 01,
Table 01: Deforestation per Land Use as of 2000
LAND USE DEFORESTATION (Ha) %
Agriculture 690,514.54 9.63
Pastures 1,179,982.14 16.45
Secondary Forest 2,067,765.17 38.83
Secondary Forest / Agriculture 3,168,727.48 44.18
Areas without Vegetation 65,564.64 0.91
Total 7,172,953.97 100
Source: INRENA (2000)
According to this table, the type of land use featuring the largest area corresponds to the mixed category of Secondary Forest / Agriculture with 3,168,727.48 hectares, in other words, 44.18% of the total
8 See map legend in Exhibit 1.
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deforested area as of 2000. On the other hand, the type of land use with the smallest surface is the Areas without Vegetation category, amounting to 65,564.64 hectares (0.91% of the total deforested area). The departments dealing with the greatest rates of deforestation are San Martín (18.51%) and Amazonas (13.96%), which exceed one million hectares, closely followed by Loreto that presents 945,642.15 deforested hectares (13.18%). The least deforested department is La Libertad, with 7,231.69 hectares (0.10%), as can be observed in the table hereunder:
Table 02: Accumulated Deforested Area as of 2000 per Region in Percentage and Contribution to Total
Deforestation
REGION DEFORESTATION (Ha) DEFORESTATION PER
REGION (IN %) CONTRIBUTION TO TOTAL
DEFORESTATION (%)
SAN MARTÍN 1,327,736.15 26.049% 18.51
AMAZONAS 1,001,540.11 25.494% 13.96
LORETO 945,642.15 2.521% 13.18
JUNÍN 734,303.77 16.688% 10.24
UCAYALI 627,096.73 5.954% 8.74
HUÁNUCO 600,654.46 16.143% 8.37
CUSCO 537,632.37 7.461% 7.50
CAJAMARCA 520,061.64 15.733% 7.25
PASCO 302,020.89 12.527% 421
MADRE DE DIOS 203,891.86 2.397% 2.84
PUNO 146,041.32 2.148% 2.04
AYACUCHO 135,373.07 3.111% 1.89
HUANCAVELICA 51,990.69 2.357% 0.72
PIURA 31,737.07 0.880% 0.44
LA LIBERTAD 7,231.69 0.286% 0.10
Total 7,172,953.97 100
Source: Adapted from INRENA (2000) and INEI (2007). Prepared by Libélula
2.2 Causes of Deforestation in Peru
The Readiness Plan Idea Note (R-PIN) presented by MINAM to the Forest Carbon Partnership Facility (FCPF) of the World Bank indicates that 81% of the deforestation in Peru is caused by the expansion of the agricultural frontier, mainly due to shifting cultivation known as slash and burn.. The second most important cause (16.5%) is the extraction of wood for domestic use, while the additional 2.5% is due to the forest industry and timber trade. R-PIN has been criticized for placing emphasis on slash and burn as the immediate cause of deforestation without identifying other underlying drivers, such as the construction of roads, and a vision of Amazon development that is focused on agricultural production, exportation of non-renewable natural resources and mining, all of which are behind the majority of new slash and burn activities
The R-PIN also shows that deforestation and forest degradation have different origins, depending on geographic factors. In the Andean region, deforestation tends to be caused by slash and burn agriculture, timber extraction and overgrazing. On the other hand in the Peruvian Amazon region, unplanned inhabited areas and the construction of new access roads are major drivers of deforestation
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Other significant causes of deforestation in Peru exist, such as the illegal cultivation of the coca leaf (which also contaminates the ecosystem) and informal mining, particularly in the case of riparian forests. Illegal logging is another factor that must be taken into account given that it is selective, building a series of roads and access ways in the forest in order to exploit only a few species, impoverishing the quality of the forest and promoting degradation and deforestation9.
3. CURRENT REDD SITUATION IN PERU
3.1 Methodological Scope
The impacts that REDD may have on the conservation of forests and their biodiversity, the climate, indigenous populations and local communities, as well as the technological and training needs for their implementation, have made this a complex and controversial topic.10
At the global level, only proposals exist to tackle this approach; no guidelines have been identified so far. The possibility of paying developing countries for the value of carbon stored in their forests has been discussed, given that it is considered that these payments could contribute to reverting deforestation, making sustainable forest management more attractive; nevertheless, the way this service would be paid for is still not regulated11.
The proposal exists in some countries to implement REDD by means of a national approach, where developing countries would receive credit for reducing deforestation, in accordance with a national baseline. Furthermore, some countries also propose a project-based approach (subnational approach) because it would apparently be easier to implement, and would adapt better to the different contexts and stakeholders existing in each country12.
Peru and other Latin American countries (Paraguay, Mexico, Argentina, Honduras, Chile and Panama) support an approach known as the “Nested Approach”. This is considered to be a flexible approach that would allow these countries to pass from a subnational approach to a national one, insofar as its capacities are strengthened13. This approach only exists in the form of a proposal and has not been executed by any country or project as such.
Within this context, the Peruvian government has taken initiatives to begin designing the REDD scheme implementation process; such initiatives include the funding request submitted to the FCPF of the World Bank or the MINAM – Moore Foundation Project in order to build REDD capacities in Peru. In practice, most initiatives in terms of REDD schemes within the country have been taken in specific forest management and conservation projects that currently contribute or aim to prevent deforestation in different parts of the country.
It is worth pointing out that the way in which potential benefits of the REDD scheme shall be distributed has been regulated neither in Peru, nor jointly at an international level. The development of efficient mechanisms in order to equally distribute benefits and costs associated with REDD is still underway.
9 Capella, J.; Sandoval, M. (2009) 10 Zambrano, C. and Cordero, D. (2008) 11International Union for Conservation of Nature - IUCN (2009) 12 Idem 13 Framework Convention on Climate Change (FCCC)/Subsidiary Body for Scientific and Technological Advice (SBSTA)/2008/MISC.4
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Different proposals also exist for the establishment of a baseline within the countries. An initial proposal consists of the preparation of a historic baseline based on the rates of deforestation in the country so far. According to this approach, countries that have achieved high rates of deforestation in the past could be more capable of verifying the additionality of establishing REDD mechanisms in their territory and reaping greater benefits therefrom, which could possibly generate what is known as a perverse incentive.
Another proposal which aims to determine baselines consists of the development of future deforestation scenarios, with or without the REDD project, for the preparation of a projected baseline. Therefore, Peru could prove additionality, based on factors that currently threaten standing forests, given that high rates of deforestation have not been observed, as detailed in the following comparative table:
Table 03: Extension and Variation of Forest Area in some Countries between 1990 and 2000
It is worth highlighting that no national studies allowing degraded zones to be differentiated from deforested zones14 exist; for this reason, REDD schemes in the country shall probably take place according to the approach that aims to avoid deforestation. That does not mean that the possibility of implementing these schemes in such projects, which include degradation within their design, will be ruled out.
