CHALLENGE

Many developing countries are proactively seeking to identify opportunities and related financial, technical, and policy requirements to move towards "green growth" on a low-carbon path. With the support of ESMAP, the multi-donor Enegery Sector Management Assistance Program hosted at the World Bank, selected pilot countries have initiated country-specific studies to assess their development goals and priorities, in conjunction with GHG mitigation opportunities, and examine the additional costs and benefits of lower carbon growth. For some of these pilot countries, addressing issues in the forest and land-use sector play an important role for developing low-carbon growth strategies. Because results have been provided until now in an aggregate manner, a detailed analysis of the forestry and land-use sector have not been separately presented. However, such an analysis would provide important information and guidance to develop low-carbon growth strategies for many other countries where forestry and land-use change are key GHG emissions sources. Such knowledge will be especially important for guiding work in developing countries financed by the World Bank, one of the most important implementing institutions of new programs promoting sustainable forest management for GHG mitigation (FCPF, FIP, BioCF, UN-REDD, etc.)

APPROACH

PROFOR will finance ESMAP's effort to produce a policy brief analyzing the role of forests and forest management for developing and implementing low-carbon growth strategies, including financing options related to low-carbon growth.  While the policy brief will build on experience and data analyses already undertaken in key pilot countries (Mexico, Indonesia, Brazil), they will provide general guidance on the integration of forestry in low-carbon growth strategies beyond the case study examples.

The policy brief is expected to serve decision makers and World Bank operations "task team leaders" in developing and implementing forestry-based low-carbon growth strategies for countries with significant GHG emissions from the forestry sector.

RESULTS

This activity is ongoing. Results will be shared on this page when they become available.

CHALLENGE

Many developing countries are proactively seeking to identify opportunities and related financial, technical, and policy requirements to move towards "green growth" on a low-carbon path. With the support of ESMAP, the multi-donor Enegery Sector Management Assistance Program hosted at the World Bank, selected pilot countries have initiated country-specific studies to assess their development goals and priorities, in conjunction with GHG mitigation opportunities, and examine the additional costs and benefits of lower carbon growth. For some of these pilot countries, addressing issues in the forest and land-use sector play an important role for developing low-carbon growth strategies. Because results have been provided until now in an aggregate manner, a detailed analysis of the forestry and land-use sector have not been separately presented. However, such an analysis would provide important information and guidance to develop low-carbon growth strategies for many other countries where forestry and land-use change are key GHG emissions sources. Such knowledge will be especially important for guiding work in developing countries financed by the World Bank, one of the most important implementing institutions of new programs promoting sustainable forest management for GHG mitigation (FCPF, FIP, BioCF, UN-REDD, etc.)

APPROACH

PROFOR will finance ESMAP's effort to produce a policy brief analyzing the role of forests and forest management for developing and implementing low-carbon growth strategies, including financing options related to low-carbon growth.  While the policy brief will build on experience and data analyses already undertaken in key pilot countries (Mexico, Indonesia, Brazil), they will provide general guidance on the integration of forestry in low-carbon growth strategies beyond the case study examples.

The policy brief is expected to serve decision makers and World Bank operations "task team leaders" in developing and implementing forestry-based low-carbon growth strategies for countries with significant GHG emissions from the forestry sector.

RESULTS

This activity is ongoing. Results will be shared on this page when they become available.

CHALLENGE
Recent developments in trade policies of key timber consumer countries, such as the amended US Lacey Act, EU Timber Regulation, and the Australian Government’s Illegal Logging Prohibition Bill, as well as the ongoing implementation of the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), have increased the need for producer countries to ensure verification of the legal origin of timber.

However, for the most part, tropical timber producer countries are not adequately prepared to meet such requirements. Compliance with responsible economic, social and environmental practices by forest operators is often limited to a few showcase areas. This is even more evident in indigenous community forestlands with high commercial value timber species, where loggers and traders often engage in unfair commercial practices, illegal logging, over-harvesting and timber theft with severe negative impact on the economy of indigenous and local community households.

