COP17 – Costa Rica: Pathways Towards a Low Carbon Economy

8/3/2019 COP17 Costa Rica: Pathways Towards a Low Carbon Economy

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Costa Rica: pathways towardsa low-carbon coffee sector

Why our coffee sector is fertile ground for testing newapproaches to a green economy

Durban, December 2011

MINAET

Ministerio de Ambiente,Energa y

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MINAET


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The national coffee sector in the face of climate change

1. The Costa Rican coffee sector in the face of climate change- Challenges and potentials

2. Next steps towards low carbon development in the Costa Ricancoffee sector

- COOPEDOTA - a pioneer in certified CO2-neutral coffee production

- Using PES as an innovative approach in the development of high sequestration, low

emission coffee production systems

3. Nationally appropriate mitigation action in the Costa Rican

coffee sector

- Increasing the eco-competitiveness of national coffee producers

Content


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COOPEDOTAA pioneer in certified CO2-neutral

coffee production

The way forward towards low carbon development


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COOPEDOTA has reduced GHG emissions in line with internationaldevelopments in climate change policy

Source: Coopedota, 2011


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5Source: Coopedota, 2011

Farms Mill Transport RoastingConsump-

tion

Waste

94% 4% 2% Neutralized by consumers

62% 1% 5% 15% 8% 9%

Methodology for quantifying product life cycle GHG emissions

Export20,000 fanegas

National500 fanegas

1,800 tCO2e

69 tCO2e

1,869 tCO2e

COOPEDOTA quantifies the GHG emissions through out the life cycle

of their coffee, from craddle to grave


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Substituted 95% of wood with dried pulp and husk Automation of the drying process

90% increase in oven efficiency

Energy efficiency and energy use practices Installation of the mini processing plant for

processing small quantities

Development of energy mgmt. programs

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COOPEDOTAs energy consumption was reduced by over 50%

Electricity use in the processing mill


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Instituted 100% measurement of water use

Recycling 100% of water during processing

Installed a lagoon system to treat water

Later installed an irrigation system utilizingwaste waters

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Water use was reduced by 80% and wastewater discharges were eliminated


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CO2-neutral coffee from COOPEDOTA

Today, COOPEDOTA continues to innovate by implementing new

biofuel projects

Bioethanol distillation project Biomass gasification project

Estimated production of 2,000 liters a day by utilizing

waste waters from the mill

Ethanol with a 95 degree alcohol content was

produced during the last harvest

Electricity production of 50 Kwh by using biomass

such as dried coffee pulp and husk



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Using PES as an innovative approach

in the development of high sequestration,

low emission coffee production systems

The way forward towards low carbon development


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Payments for environmental services for agroforestry systems in the coffee sector

Costa Rica lost almost 20% of its coffee plantations about 24.000hectares - between 2001 and 2007.

Coffee plantations were mainly displaced by inadequatly plannedurbanization, uncontrolled expansion of more profitable cash crops likepine apple and by degraded pastures.

75% of eliminated coffee plantations were coffee agroforestrysystems.

The loss of coffee plantations released at least 740.752 tC.

Source: CATIE (2011)

In fragmented agricultural landscapes, coffee plantations are importantconnectivity zones for forests and water recharge areas


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Costa Ricas PES scheme currently offers payments for the

establishment of new agroforestry systems.

Farmers receive US$ 1,30 per planted tree and total payments are

issued over a three-year period.

Only 7.7% of agroforestry systems financed under the PES schemewere implemented in coffee regions.

Established coffee agroforestry systems that already deliverenvironmental services do not benefit from the PES scheme.

Since 1997, Costa Rica has a payment program that helps to protect,enhance, and restore forest environmental services.


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Payments for environmental services for agroforestry systems in the coffee sector

A new payment scheme for established coffee agroforestrysystems is being proposed for inter-institutional implementation into thenational PES program.

Payments would be awarded to farmers for the conservation ofenvironmental services provided by coffee agroforestry systems.

A pilot phase is currently under preparation that intends to pay farmersUS$ 150 per hectare over a three-year period.

Additional sources of financing are needed to secure theimplementation of the proposed PES scheme.

PES for established coffee agroforestry systems can halt the loss of

coffee plantations by raising their profitability.


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Nationally appropriate mitigation actionin the Costa Rican coffee sector

Increasing eco-competitiveness ofnational coffee producers

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The national coffee sector in the face of climate changeImpacts of climate change are already felt today by 50.000 coffee producingfamilies, therefore adaptation measures are required immediately

National coffee farmers face already anannual decrease in productivity of 2percent due to climate related events

Adaptation strategies have to be

developed for coffee farmers, including- development of varieties adapted to

new climatic conditions,

- shade management systems,

- production and processing methods withgreater water efficiency,

- Insurance mechanisms and maketingstrategies to deal with variability inproduction

In 2010, coffee farmers in one of the poorest counties of Costa Rica had 20% higher production costs due todamages from extreme weather events that caused floodings and erosion.


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The national coffee sector in the face of climate changeCosta Rica has developed an ambitious climate policy framework thatincludes a range of measures for GHG mitigation and adaptation


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Costa Rica aims to reach carbon neutrality by 2021 GHG emissionreductions in the agricultural sector can help to reach this goal


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Source: World Bank (2008)Source: MINAET, INCAE, FUNDECOR (2010)

The coffee sector, with its high use of fertilizer, has the largest emissions rateof N2O in the agricultural sector

Source: INCAE-NEEDS, 2009 Source: World Bank, 2011; Montenegro, J. 2011

Fertilizer useAverage

Kg per Ha

World 117

Latin America 116

Costa Rican Coffee Sector 200 - 250

Projection of national GHG emissions(in MtCO2e)


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Eco-competitiveness can be defined as a companys ability to mitigate riskand capitalize on opportunities related to environmental issues


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1980 1990 2000 2011 2030 2040 2050

Carbon neutral growth

An eco-competitive coffee sector can serve as a model to transition theagricultural sector towards national green economy goals


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The national coffee sector in the face of climate changeThe Costa Rican coffee sector aims to achieve carbon neutrality by

2021, in line with the National Carbon Neutrality Plan

EnergyFertilizers

Forestry

Waste

Cogeneration

Increased fertlizer efficiency

Precise fertilizer application

Reforest unused landsIncrease shade

trees density

Wastewater treatment

Energy reduction throughuse of good practices

Increase motor effiency

Abatement potential (M tCO2e)

Preliminary GHG Abatement curve beyond BAUfor the Costa Rican Coffee Sector, 2015-20355,000

3,000

1,000

-1,000

-2,000

0

Abate

mentcost(USD)

pertCO2e

20

5 10 15 20 25 26.3


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A road map for the nationally appropriate mitigation action in theCosta Rican coffee sector


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Contacts:

MINAET Ren Castro [email protected] Tania Lpez [email protected] Ronald Peters [email protected] Roberto Mata [email protected] Hortensia Sols [email protected]

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Thank you

Thank you

COP17 – Costa Rica: Pathways Towards a Low Carbon Economy

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