By External Source
SEOUL, Republic of Korea, Apr 20 2021 (IPS-Partners)

The Global Green Growth Institute (GGGI) has officially appointed Professor Kyung Nam Shin as Assistant Director-General and Head of Investment and Policy Solutions. He will assume his duties at the GGGI Seoul headquarters on May 1, 2021, to further the organization’s aim to catalyze green investments and policies for its Members.

“Considering all that has happened over the past year with the COVID pandemic, now is a crucial time for countries to integrate green policies and projects into their national priorities in order to regain economic stability for the long-term. To this end, GGGI has a lot of potential to greatly aid its Members to achieve impactful results and catalyze the investments necessary for this transition,” explains Prof. Shin.

Prof. Shin serves as a Committee Member for International Development Cooperation under the Prime Minister’s Office in Korea and is a Professor at the esteemed Kyung Hee University in Seoul. He holds a BA in Economics and an MA in Public Policy, from Seoul National University, as well as a Juris Doctor from Colombia University School of Law.

He has diverse background and professional experience of working to accelerate green growth development across Asia.

“Prof. Shin’s deep and broad expertise in the development of green investment projects and the mobilization of green and climate finance will be a great asset for GGGI to further its initiative to catalyze green investments and policies for its Members,” shared Dr. Frank Rijsberman, Director-General of GGGI.

Prof. Shin has over 30 years of international development experience throughout Asia, working with the Ministry of Economy and Finance of the Republic of Korea and the Asian Development Bank in Manilla, Philippines, as well as serving as the Director-General of the Green Technology Center Korea.

GGGI has been working closely with the Provincial Government of Central Kalimantan supporting effective policymaking and planning to drive reduced deforestation and peatland degradation in the province, particularly in Utar Serapat which consists of 107,000 ha of peatlands. GGGI also supports Central Kalimantan in mobilizing public and private investment for sustainable and inclusive landscape-based projects designed to achieve low carbon development in the province.

By Frank Rijsberman, Ingvild Solvang, Kristin Deason, Julie Godin, Hanh Le, Siddhartha Nauduri, and Marcel Silvius, Global Green Growth Institute
Dec 17 2020 (IPS-Partners)

In the wake of the worldwide COVID-19 pandemic, there are both challenges and opportunities in ensuring that COP26, a UN climate change summit, builds confidence in the Paris Agreement as an effective tool to avoid climate crisis.

As 2020 comes to a close, the date is fast approaching for all parties to the Paris Climate Agreement to submit their updated commitments, or NDCs, that specifically delineate how each country will meet the common climate goals within the United Nations framework.

Due to the COVID-19 global pandemic, COP26 climate talks was postponed to 2021, and instead a series of virtual events including the Climate Ambition Summit was held on December 12, 2020, where countries could give updates on their adjusted NDCs.

Much has happened in recent months. While the Republic of Korea did not show very ambitious NDC targets earlier this year, President Moon Jae-in announced net zero ambitions for 2050. Likewise, China made a net zero pledge for 2060. The European Union announced enhanced ambitions to cut emissions by 55% from the 1990 level by 2030.

Many other states made commensurate pledges to tackle the climate crisis. A Race to Resilience was also launched by mayors, community leaders and insurance companies committed to safeguarding the lives and livelihoods of four billion vulnerable people by 2030, which aligns in particular with the priorities of Small Island Developing States (SIDS) and Least Developed Countries (LDCs).

While these commitments are positive and more ambitious than earlier NDCs, they are still not ambitious enough to meet the 1.5 degree target and protect people and nature from climate change. UK Minister Alok Sharma has called out the world leaders’ failure to show necessary levels of ambition.

Reflecting on priorities ahead of next year’s COP26, the Global Green Growth Institute (GGGI) will continue supporting its Members’ and Partners’ NDC enhancement and implementation through climate and carbon finance mobilization. However, a key area of focus in 2021 will be to build synergies between climate solutions and green COVID19 recovery.

It is critical to ensure that the unprecedented economic stimulus packages result in lasting shifts toward green development pathways with explicit focus on employment potential and other socio-economic co-benefits.

The tens of trillions mobilized to recovery efforts provide a big and perhaps last chance to solve the unprecedented challenges as leverage vanishes with rising debt levels and dried-up public funding.