Monitoring the origin and volumes of round wood and processed timber in forests, lumber yards, sawmills and timber warehouses is often limited. This is primarily due to weak institutions, poor governance and corruption in the forest sector. In many cases, poor implementation of policies is explained by “lack of capacity, limited operational budgets, high cost of needed technology” and “remoteness” of the forests./p>

APPROACH
PROFOR and the EU and DFID funded Forest Law Enforcement and Governance trust fund (FLEG-TF) have financed several innovative activities in Central American and Amazonian countries to improve forest governance and prevent forest crimes. In addition to facilitating policy dialogue, conflict resolution, capacity building and analytical work on governance, this technical assistance has also focused on designing low-cost tools for forest control and supervision.

These tools were primarily designed for government officers from forest control and supervision agencies in tropical countries seeking to implement timber legality verification systems. Bundling them into a single toolkit is likely to make their application easier, more efficient and more widespread throughout the timber supply chain and across a number of high-value timber species.

The Toolkit will include:

• A field manual for the verification of the legal origin of timber based on timber volume yield tables;
• Guidance for monitoring economic benefit sharing and environmental practices in logging contracts between forest industry and Indigenous Peoples communities;
• A handbook for inspections of sawmills and other processing facilities.

RESULTS
This activity is ongoing. Inputs from forest technical staff and indigenous peoples' leaders from Central and Latin America were gathered during two workshops held at CATIE in Costa Rica in March 2013. Their suggestions and contributions are feeding into the design of the forthcoming Forest Control and Supervision Toolkit. Short video interviews with some of the workshop participants are available in this album and on this page.

Further findings will be shared on this page when they become available. Follow us on twitter or join our mailing list for regular updates.

CHALLENGE
Recent developments in trade policies of key timber consumer countries, such as the amended US Lacey Act, EU Timber Regulation, and the Australian Government’s Illegal Logging Prohibition Bill, as well as the ongoing implementation of the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), have increased the need for producer countries to ensure verification of the legal origin of timber.

However, for the most part, tropical timber producer countries are not adequately prepared to meet such requirements. Compliance with responsible economic, social and environmental practices by forest operators is often limited to a few showcase areas. This is even more evident in indigenous community forestlands with high commercial value timber species, where loggers and traders often engage in unfair commercial practices, illegal logging, over-harvesting and timber theft with severe negative impact on the economy of indigenous and local community households.

Monitoring the origin and volumes of round wood and processed timber in forests, lumber yards, sawmills and timber warehouses is often limited. This is primarily due to weak institutions, poor governance and corruption in the forest sector. In many cases, poor implementation of policies is explained by “lack of capacity, limited operational budgets, high cost of needed technology” and “remoteness” of the forests./p>

APPROACH
PROFOR and the EU and DFID funded Forest Law Enforcement and Governance trust fund (FLEG-TF) have financed several innovative activities in Central American and Amazonian countries to improve forest governance and prevent forest crimes. In addition to facilitating policy dialogue, conflict resolution, capacity building and analytical work on governance, this technical assistance has also focused on designing low-cost tools for forest control and supervision.

These tools were primarily designed for government officers from forest control and supervision agencies in tropical countries seeking to implement timber legality verification systems. Bundling them into a single toolkit is likely to make their application easier, more efficient and more widespread throughout the timber supply chain and across a number of high-value timber species.

The Toolkit will include:

• A field manual for the verification of the legal origin of timber based on timber volume yield tables;
• Guidance for monitoring economic benefit sharing and environmental practices in logging contracts between forest industry and Indigenous Peoples communities;
• A handbook for inspections of sawmills and other processing facilities.

RESULTS
This activity is ongoing. Inputs from forest technical staff and indigenous peoples' leaders from Central and Latin America were gathered during two workshops held at CATIE in Costa Rica in March 2013. Their suggestions and contributions are feeding into the design of the forthcoming Forest Control and Supervision Toolkit. Short video interviews with some of the workshop participants are available in this album and on this page.

Further findings will be shared on this page when they become available. Follow us on twitter or join our mailing list for regular updates.

CHALLENGE
Recent developments in trade policies of key timber consumer countries, such as the amended US Lacey Act, EU Timber Regulation, and the Australian Government’s Illegal Logging Prohibition Bill, as well as the ongoing implementation of the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), have increased the need for producer countries to ensure verification of the legal origin of timber.

However, for the most part, tropical timber producer countries are not adequately prepared to meet such requirements. Compliance with responsible economic, social and environmental practices by forest operators is often limited to a few showcase areas. This is even more evident in indigenous community forestlands with high commercial value timber species, where loggers and traders often engage in unfair commercial practices, illegal logging, over-harvesting and timber theft with severe negative impact on the economy of indigenous and local community households.

