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Plan Vivo – Carbon management and rural livelihoods

• The Voluntary Forest Carbon market
• Voluntary Carbon Standards
• The Plan Vivo Standard
• Applicability of The Plan Vivo Standard to forestry in Scotland

                                          Contact
                                          Elaine Muir

                                          email: elaine@planvivofoundation.org
                                          Tel: 0131 672 3782 | Fax: 0131 672 9299

                                          Tower Mains Studios
                                          18b Liberton Brae
                                          Edinburgh EH16 6AE
                                                                        www.planvivo.org




                                                                                           1
The Voluntary Carbon market
• Not required by the law, not regulated by overarching authority
• Credits known as VERs
• Companies and individuals offset their emissions on a voluntary
  basis to claim climate or carbon neutrality
• Standards have been developed to provide transparency and
  quality assurance
• Voluntary carbon market transacted about 131 million tCO₂ in
  2010
• Largest share of sales = REDD (29%), A/R (around 8%)
• Innovation and experimentation for future compliance schemes



                                                                    2
Why voluntary markets for forest carbon?
•   Compliance markets NOT working for land-use
•   Costly, complex and bureaucratic




                                       http://cdm.unfccc.int/Projects/MapApp/index.html
                                                                                          3
Voluntary forest carbon standards
• Increase transparency
• Provide quality assurance

                        CAR
                         2% CCB + VCS
                               2%
                        CCB           Other
                        3%             6%
                    SGS
                    4%



                                                ISO 14064
                                                   37%
                     Plan Vivo
                        10%




                                    VCS + ACR
                                      35%




                                                            4
The Plan Vivo System and Standards
Plan Vivo: a standard and system
•   Tailored for projects working with
    rural communities to conserve
    and restore ecosystems and build
    sustainable livelihoods
History of Plan Vivo
 Stems from a 1994 DFID funded
 research project in Mexico

 Objective: to assess whether rural
 communities can access carbon
 finance


                                           5
How does it work? What is a plan vivo?
• Range of activities: Afforestation/reforestation, agroforestry, forest
  conservation and restoration
• Participatory planning: Participants draw up plan vivos (management plans)
• Individual (smallholder) or group (e.g. community forest)




                                                                           6
How are carbon services quantified?
The project generates technical specifications for each land-use.
• Additionality
• Baseline (absence of project)
• Project scenario
• Leakage
• Risks to sustainability e.g. fire
(determine risk buffer level 10-30%)




                                                                    7
Carbon benefits of different land-use activities over time

               Avoided deforestation                                    Afforestation / agroforestry

                                                                                             Project
                         Project
Carbon stock




                                                                                             Baseline
                         Baseline



                                                                                           20-40 years




               Approximate carbon benefits                          Approximate carbon benefits
               •   40 tC/ha miombo woodland                         •   15 tC/ha agroforestry systems
               •   120 tC/ha secondary tropical forest              •   60 tC/ha mixed use plantations
               •   200 tC/ha primary tropical forest                •   100 tC/ha tropical hardwoods




                                                 Multiply by 3.67 for
                                                 CO2e

                                                                                                         8
Transacting carbon services (PES agreements)

• Project enters into agreements with individual
  producers or community groups for their carbon
  services

• E.g. farmer, 1ha afforestation, agrees to sell 300 tCO₂ at
  $3.60/ tonne




                                                  Community banker in Kiyanga
                                                  issuing a PES payment to a
                                                  producer, TFGB project

                                                                                9
How are results monitored?


Monitoring and further
extension support
provided by local staff,
with assistance and
oversight
(emphasis on transfer
of technical capacity,
gradual
decentralisation of
roles)



                                 10
Conditional payments for ecosystem services
Year      Target/milestone             Payment

1         33% plot established         $/ local
                                       currency
2         66% plot established

3         100% established

5         85% survival + average dbh

7

10…

15…

                                                  11
Achievements so far

• Projects under development or
  operational in 14 countries
• >4500 participants with plan vivos
• >20,000 hectares under
  management
• ~$6 million channelled to
  developing countries
• 1,000,000 tCO2 certified to date




                                       12
The Markit Environmental Registry
• Ensuring transparency and traceability
• Example serial number
PV-PVC-UG-100000000000171-01012010-31122010-1539717-1569716-MER-0-A




                                                                      13
How is PES financed?




                       14
Certificate Issuance history




                               15
How is finance shared?


                                          Certification $0.35

                                            Verification,
                                            marketing?
                                                $0.65
                                             Admin’
                                          monitoring, etc
                              Example
                              price:            $1.40

                              $6 / tCO2
                                              Staged
                                            payment to
• Producers must receive an                communities/
  equitable share                           producers
                                                $3.60

                                                                16
Project example: Trees for Global Benefits
• Set up in 2003
• Coordinated by Ecotrust
• Scaling-up from 30 to 700
  over 7 years
• Expansion to new activities
• Further expansion to
  REDD+
• Socio-economic impact
  study showing poverty
  reduction
• Links to microfinance

                                                17
The Plan Vivo Standard: applicability to the Woodland Carbon
    Code
          Similarities                      Differences
• Both set out robust            • Focus on developing
  requirements for voluntary       countries
  carbon projects, enabling      • Focus on communities and
  consistent measurement of        benefit sharing, to break
  carbon uptake                    cycle of poverty and
• Both have a system of            environmental degradation.
  independent quality
  assurance




