Preliminary Views on Criticism of Peru's REDD+ Project (VCS 985)

This article is an automatically translated version of the original Japanese article. Please refer to the Japanese version for the most accurate information.

While it hasn't garnered as much attention as the recent Guardian article, the project is large-scale, and a significant volume of Credits has already been Retired, so we are providing this as a breaking update. We have previously covered the Guardian article below, so please take a moment to read it if you haven't already.

Regarding the Guardian Article on Forest Credits

This is sustainacraft Inc.'s 10th Newsletter. The Guardian recently published an article claiming that over 90% of forest Carbon Credits issued by Verra are worthless, which has become a major topic of discussion in the industry (Verra itself has also issued a rebuttal). Revealed: more than 90% of rainforest carbon offsets by biggest provider are worthless, analysis shows Only a handful of Verra’s rainforest projects showed evidence of deforestation reductions, according to two studies, with further analysis indicating that 94% of the credits had no benefit to the climate.

sustainacraft’s Newsletter

However, the article linked above criticizes the project, suggesting it lacks substantial forest protection effectiveness and may have excessively Issued Credits. Specifically, it points out the following:

• The project has failed to curb Deforestation.

  • More than one-third of the Deforestation occurring within the vast project area is happening near the project boundaries, which are areas with good transportation access and high timber value.

  • The increase in Deforestation rates remains unchanged both inside and outside the project area.

• Assumptions regarding the Reference Area are arbitrary.

  • It exaggerates the topographical suitability of the Reference Area for agricultural use, thereby overstating the risk of logging.

  • It overestimates future population growth.

• While Cordillera Azul National Park has been legally protected since its designation as a national park in 2001, in countries like Peru, merely designating an area as a national park is insufficient to deter logging.
• Due to the difficulty in raising international donations, approximately 90% of the operational costs for the national park are covered by Carbon Credit revenues.
• The selection of the Reference Area underwent a scientific peer-review process, representing the optimal choice at the time of project design.