DEWJI GROUP ‘0 NET DEFORESTATION’

SUSTAINABLE VALUE CHAIN INITIATIVE

• PILOTING/DEMOSTRATING THE INTEGRATION OF

SMALL-HOLDER AND SUSTAINABLE INDUSTRIAL

SCALE AGROFORESTRY VALUE CHAINS

• GETTING THE RURAL SOUTH EFFECTIVELY ON A

INTEGRATED CLIMATE CHANGE MITIGATION &

ADAPTATION PATHWAY

• THAT LEADS TO BOTH RESILIENCY (EFFECTIVE

ADAPTATION) AND MAJOR GHG (LULUCF)

EMISSION REDUCTIONS

THE DEWJI GROUP’S DRIVE FOR A REAL CHANGE OF SOUTHERN

AGRICULTURE AND ENERGY PRODUCTION SYSTEMS IS BASED ON THE

FOLLOWING KEY PREMISE:

THE BEST WAY FOR RURAL SOUTHERN COMMUNITIES TO ADAPT TO

CLIMATE CHANGE IS TO MITIGATE THEIR OWN LAND USE EMISISONS

HOW? ….. BY ACCESSING & ADOPTING HIGH PERFORMING

AGROFORESTRY TECHNOLOGY/SYSTEMS THAT CAN RESTORE

ANTHROPOGENIC SAVANAH & ALLOW FOR ITS SUSTAINABLE USE ,

THEREBY REPLACING BASELINE ENERGY WOOD, FOREST & AGRICULTURAL

PRODUCTS. THIS PROJECT SCENARIO ACTIVITY WILL GENERATE MAJOR

NON CARBON AND CARBON VALUES THAT TOGETHER CAN ALLOW

COMMUNITIES TO SELF PROPEL OUT OF EXTREME POVERTY AND BUILD A

FOUNDATION FOR COMMUNITY RESILIENCY THAT WILL ALSO PROVIDE THE

TENURE CERTAINTY AND GOOD GOVERNANCE NEEDED FOR PRIVATE

SECTOR ROI

REDD+ & INTEGRATED SUSTAINABLE LANDSCAPE MANAGEMENT -

‘STATE OF PLAY’ & CHALLENGES:

• REDD+ CONCEPT IS STILL SEEN AS PROMISING, BUT 6 YEARS OF

REDD+ NATIONAL-LEVEL PREPARATIONS HAVE YET TO PRODUCE

SUCCESSFUL PILOT PROJECTS TO SCALE IN AFRICA

• FOCUS IS STILL VERY MUCH ON CARBON BENEFITS

• DIFFICULTIES TO CONNECT/ENGAGE WITH SMALL HOLDERS AND

THE PRIVATE SECTOR

• KEY REDD+ TOOLS ARE NOT YET FULLY OPERATIONAL

• LACK OF HUMAN RESOURCES TO IMPLEMENT TO SCALE

• PRESENT CARBON PRICES AND UPFRONT FINANCING ARE OFTEN

NOT SUFFICIENT TO MOTIVATE SMALL HOLDER AND INDUSTRIAL

SCALE RESOURCE USE AND MANAGEMENT OPERATORS TO LEAVE

HIGH DEFORESTATION BASELINE TRAJECTORIES

• REDD+ CREDITS NOT FUNGIBLE INTO COMPLIANT MARKETS DUE TO

PERMANENCE REVERSABILITY RISKS

• REDD+, GREEN ECONOMY AND INTEGRATED LANDSCAPE PROGRAMS

HOPE TO LEVERAGE SPECIALIZED, LARGE-SCALE, AGRO-FORESTY VALUE

CHAIN INVESTMENTS, BUT OFTEN FAIL TO CREATE THE RIGHT

ENABLING ENVIRONMENT OR SUFFICIENT FOCUS (ToRs) AND/OR

INCENTIVES TO OFFSET MAJOR COUNTRY RISKS

• AS A RESULT REDD+ IS LOSING MOMENTUM JUST WHEN WE NEED IT

TO BE A RESULTS-BASED FRAMEWORK FOR A MASSIVE SHIFT IN LAND-

USES

REDD+ STATE OF PLAY & CHALLENGES CONTINUED…….