Monitoring the origin and volumes of round wood and processed timber in forests, lumber yards, sawmills and timber warehouses is often limited. This is primarily due to weak institutions, poor governance and corruption in the forest sector. In many cases, poor implementation of policies is explained by “lack of capacity, limited operational budgets, high cost of needed technology” and “remoteness” of the forests./p>

APPROACH
PROFOR and the EU and DFID funded Forest Law Enforcement and Governance trust fund (FLEG-TF) have financed several innovative activities in Central American and Amazonian countries to improve forest governance and prevent forest crimes. In addition to facilitating policy dialogue, conflict resolution, capacity building and analytical work on governance, this technical assistance has also focused on designing low-cost tools for forest control and supervision.

These tools were primarily designed for government officers from forest control and supervision agencies in tropical countries seeking to implement timber legality verification systems. Bundling them into a single toolkit is likely to make their application easier, more efficient and more widespread throughout the timber supply chain and across a number of high-value timber species.

The Toolkit will include:

• A field manual for the verification of the legal origin of timber based on timber volume yield tables;
• Guidance for monitoring economic benefit sharing and environmental practices in logging contracts between forest industry and Indigenous Peoples communities;
• A handbook for inspections of sawmills and other processing facilities.

RESULTS
This activity is ongoing. Inputs from forest technical staff and indigenous peoples' leaders from Central and Latin America were gathered during two workshops held at CATIE in Costa Rica in March 2013. Their suggestions and contributions are feeding into the design of the forthcoming Forest Control and Supervision Toolkit. Short video interviews with some of the workshop participants are available in this album and on this page.

Further findings will be shared on this page when they become available. Follow us on twitter or join our mailing list for regular updates.

CHALLENGE:

The Government of Mexico presented to the United National Framework Convention on Climate Change (UNFCCC) an ambitious Intended Nationally Determined Contribution (INDC), where actions on the Land Use and Land Use Change Sector (LULUCF) are predominantly featured: deforestation reduction, Afforestation/Reforestation, restoration of degraded lands. To take the first steps towards the implementation of the INDC, the National Institute of Climate Change and Ecology will conduct a consultancy to support the development of a road map for LULUCF. Additionally, CONAFOR and the National Institute of Ecology and Climate Change (INECC) are developing a proposal for the International Climate Initiative (ICI) to support the government in defining strategies to achieve 0% deforestation, based on a cost-effectiveness analysis of possible scenarios and will detail specific actions for all relevant sectors. The strategy will also highlight ways to leverage private sector finance toward achieving the goal.  

In 2014, the Government of Mexico approved an ambitious Plan (PRONAFOR 2014-2018) to transform the forest sector into a competitive and socially inclusive sector that would boost the country’s rural economy. The current work on REDD+ in Mexico directly aligns with the PRONAFOR. To achieve its objectives the PRONAFOR is based on a transversal approach, which contemplates the collaboration and coordination of its activities with a number of other government entities, including the Ministry of Agriculture. 

In order to build this multi-sectoral coordination, a forum was organized in April 2015 to initiate discussions between the various Government entities, and particularly the Ministry of Agriculture (SAGARPA), Ministry of Finance (Hacienda) and the Financial Agency (NAFIN). About 50 decision-makers gathered from various sector administrations (agriculture, forest, finance), levels of government (local, state, federal), as well as representatives from civil society and the private sector. One of the major commitment from the various stakeholders was to ensure a better alignment between the various National Programs that support land-use activities in the rural sector. One immediate action that was identified was the establishment of a working group with CONAFOR and SAGARPA representatives to work on the Reglas de Operación for the two major programs respectively run by the two entities, namely the Program for Environment Services (PSE) and the Livestock Program (PROGAN) to seek enhanced coordination. This activity will build on this multi-sectoral approach to forests and improve the articulation of policies and programs in order to reconcile land-uses at the local level (state and infra-state levels).

