Questions & Answers
CHAPTER ONE: TOWARDS 2030 – THE NEW LOW-CARBON ECONOMY
The LCDS is a strategy document that outlines the approach and actions that Guyana, as a nation, can take to develop and grow for the inclusive benefit of all in a non- polluting, low carbon way. This will take place with Guyana utilizing natural resources in a sustainable manner while combating climate change and its adverse effects such as floods and droughts, and taking advantage of ecosystem services both directly for use and protection and indirectly by receiving payments for forest, biodiversity, and ocean services.
In Guyana, approximately 15% of land area is under Titled Ownership. These areas have seen very low levels of deforestation. Villages and Communities will receive incentives from the LCDS to continue this work and to develop their villages and communities.
The pillars of the new low carbon economy are: (i) Creating new incentives through ecosystem services for a low carbon economy; (ii) Protecting against climate change and biodiversity loss; (iii) Stimulating future growth through clean energy and low carbon development; and (iv) Aligning with global climate and biodiversity goals.
The core areas that will be explored in creating new incentives are: (i) forest climate services, sustainable forestry and low impact mining; (ii) biodiversity; (iii) water resources; and (iv) ocean/marine resources.
These economic activities provide jobs and income for communities and conducted in a low impact and sustainable way, will support the LCDS 2030.
Mangroves provide a number of important services to Guyana that range from the protection of the country’s coastal plain, to supporting biodiversity habitats, to provision of livelihoods to communities. Coastal ecosystems, specifically mangroves, provide an important function in sequestering significant amounts of carbon that would otherwise not be possible.
Guyana sees forest as more than just carbon and intact forests are especially known for their rich biodiversity. Guyana’s biodiversity is important to its people and economy, particularly for its role in provision of ecosystem services, support to livelihoods and economic development.
Both Government and Community stakeholders are interested in participating in the protected areas system. Kanashen is one example of a community owned conservation area. Community forest and other terrestrial landscapes can both qualify to be part of the protected areas system providing additional opportunities and benefits for communities that are involved.
Water management is provided by the natural environment and is vital to human health and livelihoods. These services are the basis for the supply of food, drinking water and in some cases protection against the effects of natural disasters.
The Ocean (marine ecosystem) like the forest (terrestrial ecosystem) potentially could provide many jobs and income for Guyanese but must be done in a way that protects the ‘blue’ resources such as traditional ways of life, and safeguards against the effects of climate change.
CHAPTER TWO: MOVING TO A MARKET MECHANISM FOR FOREST CLIMATE SERVICES
The LCDS 2030 areas will be financed with resources earned from Guyana’s participation in the forest carbon market where Guyana’s high quality carbon credits will be sold, as well as other sources of financing.
A Carbon Credit is an instrument that represents ownership of one metric tonne of carbon dioxide equivalent that can be traded or sold. Carbon credits are most often created through forestry or agricultural practices, although a credit can be made by nearly any project that reduces, avoids, destroys or captures carbon dioxide or equivalent emissions. The Carbon Credits currently being generated by Guyana for verification and sale are from carbon dioxide or equivalent emissions captured by the forest.
Carbon credits from countries like Guyana are high quality credits that seek to incentivize countries to maintain forest carbon stocks through sustainable forest management and forest conservation – a process known as REDD+ – by providing access to carbon market financing.
The Mechanism will allow for Indigenous Villages and Communities to benefit from payments earned from a forest carbon financing programme for implementing community livelihood activities and for maintaining forests. This structure will be developed through working with Villages and Communities.
All principles of FPIC will be respected in the LCDS process.
ART TREES which stands for Architecture for REDD+ Transactions, The REDD+ Environmental Excellence Standard, certifies that the carbon credits in Guyana meet the requirements for sale within a carbon market.
Yes, the carbon market rewards countries who have maintained their forest as well as those who need to restore lost forest.
Once certified by ART TREES, Guyana’s carbon credit can be sold to both private
sector companies, as well as sovereign territories (Governments).
Yes, Guyana is seeking to participate in the carbon market at national or what is referred to as jurisdictional scale.
The Guyana-Norway model was an early model in payment for maintaining forest cover. Now there is a standardized means of entry into the market (ART TREES) and there is potentially a range of possible buyers in addition to countries such as Norway. This step being taken by Guyana builds on what started under the Guyana-Norway Partnership and advances one step further as was intended at the start of this programme in 2010.