Green recovery packages must be put to work to decarbonize the economy. Renewable energy is now the cheapest form of energy, especially when taking account of the extended costs of our reliance on fossil fuels so far.

Circular economy options can drastically reduce waste, and alternatives to fossil fuel are available in the bioeconomy, and nature-based solutions hold tremendous untapped climate mitigation potential with employment and adaptation co-benefits. New technologies are pushing opportunities. Hydrogen can take up where RE cannot reach, and Artificial Intelligence can push energy efficiency and effective production.

These are trends moving us in the right direction. Explicit focus is required to highlight the economic multipliers and social co-benefits of climate action.

In our collaborative Green Growth Program with the Government of Indonesia, we are promoting nature-based solutions that help halt deforestation, restore carbon rich wetlands and soils, improve land productivity and water security, and deliver improved livelihoods as well as enhanced climate mitigation and adaptation actions.

Continued and improved investments in biomass-based and solar energy-based electricity generation brings more and higher quality jobs, food security and climate resilience.

In Vietnam, GGGI works with the government to enhance its NDC ambitions through promoting sustainable urban cooling, energy efficiency digital solutions and increasing green investments with innovative financial instruments such as carbon financing or green bonds through collaborating with the Government of Luxembourg.

To verify the employment potential of renewable energy, GGGI’s employment assessments in countries like Indonesia, Rwanda and Mexico show that renewable energy, Solar PV in particular, employs more people per unit of investment compared to fossil fuels-based technologies. A global solar-powered irrigation program, including Ethiopia, Burkina Faso and Uganda will improve livelihoods, food security and climate resilience.

While supporting several governments with their NDC revision processes into 2021 with the NDC Partnership and others, technical analysis incorporating employment potential and safeguarding of poor and vulnerable communities is key.

GGGI is supporting several SIDS countries in this regard – Saint Lucia is using a modeling approach to explore how reforming fossil fuel subsidy and taxation schemes can lower fossil fuel consumption while ensuring that vulnerable populations are not negatively impacted. In Antigua & Barbuda, GGGI is developing programs to ensure the inclusion of all segments of the population are included in the transition to renewable energy.

Focusing on green recovery packages and climate action simultaneously means a more effective integration of NDCs and the Sustainable Development Goals (SDGs).

While the Covid-19 pandemic has placed emphasis on the socio-economic aspects of climate action, and the importance of assessing and including long-term health and vulnerabilities of the local communities into planning processes, the notion that we must marry sustainable development and climate ambitions have been made evident by the successes and failures of climate action to date.

As the world recovers with the introduction of vaccines, and business and economic activities resume, a change in trajectory towards a green recovery should be at the center of focus. Looking ahead to COP26 in Glasgow next year, it is essential that the world does not bounce back to business as usual.

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By External Source
Hanoi and Ouagadougou, Dec 11 2020 (IPS-Partners)

The Kigali Cooling Efficiency Program (K-CEP), a philanthropic collaboration, has selected the Global Green Growth Institute (GGGI) as technical assistance providers to improve access to and the efficiency of cooling in Burkina Faso and Viet Nam.

K-CEP was launched in 2017 to support the Kigali Amendment of the Montreal Protocol and the transition to efficient, clean cooling solutions for all.

In Burkina Faso, GGGI will work closely with the government and a network of local partners to reduce energy demand and enhance energy efficiency in the housing sector and deliver a replicable and scalable program on sustainable cooling. Through this two-year project, titled “The Social Housing Energy Efficiency Cooling Program,” which will receive a total grant of USD 617,000, GGGI will support the government to reduce GHG emissions from cooling and while simultaneously increasing access to cooling in the residential housing sector. The project will commence on January 1, 2021 and continue until December 31, 2023.

“We plan to collaborate with the Government of Burkina Faso to implement and develop architectural and structural solutions in the National Housing Program, which will bring benefits for 40,000 housing units. We hope to scale up the solutions in the housing and raise the cooling NDC’s ambitions. I am confident that the project will serve as a reference point for the Sahel region,” explained Malle Fofana, GGGI’s Country Representative for Burkina Faso.

In Viet Nam, the government recognizes the role of efficient and clean cooling as part of the country’s climate change policies. HE. Tran Hong Ha, Minister of Natural Resources & Environment, emphasized that “The Ministry of Natural Resources and Environment will cooperate with line ministries and stakeholders to mainstream climate-friendly cooling in relevant national legislation and policies, and its application in relevant sectors.”