Peru is interested in REDD, due to the co-benefits it would reap, especially because it could generate the effective implementation of regulations to control deforestation, incentives for sustainable management and conservation, redistribution to communities and implemented surveillance and monitoring methodologies15.
3.2 Initiatives, Progress and Projections
This section shall describe the law, project and program initiatives that are directly or indirectly helping Peru strengthen a REDD approach.
3.2.1 Environmental Service Provision Bill
The Ministry of the Environment prepared a regulatory proposal in 2008 known as the “Act that regulates Environmental Service Compensation”, the purpose of which was to establish the general framework for
14 Extracted from R – PIN presented by Peru to FCPF (2008) 15 Extracted from the presentation given by Augusto Castro (MINAM) during the Workshop Seminar entitled “Conserving Forests through REDD:
A new way to finance forest conservation in Madre de Dios” held on May 4-6, 2009 in Madre de Dios, Peru.
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the compensation and/or retribution of environmental services in order to contribute to the conservation, recovery and sustainable use of the biological diversity and natural resources of the country. The proposal was submitted to the consideration of the Cabinet, which approved and sent it to the Peruvian Congress in the form of a legislative proposal.
Furthermore, the bill entitled "Environmental Service Promotion and Compensation Act" was also up for discussion in Congress. Therefore, the Congressional Commission on Andean, Amazonian and Afro-Peruvian Peoples, Environment and Ecology, in charge of overseeing both draft laws, decided to include both proposals in one bill referred to as the "Environmental Service Provision Act”. This bill has already been submitted for consideration to the full session of Congress.
It is worth noting that the purpose of the aforementioned bill is to establish a general framework to regulate the provision and use of environmental services in order to contribute to the conservation, recovery, development and sustainable use of the biological diversity and natural resources of the country. Some topics included in this regulatory proposal are as follows:
o Define different concepts such as environmental services, source, suppliers, beneficiaries of the environmental services and environmental service compensation
o Define the purpose of the compensation.
o Establish the government’s role.
o Establish procedural guidelines in order to conserve ecosystems based on environmental service compensation schemes.
3.2.2 Conservando Juntos Program
The objective of the Conservando Juntos Program (Conserving Together Program) is to efficiently help the native communities of the Amazon region overcome poverty by means of the compensation resulting from the conservation of forests on their registered land. The program's goal is to progressively conserve at least 10.5 million hectares of Amazon forest located on land owned by native communities. This program constitutes an initiative of the Ministry of the Environment.
Taking into account international experiences regarding the compensation for forest conservation, a compensation of S/. 10.00 (approximately US$ 3.50)16 is proposed per hectare / year as a “conservation bonus”, in the form of a conditional transfer system that provides incentives to conserve forests associated with the native Amazon communities that own the land. This bonus shall be granted to the communities that voluntarily register in the Conservando Juntos Program and undertake to preserve forests within their recognized areas through a "Conservation Agreement"17.
3.2.3 Other Initiatives for the Implementation of REDD in Peru
Central Government
The country is currently preparing for the REDD scheme design. In 2008, Peru presented its proposal to the Forest Carbon Partnership Facility (FCPF) of the World Bank, one of the multilateral organizations that supports the design and implementation of REDD schemes in developing countries.
The FCPC consists of 2 separate financial mechanisms: the Preparation Mechanism and the Carbon Finance Mechanism. The purpose of the first mechanism is to help developing countries correctly estimate
16 Based on the exchange rate effective as of 12/01/09 (US$ 1.00 = S/. 2.87) 17 MINAM (2009)
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carbon stocks in their forests and their emission sources, as well as to determine benchmarks with the objective of estimating future emissions. Therefore, some of the interested countries shall be selected to participate in the second mechanism, which consists of the implementation and evaluation of REDD pilot programs based on a compensation emission reduction system18.
The process to request the FCPF preparation fund began with the submission of the Readiness Plan Idea Note (R-PIN) by MINAM to the World Bank in June 2008, which was reviewed and approved by the FCPF Committee in September that same year.
The delivery of this document constituted the first requirement in order to gain access to the program; the instrument contained general information regarding land use patterns, causes of deforestation, public consultation processes and potential institutional agreements in relation to REDD within the applicant country. One of the main observations made by the FCPF with regard to the R-PIN submitted by MINAM was the lack of consultation with the local inhabitants and indigenous communities insofar as the preparation of the plan was concerned19.One of the greatest challenges is to improve the consultation mechanism with all the stakeholders involved in order to ensure its efficiency.
Continuing with the requirements needed in order to qualify for this funding, Peru is currently preparing the Readiness Preparation Proposal (RPP, previously referred to as R-Plan) in order that it be also submitted to the FCPF. The RPP shall be introduced to and prepared together with key civil society stakeholders organized in November 200920. This would correspond to Phase II indicated in the following scheme (see figure hereunder), presented by Augusto Castro in representation of MINAM during the Workshop Seminar entitled: “Conserving Forests through REDD: A new way to finance forest conservation in Madre de Dios”:
Figure 02: REDD Process Scheme21
Source: MINAM (2009).
18 The World Bank (2009) 19 Extracted from Consolidated External TAP Review, FCPF (2008) 20 Meetings shall be held on November 10 and 11 in Lima with the support of Conservation International (CI). 21 Extracted from the presentation given by Augusto Castro (MINAM) during the Workshop Seminar entitled “Conserving Forests through REDD:
A new way to finance forest conservation in Madre de Dios” held on May 4-6, 2009 in Madre de Dios, Peru.
R-PIN reviewed and selected by the FCPF Committee. Presented in June and approved in September 2008
Phase I
R-PIN presentation
Phase II
R-PLAN preparation
Participatory preparation of R-Plan (following the FCPF model) underway
Phase III
Execution of studies and activities proposed in the R-PLAN
REDD strategy design
REDD implementation framework
Reference scenarios
Design of the national verification, monitoring and reporting system
Carbon stock assessment
Impact analysis
Consultation process
Phase IV Implementation of the REDD strategy
Investment in programs / projects
Investment in governance, new policies, institutional framework
Initial investment in REDD projects
Phase V Environmental service payment
Demonstration project design
Emission reduction measurement, monitoring and reporting
Payments
FC
PF
Pre
pa
ratio
n F
un
d
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According to Augusto Castro (from MINAM) there are still no tentative dates to start Phase III, IV and V. Furthermore, MINAM is preparing a project with the support of the Moore Foundation, which purpose would be to build REDD capacities in Peru. This project is currently in the preparation stage.
There is still no official information regarding the final amount that the country would need in the preparation stage for the implementation of REDD schemes, even though a budget of US$ 5,400,000 was previously proposed in the R-PIN to be implemented in four and a half years. The FCPC indicated that a more accurate description of the activities to be carried out within such budget, in addition to a reduction in the amount of time that this would take to be completed, was also necessary.
