Valuing Forest Ecosystem Services
Practical experience from the Woodland Carbon Code
Dr. Pat Snowdon Forestry Commission Edinburgh, UK Outline
• Background
• The Code
• Applying - Practicalities
• Examples
• Future developments
forestry.gov.uk/carboncode Objectives
• Ensure high standards in UK forest carbon market
• Clarity and transparency to bolster market confidence
• Rigorous scientific basis
• increase private investment in woodland creation
• similar principles to VCS, GS…
•Set framework that could support mandatory market in future
forestry.gov.uk/carboncode Governance iema
Institute of Environmental Management & Assessment WCC Advisory Board
UKWAS UK Woodland Assurance Standard
WCC Executive Board
forestry.gov.uk/carboncode Development
2007 - 2011 Design
2010 -2011 Pilot
Launch Woodland July 2011 Carbon Code
Launch group 2013 certification
Launch carbon 2013 registry @ Markit
Units available for 2014 sale Still developing…
forestry.gov.uk/carboncode UK as of 30 June 2014: • >200 Projects registered • 14,400 ha woodland • 5.7 MtCO 2 over lifetime
• 87 projects validated • 3,100 ha woodland • 1.5MtCO 2 over lifetime
Wales • 7 projects registered • 3 projects validated
Verified credits available from 2016
WCC awards: 2013: Climate Week Awards: Finalist 2014: Environmental Finance Survey: 3rd voluntary standard globally forestry.gov.uk/carboncode How it fits in
• All UK woodland creation contributes to the UK’s emissions reduction target (Kyoto Protocol)
Environmental Reporting Guidelines: • Including mandatory greenhouse gas emissions Mandatory GHG emissions reporting guidance reporting for companies listed on June 2013 stock exchange
• Verified WCC Units can be used within the UK: • To compensate for organisation’s emissions • In claims of carbon neutrality of an organisation / product/ event
• Verified WCC Units CAN’T be: • Traded internationally • Used in EUETS • Used in the CRC Energy Efficiency Scheme
forestry.gov.uk/carboncode The Code - Scope
Includes: • Woodland creation • Carbon sequestration and emissions within a woodland
Doesn’t include: • Changes to management of existing woodlands • Carbon stored in forest products • Substitution effects (wood products or fuel) • Avoided emissions from previous landuse
forestry.gov.uk/carboncode Requirements
• UK Forestry Standard + • Additionality • Legal : Financial : Barrier • Permanence • Forestry Act, Buffer (15-40% of project carbon) • Predict and monitor carbon sequestration • Baseline : Leakage : Project benefit • Certification • Validation • Verification + 5 and then every 10 years
forestry.gov.uk/carboncode UK Woodland Carbon Registry
forestry.gov.uk/carboncode Applying
1. Employ a project developer or DIY?
2. Register your project / group (..within 2 yrs planting)
3. Design your project / group PDD: Carbon calculation : Finances : Risk : Other evidence
4. Get certified (=‘ Validated’ .. Within 3 yrs registering)
5. Stay certified (=‘ Verified’ .. + 5 and every 10 years)
forestry.gov.uk/carboncode Applying
forestry.gov.uk/carboncode Income & Use
• Carbon income in advance = a one off payment at outset. + Helps landowner with establishment cost + Traditional forestry products as future income. - Carbon Buyer has to wait to ‘use’ credits
• Invest for the future = sell carbon as its sequestered at each verification. + Regular future income from carbon as well as forestry products ? Carbon price could be higher in future + Carbon Buyer can ‘use’ credits immediately
forestry.gov.uk/carboncode How much carbon and £ ?
Current UK prices: £ 3-15 / tCO 2
Global Average ‘forestry’ price: £ 6 / tCO 2
Scenario Saleable/Claimable Saleable/Claimable Carbon Sequestration Carbon Sequestration by year 50 by year 100
Sitka Spruce, 2.0m spacing, Yield 340 tCO 2/ha. 470 tCO 2/ha. Class 16, mounding on organo- mineral soil. Thinned to standard regimes, but no clearfell. 15% risk of non-permanence buffer.
Sitka Spruce, 2.0m spacing, Yield 135 tCO 2/ha. This would 135 tCO 2/ha. This would Class 16, mounding on organo- be achieved by year 40, be achieved by year 40, mineral soil. No thinning. Clearfell but no further carbon can but no further carbon can at 40 years. 15% risk of non- be claimed. be claimed. permanence buffer.
Mixed native woodland, 2.5m 375 tCO 2/ha. 470 tCO 2/ha. spacing, Yield Class 4-8, mounding on organo-mineral soil. No thin or clearfell. 20% risk of non- permanence buffer.
forestry.gov.uk/carboncode Cwm Fagor • 29ha mixed woodland (native & productive conifer) • Planted on ex-grazing land in Monmouthshire • Connects isolated areas of ASNW • Project Developer: Pryor & Rickett Silviculture • Will sequester 18,102 tCO 2 over 100 years • 15,387 tCO 2 for sale • 2,715 tCO 2 to buffer
Thorlux Lighting:
Own & customer emissions
forestry.gov.uk/carboncode Yorks Dales Millennium Trust • YDMT Group: 5 projects, 2-13 hectares • Project Developer: YDMT • Will sequester 15,000 tCO 2 over 100 years • 13,000 tCO 2 for sale • 2,000 tCO 2 to buffer • Comply Direct marketing/selling carbon units
Lamberts Wood Storthwaite
forestry.gov.uk/carboncode Warcop, Cumbria – 160 has, varied objectives! How to sell carbon
• Via Markit Environmental Registry • Request for Information Platform: • ‘Gumtree’ for Selling Carbon • markit.com
• Via ‘broker’ • forestry.gov.uk/carboncompanies
• UK Carbon Reporting Framework • Advertise your project ukcarbonreporting.org
• Find a local business
forestry.gov.uk/carboncode WCC developments
• Monitoring & Verification
• Social and environmental benefits
• Streamlined process for very small projects?
• Scope • Changes to management of existing woodlands? • Harvested wood products?
• International reporting arrangements • Review + Options?
forestry.gov.uk/carboncode Other developments
Next steps to zero carbon homes - Allowable Solutions Consultation
August 2013 Department for Communities and Local Government
forestry.gov.uk/carboncode Conclusions
Make the case • Sound evidence (science) • Measures/ accounting (natural capital) • Business & economic case • Promotion Careful design • Supporting infrastructure (metrics, verification etc) • Develop networks • Engage ‘new’ expertise Carry out pilots • Partnerships • Evaluate
Develop and adapt • Market developments and trends • Best practice Thankyou
www.forestry.gov.uk/carboncode
LinkedIn: ‘Woodland Carbon’ group
WCC Mailing List
forestry.gov.uk/carboncode