To support this vision, UNEP and GGGI will collaborate with Viet Nam’s Ministry of Natural Resources and Environment (MONRE) on a project entitled “Sustainable Urban Cooling in Viet Nam cities” which will be funded by K-CEP a total grant of USD 1 million. The project, which will start in 2021 for a period of 3 years, aims to contribute to improving urban cooling design through hands-on policy support, capacity building as well as piloting various business models and engaging with the private sector.

“We expect to link this project into enhanced NDC implementation and its results into future iterations of Viet Nam’s NDC”, affirmed Mr. Tang The Cuong, Director-General, Department of Climate Change (MONRE).

Hanh Le, GGGI’s Country Representative for Viet Nam emphasized that “With K-CEP funding, this project will bring sustainable cooling to the forefront of the country’s climate agenda. We are committed to working with the Ministry of Natural Resources and Environment and supporting the local governments to enhance access to green investments for urban cooling.”

“Urban populations globally face severe risks from extreme heat and, at the same time, it is in cities that we see strongest growth in demand for cooling. Local governments can take a far stronger role in protecting populations from extreme heat and delivering sustainable cooling solutions. However, they need to be enabled and have the finance and capacity to act. This financial support from K-CEP and political commitment from MoNRE is highly welcomed and timely and will allow us to prepare a replicable, sustainable model for cities to take concerted action on cooling and extreme heat,” said Lily Riahi, Programme Manager, Cities Unit, Energy & Climate Branch, UNEP.

Ultimately, the project will support replication in other cities of Viet Nam and contribute to national-level commitments and policies on sustainable urban cooling.

On a final note, Lily Riahi added that “By joining the Cool Coalition, Viet Nam is now part of a unified global front, aiming to seize the opportunity of efficient and climate friendly cooling. Through the Cool Coalition, the lessons from Viet Nam on urban cooling and extreme heat can be shared globally and benefit from learnings from other countries.”

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By GGGI
KAMPALA, Uganda, Jul 8 2020 (IPS-Partners)

The European Union (EU) represented by the European Commission in Uganda and the Government of Uganda through the Global Green Growth Institute (GGGI) have signed a contract today to cooperate on advancing the Greening Uganda’s Urbanization and Industrialization agenda. This project is part of the European Union’s Inclusive Green Economy Uptake Programme (GreenUP) financed under the 11th European Development Fund (EDF) and will be implemented for a 36 months period with a total cost estimated of just under EUR 5mln. The MoU was signed by European Union in Uganda and Ms. Dagmar Zwebe, Country Representative of the GGGI Uganda office.

The overall objective of the GreenUp action is to contribute to the Ugandan transition toward an inclusive, green and competitive low carbon economy with the creation of decent green jobs. Within the framework of this intervention this Project has been designed to support the Government of Uganda (GOU) with their National Development Plan III (NDPIII) commitments for 2020/21-2024/25, and the long term commitments as expressed in the Uganda Green Growth Development Strategy (UGGDS) and Uganda’s Vision 2040. It will directly contribute to greener growth paths to becoming a middle-income country, through the acceleration of investments in green growth pathways.

The Projects impact objective is therefore “Uganda achieves strong, inclusive and sustainable economic growth”. The Uganda Vision 2040 specifically highlights industrialization and urbanization as key focal are as it envisions that 60% of Ugandans will live in urban areas by 2040 and therefore, actions of designing, servicing and attracting investments into greening secondary cities will help Uganda to benefit from the economic and social dividends that come with urbanization.

Through a multistakeholder process guided by the National Planning Authority (NPA) as the project coordinator the industrial zones of Gulu, Entebbe, Pakwach and Soroti have been identified to receive support from the Project in the development of their Masterplans in a green manner and the identification of potential investment projects. The Project is committed to attract investment commitments for at least 6 projects for these industrial areas to accelerate and green the industrialization process in Uganda. This process will be guided by specific guidelines setting out what a green industrial could look like.

With a similar process the cities of Arua, Gulu, Jinja and Mbarara have been identified by the stakeholders, led by the Ministry of Lands, Housing and Urban Development in close coordination with the NPA, to receive similar support as the industrial zones in the development of their Masterplans and the acceleration of financing in potential (public and private) projects. For the Arua-Pakwach corridor, and for Gulu there will be a joined focus combining both elements to ensure inclusive green growth is accomplished. Overall, the aim is to set the country on a low carbon development pathway, generating green jobs, to reduce the environmental burden and the use of natural resources and to contribute substantially to increasing green investment flows into Uganda.

