VCS Carbon

Amazon Biome Conservancy Grouped
REDD+ Project
Document Prepared by Systemica Ltda.
Project Title Amazon Biome Conservancy Grouped REDD+ Project
Version 1.1
Date of Issue 20-December-2022
Prepared By Systemica Ltda.
Contact Rua São Vicente de Paulo, 501, Santa Cecília, São Paulo – SP, Brazil
Postal Code: 01.229-010
T: +55 (11) 9 9394-1980
[email protected]
https://systemica.digital/
CONTENTS
1 PROJECT DETAILS............................................................................................... 10
1.1 Summary Description of the Project .............................................................................. 10
1.2 Sectoral Scope and Project Type .................................................................................. 11
1.3 Project Eligibility ................................................................................................................ 11
1.4 Project Design ................................................................................................................... 12
Eligibility Criteria for Grouped Projects ................................................................. 13
Instances attendance to the Set of Eligibility Criteria ........................................ 14

1.5 Project Proponent ............................................................................................................ 17
1.6 Other Entities Involved in the Project ............................................................................. 17
1.7 Ownership.......................................................................................................................... 19
1.8 Project Start Date ............................................................................................................. 19
1.9 Project Crediting Period .................................................................................................. 20
1.10 Project Scale and Estimated GHG Emission Reductions or Removals ...................... 20
1.11 Description of the Project Activity .................................................................................. 22
1.12 Project Location ............................................................................................................... 23
1.13 Conditions Prior to Project Initiation ............................................................................... 26
Current and historical land use ............................................................................. 26
Ecosystem type ...................................................................................................... 29
Climate .................................................................................................................... 29
Geology, topography, and soils ........................................................................... 30
Hidrography ............................................................................................................ 32
1.14 Compliance with Laws, Statutes and Other Regulatory Frameworks ....................... 33
1.15 Participation under Other GHG Programs .................................................................... 35
Projects Registered (or seeking registration) under Other GHG Program(s) .... 35
Projects Rejected by Other GHG Programs ........................................................ 35

1.16 Other Forms of Credit ....................................................................................................... 35
Emissions Trading Programs and Other Binding Limits ........................................ 35
Other Forms of Environmental Credit ................................................................... 35

1.17 Sustainable Development Contributions ...................................................................... 35
1.18 Additional Information Relevant to the Project ........................................................... 37
Leakage Management ......................................................................................... 37
Commercially Sensitive Information ..................................................................... 37
Further Information ................................................................................................. 37
2 SAFEGUARDS ..................................................................................................... 37
2.1 No Net Harm ..................................................................................................................... 37
Potential negative impacts mapped for stakeholders ...................................... 42

2.2 Local Stakeholder Consultation ..................................................................................... 43
Methodology .......................................................................................................... 47
Results of the mobilization ..................................................................................... 47

2.3 Environmental Impact ..................................................................................................... 52
2.4 Public Comments ............................................................................................................. 54
2.5 AFOLU-Specific Safeguards ............................................................................................ 55
Identification of stakeholders potentially impacted by the project ................. 55
Identification of any legal or customary tenure/access rights to territories and

resources, including collective and/or conflicting rights, by local stakeholders .............. 57
Legal and moral responsibility of the project with stakeholders (institutional and
community) and workers of the properties involved in the project ................................... 58
Description of the social, economic, and cultural diversity within the local
stakeholder groups .................................................................................................................. 58
Significant changes in the composition of local stakeholders over time ......... 58
Expected changes in well-being compared to the baseline scenario, including

changes in ecosystem services identified as important to local stakeholders ................. 59
Location of communities, local stakeholders, and areas outside the project

area that are expected to be impacted by the project .................................................... 60
Location of territories and resources that local stakeholders possess or to which

they have regular access ....................................................................................................... 63
Experience of the team involved in the project ................................................. 63
3 APPLICATION OF METHODOLOGY................................................................... 63
3.1 Title and Reference of Methodology ............................................................................ 63
3.2 Applicability of Methodology ......................................................................................... 65
3.3 Project Boundary .............................................................................................................. 70
Geographical boundaries .................................................................................... 71
Temporal Boundaries ............................................................................................. 72

Carbon Pools .......................................................................................................... 73
Sources of Greenhouse Gas Emissions ................................................................. 73

3.4 Baseline Scenario ............................................................................................................. 74
Agent of Planned Deforestation .......................................................................... 74
Area of Deforestation ............................................................................................ 75
Rate of Deforestation ............................................................................................ 81
Likelihood of Deforestation ................................................................................... 81
Risk of Abandonment ............................................................................................ 81
Annual Area of Deforestation ............................................................................... 90

3.5 Additionality ...................................................................................................................... 90
Step 1. Identification of alternative land use scenarios to the proposed VCS

AFOLU project activity ............................................................................................................ 90
Step 2. Investment analysis ................................................................................... 94
Step 3. Barrier Analysis ........................................................................................... 96
Step 4. Common practices analysis ..................................................................... 96

3.6 Methodology Deviations ................................................................................................. 97
4 QUANTIFICATION OF GHG EMISSION REDUCTIONS AND REMOVALS .......... 97

4.1 Baseline Emissions ............................................................................................................. 97
Deforestation in the Baseline Scenario ................................................................ 97
Carbon Stock Change per pool in the Baseline Scenario ................................. 98

4.2 Project Emissions ............................................................................................................. 114
4.3 Leakage........................................................................................................................... 116
Estimation of emissions from activity shifting ..................................................... 116
Estimation of emissions from market-effects...................................................... 117

4.4 Net GHG Emission Reductions and Removals ............................................................ 121
Uncertainty Analysis ............................................................................................. 123
Calculation of AFOLU Pooled Buffer Account Contribution ............................ 127
Calculation of Verified Carbon Units ................................................................. 128
5 MONITORING .................................................................................................. 129

5.1 Data and Parameters Available at Validation .......................................................... 130
5.2 Data and Parameters Monitored ................................................................................. 147
5.3 Monitoring Plan ............................................................................................................... 173
Monitoring of Project Implementation ............................................................... 175
Monitoring of actual carbon stock changes, GHG emissions within the project
area and leakage ................................................................................................................. 176
Monitoring of leakage ......................................................................................... 179
Ex post calculation of net anthropogenic GHG emission reduction .............. 181
Revisiting the baseline projections for future fixed baseline period ............... 181
REFERENCES................................................................................................................ 183
FIGURES
Figure 1.1. Brazilian Biomes according to IBGE data. .............................................................. 24
Figure 1.2. Properties area and project area. .......................................................................... 26
Figure 1.3. Forest cover in 2002, 2007, and 2012 twenty, fitting, and ten years before the
project start date (2022), respectively. ..................................................................................... 27
Figure 1.4. Deforested areas (km²) from 2008 to 2021 in the Amazonas state (a), and
municipalities of Itacoatiara (b) and Silves (c). Data were taken from the site TerraBrasilis
(2021). ........................................................................................................................................... 28
Figure 1.5. Vegetation type in Amazon Biodiversity Conservancy Grouped REDD+ Project
region............................................................................................................................................ 29
Figure 1.6. Predominant climate, according to Köppen-Geiger classification, in Amazon
Biodiversity Conservancy Grouped REDD+ Project region. .................................................... 30
Figure 1.7. Soil types in Amazon Biodiversity Conservancy Grouped REDD+ Project region.
....................................................................................................................................................... 31
Figure 1.8. Elevation (m) in Amazon Biodiversity Conservancy Grouped REDD+ Project
region............................................................................................................................................ 32
Figure 1.9. Hydrography in Amazon Biodiversity Conservancy Grouped REDD+ Project
region............................................................................................................................................ 33
Figure 2.1. ABC-I1 Communities of interest for social diagnosis. ............................................. 41
Figure 3.1. ABC properties and project area. ........................................................................... 71
Figure 3.2. ABC-I1 Accessibility to relevant markets. ............................................................... 76
Figure 3.3. ABC-I1 Soil types. ....................................................................................................... 77
Figure 3.4. ABC-I1 Topography. .................................................................................................. 78
Figure 3.5. ABC-I1 Slope. ............................................................................................................. 79
Figure 3.6. ABC-I1 Climate. ......................................................................................................... 80
Figure 3.7. Identification of the proxy areas. ............................................................................ 82
Figure 3.8. Land use of proxy areas. .......................................................................................... 83
Figure 3.9. Histogram of Fazenda Queimadas’s land use (a); Histogram of Fazenda Lago
Formoso I’s land use (b); Histogram of Fazenda Marinheiro’s land use (c); Histogram of
Fazenda Tarumã I’s land use (d); Histogram of Fazenda São Sebastião (e). ....................... 84
Figure 3.10. Accessibility to relevant markets. .......................................................................... 85
Figure 3.11. Proxy area location in relation to public lands. ................................................... 86
Figure 3.12. Proxy areas type of vegetation. ............................................................................ 87
Figure 3.13. Proxy areas type of soil. .......................................................................................... 88
Figure 3.14. Slope ranges identified, in percentage, in proxy areas. ..................................... 89
Figure 3.15. Altitude ranges identified, in meters, in proxy areas. .......................................... 90
Figure 5.1. The parties involved in monitoring activities......................................................... 174
Figure 5.2. General overview of parties involved in monitoring activities ........................... 175
TABLES
Table 1.1. General requirements for Grouped Projects. .......................................................... 13
Table 1.2. Set of Eligibility Criteria applied to the project activity instance one................... 14
Table 1.3. Project proponent detailed information. ................................................................ 17
Table 1.4. Ricci e Santos Advogados entity detailed information. ........................................ 18
Table 1.5. João Rogério de Souza entity datailed information. ............................................. 18
Table 1.6. Márcio de Souza entity datailed information. ........................................................ 18
Table 1.7. Amazon Biome Conservancy Grouped REDD+ Project scale............................... 20
Table 1.8. Estimated net GHG emission reductions or removals (t CO 2-e) for the project
crediting period (2022 – 2051). ................................................................................................... 20
Table 1.9. ABC project’s information about both the properties area and project area. .. 25
Table 1.10. ABC Sustainable Development Contributions. ..................................................... 36
Table 2.1. List of communities, associations, and collectives in Lindóia Village and the
project's surroundings.................................................................................................................. 50
Table 2.2. Results of the activities with the community of Lindóia Village and surrounding.52
Table 2.3. Distance in km between ABC REDD+ project and protected areas. ................... 53
Table 2.4. Distance in straight line from the centroid of the ABC-I1 polygon from the
indigenous communities, quilombolas and settlements. ........................................................ 60
Table 3.1. ABC Properties and project area. ............................................................................ 72
Table 3.2. ABC Carbon pools. .................................................................................................... 73
Table 3.3. ABC Sources of Greenhouse Gas Emissions. ........................................................... 73
Table 3.4. Deforestation information of proxy areas. ............................................................... 82
Table 3.5 General CAPEX for infrastructure and equipment. ................................................. 95
Table 3.6 General OPEX for maintaining the surveillance and monitoring system. .............. 95
Table 4.1. Total and annual area of planned deforestation over the baseline scenario. ... 98
Table 4.2. The total value of biomass, carbon, and carbon dioxide equivalent for dense-
canopy rainforest, submontane (Ds) and Pastures of Brachiaria brizantha cv. Marandu (Br).
..................................................................................................................................................... 100
Table 4.3. Baseline carbon stock change in aboveground tree biomass (t CO 2-e ha-1). .. 102
Table 4.4. Baseline carbon stock change in belowground tree biomass (t CO 2-e ha-1). ... 103
Table 4.5. Summary of calculations of wood products carbon pool in the baseline scenario
(t CO2-e ha-1). ............................................................................................................................. 105
Table 4.6. Stock changes in belowground biomass gradually over 10 years (t CO 2-e). ..... 107
Table 4.7. Stock changes in C WP100,i gradually over 20 years (t CO 2-e). ............................... 108
Table 4.8. Calculation of the sum of baseline carbon stocks changes in all pools (t CO 2-e).
..................................................................................................................................................... 109
Table 4.9. Non-CO2 emissions in the baseline case (t CO 2-e). ............................................... 112
Table 4.10. Net GHG emissions in the baseline from planned deforestation in the baseline
period (t CO2-e). ......................................................................................................................... 113
Table 4.11. Net greenhouse gas emissions due to market-effects leakage (t CO2-e). ....... 121
Table 4.12. Total net GHG emission reductions of the REDD project activity (t CO 2-e) (ex-
ante). .......................................................................................................................................... 123
Table 4.13. Cumulative uncertainty for the REDD+ project activities and Total net GHG
emission reductions of the REDD+ project activities up to year t* adjusted to account for
uncertainty (t CO2-e) (ex-ante). ............................................................................................... 127
Table 4.14. Total net GHG emission reductions of the REDD project activity (t CO 2-e) (ex-
ante) and Buffer pool allocation (t CO 2-e). ............................................................................ 129
Project Description: VCS Version 4.1
1 PROJECT DETAILS
1.1 Summary Description of the Project
The world has a forest area of 4.06 billion hectares (ha), which is 31% of the total land area. More than
half (54%) of the world's forests are in just five countries and Brazil is in second place among nations
with the most forest area worldwide, having in its territory 12% of the global forest area (FAO & UNEP,
2020). On the other hand, Brazil is one of the countries with the highest rates of forest loss (Tyukavina
et al., 2017).
The Amazon Biome Conservancy Grouped REDD+ Project (hereinafter also referred to as “ABC”) has as
its main objective to contribute to the preservation of the most extensive tropical forest in the world in
the Brazilian territory while providing significant improvements in the social interface. Geographical
boundaries were defined as the limits of the Brazilian Amazon Biome, then all instances must be within
it. The project for this validation process has only one project activity instance (ABC-I1) located in the
Itacoatiara municipality, the state of Amazonas, near its capital of Manaus. According to the geo-
referencing data, the total area of the project is established at 5,140.20 ha, which is composed of native
Amazon Rainforest vegetation, without the existence of secondary vegetation since the land has not been
cleared of native ecosystems within the last 10 years before the project start date.
The project area consisting of the ABC project is equivalent to the 20% of the landowner property area
that he could legally suppress, according to the Brazilian forest code (Law 12.651, 2012). He gave up
the right to deforest the area, changing the source of revenue from business-as-usual activities that he
would have (loggin activities, livestock followed or not by agriculture activities, for example) to the revenue
from selling VCUs generated by maintaining the forest alive.
This project will be eligible under the Reducing Emissions from Deforestation and Forest Degradation
(REDD) category, using the VM0007 methodology for Avoiding Planned Deforestation and Degradation
(APDD). It also aims to be registered under the Verified Carbon Standard (VCS) combating the decreased
carbon stock in the Brazilian Legal Amazon.
The crediting period of the project is 30 years. The start date is 19/11/2022 and the crediting period is
expected to end on 18/11/2052. To execute the installation of this project and to achieve its objectives
the VCU generation is very important. A reduction of 2,605,773.23 t CO2-e of GHG is expected over the
next ten years for the first baseline developed and presented in this Project Description - PD (average of
260,577.32 t CO2-e per year).
The ABC project will accomplish its environmental benefits through a successful monitoring system by
assessing satellite images and using them for remote geospatial analysis. It will also generate economic
benefits through investments in local communities, teaching them sustainable ways to maintain their
economic activities and improving social environment quality.
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1.2 Sectoral Scope and Project Type

The ABC Grouped REDD+ Project is within the sectorial scope number 14 – Agriculture, Forestry and
Other Land Use (AFOLU).
The project category is Reduced Emissions from Deforestation and Forest Degradation (REDD), more
specifically, Avoiding Planned Deforestation and Degradation (APDD project activity).
This project is a grouped project.
1.3 Project Eligibility

According to the VCS Standard v4.3 and considering the ABC project characteristics, some topics
presented in three main sections must be followed by this project so it can be eligible. All the bullet points
of the next paragraphs have, in their beginning, the VCS Standard section that sets a specific requirement
and then a brief description of how this project attends it.
Section 3.1 General Requirements
The project attends to all the applicable requisites of Section 3.1 listed below.
• Section 3.1.1: The project meets all applicable rules and requirements set out under the VCS
program. More details about the methodologies used are given in Section 3.2 of Applicability of
Methodology.
• Section 3.1.2: A methodology eligible under the VCS Program is applied in full, namely, the
VM0007, REDD+ Methodology Framework v1.6.
• Section 3.1.3: Implementation is legal under Brazilian legislation. All laws considered during the
compliance process are presented in Section 1.14 of this document.
• Section 3.1.7: Rules and requirements of the VCS program take precedence over other approved
GHG Program when there is a conflict between them.
Section 3.2 AFOLU-Specific Matters
All applicable minor sections of the 3.2. section have requirements followed by the ABC project:
• Section 3.2.1. The project is within an AFOLU project category eligible under the VCS Program
(Reduced Emissions from Deforestation and Degradation).
• Section 3.2.2: The project is not located within a region covered by a jurisdictional REDD+
program, then it is not necessary to follow the requirements related to nested projects set out in
the VCS Program document called Jurisdictional and Nested REDD+ Requirements.
• Section 3.2.3: All implementation partners are identified in Section 1.6, Other Entities Involved
in the Project, of this document.
• Section 3.2.4: Project activities do not convert native ecosystems to generate GHG credits. As
stated in Section 1.13 and confirmed by geospatial data, the land has not been cleared of native
11
ecosystems within 10 years of the project start date. The geospatial analysis also concludes that
fauna and flora of the project area are part of the Amazon Biome.
• Section 3.2.5: Project activities do not drain or degrade hydrological functions to generate GHG
credits. Their resources are not used, and their riparian forest remains intact.
• Section 3.2.6. The project activities and its time implementation, which will be confirmed in each
verification, are described in Section 5.3 of this PD.
• Section 3.2.7: The project is going to reassess the defined baseline every six years in order to
consider possible methodologies updates and changes in the drivers and/or behavior of agents
that cause changes in the reference area.
• Section 3.2.8: Project activities do not occur on wetlands, then specific requirements for WRC
projects are not necessary to be followed.
Appendix 1 Eligible AFOLU Project Categories
Appendix 1 from the VCS Standard v4.3 details the eligibility criteria for every type of activity. Since the
ABC is a Grouped REDD+ project, paragraphs A1.5 to A1.8 are the important ones for this project. The
requirements attended by ABC are listed below.
• Reduce emissions from deforestation by avoiding legal logging activities.

