New report sets out non-market alternatives to flawed forest carbon markets

29 May 2024

We are delighted to share ‘Beyond Offsets: People and Planet-Centred Responses to the Climate and Biodiversity Crisis’, a new report by Fern, Forest Peoples Programme and Rainforest Foundation UK that sets out alternatives to flawed voluntary carbon markets.

Authored by David Young and extensively peer-reviewed by environmental and Indigenous experts, the report explores non-market approaches (NMAs) to addressing the twin crises of climate change and biodiversity loss, with a particular focus on the protection of forests and the rights of Indigenous Peoples and local communities.

The report comes at a critical time when voluntary carbon and biodiversity offset markets have faced widespread criticism for their failure to demonstrate climate or nature benefit, to ensure funding reaches frontline communities and for fuelling land grabs in tropical forest countries, among several other issues.

Building on this growing scepticism, this report disputes the often-repeated claim that only offsets can generate the scale of funding needed to protect forests, highlighting huge untapped sources, including progressive taxation, philanthropic support and private-sector engagement.

‘For too long, nature markets have been promoted as the only way to generate finance for forest protection at the required scale, despite their serious flaws and risks to communities and the planet,’ said Joe Eisen, Executive Director at Rainforest Foundation UK. ‘This report aims to put forest peoples back at the centre of discussions by exploring non-market approaches and the contribution they can make’.

The report provides an overview of six NMA channels, including direct support for Indigenous-led funds, adaptive payment for performance systems, development assistance and philanthropic programming, insetting and contribution claims, debt cancellation, reparations and debt-for-nature deals. It critically assesses the relative merit of each approach against a core set of principles, such as international human rights and environmental law, good governance norms, transparency, mutual accountability and environmental justice.

‘Forests play a significant role in sustaining cultural and biological diversity, but too often the very people who are central to maintaining forests and the carbon stocks and biodiversity they contain have been absent from the design and implementation of initiatives to deliver this’, said Helen Tugendhat, Environmental Governance Coordinator at Forests Peoples Programme. ‘This report emphasises the need to prioritise the rights of forest peoples and communities and their crucial role in protecting these vital ecosystems’.

The co-publication also offers a series of recommendations for civil society organisations, Indigenous Peoples and community groups, policymakers and the private sector, urging them to adopt and advocate for finance and support that strengthens self-determination, reaches communities more directly, and is predictable and sustained over long timeframes.

‘By exploring non-market approaches, we hope to spark a shift towards holistic solutions that address climate, biodiversity and community needs in a just and equitable manner’, said Hannah Mowat, Campaigns Coordinator at Fern. ‘This report is a call to action for all stakeholders to prioritise the voices and rights of those who have been the stewards of our forests for generations’.

The report, ‘Beyond Offsets: People and Planet-Centred Responses to the Climate 'and Biodiversity Crisis’, is available for download in English, French and Spanish on the RFUK’s, Forests Peoples Programme’s and Fern’s websites.

The report will be launched at an event during the Congo Basin Forest Partnership meeting in Kinshasa on Tuesday 4 June at 12:30 local time. One of several launch events held in different geographies, the meeting will discuss the scale of offsetting projects in the DRC, the impacts on local communities and why non-market approaches offer a better alternative. More information on the event is available here.

Front cover

Share this:

Load More