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Making REDD + pay: Shifting rationales and tactics of private finance and the governance of avoided deforestation in I ndonesia
Author(s) -
Dixon Rowan,
Challies Edward
Publication year - 2015
Publication title -
asia pacific viewpoint
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.571
H-Index - 38
eISSN - 1467-8373
pISSN - 1360-7456
DOI - 10.1111/apv.12085
Subject(s) - corporate governance , climate finance , deforestation (computer science) , variety (cybernetics) , private sector , investment (military) , business , reducing emissions from deforestation and forest degradation , climate governance , finance , climate change , economics , developing country , political science , economic growth , carbon stock , politics , ecology , artificial intelligence , computer science , law , biology , programming language
This paper presents an analysis of changing rationales and tactics among actors engaged in mobilising private finance for I ndonesia's emergent Reducing Emissions from Deforestation and Forest Degradation ( REDD +) programme. Despite limited flows of private finance so far, private sector actors have been responsible for a great deal of development and innovation in the forest carbon sector in I ndonesia, and have thus played – and continue to play – an important part in shaping the country's REDD + programme. Drawing on extended field research and interviews with key actors engaged with REDD + in I ndonesia, we identify a variety of private investor motivations, strategies and tactics, many of which depart considerably from the common understanding of REDD + as avoided deforestation funded through carbon offsets. As non‐state actors increasingly shape emerging REDD + projects, they assume important roles as agents of environmental governance – working through a variety of private market and hybrid modes of forest/climate governance. We describe four general modes of engagement, centred around: investment in REDD + verified emissions reductions; corporate social responsibility; sustainable commodities; and impact investment. The research thus contributes to an improved understanding of the nature of private REDD + finance in I ndonesia, and the implications, potential and limits of private, market‐based climate governance.