Investing in landscape restoration: barriers and opportunities

Event organiser

Hoffmann Centre

10 May 2019, 08:30–15:00 BST  •  Meeting

Chatham House, 10 St James's Square, London SW1Y 4LE United Kingdom

This event has already taken place.

Event organiser

Hoffmann Centre

The Hoffmann Centre for Sustainable Resource Economy at Chatham House, in partnership with World Resource Institute, is pleased to invite you to participate in a workshop on Investing in forest and restoration: barriers and opportunities
The restoration and rehabilitation of natural infrastructure such as forests, mangroves, wetlands and soil is increasingly recognised as a key solution to meeting climate targets with mitigation potentials of 1.5–11 Gt CO2 annually. These efforts can also deliver multiple benefits, including ecosystem services as well as livelihood and health benefits for both urban and rural regions. Initiatives such as the Bonn Challenge, New York Declaration on Forests, Land Degradation Neutrality, Initiative 20x20, AFR100 African Forest Landscape Restoration Initiative, and others are all ambitious pledges that governments and many in the private sector have committed to deliver. However, these pledges are yet to transform into actions due in part to barriers including a lack of policy framework and enabling environment, appropriate finance and viable business models, and technical capacity on the ground.
The workshop will bring together policy makers, investors, project developers and entrepreneurs to identify barriers that are hindering both public and private investment flows into innovative projects on the ground. The objective will be to establish a clear understanding of existing challenges and develop feasible solutions and approaches so that capital can be channelled towards natural climate solutions such as reforestation, natural regeneration, restoration of degraded lands and wetland and coastal restoration.

Background reading
• Griscom et al, (2017) Natural Climate Solutions. Proceedings of the National Academy of Sciences Oct 2017, 114 (44) 11645-11650; DOI:10.1073/pnas.1710465114 (https://www.pnas.org/content/114/44/11645)
• FAO & Global Mechanism of the UNCCD (2015). Sustainable financing for forest and landscape restoration: Opportunities, challenges and the way forward. Discussion paper, Rome.
• World Bank and World Resource Institute (2019). Integrating Green and Grey. Washington,DC
• Shames, S., Hill, M., Kissinger, C (2014). Financing Strategies for Integrated Landscape Investment: Synthesis Report in Financing Strategies for Integrated Landscape Investment, Washington, DC: (https://ecoagriculture.org/publication/financing-strategies-for-integrated-landscape-investment/)

0830 – 0900 Registration
0900 – 0930 Welcome & Introduction
0930 – 1030 Session 1 | What are the scale and challenge of climate change mitigation and what is the role of natural climate solutions?

The opening session will provide an overview of the scale needed for natural carbon capture and storage solutions, also known as natural climate solutions or natural infrastructures. It will include cost benefit analysis of different typologies of reforestation activities, highlighting their functions and locations.
• How much carbon capture and storage is needed to stay below 2 degrees? What are the geographic potentials and existing policy commitments?
• Natural climate solutions typologies: Where, what and the function of forests.
• Co-benefits and opportunities beyond carbon, including resilience, flood management, air quality, and livelihood, among others.
1030 – 1115 Session 2 | Financing needs and unlocking investment opportunities
This session will look at the financing needs for natural climate solutions. It will map existing players, including both public and private funds and where the current financial flows are. It will focus both on existing approaches and innovations to increase capital flows into projects on the ground.
• Mapping of the current sources of money and types of finance: who is investing and what are they looking for? Existing and innovative vehicles and instruments, including infrastructure investment and insurance products
1115 – 1130 Break
1130 – 1230 Session 3 | Unpacking the risk return profile

This session will take a closer look at the risk return profile debate and what are the lessons learned so far: how to meet investors constraints, address the mismatch of time horizon and liquidity needs? What are the right types of investor and instrument for different maturity stages of projects?
• Perspectives from early stage start-ups, project developers, advisory firms and investors.
1230 – 1330 Lunch
1330 – 1415 Session 4 | Investable pipeline

This session will discuss pipeline development and project sourcing. Where are the project pipelines and existing conditions that are driving the provision of current pipelines? When is investment “ready”? How to achieve scale and move from individual initiatives to landscape level.
• Perspectives from initiatives on the ground
1415 -1500 Session 5 | How to move forward and next steps
Participants will discuss next steps and innovative approaches to close some of the financing gaps. The session will identify key priority areas for collaboration among participants and key questions for a follow up session in July during London Climate Week.