• The eligible area is composed of qualified forests once they have more than 10 years of existence
prior to the project start date.
The activities covered under the REDD project category have specifically the goal to avoid planned
(designated and sanctioned) deforestation, configuring as an APDD kind of project.
1.4 Project Design

Following the template provided, ABC project design fits in the option marked below.
☐ The project includes a single location or installation only.
☐ The project includes multiple locations or project activity instances, but is not being developed
as a grouped project.
☒ The project is a grouped project.
Being a grouped project, it is possible to include in the next years new project activity instances after the
validation process, which is composed by only one instance.
According to elements mentioned in Section 3.5 of the VCS Standard v4.3, new areas willing to become
instances of the project shall comply not only with the applicability conditions of the selected
methodology (Section 1.3), but also with a defined set of eligibility criteria.
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Though this Section 1.4 or project design, Section 1.4.1 contains general requirements that grouped
projects must follow and then, in Section 1.4.2 the set of eligibility criteria that every new PAI needs to
attend so it can be included in the ABC project.
Eligibility Criteria for Grouped Projects

Table 1.1 contains the general requirements for grouped projects.
Table 1.1. General requirements for Grouped Projects.
VCS Standard Eligibility for Grouped Projects ABC project Attendance

3.5.8. Grouped projects shall have one or more This grouped project will include only project
clearly defined geographic areas within which areas to compose its instances located inside the
project activity instances may be developed. Brazilian Amazon Biome. For each project area,
detailed information about its location is given in
Section 1.12.
3.5.9. Determination of baseline scenario and The determinations of the baseline scenario and
demonstration of additionality are based upon the the additionality will be based upon the initial
initial project activity instances. project activity instance described in this PD.
Major class of deforestation agent is the
landowner themselves, who have the legal rights
to suppress 20% of the forest area in their
properties. Most of them does that with the
intention of implementing business as usual
(BAU) activities, such as livestock and/or
agriculture.
3.5.10. As with non-grouped projects, grouped Although it could, this project does not have any
projects may incorporate multiple project activities. other project activities besides the APDD.
3.5.11. The baseline scenario for a project activity The ABC project at this validation process has
shall be determined for each designated geographic only one project area inside the geographic area
area, in accordance with the methodology applied to of the Brazilian Amazon Biome, then,
the project. additionality and the baseline scenario were
assessed only once for this project instance.
and
To the inclusion of new PAIs, their project areas
3.5.12. The additionality of the initial project activity
needs to have very similar characteristics to the
instances shall be demonstrated for each
baseline scenario and additionality, presented in
Sections 3.4 and 3.5 of this PD.
13
VCS Standard Eligibility for Grouped Projects ABC project Attendance

designated geographic area, in accordance with the
methodology applied to the project.
3.5.13. Where factors relevant to the determination All relevant factors necessary to the baseline
of the baseline scenario or demonstration of scenario and additionality demonstration are
additionality require assessment across a given assessed across the project area.
area, the area shall be, at a minimum, the grouped
project geographic area.
3.5.14. Where a capacity limit applies to a project Not applicable. APDD project activity does not
activity included in the project, no project activity includes any kind of capacity limits described.
instance shall exceed such limit.
3.5.17. AFOLU non-permanence risk analyses, where The required non-permanence risk analyses is
required, shall be assessed for each geographic area available together with this PD.
specified in the project description.
Instances attendance to the Set of Eligibility Criteria

The following Table 1.2 shows how the ABC-I1 defines and attends to the set of eligibility criteria.
Table 1.2. Set of Eligibility Criteria applied to the project activity instance one.
VCS Standard Eligibility for Grouped Projects ABC project Activity Instance One
3.5.15. Grouped projects shall include one or more The main specific methodologies applied to this
sets of eligibility criteria for the inclusion of new project are the VM0007 v1.6 and its VMD0006
project activity instances. A set of eligibility criteria v1.3 module. The ABC-I1 meet the applicability
shall ensure that new project activity instances: conditions by having the following characteristics:
1) Meet the applicability conditions set out in the • There are no land areas registered under
methodology applied to the project. the CDM or under any other GHG
program (both voluntary and compliance-
oriented).
• All its project area is covered by qualified
forest vegetation for at least 10 years
prior the project start date, following the
definition of forest given by the Food and
Agriculture Organization of the United
Nations (FAO, 2020): “land spanning
more than 0.5 hectares with trees higher
than 5 meters and a canopy cover of
more than 10 percent, or trees able to
reach these thresholds in situ. It does not
14
include land that is predominantly under
agricultural or urban land use”.
• Falls into the planned
deforestation/degradation (APDD) VCS
category.
• Leakage avoidance activities does not
include agricultural lands that are
flooded to increase production nor
intensified livestock production through
the use of feed-lots and/or manure
lagoons.
• APDD activities are applicated under the
condition that the conversion of forest
lands to a deforested area must be
legally permitted, authorized and
documented to be converted to non-
forest land.
3.5.15. The definitions and measures described in the
Section 5.3. of project activities of this project
2) Use the technologies or measures specified in the
description are going to be used and applied in in
project description.
the ABC-I1 in the same manner as specified in
and this project description. All of them with the
objective to avoid planned deforestation.
3) Apply the technologies or measures in the same
manner as specified in the project description.
3.5.15. The baseline scenario and the additionality

analysis detailed in this project description for
4) Are subject to the baseline scenario determined
the ABC-I1 gives the conditions for the inclusion
in the project description for the specified project
of futures instances in this project. All of them will
activity and geographic area.
be also located inside the Brazilian Amazon
and Biome under the APDD project activity.
5) Have characteristics with respect to additionality

that are consistent with the initial instances for the
specified project activity and geographic area. For
example, the new project activity instances have
financial, technical and/or other parameters (such
as the size/scale of the instances) consistent with
the initial instances, or face the same investment,
15
technological and/or other barriers as the initial
instances.
3.5.16. New project activity instances shall: The ABC-I1 is located inside the Brazilian Amazon
Biome. Its geographic limits are well defined with
1) Occur within one of the designated geographic
detailed information and kml files as annex in
areas specified in the project description.
Section 1.12.
3.5.16. It is assumed that the set of eligibility criteria is

all the requirements presented in Section 1.4. of
2) Comply with at least one complete set of eligibility
this PD. By accomplishing with the demands in
criteria for the inclusion of new project activity
this chapter, the instance will be eligible to the
instances.
ABC project.
3.5.16. The ABC-I1 is going to be included in the

monitoring report with sufficient technical,
3) Be included in the monitoring report with
geographic and any other relevant information to
sufficient technical, financial, geographic, and other
demonstrate the instance compliance, with the
relevant information to demonstrate compliance.
same quality employed in this PD.
3.5.16. As already commented, the set of eligibility

criteria is all the requirements presented in
4) Be validated at the time of verification against the
Section 1.4. of this PD. Being this first PAI defines
applicable set of eligibility criteria.
the main guidelines for the addition of more
instances are presented in this validation
process. Then, by defining its guidelines it also
self-validated.
3.5.16. Detailed information about the project ownership

is available in Sections 1.5 and 1.6. Systemica,
5) Have evidence of project ownership, in respect of
being the ABC project proponent and project
each project activity instance.
owner has a contract with the landowner of the
ABC-I1, securing his commitment with the forest
preservation and the project monitoring
activities.
3.5.16. Being the project activity instance one, its start

date also defines the ABC project. Then, is the
6) Have a start date that is the same as or later than
same start date than the grouped project start
the grouped project start date.
date.
16
3.5.16. Once the start date of this project activity
instance one is same one as the grouped project,
7) Be eligible for crediting from the start date of the
it is eligible for crediting from the start date.
instance through to the end of the project crediting
period (only). On the other hand, the ABC-I1 crediting period
ends before the project crediting period, since
the total project area of it would be deforested in
10 years according to the baseline scenario of it.
3.5.16. The ABC project ABC-I1 will not leave the VCS
project and subsequently enroll another VCS
8) Not leave one VCS project and subsequently enroll
project. This is also guaranteed between the
in another VCS project.
accordance between the project proponent and
the landowner.
1.5 Project Proponent

The project proponent detailed information is shown in Table 1.3.
Table 1.3. Project proponent detailed information.
Organization name Systemica (MYS E JLFL TREINAMENTO GERENCIAL LTDA)1
Contact person Munir Younes Soares
Title Director
Address Rua São Vicente de Paulo, nº 501, Apartamento 201, Santa Cecília, São
Paulo, Brazil. Postal Code: 01229-010.
Telephone +55 (11) 99394-1980
Email [email protected]
1.6 Other Entities Involved in the Project

The entity involved detailed information is shown in Table 1.4
1 Annex: Listing Representation.pdf
17
Table 1.4. Ricci e Santos Advogados entity detailed information.
Organization name Ricci e Santos Advogados
Role in the project Legal Advisory
Contact person Thiago G. de O. Ricci
Title Director
Address Av. Eng. Luis Carlos Berrini, nº 1748, cj. 101/103, Itaim Bibi, SP, Brazil –
CEP 04571-000.
Telephone +55 (11) 98490-9830
Table 1.5. João Rogério de Souza entity datailed information.
Organization name João Rogério de Souza
Role in the project Landowner2, Project Participant
Contact person João Rogério de Souza
Title Owner of the properties: Lote 80, Lote 81, Lote 84, Lote 93, Lote 94, Lote
95 and Lote Felicidade
Address Av. Comendador Luiz Meneghel, no 101, Centro, Nova Bandeirante, MT,
Brazil - CEP 78565-000.
Telephone +55 (66) 8409-8995
Table 1.6. Márcio de Souza entity datailed information.
Organization name Márcio Jose Dias Lopes
Role in the project Jose Rogerio’s business partner3, 4
2 Annex: Systemica - João Rogério Contract.pdf

3 Annex: CNPJ Rogério and Márcio – Status.pdf
4 Annex: CNPJ Rogério and Márcio – Attributes.pdf
18
Contact person Márcio Jose Dias Lopes
Title Márcio Jose Dias Lopes
Address Rua das Amendoeiras, 22, apartamento 1001, Sinop, MT, Brazil – CEP:
78550-076.
Telephone +55 (66) 8409-8995
1.7 Ownership
Amazon Biome Conservancy Grouped REDD+ Project, in its first instance (ABC-I1), covers a region in the
Itacoatiara and Silves municipalities, Amazonas state, Brazil. This project comprises seven properties
whose names are Lote 80, Lote 81, Lote 84, Lote 93, Lote 94, Lote 95, and Lote Felicidade. João Rogério
de Souza is the owner and has all the legal documents5 that prove the land title and ownership of each
property. So, the ABC-I1 ownership is defined by item 6, Section 3.6.1 of the VCS Standard v4.3 as “An
enforceable and irrevocable agreement with the holder of the statutory, property or contractual right in
the land, vegetation or conservational or management process that generates GHG emission reductions
or removals which vests project ownership in the project proponent.”
1.8 Project Start Date

The ABC Grouped REDD+ Project started on the 19 th of November 2022. This date is the effective date
on which the project began generating GHG emissions reduction in the project area.
Despite a lot of earlier conversations with landowners and project viability analysis, the 19 th of November
2022 is the first date when local activities started to be implemented by Systemica. Evidence 6 shows
that face-to-face meetings were held to present the ABC project, bring environmental education elements
to local communities near the project area, and understand their opinion about it. This is one of the many
activities proposed by the ABC project, which would not happen before the project start date. Engaging
the local community helps spread the existence of REDD+ to them, which is still not popular among the
larger households of the Amazon biome, and then shows them the benefits the project implementation
can bring not only to the environment but also to the local communities.
The landowner is a logger and rancher, so the main activities in his areas are logging and cattle raising.
The scenario of his land use before the project start date (19 th of November 2022) involves planned
deforestation to explore timber products and to practice other agricultural economic activities.
Furthermore, it is crucial to enhance on the 29 th of June 2022, the landowner (João Rogério de Souza)
5 Annex: ABC Proof of Title.xlsx

6 Annex: First project activity - Formigueiro Group.pdf
19
and his partner (Márcio José Dias Lopes) registered their timber company (R M Indústria e Comércio de
Madeiras LTDA7) located in Itacoatiara, to increase and improve their forest business. So, the landowner
would explore the project area if its activities were not started on the 19 th of November 2022. He agreed
to keep the project area's forest cover rather than clear it and convert it for other uses from the 19 th of
November 2022 onwards. Thus, he signed a long-term agreement8 representing both beginning of the
protection plan and the project activities' start date.
The project has additionality once there is a deforestation intention before the project start date. All
details about it can be seen in Section 3.5 of this Project Description (PD).
1.9 Project Crediting Period

The ABC project has a crediting period of 30 years, starting on the 19 th of November 2022 to the 18 th of
November 2052.
1.10 Project Scale and Estimated GHG Emission Reductions or Removals
Based on the VCS Standard v4.3 (Section 3.9), the project scale is “Project” (Table 1.7) due to generating
less than or equal to 300,000 tonnes of CO 2-e per year.
Table 1.7. Amazon Biome Conservancy Grouped REDD+ Project scale.
Project Scale
Project X
Large project
The estimated net annual GHG emission reductions or removals for the project crediting period is
estimated in this verification process by a 30-year period-based considering on the current deforestation
pattern (Table 1.8).
Table 1.8. Estimated net GHG emission reductions or removals (t CO2-e) for the project crediting
period (2022 – 2051).
Estimated net GHG emission reductions

Year
or removals (t CO2-e)
2022 – 2023 233,228.41
2023 - 2024 239,305.95
2024 – 2025 245,383.48
7 Annex: CNPJ Rogério and Márcio – Status.pdf

8 Annex: Systemica – João Rogério Contract.pdf
20

Year
2025 – 2026 251,461.02
2026 – 2027 257,538.55
2027 – 2028 263,616.09
2028 – 2029 269,693.63
2029 - 2030 275,771.16
2030 – 2031 281,848.70
2031 – 2032 287,926.23
2032 – 2033 55,283.13
2033 – 2034 49,790.90
2034 – 2035 44,298.67
2035 – 2036 38,806.44
2036 – 2037 33,314.21
2037 – 2038 27,821.98
2038 – 2039 22,329.75
2039 - 2040 16,837.52
2040 – 2041 11,345.28
2041 – 2042 5,853.05
2042 – 2043 5,267.75
2043 – 2044 4,682.44
2044 – 2045 4,097.14
2045 – 2046 3,511.83
2046 – 2046 2,926.53
2047 – 2048 2,341.22
2048 – 2049 1,755.92
2049 – 2050 1,170.61
2050 – 2051 585.31
21

Year
2051 – 2052 -
Total estimated ERs 2,937,792.88
Total number of crediting years 30
Average annual ERs 97,926.43
1.11 Description of the Project Activity

The Amazon Biome Conservancy Grouped REDD+ Project aims to conserve native ecosystems of the
Brazilian Amazon Biome through income generation from carbon credits commercialization for the
landowner. Its first instance (ABC-I1) is located in the Itacoatiara municipality, Amazonas state, Brazil,
and is not located within a jurisdiction covered by a jurisdictional REDD+ program.
The ABC-I1 project activities work by avoiding planned deforestation on private properties, which would
have part of its forest cover legally suppressed in the absence of these activities. It is because the owner
is a logger and conducts logging activities on his properties. Therefore, the main project activities are
mapping illegal deforestation, monitoring the area and carbon stock, controlling leakage, and others.
More details are in the items below:
Satellite monitoring
The monitoring plan (including the forest cover condition, planned deforestation, and natural
disturbances, as applicable, within and outside the project area) will use INPE (PRODES) satellite images
and MapBiomas Alert data, which is a system that confirms and refines deforestation alerts with high-
resolution images by integrating and analyzing multiple alert systems, such as DETER, PRODES, and
others. It is widely adopted because it integrates and validates several products' alerts and increases the
data's accuracy.
Patrolling and surveillance
The protection of the project area is the main activity and aims to avoid illegal deforestation. This way,
the project landowner will implement and set up patrolling and surveillance. He will work monitoring the
farms, as a strategy for looking after his property, and ensuring avoided entry of outsiders, hunters,
fishers, and intruders, fire prevention (as applicable), support the work of the field inventory, cleaning of
frontiers and its milestones, and internal organization of communication.
Forest inventory
The forest inventory shall conduct by monitories on permanent plots systematically installed over the
project area. These plots will verify periodically throughout the project duration and will cooperate with
monitoring the local flora and carbon stock. For a complete description of forest inventory methods see
22
Standard Operating Procedure (SOP)9 document. Also, an estimate of carbon stocks using this forest
inventory data will conduct to generate more accurate and assess carbon stock values.
Leakage control
Considering the project classification (APDD – Avoiding Planned Deforestation and Degradation), leakage
is the legal deforestation attributable to the landowners (deforestation agent) in their other areas (outside
the project area). Hence, the project proponent (Systemica) will set up alignments with the project's
deforestation agent (landowner) to explain the effects that his future legal deforestations might have on
the project's leakage control and encourage as well as monitor activities that mitigate the leakage risk.
The proponent believes that with the implementation of project activities and the start of a financial
return in form of VCUs, the landowner will understand the benefits that the REDD+ activities can bring to
his properties and the communities surrounding.
Potential roll-out to other areas
The other landowners living around the project site may be interested and adhere to the project. In this
sense, other places with the potential to be included in REDD+ projects have already been found, which
will favor and encourage forest conservation using financial incentives obtained from reduced emission
sales and supply social and environmental benefits to neighboring communities. We believe that the well-
succeeded example of this business plan will generate an increased number of sustainably managed
areas, which will create ancillary benefits around the project boundary.
1.12 Project Location

