THE ECONOMIC COSTS AND BENEFITS OF
SECURING COMMUNITY FOREST TENURE:
EVIDENCE FROM BRAZIL AND GUATEMALA
ERIN GRAY, ECONOMICS CENTER, WRI
MARCH 16, 2016
Image: http://news.mongabay.com/
Conducted by:
World Resources Institute | A global research
organization that aims to move human society to live in ways
that protect Earth's environment and its capacity to provide
for the needs and aspirations of current and future
generations.
With support from:
Climate and Land Use Alliance | An alliance to
support land use policies and practices that mitigate climate
change, benefit people, and protect the environment..
PRESENTATION OUTLINE
1. Analysis overview
2. Results
3. Concluding remarks
RESEARCH QUESTION
How do the benefits compare to the costs of investing in
establishing and maintaining secure community forest tenure?
POLICY CHANGE
FOREST COVER CHANGE
Photo: Wikipedia
CHANGE IN VALUE
Photo: www.amazonwatch.org
1. Analysis overview
MOTIVATION
1. Analysis overview
RESEARCH APPROACH
1. DEVELOP A FRAMEWORK / IDENTIFY COSTS AND
BENEFITS
2. COMPARE USING BENEFIT-COST ANALYSIS
METHODS:
1. LITERATURE REVIEW
2. EXPERT CONSULTATION
1. Analysis overview
STUDY AREA: BRAZIL INDIGENOUS TERRITORIES (2015)
1. Analysis overview
STUDY AREA: GUATEMALA - MAYA BIOSPHERE RESERVE
1. Analysis overview
COSTS
1. Tenure security establishment
2. Community forest establishment
3. Forest management, operating, and monitoring
4. Opportunity costs
1. Analysis overview
ESTIMATING FOREST COVER CHANGE:
Inhibitory effect
on deforestation
Brazil: Nepstad et al. 2006
1. Analysis overview
BENEFITS
1. ECOSYSTEM SERVICES
1. Analysis overview
2. BEHAVIORAL BENEFITS
3. SOCIAL BENEFITS
BENEFIT-COST ANALYSIS
1. 20 year timeline
2. 2% and 6% discount rate (10% for sensitivity
analysis)
3. Carbon price: Social Cost of Carbon
4. Forest cover change limited to avoided
deforestation impact
5. Benefit data limited to carbon sequestration and
timber/non-timber sales
1. Analysis overview
RESULTS
2. Results
RESULTS
2. Results
CHALLENGES
• Data, data, data….
2. Results
CONCLUDING REMARKS
• Securing community forest tenure is a potential good
“investment” as a solution to tackling climate change
• Community forests generate a variety of economic benefits,
ecosystem services and behavioral changes (conflict
resolution, capacity building); need further economic analysis
to show more accurate value of these
• Potentially a cost-effective solution if compared to technology
based solutions (comparison not developed in the paper)
• Upcoming report: Original matching analysis + extension to
Amazon region (Colombia & Bolivia)
3. Concluding Remarks