DEWJI GROUP CONGO PILOT: SHOWING A CLEAR EFFECTIVE PATHWAY TO

GET REDD+ / INTEGRATED LANDSCAPE MGMT / GREEN ECONOMY

PROGRAMS ‘OFF THE GROUND’ TO SCALE BY ADDRESSING 3 ESSENTIAL

NEEDS:

1. BY CONNECTING REDD+ FRAMEWORK WITH SUPPLY CHAIN

SUSTAINIBILITY AMBITION (expressed at RIO+20)

2. BY OFFERING A REGULATORY REMEDY FOR THE POTENTIAL REVERSAL

OF REDD+ CLIMATE BENEFITS (RENDERING THEM COMPLIANT-GRADE)

3. BY PROVIDING AN EXPERIENTIAL, ‘LEARN BY DOING’, PILOT TO

DEVELOP BEST PRACTICES AND THEN DEVELOPING CAPACITY

CENTERED ON THOSE BEST PRACTICES

DEWJI SUSTAINABILITY INNOVATIONS: SHOWING THE WAY FORWARD FOR

THE DESIGN & LAUNCH OF A POTENTIAL NEW PROGRAM THAT ADDRESSES

THOSE 3 URGENT NEEDS BY :

1. INCUBATING A NEW CLASS OF REDD+ PROJECTS FOCUSSED ON

INTEGRATING SMALLHOLDER AND INDUSTRIAL VALUE CHAINS

(LEVERAGING BILLIONS OF $$ OF SUPPLY CHAIN SUSTAINABILITY

INVESTMENT)

2. COUPLING COMPLIANT, CLEAN ENERGY, CREDITS AND BUFFERS

WITH REDD+ CREDITS TO AUTO-INSURE AGAINST REVERSAL (cost

<$15tCO2e)

3. PILOTING/DEMONSTRATING A CONCEPTUAL SOUND PATH TO

RESILIENCY FOR THE RURAL SOUTH THAT CAPACITY CAN BE

EFFECTIVELY BUILT AROUND

DEWJI GROUP PILOT ‘0 NET DEFORESTATION ‘ MAIN FEATURES:

• GREEN EXPANSION AND RELOCALISATION OF SOCALCO’S MANUFACTURING FACILITY TO

THE TOWN OF BOLOBO (250KM UPSTREAM ON THE CONGO RIVER MAINSTEM)

• NEW SUSTAINABLE SUPPLY OF RAW MATERIAL PEELER LOGS FOR MATCH SPLINT

PRODUCTION TO COME FROM 2 SOURCES:

1. VIA THE CREATION OF SUSTAINED YIELD FOREST MANAGEMENT UNITS FOR INFORMAL SECTOR

LOGGERS (TARGETING FORESTS THAT CONTAIN THE DESIRED SPECIES)

2. THE ESTABLISHMENT OF 10,000 HECTARES OF AGROFORESTRY, WITH ONE OF THE LEAD NATIVE

TREE SPECIES BEING FUNTUMIA AFRICA (GOOD FOR MATCH SPLINTS)

• ESTABLISHMENT OF A LARGE, RENEWABLE ENERGY, THERMAL GENERATING POWER PLANT

USING FORESTRY AND AGRICULTURAL WASTE AS FEEDSTOCKS

• SPECIAL FOCUS ON INTEGRATING SOCALCO’S SUPPLY CHAIN WITH SMALL HOLDER VALUE

CHAINS

• DEVELOPMENT OF BEST PRACTICES FOR COMMUNITY ENGAGEMENT AND GOVERNANCE

• DEVELOPMENT OF INNOVATIVE QUANTIFICATION AND MONETIZATION PROTOCOLS THAT

INTEGRATE CLEAN ENERGY, FUEL SWITCH AND REDD+ METHODOLOGIES

• BY RENDERING ACCESSIBLE APPROPRIATE AGROFORESTRY & RENEWABLE

ENERGY PRODUCTION SYSTEMS THAT GREATLY INCREASE FOOD, ENERGY

PRODUCTION AND FAMILY REVENUES, SMALLHOLDERS WILL BE RELEASED

FROM THEIR DEPENDENCY ON LOW PERFORMING ‘SLASH AND BURN’

