Carbon credit initiative
Cargill supports first-of-its-kind project designed to preserve the Amazon rainforest.
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Cargill has awarded USD $3 million to Columbia University and the Amazon Forest Carbon Partnership (AFCP), a first-of-its-kind project designed to help preserve the Amazon rainforest.
Columbia University and the AFCP will attempt to reduce deforestation and degradation by establishing a reliable standard for forestry carbon credits.
“The main goal is to create a platinum standard for forestry carbon credits to ensure they are sustainable, permanent and environmentally friendly across the board,” said Cargill Global Emissions and European Power & Gas (GEEPG) general manager for structured carbon, Michael Dwyer, who steered Cargill’s participation in the partnership.
Financial incentive for protecting rainforests
Selling forestry carbon credits to help preserve rainforests is a subject of debate in the carbon industry, with much of the controversy centering on REDDs (Reducing Emissions from Deforestation and forest Degradation). The REDD mechanism relies on creating a financial incentive for protecting the rainforests by allowing developed countries to buy forestry credits from developing countries.
Proceeds from the sale of these carbon credit proceeds will fund rainforest preservation programs and provide assistance to indigenous people.
“This project will help establish accountability and see that the money goes where it belongs—and that means that a portion of it gets out to the indigenous people who live in these forests,” said Arjun Patney, U.S. Carbon market strategist for GEEPG.
Partnering across countries
AFCP was launched at Columbia University by Don Melnick, a distinguished professor of conservation biology at New York’s Columbia University. Columbia’s Center for Economy, Environment, and Society is working in partnership with five non-governmental environmental trust funds (ETFs) dedicated to preserving the Amazon rainforest. The ETFs are based in Bolivia, Brazil, Columbia, Ecuador and Peru. “Cargill has a large presence in this part of the world and involving the local ETFs gives the project a great deal of credibility,” added Dwyer. “The threats to the rainforest are something we can work on with people from each of these countries.”