The donation amounts that are still being prepared with the FCPF and the Moore Foundation amount to US$ 3 and 2 million, respectively. These donations are to be used in a period of two years, during which funds from other entities are expected to be leveraged in order to continue with REDD preparation and implementation activities22. The funds are mutually complementary, given that the funding requested from the Moore Foundation is basically geared at covering technical needs (capacity building), while the funds requested from the World Bank are mostly aimed at forest governance, institutional framework, participation and REDD consultation23.
Another important central government initiative is the Amazon Forest Conservation Program. This comprehensive program was started by MINAM in order to preserve approximately 80% of the forest coverage in the country. The initiative consists of an environmental service compensation system and the promotion of forestry economic activities based on forest conservation and management, ecotourism and organic production. It would include international funding from five European nations, in addition to some Asian countries, for an estimated amount of S/. 400,000,00024 (approximately US$ 139,500,000)25.
Finally, it is also worth mentioning the creation of the REDD Working Group within the framework of the National Climate Change Commission, which was set up by MINAM in May 2009. This group is a formal work space created in order to lead the development, participation, consultation and REDD strategy implementation process in Peru.
Civil Society
Mesa REDD is a public-private institution that includes almost all the sectors involved in REDD initiatives in Peru with the objective of contributing to their implementation and the development of their mechanisms. It currently consists of approximately 60 public organizations, Non-Governmental Organizations (NGOs), indigenous organizations, cooperation institutions, research institutions, promotion funds and companies26. This institution is divided into three sub-working groups (technical, legal-institutional and financial). A similar initiative has been underway in the regions of Madre de Dios, Piura and San Martín, with the creation of regional Mesas REDD.
Furthermore, many of the REDD schemes proposed are being designed within the framework of independent projects that are being conducted in areas, where rights have been granted in order to sustainably use or conserve forest resources. Some of these projects and other initiatives are as follows:
22 Interview with Augusto Castro, MINAM Consultant (2009) 23 Interview with Augusto Castro, MINAM Consultant (2009) 24 MINAM (2009) 25 Pursuant to the effective exchange rate as of 12/01/09 (US$ 1.00 = S/. 2.87) 26 REDD Peru Group (2009)
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Table 04: REDD Projects in Peru
PROJECT NAME ORGANIZATION IN CHARGE
Carbon, social and biodiversity baseline for the “Los Amigos” Conservation Concession
Association for the Conservation of the Amazon Basin (ACCA)
Cordillera Azul National Park Center for the Conservation, Research and Management of Natural Areas (CIMA)
Execution of the contract to partially manage operations in the Tambopata National Reserve and the Bahuaja-Sonene National Park in Madre de Dios: biological monitoring, research and REDD components as sustainability mechanisms of the contract
Association for Integral Research and Development (AIDER)
Deforestation prevented through sustainable forest management in indigenous communities with Forest Stewardship Council (FSC) forest certification in the Peruvian Amazon
AIDER
Deforestation prevented through sustainable forest management in forest concessions for timber production with FSC forest certification in Madre de Dios (Maderacre y Maderyja)
AIDER
REDD in the Alto Huayabamba Conservation Concession: Jalca and Yungas ecosystems, Andean Amazon
Amazonians for the Amazon (AMPA)
Sustainable community management of the forest and its resources in the region (Bélgica Native Community in Madre de Dios)
ASESORANDES
Alto Mayo Carbon Project Conservation International (CI)
Sustainable human territorial development and comprehensively avoided deforestation program in the buffer zone of the Manu Biosphere Reserve (DEI – MANU) and the Pillcopata-Quincemil forest corridor
Integrated Sustainable Rural Development (DRIS)
Viability analysis of the implementation of REDD projects with the Bosques de Pómac Historical Sanctuary (SHBP)
Association of Community Based Eco-Tourism and Fair Trade in Latin America (ECOMUNAL)
REDD project for the protection of the Cacataibo indigenous territory and its peoples living in voluntary isolation
Institute of Common Good (IBC)
Selva Central Climate Action Project The Nature Conservancy (TNC)
Baseline on the potential of the REDD offer in the Peruvian Andean Amazon
World Wildlife Fund (WWF)
Harmonization of the REDD legal, political and institutional framework and forest carbon
World Wildlife Fund (WWF) & Rights, Environment and Natural Resources (DAR)
Regional pilot carbon measurement study in the region of Madre de Dios
Carnegie, World Wildlife Fund (WWF) and Forest, Society and Development (BSD)
REDD through the Alternative Use of Rainforest Land in the Tropics
National Institute of Agricultural Research (INIA)
Facilitation initiative for REDD pilot projects in Peru Climate, Community and Biodiversity Alliance (CCBA)
Restoration of degraded forests in the Association of the Saywite-Peoples in Apurímac, Peru
Regional Program for the Management of the Andean Forest Ecosystems (ECOBONA)
Multi-Community Area of Conservation of the Association of the Yacus Peoples
Association of the Yacus Peoples
Source: AIDER, FONAM, MINAM and REDD Peru Group (2009)
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4. REDD REGULATORY AND INSTITUTIONAL FRAMEWORK
This chapter shall detail the REDD regulatory and institutional (both international and international) frameworks.
4.1 Regulatory Framework
The regulatory and institutional framework to design or implement REDD schemes in Peru is closely related to the fact that forest resources form part of the nation's heritage, for which reason the government maintains their ownership.
Considering the foregoing, this section intends to explain the relationship that would exist between the granting of forest resource rights and the establishment of REDD schemes. In this regard, the manner in which rights over the aforementioned resources are granted shall be described.
The REDD regulatory and institutional framework must first consider the Peruvian Constitution, as well as the following legal provisions27:
o Institutional Act on Natural Resource Exploitation
o General Environmental Act
o Forestry and Wildlife Act
o Protected Natural Area Act
o Environmental Service Provision Bill (to be discussed in the full session of the Peruvian Congress)
o Decree 002-2009-MINAM, approved by means of Ministerial Resolution 104-2009-MINAM: “Procedure for the Approval of Greenhouse Gas Reduction and Carbon Sequestration Projects”
o Criminal Code
By means of these regulations, among others, a regulatory framework with regard to the conservation and use of natural resources related to forest ecosystems is established. In some cases, these regulations already expressly make reference to the importance of the environmental services that natural resources provide; recognizing the need to value such services and thus establish schemes for their payment or compensation.
The regulatory framework has promoted the granting of forest resource rights, not only for sustainable forest use or forest area conservation (Forestry and Wildlife Act), but also for mechanisms by which the civil society may take part in protected natural areas.
