1. CLEAN DEVELOPMENT MECHANISM & FORESTRY CLEAN DEVELOPMENT MECHANISM & FORESTRY OPPORTUNITIES FOR CAMBODIAN FORESTERS AND CONSERVATIONISTS by Thanakvaro T. De Lopez CAPACITY DEVELOPMENT for the CLEAN DEVELOPMENT MECHANISM for CAMBODIA (CD4CDM-CAM) National Workshop on Capacity Development for the Clean Development Mechanism 26-27 March 2003 Phnom Penh, Cambodia

2. 2 OUTLINE Part I – Climate Change and Forestry Part II – International Examples of Carbon Sequestration Projects in the Forestry Sector Part III – Opportunities for CDM Projects in the Cambodian Forestry Sector

3. PART I CLIMATE CHANGE AND FORESTRY

4. 4 Forests and Climate Change Some 25% of annual global emissions of CO 2 result from deforestation Carbon Sequestration: The growth of vegetation and forests removes CO 2 from the atmosphere.

5. 5 Forests and CO 2 Flows Photosynthesis CO 2 Removal CO 2 Release Respiration Decomposition Combustion Atmospheric CO 2 Carbon Stock

6. 6 Forests and Climate Change Mitigation Forests are carbon sinks and reservoirs Conservation of existing forests Increase of forest cover Increase of carbon stored in forests

7. 7 Forestry Activities Eligible for CDM General eligibility rule: conversion of non-forest land to forest land Definition of “Forest”: minimum land area of 0.05-1.0 ha; crown cover of at least 10-30%; trees with potential to reach minimum height of 2-5 meters.

8. 8 Forestry Activities Eligible for CDM Real measurable emission reductions certified by independent agency Conformity with national sustainable development strategy Contribution to biodiversity conservation and sustainable use of natural resources

9. 9 Forestry Activities Eligible for CDM Afforestation: conversion into forest of non-forest land Reforestation: planting of trees on degraded forest land or former forest land

10. 10 Forestry Activities Eligible for CDM Afforestation: limited to land that has not been a forest for at least 50 years Reforestation: limited to land that has not been a forest since 31 December 1989

11. PART II International Examples of Carbon Sequestration Projects in the Forestry Sector

12. 12 Infapro, Malaysia Location: 25,000 ha logged dipterocarp forest in Eastern Sabah Parties: (1) Face Foundation (Forests Absorbing Carbon dioxide Emissions); (2) Innoprise Corporation, Malaysian governmental forestry organisation

13. 13 Infapro, Malaysia Activities: rainforest rehabilitation with enrichment planting using 35 indigenous tree species

14. 14 Infapro, Malaysia Investment: US $15 million Duration : plantation over 25 years with 60 year growth cycle (started in 1992) Sequestration: 15.6 million tons of CO 2 Average cost: US$ 0.95 per ton of CO 2

15. 15 Plan Vivo, Mexico Location: Chiapas, Southern Mexico Parties: (1) FIA, Formula One Foundation; (2) Ambio, cooperative of Foresters; (3) local community groups and small farmers associations

16. 16 Plan Vivo Objectives To sequester carbon with sustainable forestry To Generate benefits for local livelihoods

17. 17 Plan Vivo Activities: plantations, agroforestry, communal reforestation Carbon Sequestered tC/ha

18. 18 Plan Vivo, Mexico Investment: US $15 million Sequestration: 5000 to 13000 tons of CO 2 per year Average price: US$ 3.6 per ton of CO 2

19. PART III Opportunities for CDM Projects in the Cambodian Forestry Sector

20. 20 OPPORTUNITIES IN CAMBODIAN FORESTRY On-going tree planting programmes: forest plantation, National Arbor Day and Community Forestry Potential land for carbon sequestration: disturbed forest areas (estimated at some 1.5 million ha by MoE) and non-forest areas

21. 21 ILLUSTRATIVE EXAMPLE Location: Heavily deforested south-central provinces (e.g. Kompong Cham, Kandal) Activities: community forestry and agroforestry;10,000 ha reforested Sequestration: 1 million tons CO 2 over 10 years Revenues from CDM: US $3 million at US $3 per ton CO 2

22. 22 What needs to be done to take advantage of CDM opportunities Capacity building / human resources development Research in Cambodian forest ecosystems Set up procedures and guidelines for CDM forestry projects Actively develop CDM projects Actively seek out CDM partners

23. CONCLUSIONS

24. 24 CONCLUSIONS CDM may provide financing for afforestation & reforestation activities in Camdodia Large potential for CDM implementation in the Cambodian forestry sector Stakeholders (government, NGOs, private companies) ought to actively pursue efforts to take advantage of CDM opportunities