The 1990 Clean Air Act established that polluting companies in the USA could buy oxygen credits as a substitute for sulphur and other polluting emissions. This was of enormous interest to power companies, so they did not have to install scrubbers and filters. The program is supposed to go to the year 2008.
Revised estimates of the Rio Bravo Conservancy area for carbon locking sequestering earnings, are now $2 million USA per year. This is a relatively small area compared to the available jungle in Belize that could be sequestered and sold off in Chicago Board of Trade options.
Current trading for Carbon Locking Allowances are running about $115 to $385 per ton. Buyers are companies that have high sulfer emissions. In 1995, 700,000 tons were traded. In 1997, 2.8 million tons were traded. Companies are willing to pay others to organize carbon sequestering programs.
From the experience with the Rio Bravo carbon locking sales, it would seem you could continue to do selective logging. It is rumored by families in the neighborhood, that the mahogany trees have been and continue to be selectively logged in the carbon locking area.
Certain root crops have a higher value than actual jungle, for trading. Since many crops have root systems that lock carbon into the soil superior to virgin rain forest.
39 industrialized countries now have agreed to reduce greenhouse gas emmissions until the year 2008. Only the USA tax credit swap program is currently known about, in the brief research conducted by the Belize Development Trust on this subject.
In any trading program for the Chicago Board of Trade, you would need a certification of some sort. Perhaps, an annual Carbon Emissions Allowance Annual Warrant/Lease?
One cubic meter of wood in high jungle equals 250 kg of carbon. The ratio is roughly 750 kg a year for thick jungle versus 250 kg of carbon for thin temperate zone forests. Or one ton per 3 acres. Farmers like the Maya, could get about $50 to $100 USA per acre for land held in beans, a root crop, for instance in a carbon swap leasing program.
In any new carbon locking program, if the Belize Government sets up certificates and/or similar type trading warrant/leases, it would please the Belize Development Trust NGO, to receive a 6% discovery/instigation commission for application to other work and projects of a development nature in Belize. Keep that in mind!
There is money here for the Government of Belize if handled properly. The Belize Development Trust stands by for any further consultancy research work in this, or any other area. Wish you luck up in Belmopan fellas! (May 16th, 2000 published)(Any Belize government action past this date will be construed as using the data on the Belize Development Trust and is copyrighted and should earn royalties.