Furthermore, not only a REDD-promoting framework has been established, but also a framework based on penalties, which provides for possible administrative and even criminal sanctions if illegal practices causing detriment to forest resources are carried out.
Although this regulatory framework is comprehensive in terms of the exploitation and conservation of forest resources, it is worth pointing out that there are still no regulations that clearly establish which persons or institutions could benefit from the granting of environmental service rights.
Finally, it is also worth emphasizing that the Forest Management Exhibit to Chapter XVIII of the Trade Promotion Agreement, signed by Peru and the United States, establishes specific actions that must be
27 Information obtained from the presentations made by José Luis Capella and Milagros Sandoval (Peruvian Society for Environmental Law -
SPDA) during the Second REDD Introductory Course, which took place in Lima, Peru in August 2009.
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carried out by Peru in order to strengthen forestry sector management even more. These include the preparation and implementation of an anti-corruption plan for officials in charge of managing and controlling forest resources; the improvement in the management and administration of forest concessions; institutional capacity building, among others. The regulatory and institutional framework currently existing in the forestry sector shall be strengthened by implementing the obligations undertaken by Peru in said agreement. Even though this strengthening would positively contribute to forest governance, it is still not clear how it would affect the establishment of a REDD scheme. Verifying the additionality of a project could become more difficult in the presence of laws or regulations that require commitment.
4.1.1 Granting of Forest Resource Rights
The Peruvian regulatory framework with regard to natural resources is structured based on the premise that the 1993 Peruvian Constitution establishes the following in Section Sixty-Six thereof:
“Article Sixty-Six: Natural, renewable and non-renewable resources form part of the nation’s heritage. The government is sovereign in its use.
The institutional act sets the conditions of their use and granting to private parties. The concession grants a real right to its holder, subject to such legal provision.”
In this regard, although the natural resources could be granted to private parties for their use, the government shall maintain ownership over them. Therefore, in the case of forest resources, we have found that concessions, permits and authorizations constitute some of the rights that could be granted in favor of private parties for use thereof28.
Forest Concessions
The concession grants its holder the right to use and enjoy the natural resource granted, which in this specific case, are forest resources. Each type of concession shall establish the term and method by which they shall be granted. Concessions are irrevocable, as long as the holder of the right complies with the obligations established in the respective legislation. From a legal point of view, concessions are considered assets that may be incorporated and registered, and, therefore, may be the object of disposals, mortgages, transfers and claims. In the case of forest concessions, the Forestry and Wildlife Act establishes the following types of concessions:
o Forest concessions for timber production: These concessions are granted by the competent forest authority29 in order to use forest resources, as per management plans, in permanent production forests for a renewable forty year period.
o Non-timber forest concessions: Any and all forest products with the exception of timber30 are exploited in these concessions. These concessions are granted in permanent production forests and production forests for a renewable period of forty years, and in areas of up to ten thousand hectares, as per the product and technical considerations of the management plan.
28 In accordance with the provisions set forth in the Institutional Act on the Sustainable Use of Natural Resources and the Forestry and Wildlife
Act, Law 27308, as well as their corresponding regulations 29 Effective forest concessions for timber production were granted by INRENA of the Ministry of Agriculture, which functions regarding forest
and wildlife resources were assumed in 2009 by the recently created Division of Forestry and Wildlife of the aforementioned Ministry. In accordance with the process to transfer responsibilties to regional governments, insofar as agriculture is concerned, these bodies shall be in charge of granting forest and wildlife resource rights, including forest concessions for timber production.
30 For the collection of leaves, flowers, fruit, seeds, rubber, resins, palms, etc. for industrial or commercial purposes
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o Ecotourism concessions: These concessions are granted in areas of up to ten thousand hectares of forests, which are preferably not classified as permanent production forests or forests in protected lands for renewable periods of up to forty years. The right grants the holder the power to use the natural landscape as a resource, under the conditions and in accordance with the limitations established in the corresponding agreement.
o Concessions for conservation: These concessions are granted on protected land for the development of biological diversity conservation projects for no less than ten and no more than forty years, which term may be renewed. The concession area shall be determined based on technical studies to be conducted by the competent forest authority, taking into consideration basin management criteria, types of forest ecosystems and requirements for biological diversity maintenance.
It is worth pointing out that all the activities to be carried out in the concessions mentioned above must be included in a Management Plan, which must be approved by the competent authority. By carrying out these activities, forest concessionaires may help forest ecosystems under their care continue providing environmental services, such as carbon storage.
Nevertheless, it is unclear thus far, as per current legislation, what role concessionaires would play in the establishment of a REDD scheme, let alone if they could be beneficiaries of the establishment thereof. Not only the use of timber forest resources from the area granted, but also the use of wild flora resources, tourist services and environmental services constitute some of the rights held solely in the case of forest concessions for timber production, provided that they are included in the General Management Plan. In other words, the right to use environmental services is potentially granted, situation that would not only be contingent on the inclusion of the activities in the General Management Plan, but also on the approval thereof by the competent authority31.
This is the only reference in the Forestry and Wildlife Act made to the relationship between the holders of forest resource rights and their possible use of environmental services. As drafted, it could be understood that the forest concessionaire with timber production objectives could possibly take advantage of the environmental services, as soon as the activities associated with such use are included in their respective management plans. Nevertheless, more specific policies clarifying this concept have not been prepared.
Pursuant to the foregoing, concession rights granted until September 2009, according to the Division of Forestry and Wildlife, are as follows:
31 With regard to the competent authority, it is not quite clear.
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Table 05: Concession Rights granted until September 2009
Type of Concession Number Granted Area (Ha) Department
Timber production (public bidding)
171 2,871,925 Ucayali
85 1,267,111 Madre de Dios
34 494,668 San Martín
48 285,661 Huánuco
250 2,641,624 Loreto
588 7,560,989
Type of Concession Number Granted Area (Ha) Department
Timber production 15 256,794 Madre de Dios, San
Martín, Loreto, Ucayali, Junín and Pasco
Non-timber forest products (chestnut)
934 793,459 Madre de Dios
Ecotourism 25 55,412 Madre de Dios, Loreto
and Ucayali
Conservation 16 423,094 Madre de Dios, Loreto
and Ucayali
Reforestation 282 135,142 Madre de Dios, Pasco, Junín, Ucayali, Piura
and Lima
TOTAL 1,860 9,224,890
Source: Division of Forestry and Wildlife of the Ministry of Agriculture (2009)
Concessions for Reforestation and Agroforestry
It is worth placing emphasis on these types of concessions, given that they have been included in the Forestry and Wildlife Act since the beginning.
In accordance with this regulation, concessions of this type were granted in forests for future use by INRENA for a renewable period of 40 years in areas of up to 40,000 hectares on land mostly used for forest and/or forest recovery purposes.