Amazon Biome Conservancy Grouped REDD+ Project is in the Brazilian Amazon Biome (Figure 1.1). Its
first instance (ABC-I1) is within the municipality of Itacoatiara (Figure 1.2).
9 Annex: SOP – Standard Operating Procedure.pdf
23
Figure 1.1. Brazilian Biomes according to IBGE data.
24
Following the VCS Methodology VM0007 v1. 6 (VERRA, 2020a), the project area may only include areas
composed of forest for a minimum of ten years before the project start date, including mature forests,
secondary forests, and degraded forests. According to FAO (2020), the definition of forest is: land
spanning more than 0.5 hectares with trees higher than five meters and a canopy cover of more than ten
percent or trees able to reach these thresholds in situ. It does not include land that is agricultural or
urban use.
The ABC-I1 comprises seven properties summing a total of 26,920.60 ha (Table 1.9) located mainly in
the Itacoatiara municipality and in a very small area in Silves, both in the Amazonas state, Brazil. The
project area of ABC-I1 is located only inside the Lote Felicidade, one of the seven project properties. This
property has 8,857.70 ha, being 5,140.20 ha designated to compose the project area, almost exactly
20% of the total 26,920.60 ha. Details about the properties and project area (instance, properties, total
area, project area, and geodetic coordinates) are in Table 1.9.
Table 1.9. ABC project’s information about both the properties area and project area.
Project Geodetic coordinates

Total Area Project
Activity Properties
(ha) Area (ha)
Instance Longitude Latitude
Lote 80 3 035.80 - 59° 1’ 15.13’’ W 2° 44’ 56.78’’ S
Lote 81 2 985.70 - 59° 3’ 10.23’’ W 2° 47’ 34.12’’ S
Lote 84 3 009.80 - 59° 1’ 31.89’’ W 2° 40’ 43.07’’ S
Lote 93 3 008.60 - 59° 7’ 31.66’’ W 2° 44’ 22.01’’ S
Instance 1
Lote 94 3 011.50 - 59° 9’ 40.76’’ W 2° 42’ 44.42’’ S
Lote 95 3 011.50 - 59° 7’ 46.06’’ W 2° 40’ 6.856’’ S
Lote
8 857.70 5,140.20 59° 4’ 46.47’’ W 2° 43’ 36.96’’ S
Felicidade
Total 26 920.60 5,140.20 - -
Vectorized data of the project location is in the annex10 as a KML file. João Rogério de Souza owns the
seven properties, and the map with the properties’ area boundary and the project area is in Figure 1.2.
10 Annex: project_area_ABC.kml
25
Figure 1.2. Properties area and project area.
1.13 Conditions Prior to Project Initiation
Current and historical land use

The Amazon Biome Conservancy Grouped REDD+ Project is going to be implemented in a conserved
region. The landowner requested carbon incentives to continue conserving the area and avoid planned
deforestation. The property’s areas and project area are composed of native Amazon Rainforest
vegetation, and was not found the existence of secondary vegetation. Also, in these areas, there has not
been deforestation of native ecosystems in the last 20 (2002), 15 (2007), and 10 (2012) years from the
start date of the project (2022), as seen in Figure 1.3.
26
Figure 1.3. Forest cover in 2002, 2007, and 2012 twenty, fitting, and ten years before the project
start date (2022), respectively.
The property areas of the project are in the municipalities of Itacoatiara and Silves. Most of these areas
occupy the municipality of Itacoatiara, and only one of them, more specifically, the Northern part of Lote
84, is in Silves. The two municipalities are in Amazonas state, one of the nine states that belong to the
Legal Amazon region. Overall, this state suffers from the pressure of deforestation, and from 2008 to
2021, deforested areas increased, mainly from 2016 onwards (Figure 1.4). The total area destroyed
during that period (2008 to 2021) was 12,406.24 km² (TerraBrasilis, 2021). According to MapBiomas
(2022b), Amazonas appeared in second place in the ranking, with 194,485 ha deforested (11.8% of the
total). Despite the high deforestation rates recorded in Amazonas, Itacoatiara and Silves are well-
conserved municipalities. From 2008 to 2021, the total area deforested in Itacoatiara was 157.61 km²
and in Silves was 20.45 km², equivalent to 1.27% and 0.17% of the total deforested in the state,
respectively (Figure 1.4).
27
Figure 1.4. Deforested areas (km²) from 2008 to 2021 in the Amazonas state (a), and
municipalities of Itacoatiara (b) and Silves (c). Data were taken from the site TerraBrasilis (2021).
The main activities that cause deforestation in the Legal Amazon region are livestock and logging when
carried out intensively and without proper management practices (Ferreira et al., 2015; Morales et al.,
2021). In these deforestation processes, the first step is normally clear-cutting and logging. It is estimated
that only 35% (yield) of this timber is converted into long-term wood products (IBAMA, 2016). The non-
merchantable timber that stays in the field is usually accumulated and burnt before the installation of
pasture or agricultural activities. Most carbon emissions from baseline activities occur during this
operation.
In the Itacoatiara and Silves municipalities, livestock and logging are important economic activities.
According to the IBGE (2022), these regions are in the 7th and 22nd positions of the state ranking, with
39,622 ha and 5,974 ha (equivalent to 4.5% and 1.6% of the total municipalities' areas) occupied with
pasture, respectively (MapBiomas, 2021). Furthermore, these two municipalities occupy the 4th and 6th
positions of the state ranking due to their extraction of wood in the log being 85,000 m³ and 72,000 m³,
respectively (IBGE, 2022). Notwithstanding, these activities are also the major agents that increase
deforestation in regions.
Overall, on the properties where ABC project will apply, activities such as cattle raising, and logging are
also usual due to the landowner being a cattle owner and a logger. So, eventually, these activities would
be implemented in the selected areas for the project (still preserved, as seen in Figure 1.3). In this
28
context, the project fits into the AFOLU REDD+ category and will avoid planned deforestation in these
areas.
Ecosystem type
The region where the ABC project is going to be installed is situated in the Amazon Rainforest (Amazon
Biome). This region is in the municipalities of Itacoatiara and Silves, including different
phytophysiognomies such as Campinarana, Wetlands, Forest Transition, Ombrophilous Forest of Dense
Canopy, and Ombrophilous Forest of Open Canopy, as seen in Figure 1.5. Nevertheless, the project areas
are covered only by the Ombrophilous Forest of Dense Canopy (submontane). According to the BDiA
(2022c), 46,73% and 66,91% of the Itacoatiara and Silves territories are composed of this vegetation
type, respectively.
The Ombrophilous Forest of Dense Canopy vegetation is predominant throughout the Amazon (Nelson,
1992). It is characterized by its tall vegetation, with a canopy of 25 to 30 m, emergent trees of 40 m or
more (Zappi et al., 2011), clear understory, presence of epiphytes, and high biomass (Pires & Prance,
1985). This vegetation also has shrubs, herbaceous, and lianas (SNIF, 2020).
Figure 1.5. Vegetation type in Amazon Biodiversity Conservancy Grouped REDD+ Project region.
Climate
The project region’s climate is classified as Equatorial rainforest (Af) and Equatorial monsoon (Am)
according to the Köppen-Geiger classification (Kottek et al., 2006). However, all property areas’ territory
is covered only by Af climate (Figure 1.6). The total annual precipitation of this climate category exceeds
29
2,000 mm (McKnight & Hess, 2000), with monthly minimum rainfall over 60 mm, and temperatures
above 18 °C (Brune, 2021). According to INMET (2022), the total precipitation between 1991 to 2020
was 2,543.80 mm, with the rainiest months being from December to May. The average temperature for
the same period was 27.34 °C.
Figure 1.6. Predominant climate, according to Köppen-Geiger classification, in Amazon

Biodiversity Conservancy Grouped REDD+ Project region.
Geology, topography, and soils

Itacoatiara and Silves municipalities, project region, are in the structural provinces (i) Amazonas-
Solimões and (ii) Cenozoic Coverages, and in the sub-provinces (i) Alter do Chão and (ii) Indiscriminate
Cenozoic Coverages. More than 80% of both municipalities’ territories are covered by these sub-provinces
(BDiA, 2022a). According to IPEAN (1969), the geological formation of these regions is given by
sedimentary formations of the Tertiary and Quaternary periods, more specifically by the morphostructural
domains (i) Phanerozoic Basins and Sedimentary Covers and (ii) Quaternary Sedimentary Deposits (BDiA,
2022b). Regarding the geomorphological units, more than 65% of both municipalities’ territories are
inserted in the Rio Negro-Rio Uatumã Dissected Plateau, and Amazon Plain (BDiA, 2022b).
The project region is formed by Argisoil, Gleisoil, Latosoil, Neosoil, and Plintosoil. However, the seven
properties’ areas and the project area are only formed by Latosoil (Figure 1.7). This soil type is typical of
tropical regions and occupies around 39% of the total area of the country – Brazil. It is highly weathered
30
soil with no clay increment in-depth, and Its colors vary from reddish, brownish, or yellowish (Embrapa,
2022).
Figure 1.7. Soil types in Amazon Biodiversity Conservancy Grouped REDD+ Project region.
The properties areas’ slope predominantly ranges from 5 to 15%, although slopes between 15 to 20%
are found, mainly in the Lote 84. The elevation in the same area ranges from 0 to 210 meters (Figure
1.8). Topography is often related to physical and chemical soil variations that are often reflected by
vegetation.
31
Figure 1.8. Elevation (m) in Amazon Biodiversity Conservancy Grouped REDD+ Project region.
Hidrography
The ABC project is in the Amazonas River Basin which covers a area of 7 million square kilometers, being
the largest river in the world. It is responsible for about fifth of the total river flow in the world and the
liquid fresh water. The Amazon River level depends mainly from the amount of precipitation, but also the
melting of glaciers in the Andes mountain range. Its common in the region to cycle variation between the
dry season between August to January and the flood season between February and July.
The ABC-I1 is located on the left bank of the Urubu River, a tributary of the Amazon River. The Urubu River
has dark waters with similar characteristics to the Negro River. This is a result of organic acids combined
with the decomposition of organic materials that kill bacteria and other parasites in the water, also
contributing to a region with less mosquitoes. Urubu River has a wide biodiversity of ichthyofauna, being
one of the best rivers for fishing and diving.
32
Figure 1.9. Hydrography in Amazon Biodiversity Conservancy Grouped REDD+ Project region.
1.14 Compliance with Laws, Statutes and Other Regulatory Frameworks

The most important law for this project is Law Nº 12,651 of 2012 (Brasil, 2012b) which created the
newest Brazilian Forest Code. There are some important articles and chapters to be considered that are
replicated below.
“Article 3. For the effects of this law, the following definitions apply:
I. Legal Amazon (LA): States of Acre, Pará, Amazonas, Roraima, Rondônia, Amapá, and Mato
Grosso, and the regions located to the North of parallel 13º S, in States of Tocantins and Goiás,
and to the West of meridian 44º W, of the State of Maranhão.
II. Permanent Preservation Area (PPA): protected areas covered or not by native vegetation, with the
environmental function of preserving water resources, landscape, geological stability, and
biodiversity, facilitating gene flow of plants and animals, protecting the soil, and ensuring the
well-being of human populations.
III. Legal Reserve (LR): area located within a rural property or ownership, demarcated according to
article 12, with the function of ensuring sustainable economic use of natural resources of rural
property, assisting the conservation and rehabilitation of ecological processes, and promoting
the conservation of biodiversity, as well as shelter and protection of wildlife and native flora.
33
IV. Sustainable Management (SM): management of natural vegetation to obtain economic, social,
and environmental benefits, respecting the sustaining mechanisms of the ecosystem object of
management and considering, cumulatively or alternatively, the use of multiple timber species
or not, of multiple flora products and by-products, as well as the use of other goods and services.
V. Carbon Credits (CC): title to negotiable over tangible and intangible assets right (included by Law
N° 12,727 of 2012 – Brasil (2012a)).
(...)
Article 12. All rural property must maintain an area with native vegetation cover, as a Legal Reserve,
without prejudice to the application of the rules on Permanent Preservation Areas, observing the following
minimum percentages in relation to the property area, except as specified in art. 68 of this Law (included
by Law N° 12,727 of 2012 – Brasil (2012a)):
I. Located in the Legal Amazon:

a) 80% (eighty percent), in the property situated in forest area.
b) 35% (thirty-five percent), in the property situated in Cerrado.
c) 20% (twenty percent), in the property situated in areas of general fields.
II. Located in other regions of the country: 20% (twenty percent).
(…)
Article 29. Creates the Rural Environmental Registry (RER) within the scope of the National System
Information on the Environment (NSIE) as a public electronic record on a national level, mandatory for all
rural properties, to integrate environmental information of rural properties and possessions, composing
a database for control, monitoring, environmental and economic planning and combating deforestation.”
Even though the Brazilian Forest Code is the more specific environmental legislation on a national level,
regarding the use of land in the Legal Amazon, other legislations are also necessary. Rural activities have
several perspectives that are not resumed only by the environmental one. Here all other legislations
consulted that guided and are assisted by the due diligence process of this project:
• Brazilian Federal Constitution of 1988 (Brasil, 1988).

• Brazilian Imperial Law - Law 601 of 1850 (Brasil, 1850).
• Rural Land Statute – Law 4,504 of 1964 (Brasil, 1964).
• Law of Public Records – Law 6,015 of 1973 (Brasil, 1973).
• Law of Civil Action - Law 7,347 of 1985 (Brasil, 1985).
• Law of Rural Property Tax - Law 9,393 of 1996 (Brasil, 1996).
• Federal Environmental Crimes Law - Law 9,605 of 1998 (Brasil, 1998).
• National Environmental Policy - Law 6,938 of 1981 (Brasil, 1981a).
• Brazilian Civil Code - Law 10,406 of 2002 (Brasil, 2002).
Together, all those laws have can be complex
34
for those who are not familiar with them. But the main objective of them, in a simpler way, is to demand
from the landowner: (i) proof of their legal right to have and possess their land for different government
agencies, (ii) guarantee that financially all taxes are being paid, (iii) there are no legal or civil lawsuits
that could compromise the landowner, (iv) guarantee the preservation/conservation of the environment.
The complete documentation necessary to the ABC project be in accordance with current legislation
framework and the attendance of each one of these laws is available in annex11.
1.15 Participation under Other GHG Programs
Projects Registered (or seeking registration) under Other GHG Program(s)

The ABC project has not been both registered and seeking registration under any other GHG Programs.
Projects Rejected by Other GHG Programs

Not applicable. This project is not requesting registration in any other GHG Programs and has not been
rejected by any other GHG Programs.
1.16 Other Forms of Credit
Emissions Trading Programs and Other Binding Limits

Does the project reduce GHG emissions from activities that are included in an emissions trading program
or any other mechanism that includes GHG allowance trading?
☐ Yes ☒ No
The ABC project does not reduce GHG emissions from activities that are included in any emissions trading
programs or any other mechanism that includes GHG allowance trading. This project and its activities of
reducing emissions from the APDD category aim to generate credits only under the VERRA’s VCS Program.
Other Forms of Environmental Credit

Has the project sought or received another form of GHG-related credit, including renewable energy
certificates?
☐ Yes ☒ No
The project did not seek or receive any other form of GHG-related credit, including renewable energy
certificates. This Project Description (PD) being submitted to VERRA is the first initiative to issue credits
for reducing GHG emissions.
1.17 Sustainable Development Contributions
11 Annex: ABC Proof of Title.xlsx
35
The ABC project (Amazon Biome Conservancy Grouped REDD+ Project) aims to achieve specifics
Sustainable Development Goals (SDGs) set up by the United Nations General Assembly. To select the
contributions of this project to the sustainable development goals were also considered the SDGs
adapted to the Brazilian reality (IPEA, 2018). Furthermore, a part of the revenues generated by sales of
VCUs shall be invested to implement positive actions for the local community and biodiversity. All project's
sustainable development contributions are described in Table 1.10.
Table 1.10. ABC Sustainable Development Contributions.
SDG National Goal Project Activity
4.4. Increase the number of young people and

adults who have the necessary skills, especially The ABC project could help to strengthen and
technical and professional, for employment, decent empower communities to take sustainable
4 work, and entrepreneurship. attitudes and develop productive alternatives that
ensure the preservation of forest and local
4.7. Ensure that people acquire the knowledge and biodiversity.
skills needed to promote sustainable development.
8.3. Promote development by generating decent

work; formalization; the growth of micro, small and
medium-sized companies; entrepreneurship, and The project implementation will provide
innovation. stakeholder consultation to identify the
8 8.9. Design and implement policies to promote community priorities, look for decent job creation,
sustainable and responsible tourism, accessible to and promote sustainable tourism, culture, and
all; and that generates employment and decent local products.
work, improves income distribution, and promotes
local culture and products.
13.2. Integrate the National Policy on Climate

Change into national policies, strategies, and plans. The project is taking strategies to combat climate
13 13.3. Raise awareness and human and institutional change and its impacts, as well as raising the
capacity on climate change, its risks, mitigation, community’s awareness of the topic.
adaptation, impacts, and early warning.
The ABC project consists of implementing a