Increased waste collection and sorting in the Greater Kampala Metropolitan Area (GKMA) is another element of the Project. Guided by the GKMA Waste Management Strategy 2021-2030, two waste sorting and diversion centers will be designed, and investment commitment will be sought for at least one of these sites to support the GKMA commitment of 30% recycling by 2030. Furthermore, business development support will be provided to multiple small and medium enterprises in the waste sector to strengthen their operations and be able to widen their scope and increase their waste recycling or treatment.

All stakeholders involved within this Project including -but not limited to- the Government of Uganda, the EU and GGGI and are strongly committed to support Uganda’s transition toward an inclusive, green and competitive low carbon economy, and especially the sectors as elaborated upon in the UGGDS. This includes making Uganda’s business environment more conducive to inclusive and green investments and improving the environment for investing in Uganda’s economic green transformation and the urbanization and industrialization agenda.

Learn more about GGGI’s work in Uganda by clicking here.

Excerpt:

Rwanda may be a small country of some 12 million people, but its membership in the East African Community provides it with a market of some 100 million. Credit: Aimable Twahirwa/IPS

By Mantoe Phakathi
MBABANE , Jun 17 2020 (IPS)

In its effort to accelerate Rwanda’s green growth development initiative, its local businesses encouraged their Italian counterparts to invest in the East Africa region.

In a virtual discussion, the director of operations at the Private Sector Federation (PSF) of Rwanda, Yosam Kiiza, said Rwanda’s strength lies with its membership with the East African Community (EAC). The EAC is composed of five countries and has a population of over 100 million people.

“This means that investing in Rwanda is an opportunity to export to the rest of the other member countries as well as the Great Lakes Region,” he said.

Rwanda also shares a border with the Democratic Republic of the Congo (DRC) whose population is 80 million. Although the DRC is not yet a member of the EAC, it provides a vast market for its smaller neighbour, Rwanda, which has a population of 12 million.

Two webinars, organised by the Global Green Growth Institute (GGGI) in partnership with Rwanda Environment Management Authority (REMA) as part of an agreement between the Italian and Rwandan ministries of environment, were held this month. The online discussions were aimed at facilitating green technology transfer and creating partnerships between companies from Italy and Rwanda.

Kiiza was speaking during the Jun. 10 webinar that targeted major stakeholders, such as institutions, entrepreneurs, investors, developers etc., who have a key role in the green growth and sustainable development of their country’s economy in both Italy and Rwanda.

Through its transformation to low carbon development and green growth, Rwanda is a minefield of opportunities. The first webinar was held on Jun. 03.

In the virtual discussion, REMA Deputy Director-General Faustin Munyazikwiye urged business people to embrace green investment to help the country meet its climate action plan and achieve its Vision 2050 — Rwanda’s growth plan to achieve high-income status.

Meanwhile, Kiiza said the PSF is keen on investments that will deliver green growth solutions primarily in public health, air quality, and environmental restoration as well as creating sustainable jobs in tourism, transport, agriculture and manufacturing.

“The Italian business community is ready for the challenge,” the President of the Small Industry of Assolombarda, Alessandro Enginoli, said. A study tour of 30 Italian companies – he continued — was planned for March. The tour, organised in cooperation with GGGI and the Italian Trade Agency, was cancelled because of travel bans implemented by both governments to curb the spread of COVID-19. However, said Enginoli, “I’m confident we can do it again as soon as possible, probably in October.”

He said the dialogue between the two federations, Assolombarda and PSF, started a year ago when he first visited Rwanda. Assolombarda is the regional private sector association from Lombardia Region and a member of the National Private Sector Federation, Confidustria. It is the largest industrial association in Italy, representing 7,500 companies. The Small Industries represents 4,500 companies with a turnover of about €32 billion.

“Italy is known for its high concentration of small and medium companies,” he said, adding: “This model is perfect for African needs. The Italian business model is a win-win model that creates local development and job creation.”

Absolute Energy, an independent investment platform focused on renewable energy, is already pursuing a path of affordable energy in Rwanda. According to Absolute Energy chief executive officer, Alberto Pisanti, energy is a means to development. He said considering that agriculture is more developed compared to other countries, closing the gap between the sector, water and energy is the way to go.

