Brazil Nut
NIHIT TOPAiYO
OAXACA

Short-term carbon removal and reduction; nature-based

Forestry

Trees are one of nature's most effective carbon sinks, and planting and protecting them provides important social and conservation co-benefits. However, forestry projects face long-term management challenges. We use verifications like Gold Standard and Verra as a starting point, but partner with providers who do independent analysis to ensure there is strong evidence that our projects are additional and support local communities.

Why we like it

Forests already sequester over 8 billion tons of CO2e per year, and represent an immediately available solution to lower global emissions. Improved forest management also generates benefits to local communities, including increased biodiversity and water quality.

Risks to consider


Measuring the carbon impacts of forest management projects is challenging, as it requires predicting what would have happened if the project had not taken place. Forests are also vulnerable to natural disasters, such as wildfires, which could risk releasing sequestered carbon.

Project: Brazil Nut Forest Protection

Partner: Pachama

Location: Madre de Dios, Peru

Carbon Portfolio Project: Yes

About

This project is a collaboration with over 300 landowners to prevent deforestation across 143 parcels of land. Besides protecting natural forest sinks, it also supports the local economy with the harvest of Brazil Nuts, a valuable commodity only found in old-growth rainforest. This project is verified by Verra, and its maintenance is validated by Pachama’s proprietary satellite imagery data and analysis.

Our Evaluation

Metric

Score

Cost

$6

10

Supply Chain Efficiency

< 80%

5

Project Transparency

Medium-High

8

Permanence

10 - 100 years

5

Additionality

1

5

Drawdown Contribution

41

6

Catalytic Potential

Medium

5

Ecosystem Benefits

2

10

Community Benefits

2

10

Integrity

Verifiability

All Pachama projects must be properly documented and verified by a third-party verification organization. Pachama then uses its remote sensing analysis to calculate the additional carbon benefit of the project (by measuring biomass) and compares the results of their analysis to the volume of carbon credits being offered by the project.

Enforceability

Pachama retires carbon credits on Joro’s behalf and issues a unique certificate to demonstrate sole ownership.

Additionality

To ensure carbon credits would not have been achieved in a business as usual scenario, Pachama uses historical remote sensing data to compare the forest stock within a project’s boundaries to that of forests in the surrounding area.

Permanence

This project is granted through a 40-year contract with the Peruvian Government. Pachama uses satellite imaging and geographic analysis to determine the risk of forest damage from natural causes, such as forest fires and pests, and works with project developers to engage in risk reduction to increase the durability of projects.

Project Transparency

Pachama publicly shares detailed information about this project on their website, including photos, descriptions, project developers, and key project files, including the VCS verification reports. They also share the results of their independent monitoring on a regular basis on their website.

Transformative Power

Supply Chain Efficiency

Pachama adds a 20% margin to cover their selection, verification, and administration costs. As in most forestry projects, other partners, including project verifiers and developers, also take a portion of profits, in addition to the community owners.

Drawdown Ranking

As a climate solution, Forest Protection is estimated to reduce/sequester 6-9 gigatons of carbon between now and 2050.

Catalytic Potential

While many platforms sell forestry credits, Pachama’s approach is novel in the use of technology to monitor challenges frequently associated with forest projects. Further adoption of Pachama’s technology has the potential to greatly improve monitoring and verification of forest projects, leading to eventual improvements in the quality of forestry offset projects.

Ecosystem Benefits

Avoiding deforestation has significant ecosystem benefits, including biodiversity protection, pollination, and other ecosystem services.

Community Benefits

The Brazil Nut Concessions project creates economic opportunities for local people, enabling the community to safeguard against illicit deforestation. In addition to generating income through carbon credits, the project has built a new brazil nut processing facility to increase the value of harvested nuts, a valuable commodity only found in old-growth rainforest, expanding what a former subsistence activity into a viable income source.

External Certifications

Project: NIHT Topaiyo

Partner: Pachama

Location: Papua New Guinea

Carbon Portfolio Project: Yes

About

Papua New Guinea is the world’s largest exporter of tropical timber wood. This project partners with local landowners to turn forested land slated for timber harvest into carbon credit projects. Pachama uses third-party standards and their own satellite imagery and analysis to validate and ensure that forestry projects are being maintained and protected. In addition to climate impacts, this project protects the integrity of local ecosystems and reinvests revenues into the local community.

Our Evaluation

Metric

Score

Cost

$6.30

10

Supply Chain Efficiency

< 80%

5

Project Transparency

Medium-High

8

Permanence

10 - 100 years

5

Additionality

1

5

Drawdown Contribution

41

6

Catalytic Potential

Medium

5

Ecosystem Benefits

2

10

Community Benefits

2

10

Integrity

Verifiability

All Pachama projects must be properly documented and verified by a third-party verification organization. Pachama then uses its remote sensing analysis to calculate the additional carbon benefit of the project (by measuring biomass) and compares the results of their analysis to the volume of carbon credits being offered by the project.