APPROACH

The proposed activity will focus on the five States (Jalisco, Yucatan, Campeche, Quintano Roo and Chiapas) that have been selected under the Emission Reduction program (ER Program or Iniciativa de Reducción de Emisiones IRE). These five states have the highest deforestation rates, along with high incidence of extreme poverty and social marginalization. The five State Governments have shown strong leadership in the preparation of the ER-Program through a more coordinated approach on rural development and a better alignment of policies/programs between the agricultural and environmental sectors to reduce deforestation and degradation. The main activity to be conducted will consist of an expenditure review in three states of the IRE of the land-use programs, which will involve the following steps:

1. a review of the allocation of public resources to the agricultural and environmental programs that impact land-uses (with a specific focus on PSA and PROGAN, as recommended during the April 2015 workshop);
2. the review will identify potential gain of efficiency and efficacy of the programs (in terms of impacts on the ground with a focus on deforestation and use of public resources) and will propose some adjustments that could be included in the Reglas de Operación of the targeted programs.
3. The analysis will generate a case study based on at least two states that will be identified with CONAFOR.
4. The full-fledged methodology for the review of the Programs for this activity will be jointly developed with CONAFOR in close consultation with the selected State Governments. 

RESULTS

The activity was completed in December 2018. It provided an assessment and roadmap for carrying out joint, inter-sectoral activities, supported under CONAFOR and SAGARPA incentive programs. These incentive programs address drivers of deforestation and degradation while promoting increased productivity and can also serve as underlying investments for the FCPF Emissions Reduction Program.

The key finding is that there are several complementary activities supported under SAGARPA’s and CONAFOR’s Rules of Operation, that if implemented and supported in a coordinated fashion could have a greater impact on reducing deforestation and forest degradation. The PROFOR activity provided:

1. Technical guidance notes for the Emission Reduction Program states to follow this inter-sectoral implementation scheme
2. Recommended minor adjustments to Rules of Operation of SAGARPA and CONAFOR to more fully support this joint implementation
3. Offered institutional and technical assistance recommendations to further support the roadmap’s implementation.

Once implemented under the FCPF Emissions Reduction Program, this support is expected to provide lessons and inputs that can inform greater scale-up and replication potential of low carbon investments across the country. 

This activity developed a road map for changing investment practices, behavior, rules and policies to prevent deforestation and degradation. The road map outlines explicit institutional coordination arrangements, technological packages to be adopted, financing sources, and shared objective targets for the agencies to meet. It also provides an institutional road map for overseeing the investment scheme’s implementation, where agencies such as the Inter-Ministerial Climate Change Commission and the Sustainable Rural Development Commission will play this oversight role. 

CHALLENGE:

The Government of Mexico presented to the United National Framework Convention on Climate Change (UNFCCC) an ambitious Intended Nationally Determined Contribution (INDC), where actions on the Land Use and Land Use Change Sector (LULUCF) are predominantly featured: deforestation reduction, Afforestation/Reforestation, restoration of degraded lands. To take the first steps towards the implementation of the INDC, the National Institute of Climate Change and Ecology will conduct a consultancy to support the development of a road map for LULUCF. Additionally, CONAFOR and the National Institute of Ecology and Climate Change (INECC) are developing a proposal for the International Climate Initiative (ICI) to support the government in defining strategies to achieve 0% deforestation, based on a cost-effectiveness analysis of possible scenarios and will detail specific actions for all relevant sectors. The strategy will also highlight ways to leverage private sector finance toward achieving the goal.  

In 2014, the Government of Mexico approved an ambitious Plan (PRONAFOR 2014-2018) to transform the forest sector into a competitive and socially inclusive sector that would boost the country’s rural economy. The current work on REDD+ in Mexico directly aligns with the PRONAFOR. To achieve its objectives the PRONAFOR is based on a transversal approach, which contemplates the collaboration and coordination of its activities with a number of other government entities, including the Ministry of Agriculture. 

In order to build this multi-sectoral coordination, a forum was organized in April 2015 to initiate discussions between the various Government entities, and particularly the Ministry of Agriculture (SAGARPA), Ministry of Finance (Hacienda) and the Financial Agency (NAFIN). About 50 decision-makers gathered from various sector administrations (agriculture, forest, finance), levels of government (local, state, federal), as well as representatives from civil society and the private sector. One of the major commitment from the various stakeholders was to ensure a better alignment between the various National Programs that support land-use activities in the rural sector. One immediate action that was identified was the establishment of a working group with CONAFOR and SAGARPA representatives to work on the Reglas de Operación for the two major programs respectively run by the two entities, namely the Program for Environment Services (PSE) and the Livestock Program (PROGAN) to seek enhanced coordination. This activity will build on this multi-sectoral approach to forests and improve the articulation of policies and programs in order to reconcile land-uses at the local level (state and infra-state levels).