Pisanti highlighted the gaps in agriculture such as the fact that 70 percent of farm work in Africa is done manually, 90 percent has no artificial irrigation and that the continent has 50 percent of global uncultivated arable land and imports 66 percent of the food it consumes.

“There’s a lot to do. Clearly you need machinery, transformation, reduce waste and work as much as possible locally to avoid people migrating to the cities thus abandoning rural areas,” said Pisanti.

He said it was for that reason that his company believes in rural electrification and decentralized generation is key especially in countries like Rwanda. But there are challenges, he said, adding that doing a business in a village that is too small may not be viable.

Also sharing his experiences of running a business in Rwanda was Giovanni Davite, co-owner and executive director of Kipharma, a business started by his father in 1969. It now has a turnover of €12 million. He described Rwanda as a stable yet fast-growing country whose leadership has a strong vision. He warned though that it requires patience.

“If you’re in business to do a quick buck, Rwanda is not for you,” he said.

Other industries that made presentations include agriculture, ecotourism, wood, construction and textile. Representations were also made by by Daniele Kihlgren, President of Group Sextantio-DOM, which focuses on sustainable tourism and Vicky Murabukirwa, a senior partner from construction company Duval Great Lakes Ltd.

Diane Mukasahaha, the chairperson for the Apparel Manufacturing Group (AMG), said she was grateful that the Government of Rwanda banned the import of second-hand clothing because this has created an opportunity for the local industry. She said this industry creates a lot of jobs.

“In just one year, AMG created 500 jobs,” she said.

Italian Ambassador to Uganda, Rwanda and Burundi, Massimiliano Mazzanti, was pleased that the Embassy was involved in this initiative and encouraged entrepreneurs who want to start their business in Rwanda to avail themselves of the support of the Italian Embassy.

According to Claudia Beretta, who works on a project that is focusing on private sector engagement with GGGI, the Government of Rwanda does not leave out the word ‘green’ when talking about development. Responding to a question from IPS, Beretta said the airport is a good example of linking development to sustainability.

“It’s the biggest infrastructure project and the objective of the government is to have the greenest airport in Africa,” she said.

She said GGGI, an international organisation that assists countries develop inclusive and sustainable economic growth, is working closely with the government to make this vision a reality.  Beretta added that other opportunities exist in the renewable energy sector which can contribute towards reducing post-harvest losses. She said rural electrification through renewable energy could help farmers with refrigeration systems that would keep produce fresh until it reaches the market.

“The majority of the population is using charcoal and wood to cook and this is a big problem for the environment and health of the population. The government is working towards supporting new technologies and alternative fuels such as LPG,” she said.

Beretta noted that this is a challenge considering that buying power for rural communities is low although this could be overcome through business models that offer affordable energy.

On Thursday 20 and Friday 21 February, the Global Green Growth Institute (GGGI) in partnership with the Ministry of Natural Resources and Environmental Conservation (MONREC) and the University of Queensland (UQ) held a validation workshop on the 3Returns Model and Framework, presenting an Investment Case for Coastal Landscape Mangrove Restoration in Myanmar through the findings from an Economic Appraisal of Ayeyarwady Mangrove Forests, Bio-based Value Chains for Mangrove Restoration and Benefit Sharing Mechanisms. The event proved informative for both participants and presenters alike, providing critical insights and opening dialogue between multiple government departments.

The Importance of Mangroves on the Ayeyarwady Delta

The mangroves of the Ayeyarwady Delta are an important natural resource for local residents as well as the nation-at-large. They provide significant ecological, social and economic benefits. Ecologically, mangrove habitats provide breeding grounds and hatcheries for birds, fish, crustaceans and other organisms. Additionally, mangroves constitute a major source of carbon sequestration, making them an important asset for Myanmar’s climate change mitigation.

Mangrove forests support coastal disaster resilience through their protection of communities from inundation from tidal surges and strong winds. Importantly, for neighbouring communities, mangroves also provide economic benefits. The collection of fuelwood, fish and crustaceans supplements the incomes of many people in the delta, with products reaching as far afield as China. However, not all members of local communities have been able to share in the benefit from these activities, in particular landless – who account for 73% of people in coastal areas – and women.

