World's first FCPF emission-reduction payment (Oct 2021): US $6.4 M for 1.28 M tCO2e in Zambézia Province. Programme covers 5.3 M ha in 9 districts under a $50 M ERPA. Annual third-party MRV; benefit-sharing plan allocates 70% of payments to local communities.
5.3 million hectares
Programme area
10 million tCO2e
ERPA emission-reduction target (by end-2024)
50 US$ million
Maximum ERPA payment
6.4 US$ million
First FCPF payment (world's first) (October 2021)
1.28 million tCO2e
Emission reductions verified for first payment (since 2019)
~7 US$ million
Total transfers through 2023 (through 2023)
~14 %
Share of ERPA maximum delivered by 2023 (through 2023)
70 %
Benefit-sharing share allocated to local communities
Details
Maturity
Scaling
Promoter
MITADER / FNDS — Fundo Nacional de Desenvolvimento Sustentável
Period
2017-present
Keywords
Forest, carbon, REDD+, miombo woodland
Context
The Zambezia Integrated Landscape Management Programme (ZILMP) is Mozambique's first jurisdictional REDD+ programme and the first in the world to receive an emission-reduction payment under the World Bank's Forest Carbon Partnership Facility (FCPF) Carbon Fund. It covers 5.3 million hectares across nine districts of Zambezia Province, encompassing miombo and coastal woodland and Gile National Park.
Objectives
In December 2017, Mozambique signed an Emission Reductions Payment Agreement (ERPA) with the FCPF Carbon Fund, committing to deliver up to 10 million tCO2e in verified emission reductions by end-2024, at performance-based payments of up to US$50 million (US$5/tCO2e).
Activities
The National Sustainable Development Fund (FNDS) under MITADER implements annual monitoring, reporting and verification (MRV) via remote sensing and field verification. The benefit-sharing plan allocates 70% of proceeds to local communities, 20% to private-sector partners, 4% to district governments, 4% to Gile National Park, and 2% to environmental management.
Results
In October 2021, Mozambique became the first country in the world to receive an FCPF emission-reduction payment: US$6.4 million for 1.28 million tCO2e reduced since 2019, independently verified by a third party contracted by the World Bank. Total transfers through 2023 reached approximately US$7 million — about 14% of the ERPA maximum — reflecting that deforestation rates in several districts have not declined as projected.
Conclusions
These implementation challenges, including benefit-distribution concerns reported in the local press, are publicly documented, but the programme nonetheless remains the continent's most significant jurisdictional forest-carbon milestone.
Implementation
Indicative cost
Very high (> €5M) — ERPA ceiling of US$50 million (US$5/tCO2e for up to 10M tCO2e); actual transfers through 2023 totalled approximately US$7 million.
Time to results
Long (> 3 years) — ERPA signed December 2017; first payment October 2021; verification period targeted through end-2024.
Staffing & skills
MITADER / FNDS - Fundo Nacional de Desenvolvimento Sustentavel, implementer, World Bank Forest Carbon Partnership Facility (FCPF) Carbon Fund, financier, Independent third-party MRV verifier contracted by the World Bank
Conditions for success
Annual third-party MRV via remote sensing and field verification
Published benefit-sharing plan allocating 70% of proceeds to local communities
Signed Emission Reductions Payment Agreement (ERPA) with performance-based payment structure
Common failure modes
Deforestation rates in several districts have not declined as projected, limiting payments to ~14% of the $50M ERPA maximum by 2023
Benefit-distribution concerns reported in local press
Where it fits
Governance type
national government jurisdictional REDD+ programme with World Bank results-based financing
Scale
provincial (5.3 million ha, 9 districts)
Income level
low-income
Data sources
Where this practice's information was retrieved from, and when.
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