                                                                   18
Contact
Elaine Muir
elaine@planvivofoundation.org

Tel: 0131 672 3782 | Fax: 0131 672 9299
Tower Mains Studios
18b Liberton Brae
Edinburgh EH16 6AE
                                     www.planvivo.org
                                                        19

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Carbon management and rural livelihoods | Elaine Muir

  • 1. Plan Vivo – Carbon management and rural livelihoods • The Voluntary Forest Carbon market • Voluntary Carbon Standards • The Plan Vivo Standard • Applicability of The Plan Vivo Standard to forestry in Scotland Contact Elaine Muir email: elaine@planvivofoundation.org Tel: 0131 672 3782 | Fax: 0131 672 9299 Tower Mains Studios 18b Liberton Brae Edinburgh EH16 6AE www.planvivo.org 1
  • 2. The Voluntary Carbon market • Not required by the law, not regulated by overarching authority • Credits known as VERs • Companies and individuals offset their emissions on a voluntary basis to claim climate or carbon neutrality • Standards have been developed to provide transparency and quality assurance • Voluntary carbon market transacted about 131 million tCO₂ in 2010 • Largest share of sales = REDD (29%), A/R (around 8%) • Innovation and experimentation for future compliance schemes 2
  • 3. Why voluntary markets for forest carbon? • Compliance markets NOT working for land-use • Costly, complex and bureaucratic http://cdm.unfccc.int/Projects/MapApp/index.html 3
  • 4. Voluntary forest carbon standards • Increase transparency • Provide quality assurance CAR 2% CCB + VCS 2% CCB Other 3% 6% SGS 4% ISO 14064 37% Plan Vivo 10% VCS + ACR 35% 4
  • 5. The Plan Vivo System and Standards Plan Vivo: a standard and system • Tailored for projects working with rural communities to conserve and restore ecosystems and build sustainable livelihoods History of Plan Vivo Stems from a 1994 DFID funded research project in Mexico Objective: to assess whether rural communities can access carbon finance 5
  • 6. How does it work? What is a plan vivo? • Range of activities: Afforestation/reforestation, agroforestry, forest conservation and restoration • Participatory planning: Participants draw up plan vivos (management plans) • Individual (smallholder) or group (e.g. community forest) 6
  • 7. How are carbon services quantified? The project generates technical specifications for each land-use. • Additionality • Baseline (absence of project) • Project scenario • Leakage • Risks to sustainability e.g. fire (determine risk buffer level 10-30%) 7
  • 8. Carbon benefits of different land-use activities over time Avoided deforestation Afforestation / agroforestry Project Project Carbon stock Baseline Baseline 20-40 years Approximate carbon benefits Approximate carbon benefits • 40 tC/ha miombo woodland • 15 tC/ha agroforestry systems • 120 tC/ha secondary tropical forest • 60 tC/ha mixed use plantations • 200 tC/ha primary tropical forest • 100 tC/ha tropical hardwoods Multiply by 3.67 for CO2e 8
  • 9. Transacting carbon services (PES agreements) • Project enters into agreements with individual producers or community groups for their carbon services • E.g. farmer, 1ha afforestation, agrees to sell 300 tCO₂ at $3.60/ tonne Community banker in Kiyanga issuing a PES payment to a producer, TFGB project 9
  • 10. How are results monitored? Monitoring and further extension support provided by local staff, with assistance and oversight (emphasis on transfer of technical capacity, gradual decentralisation of roles) 10
  • 11. Conditional payments for ecosystem services Year Target/milestone Payment 1 33% plot established $/ local currency 2 66% plot established 3 100% established 5 85% survival + average dbh 7 10… 15… 11
  • 12. Achievements so far • Projects under development or operational in 14 countries • >4500 participants with plan vivos • >20,000 hectares under management • ~$6 million channelled to developing countries • 1,000,000 tCO2 certified to date 12
  • 13. The Markit Environmental Registry • Ensuring transparency and traceability • Example serial number PV-PVC-UG-100000000000171-01012010-31122010-1539717-1569716-MER-0-A 13
  • 14. How is PES financed? 14
  • 16. How is finance shared? Certification $0.35 Verification, marketing? $0.65 Admin’ monitoring, etc Example price: $1.40 $6 / tCO2 Staged payment to • Producers must receive an communities/ equitable share producers $3.60 16
  • 17. Project example: Trees for Global Benefits • Set up in 2003 • Coordinated by Ecotrust • Scaling-up from 30 to 700 over 7 years • Expansion to new activities • Further expansion to REDD+ • Socio-economic impact study showing poverty reduction • Links to microfinance 17
  • 18. The Plan Vivo Standard: applicability to the Woodland Carbon Code Similarities Differences • Both set out robust • Focus on developing requirements for voluntary countries carbon projects, enabling • Focus on communities and consistent measurement of benefit sharing, to break carbon uptake cycle of poverty and • Both have a system of environmental degradation. independent quality assurance 18
  • 19. Contact Elaine Muir elaine@planvivofoundation.org Tel: 0131 672 3782 | Fax: 0131 672 9299 Tower Mains Studios 18b Liberton Brae Edinburgh EH16 6AE www.planvivo.org 19