Q. Why is this in news?
LEAF (Lowering Emissions by Accelerating Forest Finance) Coalition was announced at the Leaders’ Summit on Climate, 2021.
- LEAF coalition will be one of the largest ever public-private efforts to protect tropical forests and intend to mobilize at least USD 1 billion in financing to countries committed to protecting their tropical forests.
Q. What is LEAF Coalition?
- It is a collective of the governments of the USA, United Kingdom and Norway.
- As it is a public-private effort, thus also supported by transnational corporations (TNCs) like Unilever plc, Amazon.com, Nestle, Airbnb etc.
- A country willing to participate would need to fulfil certain predetermined conditions laid down by the Coalition.
Q. What about its Financial Support?
- The results-based financing model will be used in LEAF.
- The model weighs on work by the Environmental Defense Fund over two decades, in collaboration with Indigenous communities, forest peoples, Brazilian and US NGOs, and other partners, to protect the Amazon and tropical forests globally.
- Performance will be measured against the TREES Standard (The REDD+ Environmental Excellence Standard)
Q. What is its Significance?
- Platform for Private Leadership: The goal of net zero emissions cannot be reached without bold leadership from the private sector and commitment to leverage its scale, investment capacity and political power to build a more sustainable, resilient and equitable future.
- Increases Carbon Sink: Tropical forests are massive carbon sinks and by investing in their protection, public and private players are likely to stock up on their carbon credits.
- It will help in achieving Nationally Determined Contributions (NDCs) under the Paris Agreement.
- Achieve REDD+ Objectives: It is a step towards concretising the aims and objectives of the Reducing Emissions from Deforestation and Forest Degradation (REDD+) mechanism.
- Solve Development versus Ecological Commitment: Such a financial impetus is crucial as it incentivises developing countries to capture extensive deforestation and provide livelihood opportunities to forest-dependent populations.
- Complements Other Global Goals: Ending tropical and subtropical forest loss by 2030 is vital to achieving global climate, biodiversity and sustainable development goals as well as sustaining the well-being and cultures of Indigenous peoples and other forest communities.