Nevertheless, the Act for the Promotion of Private Investment in Reforestation and Agroforestry, Law 28852, was enacted in 2006, thus creating a new legal framework for this type of concessions. For this reason, it should be emphasized that the number of concessions recorded in the foregoing table indicates the concessions granted by virtue of the Forestry and Wildlife Act. In the case of Law 28852, such legal provision does not have the necessary regulations in order to be implemented, reason for which no reforestation concessions have been granted by means of this law since its enactment.
Permits and Authorizations
Another way for private parties to gain access to forest resource exploitation is by means of permits and authorizations. According to the provisions set forth in the Forestry and Wildlife Act, Law 27308, these permits and authorizations are granted in order to manage and use timber and non-timber forest
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resources in reserve production forests, local forests, forests in peasant or native communities, privately-owned forests, forest plantations and other forms of vegetal formations.
These permits and authorizations are granted based on the establishing premise that natural resources – in this case, timber and non-timber forest resources – cannot be granted as property. In spite of the fact that they are found on privately-owned land or land granted to peasant or native communities, the natural resources found in these areas may not be considered property of the party holding the right to the land or area in general.
Therefore, in order to use and manage these forest resources, a request must be submitted to the competent authority, which shall grant a permit or authorization, depending on the resource requested and the area where it may be found. It is worth mentioning that the request to use these products for industrial and/or commercial purposes shall be accompanied by the respective management plan.
As in the case of the forest concessions described in the previous section, current legislation does not clearly mention the possible relationship (including the case of forest concessions for timber production) between authorization or permit rights and environmental service rights.
Table 06: Rights granted to Land suitable for Forestry or Forest Resources
Holder Legal Instrument Right Granted
Individuals or legal entities
Forest concessions for timber production
Sustainable use of forest resources in the area granted
Individuals or legal entities
Non-timber forest concessions
Use of non-timber forest resources in specific areas
Holders of private land / peasant and native communities / holders of forest plantations / local forests / reserve production forests
Permits and authorizations
Use of forest and wildlife resources found on the land
Native and peasant communities of the jungle
Assignment for use
Recognition of areas with a greater forest use capacity as part of their community land. In order to use the forest and wildlife resources found in the area, permits / authorizations must be obtained.
Individuals or legal entities
Reforestation concessions
Execution of reforestation activities and use of timber forest resources
Source: Prepared by Libélula
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4.1.2 Protected Natural Areas
Protected Natural Areas (PNAs) are spaces that have been delimited by the government for the conservation of ecosystems, biological diversity and breathtaking landscapes, with the objective of protecting a representative sample of the country’s biodiversity. The mandate for their creation can be found in the Peruvian Constitution, which establishes the following in Section Sixty-Eight thereof:
“Section Sixty-Eight: The government is obliged to promote the conservation of biological diversity and Protected Natural Areas.”
Following this mandate, the Protected Natural Area Act and its regulations were enacted. However, the creation of Protected Natural Areas (PNAs) indicates that the government is obliged to conserve them, which does not necessarily ensure their protection. In many cases, PNAs are vulnerable to the execution of illegal activities, reason for which funding is required in order to guarantee their protection and management.
An option exists to execute REDD projects in PNAs by means of non-profit organizations with management agreements, through which they support the management thereof. These management agreements may be total or partial (with regard to the activities or areas within the PNA, where execution is supported). As is the case with the forest resource rights mentioned in the previous section, there is no express reference as to whether these institutions in charge of co-managing the area could hold rights to environmental services.
Lastly, it is also worth highlighting that although regional conservation areas and municipal conservation areas do not form part of the National System of Protected Natural Areas, their importance must be recognized, given that it may also be possible to establish REDD schemes in such areas in order to finance part of their conservation.
4.1.3 Native Communities
The recognition of the rights of the native communities is regulated in the Act of Native Communities and Agricultural Development in the Jungle and Andean Jungle. This law establishes that the government is in charge of recognizing the legal existence and legal capacity of native communities. Furthermore, this regulation indicates that the government must guarantee the integrity of the ownership of these communities through the demarcation of their land, thus granting the corresponding land titles to them. The rights acquired by these communities are based on their special characteristics, such as their sedentary nature, seasonal migrations, etc.
With regard to their territory, it is worth mentioning that the government grants ownership rights over areas in their territories that are classified as land, the greatest use capacity of which is agricultural in nature. In the case of land, the greatest use capacity of which has to do with forestry, the Ministry of Agriculture grants these areas through assignment contracts.
Therefore, peasant and native communities have priority in terms of the sustainable use of the natural resources existing in their duly recognized community territory, as per the Institutional Act on Sustainable Natural Resource Use and the aforementioned contract. In other words, any use in these areas is only authorized at the express request of the respective community. In this context, if the native communities want to use forest resources for commercial or industrial purposes, they must request a forest permit (explained in previous sections).
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It is worth highlighting that the assignment contract only grants rights over the sustainable use of timber forest resources to native communities. For example, such contract does not include rights to carry out conservation activities or rights to the environmental services provided by the forest resources found in the registered zone. It is important to define what the role of the native communities is in the implementation of REDD schemes and the distribution of benefits.
4.1.4 Granting of Environmental Service Rights
Pursuant to the provisions set forth above, there are still no specific details in Peru with regard to which parties could be granted environmental service rights or under which guidelines the different parties could be beneficiaries thereof. Therefore, in order to implement a REDD scheme, the right that could be created as a result of the environmental service, such as carbon storage or emissions reduction, could be granted to an individual, based on the legal framework related to forest resources in Peru.
REDD scheme initiatives are being designed in Peru by different stakeholders who hold forest resource rights32 or who have been granted some type of responsibility over such resources33. They assume the possibility exists to obtain rights to the environmental service that the forest resources in their area provide, if they continue maintaining management and conservation activities, respectively.
4.2 Institutional Framework
The institutional framework for the design and implementation of REDD schemes both nationally and internationally (as well as their intermediate phases) shall be based on the existing institutional environmental framework. Thus, public institutions, such as the Ministry of the Environment, the Ministry of Agriculture, the regional governments, among others, play a particularly important role, due to their sphere of competence and functions regarding environmental services and forest resources.
In this regard, it may be inferred that the existing institutional framework shall serve as the necessary basis to establish the framework required in order to design and implement REDD schemes in Peru, as per the information obtained for the preparation hereof. However, the coordination which shall exist between public institutions with different functions is still not clear, let alone the coordination between public and private entities. For this reason, the necessary coordination between such institutions is expected to be developed in much more detail through readiness processes.
4.2.1 International Institutional Framework
The General Environmental Act and the law creating the Ministry of the Environment (MINAM) indicate that it is the ministry’s responsibility, through its Vice-Ministry of Strategic Development of Natural Resources, to prepare and coordinate the national climate change strategy, in addition to adaptation and mitigation measures and the monitoring of their implementation. MINAM is also in charge of preparing the inventory and establishing mechanisms to enhance, reward and maintain the provision of environmental services, as well as promote the funding, payment and monitoring thereof. In its capacity as environmental authority, MINAM actively participates as a negotiator in international climate change meetings.
