This Week in Forest Finance December 26
Global forestry initiatives tackle climate change: from Manitoba to Congo, follow the money for projects restore forests and and empower communities.
Sweet Releaf for First Nations in Manitoba from Tree Canada
Tree Canada's 2024 Operation Releaf (we love that name!) has supported Blue Green Planet Project's Manitoba tree planting initiative. This eight-year reforestation endeavour near Devils Lake in Manitoba's Interlake region aims to restore a boreal forest devastated by wildfire and pest infestation.
Spearheaded by Tim Tchida's Blue-Green Planet Project and Indigenous partner Nisokapawino Forestry Management, the project has planted 2.8 million seedlings so far, with plans to plant 20 million in total as per CBC. Operation Releaf has sponsored 76,000 of those trees in 2024 — Blue Green Planet's website indicates costs of $1.25 per tree.
Agroforestry Woodlot and Extension Society Spearheads Prairie Planting, Helped by 2BT
The Agroforestry Woodlot and Extension Society (AWES), a nonprofit dedicated to sustainable forest management, is playing a key role in advancing Canada’s Two Billion Trees (2BT) program. The federal program has granted AWES $16,709,219.00 as part of a program going until 2031.
AWES collaborates with landowners, municipalities, and organizations across Canada's prairie provinces and Alberta, offering expertise in designing and implementing reforestation projects, including site preparation and maintenance. As part of the Western Coalition 2BT initiative, AWES provides funding support for eligible expenses like fencing, labor, and materials. During one recent update to Mountain View County, AWES highlighted its adaptable approach to supporting stakeholders in restoring landscapes and promoting long-term ecological benefits (as reported in The Albertan).
We have no word as of yet on how many trees the project has planted, precisely where they are or how many they intend to plant (please write to us if you happen to know, we are eager to find out).
New Zealand One Billion Trees Spotlight: Motutapu Land Restoration
While applications for funding under New Zealand's One Billion Trees Program are closed, we can see some of the tangible effects of this ongoing program in the the Motutapu land restoration project, which has recieved $1,180,220 in funding from New Zealand's MPI.
Launched in 1993, the projectaspires to transform the pest-free Motutapu Island near Auckland into a thriving coastal lowland native forest and safe habitat for Aotearoa New Zealand’s native species. With 500,000 trees planted over 100 hectares, the project has reintroduced rare and endangered species, including kiwi, tieke, and tūturuatu, while creating conditions for others like korimako and kākāriki to self-establish. They are also funded by Tane's Tree Trust.
Ireland's Teagasc Forestry Grants
A nice Christmas present for forestry-transparency advocates who have never heard of it before, Ireland's Teagasc provides independent information on forestry grants. For new forests, schemes like the Native Tree Area Scheme and the Afforestation Scheme fund the establishment of various forest types, from native woodlands to agroforestry, with additional supports like fencing and environmental report grants.
Ireland offers a uniform grant rate for projects, which can be viewed here, and provides geospatial polygons showing exactly where trees are planted, and often what kind—an impressive level of transparency in the use of taxpayer funds. Resources like forestry advice, online applications, and interaction with farm schemes are available to help landowners navigate the process. The 2024 grant recipients and applicants can be viewed here.
World Bank’s $225M Bond for Mombak's Amazon Reforestation
This may be old news now, but it's monumental in our view. The World Bank's $225 million Amazon Reforestation-Linked Outcome Bond, issued in August 2024, will fund a groundbreaking project to restore degraded lands in Brazil and generate Carbon Removal Units (CRUs) as a measurable carbon sequestration outcome. Managed by Mombak, a Brazil-based company, the project combines reforestation with biodiversity enhancement and socio-economic benefits for local communities.
Key investors, including Microsoft, ensure revenue through CRU forward purchase agreements. The nine-year bond offers a guaranteed return alongside a variable CRU-linked coupon, showcasing the scalability of outcome-based financing while advancing global carbon removal efforts and supporting the development of nature-based carbon markets. We've written more about this elsewhere.
Hopefully we will be able to eventually see these projects on the Brazilian Restoration Observaory, or elsewhere.
Northern Congo Agroforestry Project
Another World Bank project that happened this year is an agroforestry initiative in Northern Congo. The project aims to reduce deforestation, enhance climate-smart agriculture, and improve rural livelihoods in the Sangha and Likouala regions. By promoting sustainable cocoa production and subsistence farming, the goal is to restore 5,000 hectares of degraded land, conserve 4,000 hectares of forest, and reduce carbon emissions by 3.7 million tons over 20 years.
Farmers will benefit from training, high-quality inputs, and revolving funds, while payments for environmental services incentivize conservation. With a focus on biodiversity, gender equity, and private sector collaboration, the project will purportedly strengthen ecosystem services, support local economies, and enhance governance in one of the world's most forested regions.
The project was launched in 2022 and is expected to continue until 2027. The toal costs have been estimated at US$ 15.57 million. We have no word as of yet on how many trees have been planted, survival rates, and other project success metrics.
Sources
Past Operation ReLeaf Projects. Tree Canada. https://treecanada.ca/our-programs/past-operation-releaf-projects/ .
Arias Orozco, Santiago. Devils Lake Reforestation Project. CBC News, October 14, 2024. https://www.cbc.ca/news/canada/manitoba/devils-lake-reforestation-project-1.7348114 .
Blue-Green Planet Project. https://bgpp.earth/.
Reforestation Funding - Blue-Green Planet Project. Open Canada. https://search.open.canada.ca/grants/record/nrcan-rncan,115-2022-2023-Q4-13674,current .
Singleton, Dan. Agroforestry Society Outlines Seedling Planting Program. The Albertan, March 16, 2023. https://www.thealbertan.com/mountain-view-county-news/agroforestry-society-outlines-seedling-planting-program-6654857 .
One Billion Trees Fund Partnership Projects. MPI New Zealand. https://www.mpi.govt.nz/forestry/funding-tree-planting-research/one-billion-trees-programme/progress-towards-planting-one-billion-trees/one-billion-trees-fund-partnership-projects/ .
Motutapu Restoration Trust. Trees That Count. https://treesthatcount.co.nz/planting-projects/motutapurestorationtrust .
Forestry Grants. Teagasc Forestry. https://www.teagasc.ie/crops/forestry/grants/ .
Mior, Stewart. Reforesting the Amazon: Mombak and Carbon Credits. Ground Truth Forest News, December 02, 2024. https://groundtruth.app/reforesting-the-amazon-brazil-americas-dfc-carbon-credits-mombak/ .
Amazon Reforestation Outcome Bond. Nature-Based Solutions Initiative, December 03, 2024. https://naturebasedsolutions.org/node/236 .
Northern Congo Agroforestry Project: Project Concept Information. World Bank Documents. https://documents.worldbank.org/en/publication/documents-reports/documentdetail/483191533313352092/concept-project-information-document-integrated-safeguards-data-sheet-northern-congo-agroforestry-project-p166189 .
Edited by Chris Harris
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