Cattail (Typha Spp.) Harvesting in Manitoba: a Legislative and Market Analysis for Operationalization and Carbon Emission Offsets

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Cattail (Typha Spp.) Harvesting in Manitoba: a Legislative and Market Analysis for Operationalization and Carbon Emission Offsets Cattail (Typha spp.) Harvesting in Manitoba: A legislative and market analysis for operationalization and carbon emission offsets A publication under the Netley-Libau Nutrient-Bioenergy Project Rosemary Dohan Dimple Roy Richard Grosshans Philip Gass Mathew McCandless Henry David Venema October 2012 www.iisd.org © 2013 The International Institute for Sustainable Development © 2013 The International Institute for Sustainable Development Published by the International Institute for Sustainable Development. International Institute for Sustainable Development The International Institute for Sustainable Development (IISD) contributes to sustainable development by advancing policy recommendations on international trade and investment, economic policy, climate change and energy, and management of natural and social capital, as well as the enabling role of communication technologies in these areas. We report on international negotiations and disseminate knowledge gained through collaborative projects, resulting in more rigorous research, capacity building in developing countries, better networks spanning the North and the South, and better global connections among researchers, practitioners, citizens and policy-makers. IISD’s vision is better living for all—sustainably; its mission is to champion innovation, enabling societies to live sustainably. IISD is registered as a charitable organization in Canada and has 501(c)(3) status in the United States. IISD receives core operating support from the Government of Canada, provided through the International Development Research Centre (IDRC), from the Danish Ministry of Foreign Affairs and from the Province of Manitoba. The Institute receives project funding from numerous governments inside and outside Canada, United Nations agencies, foundations and the private sector. Head Office 161 Portage Avenue East, 6th Floor, Winnipeg, Manitoba, Canada R3B 0Y4 Tel: +1 (204) 958-7700 | Fax: +1 (204) 958-7710 | Website: www.iisd.org Cattail (Typha spp.) Harvesting in Manitoba: A legislative and market analysis for operationalization and carbon emission offsets October 2012 Written by Rosemary Dohan, Dimple Roy, Richard Grosshans, Philip Gass, Mathew McCandless, and Henry David Venema IISD REPORT OCTOBER© 2012 2013 The International Institute for Sustainable Development Cattail (Typha spp.) Harvesting in Manitoba: ii A legislative and market analysis for operationalization and carbon emission offsets Executive Summary Research findings from the Netley-Libau Nutrient-Bioenergy project are encouraging replication of the cattail harvesting concept to areas in the Manitoba region of the Lake Winnipeg watershed, as well as Minnesota and North Dakota. It is also increasingly being seen as a component of an integrated nutrient and surface water management plan. As a result of this replication, there is a need to understand and synthesize the legislative and policy implications of the harvesting of cattails (Typha spp.) and other potential plants, or ecological biomass, with similar benefits (i.e. Phragmites reeds, reed canary grass, willows) in Manitoba. This analysis will ensure that the operationalization of these new value chains as part of a Manitoba bioeconomy includes sustainable processes for due diligence. It also ensures that these value chains are subject to appropriate oversight to ensure that social, economic and environmental needs and concerns are balanced in the best way possible. This report presents a legislative review of cattail (Typha spp.) harvesting in Manitoba. Our review found that the harvest of cattails and other similar ecological biomass is not currently explicitly included in any federal or provincial legislation, policy or programming. This study provides some research and analysis to understand the current and potential position of cattail harvesting in Manitoba. Based on our review, we present two management scenarios in this report that include legislation, policies and programming;: 1. A private benefit harvesting scenario based on other resource extraction programs similar to for-profit activities like wild rice harvesting. This scenario is relevant for both Crown and private lands. 2. A publicly funded land management assistance scenario, where private corporations are contracted to harvest cattails in areas of concern. This scenario can be used on Crown lands in this way, or for private lands using incentives such as those used for agricultural beneficial management practices or other tax credits to land owners. An adaptive management framework, which may be a combination of the two scenarios, is recommended in order to fully realize and understand the multiple economic and environmental co-benefits from the harvest of cattail biomass. In addition, it is recommended that some language around cattail harvesting be included into the Manitoba Bioproducts Strategy and the Manitoba Biomass Energy Support Program list of approved biomass feedstock sources. A brief analysis of the market opportunities for the sale of carbon offsets from cattail harvesting identified gaps in formal markets and protocols at the provincial and federal levels in Canada. However, precedents for protocols and standards can be found in more mature systems developed in places such as Alberta and Quebec. In addition, the voluntary offsets system offers a means of gaining and crediting benefit while waiting for a regional compliance market to form (i.e., Western Climate Initiative) or for cost-recovery for greenhouse gas mitigation benefits. The Alberta protocol and Verified Carbon Standard offers the most viable model to include cattail harvesting based offsets into the voluntary carbon market. Other recommendations are made regarding the selection and development of appropriate legislative frameworks for maximizing public benefits while minimizing potential negative impacts. Demand and markets for not only biofuel- based heating, but also a range of other bioproducts from cattail-based biomass would also assist in the decision of a management system for cattails and other ecological biomass in Manitoba. IISD REPORT OCTOBER© 2012 2013 The International Institute for Sustainable Development Cattail (Typha spp.) Harvesting in Manitoba: iii A legislative and market analysis for operationalization and carbon emission offsets Table of Contents Introduction ....................................................................................................................................................................................... 1 1.1 Netley-Libau Nutrient-Bioenergy Project .................................................................................................................. 1 1.1.1 Nutrient Management ..........................................................................................................................................3 1.1.2 Habitat Invigoration ..............................................................................................................................................3 1.1.3 Greenhouse Gas Mitigation ..............................................................................................................................3 1.1.4 Bioproducts ............................................................................................................................................................ 4 1.2 Research Goals and Scope ........................................................................................................................................... 4 2.0 Policy and Legislative Context ...........................................................................................................................................5 3.0 Management Scenarios ....................................................................................................................................................... 8 3.1 Scenario One: Private Benefits Emphasis ............................................................................................................... 8 3.1.1 Crown Lands........................................................................................................................................................... 9 3.1.2 Private Lands .........................................................................................................................................................11 3.2 Scenario Two: Public Benefits Emphasis ...............................................................................................................12 3.3 Program Implementation Process ..........................................................................................................................13 4.0 Market Opportunities for Cattail-Based Value Chain ..............................................................................................15 4.1 Offsets Opportunities in Canada ..............................................................................................................................16 4.1.1 The Potential for Offsets to Help Canada Meet GHG Targets.............................................................16 4.1.2 The Canadian Offsets Market ........................................................................................................................17 4.1.3 Provincial Offsets Systems..............................................................................................................................17 4.2 The Voluntary Market .................................................................................................................................................19
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