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This paper discusses the Clean Development Mechanism (CDM) and forestry in Malaysia. The author notes that with the recently adopted modalities under the Conference of the Parties 9 (COP-9), afforestation and reforestation (A&R) activities are likely to increase in extent and stature.

The paper highlights that the development of Forest Management Units (FMUs) in the country represents a strong commitment by the government to ensure Sustainable Forest Management (SFM). The primary barrier to ensuring a sustainable supply of forest products for the future is the need for heavy investments into the plantation areas of the FMUs. As most of the FMUs are located on lands that are generally CDM compliant land and ready for project inception, the CDM offers a new area of opportunity for them to develop and become a model that can incorporate sustainable forestry development and carbon sequestration in the tropics. Furthermore, the paper notes that the tenure of 100 years and political stability in Malaysia, offers ingredients suitable for long term investments.

The author concludes that the CDM potential is viewed by project developers as complementary and supplementary to the further development of SFM and sustainable development for the country.

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