Zurich, Switzerland – Global deforestation accounts for 17% of all global carbon emissions. Not surprisingly, forestry projects are the focus of mitigation strategies around the globe. But many forestry mitigation projects come in the form of monoculture plantations that grow various species of pines or eucalyptus for logging purposes. Environmental groups do not support these types of plantations and see them as unsustainable; educated buyers are cautious due to their reputational risks.
Now South Pole’s Asorpar Reforestation Project in Colombia is proof that a sustainable approach, with a focus on biodiversity, can bring substantial financial returns. The project just issued its first 128,900 VCUs and will generate up to 1 million € for the project owner in 2011 alone. The positive revenue flow ensures project longevity and additionality and will inspire others to take a similar approach, especially in Central and South America where plantation projects exceed 95% of the forestry sector (FAO State of the World’s Forests Report 2010).
The Asorpar reforestation project is located on 11,000 hectares in northern Colombia in the Provinces of Antioquia and Arauca. Prior to the project, the forest area in Antioquia was devastated by illegal gold prospecting and coca plantations. Today, the area stands as a positive example of what additional carbon financing can do within a short time span. The project’s unique character and exemplary attributes raise the bar for any followers in the seminal field of climate change mitigation through forestry.
The polyculture project by South Pole and Asorpar is planting 25 different native species adapted to local soil conditions and selected according to local biodiversity and conservation needs. Today, considerably more native tree species than the 25 originally-planted species exist within the forests. This is because the micro-climate conditions created by the reforestation project facilitated the natural regeneration of more than 75 other native tree species.
According to Yougha von Laer, a Project Manager at South Pole, who has worked on the Asorpar project from its inception, “Bringing a degraded area of 11,000 ha back to life and giving back a viable home to a multitude of local plants and animals was a real challenge. We wanted to prove that the combination of biodiversity enhancement and the efficient development of premium carbon credits can produce positive results. The success of the project sends out a clear signal to skeptics that, with the right approach, the fusion of carbon trading and reforestation can be a strong driver for climate-change mitigation and biodiversity protection.”
There are several checks in place to guarantee that the carbon benefits last forever. VCS forestry projects require compulsory insurance against destruction. Only 70% of the actual CO2 reductions will be available for sale, while 30% will be kept in a buffer pool for unforeseen events. In the unlikely event that a fire completely destroys the forest, the VCS will replace credits by using the emergency reserve from other forestry projects that have not been affected. Thus, buyers of Asorpar’s carbon credits can be rest assured that their money has achieved a permanent environmental and climate benefit.
The project was registered under the Voluntary Carbon Standard (VCS) and is only the second forestry project to have achieved such accreditation. Moreover, the project is the world’s first-ever to use only native trees and the first ever in South America to issue VCS credits. The project is in the final stages of achieving the additional Climate, Community and Biodiversity Standard (CCBS). The CCBS aims to promote the development of forest protection, restoration and agro-forestry projects through high-quality, multiple-benefit, land-based carbon projects and is only issued to forestry projects with the highest levels of environmental integrity.
South Pole and Asorpar – via their collective effort to introduce sustainable forestry practices in Colombia – have provided individuals, businesses, organizations and governments with a real-world example of how market-based mechanisms can have a positive impact on mitigating climate change.
About the Project
VCS Project Database:
https://vcsprojectdatabase1.apx.com/mymodule/ProjectDoc/EditProjectDoc.asp?id1=576
About South Pole Carbon Asset Management Ltd.
Zurich-based South Pole Carbon Asset Management is one of the world’s leading high-quality carbon offsetting companies. In over 20 countries, the company enables the implementation and operation of high-quality projects that reduce greenhouse gases, with a focus on forestry, REDD and PoA development. In 2011, South Pole was named Best Project Developer in Environmental Finance’s Annual Voluntary Carbon Market Survey.
About Asorpar Ltd.
Asorpar Ltd. seeks to promote urban and rural reforestation and recovery of degraded ecosystems using native species through open-field germination. The company is involved in many areas: reforestation projects, sustainable forest management, landscaping, revegetation, transporting and planting mature trees, production of plant material, seed management, environmental impact assessments, and recovery of degraded soils, among others.
Source: South Pole.