15.1. Conserve ecosystems and biomes to REDD+ Grouped Project in the Amazon Rainforest
maintain biodiversity and ecosystem services. biome, which will avoid planned deforestation in
the project area. It will protect, restore, and
15.5. Reduce natural habitat fragmentation, promote sustainable use of terrestrial
degradation, and loss. ecosystems, sustainably manage forests, combat
15
15.7. Protect flora and fauna species, and avoid desertification, halt and reverse land degradation
illegal practices (hunting, fishing, and trafficking). and halt biodiversity loss. Also, it will protect and
control illegal wildlife hunting due to keeping the
15.a. Increase the return of financial resources to project area under constant surveillance.
incentive ecosystem conservation. Besides, it shall generate financial returns for the
landowner.
36
1.18 Additional Information Relevant to the Project
Leakage Management
For a complete description of leakage management and monitoring, see Sections 1.11 and 5.3 of this
Project Description (PD).
Commercially Sensitive Information

Not applicable. No commercially sensitive information has been excluded from the public version of the
Project Description (PD). Throughout the entire Section 1 of this PD document, all relevant and necessary
information about the project proponent and the conditions before the project implementation has been
available.
Further Information
No further information.
2 SAFEGUARDS
2.1 No Net Harm
The municipality of Itacoatiara has an area of 8,891.9 Km² and an estimated population of 104,046
inhabitants and is considered the third largest municipality in the state of Amazonas (IBGE, 2022). It is
in the metropolitan region of Manaus, about 270 km from the capital through the AM-010 highway, which
is an important axis of regional development because it facilitates the flow of people, goods, and services
throughout the central-eastern portion of the state. It has the third largest GDP of the state of Amazonas,
behind only the municipality of Coari and the capital Manaus itself (IBGE, 2022). In 2022, the municipal
GDP reached the amount of R$2 billion, 43% of these resources were concentrated in the agriculture
and cattle raising sector, 37% in the services sector, and 20% in industry. According to Alho (2009), a
researcher in Regional Development at the Federal University of Amazonas, Itacoatiara is a municipality
with a great potential for growth, a scenario that becomes even more favorable due to its geographical
location, on the banks of the Urubu River, a branch of the Amazon River, which houses a port and makes
its economic dynamics even more powerful.
This opportunity for local development comes from: "the availability of natural resources (rivers, roads,
forests, and land) that can be incorporated into the political-economic development, by big capital, or as
a goal of government action" (Alho, 2009). Also, according to the author, in the international division of
labor, the municipality presents itself as a center of agricultural production, although most of its
workforce is allocated mainly in trade (55%) and industry (41%) (Alho, 2009). The primary sector is home
to only 5% of the formal workers in the municipality, with soybeans and sugar cane being the main
products grown on plantations and properties emerging along the AM-010 highway, which provides
access between the two cities. The extraction of wood, rubber, and non-elastic gums is very
37
representative of the local economy. Cattle raising is represented mainly by cattle and pigs, with meat
and milk production destined for local consumption and export. Fishing is abundant, and the municipality
stands out as a fishing entrepot, both for local consumption and for export.
Regarding the situation of the roads, it is worth mentioning that the AM-010 highway was completely
asphalted in November 2022, within the period of the state elections, according to local residents. The
improvement in the asphalt reduced by half the time required to travel between Manaus and Itacoatiara
which takes an average of 2.5 hours by car. This reduction in travel time was confirmed by Systemica's
research team, who witnessed part of the work in progress, during fieldwork carried out to produce this
document. This facilitation of traffic on the highway has enormous potential in reducing the costs of
production flow, increasing the flow of goods and services in the regional context, implying an opportunity
to expand the generation of employment and income, with the potential to enable more efficient transport
of the production coming from family farming, of great importance in reducing social and economic
inequalities that affect the most vulnerable rural communities in the Amazon context.
The state production of pineapple, citrus, banana, cupuaçu, and more recently coffee is mostly promoted
by small producers, with some initiatives that already focus on sustainable local development,
associating economic growth, improvement of the quality of life of populations and communities, and
forest preservation. Organic products, low carbon economy, and agroforestry systems have great
potential for strengthening, given the increased environmental awareness of some of these producers
who are moving to abandon culturally ingrained techniques, such as the use of fire to clear cultivable
areas, and the use of chemicals and pesticides for soil correction and to combat pests. There is a
movement towards the use of organic inputs, based on a culture of reuse, such as composting, avoiding
the use of substances that negatively impact the quality of food, and that have great potential for
contamination of the soil, rivers, and fish since fish production is crucial for the subsistence of a
significant part of the riverside and fishing communities that inhabit the entire Amazon basin, as rich in
water resources as in biodiversity. This ability of the municipality of Itacoatiara to attract many strategic
projects that bring the premises of sustainable development is due to the "existence of infrastructure
(port, airport, roads), the proximity to major international consumers and the prospect of new public and
private investments" (Alho, 2009) that reinforce its position of relevance in relation to other municipalities
in the Middle Amazon, having in the future the prospect of becoming a regional pole in the scope of
environmentally and socially responsible projects, capable of attracting investments, reducing
inequalities, improving the living conditions of local populations, such as basic sanitation, and the
absence of public services, high rates of hospitalization for diarrhea and infant mortality.
Although Itacoatiara presents a good economic performance, in 2020, the average monthly salary was
1.8 minimum wage, occupying position 25 among the 62 Amazonian municipalities, which can be
considered small in comparison with the size of the municipal GDP, the third in the state. Considering the
domiciles with monthly incomes of up to half a minimum wage per person, Itacoatiara presented 45.2%
of its population in these conditions, which places it in position 57 out of 62 among the cities in the state.
It has only 19.7% of households with adequate sanitary sewage and only 11.9% with adequate
urbanization, which includes the presence of culverts, sidewalks, paving, and curbs (IBGE, 2022).
According to the Environmental Impact Assessment - EIA - related to the implementation of the Itacoatiara
38
Thermoelectric Plant (IPAAM, 2018), the process of urban expansion in the city took place largely in a
disorderly manner, i.e., there was no planning prior to the construction of housing units, which caused
the absence of infrastructure and public facilities (such as squares, health posts and schools) in most
neighborhoods of the city.
The municipality has a demographic density of 9.77 inhabitants/km², low compared to the Brazilian
average of 22.43 inhabitants/km², but higher than the state of Amazonas with 2.23 inhabitants/km²,
and the northern region itself with 4.12 inhabitants/km² (IBGE, 2022). The project is inserted in the
Amazon biome, with emphasis on the Uatuama Sustainable Development Reserve, located 32 km from
the ABC property. With respect to HDI, Itacoatiara presented in 2010, a Human Development Index of
0.644, which is below the state of Amazonas with 0.674, and the national average of 0.724 (IBGE, 2022).
In the Tupi-Guarani language Itacoatiara means painted stone, or drawn stone, such local name was
given as a result of the existence of inscriptions and drawings engraved on stones along the Urubu River,
a branch of the Amazon River, which had great importance in the colonization process that was initiated
by the Jesuits, who settled along the indigenous communities that already inhabited the Amazon River
basin, when the Portuguese arrived, still in the mid-seventeenth century. According to local historian
Frank Chaves (2022), an employee of the Municipal Secretariat of Culture of Itacoatiara, who was
interviewed by the research team and has a blog with relevant historical and cultural information about
the municipality the installation of the original village took place in 1759, with the installation of the
Abacaxis Mission, located on the river of the same name, a tributary of the Madeira, and which suffered
constant attacks from the indigenous Mura ethnic group. According to the historian:
On January 1, 1759, the installation of the village with the Portuguese name of SERPA
took place, which would be under the protection of Our Lady of the Rosary of Serpa,
whose image was brought from Portugal to the newly formed village. It was the 3rd
installed Village of Amazonas. Due to its strategic geographical position, it exercised
considerable influence in the region, and even the Lugar da Barra (today Manaus)
came under its political dependence. The District of Serpa comprised approximately
half of the Amazonas State area (Chaves, 2022).
The resilience of the Mura people in the region can be observed to this day as according to the National
Indian Foundation (FUNAI) the two indigenous lands (ILs) existing in Itacoatiara belong to the Mura
people: There are two regularized indigenous lands in the municipality of Itacoatiara, AM. Both are formed
by people of the Mura ethnicity. They are the Rio Urubu and Paraná do Arauató Indigenous Lands, which
are 31.3 and 66.6 km from the ABC project property, respectively.
Regarding the community closest to the ABC project area, the Nossa Senhora de Nazaré Community, also
known as Lindóia Village, stands out. Located in an area of great scenic beauty, with waterfalls, streams,
and a great potential for visitation, either through fishing or jungle tourism, which has developed along
the banks of the Urubu River. According to Simonetti et al. (2010), the chair of Tourism and Environmental
Management at the State University of Amazonas - UEA, in her article that assesses the tourist potential
of the village: the basic infrastructure of Lindóia Village as in most Amazonian localities comes to be
deficient, but as far as possible serves residents of the headquarters of the village, with electricity, piped
water, health center, garbage collection, and other aspects, which is rare in rural areas of the Amazon
interior.
39
It was found that the existing economic activities in the community of Lindóia
Village are: agriculture (tucumã, açaí, Brazil nut, pupunha) for subsistence;
livestock farming; commerce with operations in grocery stores, mini-markets;
vegetal and mineral extraction (coal); fishing; and tourism. Mineral extraction
and commerce are the predominant economic activities. The natural conditions
of the dystrophic soil justify the timid agricultural exploration in the area. Thus,
tourism really presents itself as a potential vocation of the district, in view of its
natural and cultural aspects, which lack organization to trigger an adequate
exploitation (Simonetti et al., 2010)
According to information provided by members of the local basic health unit team, Lindóia Village has
more than 3,000 inhabitants, distributed among several rural communities that have developed along
the side roads, locally called "ramais", which are access routes from AM-010 to the interior of the territory
on the banks of the Urubu River. No official population data were found, either through secondary data
such as IBGE, Atlas Brasil, and the municipality, or primary data from the Systemica research team during
the fieldwork in November 2022 (see social diagnosis documents in annex). In a visit to the Itacoatiara
City Hall headquarters, including the Municipal Secretary of Environment and the Municipal Lands
department, and at the IDAM office – Institute of Agricultural Development of Amazonas or “Instituto do
Desenvolvimento Agropecuário do Amazonas” in Portuguese - and the IBGE in the municipality, no data
were provided about the total size of the village territory, the number of inhabitants by gender and age
group, nor about the agricultural production undertaken in the locality. During the field survey, the
researchers identified the communities of Visconde de Mauá and Ramal Ajuricaba (Figure 2.1), whose
main activity is family agriculture, with the varied production of fruits such as pineapple, oranges, passion
fruit, watermelon, bananas, cupuaçu, as well as coffee, cassava, and vegetables. Both are within the 20
km buffer from the property and are not officially registered in the government's database. Within the 20
km buffer, the social mobilization was conducted by the researchers, and, therefore, the application of
participative tools aimed at making the social diagnosis possible. Figure 2.1 shows the delimitation of
the project area, including the location of the ABC-I1 properties, the buffer used as a base for the field
incursion, and the communities of interest, where the diagnosis was made with the community leaders,
namely: Lindóia Village, communities of Visconde de Mauá and Ramal Ajuricaba.
40
Figure 2.1. ABC-I1 Communities of interest for social diagnosis.
Regarding deforestation and fires in the Amazon biome, according to the Sustainable Amazon
Foundation, the situation in Itacoatiara is no different from most of the municipalities in the biome where
the forest degradation process (FAS, 2021):
They are the product of an economic mechanism, which generates large profits for
a small segment of Amazonian society, represented by loggers, land grabbers, and
miners - all of them acting illegally and criminally. Illegal loggers generally operate
on public lands, including conservation units and indigenous lands. They do not pay
taxes, employ workers irregularly, without the proper labor rights, and operate
without the necessary environmental permits, causing enormous environmental
damage. The illegal loggers open illegal roads for the land grabbers, who steal
public lands. The main function of cattle breeding by the “grileiros” is to create a
façade for rural producers to obtain land documents in an illegal and fraudulent
way. The illegal gold miners, who are the overwhelming majority, apply a significant
part of their earnings to the purchase of land from squatters and to cattle breeding,
to justify and apply illegally earned money. This practice leaves a trail of destruction
in the rivers and social degradation in the local communities.
Given this scenario of advancement of the degradation process of the Amazon biome, initiatives that
focus on environmental preservation, such as the adoption of carbon credits, and reduction of vegetal
suppression, among others of sustainable nature, need to be implemented in order to ensure the
maintenance of the standing forest, the protection of biodiversity, concomitantly with the adoption of
measures that ensure the improvement of the quality of life of communities in interface with forest areas.
41
Therefore, according to the excerpt above, the pressure of deforestation in Amazonas can be understood
as a result, mainly, of the illegal occupation of private lands, using for this purpose logging, illegal mining,
and burning, mainly to make pasture for cattle. Thus, we can summarize this pressure that has worsened
in recent years, and which is related to the destruction of significant portions of the forest in the region
from the following aspects: (a) conversion of forest areas into agriculture and cattle-raising areas for the
purposes of land ownership or not; (b) logging; and (c) land clearing by fire. There are also indirect causes
such as: (d) government subsidies and incentives for agriculture and cattle ranching; (e) investment
policies in infrastructure projects; (f) illegality of land tenure and ownership; (g) lack of state governance
and law enforcement; and (h) market drivers such as rising commodity prices. All of these patterns can
be identified in the state of Amazonas.
It is important to emphasize that in the meantime, the owner of the area that makes up the ABC project
has been attentive to the situation of local environmental degradation, especially deforestation in the
region, and has made efforts to set up fire brigades, as well as training locals to deal with situations of
an uncontrolled fire, ensuring the preservation of large areas of standing forest within the property.
Despite being in areas under pressure from deforestation, fires, and squatting, no irregular occupations
were observed in the areas of the farms of the project, nor were there any ongoing lawsuits or lawsuits
related to land ownership around the property. Thus, it was not necessary to proceed with any mitigation
measures related to repossession suits, relocation of populations, or any other litigation process. In any
case, to avoid the incidence of these types of conflicts on the project properties, it is necessary to
implement a monitoring system surrounding the protected forest areas, to avoid damage to its
biodiversity.
Potential negative impacts mapped for stakeholders

The socio-environmental diagnosis with the local community aimed to assess the impacts of the farms
and their perception of them. On the occasion, the communication channels were reinforced and
information about the activities carried out in the project was made available. The cell phone numbers
of the local stakeholders were also collected to create an invitation list for the WhatsApp group, to
establish a more direct communication channel with the farm management. The list of stakeholders, as
well as the telephone contacts, can be found in the attached spreadsheet, which also presents data from
the survey of institutional agents in the region, such as environmental agencies, municipal secretariats,
universities, unions, non-governmental organizations, and other institutions of interest and potential
partners of the project.
The territory surrounding the instances that are part of the ABC-I1 encompasses an area of demographic
voids, in all its northern portion, not indicating, both in the satellite image studies and in the primary data
surveys carried out throughout the fieldwork, the presence of communities at the interface with the forest
areas, or that may use these resources either for economic activities or for subsistence. In Section 2.5
Table 2.4 contains the indication of the distances of certified Indigenous Lands, Quilombola
Communities, Settlement Projects, and Traditional Communities, in relation to the ABC project property
from official government data.
42
During the fieldwork, the field team identified the presence of riverside dwellers spread along the margins
of the Urubu River and along the Igarapés. These small properties, in general, have a seasonal occupation
profile, since the period of intense flooding or severe drought in the Amazon watershed influences the
presence of human groupings in the locality. During some months of drought, such as August, September,
and October, or during major floods, such as in March and April, these habitations usually remain empty,
in some cases with the presence of only housekeepers, hired from among the riverside dwellers from the
region itself. Many of these properties belong to residents of Lindóia Village, or of cities in the
metropolitan region of Manaus, who frequent the river mainly in the months of the Tucunaré fishery, or
during the dry season, when it is possible to enjoy the several river beaches that appear along the Urubu
riverbed and the crystal-clear waters of the shallow Igarapés that are used for tourism, leisure, and
swimming.
Regarding the implementation of the project and the interface of the property and its activities with local
stakeholders, potential negative impacts were detected, of an indirect order due to the stages of project
implementation and the increased movement of unknown people in the region with a family group that
was direct in a family group that inhabits an area near the project property. This family was interviewed
by Systemica's research team in Lindóia Village, where they also own land. As a mitigation measure, they
have been informed about the realization of the project and will also be informed about the dynamics of
people movement that will occur on site, as well as participating in informational lectures related to
REDD+ projects. The group is composed of 19 people, 8 adults, and 11 children, who spend part of the
year without access to school, especially during the dry season, when the boat crossing is harder because
the streams are shallow and the engine stops working, making it necessary to pull the boat on some
sections of the river.
The other properties of riverside dwellers identified along the river, in the section between Lindóia Village
and the project area, are not understood as a community per se, but rather as seasonal housing
properties. As for the fishermen, the research team identified the presence of a small community that
fishes mainly matrinxã (a type of fish), to supply the local fish market and the restaurants and inns in the
region. The fishing community is not a village and is composed of five houses, inhabited by three different
family units. Two leaders of these families were interviewed by the research team, who did not identify,
during the application of the questionnaires, possible impacts of the implementation of the project, or of
the development of actions related to it.
Finally, it is emphasized that most of the interviewees from Lindóia Village do not even know the property
or the owner and are mostly indifferent to the existence of the project and its implementation. No negative
impacts, direct or indirect, were detected in these populations, nor in the surrounding area that makes
up the 20 km buffer, which guided the social diagnosis study.
2.2 Local Stakeholder Consultation

