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:: 29 July 2008

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RUPES E-News Issue 14

In this issue


Message from RUPES Project Office

In March 2007, a group of experts, practitioners, and brokers met in Italy to discuss how lessons learned from recent global experiences with payments for watershed services (PWS) could be used to improve the efficiency of watershed management. You can find a link to view the meeting report in the first article.

In the second article, we share you a good news from the Philippines. The Mitsubishi UFJ Securities (MUS) Co., Ltd. has finally signed an agreement with the Kalahan Educational Foundation for a small scale CDM project in Ikalahan Ancestral Domain - RUPES research site in the Philippines. Congratulations to RUPES-ICRAF Philippines who has facilitated the process. 

Related to the article, in our References section, we put a newly published research report on carbon density in agroforestry systems carried out in the Domain. 

Don't forget to check our Featured Links. Early this month, the official journal of the US National Academy of Sciences, PNAS, put together a Special Feature on Ecosystem Services highlighting, among others, the increasing recognition of ecosystems as natural capital assets and the challenge to turn this recognition into incentives and institutions that will guide wise investments in natural capital, on a large scale. 

Happy reading ... 

Aunul Fauzi
Communication Specialist

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Bellagio Conversations

Dr Meine van Noordwijk, RUPES Program Coordinator, joined a group of the 24 individuals from 13 countries at the Rockefeller Foundation's Bellagio Center at Lake Como (Italy) in March 2007 to discuss lessons learned from recent global experiences with payments for watershed services.

The report from the discussion was recently published. Edited by Nigel Asquith, Fundación Natura Bolivia, and Sven Wunder, Center for International Forestry Research (CIFOR), the report was entitled Payments for Watershed Services: The Bellagio Conversations. It is now available for download from www.naturabolivia.org/indexI.htm 

The following is a scrap from the first page of the report.

"Most water users would prefer their water to be free of charge, and most upstream land managers would prefer their activities to be unrestricted. However, the upper watersheds that should provide clean water to downstream users often have to support additional and sometimes conflicting functions, such as agriculture and forestry activities. Existing regulatory frameworks have often proved unable to reconcile these conflicting needs. Watershed management may be improved by providing incentives to upstream land users to adopt production systems and land use practices that are better aligned with the importance and value attached by downstream recipients to the environmental services yielded by those systems. Payments for watershed services (PWS), a subset of "payments for environmental services" (PES), appear to have the potential to improve resource management. The rationale behind PWS is that downstream service users benefit from the upstream land use practices that ensure the supply of services such as protection from erosion and sedimentation, and stream flow stabilization. However, if upstream service providers are to take appropriate land use decisions, and provide downstream users with such services, they likely need to be compensated for their opportunity costs, i.e. the economic gains they would have made if they had continued with their first land use plan." [Aunul Fauzi]

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First Fruit in Negotiating Carbon Payments

The Kalahan Educational Foundation (KEF) has finally signed an agreement with the Mitsubishi UFJ Securities (MUS) Co., Ltd. 

Through the RUPES Project, KEF (an indigenous community-based led organization) is developing a carbon sequestration project in at least 900 hectares of the Ikalahan Ancestral Domain in Nueva Vizcaya. 

Under the agreement, MUS provides consultancy services on issues relating to the creation and acquisition of Certified Emission Reductions (CERs) and other matters related to the Clean Development Mechanism as well as on the generation of Emission Reductions. 

Unlike with the other consulting services, aside from shouldering the upfront costs of CDM registration process, MUS offered an option to purchase the generated CERs and ERs from the project at 8$USD per tonne with payment to be made upon delivery of the CERs 12 months upon the execution of the agreement.

ICRAF-Philippines is actively involved in enhancing the capacity of KEF to negotiate payments for their carbon sequestration and assisting KEF in preparing information and documents necessary for the CDM registration. Currently, the community has started planting indigenous seedlings to the target areas. KEF is also preparing for non-Kyoto market. 

Preparation of the project idea note and baseline information of Kalahan carbon project was made possible through the financial assistance of the International Fund for Agricultural Development (IFAD). [Grace Villamor]

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Contact:

rupes@cgiar.org
RUPES Website

Featured Links

PNAS, Proceedings of the National Academy of Science

The official journal of the United States National Academy of Sciences, PNAS, has now put together a Special Feature on Ecosystem Services: From theory to implementation, which provides an overview of the potential of PES for sustainable development. 

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References

Carbon Storage of the Grassland Areas of Ikalahan Ancestral Domain, Nueva Vizcaya, Philippines

Author:
Florencia Pulhin (2008)

In this paper, the author shows that tree plantations and agroforestry systems in the Philippines have carbon densities five to six times more than the grasslands.

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  REWARDING UPLAND POOR FOR ENVIRONMENTAL SERVICES (RUPES)
 
http://www.worldagroforestry.org/sea/Networks/RUPES/index.asp
 
Email: rupes@cgiar.org