CHAPTER THREE: STIMULATING FUTURE GROWTH: CLEAN ENERGY
The LCDS 2030 places priority for expanding clean energy programmes including solar, to hinterland communities to develop and maintain sustained clean energy resources in hinterland areas.
Yes, this project is part of the LCDS and will transform the clean energy transition
by 2030 and reduce cost of electricity country wide.
Working together with Indigenous Villages, Guyana is currently implementing three small hydropower projects: a 150kW in Kato, the rehabilitation of Moco-Moco hydropower site, which would increase the capacity up to 0.7MW and a new 1.5MW hydropower plant in Kumu. The Moco-Moco and Kumu hydropower projects will provide energy to the Lethem grid. It is expected those two projects, in combination with an ongoing solar PV project, will provide the Lethem grid with 100% renewable energy in 2023. Other small hydro projects will be pursued to provide energy to the regional grids as well as Hinterland villages.
CHAPTER FOUR: STIMULATING GROWTH: LOW-CARBON DEVELOPMENT
Stimulating future low-carbon growth will involve advancement in traditional sectors as well as new sectors. The main areas of stimulating low-carbon growth include: expansion of agriculture in savannah areas where appropriate; further development of the hospitality industry; expansion of the ICT sector; strengthening and expansion of added-value and manufacturing capabilities; and further development of tourism potential.
Low carbon activities and community development programmes identified by communities will be financed with an objective of maintaining forests.
No, communities can continue all sustainable livelihood activities and the aim of participating in the programme will be to advance low carbon development and maintain forests.
Yes, these will continue under LCDS 2030 and the ADF will aim to include communities that have forests and those that have other ecosystems as well.
LCDS 2030 will strengthen climate resilience of villages and communities, including in areas such as sea defense, drainage and irrigation systems, and flood resistant crops.
LCDS 2030 includes all communities and recognizes the differences in forest type, and land tenure structure for various communities. A suite of programmes have been identified in the LCDS to create opportunities for all villages and communities.
Yes, LCDS 2030 will support Improving public health adaptation infrastructure; Improving planning and response capability of the health sector to climate-related impacts; and Developing and implementing programmes to tackle climate-related illnesses.
CHAPTERS FIVE AND SIX: ALIGNING WITH GLOBAL CLIMATE GOALS: OIL AND GAS
Using oil and gas revenues to fund increased social and economic investments, most notably in health and education, to enable all Guyanese to reach higher standards of living and wellbeing. Revenues from the Oil and Gas Sector will foster the diversification of the economy by supporting non-oil sectors and supporting development all across Guyana.
Yes. Guyana will continuously remain a significant net carbon sink. Guyana will pursue a low carbon transition at the domestic level whilst supporting a global carbon price, and reduction/removal of subsidies at the global level – global measures of which will progressively drive out the highest carbon, least economically viable fossil fuels.
Yes, LCDS 2030 encourages the meeting of environmental standards, supports new technology including the use of renewable energy in oil production, Carbon Capture Utilisation and Storage (CCUS) and, – when technologically viable – green hydrogen.
Yes, this is a priority for the LCDS and the village/community led development plans will be the basis of such interventions.
CHAPTER SEVEN: INVOLVING ALL GUYANESE IN THE LOW-CARBON TRANSITION
Ongoing engagement of all Guyanese is essential to successfully creating the new low-carbon economy in Guyana. This will be done through (i) a national consultative process; (ii) ongoing input from the Multi-Stakeholder Steering Committee; (iii) oversight by the National Assembly and its parliamentary committees; (iv)ongoing communication and awareness raising.
Yes, there will be engagement with Indigenous Peoples and Local Communities and
this will be conducted with COVID 19 restrictions in mind.
By end of May 2022, all comments received will be collated and will inform areas to be revised in the LCDS 2030 where applicable and relevant. The final LCDS 2030 will be released within 2 months after this and will be circulated to stakeholders.
This will be done directly through engagements with the LCDS Team, via the MSSC and directly with the support of the Department of Environment and Climate Change and the Ministry of Amerindian Affairs.
Yes, the LCDS programme includes all communities. The areas identified for national development will apply to all communities whilst specific region and community project will also be undertaken.
LCDS 2030 is focused on harnessing Guyana’s unique advantages to create a new low carbon economy. Since 2009, Guyana has accelerated work on climate action and forests. Guyana has committed to pursuing a development pathway that is aligned with stabilizing global temperatures at 1.5 degrees Celsius above pre-industrial levels.