Stakeholder consultation was conducted through direct communication with the community surrounding
the project areas and competent institutions during the month of November 2022. The leaders of Lindóia
43
Village, communities and interest groups identified within the 20 km buffer area 12 were visited by the
team of expert researchers13,14, who provided explanatory material15 containing the permanent
communication channels for the project. This material was placed in strategic locations in the areas
adjacent to the project, informing about the most relevant information, and later posters will be placed
for communication about the auditing dates for validation and verification.
During this visit, a semi-structured questionnaire16 was applied to provide the necessary information for
the realization of a socio-environmental diagnosis. It was applied to the main representatives of the
various groups, associations, and segments that make up the intercommunity system of Lindóia Village
and its surroundings. The objective of the field incursion was to collect information about the possible
impacts that the project could cause in the community, to inform several stakeholders, public or private,
about the beginning of the project's activities, and to assess the potential of future partnerships that
could be useful in the process of implementation and development of the project's actions and activities
in the region17. The communication channel publicized after the mobilization with local leaders will also
serve as support for sending the project summary and information about the audit visits.
According to information collected throughout the fieldwork, the communities that were identified around
the project area, and that therefore become actors of interest are associated with the commercial and
organizational core of the Lindóia Village. The communities of Ramal Ajuricaba and Visconde de Mauá,
focused on food production via family farming are under the influence of the Lindóia Village, either by the
proximity given by direct access of the junctions that converge to the AM-010 highway, the main link road
with the capital, either by the presence of public services such as the Basic Health Unit (BHU), the school
and the bus station, where passengers disembark from various destinations connecting the cities in the
region, to Manaus.
At Lindóia Village, the research team identified the presence of local organizations, such as the
Formigueiro Group, which is a collective organized by members of the community itself, which performs
actions of a social nature and supports local income generation. The Residents Association of Lindóia
Village was also mapped, whose board of directors was elected during the field team's visit,
demonstrating that forms of social organization are locally in force, active, and have relevance in shaping
the community's social fabric. The election was contested by three slates, which used mobilization
strategies to convince the community, such as messages on social networks, collective meetings to
explain the proposals, and that triggered different ways of understanding the reality, and therefore the
proposition of solutions to local problems and demands. It was possible to observe that the election was
12 Annex: Socioeconomia_Localização.pdf
13 Annex: CV - Caroline Césari de Oliveira - Out2022.pdf
14 Annex: CV - Marco Aurélio - Ago2022.pdf
15 Annex: Panphlet.pdf
16 Annex: Questionários_lideranças_Vila_Lindóia.pdf
17 Annex: Stakeholders_List.xlsx
44
articulating the residents around ideas, wills, and opinions, and therefore, the presence of these
organized groups and the whole movement around the association's electoral process demonstrated a
capacity for community organization and democratic discussion about what is relevant for the future and
wellbeing of the village's population. In this interim, and through a pre-existing profile of action, it is
necessary that this social configuration be incorporated into the project, so that actions can be
developed, through the creation of partnerships and the guarantee of the incorporation of these groups
in the process of discussion and definition of actions regarding the development of the project and the
implementation of its subsequent stages.
Regarding the Formigueiro Group, it should be noted that it is an organization that has been in existence
for three years but has been working informally for over five years with the community of the Lindóia
Village and surrounding areas. Currently, it is associated with more than 40 associations and local
community groups, which the Formigueiro Group assists in the process of documentation legalization,
maintenance of the associations pretending to monitor, and advisory to presidents and communities. As
members of the group, we highlight the local groups and associations of family farmers, among other
groups such as fishermen, merchants, and the support group for mothers and families of special children
(children with some disability). It has projects being developed together with EMBRAPA and IDAM for fruit
production such as papaya, citrus, and the distribution and technical assistance to small coffee
producers, and aquaculture projects. It has also participated in initiatives for the training and
qualification of rural producers with the Itacoatiara City Hall. Recently closed an agreement with SENAI
for training in handling and reusing food, which was taught at the Municipal Ivo Amazonino Mendes
School, which, in turn, receives support from the group for the maintenance of the "life guardians", who
are monitors who help children with disabilities in the classroom, enabling access to education and
interaction with peers for this special public. Therefore, due to the relevance of the performance and
organization of these several groups in Lindóia Village, and due to the amount of more than 3 thousand
inhabitants, whose sampling would be difficult to establish in an equitable way, because of the absence
of data on the profile of the local inhabitants, we adopted the strategy of applying the questionnaire and
mobilizing for collective meetings for consultation and information about the project was carried out with
the community leaders. This included the current direction of the Residents' Association and members
of the slates competing for the election of the entity's board, the leaders of the Formigueiro Group and
other associations and communities that integrate the project, as well as representatives of fishermen,
mothers' groups and riverbank dwellers who inhabit areas of interest to the project, and who may come
to interact with its actions in future stages of project implementation.
The community of Lindóia Village is 6 km away from the project property, and there is no access between
the property and the village, either by road or by the Urubu River. This lack of connection between the
property territory and the village is reflected in the fact that few people interviewed showed knowledge
of the enterprise, mainly because it is not a productive unit, which employs people and generates a flow
of employees, goods, or services. The property is mostly composed of native forests, and its location is
unknown to most of the people interviewed. Thus, during the application of questionnaires and the
consultation meetings with local stakeholders, no direct or indirect impacts of project activities on the
social, economic, or community dynamics of this community were identified.
45
Still with regards to the negative impacts, the existence of a family group that was approached during the
application of the questionnaire, whose residence is close to the southern limit of the property at the
level of the Igarapé do Boto, a place that gives access by the river to the portion of the forest that is being
protected under this project. This family does not live on the property, so there is no connection to the
question of land ownership. Regarding the transit of people, machinery, vehicles, and services, it is
possible that the areas that this family unit uses for hunting and gathering items to supplement their diet
correspond to the areas that will be accessed during the process of implementation and development of
the project. Thus, a specific dialogue process with this family group must be carried out throughout the
project, since these people are in a situation of food insecurity, depending therefore on forest resources
for their subsistence, and where the children are in a complex situation of not being able to access school
throughout the year. In the dry season, the boats lose navigability through the streams, having to be
pushed in some stretches where the waters are shallower. This lack of transportation makes it difficult
for the eleven children, aged between one and sixteen, to attend school, which increases the vulnerability
situation to which this family is subjected. In this sense, the increased movement of people and
machinery in the region can negatively impact the sense of security for this family since it is a region with
few inhabitants and a closed forest. To mitigate this impact, it is necessary that the project promotes an
increase in the quality of life for this group, helping these people in training for income generation, access
to health care, and school transportation for the children and youth of the family, to reduce poverty and
hunger.
Regarding the positive impacts generated by the project, the maintenance of forests is related to
supporting and regulating ecosystem services, such as air quality, climate, water, protection against
erosion and degradation processes, soil formation and regeneration, pollination, biological regulation,
nutrients, life-maintenance cycles, and protection of the gene pool (Loft, 2011). Among other positive
impacts resulting from the project, we can mention the strengthening of the relationship with institutional
and non-institutional stakeholders, which contributes to the generation of a stronger community that is
more attentive to its local socio-economic and environmental aspects.
Strengthening the relationship with the community is an approach with a close impact on the sustainable
development goals for 2030, defined by the United Nations, in the fight against hunger and poverty
eradication, improving the quality of education, access to health care, employability of the population,
and economic growth, reinforcing gender and equality issues, in addition to combating climate change
and protecting biodiversity.
The fieldwork was a relevant part of the diagnostic process of the social, environmental, and economic
conditions of the communities and actors of interest in the project. It was carried out by a research team,
composed of professionals specialized in community approaches and engagement, during the period
from 16-11-2022 to 25-11-2022, for a total of 10 days of field research. The main objectives achieved
through the fieldwork are listed below:
• Start the process of community engagement and local stakeholders, according to methodologies
adhering to VCS standards;
46
• Preparation of an informative pamphlet for distribution to stakeholders with relevant information

about the project;
• Identify local stakeholders inserted in the project area or that are directly or indirectly related to
the study region (associations, cooperatives, cultural groups, etc);
• Meet/visit landowners, public-private agents and institutions of interest, and members of the
surrounding communities, to disseminate project information;
• Hold a presentation meeting, if mobilization is feasible, for stakeholders and members of the
surrounding communities to be engaged in the project;
• Identify priority issues of great relevance to the communities, including scenario assessment
regarding gender and intergenerational issues, land conflicts, working conditions, violence rates,
and access to public services;
• Identify priority territories for actions and engagement of potentially relevant communities for the
project, by applying and proving the use of participatory methodologies;
• Ensure the production of evidence that includes the prior consent of the communities and actors
of interest in the project.
Methodology
The work methodology was defined after successive meetings and alignments between the consulting
team that would go to the field and Systemica's technical team. During these meetings, it was promoted
a joint construction of strategies and the choice of the best tools to be used with the communities.
The bullet points below show the methodology defined to engage and mobilize the local population,
aiming to be effective in the consultation process with surrounding communities and stakeholders. As
defined by the VCS Standard, the following was done:
• Application of a simplified questionnaire with actors and members of interest for

recognition/identification of the scenarios constituted in the territories under study;
• Signing of an authorization term for the use of information and images;
• Conducting a presentation/opening meeting of the project for the target public to be mobilized
during fieldwork;
• Survey of primary information, through visits that will be documented, which will subsidize the
production of a social diagnosis of the communities of interest to the project;
• Active search for the project's stakeholders, including the institutional ones and potential
partnerships, aiming at the consultation and presentation of the project and its premises;
• Promotion of specific approaches with the delivery of an informative pamphlet containing the
permanent communication channels for the project - e-mail: [email protected] and
WhatsApp number: +55 (11) 5039-1386.
Results of the mobilization
47
The project design and its implementation, including the information on the project monitoring, risks,
costs, and benefits to local stakeholders, relevant laws and regulations, and auditing processes, were
presented to the local community during the interviews and the "Start Date" event. In addition, the local
community was informed about the upcoming visit of the validation body of the VCS Program 18, 19, 20, 21.
The meetings held on the project's "start date" had the objective to explain the main points and
implications of implementing a carbon credit project, as well as disseminating and mobilizing the
community to participate in the application of the questionnaire for socio-environmental diagnosis,
assessing the priorities and most urgent demands. A total of 28 leaders and representatives of the
various social groups present in the village were interviewed, prioritizing those who interact with both the
Formigueiro Group and the Residents Association of the Lindóia Village, both in the project area, within
the 20 km buffer and adjacent to it.
All the information necessary for the engagement of the communities in the project was provided during
the collective meetings held, including the training activity for REDD+ activities, which was held with the
representatives of the Formigueiro Group on November 19, 2022. With three other groups it was also
possible to hold collective activities to explain the project and assess the priorities to be considered for
the elaboration of the actions, namely:
• Visconde de Mauá Community on November 21, 2022;

• Community Leaders of Lindóia Village on November 22, 2022; and
• Mothers Group on November 23, 2022.
It is noteworthy that during these activities the participation of the communities was prioritized, as well
as the clarification of doubts about the project, in addition to being an opportunity to discuss, along with
the populations of interest, some of the REDD+ capabilities, with the facilitator focusing mainly on the
following topics: (i) reducing emissions from deforestation; (ii) reducing emissions from forest
degradation; (iii) how to contribute to the increase of forest carbon stocks; (iv) actions and attitudes that
can contribute to the control of climate change and global warming.
Individual approaches were also promoted, where everyone engaged by the research team received the
project's pamphlet, containing information about the ongoing work, as well as the communication
channels to address potential doubts or questions that arise from the beginning of the development and
implementation of the planned activities. This approach methodology was defined to initiate and ensure
effective participation, as well as the understanding of the most relevant prerogatives for the continuation
of the project.
18 Annex: Start Date Grupo Formigueiro_19-11-22.pdf

19 Annex: Start Date Comunidade Visconde de Mauá_21-11-22.pdf
20 Annex: Start Date_Associação de Moradores da Vila de Lindóia_22-11-2022.pdf
21 Annex: Start Date Grupo de Mães_23-11-22.pdf
48
The application of the planned methodologies and tools during the fieldwork prioritized the participation
and inclusion of the community's viewpoints. To guarantee the transparency of the consultation process,
each interviewed stakeholder was asked to sign the "Authorization for Use of Information Term", aiming
at guaranteeing the informed consultation process, which certifies both their awareness of the project's
objectives and the receipt of the informative pamphlet. It is noteworthy that special attention was given
to making the language of the material more accessible, with the choice of an enlarged font, which aimed
to facilitate the visualization of people with low vision or reading difficulties. The text of the pamphlet was
designed to simplify the understanding and to facilitate reading, ensuring that the information was direct,
and objective. There was also a concern on the part of the field team to pass on the information in a clear
way, avoiding technical terms and words that could hinder the understanding of the content, in addition
to the care taken to clarify each of the questions and doubts presented by the members of the mobilized
communities22.
The application of the questionnaires implied a work of identification and active search carried out by the
field team, which mobilized a significant part of the local leaders, who make up the most diverse social
strata and groups and organized entities of the village and surrounding area. These people were
approached, as they have the multiplying role of making the project information reach their wider group,
as well as being responsible for the most sensitive demands and issues of their respective communities,
as they are engaged members in the process of formalizing and strengthening for the collective resolution
of local demands. It is noteworthy that there is no mapping of the communities and localities that make
up the territory of Lindóia Village and its surroundings, nor the limits of the communities and groups that
are recognized as being part of the village. Further work will be needed to geo-reference these groups, in
order to map others that may be in the project's area of interest, so that partnerships and engagement
processes, and social participation are guaranteed for everyone who is in the project's area of influence
and reach.
Thirty entities, community groups, and associations were mapped out, with the support of the
Formigueiro Group, in the person of secretary Romário Elton da Cruz, and director Moisés Azevedo. It was
possible to apply the questionnaire and provide relevant information to 28 representatives, who also
participated in the dynamics of assessing priorities. This amount corresponds to almost all the leaders
that were identified, and we believe that it is a significant sample among the groups mapped. It is not
possible to establish an exact percentage because there is no official survey regarding the number of
members and groups that effectively interact in the territory. Some community and group leaders were
not found, and others were identified as being more than 150 km from the project area, that is, outside
the buffer of interest of the actions. In some cases, there was even a logistical difficulty in locating or
having access to some communities and their relevant actors, but in any case, we tried, with the support
of the main leaders from Lindóia Village, to mobilize the main local actors, and it is important to highlight
the help provided by the president of the Residents’ Association, Mr. Raimundo Nonato Tamborini. All the
help was very important for the participation of other leaders and representative groups of the locality,
in providing space for the collective activities, inviting and mobilizing people through WhatsApp
22 Annex: Autorização de Uso de Informações e Dinâmica das Prioridades.pdf
49
messages, and supporting the presence of the team and the proposed group dynamics and activities.
The Table 2.1 below of mapped entities and groups was provided by the Formigueiro Group and
complemented with information verified by the team in the field:
Table 2.1. List of communities, associations, and collectives in Lindóia Village and the project's
surroundings.
Entity/group Person in Charge / President Location

Centro Comercial de
Vila Lindóia (Lindóia
Formigueiro Group Moisés / Romário
Village Commercial
Center)
Centro Comercial de
Association of the Residents of Lindóia Village Vila Lindóia (Lindóia
Raimundo Nonato
(Nossa Senhora de Nazaré) Village Commercial
Center)
Km 152, roadway
Bom Jesus Community Eliana
AM010
Ramas das Pedras Professor Francisco Access through AM010
Km 048, roadway
Agrovila Community Aroldo
AM010
Indigenous Land Urubu
Jaçanã Village Community Ana Mura River
Nova Canaã Community Jota Jota Access through AM010
São Francisco de Assis Community Campos Access through AM010

Access through Urubu
Igarapé do Fortunato Community Maria River
Ramal Santa Luzia
Copaíba Community Edna Reis (Santa Luzia branch/
alley)
Ramal Santa Luzia
Nova Jerusalem Community Jacira (Santa Luzia branch/
alley)
Ramal do Minério
São Luiz Community Nelson e Pedro (Minério branch/ Alley)
Access via AM010
Nova Vida Community Andreia
Centro Comercial de
Lindóia Village Merchants Group Rogerio
Village Commercial
Center)
Ramal Anjuricaba Luiz Access through AM010
50
Entity/group Person in Charge / President Location
Viscone de Mauá Community Barbosa Access through AM010
Ramal da Paz Erison Access through AM010
Mount Sinai Community Moreira Access through AM010
Jericho Community Silvana Access through AM010
Barcelona Community II Ivete Access through AM010

Centro Urbano de
Betel Community Edilson Itacoatiara (Urban
Center of Itacoatiara)
São Geraldo Community Nazira Km 44, roadway AM010
Igarapé Costa da
Boca do Padre Edenilson
Conceição
Costa do Quelé Eraldo Amazonas River
Matrinxã Fishing Community Alcione/ Rosilene Urubu River

Centro Comercial de
Group of Pilots and Tourist Guides of Lindóia Vila Lindóia (Lindóia
Marcio
Village Village Commercial
Center)
Centro Comercial de
Mothers of Children with Special Needs Group Gertrudes
Village Commercial
Center)
Centro Comercial de
School Community of EM Ivo Amazonense de Vila Lindóia (Lindóia
Silvana
Moura Village Commercial
Center)
River dwellers of the Urubu River João Igarapé do Boto
Itacoatiara/Lindóia
Family Farming Forum Andrea
Village
This produced material will be used for the development of the social diagnosis, which will define the
demands and opportunities observed in this population and will be able to enhance the development of
the planned actions, as well as the achievement of the expected results. Results of all activities
developed, including information on location, date, and the number of participants involved are
summarized in Table 2.2.
51
Table 2.2. Results of the activities with the community of Lindóia Village and surrounding.
Activity Location Date Participants

