UN-REDD Presents Options for Private Sector Engagement
17 June 2013: The UN Collaborative Programme on Reducing Emissions from Deforestation and Forest Degradation in Developing Countries (UN-REDD) released a publication on private sector engagement in REDD+.
The report, titled 'The Role of the Private Sector in REDD+: the Case for Engagement and Options for Intervention,' highlights the role of two groups of private sector stakeholders: those involved in verifying emission reductions; and those involved in forestry and the forest sector. According to the report, the engagement of private sector stakeholders is necessary if sufficient resources are to be mobilized for REDD+ to reduce forest degradation and deforestation rates.
To enhance private sector engagement, the report proposes four categories of action: incentives to promote positive participation and avoid negative impacts; risk mitigation instruments, including insurance and guarantees; minimum standards of behavior established through mechanisms, such as legislation, regulation and criteria; and enabling conditions to promote long-term engagement.
The report also stresses the importance of financial intermediaries, including banks and institutional investors. It notes that when such intermediaries engage in rural lending, land transactions, or agricultural development, they can influence corporate priorities. [Publication: The Role of the Private Sector in REDD+: The Case for Engagement and Options for Intervention]