By Charles Palmer, Stefanie Engel
Avoided deforestation could be characterised because the use of economic incentives to minimize premiums of deforestation and woodland degradation, with a lot of the point of interest on forests in tropical countries.
While shunned deforestation, as a coverage factor, isn't really new, the present debate in educational and coverage circles on together with it in destiny weather swap mitigation concepts akin to the fresh improvement Mechanism is amassing speed – and this debate is barely prone to accentuate as negotiations proceed over what can be integrated within the successor contract to the Kyoto Protocol, that is set to run out in 2012.
Up before, besides the fact that, the talk when it comes to the medical and monetary implications of kept away from deforestation has now not been introduced jointly. This e-book goals to assemble vital examine findings within the quarter in addition to their coverage implications, when linking kept away from deforestation to political economic system in addition to to the most recent advancements in environmental and ordinary source economics.
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Extra info for Avoided Deforestation: Prospects for Mitigating Climate Change
3 Economics of avoiding deforestation Ewald Rametsteiner, Michael Obersteiner, Georg Kindermann and Brent Sohngen Introduction Deforestation is considered the second largest source of greenhouse gas emissions (IPCC, 2007) and is expected to remain a major emission source. The deforestation issue has been at the centre of the international environmental debate for two decades. Yet, despite a large number of studies, commitments, initiatives and strategy papers on the issue, deforestation continues at a rate of about 13 million ha per year (FAO, 2006).
That means an area of about 50 × 50 km covered totally with forests cannot be deforested in a shorter time period than 20 years. As mentioned earlier, we calculate the differences in net present value of different land uses to estimate the impact of financial incentives to reduce deforestation. When carbon market prices, transferred through a financial mechanism, balance out differences between the net present value of agricultural land and forest-related income, it is assumed, given profit-maximizing behaviour, that deforestation is avoided.
24 Source: Author Notes a Democratic Republic of the Congo. b Papua New Guinea. 4 per ha for large-scale oil palm in Indonesia. This compares with the average price of emission reductions in the CDM. 90 per tonne of CO2 with most emission reductions being in the range of US$8–14 (Capoor and Ambrosi, 2007). While avoided deforestation may not be able to compete with the large hydrofluorocarbon (HFC) destruction projects that have dominated the CDM, it is generally lower cost than most of the energy efficiency and renewable projects in the CDM.