One solution that allows smallholder farmers and vulnerable groups to receive financial rewards for protecting forests is the generation and trading of carbon credits deploying Nature-based Solutions (NbS) within carbon markets. In this context, NbS are defined as a collection of nature-based approaches that (i) reduce, (ii) avoid (such as REDD+) or (iii) remove emissions.
NbS offer several co-benefits for nature, bioversity and the Sustainable Development Goals (SDG). It is widely agreed that NbS can provide up to 30% of the mitigation required by 2030 to keep the 1.5°C target within reach.
This briefing aims to provide some insights and considerations on the state of play of Carbon Crediting Mechnisms (CCMs) for NbS and how these can support the transition to deforestation-free supply chains for smallholders.
