The Climate Change Directorate (CCD) of Forestry Commission (FC) together with representatives of the United Nations Development Programme (UNDP) have held a consultative meeting with the Acting (Ag.) Chief Executive (CE) of FC, Dr. Hugh C.A Brown, on the modalities of the Performance-based payment (PBP) for Vintage Emission Reductions from January 2017 – December 2019.
Performance-based payments (PBPs) are a type of agreement between UNDP and a responsible party to provide funding upon the verified achievement of an agreed measurable development result. Payments are made only upon the verified achievement of agreed results. Ghana has opted to use this modality for the disbursement of funds for the receipt of Verified Emission Reductions for the Vintage Emission Reductions for the LEAF area.
Through the efforts of the CCD, FC has qualified to receive payment for Verified Emission Reductions from the Lowering Emissions by Accelerating Forest Finance (LEAF) Coalition coordinated by Emergent with the UNDP as the Financial Intermediary.
The LEAF Coalition is a unique Public Private Partnership focused on halting tropical deforestation by 2030 by bringing together Forest Governments, Private Sector, Donor Governments, Indigenous People and Civil Society Organisations. LEAF aims to raise and deploy the finance needed to tackle deforestation by making tropical forests worth more alive than dead. LEAF seeks to channel funds to forest governments by purchasing high-integrity jurisdictional REDD+ credits. The Coalition is designed to mobilise high volumes of private sector funding needed to recognise and reward governments and all stakeholders for reducing emissions from deforestation.
Speaking at the meeting, Dr. Brown indicated that although he recently took over the position as CE of FC, he has been well briefed on the matter. He continued that it is inspiring that the Commission met the eligibility criteria for receiving payments for verified Vintage Emission Reductions and is fully ready to work to ensure regular flow of such assistance. He emphasised that as CE, he would provide the leadership and support required to ensure the conservation and sustainable use of Ghana’s Forest resources.
The Director of the CCD, Ms. Roselyn Fosuah Adjei, expressed her appreciation to the UNDP team for their continued support and serving as the financial intermediary to execute the payment of the emission reduction from January 2017 – December 2019. She added that the Commission joined the LEAF Coalition to access investment opportunities from the Private Sector beyond just carbon offsetting.
Ms. Leticia Guimaraes, Head, Carbon Markets at UNDP indicated that Ghana is the first country on the carbon market to receive this funding although the Coalition has experience with other countries. Adding that the funding is reserved for results-based emission reductions and are verified by independent verification bodies.
Dr. Brown concluded the meeting by expressing gratitude for the partnership and stated that “the Commission looks forward to many more of such.