Thursday, December 1, 2011

Day 3: REDD - flaws of market based mechanisms?

Today, I will focus on REDD+, and the possible loop holes and dangers that exist within the mechanism. All 3 articles and videos are related, so feel free to read/evaluate only one of them.

1) http://www.fern.org/carbonmarketswillnotdeliver  - Why carbon markets will not deliver


Carbon markets based around REDD credits are likely to be highly uncertain, inequitable, and not address the core systemic issues that drive deforestation. Carbon markets are highly dominated by Western entities, and the profits generated rarely feed back into re-forestation projects. It is also argued in the report that, as is the case for CDMs, most of the funding and profits would only make it to a select group of countries, and not necessarily the most vulnerable ones.

The report suggests that rather than relying on a market for funding, Southern governments should push for other means, such as taxes, levies and financial transfer payments.


2) http://www.guardian.co.uk/environment/2011/nov/30/peruvian-amazon-carbon-piracy


OR a Video by Forest Peoples Programme (FPP): Carbon Piracy and land conflicts: The reality of REDD in the Peruvian Amazon http://unfccc4.meta-fusion.com/kongresse/cop17/templ/play.php?id_kongresssession=4315&theme=unfccc


These two media items refer to the same report. Prepared by the FPP, and presented by Indigenous groups from Bolivia, the report outlines how REDD contracts are not in the interests and benefits of numerous indigenous groups in the Amazon.


The main concern is the lack of understanding and accurate communication of what indigenous groups are signing up to. Contracts are usually in English and have complex, Western focused legal matter attached to them. Indigenous groups are being talked into signing an agreement with to pre-defined end period.


Market based mechanisms are deeply embedded in Western ideology and are being pushed on communities that have had seldom experience with the market. Although REDD has possibilities NGOs and national government are going to be very careful with the contracts regarding carbon trading, as the profits generated may never make it back to the community.


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