On fair, effective and efficient REDD mechanism design

To ensure the supply of MRV credits, we advocate the establishment of an 'International Emission Reference Scenario Coordination Centre' (IERSCC). The IERSCC would act as a global clearing house for harmonized data to be used in implementing reference level methodologies. It would be tasked with the collection, reporting and subsequent processing of earth observation, deforestation- and degradation driver information in a globally consistent manner. The IERSCC would also assist, coordinate and supervise the computation of national reference scenarios according to rules negotiated under the UNFCCC. To overcome the threats of "market flooding" on the one hand and insufficient economic incentives for REDD on the other hand, we suggest an 'International Investment Reserve' (IIR) as REDD financing framework. In order to distribute the resources of the IIR we propose adopting an auctioning mechanism.Auctioning not only reveals the true emission reduction costs, but might also allow for incentivizing the protection of biodiversity and socio-economic values. The introduced concepts will be vital to ensure robustness, environmental integrity and economic efficiency of the future REDD mechanism.Post-2012 emission mitigation strategies must lead to drastic emission reductions of greenhouse gases (GHGs) to prevent dangerous climate change. Accounting for some 18 percent of global anthropogenic GHG emissions in 2004 the reduction of emissions from deforestation and forest degradation (REDD) has become a prominent potential mitigation wedge. In effect, demonstration activities have flourished since the mandate given in the Bali Road Map of 2007 (UNFCCC Decision 2/CMP.13). Initiatives include the World Bank-hosted Forest Carbon Partnership Facility and Forest investment program, the UN-REDD program, Norway's International Climate and Forest Initiative, Australia's International Forest Carbon Initiative, and many other bilateral and private programs and projects. About 40 developin