Above: U Hla Maung Thein, Director General Environmental Conservation Department – ‘conservation of mangroves is a national responsibility’

The mangroves’ positive impacts have been degraded by unsustainable land use practices. Less than 10,000 hectares of good quality mangroves exist within a total habitat range of 85,000 hectares. This degradation has largely occurred as a result of illegal logging and fuelwood extraction and the conversion of mangrove habitat into agricultural rice paddy and large-scale shrimp ponds. The significance of the mangroves of the Ayeyarwady Delta from an ecological, social and economic perspective highlights the need for a change in landscape management practises in order to preserve their benefits.

Above: Dr. Aaron Russell, GGGI Country Representative delivering welcome remark

In order to assess sustainable landscape management practices and support green growth alternatives for the local communities, the Global Green Growth Institute has developed a 3Returns Model and Framework for analysing different green growth forest governance scenarios compared with continuation of current practices, known as a “Business as Usual” (BAU) scenario. The 3Returns Framework provides a holistic approach which considers each intervention’s benefits through natural capital, social and human capital as well as economic/financial capital. It differs from a Cost Benefit Analysis (CBA) as the Return on Investment Analysis considers not only financial investment but also natural, social and human investment. This allows measuring a Return on Investment Ratio that considers the benefits from investment in capitals and defines a desired intervention scenario measured as the most efficient when compared with the Business as Usual (BAU) scenario. It also differs from a CBA as the Return on Investment Analysis also quantifies non-monetary benefits and capitals’ status as indicators for decision making.

The Economic Appraisal of Ayeyarwady Mangrove Forests used the 3Returns approach to consider four policy intervention scenarios. A key difference between each scenario was the percentage of land allocated between the two types of community user groups by 2026. The two community user groups types are Village Woodlots (VW) and Community Forest User Groups (CFUG). All the scenarios other than BAU implement the enhanced Myanmar Reforestation and Rehabilitation Program (MRRP).

The scenarios were the following:

1. Scenario 1, allocates 11% of mangroves to be managed by CFUG and an annual increase in area under VW management until 2026. The maximum community forestry mangrove area is 35% of the Reserve Forest area.
2. Scenario 2, allocates 25% of mangrove management to VW and 25% mangrove management to CFUG. The community forestry mangrove area is 50% of the Reserve Forest area.
3. Scenario 3, allocates 47% of mangroves to CFUG and only 3% to VWs. The community forestry mangrove area is 50% of the Reserve Forest area.
4. Scenario 4, allocates 39% of mangroves to be managed VWs and 11% to be managed by CFUGs. The community forestry mangrove area is 50% of the Reserve Forest area.

There are important differences between these two forms of community management. VW officially remain under the control of the Forestry Department, but are a community managed common with a mandate for sustainably managing logging/fuelwood production. They are regarded as democratic in structure, giving all local people the ability to influence decision making. An important aim of VWs is to reduce poverty through enabling community participation for marginalised groups.

CFUGs are less democratic in structure. They only require five people to form a group to apply for a land permit – as a result they have the potential to be susceptible to elite capture. CFUGs enable groups to participate in a wider range of activities including agriculture, aquaculture as well as logging.

CFUGs have a low rate of female participation – only 8% of female headed households are involved. The level of female participation in VWs is not yet know.

The results of the analysis revealed that scenarios 2,3 and 4 achieved roughly the same outcomes in terms of natural capital and net present value. However, Scenario 4 achieved the highest social and human capital not-monetary benefits, resulting in the engagement of 48,618 people in community forestry and capacity building by 2026. Furthermore, when analysing the loss of informal jobs and livelihoods through improved resource management scenarios, Scenario 4 shows the least reduction in jobs and livelihoods (64,978) compared to BAU (65,008). For this reason, the report concludes Scenario 4 is the most desirable landscape management strategy which best takes into account natural, social & human and economic capital benefits.

It must be noted that all scenarios are anticipated to reduce illegal logging activity. However, the removal of this activity will disproportionately affect poorer, landless groups who previously relied on mangrove resources to supplement their income. It is important that community management design incorporates these stakeholders, incentivising them to undertake sustainable activities with the larger landscape system.

Value Chain Interventions

In addition to analysing the impacts of forest governance structures, the report has identified two viable value chains which incentivise the conservation of mangroves. The two value chains are hard-shell mud crab and dried products through the implementation of solar dome dryers.