Enforceability

Pachama retires carbon credits on Joro’s behalf and issues a unique certificate to demonstrate sole ownership.

Additionality

To ensure carbon credits would not have been achieved in a business as usual scenario, Pachama uses historical remote sensing data to compare the forest stock within a project’s boundaries to that of forests in the surrounding area.

Permanence

The total number of crediting years for this project is 30 years. Pachama uses satellite monitoring and geographic analysis to determine the risk of forest damage from natural causes, such as forest fires and pests, and works with project developers to engage in risk reduction to increase the durability of projects.

Project Transparency

Pachama publicly shares details of this project on their website, including photos, descriptions, project developers, and key project files, including the VCS verification reports. They also share the results of their independent monitoring on a regular basis on their website.

Transformative Power

Supply Chain Efficiency

Pachama adds a 20% margin when selling their carbon credits in order to cover their selection, verification, and administration costs. As in most forestry projects, other partners, including project verifiers and developers, also take a portion of profits, in addition to the community owners.

Drawdown Ranking

As a Drawdown solution, Forest Protection is estimated to reduce/sequester 6-9 gigatons of carbon between now and 2050.

Catalytic Potential

While many platforms sell forestry project offsets, Pachama’s approach is novel in the use of technology to monitor challenges relating to additionality or verifiability frequently associated with forest projects. Further adoption of Pachama’s technology has the potential to greatly improve monitoring and verification of forest projects, leading to eventual improvements in the quality of forestry offset projects.

Ecosystem Benefits

Avoiding deforestation has significant ecosystem benefits, including biodiversity protection, pollination, and other ecosystem services. NIHT is committed to preserving the land ecology and is financing a comprehensive biodiversity study.

Community Benefits

The project plans to reinvest 81% of net revenue into local communities. In addition to distributing funds directly to individuals, the project's funds are used for developing access to online schools, expanding healthcare in the region, and introducing solar-powered electricity. Furthermore, the project developer has ongoing consultations with community leaders, committee meetings, and events open to the public.

External Certifications

Project: Oaxaca Forestry

Partner: Cool Effect

Location: San Juan Lachao, Western Oaxaca, Mexico

About

Mexico’s 65 million hectares of forest are disappearing at a rate of 1 million hectares a year. This project prevents forest exploitation and restores areas affected by damage from erosion, fires, and illegal grazing, among other dangers. Without the project, the main activity is slash-and-burn agriculture with some cattle grazing. The project is a community effort, managed by local landowners who pooled their resources, and has created 50 jobs for local residents.

Our evaluation

Metric

Score

Cost

$6.30

10

Supply Chain Efficiency

< 80%

5

Project Transparency

Medium-High

8

Permanence

10 - 100 years

5

Additionality

1

5

Drawdown Contribution

41

6

Catalytic Potential

Medium

5

Ecosystem Benefits

2

10

Community Benefits

2

10

Integrity

Verifiability

Accurate data collection and monitoring over several years have created robust reporting and verification for this project. All projects on Cool Effect’s platform must meet the requirements of major carbon standards, and Cool Effect also conducts on-site visits to ensure the best practices are being met.

Enforceability

Cool Effect provided evidence that these carbon offsets were retired on our behalf in August 2020, including the unique serial numbers of the corresponding credits to demonstrate proof of ownership.

Additionality

The carbon offsets sold via this project are the most recently verified offsets available (2019 vintage), creating a strong link between financing and project maintenance.

Permanence

The trees are being monitored for 30 years as a part of this project.

Project Transparency

Cool Effect publicly shares details of this project on their website, including photos, descriptions, project developers, and key project files, including third party verification reports. They also share regular project updates from project partners.

Transformative Power

Supply Chain Efficiency

Cool Effect adds 9.87% to the cost per tonne negotiated with the project to cover research costs, credit card fees, registry fees, and other administration. The remaining profit is split by the project developers and project owners.

Drawdown Ranking

This project supports two Drawdown Solutions: Afforestation, estimated to reduce/sequester between 22-36 gigatons of carbon between now and 2050, and Tree Intercropping, estimated to reduce/sequester between 15-24 gigatons of carbon between now and 2050.

Catalytic Potential

This project was established as a pilot. Demand for this project will help expand the program to nearby communities. Five more projects are being registered following this methodology in this region, and more are likely to move forward with strong support from carbon financing.

Ecosystem Benefits

This project supports protection of 300 species of birds, orchids and other rare flowers, wild boars, white-tailed deer, and puma—all dangerously threatened by deforestation.

Community Benefits

The project creates jobs, rewarding those living closest to the forest for their management and restorative efforts. Carbon revenue is reinvested in the communities for clean water, education, and health care, improving local living standards

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