February 26, 2010

PFT President Writes about Genesis of CA Forest Carbon Market in New Publication

Pacific Forest Trust President and co-CEO Laurie Wayburn explains how PFT has joined conservation and market forces to sustain forests in a new publication: “Conservation Capital in the Americas: Exemplary Conservation Finance Initiatives” (2010/256 pages/$30.00).

The collection of case studies is based on a conference of the same name held in January 2009 in Valdivia, Chile. Wayburn was a presenter at the conference, which was attended by more than 100 international conservation leaders and policy makers. They gathered to consider methods to find financial capital—as well as human, social, and natural capital—to steward the earth’s resources for future generations.

The book was edited by James N. Levitt, director of the Program on Conservation Innovation at the Harvard Forest.
“This is the story of how three aspects of California – history making politicians, legendary redwoods and powerful policies addressing climate change – joined to make history and form a new financial market for conservation,” Wayburn writes in her chapter, titled Carbon Markets and the New Economic Paradigm for Forest Sustainability.
In her case study, Wayburn tells the story of our Van Eck Forest Project, California’s first registered emissions reduction project. In the process, she gives an overview of deforestation and its global climate impacts, providing context from California’s “Redwood Summer” and subsequent periods in the state’s environmental policy history leading up to its landmark climate legislation, The Global Warming Solutions Act (AB 32), and its pioneering provisions for forests.
"The contributors to Conservation Capital in the Americas include some of the leading thinkers on conservation finance in the world, who asked: Where do we find the money, the talent, and the political will to do the jobs necessary to address complex threats to ecosystems that provide a spectrum of essential services that sustain life?"
- Lincoln Institute of Land Policy.
The answers were neither simple nor uniform. “Carefully crafted solutions will need to fit a dizzying array of local land ownership patterns, political contexts, and economic conditions,” Levitt says.

The book was published last month by the Lincoln Institute of Land Policy, in collaboration with Island Press, the Ash Institute for Democratic Governance and Innovation at the Harvard Kennedy School and the David Rockefeller Institute for Latin American Studies at Harvard University.

The first chapter and full abstract for book can be found here along with purchase information.

Read more about the original Conservation Capital conference here.
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February 23, 2010

CA Air Resources Board Preparing for 'Compliance Use' Forest Protocols

The Climate Action Reserve’s Forest Project Protocols are on the agenda of the California Air Resources Board’s Thursday meeting, when state officials will move closer to implementing the country’s first government-backed cap and trade system.

Part of the meeting’s focus will be laying out a procedural road map for how carbon offsets will be used in California’s cap and trade system. Staff is expected to make a presentation outlining a process and time line for updating the voluntary protocols managed by the Climate Action Reserve with a regulatory version specifically designed for use in the cap and trade system.

As part of the process for developing new protocol regulations, the Board is expected to withdraw their endorsement of several protocols that have been used for “early action” emissions reduction initiatives – including forest projects – to focus staff resources on developing protocols for “compliance use.”

ARB spokesman Stanley Young told Point Carbon News the action will allow ARB to focus environmental review efforts on the standards that will ultimately be used to ensure compliance with cap and trade regulations created by the state’s landmark greenhouse gas reduction legislation, the Global Warming Solutions Act of 2006 (AB 32).
“Since we always intended to do an environmental analysis of the protocols as part of the cap-and-trade analysis, and ARB will no longer be adopting voluntary protocols in the future, we think the most direct approach was to withdraw ARB’s approval of all voluntary protocols and reconsider each of the protocols as part of the cap-and-trade program,” said Stanley Young, a spokesman for CARB.
The Air Board intends to adopt the regulations governing AB 32’s cap and trade program this fall, and state officials have expressed their intent to produce compliance-ready standards similar to the CAR Forest Project Protocol on a similar timetable.

Withdrawal of the protocols as qualifiers for “early action” credit under AB 32 has created some confusion over whether or not credits sold under earlier versions of the Protocols will automatically be allowed in California’s emissions trading program.