Leaderships
from Lindóia
Questionnaire for social diagnosis 18 a 24/11 28
Village and
surroundings
Start Date and Capacity Building Meeting for Formigueiro
19/11/2022 13
REDD+ Activities Group
Explanation of the Project, delivery of pamphlet Lindóia
17 a 24/11 80
and inauguration of communication channel Village
Formigueiro
Capacity building for REDD+ activities 19/11/2022 13
Group
28
Leaderships
Process of filling out priorities with survey (individuals)
from Lindóia 18 a 24/11
respondents and 2
Village
(collectives)
Start Date for consultation with local Viosconde
stakeholders, explanation of the project, and de Mauá 21/11/2022 17
dissemination of the communication channel Association
Start Date for consultation with local Leaderships
stakeholders, explanation of the project, and from Lindóia 22/11/2022 12
dissemination of the communication channel Village
Mothers of
Start Date for consultation with local
Children with
stakeholders, explanation of the project, and 23/11/2022 13
Special
dissemination of the communication channel
Needs Group
It is important to stress that all comments regarding the project implementation received through our
communication channels previously mentioned in this section will be addressed individually and
therefore documented. In addition, any arising complaints or suggestions for improvement will also be
taken into consideration and judged internally by the project proponent. If the complaint or suggestion is
pertinent and related to the scope of the project's obligations, it will be implemented.
Finally, the owners do not have any labor liabilities, in other words, no debts due to non-compliance with
labor obligations, incorrect payment of social charges, or payment of mandatory benefits.
2.3 Environmental Impact

No individuals or communities were identified via satellite images, official data or field diagnosis as being
installed within the limits of the project area. There is, however, as mentioned previously, a family
composed of 19 people who settle within a radius of 1 km from the project property borders and perform
hunting, fruit gathering and fishing activities for their own consumption that eventually undertake these
activities within the project area. This should be understood as a subsistence activity, characterized by
the collection for own consumption and to complement the nutritional variety and therefore this activity
has never been a threat to the existence of the project forest. In the flood period of the Urubu River, the
52
occurrence of sport fishing and fishing practiced by some riverside dwellers in the rivers that cross the
project area were also reported in interviews with the community.
The family group, river dwellers, and sport fishing practitioners do not present a threat to the integrity of
the property or the forest area and for this reason, there has been no need to prevent their passage by
barriers or limited access so far. However, with the implementation of the ABC REDD+ project, one of the
commitments adopted by the landowner is to fence the area, carry out surveillance, and prevent access
to unauthorized people in the project area. These adopted measures will not impact the food supply of
these families or negatively impact the economy generated by the sport fishing activity since this region
presents a remarkable extension of biodiversity and is naturally rich in the diversity and quantity of these
natural resources (Table 2.3).
No direct or indirect impacts were observed in the communities of Lindóia Village, Visconde de Mauá and
Ramal Ajuricaba, however, indirect impacts of the ABC REDD+ project were identified in the above-
mentioned family group, which were identified as being caused by the increase in the movement of
unknown people in the region, due to the implementation stages of the project. However, these impacts
can be overcome through a previous mobilization process to assure the participation of this group in the
implementation processes of the project steps.
In conclusion, it is expected that the project will bring long-term positive socioeconomic and
environmental impacts in the region, by providing improvement in the quality of life of the population and
environmental education to end deforestation and fires in the Amazon.
Table 2.3. Distance in km between ABC REDD+ project and protected areas.
Classification of Protected Area

ABC REDD+ project
distance
National, Municipal and State Parks
(km)
Parque Nacional de Anavilhanas 145.76
Parque Estadual Rio Negro Setor Sul 138.20
Parque Estadual Sumauma 104.89
ABC REDD+ project

Area of environmental protection
distance
(km)
Nhamunda 227.41
Taruma/Ponta Negra 107.36
Presidente Figueiredo - Caverna do Moroaga 63.37
Margem Esquerda do Rio Negro-Setor Aturia - Apuauzinho 108.08
Margem Esquerda do Rio Negro - Setor Tarumã Açu-Tarumã Mirima 110.82
53
Parque Linear do Binda 109.54
Margem Direita do Rio Negro - Setor Paduari - Solimões 113.20
ABC REDD+ project

Area of relevant ecological interest (ARIE) distance
(km)
Projeto Dinamica Biologica de Fragmentos Florestais 78.94
ABC REDD+ project

National and State Forest distance
(km)
Floresta Nacional de Pau-Rosa 143.19
Floresta Estadual De Faro 196.66
Floresta Estadual Maués 138.46
Floresta Estadual Rio Urubu 80.82
ABC REDD+ project

Biological Reserve distance
(km)
Uatuma 98.44
ABC REDD+ project

Sustainable Development Reserve distance
(km)
Tupe 125.97
Matupiri 242.75
Rio Negro 158.21
Canuma 126.82
Puranga Conquista 128.36
Uatuama 32.68
Rio Madeira 243.86
2.4 Public Comments

This ABC REDD+ project description is version created to submit the project to the under validation status.
The public comment period has not yet been initiated. Any comments and answers arising will be
attached to the project.
54
2.5 AFOLU-Specific Safeguards
Identification of stakeholders potentially impacted by the project

The ABC-I1 properties are in the north region of the Itacoatiara municipality (part of the metropolitan
region of Manaus) in Amazonas State. Itacoatiara has 104,048 inhabitants, the third-largest population,
and the third-highest Gross domestic product (GDP) among the 62 municipalities in the state. However,
it still presents unequal access to public services for the local population. In addition, the city has an
area of 8,891.9 km², entirely inserted within the Amazon biome (IBGE, 2022).
As mentioned in Section 2.2, through satellite images, secondary data from desk research, and primary
data surveys carried out through fieldwork, a radius of 20 km from the property’s limits was defined, and
the communities in Section 2.1 were identified.
The communities and actors of interest identified in the project region are located in Lindóia Village, a
rural area of Itacoatiara, close to the AM-010 highway. This central axis connects the municipality to the
capital Manaus. A significant part of the members of these communities, practices family farming, mainly
fruit and horticulture, in addition to the cultivation of Amazonian products such as cassava (flour and
tapioca by-products), guarana, cupuaçu, açaí, and Brazil nuts. In this context, employment opportunities
are very scarce, focusing on commercial activity, public service, and the timber industry, and illegal
activities such as charcoal production and the illegal timber industry, as well as predatory sport fishing.
The community of Lindóia Village, in its historical process of development, had its settlement and
urbanization associated with two factors. The first factor is related to the development of the river port of
Itacoatiara in 1919, the second largest river port in the country, where cargo arrives daily from cities such
as Belém, Cuiabá, Manaus, and Santarém. In addition, the construction of the Lindóia bridge that crossed
the Urubu River (a river that passes through the region) facilitated access and travel to the region by land
for many people (families and some small traders). Therefore, Lindóia Village served as a stopping point
for those heading towards the port and, simultaneously, needed to travel by ferry across the river.
The second factor that boosted the development of Lindóia Village was based on a project by Emater-Am,
in the mid-1970s, with the planting of rubber trees to extract latex. However, the infertile soil for growing
rubber and the lack of technical assistance from responsible government agencies doomed the initiative
to failure. Today, there are few rubber trees remaining that are part of the community's history, according
to testimonials from local residents.
From the point of view of its social and political organization, the community founded the Association of
Residents of Lindóia Village in 1982. The entity arises from the mobilization of the Catholic community
associated with the Church of Nossa Senhora de Nazaré, the village's patron saint, and responsible for
holding the "Festa da Fogueira" in June, considered one of the largest in the state. Therefore, the process
of strengthening and organizing collective autonomy has been built for forty years in the village. This
offers a certain maturity of local institutions, which proved to be effective, active, and consolidated in the
context of fighting for the interests of the village and its population. In this same sense, the performance
of another local entity, Formigueiro Group, which since 2020 has provided institutional support for the
55
maintenance of local associations and cooperatives, focusing on the promotion of family farming and
technical assistance to small producers.
The pre-existence of strengthened, organized, and legalized community entities, added to the framework
of communities and groups interconnected to these collectivities, implied the strategic choice of
approaches by the leaders in the process of social diagnosis. This situation is critical because presidents
and local leaders often have a more comprehensive view of their community's social and economic
situation. Another interesting point to highlight is the capacity for dialogue, which facilitates the process
of applying the form, and the qualitative understanding of the most relevant issues to be incorporated
into the diagnosis and worked on throughout developing the project's actions. In the meantime, 28
leaders were interviewed, appointed by the management of Formigueiro Group and by the Residents'
Association, seeking to respect hierarchies and internal forces.
According to the exposed in Section 2.2, the field team interviewed and distributed informative
pamphlets, highlighting the communication channels open to the community to access questions and
complaints about the project in each household visited. Applying all participatory tools, including the
questionnaire, the assessment of priorities, and the joint meetings, was critical in determining an in-
depth diagnosis, even with a sample based only on leaders. A broader mobilization could have been done,
but strategically, the leaders' approach was chosen since the call for wider groups could generate future
expectations that the project might not be able to meet. As subsequent steps for the discussion of the
actions will still be produced, it is believed that from a more certain scenario of the implementation of
the activities, and the definition of a schedule, it will be possible to expand the mobilization. On the other
hand, it is noteworthy that even though the research team had located and approached a relevant part
of the leaders, the richness of groups and communities organized in the territory, through the absence
of georeferencing of these collectives, justifies possible gaps in the approach.
An important fact is the population underestimation mentioned due to the outdated Brazilian Census;
the last was carried out in 2010. The Census in Brazil is carried out every decade, but the Brazilian
government has delayed it, and until the present moment, November of 2022, it has not been concluded.
The situation creates great difficulty in obtaining real and updated data about the Brazilian regions, and
rural areas, especially in the Legal Amazon, where there is a gap in the government's actions, an absence
of environmental enforcement policies, and a lack of essential services to the population.
As a result, local communities were identified, and institutional stakeholders possibly involved in the
project were mapped to understand the public impacts of the project. The process of consultation and
explanation about the project's prerogatives was done by telephone calls and e-mail23 containing a digital
version of the pamphlet, contact number, and information about the project. Municipalities,
environmental and agricultural agencies, universities, rural workers' unions, and non-governmental
organizations can potentially become partners in the project to ensure efficiency and increase the scope
of the planned actions. A spreadsheet containing the main agents identified that could be impacted by
the project's activities (local agents identified and mobilized and institutional actors of interest to the
23 Annex: E-mail Stakeholders Institucionais_Dez2022.pdf
56
project) and their contact telephone numbers and e-mails can be found in the attached spreadsheet,
already mentioned in Section 2.2.
Identification of any legal or customary tenure/access rights to territories and

resources, including collective and/or conflicting rights, by local stakeholders
In Itacoatiara, part of the job opportunities is related to the logging industry, both legal and illegal. The
suppression of vegetation cover is a historical fact in the process of development of the small urban
fabric of the village, with most of the houses being made of wood. The region of Lindóia Village has the
presence of legalized loggers who work according to a forest management policy. Still, there is also an
illegal activity aimed mainly at the internal public. The illegal production of charcoal persists, aimed at
the domestic market in Manaus and the metropolitan region. This type of activity requires the illegal
felling of native wood for subsequent burning, with charcoal being one of the main vectors of
environmental degradation in the streams and areas of native vegetation that surround the Lindóia
Village.
Sport fishing creates immense tourist potential for the region, associated with jungle tourism. It is
possible to observe the presence of inns and hotels dedicated to this practice on the banks of the Urubu
River. Tucunaré is the species most sought after by sport fishermen. However, the unregulated
development of this practice has been causing a reduction in fish volume and changes in fishing spots,
according to reports from riverside people and local fishermen. Local fishermen also report the harmful
effects of unbridled sports practice, which often return injured fish to the river, compromising the animal's
survival time in its natural habitat. No area of illegal mining was identified in the territory. However, the
practice of setting fire to clean up cultivable areas and land grabbing are historically consolidated
practices in the region (Carrero et al., 2022).
The project proponent (Systemica) recognizes, respects, and supports local stakeholders’ property rights.
Also, the project does not infringe on private, stakeholder, or government property or relocate people off
their lands. The landowner does not face land tenure or resource access and use disputes. All legal
documentation and proof of title are available in Sections 1.7 and 1.14 of this PD.
During the socio-environmental survey carried out by the field team, the presence of a family group that
uses forest resources within the property was mapped. The use of resources is restricted solely to
hunting, gathering, and fishing for items and food for the family's livelihood. The group comprises 19
people, 8 adults and 11 children, whose type of food varies according to the season. For example, part
of the plantation, such as fruit trees and some vegetables, is located in the area where the family resides.
During the flood season (from November to March), fishing, gathering, and hunting are more abundant.
However, this family group also owns a house in Lindóia Village, which means that their resources and
means of subsistence are not limited to the territory surrounding the project. This family nucleus inhabits
a region where forest areas predominate, and the team has not located any other grouping so close to
the areas surrounding the property. For the other communities, including the commercial center of
Lindóia Village, the Visconde de Mauá community, and the Ramal Ajuricaba, there was no report of the
use of natural resources in the area around the project. There is a physical division and access restriction,
as these communities are separated from the property by an extensive area of forest and a strip of
57
streams. Also, so for there is no road that facilitates vehicle access to the property. Most interviewees
reported not knowing the property and the owner since there are no productive activities in the locality,
with no reports of measured impacts.
Native species of the Amazon biome compose the forest where the project is inserted. Since the
landowner is a logger and intends to cut legally native trees on his other properties (outside the project
area), and as this is not a reforestation project, the project does not introduce invasive species or use
species that may cause adverse effects. Also, it is not used fertilizers, pesticides, or biological control
agents.
Legal and moral responsibility of the project with stakeholders (institutional and
community) and workers of the properties involved in the project
All legal and some technical aspects of the project were presented to the communities, workers, and
local stakeholders during interviews, training, and through pamphlets and e-mails. In these meetings,
the entire VCS validation and verification process was addressed, as well as the monitoring results and
the intentions, risks, costs, and benefits of the project. A continuous communication channel was also
established to enable exchanges and answer any questions that may arise from the stakeholders (e-mail
and WhatsApp).
It is essential to be explicit that all comments regarding the project’s implementation received through
our communication channels previously mentioned in this chapter will be addressed individually and
therefore documented. In addition, any arising complaints or suggestions for improvement will also be
considered and judged by an internal committee and, if pertinent and related to the scope of the project's
obligations, will be implemented.
The contract24 signed with the owners proves that they have 100% legal control of the areas and that
there are currently no land conflicts. If conflicts of this nature occur in the area, the legal authorities will
be immediately notified, and Systemica's juridical department will act to solve these conflicts. Moreover,
the entities involved in the project are not engaged in any form of discrimination or sexual harassment.
Finally, the owners do not have any labor liabilities, i.e., no debts due to non-compliance with labor
obligations, incorrect social charges' payment, or payment of mandatory benefits.
Description of the social, economic, and cultural diversity within the local
stakeholder groups
The project's stakeholders are government agencies, municipalities, universities, environmental and
agricultural agencies, and the Lindóia Village. Thus, by identifying and applying different forms of
consultation with the various stakeholders, the project is considered to encompass the stakeholders'
social, economic, and cultural diversity.
Significant changes in the composition of local stakeholders over time
24 Annex: Systemica – João Rogério Contract.pdf
58
No changes were identified among the stakeholders involved with the project. Any future significant
changes will be reported in this section.
Communication with the project team was promoted with all stakeholder profiles through fieldwork, calls,
and meetings. An online communication channel is established by e-mail and form for government
agencies, private companies, and NGOs. However, direct consultation was also carried out with municipal
departments and unions.
Among the positive impacts expected by the community are the projects that will be carried out with the
group of mothers of disabled children, riverside communities, fishermen and family farming. For these
groups, actions related to improving the quality of life, access to education, comprehensive health,
psychological support, job and income generation opportunities, training and promotion of family farming
will be promoted. Another expected impact refers to the integration of already structured and active local
communities in the territory, namely the Formigueiro Group and the Association of Residents of Lindóia
Village, which will receive institutional and human support. Partnerships aim to complement and strengthen
the list of actions and projects already developed by these community entities, prioritizing those aimed at
improving the well-being and income generation opportunities for women, young people and children.
Special attention will be given to mothers of disabled children, who must have support to access medical
treatments and specialties, including psychological and psycho-pedagogical support, so that children have
the right to access and remain in formal school. Such actions will be essential to improve the living
conditions of these children and their families, especially those mothers who lack job opportunities due to
their special needs of time and dedication to their children, making it difficult to access the formal job
market.
Expected changes in well-being compared to the baseline scenario, including

changes in ecosystem services identified as important to local stakeholders
Considering that the surrounding community does not exploit resources (non-timber forest products or
others) within the project area, it is commonly understood that the operation of the business or the
project activities themselves will not negatively impact the ecosystem services associated with extractive
activities.
From the information collected, it is understood that there are no direct or indirect risks to local
stakeholders associated with project activities since there are no communities occupying areas internal
to the project properties, nor do they depend on the forest resources present there. Well-known benefits
of maintenance of forests are related to supporting and regulating ecosystem services, such as air quality
regulation, climate regulation, water regulation, protection against erosion, degradation process, soil
formation and regeneration, pollination, biological regulation, nutrients, and life-maintenance cycle,
protection of the gene pool (Loft, 2011). These projects have an immediate impact on the sustainable
development goals for 2030, defined by the United Nations, in the fight against hunger and poverty
eradication, improving the quality of education, access to health care, employability of the population,
and economic growth, reinforcing gender and equality issues, in addition to combating climate change
and protecting biodiversity.
59
No risks affecting the environment, biodiversity, and community are identified. However, regarding the
implementation of the project and the interface of the property and its activities with local stakeholders,
potential negative impacts were detected, of an indirect order due to the stages of project implementation
and the increased movement of unknown people in the region with a family group that inhabits an area
near the project property. As a mitigation measures, they have been informed about the realization of the
project and will also be informed about the dynamics of people movement that will occur on-site, as well
as participating in informational lectures related to REDD+ projects. Systemica's research team will keep
constantly consulting with them to avoid harmful risks and impacts, mainly associated with trade-offs
with food security, land loss, loss of yields, and climate change adaptation. Suppose any risk is reported
by the community or the other families via our previously mentioned ongoing communication channels
or observed by our local consultants during the project's life, including the design and consultation phase.
In that case, an investigative inquiry will be opened in Systemica's internal committee so that measures
can be taken.
Furthermore, no natural risk was observed in the project areas, such as fire, hurricanes, or other types,
according to the satellite image analysis and literature research. If any of these risks occur, mitigation
actions will be adopted to reduce their impacts. More details about these risks will be described in the
Non-Permanence Risk Report.
Location of communities, local stakeholders, and areas outside the project area
that are expected to be impacted by the project
Aware that there could also be other local actors for whom the development and execution of the project
may cause direct or indirect impact, other communities, such as indigenous and quilombola, recognized
traditional communities and settlements projects were identified through satellite images. The list of
these communities and their distance to the centroid polygon of the ABC-I1 project areas are identified
below in Table 2.4.
Table 2.4. Distance in straight line from the centroid of the ABC-I1 polygon from the indigenous
communities, quilombolas and settlements.
Classification of Communities
Distance
Indigenous Lands (km)
Apipica 74.34
Murutinga/Tracaja 63.52
Nhamundá/Mapuera 171.18
Paraná do Arauató 66.55
Patauá 81.36
Rio Urubu 31.30
60
Fortaleza do Patauá 188.44
Jatuarana 203.27
Jauary 67.30
Boa Vista – AM 62.49
Kaxuyana-Tunayana 164.47
Gavião 83.72
Waimiri-Atroari 188.61
Ponciano 90.42
Sissaíma 79.62
Trombetas/Mapuera 164.46
Quilombolas (Afro-Brazilian settlements) Distance

