The land use sector is responsible for as much as 25 per cent of global greenhouse gas emissions. Reducing Emissions from Deforestation and Forest Degradation plus Conservation (REDD+) offers incentives for developing countries to reduce carbon emissions through slowing deforestation and pursuing environmentally and socially sustainable use and conservation of forest resources.
According to Climate Funds Update, the climate funds have approved approximately US$1.9 billion of REDD finance between 2008-2014. Major REDD+ bilateral and multilateral initiatives are the International Forest Climate Initiative, UN-REDD Programme, Forest Carbon Partnership Facility, Forest Investment Program, Congo Basin Forest Fund, and Amazon Fund.
The main recipients of REDD+ finance are Brazil, Democratic Republic of Congo and Indonesia. All of these are countries where large areas of forest remain and deforestation rates are high. The Amazon Fund in Brazil, is an example of where performance based payments for REDD+ have been implemented, while the majority of the remaining REDD+ finance has been directed towards building, so called REDD+ readiness, to prepare for such performance based finance.
While a REDD+ mechanism has made progress in the UNFCCC negotiations, as evidenced by the recent Warsaw COP outcomes, implementing REDD+ is complex. In part, this is because REDD+ finance activities need to be designed to effectively target the complex drivers of deforestation including governance failures such as the lack of defined tenure rights. Concerns over the scope of REDD+ financing, benefit sharing, effective stakeholder participation and the need for safeguards to avoid negative environmental and social impacts also persist. Despite difficulties, REDD+ holds much mitigation potential and the New York Forest Declaration of late 2014, where leaders propose to cut natural forest loss in half by 2020, and strive to end it by 2030, is a promising step forward.
Image credits: Marco Simola for Center for International Forestry Research (CIFOR) | Flickr
- Safeguarding REDD+ finance: ensuring transparent and accountable international financial flows
- Global Witness 2012
- Funding forest protection in developing countries poses numerous financial risks, from inefficient allocation through to mismanagement of funds, misappropriation and corruption; detailed measures will be needed to ensure effective, tr...
- REDD+ finance delivery: lessons from early experience
- A. Creed (ed); S. Nakhooda (ed) / Overseas Development Institute [ES] 2011
- This paper summarises the current status of international public financial support and the progress made in the development of multilateral and bilateral delivery mechanisms for REDD+. The paper states that though it is difficult to e...
- Unlocking forest bonds: a high-level workshop on innovative finance for tropical forests
- M. Cranford; I. R. Henderson; A. W. Mitchell / WWF-World Wide Fund For Nature 2011
- This document is an outcome of a high-level workshop on innovative finance for tropical forests, specifically focusing on the development and introduction of forest bonds. Hosted by the WWF Forest & Climate Initiative, Global Cano...
- Synthesis report: REDD+ financing and activities survey
- Oslo Climate and Forest Conference 2010
- This paper presents a synthesis of results from a survey on countries and international bodies on their current REDD+ financing and implementing arrangements. It reports that REDD+ activities which have received financing support incl...
- Fast Start Finance for forests: The challenge of maintaining momentum
- C. Watson; W. McFarland; S. Nakhooda; A. Caravani / Overseas Development Institute 2014
- Overseas Development Institute report examining the REDD+ commitments of the five largest donors to Fast Start Finance. Since 2007, developed countries have provided substantial international public finance for programs that wi...
- Standards for results-based REDD+ finance: overview and design parameters
- C. Streck; J. Costenbader / Climate Focus 2012
- Climate Focus comparative study and overview of all major public and private forest carbon standards for use with REDD+. Results-based finance for reduced emissions from deforestation and forest degradation (REDD+) links paymen...