Traders and brokers have placed a high premium on forest carbon offsets issued by CAR, known as CRTs, because their rigorous requirements are considered to produce emissions reductions most likely to be accepted under AB 32 and in a national cap and trade system.

California EPA secretary Linda Adams – who also serves as chair of CAR’s board ¬– told Point Carbon she is “very confident” that the standard-making body’s voluntary offset protocols will be approved for compliance under AB 32.
“We feel very confident that since we’ve adopted the most stringent standards in the world, it’s highly likely that these projects will be given credit for early action,” she told Point Carbon News last week.
The Pacific Forest Trust has been assured that ARB does not intend to reject the current CAR Forest Protocol, but they do need to focus their energies on developing the compliance regulations, rather than investing further time and energy in the voluntary protocols.

“This is a positive step forward,” said Connie Best. “The sooner compliance-grade protocols are adopted by ARB, the sooner we will have certainty about standards and expectations.”

“The ARB action does not pertain to the Climate Action Reserve itself,” Best noted. “CAR continues to utilize the Forest Project Protocol and other protocols in its well-regarded program for registering rigorously quantified and independently verified voluntary emissions reductions from the various sectors.”

The ARB action may create some uncertainty on the part of companies with compliance obligations in California under AB32, and could lead them to defer investments in CAR projects, she added. But Best doesn’t see this action affecting the broader voluntary market, nor the appeal of CAR verified Carbon Reduction Tons as the highest available standard for projects and buyers outside the state.

Read the full Point Carbon story here.
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February 4, 2010

Grist: Seeing the Jobs in the Forest

Investment in forest conservation and stewardship can have a tremendous impact on the nation's employment levels, writes Glenn Hurowitz in this week's Grist.

In his article "The Jobs are in the Trees," Hurowitz cites research indicating "reforestation and restoration outperforms even the second-most jobs-intense activity analyzed by 74 percent, and conservation exceeds other major jobs alternatives, including new highway construction, Wall Street, and conventional energy sources like oil and nuclear."

Reports on privately-owned forests found similar results, Hurowitz writes. "The National Alliance of Forest Owners [pdf] reports that every hundred acres of privately owned forests supports eight jobs and the FAO reported last year that investing in sustainable forestry management could create ten million new, good-paying jobs worldwide."

"This means that if the government is serious about creating jobs, it’s got to pass clean energy and climate legislation and a new jobs bill that includes powerful incentives for reforestation, revegetation, sustainable forest management, and conservation.

This legislation can perform the equivalent of the Civilian Conservation Corps, the extremely popular New Deal program that put millions of people to work in forestry and conservation."

Read the full article on Grist and check out their graphic showing jobs in green industries that can be generated by investment in a new clean energy economy.


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February 3, 2010

Coalition Takes Call for Forest Provisions in Climate & Energy Bill to Capitol Hill

Twenty representatives of a broad, PFT-led coalition – now 70 members strong – called on lawmakers in Washington, D.C., recently, to make a case for conserving and stewarding America’s working landscapes through federal climate and energy legislation.

Productive U.S. forests, farms and ranch lands sustain rural communities and jobs and are fundamental to our atmosphere. Forests alone sequester and store roughly 20 percent of our greenhouse gas emissions annually.

Our coalition members traveled to D.C. to affirm how critical these working landscapes will be to comprehensive climate and energy legislation, such as the bill under development by Senators John Kerry (D-Mass.), Lindsey Graham (R-S.C.) and Joe Lieberman (I-Conn.).

PFT President Laurie Wayburn and other coalition representatives (see list below) arrived as the nation’s capital was abuzz over the election of Republican Scott Brown, to the Mass. senate seat long held by Democrats. It was a good time to promote the bipartisan appeal of a clean energy and climate bill in general, and the importance of working lands to both sides of the aisle in particular.