(km)
Abui, Parana do Abui, Tapagem, Sagrado Coração 253.10
Alto Trombetas Ii - Área Ii 278.14
Alto Trombetas Ii - Área I 299.38
Alto Trombetas - Área I 253.58
Boa Vista 325.35
Alto Trombetas - Área Ii 287.45
Rio Andirá (Parte 02) 212.42
Rio Andirá (Parte 01) 217.94
Tambor 346.15
Settlements Distance
(km)
PDS Novo Remanso 32.66
PAE Curupira 101.41
PDS Costa Da Conceição 54.84
PA Água Branca 89.13
PA Aliança 148.04
61
PDS Costa Do Iranduba 114.74
FLOE Floresta Estadual De Maués 138.46
PA Paquequer 109.82
PA Ipora 34.37
PAE Novo Jardim 119.75
PDS Lago do Tucunaré 123.81
PA Rainha 45.25
PA Engenho 32.91
RDS do Uatumã 32.63
PA Santo Antônio 90.94
PDS Amatarí 48.67
PDS Lago do Mira 130.21
PA Espigão do Arara 122.42
RDS Urariá 123.21
PDS Axinim 118.92
PDS Morena 60.39
PA Sampaio 101.70
PA Nazaré 58.75
PA Puraquequara 87.01
PA Uatumã 102.93
Communities (Rural Clusters) Distance

(km)
Comunidade Bom Sucesso 59.41
Puraquequara 92.56
Comunidade São Miguel 95.67
Vila de Urucurituba 92.57
Vila Vera Cruz 166.41
62
Vila Lindoia 20.72
Jatuarana 74.04
Vila Amanari 156.36
Vila do Engenho 49.55
Santo Antonio dos Moraes 174.07
Vila São Joso 158.43
Location of territories and resources that local stakeholders possess or to which

they have regular access
No local stakeholders profit from the resources produced by the project property, nor is there any
economic activity associated with the extraction of forest or biodiversity products within the project area.
Process of consultation and continuous communication channel
Communication and stakeholder engagement occurred through direct community contact around the
project area in November 2022. The people of Lindóia Village were visited by Systemica's research team,
who explained the project and provided the contact phone number, a WhatsApp number, and an e-mail
address to ensure multiple and continuous communication between the project’s responsible and
stakeholders. During this visit, a questionnaire was applied to carry out a socio-environmental diagnosis
with the external community to assess the project's impacts on their lives and their opinion about the
activities developed by the farm, working conditions, forms of organization, etc. In addition, it is worth
mentioning that concerning the institutional actors, an e-mail was sent informing the contact information
for discussing any arising questions about the project as well as the preliminary information about the
project itself, including an informative pamphlet, as mentioned before.
Experience of the team involved in the project

The team responsible for planning the activities, diagnosing, and analyzing the data comprises a multi-
skilled and multidisciplinary team. Attached is a complete description and experience of the Systemica
team25 and the contracted field employees (same as attached in Section 2.2) who executed the meeting
with local communities and the field surveys.
3 APPLICATION OF METHODOLOGY
3.1 Title and Reference of Methodology
25 Annex: Systemica_experience.pdf
63
This project is based on VCS Methodology VM0007, Version 1.6, approved 8 September 2020, entitled
“REDD Methodology Framework (REDD-MF)” (VERRA, 2020a).
This REDD+ Methodology Framework document is the basic structure of a modular REDD+ methodology.
It provides the generic functionality of the method, which frames pre-defined modules and tools that
perform a specific function. It constitutes, together with the modules and tools it calls upon, a complete
REDD+ baseline and monitoring methodology.
The modules and tools called upon in the VM0007 methodology are applicable to project activities that
reduce emissions from planned deforestation.
Furthermore, the specific modules and tools applied to the ABC project are listed below:
Carbon Pool Modules:
CP-AB, “VMD0001 Estimation of carbon stocks in the above- and belowground biomass in live tree and
non-tree pools”, Version 1.1, 11 October 2013 (VERRA, 2013).
CP-W, “VMD0005 Estimation of carbon stocks in the long-term wood products pool”, Version 1.1, 20
November 2012 (VERRA, 2012a).
Baseline Module:
BL-PL, “VMD0006 Estimation of baseline carbon stock changes and greenhouse gas emissions from
planned deforestation/forest degradation and planned wetland degradation”, Version 1.3, 8 September
2020 (VERRA, 2020b).
Leakage Modules:
LK-ASP, “VMD0009 Estimation of emissions from activity shifting for avoiding planned
deforestation/forest degradation and avoiding planned wetland degradation”, Version 1.3, 8 September
2020 (VERRA, 2020c).
LK-ME, “VMD0011 Estimation of emissions from market-effects”, Version 1.1, 9 March 2015 (VERRA,
2015).
Emissions Module:
E-BPB, “VMD0013 Estimation of greenhouse gas emissions from biomass and peat burning”, Version
1.2, 8 September 2020 (VERRA, 2020d).
Monitoring Module:
M-REDD, “VMD0015 Methods for monitoring of GHG emissions and removals in REDD and CIW projects”,
Version 2.2, 8 September 2020 (VERRA, 2020e).
Miscellaneous Modules:
X-STR, “VMD0016 Methods for stratification of the project area”, Version 1.2, 8 September 2020 (VERRA,
2020f).
64
X-UNC, “VMD0017 Estimation of uncertainty for REDD project activities”, Version 2.2, 8 September 2020
(VERRA, 2020g).
Tools:
T-ADD, “VT0001 Tool for the Demonstration and Assessment of Additionality in VCS Agriculture, Forestry
and Other Land Use (AFOLU) Project Activities”, Version 3.0, 1 February 2012 (VERRA, 2012b).
T-BAR, “VCS AFOLU Non-Permanence Risk Tool”, Version 4.0, 19 September 2019 (VERRA, 2019).
T-SIG, “CDM Tool for testing significance of GHG emissions in A/R CDM project activities”, Version 1.0
(CDM, 2007).
3.2 Applicability of Methodology

The project activity is responsible to reduce emissions from planned deforestation and is defined as a
REDD activity type, according to the VCS AFOLU Guidance document. By choosing the appropriate
modules based on the applicability conditions mentioned in each of the modules, a project-specific
methodology was constructed.
All Project Activities:
No land areas are registered under the CDM or under any other GHG program (both voluntary and
compliance-oriented). Therefore, no area must be excluded from the project area.
All REDD Activity Types:
This REDD activity for the ABC project is applicable due to the following conditions:
• Land in the project area has qualified as forest for at least the 10 years prior to the project start
date.
• Baseline deforestation in the project area fall within the categories of Planned
deforestation/degradation (VCS category APDD).
• Leakage avoidance activities do not include: i) Agricultural lands that are flooded to increase
production (e.g., rice paddy); ii) Intensifying livestock production through use of feed-lots and/or
manure lagoons.
Avoiding Planned Deforestation/Degradation:
Avoiding planned deforestation/degradation activities are applicable under the following condition:
Where conversion of forest lands to a deforested condition must be legally permitted.
All the conversion of forest lands to deforested conditions in the ABC project in the baseline scenario is
legally permitted (see Section 3.4). It is in accordance with the Brazilian Forest Law that allows the
landowner to legally suppress the forest areas. Hence, the project is classified as planned deforestation,
VCS APDD category.
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The leakage of an APDD project where the baseline deforestation agent is identified is defined by the
VMD0009 v1.3, estimating the total area of deforestation across all the lands managed by the baseline
deforestation agent.
The selected modules, along with their VCS site descriptions and applicability conditions, are detailed
below, showing their correspondence to the project-specific conditions:
Carbon Pool Modules:
VMD0001 Estimation of carbon stocks in the above- and belowground biomass in live tree and non-tree
pools (CP-AB), v1.1.
The ABC project meets the applicability condition of this tool because the project area is covered by forest
(see Section 3.4). This module allows for ex ante estimation of carbon stocks in above- and belowground
tree and non-tree woody biomass in the baseline case (for both pre- and post-deforestation stocks) and
project case and for ex post estimation of change in carbon stocks in above- and belowground tree
biomass in the project case. Uncertainty of estimates is treated in module X-UNC. Identification of
baseline (post-deforestation) land-uses and stocks is treated in module BL-PL. This module is applicable
to all forest types and age classes. Inclusion of the aboveground tree biomass pool as part of the project
boundary is mandatory as per the framework module REDD-MF. Non-tree aboveground biomass must be
included as part of the project boundary if the following applicability criteria are met (per framework
module REDD-MF):
• Stocks of non-tree aboveground biomass are greater in the baseline than in the project scenario, and
• Non-tree aboveground biomass is determined to be significant (using the T-SIG module). Belowground
(tree and non-tree) biomass is not required for inclusion in the project boundary because omission is
conservative.
VMD0005 Estimation of carbon stocks in the long-term wood products pool (CP-W), v1.1.
The ABC project meets the applicability condition of this tool because logging operations are expected to
happen in the baseline scenario before forest conversion to non-forest. This module allows for ex-ante
estimation of carbon stocks in the long-term wood products pool in the baseline case. Carbon stocks
treated here are those stocks entering the wood products pool at the time of deforestation. This module
is applicable to all cases where wood is harvested for conversion to wood products for commercial
markets, for all forest types and age classes. This module is applicable in the baseline if the wood
products pool is included as part of the project boundary as per applicability criteria in the framework
module REDD-MF, specifically:
• Timber harvest occurs prior to or in the process of deforestation, and where timber is destined for
commercial markets.
• The wood products pool is determined to be significant (using T-SIG).
Baseline Module:
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VMD0006 Estimation of baseline carbon stock changes and greenhouse gas emissions from planned
deforestation/forest degradation and planned wetland degradation (BL-PL), v1.3.
The ABC project area is defined as forest land that would be legally converted to non-forest land,
characterizing the project activity as Avoid Planned Deforestation. This tool was used to estimate the GHG
baseline emissions in the project. This module allows for estimating GHG emissions related to planned
deforestation, planned degradation and planned wetland degradation in the baseline case. The module
assesses GHG emissions within the project area for the baseline period. The module is applicable for
estimating the baseline emissions on forest lands (usually privately or government owned) that are legally
authorized and documented to be converted to non-forest land.
Leakage Modules:
VMD0009 Estimation of emissions from activity shifting for avoiding planned deforestation/forest
degradation and avoiding planned wetland degradation (LK-ASP), v1.3.
The ABC project met the applicability condition of this tool because the baseline scenario is the
conversion of legally authorized and documented forest lands to non-forest land. This module allows for
estimating GHG emissions caused by the activity shifting leakage of avoiding planned deforestation and
avoiding planned wetland degradation project activities. Also, as it was used the BL-PL module, the use
of the VMD0009 module is mandatory. Under these situations, displacement of baseline activities can
be controlled and measured directly by monitoring the baseline deforestation agents or class of agents.
VMD0011 Estimation of emissions from market-effects (LK-ME), v1.1.
In the ABC project, the wood extracted by deforestation would be sold to the market if the project did not
take place. Therefore, this module allows estimating GHG emissions caused by the market-effects
leakage related to the wood extraction for timber, fuelwood or charcoal in the baseline for carbon projects.
As per the VCS AFOLU Requirements consideration of international market leakage is not required. This
module is applicable for calculating market-effects leakage from REDD projects that are anticipated to
reduce levels of wood harvest substantially and permanently. When REDD project activities result in
reductions in wood harvest, it is likely that production could shift to other areas of the country to
compensate for the reduction, including activity shifting to forested peatland that is drained because of
project implementation. This tool shall be used in countries where wood harvest happens on forested
peatland regardless of the absence of peatland within the project boundary. As referenced in REDD-MF,
this module is mandatory (within the context of such methodology) where:
• The process of deforestation involves timber harvesting for commercial markets.
• The baseline is calculated using module BL-DFW and fuel wood or charcoal is harvested for commercial
markets.
This module should not otherwise be used in the context of REDD-MF.
Emissions Module:
VMD0013 Estimation of greenhouse gas emissions from biomass and peat burning (E–BPB), v1.2.
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This module is applied because the ABC project aims to estimate the GHG emissions generated in the
deforestation process in the baseline scenario. In addition, the other procedure is to monitor possible
GHG emissions from biomass burning during the project scenario caused by forest fires. The GHG
emissions from fires in the baseline and project scenario will be calculated using this module. This
module provides a step-wise approach for estimating GHG emissions from biomass burning (E biomassburn,i,t)
and peat burning (GHGpeatburn,i,t). This module is applicable to REDD project activities with emissions from
biomass burning and REDD-WRC project activities with emissions from biomass and/or peat burning.
Monitoring Module:
VMD0015 Methods for monitoring of greenhouse gas emissions and removals (M-REDD), v2.2.
The use of this module is mandatory for REDD project activities. This module provides methods for
monitoring ex-post emissions and removals of GHGs due to avoiding deforestation and forest
degradation, and carbon stock enhancement that has been induced because of REDD project
implementation within the project area and leakage belt and as a result of natural disturbances. This
module was originally developed for REDD project activities. It is also mandatory for use in CIW project
activities and for this purpose the following translation table must be used. Socio-economic processes
causing the degradation of wetlands are like those causing deforestation or forest degradation.
Therefore, for stand-alone CIW project activities (e.g., conservation of salt marshes without a tree
biomass component), similar methods for baseline determination can be used as for REDD project
activities (see Modules BL-UP and BL-PL). Strata as defined in the relevant baseline modules are fixed
and may not be changed without baseline revision. The module is mandatory for REDD, CIW-REDD, RWE-
REDD and stand-alone CIW project activities. Where selective logging is taking place in the project case:
• Emissions from logging may be omitted if it can be demonstrated the emissions are de minimis using
Tool T-SIG.
• If emissions from logging are not omitted as de minimis, logging may only take place within forest
management areas that possess and maintain a Forest Stewardship Council (FSC) certificate for the
years when the selective logging occurs.
• Logging operations may only conduct selective logging that maintains a land cover that meets the
definition of forest within the project boundary.
• All trees cut for timber extraction during logging operations must have a DBH greater than 30 cm.
• During logging operations, only the bole/log of the felled tree may be removed. The top/crown of the
tree must remain within the forested area.
• The logging practices cannot include the piling and/or burning of logging slash.
• Volume of timber harvested must be measured and monitored.
Miscellaneous Modules:
VMD0016 Methods for stratification of the project area (X-STR), v1.2.
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This module is mandatory because any module referencing strata i must be combined with this module.
The ABC project used the aboveground biomass stratification only for pre-deforestation forest classes,
and all the strata are the same in the baseline and the project scenario. The post-deforestation land uses
were not stratified, following this module requirements. This module provides guidance on stratifying the
project area into discrete, relatively homogeneous units to improve accuracy and precision of carbon
stock, carbon stock change and GHG emission estimates. Different stratifications may be required for
the baseline and project scenarios to achieve optimal accuracy of the estimates of net GHG emissions
or removals. In the equations used in the accompanying modules, the suffix i is used to represent a
stratum and the suffix M for the total number of strata (M WPS for the project scenario and M BSL for the
baseline scenario). In case of REDD, aboveground biomass stratification is only used for pre-
deforestation forest classes, and strata are the same in the baseline and the project scenario. Post-
deforestation land uses are not stratified. Instead, average post-deforestation stock values (e.g., simple
or historical area-weighted approaches are used, as per Module BL-UP).
VMD0017 Estimation of Uncertainty for REDD project activities (X-UNC), v2.2.
This module is mandatory for REDD+ project activities. This module allows for estimating uncertainty in
the estimation of emissions and removals in REDD and WRC project activities. Uncertainty in the
estimation of emissions and removals from ARR project activities is treated in the CDM tool Estimation
of carbon stocks and change in carbon stocks of trees and shrubs in A/R CDM project activities. The
module may also be used for project planning purposes. Use of the module while planning the project
can assure the monitoring is of sufficient intensity to minimize uncertainty deductions. The purpose of
the methodology is for calculating ex ante and ex post a precision level and any deduction in credits for
lack of precision following project implementation and monitoring. The module assesses uncertainty in
baseline estimations and in estimations of project sequestration, emissions, and leakage. This module
is mandatory when using methodology REDD+ MF. It is applicable for estimating the uncertainty of
estimates of emissions and removals of CO 2-e generated from REDD and WRC project activities. The
module focuses on the following sources of uncertainty:
• Determination of rates of deforestation and degradation.
• Uncertainty associated with estimation of stocks in carbon pools and changes in carbon stocks.
• Uncertainty associated with estimation of peat emissions.
• Uncertainty in assessment of project emissions.
Where an uncertainty value is not known or cannot be simply calculated, a project must justify that it is
using an indisputably conservative number and an uncertainty of 0% may be used for this component.
Guidance on uncertainty – a precision target of a 95% confidence interval half-width equal to or less than
15% of the recorded value must be targeted. This is especially important in terms of project planning for
measurement of carbon stocks; sufficient measurement plots should be included to achieve this
precision level across the measured stocks.
Tools:
69
VT0001 Tool for the Demonstration and Assessment of Additionality in VCS Agriculture, Forestry and
Other Land Use (AFOLU) Project Activities (T-ADD), v3.0.
According to the VM0007, this tool was used to identify credible alternative land use scenarios, evaluate
both alternatives, and demonstrate the project's additionality. For additional information see Section 3.5.
The ABC project meets the applicability conditions of this tool because the conservation and protection
activities of the project do not lead to violation of any applicable law. This tool provides for a step-wise
approach to demonstrate additionality in VCS AFOLU projects. Project proponents proposing new baseline
methodologies may incorporate this tool in their proposal. Project proponents may also propose other
approaches for the demonstration of additionality as set out in the most recent version of the VCS for
consideration under the VCS methodology approval process. In validating the application of this tool to a
proposed project activity, validation/verification bodies should assess credibility of all data, rationales,
assumptions, justifications, and documentation provided by project proponent(s) to support the selection
of the baseline and demonstration of additionality. The tool is applicable under the following conditions:
a) AFOLU activities the same or similar to the proposed project activity on the land within the proposed
project boundary performed with or without being registered as the VCS AFOLU project shall not lead to
violation of any applicable law even if the law is not enforced.
b) The use of this tool to determine additionality requires the baseline methodology to provide for a
stepwise approach justifying the determination of the most plausible baseline scenario. Project
proponent(s) proposing new baseline methodologies shall ensure consistency between the determination
of a baseline scenario and the determination of additionality of a project activity.
VCS AFOLU Non-Permanence Risk Tool (T-BAR), v4.0.
This tool is fully mandatory for the given project activity and must be used to determine the number of
buffer credits that shall be deposited into the AFOLU pooled buffer account.
CDM Tool for testing significance of GHG emissions in A/R CDM project activities (T-SIG), v1.0.
This tool is not mandatory and may be used to justify the omission of carbon pools and emission sources.
This tool facilitates the determination of which GHG emissions by sources, possible decreases in carbon
pools, and leakage emissions are insignificant for a particular CDM A/R project activity. The tool shall be
used in the application of an A/R CDM approved methodology to an A/R CDM project activity:
a) To determine which decreases in carbon pools, and increases in emissions of the greenhouse
gases measured in CO 2 equivalents that result from the implementation of the A/R project
activity, are insignificant and can be neglected.
b) To ensure that it is valid to neglect decreases in carbon pools and increases in GHG emissions
by sources stated as being insignificant in the applicability conditions of an A/R CDM
methodology.
3.3 Project Boundary
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Geographical boundaries
In its first instance, the Amazon Biome Conservancy Grouped REDD+ Project is composed of seven
properties as described in Section 1.12, summing to a total of 26,920.60 ha. The coordinates
represented by these properties composing the ABC-I1 are presented in Table 3.1. Vectorized data of the
project location is in the annex26 as a KML file. João Rogério de Souza owns the seven properties, and
the map with the properties’ area boundary and the project area is in Figure 3.1. It is also provided in a
kml annex the geographical boundaries within any future instance added to the ABC project must be27.
Figure 3.1. ABC properties and project area.
The project area of ABC-I1 is located only inside the Lote Felicidade one of the seven project properties.
This property has 8,857.70 ha, being 5,140.20 ha designated to compose the project area, almost exactly
to 20% of the total 26,920.6 ha. Details about the properties and project area (instance, properties, total
area, project area, and geodetic coordinates) are in Table 3.1.
26 Annex: project_area_ABC.kml
27 Annex: Geographical_boundaries_ABC_Grouped_Project.kml
71
Table 3.1. ABC Properties and project area.
Project Geodetic coordinates

