Carbon Crediting in Rice Production Realistic Outlook or only Wishful Thinking?

Reiner Wassmann International Rice Research Institute

Structure
Rice as a source of Greenhouse Gases Technical Feasibility of Mitigation Overview of different mechanisms of Carbon Crediting Highlighting ongoing activities in rice production Conclusion

Methane emissions from rice fields

Global Warming Potential of CH4: 21 CO2eq

Rice field emissions: 100 500 kg CH4/ ha season => 2.1 11.05 tCO2eq/ ha season

Global Sources of Greenhouse Gases

Waste and wastewater, Forestry, 2.8% 17.4%

Energy supply, 25.9%

Agriculture, 13.5%

Transport, 13.1% Industry, 19.4% Buildings, 7.9%

(IPCC 4th AR, 2007)

Global Sources of Greenhouse Gases

Waste and wastewater, Forestry, 2.8% 17.4%

Rice, 1.5%

Energy supply, 25.9%

Agriculture (w/o rice), 12.0% Industry, 19.4%

Transport, 13.1% Buildings, 7.9%

(IPCC 4th AR, 2007)

Global Sources of Greenhouse Gases

Waste and wastewater, Forestry, 2.8% 17.4%

Energy supply, 25.9% Aviation, 1.5%

Agriculture, 13.5% Transport (w/o aviation), Buildings, 11.6% 7.9%

Industry, 19.4%

(IPCC 4th AR, 2007)

National Statistics in SE Asia

Emissions from rice production
Country Cambodia Indonesia Lao PDR Myanmar Malaysia Philippines Thailand Timor-Leste Viet Nam (Mt CO2eq) 9.505 53.856 2.308 30.890 3.445 21.706 44.156 0.225 38.199 Perc. of total 17.0 % 1.9 % 5.1 % 6.1 % 1.0 % 16.0 % 13.5 % 26.1 % 17.9 %

Data source: http://edgar.jrc.ec.europa.eu/index.php

Structure
Rice as a source of Greenhouse Gases Technical Feasibility of Mitigation Overview of different mechanisms of Carbon Crediting Highlighting ongoing activities in rice production Conclusion

Alternate-Wettingand-Drying (AWD)

Global Warming Potential of CH4 and N2O under AWD

14 12 c b

t CO2 eq. ha-1

10

8
6 4 2 a a

N2O CH4 b
a b a

Urea 48-h before irrig.

Urea 2-h after irrig.

Urea 2-h after irrig. + flooding for 7 days

Continuously flooded

Hosen, pers. comm.

Site-Specific Nutrient Management (SSNM)

Applying nutrients as and when needed

Adjusting nutrient application to crop needs in given location and season

Preventing Straw Burning

Technological options for using rice straw as renewable energy: controled combustion, biogas technology (in combination with animal husbandry), conversion of rice straw to ethanol, and bio-char technology.

Short duration cultivar

500

Emission rate (mg CH4 m d )

-2

400

Wet season
300

Dodokan IR64 Cisadane

-1

Dry season

200

100

0
PLANTING H A R V E S T 02 Mar 08 Mar 06 Apr PLANTING H A R V E S T

Dodokan IR64 Cisadane

Dodokan IR64 Cisadane

10 Aug 17 Aug 01 Sep

Field data from C. Java (Setyanto et al. 2000)

28 May

02 Dec

Structure
Rice as a source of Greenhouse Gases Technical Feasibility of Mitigation Overview of different mechanisms of Carbon Crediting Highlighting ongoing activities in rice production Conclusion

Mechanisms of Carbon Crediting

1. Clean Development Mechanism
2. New mechanisms under UNFCCC umbrella 3. Voluntary emission reductions

4. Funding National Action Plans of developing countries

Kyoto Protocol: CDM Concept

Emission cap Carbon credits (CER)

Project funding ($) Greenhouse gas emissions

Buyer in Annex I

Seller in Non Annex I

Kyoto Protocol: CDM Concept

Buyer in Annex I
Carbon credits (CER)

Seller in Non Annex I

Emission cap

Project funding ($)

Greenhouse gas emissions

CDM projects (in the pipeline)

Others, 6.0% Energy efficiency, 10.0%

TOTAL: n=7532

CH4 reduction, 18.0% Renewables, 66.0%

http://cdmpipeline.org/cdm-projects-type.htm

CDM projects (in the pipeline)

Others (w/o forest), 5.2% Energy efficiency, 10.0% Afforestation, Reforestation, 0.8% (n=62)

CH4 reduction, 18.0% Renewables, 66.0%

http://cdmpipeline.org/cdm-projects-type.htm

CDM projects (in the pipeline)

Agriculture: 0.0002% (n=2)
Others (w/o forest), 5.2% Afforestation, Reforstation, 0.8% (n=62)

