Carbon measuring methods and community work in the NKM Project Bolivia National CDM Office Bonn, June 2003

Background – The NKM Project (1) JI ProjectJI Project 634,286 Ha of expansion of a National Park634,286 Ha of expansion of a National Park Purpose: Reduction of emissions by deforestation – natural forest regenerationPurpose: Reduction of emissions by deforestation – natural forest regeneration Activities: Averted logging and agricultural conversion of forest landsActivities: Averted logging and agricultural conversion of forest lands Investment: 9.6 million US$Investment: 9.6 million US$ Duration: 30 years (initial)Duration: 30 years (initial) Partners: GoB, FAN, TNC, AEP, BP Amoco, PacifiCorpPartners: GoB, FAN, TNC, AEP, BP Amoco, PacifiCorp Projected carbon benefits: 3.6 MM tons C (13.2 MM tons CO 2 )Projected carbon benefits: 3.6 MM tons C (13.2 MM tons CO 2 ) Ancillary benefits:Ancillary benefits: Biodiversity protection Biodiversity protection Improved Soil and Water Quality Improved Soil and Water Quality Improved Local Air Quality Improved Local Air Quality

Background – The NKM Project (2)

Background – The NKM Project (3) Technical work on forestry planned at project design:Technical work on forestry planned at project design:  Research and Development (DB and derived products)  Short-term ecosystem protection  Carbon flux monitoring and verification  Sustainable Forestry Management Program (with ex - loggers) Community work:Community work: Community Support Program Community Support Program Promotion of DB enterprise: Canopy Botanicals Promotion of DB enterprise: Canopy Botanicals Fiduciary Fund for long-term conservation Fiduciary Fund for long-term conservation Ecotourism Program Ecotourism Program

Carbon inventoring and monitoring Project served for study of forestry variables included in the IPCC SR-LULUCF of 2000Project served for study of forestry variables included in the IPCC SR-LULUCF of 2000 Methods: Forest inventory, soil sampling and ecological surveys (MacDicken methodology and protocol, 1997)Methods: Forest inventory, soil sampling and ecological surveys (MacDicken methodology and protocol, 1997) 625 plots established, statistical sample, 95% confidence interval of ± 10%625 plots established, statistical sample, 95% confidence interval of ± 10% Plots supply data on carbon inventory of the area Pools considered: –Trees with diameter at breast height > 5 cm. (60% of C) –Understory (roots – 12%) –Fine litter standing stock (3%) –Standing dead wood (7%) –Soil to 30 – cm. Depth (18%) 95% confidence interval of ± 4%

Method for estimating averted logging carbon benefits Benfs= Δlive biomass C + Δdead biomass C + Δwood product C Δlive biomass C= (biomass C from logging damage + C in timber extracted) x growth factor Δdead biomass C= (dead biomass from logging damage x decomposition factor) Δwood products= (timber extracted x proportion converted to long-lived products) Method for measuring C content in biomass: –Destructive sampling –Trees cut and proportion of biomass cut, standing and damaged calculated by several factors and formulas –Wood dried in a furnace, where the contents of carbon in the area is determined

Usefulness of NKM work for future A&R projects Above ground biomass and root biomass data for tropical areas (relationship between them)Above ground biomass and root biomass data for tropical areas (relationship between them) Rates of growth for different tropical species in regeneration plotsRates of growth for different tropical species in regeneration plots Data about wood density and carbon contentsData about wood density and carbon contents Data for biomass annual average increase Validation of regression equation for estimating tree biomass in project areas (native forest) Testing of leakage prevention methods with local communities Testing of simulation models for land use change Aerial videography as methods for monitoring project area Capacity building of local expertise for formulation and implementation of forestry projects Testing of methods for community work

Community Support Program Components Community organisation and land tenure Local planning and income generation Health policies Education Communication and infrastructure Stakeholder Involvement in conservation / project management activities

Community Organisation and land tenure (1) Community Councils organized for each villageCommunity Councils organized for each village Legal status promoted and processed for each CouncilLegal status promoted and processed for each Council Creation of an Indigenous people’s association (Central Indígena del Bajo Paraguá – Trade Union)Creation of an Indigenous people’s association (Central Indígena del Bajo Paraguá – Trade Union) Negotiation capacities for Association LeadersNegotiation capacities for Association Leaders Funding negotiated by leaders for regularisation of land rightsFunding negotiated by leaders for regularisation of land rights Advanced process in assignment of land rights for indigenous territory (395,000 ha.)Advanced process in assignment of land rights for indigenous territory (395,000 ha.)

Community Organisation and land tenure (2)

Local planning and income generation Baseline for Natural Resources Management Plan at the ITBaseline for Natural Resources Management Plan at the IT Fisheries Management PlanFisheries Management Plan Property Regularisation PlanProperty Regularisation Plan Local Commitee for Loan Management (US$ 57,500)Local Commitee for Loan Management (US$ 57,500) –Lodging quarters, tourist guides, horse quarters, cattle management, carpenter workshop Δ of production of winter crops and diversificationΔ of production of winter crops and diversification Palm hearts cropping outside of Park areaPalm hearts cropping outside of Park area

Health Policies Medical personnel assigned to communitiesMedical personnel assigned to communities One medical post (microhospital) – Piso FirmeOne medical post (microhospital) – Piso Firme Refurbishment of medical post at FloridaRefurbishment of medical post at Florida Lodging for permanent nurses + drugsLodging for permanent nurses + drugs One ambulance at San IgnacioOne ambulance at San Ignacio Assistance in medical emergencies (flights)Assistance in medical emergencies (flights) Perforation of water wells and provision of electric pumpsPerforation of water wells and provision of electric pumps

Education & research Refurbishment of 4 schools –Florida, Piso Firme, Porvenir & Bella Vista Educational material provided to schools Long-distance schooling by Internet Scholarships in Santa Cruz for best students Salaries for additional teachers (to those covered by municipalities) Research: foreign students on community work and forestry variables

Communication & infrastructure; stakeholder involvement in protection activities Sewer installation for villages Road repair and maintenance New radio stations at Piso Firme, Cachuela and Esperanza Involvement in protection activities as Park Keepers Capacity building to indigenous people for forestry management Technical directives for fire prevention and control

Comparative: Enabling costs for a CDM energy project in the Bolivian jungle Comparative: Enabling costs for a CDM energy project in the Bolivian jungle Example: e7 Project (Tahuamanu – Isla Marine); total investment 28 MM US$ CER generated: 40,000 tons C/ yr, at 5US$/ton  US$ 200,000 / yr ITEMHigh Estimate (US$)Low Estimate (US$) Validation50,00030,000 National Approval20,00015,000 Registration30,0005,000 Verification20,00010,000 Adaptation Fund4,000 Administrative Costs EB15,00010,000 TOTAL139,00074,000 % of yearly CER (not including monitoring & project formulation)