It is also worth pointing out that MINAM presides over the National Climate Change Commission (NCCC). The general purpose of this commission is to monitor the compliance of the different public and private sectors involved in the issue with the requirements set forth in the Framework Convention on Climate
32 Timber forest concessions, non-timber forest concessions, native communities, peasant communities, among other rights granted 33 For example, the case of protected natural area management agreements
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Change. It is also responsible for designing and promoting the National Climate Change Strategy, the content of which must serve as a guide for national, sectorial and regional strategies, plans and projects of development.
Considering all the functions for which MINAM is responsible, this institution shall probably be put in charge of handling the international relations resulting from a possible post-Kyoto agreement, from a technical standpoint, together with the Ministry of Foreign Affairs.
MINAM shall also be in charge of requesting funds from international sources in order to contribute to the REDD scheme design and implementation process, as inferred from the third section of the first chapter hereof. Nevertheless, it is worth mentioning that if these funds are included in the public budget, it would also be necessary to make sure that they form part of and are executed by the Ministry of Economy and Finance in order to be included in the required budget items.
4.2.2 National Institutional Framework
During the last year and a half, MINAM has been leading the “readiness” process in Peru; nevertheless, the effective implementation of a REDD strategy shall require joint work to be carried out with other public and private institutions. In this regard, the institutions listed hereunder must primarily contribute to this process, considering the knowledge they possess with regard to environmental and natural resources issues, among others:
o Ministry of the Environment: This ministry has been leading the process through its Vice-Ministry of Strategic Development of Natural Resources. It shall be in charge of preparing the REDD strategy, which Peru is in line with, together with other public institutions. It shall also probably be responsible for prioritizing funds raised internationally in order to implement the readiness plan. In accordance with the provisions set forth in the existing regulatory proposal, it shall be responsible for classifying and approving REDD initiatives that may be implemented in Peru. Considering this task, it must also manage the national REDD project register, in addition to monitoring and overseeing it, together with other institutions with similar spheres of competence.
o Ministry of Agriculture: This ministry, through its Division of Forestry and Wildlife, is in charge of establishing national policies that shall be implemented in order to promote, manage, monitor and oversee forest and wildlife resources. These spheres of competence are directly related to the establishment of REDD schemes, for which reason such institution shall be required to closely coordinate all international, national or local REDD strategies that may be implemented with the Ministry of the Environment.
o Regional Governments: In accordance with the Institutional Act on Regional Governments, Law 27867, specifically with regard to environmental services, these governments would be responsible for preparing plans and developing and implementing programs for the sale of environmental services in regions with forests or protected natural areas. Even with the structure proposals that have been designed (for example, the Environmental Service Provision Bill), it is still unclear what the responsibilities of the regional governments shall include, as per the provisions set forth in the aforementioned institutional act. Nevertheless, it may be assumed that they shall play an important role in the establishment of these schemes. This becomes even clearer when considering the decentralization process that Peru is currently undergoing. Within the framework of this process, forestry responsibilities shall be transferred to regional governments, thus assuming the task of granting forest and wildlife resources, approving their management plans, carrying out control activities regarding the rights granted, etc.
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o National Service of Protected Natural Areas (SERNANP): This entity falls within MINAM’s organizational structure and is considered to be a specialized technical public body. Its main function consists of managing the National Administration of State-Protected Natural Areas (SINANPE) in its capacity as lead agency for protected natural areas. It must also ensure the operation of such areas as a unit. It has specific responsibilities with regard to environmental services, since its duties include promoting, granting and regulating environmental service rights and other similar mechanisms generated by the protected natural areas nationwide. In this regard, this implies that SERNANP must coordinate with the Ministry of the Environment in order to perform the aforementioned duties.
o Supervisory Body for Forest Resources (OSINFOR): This institution falls under the Office of the Prime Minister (PCM) and commenced activities in mid-2009. The PCM is a technical-administrative body that coordinates, together with the ministries and other Executive Branch entities, all information requests submitted by the Legislative Branch, within the framework of the provisions set forth in the Peruvian Constitution. For this reason, it constantly coordinates with the regional and local governments, as appropriate, pursuant to Law. In terms of the powers granted to OSINFOR by means of the law creating such institution, it is in charge of overseeing the rights granted within the framework of the Forestry and Wildlife Act and environmental services. In this regard, this institution shall be responsible for supervising the environmental services that are generated in the instruments granted under the framework of the Forestry and Wildlife Act.
o Environmental Assessment and Oversight Agency (OEFA): Although it does not have specific responsibilities regarding the oversight, monitoring or control of environmental services, it is important to consider that the OEFA is a specialized technical public body of the Ministry of the Environment, in charge of overseeing, supervising, controlling and sanctioning environmental issues. Upon organization thereof, it shall therefore be necessary to clarify the institutional framework regarding environmental services, in addition to its responsibilities related thereto.
o National Institute for the Development of Andean, Amazonian and African-Peruvian Peoples (INDEPA): This body oversees national policies and is responsible for proposing and supervising compliance therewith, as well as coordinating with regional governments the execution of projects and programs aimed at the promotion, defense, research and affirmation of rights and the development of Andean, Amazonian and African-Peruvian Peoples with identity.
o Ombudsman’s Office: This autonomous constitutional body was created through the 1993 Constitution. Its mission is to protect the constitutional and fundamental rights of persons and the community, oversee compliance with the duties of the government administration and the provision of public services to citizens.
Furthermore, it shall also be important to consider those institutions that could serve as support in order to secure foreign funds, such as the National Fund for State-Protected Natural Areas (PROFONANPE), the Forest Development Promotion Fund (FONDEBOSQUE), the National Environmental Fund (FONAM) and the Americas Fund (FONDAM).
It is necessary to indicate that the aforementioned public institutional framework could eventually focus on designing or establishing REDD schemes in Peru. Nevertheless, the success of the establishment of these schemes is not exclusively limited to the institutional framework. Moreover, in order to ensure the effective and efficient implementation of REDD schemes, it is also important to develop public policies at a national and ministerial level with, for example, the Ministry of Housing, Construction and Water and Sewerage, the Ministry of Energy and Mines, the Ministry of Economy and Finance, etc.