APPROACH

The proposed activity will focus on the five States (Jalisco, Yucatan, Campeche, Quintano Roo and Chiapas) that have been selected under the Emission Reduction program (ER Program or Iniciativa de Reducción de Emisiones IRE). These five states have the highest deforestation rates, along with high incidence of extreme poverty and social marginalization. The five State Governments have shown strong leadership in the preparation of the ER-Program through a more coordinated approach on rural development and a better alignment of policies/programs between the agricultural and environmental sectors to reduce deforestation and degradation. The main activity to be conducted will consist of an expenditure review in three states of the IRE of the land-use programs, which will involve the following steps:

1. a review of the allocation of public resources to the agricultural and environmental programs that impact land-uses (with a specific focus on PSA and PROGAN, as recommended during the April 2015 workshop);
2. the review will identify potential gain of efficiency and efficacy of the programs (in terms of impacts on the ground with a focus on deforestation and use of public resources) and will propose some adjustments that could be included in the Reglas de Operación of the targeted programs.
3. The analysis will generate a case study based on at least two states that will be identified with CONAFOR.
4. The full-fledged methodology for the review of the Programs for this activity will be jointly developed with CONAFOR in close consultation with the selected State Governments. 

RESULTS

The activity was completed in December 2018. It provided an assessment and roadmap for carrying out joint, inter-sectoral activities, supported under CONAFOR and SAGARPA incentive programs. These incentive programs address drivers of deforestation and degradation while promoting increased productivity and can also serve as underlying investments for the FCPF Emissions Reduction Program.

The key finding is that there are several complementary activities supported under SAGARPA’s and CONAFOR’s Rules of Operation, that if implemented and supported in a coordinated fashion could have a greater impact on reducing deforestation and forest degradation. The PROFOR activity provided:

1. Technical guidance notes for the Emission Reduction Program states to follow this inter-sectoral implementation scheme
2. Recommended minor adjustments to Rules of Operation of SAGARPA and CONAFOR to more fully support this joint implementation
3. Offered institutional and technical assistance recommendations to further support the roadmap’s implementation.

Once implemented under the FCPF Emissions Reduction Program, this support is expected to provide lessons and inputs that can inform greater scale-up and replication potential of low carbon investments across the country. 

This activity developed a road map for changing investment practices, behavior, rules and policies to prevent deforestation and degradation. The road map outlines explicit institutional coordination arrangements, technological packages to be adopted, financing sources, and shared objective targets for the agencies to meet. It also provides an institutional road map for overseeing the investment scheme’s implementation, where agencies such as the Inter-Ministerial Climate Change Commission and the Sustainable Rural Development Commission will play this oversight role. 

CHALLENGE:

The Government of Mexico presented to the United National Framework Convention on Climate Change (UNFCCC) an ambitious Intended Nationally Determined Contribution (INDC), where actions on the Land Use and Land Use Change Sector (LULUCF) are predominantly featured: deforestation reduction, Afforestation/Reforestation, restoration of degraded lands. To take the first steps towards the implementation of the INDC, the National Institute of Climate Change and Ecology will conduct a consultancy to support the development of a road map for LULUCF. Additionally, CONAFOR and the National Institute of Ecology and Climate Change (INECC) are developing a proposal for the International Climate Initiative (ICI) to support the government in defining strategies to achieve 0% deforestation, based on a cost-effectiveness analysis of possible scenarios and will detail specific actions for all relevant sectors. The strategy will also highlight ways to leverage private sector finance toward achieving the goal.  

In 2014, the Government of Mexico approved an ambitious Plan (PRONAFOR 2014-2018) to transform the forest sector into a competitive and socially inclusive sector that would boost the country’s rural economy. The current work on REDD+ in Mexico directly aligns with the PRONAFOR. To achieve its objectives the PRONAFOR is based on a transversal approach, which contemplates the collaboration and coordination of its activities with a number of other government entities, including the Ministry of Agriculture. 