The hard-shell mud crab value chain provides a lucrative opportunity to connect people of the Ayeyarwady Delta with the markets of China. In 2016, the trade was valued at over 4 Million Euros. Currently 90% of mud crabs are exported to China. Mature crabs can reach over 20,000MMK/kg in local and export market. The value chain currently consists of small-scale village catchers and hatcheries, pond owners and farmers, and middlemen/traders who connect the crabs to markets in Yangon and China.

The financial assessment showed that primarily the pond owners/farmers and middlemen/traders are benefiting from the activity. The middlemen often provide informal finance to poor people engaged in crab catching. As part of this arrangement, debtors are required to provide juvenile crabs at discounted rates to the middlemen. However, the middlemen have also been found to provide equipment and interest free loans to the small-scale village catchers.

The middlemen gain from the higher prices associated with larger crabs through fattening them, earning a profit.

Several actions are required to fully realise the green growth opportunity of this value chain. Firstly, it is important that hatcheries are developed so that the natural populations of mud crabs are not depleted through overharvesting.

Secondly, it is important that an alternative pellet feed for the crabs are produced. Currently ‘trash fish’, small fish with no other practical use, are fed to the crabs. They are a cheap source of food for crab fattening; however, ongoing use of the resource could also have negative effects on fish stocks. Another reason to emphases the importance of feed is the cannibalistic nature of crabs – not feeding the crabs and relying on natural feeding results in an increased crab mortality rate. Investing in crab feeding enables crab farmers to operationally perform better.

Providing financial support to communities at the farmer production stage of the value chain will hopefully allow them to share in the benefits of the value chain by enabling them to grow crabs to larger sizes and receive higher prices than what is currently demanded by the middlemen.

An additional reason to prioritise this intervention is its capacity to empower women. Often it is women who are in charge of the crab ponds.

Left: Intensive hard-shell mud crab fattening; right: natural hard-shell mud crab fattening

Dried products through the implementation of a solar dome dryer is another intervention in the value chain which will assist in protecting mangrove habitat. It achieves this by reducing the amount of fuelwood which is sourced from mangroves required to dry fish, crustaceans, and other agroforestry products. There is also an indication that the dryer dome increases the success rate and quality of preservation, which will be hoped to increase the price at sale.

Dried shrimp production modelling from the report found that if drying occurred for 180 days within a solar dryer dome, the amount of fuelwood required would be 40% less than current drying methods. Savings from fuelwood are reduced to 15% if the facility is operated at its maximum capacity during the year (for 260 days).

Solar dome dryers are estimated to have a life-span of 10 years and are suitable for community-level or user group association investments as they are too expensive for one person to purchase. Through the increased efficiencies in drying and input use, the analysis based on dried shrimp found that most communities would be able to pay off their investment loan in less than 2 years.

Above: traditional sun-drying process of shrimp in Ayeyarwady Delta

Workshop Insights from Policy maker

A number of interesting insights arose during discussions and activities at the workshop. One observation made by a government participant was the need for more co-ordination and dialogue between government departments. There are multiple government departments which have jurisdiction over the Ayeyarwady Delta, often with significant overlap and conflicting policies and procedures. A possible solution to this problem was based on a delegate’s personal experience. They highlighted the need to firstly locate the conservation area, then discuss with other departments to consolidate laws and enforcement.

Another interesting insight relates to attendees’ perceptions of different management types (e.g. BAU, MRRP, VWs, CFUG). There was a broad understanding that BAU is untenable for mangrove landscape restoration, especially in regards to livelihoods and mangrove restoration. However, there was a recognition that it provides some beneficial employment opportunities though some of these are unsustainable or illegal.

Participants generally had positive perceptions on MRRP, CFUG and VWs. Despite the beneficial nature of VWs in terms of participation, conservation and job creation, the survey revealed on average a larger preference towards MRRP and CFUG by participants. In particular, this was displayed in the results in the livelihood and mangrove restoration sections.

This prompts the need for further advocacy on the benefits of inclusive and democratic institutions based off the principle of free, prior and informed consent of local stakeholders. This message should focus on the weakness of government management of forest reserves (MRRP) in order to convince the government to allocate more mangrove habitat to CFUGs and VWs for management. In all, the workshop was a success as it progressed the green growth agenda in the Ayeyarwady Delta.

Above: Group activity during workshop