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4.2.3 Private and Civil Society Institutional Framework
It is worth placing emphasis on the initiative through which different private and civil society organizations have grouped themselves in terms of REDD-related issues, having formed the Mesa REDD (REDD Table) in Peru almost a year and a half ago. This group promotes the exchange of information on different initiatives that have been worked on in Peru and informs members regarding climate changes, forests and REDD. Hereunder, you will find a map of the initiatives that have been identified through the REDD Table, prepared by the World Wildlife Fund Co. Program in Peru with the information updated as of September 2009:
Figure 03: Map of REDD Projects in Peru
Source: World Wildlife Co. Program Peru (2009)34
Furthermore, it is important to highlight the work performed by different universities (University of Leeds, National University of the Amazon in Madre de Dios, etc.) that have been researching and disclosing important information regarding REDD-related technical aspects.
34 Prepared based on the information provided by the REDD Peru Group members. See legend of the map in Exhibit 2.
REDD Projects in Peru
Regional Boundary
National Boundary
Legend
REDD Projects
Execution
ACCA – Los Amigos Conservation Concession
CI – Alto Mayo
Negotiation
AIDER – Aserredero Espinoza - MDD
AIDER – Forest Concessions - MDD
Proposal
AIDER – Native Communities
AMPA – San Martín
CIMA – Cordillera Azul National Park
Association of the Yacus Peoples - Junín
TNC - Pasco
Research Projects Technical Technical
Prepared by WWF – Peru, September 2009 Note: This map is a working document, which shall be
updated as necessary.
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5. CONCLUSIONS AND RECOMMENDATIONS
Considering the content assessed herein, the conclusions and recommendations reached are as follows:
5.1 Identified Bottlenecks
o It is important to clarify the regulatory and institutional framework for the implementation of REDD schemes.
o A system to equally distribute the benefits that would be obtained as a result of the establishment of REDD schemes has yet to be designed.
o Conflicts still exist over land rights. It is necessary to resolve land ownership issues in order to properly implement the REDD mechanism.
o Ownership rights or the granting thereof with respect to environmental services is not clear.
o Money and technology to design and implement adequate measurement, reporting and verification procedures are limited.
o It is necessary to conduct forest opportunity cost studies (at a regional level) in order to determine the value of the benefits that would ensure their protection.
o Models with different variables need to be designed (construction of road infrastructure, possible migrations, etc.) in order to assess the impacts resulting from different activities on deforestation, degradation and the loss of carbon stocks.
o Access to reliable information from regional deforestation baselines allowing references to be generated and possible future scenarios to be considered is limited.
5.2 Opportunities and Challenges
5.2.1 Opportunities
o The presence of different civil society initiatives (such as the Mesa REDD) that would contribute to the design and implementation of REDD schemes in Peru, disseminating information and creating spaces for dialogue among stakeholders, together with the possibility of working in teams to move this process forward.
o The worldwide possibility of including REDD as a mechanism in a post-Kyoto commitment, even though nothing has been defined.
o The implementation of REDD mechanisms in the country could be considered an additional tool to those already existing for the conservation and management of forests, offering the opportunity to provide value to standing forests.
o The increasing voluntary carbon market and the interest in projects that avoid deforestation.
o Initiatives, experiences and paths already travelled in some countries regarding the system of payments for environmental services, which may eventually be adapted to a REDD scheme.
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o Great opportunity for Peru, due to its abundant natural and forest resources. This could be exploited with the right organization and the consensus of all the stakeholders involved.
o Willingness of the central government to support the REDD initiatives expressed in the Conservando Juntos Program and the Forest Conservation Plan.
5.2.2. Challenges
o Establishment of a coordinated institutional framework that includes a forest measurement, reporting and verification system with clear responsibilities.
o Clarification of land tenure, indigenous land rights (considering the assignment of use and not ownership) and the presentation of progress made to the native populations and indigenous communities.
o Determination of tax regulations or legislation related to the benefits (cash income) that could be obtained as a result of the implementation of REDD mechanisms.
o Development of efficient and effective mechanisms for the equal distribution of REDD-associated benefits and costs.
o Harmonization of public policies and visions of development related to forest ecosystems in order to ensure their consistency, thus contributing to the reduction and prevention of deforestation.
o Possible reduction of perverse incentives that could promote the deforestation of forest ecosystems.
o The highly diverse ecosystems that create the need for Peru to generate numerous options in order to adapt REDD schemes, based on the characteristics of the environment.
o Joint establishment of deforestation baselines at a subnational level that would generate possible scenarios.
o Raising of critical awareness among all the stakeholders involved, especially forest users, such as the native communities. This shall facilitate dialogue and consensus-building options for the implementation of REDD schemes.
5.3 Next Steps
o Update the existing information with respect to the rates of deforestation, deforested and degraded areas and land occupation in the country.
o Open new spaces for dialogue that lead to the preparation of proposals for the design and implementation of REDD schemes with the participation of all the stakeholders involved (local population, native communities, public and private entities, etc.).
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6. References
o Capella, J.; Sandoval, M. 2009. Informe Preliminar sobre Aspectos Jurídicos para el Establecimiento de Esquemas REDD en el Perú (Preliminary Report on Legal Aspects for the Establishment of REDD Schemes in Peru). Peruvian Society for Environmental Law (SPDA). Lima, Peru. 33 p.
o Castro, A., 2009. REDD: El Perú en las negociaciones internacionales (REDD: Peru in International Negotiations) [on line]. Ministry of the Environment. Workshop Seminar: “Conserving Forests through REDD: A new way to finance forest conservation in Madre de Dios” (May 4-6, 2009, Madre de Dios, Peru). at: http://www.amazonconservation.org/pdf/redd_Peru_in_International_Negotiations-Augusto_Castro_Nunez.pdf> [Consulted on 11/02/09].
o Castro, A. 2009. MINAM Consultant. (Personal Communication).
o National Environmental Council (CONAM). 2005. Inventario Nacional Integrado de Emisiones de Gases de Efecto Invernadero del Perú al año 2000 (National Integrated Inventory of Greenhouse Gas Emissions in Peru as of 2000). Lima, Peru. 40 p.
o National Environmental Council (CONAM). 2006. Informe Nacional sobre el Estado del Ambiente 2002 – 2004 (2002 – 2004 National Environmental Status Report). Lima, Peru. 294 p.
o Cordero, D.; Zambrano, C. Reduced Emissions from Deforestation and Degradation: What steps has South America taken? – Summary and Conclusions [on line]. Electronic Forum: “Reduced Emissions from Deforestation and Degradation: What steps has South America taken?” (June 9 – July 7, 2008). Portal on Conservation and Social Equality of the International Union for Conservation of Nature - South America (IUCN – South). Available at: <http://www.portalces.org/images/fbfiles/files/REDD_E_Forum_Summary_and_conclusions__English_.pdf> [Consulted on 11/04/09].
o National Environmental Fund (FONAM). Carbon opportunities in Peru: Project Portfolio 2009 [on line]. Carbon Area. Carbon Project Portfolio. Available at: <http://www.fonamperu.org/general/documentos/Summarya.pdf> [Consulted on 11/04/09].