“Rural economies in red and blue states depend heavily on forests, farms and other working lands,” said PFT President Laurie Wayburn, who met with key members, including Senator Blanche Lincoln (D-Ark.), Chair of the Senate Agriculture Committee, Senator Patrick Leahy (D-Vt.) (pictured above), and senior staff for Senators Harry Reid (D-Nev.), Max Baucus (D-Mont.), Graham, and Lieberman. "Senators from both sides of the aisle have a vested interested in maintaining the land infrastructure that supports natural resource-based economies. We need to maintain and create new, sustainable jobs in the wake of a declining wood products industry that could have dire consequences for these land- and mill-owners.”

“If they’re forced to sell and these lands are converted away from forest- and farm-use, we lose the jobs and other essential ecosystem services these lands provide, like delivering drinking water and stabilizing the climate,” Wayburn added. “This happens to an area the size of Delaware every year in the U.S. and is expected to swallow up 50 to 75 million more acres of these vital lands in the next 50 years.”

Known informally as our working lands coalition, the group is composed of a broad cross section of forest landowners large and small, mill owners, market groups, conservation and environmental organizations. They arrived on Wednesday, Jan. 20, to discuss the importance of conserving and sustaining U.S. forests, farms and ranch lands through incentives and direct funding allocations created by federal climate and energy legislation. Specifically, the group is asking lawmakers to ensure any comprehensive climate and energy bill includes:

• Accurate accounting of carbon stored in and emitted from U.S. lands;
• High quality emissions reductions from forests in a cap and trade system;
• Funding for land conservation and stewardship.

This unusual alliance of industry and environmental groups garnered the ear of Democrats, Independents and Republicans alike. Members met with lawmakers or Senators’ senior staff from 22 offices.

The coalition’s efforts were covered by ClimateWire, which quoted member Wade Mosby, senior vice president of The Collins Companies, the largest landowner in Pennsylvania, and Gary Hendrix, of the Phillips Brothers Mill and Tree Farm. The latter is a sixth generation landowner operating the last fully-steam operated mill in the country (and our 2008 Forest Champion).

Hendrix (pictured right), Mosby and other landowners told Senators and their staff how landowners are struggling in today’s economy, and need help to avoid going the way of America’s 2.2 million acres that are converted every year.
“Located on just under 1,000 acres of land, the business was lucky to survive last year's collapse of the timber market and extensive sawmill closures, Hendrix said. Owning his own small mill and selling wood to niche markets were big factors in its survival, he said.

A conservation easement set up by the Pacific Forest Trust also helped. The farm receives payments in return for an agreement to never subdivide its land and always maintain a sustainable forest. By contrast, the offset market, with the high participation costs and low carbon prices so far, is still at best a break-even proposal for him, Hendrix said.

Hendrix's neighbors are having even tougher times. On even smaller plots of land, they have struggled to sell timber to the few large commercial mills still operating and often face high tax rates that make staying on their land difficult, he said.”

The importance of conserving forests and their climate benefits is one issue negotiators have been able to find some general agreement on during otherwise contentious international climate talks. The conservation of US lands should be a unifying issue that brings together disparate interests here at home.

Our coalition is a good example of that sort of unification in action.

“Thanks to PFT, the group was an amazing amalgam of varied industry, geographic and political viewpoints which came together perfectly,” reflected Carol P. Williams, executive director of the Land Trust of Arkansas. “The teams [meeting with legislators and staff] were matched beautifully and as well-received by those we visited as possible in such tricky political times!!!”

Let’s hope our lawmakers take a page from our coalition’s book. Provisions for domestic forests, farms and ranch lands can and should generate bipartisan agreement in the new iteration of the climate and energy bill.

Coalition members with representatives in D.C. last week include:

Collins Companies
Conservation Forestry
Equator
Evolution Markets
Forest Guild
Land Trust Alliance
Land Trust for Arkansas
Lyme Timber Company
New Forests
The Pacific Forest Trust
Pennsylvania Land Trust Association
Phillips Brothers Mill and Tree Farm
Piedmont Environmental Council
Pinchot Institute for Conservation
Vermont Land Trust

For a full list of coalition members, download their letter to lawmakers with specifics of what they’d like to see in federal climate and energy legislation.
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