In order to build this multi-sectoral coordination, a forum was organized in April 2015 to initiate discussions between the various Government entities, and particularly the Ministry of Agriculture (SAGARPA), Ministry of Finance (Hacienda) and the Financial Agency (NAFIN). About 50 decision-makers gathered from various sector administrations (agriculture, forest, finance), levels of government (local, state, federal), as well as representatives from civil society and the private sector. One of the major commitment from the various stakeholders was to ensure a better alignment between the various National Programs that support land-use activities in the rural sector. One immediate action that was identified was the establishment of a working group with CONAFOR and SAGARPA representatives to work on the Reglas de Operación for the two major programs respectively run by the two entities, namely the Program for Environment Services (PSE) and the Livestock Program (PROGAN) to seek enhanced coordination. This activity will build on this multi-sectoral approach to forests and improve the articulation of policies and programs in order to reconcile land-uses at the local level (state and infra-state levels).

APPROACH

The proposed activity will focus on the five States (Jalisco, Yucatan, Campeche, Quintano Roo and Chiapas) that have been selected under the Emission Reduction program (ER Program or Iniciativa de Reducción de Emisiones IRE). These five states have the highest deforestation rates, along with high incidence of extreme poverty and social marginalization. The five State Governments have shown strong leadership in the preparation of the ER-Program through a more coordinated approach on rural development and a better alignment of policies/programs between the agricultural and environmental sectors to reduce deforestation and degradation. The main activity to be conducted will consist of an expenditure review in three states of the IRE of the land-use programs, which will involve the following steps:

1. a review of the allocation of public resources to the agricultural and environmental programs that impact land-uses (with a specific focus on PSA and PROGAN, as recommended during the April 2015 workshop);
2. the review will identify potential gain of efficiency and efficacy of the programs (in terms of impacts on the ground with a focus on deforestation and use of public resources) and will propose some adjustments that could be included in the Reglas de Operación of the targeted programs.
3. The analysis will generate a case study based on at least two states that will be identified with CONAFOR.
4. The full-fledged methodology for the review of the Programs for this activity will be jointly developed with CONAFOR in close consultation with the selected State Governments. 

RESULTS

The activity was completed in December 2018. It provided an assessment and roadmap for carrying out joint, inter-sectoral activities, supported under CONAFOR and SAGARPA incentive programs. These incentive programs address drivers of deforestation and degradation while promoting increased productivity and can also serve as underlying investments for the FCPF Emissions Reduction Program.

The key finding is that there are several complementary activities supported under SAGARPA’s and CONAFOR’s Rules of Operation, that if implemented and supported in a coordinated fashion could have a greater impact on reducing deforestation and forest degradation. The PROFOR activity provided:

1. Technical guidance notes for the Emission Reduction Program states to follow this inter-sectoral implementation scheme
2. Recommended minor adjustments to Rules of Operation of SAGARPA and CONAFOR to more fully support this joint implementation
3. Offered institutional and technical assistance recommendations to further support the roadmap’s implementation.

Once implemented under the FCPF Emissions Reduction Program, this support is expected to provide lessons and inputs that can inform greater scale-up and replication potential of low carbon investments across the country. 

This activity developed a road map for changing investment practices, behavior, rules and policies to prevent deforestation and degradation. The road map outlines explicit institutional coordination arrangements, technological packages to be adopted, financing sources, and shared objective targets for the agencies to meet. It also provides an institutional road map for overseeing the investment scheme’s implementation, where agencies such as the Inter-Ministerial Climate Change Commission and the Sustainable Rural Development Commission will play this oversight role. 

CHALLENGE:

The Government of Mexico presented to the United National Framework Convention on Climate Change (UNFCCC) an ambitious Intended Nationally Determined Contribution (INDC), where actions on the Land Use and Land Use Change Sector (LULUCF) are predominantly featured: deforestation reduction, Afforestation/Reforestation, restoration of degraded lands. To take the first steps towards the implementation of the INDC, the National Institute of Climate Change and Ecology will conduct a consultancy to support the development of a road map for LULUCF. Additionally, CONAFOR and the National Institute of Ecology and Climate Change (INECC) are developing a proposal for the International Climate Initiative (ICI) to support the government in defining strategies to achieve 0% deforestation, based on a cost-effectiveness analysis of possible scenarios and will detail specific actions for all relevant sectors. The strategy will also highlight ways to leverage private sector finance toward achieving the goal.  

In 2014, the Government of Mexico approved an ambitious Plan (PRONAFOR 2014-2018) to transform the forest sector into a competitive and socially inclusive sector that would boost the country’s rural economy. The current work on REDD+ in Mexico directly aligns with the PRONAFOR. To achieve its objectives the PRONAFOR is based on a transversal approach, which contemplates the collaboration and coordination of its activities with a number of other government entities, including the Ministry of Agriculture. 