o Food and Agriculture Organization of the United Nations (FAO). 2006. Global Forest Resources Assessment 2005: Progress towards sustainable forest management. FAO Forestry Paper Nº 147. Rome, Italy. 320 p.
o REDD Peru Group. ¿Quiénes somos? (Who are we?) [on line]. Available at: <http://www.gruporeddperu.org/index.php?option=com_content&view=article&id=2%3Aqsomos&catid=1%3Acontenido&Itemid=1> [Consulted on 11/01/09].
o REDD Peru Group. Iniciativas (Initiatives) [on line]. National Initiatives. Available at: <http://www.gruporeddperu.org/index.php?option=com_content&view=article&id=20:inicnacionales&catid=1:contenido> [Consulted on 11/01/09].
o National Institute of Statistics and Informatics (INEI). 2009. Perú: Anuario de Estadísticas Ambientales, 2009 Perú (Environmental Statistics Yearbook, 2009 Peru). Demography and Social Indicators Technical Service. Lima, Peru. 522 p.
o National Institute of Natural Resources (INRENA). 2000. Mapa de Deforestación de la Amazonía Peruana al año 2000 – Memoria Descriptiva (Deforestation Map of the Peruvian Amazon as of 2000 – Descriptive Report). Office of Transectoral Environmental Management, Assessment and Information of Natural Resources (OGATEIRN). Lima, Peru. 106 p.
o Intermediate Technology Development Group (ITDG). 2008. Cambio climático en el Perú: Instituciones, investigadores, políticas, programas, proyectos y recopilación bibliográfica (Climate Change in Peru:
Institutions, Researchers, Policies, Programs, Projects and Bibliographical Compilation). National Directory. Maruja Gallardo, Anelí Gómez, Juan Torres, Adam Walter (compilers). Lima, Peru. 132 p.
o Ministry of the Environment (MINAM). 2009. MINAM Impulsa Programa de Conservación de Bosques Amazónicos (MINAM promotes the Amazon Forest Conservation Program) [on line]. Press release. San Borja, June 25, 2009. Office of Communications of the Ministry of the Environment. Available at: <http://www.minam.gob.pe/index.php?option=com_content&view=article&id=273:minam-pone-en-marcha-programa-de-conservacion-de-bosques-amazonicos&catid=1:noticias&Itemid=21> [Consulted on 11/04/09].
o Ministry of the Environment (MINAM). 2009. Programa Conservando Juntos. Compensación por conservación de bosques con comunidades nativas amazónicas para superar la pobreza (Conservando Juntos Program. Compensation for the Conservation of Forests with Native Amazon Communities in order to overcome Poverty).
o United Nations Environmental Program (UNEP). Asistencia Técnica: Grupo de Países Megadiversos Afines (Technical Assistance: Like Minded Megadiverse Countries) [on line]. Regional Office for Latin America and the Caribbean. Available at: <http://www.pnuma.org/deramb/GroupofLikeMindedMegadiverseCountries.php> [Consulted on 11/03/09].
o Paulo J. C. Oliveira, Gregory P. Asner, David E. Knapp, Angélica Almeyda, Ricardo Galván-Gildemeister, Sam Keene, Rebecca F. Raybin, and Richard C. Smith. 2007. Land-Use Allocation Protects the Peruvian Amazon. Science Express p. 1-7
o The Forest Carbon Partnership Facility (FCPF). Perú R-PIN (R-PIN Peru) [on line]. REDD Country Participants – Peru. Available at: <http://www.forestcarbonpartnership.org/fcp/PE> [Consulted on 11/03/09].
o The Forest Carbon Partnership Facility (FCPF). Peru – Consolidated External TAP Review [on line]. REDD Country Participants – Peru. Available at: <http://www.forestcarbonpartnership.org/fcp/PE> [Consulted on 11/03/09].
o The World Bank. 2009. Forest Carbon Partnership Facility [on line]. Carbon Finance. Carbon Funds and Facilities. Available at: <http://go.worldbank.org/57X9QKTON0> [Consulted on 11/04/09].
o International Union for Conservation of Nature (IUCN). 2008. Reducción de Emisiones por Deforestación y Degradación (Reduction of Emissions from Deforestation and Degradation) [on line]. Available at: <http://www.iucn.org/es/sobre/union/secretaria/oficinas/sudamerica/sur_trabajo/sur_bosques/mecanismos_redd/> [Consulted on 11/02/09].
o United Nations Framework Convention on Climate Change (UNFCCC). 2008. Views on outstanding methodological issues related to policy approaches and positive incentives to reduce emissions from deforestation and forest degradation in developing countries. Subsidiary Body for Scientific and Technological Advice (SBSTA). 28th Session. 63 p.
Exhibit 1: Legends of the Map of REDD Projects in Peru
REPUBLIC OF PERU KINGDOM OF THE NETHERLANDS
MINISTRY OF AGRICULTURE
NATIONAL INSTITUTE OF NATURAL RESOURCES
NATIONAL ENVIRONMENTAL COUNCIL PROGRAM FOR THE BUILDING OF NATIONAL CAPACITIES TO MANAGE THE IMPACT OF
CLIMATE CHANGE AND AIR POLLUTION (PROCLIM)
IM-03 SUBPROGRAM “INVENTORY OF GREENHOUSE GASES IN THE FIELDS OF AGRICULTURE, SOIL USE
CHANGE AND FORESTRY”
PERUVIAN AMAZON DEFORESTATION MAP, YEAR 2000
Scale: 1 / 2,000,000
June 2005
SOURCE: Hypsometric and Hydrographic Digital National Maps (illegible) at a scale of 1:100,000; Road Network of the Ministry of Transport and Communications (MTC) at a scale of 1:100,000; Political Boundaries and Inhabited Areas of the National Institute of Statistics and Informatics (INEI), year 2003 at a scale of 1:100,000; Satellite Image Mosaic LAND 3A – ETM – Years 1999 – 2002; Amazon Boundary at a scale of 1:100,000 prepared by the PROCLIM Project. Universal Trans Mercator (UTM) Projection, Horizontal DATUM WGS 84 – (illegible) 1:3
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SYMBOL COLOR DESCRIPTION SURFACE
Secondary Forest / Agriculture
Secondary Forest
Agriculture
Areas without Vegetation
Urban Inhabited Area
Pastures
OTHER AREAS
TYPES OF LAND USE
TOTAL AMAZON JUNGLE AREA
Rivers
Lagoons
Primary Forest
Beaches
Scrubland
CONVENTIONAL SIGNS
Urban Inhabited Area
Inhabited Areas
International Boundary
Departmental Boundary
Amazon Boundary
Paved Road
Surfaced Road
Road under Construction
Non-Surfaced Road
Road Project
Dirt Road
Rivers l Lakes
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Exhibit 2: Legend of the Map of REDD Projects in Peru