AGRICULTURE AND NON-SUSTAINABLE ENERGY WOOD EXTRACTION

• PERMANENT (COMPLIANCE-GRADE) NET CLIMATE BENEFITS FROM LAND-USE

EMISSION REDUCTIONS CAN BE GENERATED VIA QUANTIFICATION AND

MONETIZATION PROTOCOLS THAT INTEGRATE REDD+, FUEL SWITCH AND

IMPROVED STOVE OFFSET METHODOLOGIES ( TAKING INTO ACCOUNT

THATOVER 50% OF DEFORESTED BIOMASS IS USED AS ENERGY WOOD IN THE

DRC)

• THIS PILOT WILL REPLACE OVER 100% OF BASELINE ENERGY SUPPLY WITH

NEW SUSTAINABLE SOURCES (TO INCREASE CLEAN ENERGY ER POTENTIAL

• POSITIVE HEALTH IMPACTS FROM INTEGRATING IMPROVED STOVES WITH

FUEL SWITCHING ARE HUGE

INTEGRATING REDD+ AND CLEAN ENERGY FOR THE BENEFIT OF

SMALLHOLDERS AND MORE FUNGIBLE CLIMATE BENEFITS:

CLIMATE AND SOCIO-ECONOMIC/HEALTH IMPACTS CONTINUED….

• LOOKING AT AFRICA AS A CONTINENT, REDUCTIONS IN COOKING WOOD FIRE SMOKE/EMISSIONS AS PART OF VALUE-CHAIN FOCUSSED REDD+ PROGRAM WOULD POTENTIALLY EQUATE TO:

• UP TO 500M tCO2e/yr IN JURISDICTIONAL, COMPLIANT-GRADE, EMISSON REDUCTIONS (GREATER THAN CANADA’S TOTAL GHG EMISSIONS)

• PROVIDE MASSIVE HEALTH BENEFITS TO 150M FAMILIES

• CREATE LARGE INCREASES IN SMALLHOLDER FAMILY REVENUES

• THE EMISSION REDUCTIONS, IF DONE VIA NESTED PROJECTS WITHIN ROBUST, WELL MONITORED AND SAFE GUARDED, JURISDICTIONAL REDD+ / EMISSION REDUCTION PROJECTS, WOULD HAVE THE POTENTIAL TO BE USED AS INTENDED NATIONALLY DESIGNATED CONTRIBUTIONS (INDCs) BY DEVELOPED ANNEX 1 (AS PER UNFCCC PROTOCOL AND PARIS CLIMATE AGREEMENT)

IN SUMMARY, THE DEWJI GROUP DRC PILOT WOULD:

• DEMONSTRATE HOW NET EMISSION REDUCTIONS FROM SUCH SUPPLY

CHAIN GREENING TYPE REDD+ INITIATIVES COULD BE

• FUNGIBLE INTO COMPLIANT MARKETS

• AVAILABLE FOR USE BY DEVELOPED COUNTRIES AS INDCs

• DEMONSTRATE THAT SUCH VALUE CHAIN INTEGRATION DRIVEN REDD+

INITIATIVES CAN PRODUCE A MUCH HIGHER LEVEL OF NON CARBON

BENEFITS FOR SMALL HOLDERS

• DEVELOP A LIVING LABORATORY AND EXPERENTIAL ‘LEARN BY DOING’