In order to build this multi-sectoral coordination, a forum was organized in April 2015 to initiate discussions between the various Government entities, and particularly the Ministry of Agriculture (SAGARPA), Ministry of Finance (Hacienda) and the Financial Agency (NAFIN). About 50 decision-makers gathered from various sector administrations (agriculture, forest, finance), levels of government (local, state, federal), as well as representatives from civil society and the private sector. One of the major commitment from the various stakeholders was to ensure a better alignment between the various National Programs that support land-use activities in the rural sector. One immediate action that was identified was the establishment of a working group with CONAFOR and SAGARPA representatives to work on the Reglas de Operación for the two major programs respectively run by the two entities, namely the Program for Environment Services (PSE) and the Livestock Program (PROGAN) to seek enhanced coordination. This activity will build on this multi-sectoral approach to forests and improve the articulation of policies and programs in order to reconcile land-uses at the local level (state and infra-state levels).

APPROACH

The proposed activity will focus on the five States (Jalisco, Yucatan, Campeche, Quintano Roo and Chiapas) that have been selected under the Emission Reduction program (ER Program or Iniciativa de Reducción de Emisiones IRE). These five states have the highest deforestation rates, along with high incidence of extreme poverty and social marginalization. The five State Governments have shown strong leadership in the preparation of the ER-Program through a more coordinated approach on rural development and a better alignment of policies/programs between the agricultural and environmental sectors to reduce deforestation and degradation. The main activity to be conducted will consist of an expenditure review in three states of the IRE of the land-use programs, which will involve the following steps:

1. a review of the allocation of public resources to the agricultural and environmental programs that impact land-uses (with a specific focus on PSA and PROGAN, as recommended during the April 2015 workshop);
2. the review will identify potential gain of efficiency and efficacy of the programs (in terms of impacts on the ground with a focus on deforestation and use of public resources) and will propose some adjustments that could be included in the Reglas de Operación of the targeted programs.
3. The analysis will generate a case study based on at least two states that will be identified with CONAFOR.
4. The full-fledged methodology for the review of the Programs for this activity will be jointly developed with CONAFOR in close consultation with the selected State Governments. 

RESULTS

The activity was completed in December 2018. It provided an assessment and roadmap for carrying out joint, inter-sectoral activities, supported under CONAFOR and SAGARPA incentive programs. These incentive programs address drivers of deforestation and degradation while promoting increased productivity and can also serve as underlying investments for the FCPF Emissions Reduction Program.

The key finding is that there are several complementary activities supported under SAGARPA’s and CONAFOR’s Rules of Operation, that if implemented and supported in a coordinated fashion could have a greater impact on reducing deforestation and forest degradation. The PROFOR activity provided:

1. Technical guidance notes for the Emission Reduction Program states to follow this inter-sectoral implementation scheme
2. Recommended minor adjustments to Rules of Operation of SAGARPA and CONAFOR to more fully support this joint implementation
3. Offered institutional and technical assistance recommendations to further support the roadmap’s implementation.

Once implemented under the FCPF Emissions Reduction Program, this support is expected to provide lessons and inputs that can inform greater scale-up and replication potential of low carbon investments across the country. 

This activity developed a road map for changing investment practices, behavior, rules and policies to prevent deforestation and degradation. The road map outlines explicit institutional coordination arrangements, technological packages to be adopted, financing sources, and shared objective targets for the agencies to meet. It also provides an institutional road map for overseeing the investment scheme’s implementation, where agencies such as the Inter-Ministerial Climate Change Commission and the Sustainable Rural Development Commission will play this oversight role. 

The forest sector in Ukraine has the potential to more than double its contribution to the national economy by increasing timber harvests and forest products in line with modern sustainable forest management practice. To this end, PROFOR provided analytical input to a forest sector reform process to introduce measures that: set harvesting levels in accordance with actual forest growth rates; reduce the level of "sanitary cutting" with a corresponding increase in final, regeneration and thinning volumes; and capture carbon trade finance to support reconstruction of forests in abandoned or poorly productive agricultural lands.

A Forest Sector Note, published in March 2006, described the status of Ukraine's forest sector and opportunities for development.