Despite the doubts, which surround the REDD project, private companies and investors are putting more and more money into carbon sink projects. The research group Ecosystem Marketplace reported last month that these investments are in the main being made in anticipation of government imposed greenhouse gas restrictions.
During 2007-08 the global forest carbon market was worth an estimated $71.6 million and $21 million in the first half of 2009. Of the 2008 investments 53% went towards afforestation projects (planting seeds/trees on non-forest land). A further 24% went towards REDD focused projects.
Any future REDD project support will be dependant on the efforts of international and domestic policy makers to impose limits on forest related greenhouse gas emissions. Cap and trade programs may be brought in to establish funding mechanisms to support carbon sequestration initiatives.
According to Elly Baroudy, manager of the World Bank’s BioCarbon Fund industrialised and developing countries are likely to continue their efforts to fund and manage forest carbon efforts. “However we move forward, forest carbon is there,” she said.
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