4. Background
• Located in the North, about 150 km away
from Islamabad and gateway to Kaghan
valley.
• Height = near 3000ft
• Population= approx 30,000 people.
• The Balakot Tehsil is comprised of 1 town
and 16 Union Councils.
5. Cont.
• 2005 flattens the city.
• Approx 2565 people lost their lives.
• About 4209 residential units, 16 acres of
commercial area, 3 acres of educational
areas, 2 acres of Mosques and 8 acres of
public building area was completely
destroyed
• In 2006, a plan for New Balakot city that can
hold 2.5 million people for next 25 years was
made.
7. Problem
• While International donor agencies like
SPAPEV, KJRC, NESCOM and U.S sponsored
IR have aided in the reconstruction and
rehabilitation of the city, the local economy
still needs a lot of improvement.
• Concrete steps are needed to be taken, in
order to allow the local economy to grow
sustainably.
8. Opportunities
• Balakot provides an ideal location for a REDD+
project.
• REDD+ is Reducing Emission from Deforestation
and Forest Degradation.
• It is basically selling of carbon credits stored in
forest to International companies through
International emission markets, much like stocks.
• The Revenue earned through the selling of these
credits can be used for reconstruction of economy
and funding of environmental friendly energy
generation projects.
9.
10. Opportunities Cont.
• Kyoto’s unit allow 1 ton of carbon to be sold
at 10 dollars.
• It is estimated that 10 trees absorb 1 ton of
carbon annually.
• 1 acre of land can have 10,890 trees if placed
with 2x2 spacing or 4,840 trees with 4x4
spacing.
• So one can earn 1089 or 484 dollars from 1
acre of land per annum.
11. What is Kyoto Protocol?
• A legally binding agreement adopted as a
protocol to the United Nations Framework
Convention on Climate Change (UNFCCC). It
has been ratified by 181 countries and 1
regional economic organisation
• It sets binding targets for 37 industrialised
countries and the European community for
reducing greenhouse gas emission
12. Cont.
• The Kyoto Protocol provides for three mechanisms that enable countries or
operators in developed countries to acquire greenhouse gas reduction credits
• Under Joint Implementation (JI) a developed country with relatively high costs
of domestic greenhouse reduction would set up a project in another developed
country.
• Under the Clean Development Mechanism (CDM) a developed country can
'sponsor' a greenhouse gas reduction project in a developing country where
the cost of greenhouse gas reduction project activities is usually much lower,
but the atmospheric effect is globally equivalent. The developed country would
be given credits for meeting its emission reduction targets, while the
developing country would receive the capital investment and clean technology
or beneficial change in land use.
• Under International Emissions Trading (IET) countries can trade in the
international carbon credit market to cover their shortfall in Assigned amount
units. Countries with surplus units can sell them to countries that are exceeding
their emission targets
13. Target Markets
• There are many international Climate Exchange
markets which provides spot market rates, as well
as future and optional market rates. These include:
European Climate Exchange.
NASDAQ OMX Commodities Europe.
Power Next.
Commodity Exchange Bratislava.
European Energy Exchange.
14.
15. Where the money will come from?
• UN-REDD+ program supports these
programs
• Our personal Investment.
• Investment of land owners of the area.
16. Who will share the profit?
• 10 % of profit will directly be given to local
population, in cash.
• In addition, alternative energy generation projects
like small hydro dams of Kunhar River and bio-gas
plants will be installed.
• Modern educational and health facilities will also
be provided along with improvement in tourism
facilities.
• Farmers will directly earn revenue from Agro-
forestry.
17. Outcomes
• Self sustaining and vibrant, agriculture based
economy.
• Tourist Attraction will increase.
• Environmental friendly energy projects will
decrease dependence on fossil fuels.
• A boom of similar projects will start to occur
across the country.
