Presentation at Reducing the costs of GHG estimates in agriculture to inform low emissions development 10-12 November 2014 Sponsored by the CGIAR Research Program on Climate Change, Agriculture and Food Security (CCAFS) and the Food and Agriculture Organization of the United Nations (FAO)

1. Training for Conducting Carbon Balance Appraisals of AFOLU projects and policies
FAO-CCAFS International Workshop
Reducing the costs of GHG estimates in Agriculture
12 November 2014
EX-ACT TEAM: LOUIS BOCKEL, MARTIAL BERNOUX, UWE GREWER, LAURE SOPHIE SCHIETTECATTE, ECONOMICS OF SUSTAINABLE AGRICULTURE SYSTEMS (ESAS)

2. I. Agenda and Objectives
ECONOMICS OF SUSTAINABLE AGRICULTURE SYSTEMS (ESAS)
AGRICULTURAL DEVELOPMENT ECONOMICS DIVISION (ESA)

3. The EX-Ante Carbon balance Tool
www.fao.org/tc/exact
By the end of the training, participants will have used the EX-ACT tool and will be able to:
•Explain the concept of a carbon balance
•Apply the EX-ACT tool for a simple application
•Analyze and utilize EX-ACT results
Training Objectives

4. The EX-Ante Carbon balance Tool
www.fao.org/tc/exact
An Excel-based calculator, used to:
•Quantify the amount of GHG released or sequestered from agricultural activities
•Assist in identifying practices with beneficial impacts
What is EX-ACT?

5. The EX-Ante Carbon balance Tool
www.fao.org/tc/exact
•Technical development of the EX-ACT tool
•Conduct GHG appraisals and economic analysis of development projects & agricultural policies
•Disseminate and provide training on the EX-ACT tool in the context of Climate-Smart Agriculture
Role of EX-ACT team

6. The EX-Ante Carbon balance Tool
www.fao.org/tc/exact
9.00-10.30
•Opening (15 mn)
•Presentation of EX-Act Carbon balance Tool and some applications (35 mn)
•Hands-on application of EX-ACT (40 mn)
oEntering data in EX-ACT
oPractical exercise: Forest reserve in Brazil
oPractical exercise: Indonesia Palm oil plantation
Training Overview

7. II. World Bank and IFI’s: Towards a harmonized approach to project level GHG accounting
ECONOMICS OF SUSTAINABLE AGRICULTURE SYSTEMS (ESAS)
AGRICULTURAL DEVELOPMENT ECONOMICS DIVISION (ESA)

8. The EX-Ante Carbon balance Tool
www.fao.org/tc/exact
•IFI engaged
oWorld Bank (WB), Asian Development Bank (ADB), European Bank for Reconstruction and Development (EBRD), European Investment Bank (EIB), Inter-American Development Bank (IDB), Agence Française de développement (AfD), …
•Screening
oIFIs shall screen each proposed direct investment project for likely significant GHG emissions.
oIFIs will undertake GHG accounting for all direct investments consistent with the screening criteria.
•Methodology
oIFIs shall undertake the GHG accounting of a project based on established methodologies for ex-ante GHG accounting
International Financial Institution Framework for a Harmonised Approach to GHG Accounting

9. The EX-Ante Carbon balance Tool
www.fao.org/tc/exact
•Net emissions compared to baseline scenario
oReference scenario may be either a “without project” scenario or an “alternative scenario”
•Reporting
oAt a minimum, each IFI shall report annually on the aggregate net GHG emissions for screened mitigation projects, estimated to arise from the previous year’s approved or signed investments
Harmonised Approach to GHG Accounting

10. III. Climate change, GHG Appraisal and Climate-Smart Agriculture (CSA)
ECONOMICS OF SUSTAINABLE AGRICULTURE SYSTEMS (ESAS)
AGRICULTURAL DEVELOPMENT ECONOMICS DIVISION (ESA)

11. AGRICULTURE’S CONTRIBUTION TO GHG EMISSIONS
CLIMATE CHANGE AND AGRICULTURE: MAIN CONCEPTS AND IMPACTS

12. The EX-Ante Carbon balance Tool
www.fao.org/tc/exact
Main mitigation options
70 % of agriculture mitigation potential
In developing countries
CO2
 rate of deforestation and forest degradation,
 adoption of improved cropland management practices (reduced tillage, integrated nutrient and water management)
CH4, N2O
RESOURCE USE EFFICIENCY
improved animal production and management of livestock waste,
more efficient management of irrigation water on rice paddies,
improved nutrient management
Sequestering carbon conservation farming practices, improved forest management practices, afforestation and reforestation, agro-forestry, improved grasslands management, restoration of degraded land
Mitigation possible through changes in agricultural technologies and management practices
-1,2 t eq- CO2/ha/year
-18,8 t eq-CO2/ha/year
-42,7 t eq-CO2/ha/year
1 ha of avoided deforestation from tropical rain forest to degraded lands
1 ha plantation, degraded land to tropical rain plantation
1 ha grasslands from severely degraded to improved grasslands
-1,7 à -3,8 t eq- CO2/ha/year
1 ha from degraded land to annual crops

13. The EX-Ante Carbon balance Tool
EX-ACT Training, World Bank 2014
www.fao.org/tc/exact
Concepts: Mitigation & Adaptation
Mitigation
Adaptation
I attack the problem
I act in response to the impacts of the problem
Strategies can and should be implemented jointly
Decrease GHG sources
Increase sinks of GHG
Risk management Strenghtening institutions Trainings Investments in rural economy
Decrease sources
Increase sinks

14. The EX-Ante Carbon balance Tool
EX-ACT Training, World Bank 2014
www.fao.org/tc/exact
Main differences between adaptation and mitigation
Longer-term effect
Shorter-term effect
Especially motivated with countries less vulnerable to CC
Especially focussed on vulnerable countries
Global
Local
Effects of climate change
Causes of climate change
Mitigation
Objectives
Spatial scale
Time scale
Equity
Adaptation
 Same final common target: Sustainable development

15. The EX-Ante Carbon balance Tool
www.fao.org/tc/exact
Links between Adaptation and Mitigation
Agriculture Adaptation
Targets
Agriculture Mitigation
Targets
Enriched carbon in soils
rehabilitated land in
watersheds
Reduce flood recurrence
and improve resilience
to natural disasters
Diversify rural income and strengthen economic resilience
Increase protection against
disaster (Disaster risk
management, insurance)
reforested areas
improved pasture
management
Reduced deforestation
and slash and burn practices
L&W conservation measures
Community oriented public works
Land use
management
Reduced CH4 emissions
Adequate irrigation
Double target activities
PES to farmers
Cropping systems resilient to drought and water stress

16. The EX-Ante Carbon balance Tool
EX-ACT Training, World Bank 2014
www.fao.org/tc/exact
From farm-based to comprehensive
development concepts
Conservation agriculture
Sustainable land
management
Agroecology
Organic farming
Macro
Micro
Farming
technics
Area - based
management
Multi-function
planning and policies
Climate smart agriculture
Value
chain
CSA among other concepts of
`green‘ agriculture

17. CLIMATE CHANGE AND AGRICULTURE: MAIN CONCEPTS AND IMPACTS
EX-ACT TEAM:
LOUIS BOCKEL (FAO): louis.bockel@fao.org
MARTIAL BERNOUX (IRD): martial.bernoux@ird.org
UWE GREWER (FAO): uwe.grewer@fao.org
WWW.FAO.ORG/TC/EXACT
EMAIL: EX-ACT@FAO.ORG