Project Summary

Deforestation and degradation in tropical forests creates approximately twenty percent of annual global carbon emissions through the burning or decomposition of biomass (IPCC 2007). The Kyoto Protocol to the United Nations Framework Convention on Climate Change (UNFCCC) does not currently recognize any carbon-trading mechanisms that provide incentive for reducing emissions from deforestation and degradation (REDD); however, REDD may be recognized by the UNFCCC as a carbon-trading mechanism in the future.  Existing voluntary carbon markets do accept REDD-based carbon offsets.  This project assesses the feasibility of creating a REDD project within the 55,451-hectare Cofán Bermejo Reserve, located in northwest Ecuador and stewarded by the indigenous Cofán people.  To facilitate this assessment, we consider the current political context of REDD, compare the project against voluntary REDD standards, and calculate the amount of potentially salable carbon credits held within the Reserve.  Overall, our analysis demonstrates that a REDD project is conceptually feasible within the Reserve, provided the Cofán find a willing buyer and gain Ecuadorian government support.  Furthermore, based on our carbon loss estimate, historic market rates, and expected implementation costs, a REDD project in the Reserve can be economically viable.  Should the Cofán pursue a REDD project, we recommend advocating for UNFCCC acceptance of REDD-based carbon projects to increase their carbon asset value.