Collaborating authors: Charlie Parker, Paul Keenlyside, and Adeline Dontenville
Agriculture, forestry and other forms of land use
generate around a quarter of global greenhouse gas (GHG) emissions, and in many countries, the proportion of emissions from land use is far higher. At the same time, these sectors are highly
vulnerable to the impacts of climate change. There are opportunities to redirect the hundreds of billions spent annually on land use around the world toward green activities without sacrificing
either productivity or economic development.
Total financial flows to agriculture and forestry activities in
developing countries alone are in the hundreds of billions of dollars, but these investments are predominantly business-as-usual (BAU) in nature, that is, they do not mitigate or adapt to the effects
of climate change, and in some cases may increase emissions or climate vulnerability.
TOOLS TO HELP GOVERNMENT AND THEIR PARTNERS TO REDIRECT LAND USE FINANCE
Limited understanding of investments in land use
mitigation and adaptation inhibits the design of efficient and effective public interventions. In many cases, we do not know how much finance is being channeled to the land-use sector, how it is
being delivered, what is being paid for and by whom. Nor do we fully understand the proportion of finance going towards green versus BAU activities or the opportunities that may exist to address
barriers, or create incentives to shift land use activities towards greener outcomes. In this joint study supported by the EU REDD Facility of the European Forest Institute,Climate Focus and Climate Policy Initiative have developed three tools that address these
Tool 2: Financial Viability Gap Analysis Tool