Conclusions and Policy Recommendations

Author: Scholz, Sebastian M.

Source: Rural Development through Carbon Finance, Issue data not provided , pp. 153-162(10)

Publisher: Peter Lang Publishing Group in association with GSE Research

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The CDM framework as designed by the international community is unique and unprecedented. It is a scheme aiming to ensure development benefits while simultaneously creating an additional reduction of GHGs from the atmosphere. This twin objective to protect the global climate and to contribute to sustainable development is as challenging as it is simultaneously appealing. Especially the land-use related CDM and, thus, project activities in the forestry sector have a substantial potential for the development of rural areas. LULUCF projects that enhance the sequestration of carbon in biomass directly deal with the management of the resources on which the livelihoods of many poor people depend. The most fragile and threatened natural resources in developing countries and serious rural poverty share very often overlapping areas (SUNDERLIN et al. (2005)). Thus, apparent synergies between rural development, poverty reduction, and carbon sequestration in land-use related activities suggest that the aforementioned twin objective of the CDM can be reached if activities are designed accordingly.

Keywords: Conclusions and Policy Recommendations

Document Type: Research Article

Publication date: January 1, 2009

More about this publication?
  • Rural Development through Carbon Finance
    In a timely contribution to the international discussion of the post-Kyoto climate regime this study hypothesizes that Clean Development Mechanism (CDM) projects in the land use and forestry sector are an efficient instrument for climate change mitigation that contributes to rural development and poverty alleviation at the same time. To this end, the study analyzes socio-economic aspects of a forestry project established under the CDM rules considering an East African case study exemplarily. An agricultural household survey in Tanzania delivered the empirical data for the structural equation model at the center of the analysis. Looking at different farm assets it is shown that the benefits of land use-related climate projects go way beyond pure mitigation. They also have a positive impact on a very broad asset base on which poor farm households depend. Hence, the current CDM only allowing for afforestation and reforestation projects is far too restricted to deliver on its twin objective.
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