Energy efficiency, 10.0%

CH4 reduction, 18.0% Renewables (w/o husk), 63.6% Rice husk, 2.4% (n=184)

http://cdmpipeline.org/cdm-projects-type.htm

CDM Pipeline

Approved Methodoloy

SSM Small Scale Methodology Approved in May 2011

http://cdm.unfccc.int/UserManagement/FileStorage/4BTFS58C2AXGMPIVDOJEL3K1Y0UWRN

Obstacles of CDM in rice production

Involvement of many stakeholders/ transaction costs

Measurement/ Reporting/ Verification (MRV) Possible leakages

Emission savings based on area and not on grain production

Mechanisms of Carbon Crediting

1. Clean Development Mechanism
2. New mechanisms under UNFCCC umbrella 3. Voluntary emission reductions

4. Funding National Action Plans of developing countries

REDD = Reducing Emissions from Deforestation and Forest Degradation

Only afforestation and reforestation projects are allowed as CDM project The REDD concept:

REDD Funding Mechanisms

World Bank, UNDP, UNEP and FAO have set up several programmes for funding of REDD activities
The Norwegian government launched the International Forests and Climate Initiative and provided 30 million USD in 2010, and pledged up to 250 million USD until 2015

Expansion of the REDD concept?

Include aspects of biodiversity, sustainable management etc

REDD+(+)

REDD

?
Include other land uses beyond forests

REALU
= Reducing Emissions from All Land Uses

Mechanisms of Carbon Crediting

1. Clean Development Mechanism
2. New mechanisms under UNFCCC umbrella 3. Voluntary emission reductions

4. Funding National Action Plans of developing countries

Alberta: 4-R N Stewardship Plan

Performance Level Basic Right Source Right Rate Right Time Right Place Reduction Modifier Intermediate Advanced

China: Panda Standard

Aimed at providing transparency and credibility in the nascent Chinese carbon market encouraging investment into Chinas rural economy Panda Standard Registry is responsible for the issuance and transfer of Panda Standard Credits

http://www.pandastandard.org/

Mechanisms of Carbon Crediting

1. Clean Development Mechanism
2. New mechanisms under UNFCCC umbrella 3. Voluntary emission reductions

4. Funding National Action Plans of developing countries

NAMA
Nationally Appropriate Mitigation Actions

NAMAs are voluntary country engagement proposals They are expected to become the main vehicle for mitigation action in developing countries in the future Funding should come from the newly established Green Fund (target: 100 bn USD by 2020)

Structure
Rice as a source of Greenhouse Gases Technical Feasibility of Mitigation Overview of different mechanisms of Carbon Crediting Highlighting ongoing activities in rice production Conclusion

Tabela Project of Bayer CropScience

Bayer Indonesia developed Tabela-method for direct seeding Required water management during the first month in Tabela is like AWD Bayer funded emission measurements (conducted by Indonesian Agric. and Environm. Research Institute) IRRI provided technical assistance on MRV issues (Measurem./ Report./ Verif.) and literature research

CDM Pipeline

May 2011
Approved Methodoloy

Nov. 2011
Validation

Tabela CDM project in Java

Water regime Emission factor

Baseline: Conventional

[tCH4/ ha yr] 0.62 0.40 0.22

[tCO2eq/ ha yr] 13.02 8.40 4.62

Project:

TABELA

DIFFERENCE

@ 5 USD per tCO2eq => 23.1 USD/ ha yr

Project Design Document

Target area: 12,500 ha Approved methodology requires emission measurements in reference fields Training, demonstration and monitoring of crop management by Bayer field teams
cdm.unfccc.int/UserManagement/FileStorage/ G8XUOQ9W3FEMCT7Y46S15I02JVZDBL

Voluntary Emission Reductions in Rice

New Methodology currently under review by

Developed by o Environmental Defense Fund o California Rice Commission o Two private companies

http://www.americancarbonregistry.org/ carbon-accounting/emission-reductions-in-rice-management-systems

Voluntary Emission Reductions in Rice

Approach:

Emission savings are quantified using a simulation model (DNDC = Denitrification Decomposition)

Modelling emissions using DNDC model (DeNitrification-DeComposition)

Inputs
SOIL Texture, pH, C and N content CLIMATE Temp., rainfall MANAGEMENT N inputs, tillage, irrigation etc.

CO2 CH4 N2O NOx NH3 moisture ...

Li et al. 2000

Voluntary Emission Reductions in Rice

Approach:

Emission savings are quantified using a simulation model (DNDC = Denitrification Decomposition)

Status of review:
The 1st version of the proposal was posted on the web in June 2011 and received substantial criticism, in particular because of unclear model validation procedures

Structure
Rice as a source of Greenhouse Gases Technical Feasibility of Mitigation Overview of different mechanisms of Carbon Crediting Highlighting ongoing activities in rice production Conclusion

Conclusion
in terms of adoption:
Wishful thinking Wide-spread implementation of mitigation projects as part of farming routine Individual mitigation projects with limited geographic domain

Realistic outlook

Conclusion
in terms of economics:
Wishful thinking Significant impact on farmers income and poverty alleviation

Realistic outlook

Attaining additional funds for rural development (irrigation facilities, improved technol.)

Conclusion
in terms of policy:
Wishful thinking Establishment of a global fund for mitigation in agriculture (matching the set-up for forests) More interest and hopefully more recognition of the specific role of food production

Realistic outlook

Thank you