CAPACITY BUILDING/TRAINING CENTER OF EXCELLENCE

• DEVELOP EFFECTIVE BEST PRACTICES FOR REDD+ DRIVEN

TRANSFORMATIONAL CHANGE CENTERED ON SMALL HOLDER & INDUSTRIAL

VALUE CHAIN INTEGRATION

• SHOW COMMODITY COMPANIES THAT SUSTAINABLE LAND USE CAN

MITIGATE THEIR FINANCIAL RISK/EXPOSURE VIA ENHANCED SOCIAL

LICENCE

THE DEWJI GROUP IN THE DRC

• TAKING A HIGH VALUE-ADD FOREST PRODUCT COMPANY ON A ‘O NET DEFORESTATION SUPPLY CHAIN ‘ TRAJECTORY

• SHOWING HOW INTEGRATED, PRIVATE SECTOR-LED, VALUE CHAIN INTEGRATION CAN SPEARHEAD LANDSCAPE-LEVEL REDD+ MITIGATION AND ADAPTATION INITATIVES THAT EMPOWER AFRICA TO MEET ITS NEW SDG GOALS

Thanks for your attention!

Questions…? Ideas…?

DEBUGGING REDD : GETTING INITIAL CARBON FINANCE TO TRIGGER REPLACEMENT OF UNSUSTAINABLE NON CARBON VALUE CHAINS WITH MORE PROFITABLE EFFECTIVE SUSTAINABLE ONES THAT DO NOT NECESSITATE DEFORESTATION AND ARE DRIVEN BY SMALL HOLDER SUPPLY CHAINS THAT ARE INTEGRATED WITH INDUSTRIAL SCALE AGRI BUSINESS ONES

PROJECT SCENARIO

>1.5X t/yr baseline energy wood volumes

>1.5X t/yr baseline service wood volumes

>1.5X m3/yr of baseline sawlog volumes

>3X t/yr ag products

Leakage Management Zone

FOREST INTENDED FOR PROTECTION

TECHNICAL CONSIDERATIONS

Sustained yield forest mgmt units in adjacent managed working forest area

REDD+ intervention area = leakage mgmt zone + protected forest zone

Leakage Management Zone

Ad

jacent U

rban

Areas

Ad

jacent U

rban

Areas

DEBUGGING REDD : CLEAN ENERGY (IMPROVED STOVES) AND FUEL SWITCH) ARE ESSENTIAL MITIGATION ACTIVITIES AND THEY QUANTIFICATION CAN BE USED AS A DEFACTO INDICATOR/MEASUREMENT OF REDD EFFECTIVENESS (i.e. reduced deforestation emissions + reduced poverty)

PROJECT SCENARIO

Sust

ain

ablle

ener

gy w

oo

d u

se in

im

pro

ved

sto

ve p

roje

cts

(fu

el s

wit

ch)

Leakage Management Zone

FOREST INTENDED FOR PROTECTION

TECHNICAL CONSIDERATIONS

Improved stove projects in nearby urban areas

energy plantations

REDD+ intervention area = leakage mgmt zone + protected forest zone

Adjacent Urban Areas

DEBUGGING REDD : ENSURE INTENSITY AND QUALITY OF INVESTMENT ($/HA & BEST PRACTICES/APPROPRIATE VALUE ADD TECHNOLOGIES & THIRD PARTY CERTIFICATION & MARKET LINKAGES via EFFECTIVE VALUE CHAIN INTEGRATION)

PROJECT SCENARIO

D – INVEST IN REPLACEMENT OF ALL BASELINE ENERGY WOOD FLOWS BY SUSTAINABLE ECO-CHARCOAL FROM LEAKAGE MANAGEMENT AREA PLANTATIONS (>1.5X t/yr energy wood)

C – INVEST IN SERVICE WOOD REPLACEMENT IN LEAKAGE MANAGEMENT AREA PLANTATIONS (>1X m3/yr baseline service wood)

A - INVESTMENT IN ALTERNATIVES TO ILLEGAL LOGGING >$10/ha to establish sustained yield mgmtunits + TRACE certification and intervention MRV

B – INVEST IN THE INCUBATION OF SUSTAINABLE AGRICULTURE PILOTS >$1000/HA for plantations establishment + $20,000/community for effective engagement

Leakage Management Zone

FOREST ZONE DESIGNATED FOR INTEGRAL PROTECTION AND/OR NFTP USE

TECHNICAL CONSIDERATIONS

savannah (plantations) and existing Ag Complex (best practices + extension services + micro credit)

Sustained yield forest mgmt units SAWLOGS VOLUMES > BASELINE FLOWS