Total Area Project
Activity Properties
(ha) Area (ha)
Instance Longitude Latitude
Lote 80 3 035.80 - 59° 1’ 15.13’’ W 2° 44’ 56.78’’ S
Lote 81 2 985.70 - 59° 3’ 10.23’’ W 2° 47’ 34.12’’ S
Lote 84 3 009.80 - 59° 1’ 31.89’’ W 2° 40’ 43.07’’ S
Lote 93 3 008.60 - 59° 7’ 31.66’’ W 2° 44’ 22.01’’ S
ABC-I1
Lote 94 3 011.50 - 59° 9’ 40.76’’ W 2° 42’ 44.42’’ S
Lote 95 3 011.50 - 59° 7’ 46.06’’ W 2° 40’ 6.856’’ S
Lote
8 857.70 5,140.20 59° 4’ 46.47’’ W 2° 43’ 36.96’’ S
Felicidade
Total 26 920.60 5,140.20 - -
Regarding leakage boundaries, and according to VMD0009 v1.3 (LK-ASP), leakage emissions due to
activity shifting from forestlands that are legally authorized and documented to be converted to non-
forest land, the identified areas of the landowners are in the annex28, which will be subject to monitoring
possible activity shifting by this agent to other areas under its management.
Temporal Boundaries
Start Date and End Date of the Historical Reference Period

The project has a historical reference period of 10 years, from 2011 until 2021. For the proxy areas, the
historical reference period is also 10 years, from 2011 until 2021.
Start Date and End Date of the Project Crediting Period

The ABC grouped REDD+ project started on 19/11/2022. This date represents the effective date on
which the project began generating GHG emissions reduction in the project area. The project has a
crediting period of 30 years, starting on 19/11/2022 to 18/11/2052. The period of 30 years is
equivalent to the commitment made by the ABC-I1 landowners for the minimum conservation time of
28 Annex: Landowner_areas_leakage.pdf
72
their project areas, the same period for the longevity of ABC-I1. The first baseline has a period of 10
years, starting on 19/11/2022 to 18/11/2032.
Duration of the Monitoring Periods

The ABC REDD+ project has a monitoring period with a minimum duration of 1 year and the maximum
duration of 5 years.
Carbon Pools
Table 3.2 shows the relevant carbon pools considered by the ABC project, according to the VM0007 and
the modules VMD0001, VMD0002, VMD0003, VMD0004, and VMD0005.
Table 3.2. ABC Carbon pools.
Carbon Pools Included? Justification/Explanation
Aboveground Included Mandatory for REDD projects according to VM0007. Carbon stock
tree biomass change is always significant.
Aboveground Excluded Conservatively omitted.

non-tree
biomass
Belowground Included Optional according to VMD0001. Carbon stock change is

tree biomass significant to the project.
Deadwood Excluded Conservatively omitted.
Litter Excluded Optional according to VM0007. Conservatively omitted.
Soil organic Excluded Optional according to VM0007. Conservatively omitted.

carbon
Wood products Included Mandatory for the given project activity where the process of
deforestation involves timber harvesting for commercial markets.
Sources of Greenhouse Gas Emissions

Table 3.3 shows the relevant sources of GHG emissions considered by the ABC project, according to
VM0007.
Table 3.3. ABC Sources of Greenhouse Gas Emissions.
Source Gas Included? Justification/Explanation
CO2 Included Carbon emitted through the planned area for

Baseline
Burning of deforestation.
woody
biomass CH4 Included Methane emissions during burning of the biomass for
land clearance
73
Source Gas Included? Justification/Explanation
N 2O Included Nitrous oxide emissions during burning of the biomass

for land clearance
CO2 Excluded -
Combustion
of fossil CH4 Excluded -
fuels
N 2O Excluded -
CO2 Excluded -
Use of
CH4 Excluded -
fertilizers
N 2O Excluded -
CO2 Included Carbon emitted through the planned area for

deforestation.
Burning of
CH4 Included Methane emissions during burning of the biomass for
woody
land clearance
biomass
N 2O Included Nitrous oxide emissions during burning of the biomass
for land clearance
Project
CO2 Excluded -
Combustion
of fossil CH4 Excluded -
fuels
N 2O Excluded -
CO2 Excluded -
Use of
CH4 Excluded -
fertilizers
N 2O Excluded -
3.4 Baseline Scenario

This section was developed according to the VMD0006 v.1.3 (BL-PL module) and the VT0001 v.3.0 tool
criteria. That module and this tool provide a stepwise approach for determining the most plausible
baseline scenario and the annual area of planned deforestation.
Agent of Planned Deforestation

According to the VMD0006 Section 1.1, the agent of deforestation is an already defined individual,
organization, or corporation in the simplest scenario. For this first project activity instance in the ABC
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grouped Project, the organization R M INDUSTRIA E COMERCIO DE MADEIRAS LTDA29 is the defined
company with the business license for timber extraction 30.
For the inclusion of new instances in the ABC project, the agent must be a defined individual,
organization, or corporation.
Area of Deforestation
The ABC-I1 has an immediate site-specific threat of deforestation, which is concrete and would lead to
deforestation within a defined period of time. To demonstrate the threat of deforestation and the area of
deforestation (Aplanned,i), the BL-PL module requires documentary proof of the (i) legal permissibility for
deforestation; (ii) suitability of project area for conversion to alternative non-forest land use; (iii)
government approval for deforestation; and (iv) intent to deforest.
Legal permissibility for deforestation

According to the Forest Code (Law 12.651, Brasil (2012b)) the landowner must maintain at least 80% of
the native vegetation coverage as a Legal Reserve.
CHAPTER IV
FROM THE LEGAL RESERVE AREA
Section I
From the Delimitation of the Legal Reserve Area
Art. 12. Every rural property must maintain an area with native vegetation cover, as a Legal Reserve,
without prejudice to the application of the rules on permanent preservation areas, observed the following
minimum percentages in relation to the area of the property, except for the cases provided for in art. 68
of this Law:
I - located in the Legal Amazon:
a) 80% (eighty percent) of the property located in a forested area;
b) 35% (thirty-five percent) in the property located in a Cerrado area;
c) 20% (twenty percent), in the property located in an area of campos gerais;
The properties of the ABC-I1 are in a forested area in the Legal Amazon, which requires the conservation
of at least 80% native vegetation.
CHAPTER V
FROM VEGETATION SUPPRESSION FOR ALTERNATIVE LAND USE
29 Annex: Wood_Company_ABC-I1.pdf
30 Annex: Business_licence_ABC-I1.pdf
75
Art. 26. The suppression of native vegetation for alternative land use, both in the public and private
domains, will depend on the registration of the property in the CAR, what art. 29 deals with, and prior
authorization from the competent government department of SISNAMA. (Law 12.651, Brasil (2012b))
All the properties in this project are in legal compliance with the requirements described above and stated
in Section 1.14 Compliance with Laws, Statutes, and Other Regulatory Frameworks.
Suitability of project area for conversion to alternative non-forest land use

To determine de suitability of the ABC-I1 area for conversion to alternative non-forest land use, there were
evaluated the accessibility of the lands to relevant markets (Figure 3.2), the suitability of soil for cattle
ranching (Figure 3.3), the topography of the region (Figure 3.4), the slope (Figure 3.5) and the climate
(Figure 3.6).
The ABC-I1 area is relatively close to relevant roads, warehouses, and slaughterhouses. This proximity to
such markets facilitates agricultural, livestock, and timber operations.
Figure 3.2. ABC-I1 Accessibility to relevant markets.
According to Section 1.13, Itacoatiara and Silves municipalities, project region, are in the structural
provinces (i) Amazonas-Solimões and (ii) Cenozoic Coverages, and in the sub-provinces (i) Alter do Chão
and (ii) Indiscriminate Cenozoic Coverages. More than 80% of both municipalities’ territories are covered
by these sub-provinces (BDiA, 2022a). According to IPEAN (1969), the geological formation of these
regions is given by sedimentary formations of the Tertiary and Quaternary periods, more specifically by
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the morphostructural domains (i) Phanerozoic Basins and Sedimentary Covers and (ii) Quaternary
Sedimentary Deposits (BDiA, 2022b). Regarding the geomorphological units, more than 65% of both
municipalities’ territories are inserted in the Rio Negro-Rio Uatumã Dissected Plateau, and Amazon Plain
(BDiA, 2022b).
The project region is formed by Argisoil, Gleisoil, Latosoil, Neosoil, and Plintosoil. However, the seven
properties’ areas and the project area are only formed by Latosoil (Figure 3.3). This soil type is typical of
tropical regions and occupies around 39% of the total area of the country – Brazil. It is highly weathered
soil with no clay increment in-depth, and Its colors vary from reddish, brownish, or yellowish (Embrapa,
2022).
Figure 3.3. ABC-I1 Soil types.
According to Section 1.13, the properties areas’ slope predominantly ranges from 5 to 15%, although
slopes between 15 to 20% are found, mainly in the Lote 84 (Figure 3.5). The elevation in the same area
ranges from 0 to 210 meters (Figure 3.4). Topography is often related to physical and chemical soil
variations that are often reflected by vegetation.
77
Figure 3.4. ABC-I1 Topography.
78
Figure 3.5. ABC-I1 Slope.
As described in Section 1.13, the project region’s climate is classified as Equatorial rainforest (Af) and
Equatorial monsoon (Am) according to the Köppen-Geiger classification (Kottek et al., 2006). However,
all property areas’ territory is covered only by Af climate (Figure 3.6). The total annual precipitation of this
climate category exceeds 2,000 mm (McKnight & Hess, 2000), with monthly minimum rainfall over 60
mm, and temperatures above 18 °C (Brune, 2021). According to INMET (2022), the total precipitation
between 1991 to 2020 was 2,543.80 mm, with the rainiest months being from December to May. The
average temperature for the same period was 27.34 °C.
79
Figure 3.6. ABC-I1 Climate.
Both for agricultural production and logging, as well as for pastures and livestock, the characteristics of
the project instances region are suitable for the conversion the forest to non-forest land use. In addition,
given the high annual rainfall, as well as temperatures in the range of 27ºC, and low slope, such
characteristics are ideas for good livestock productivity.
Government approval for deforestation

Recent approval from the relevant government department for the conversion of forest to alternative land
use, or at least, the documentation that a request for approval has been filed with the relevant
government department for permission to deforest and convert to alternative land use, is required as an
eligibility criterion for the inclusion of new project activity instances and will be presented in the annex of
this project. (Law 12.651, 2012; Brasil (2012b))
By law, for the suppression of vegetation to occur, government approval is required. The protocols and
approval process may vary between States and environmental agencies in the Legal Amazon, therefore,
the documents required for each property in this grouped project may vary as well. All the relevant
protocols and approvals will be available for the auditor, in the annex of this project.
Intent to deforest
80
A legal plan for the suppression of vegetation31 must be submitted to the relevant environmental agency
and then approved by the agency, allowing the organization to deforest the area, to explore the land for
non-forest economic uses. Each property of the ABC project has its specific related documents. The
existence of these documents represents the intent to deforest.
Rate of Deforestation
The rate of deforestation (D%planned,i,t) is given by the plan for the suppression of vegetation and is equal
to 10% per year of the total area of ABC-I1.
Likelihood of Deforestation
Considering that the forest areas are not under government control, the likelihood (L-Di) of deforestation
is equal to 100%.
Risk of Abandonment
There were identified 6 proxy areas (Figure 3.7) – with approximate sizes to the areas of the ABC-I1 – all
located within a radius fewer than 180 kilometers from the ABC-I1 areas and distributed in the
municipalities of Manaus, Itacoatiara, Anamã, Barreirinha, and Manicore, according to VMD0006 v.1.3
criteria, of which these areas should be in the immediate area of the project.
31 Annex: Supression_Plan_ABC-I1.pdf
81
Figure 3.7. Identification of the proxy areas.
All areas were deforested for livestock activity at least ten years earlier, for this analysis, data from
PRODES were used (TerraBrasilis, 2021). Deforestation identified in Table 3.4 refers to the period from
2007 to 2011. According to the BL-PL module, deforestation in the proxy area must have occurred in the
10 years prior to the baseline period, under the same criteria as the ABC-I1 lands, and the proxy areas
selected meet this criterion, where the deforested percentage is less than 20% of the total property area.
Table 3.4. Deforestation information of proxy areas.
Ratio
Number Deforestation
Property name Longitude Latitude Area [ha] deforestation
area [ha]
[%]
Fazenda União Area 1 347092.34 9599774.46 2 707.41 435.23 16
Fazenda
Area 2 475112.19 9669216.59 2 372.40 354.63 15
Queimadas
Fazenda Lago
Area 3 659140.79 9603080.51 1 977.71 154.20 8
Formoso I
Fazenda
Area 4 468073.18 9654116.23 3 674.82 258.20 7
Marinheiro
Fazenda
Area 5 819447.39 9668066.06 1 939.37 99.69 5
Tarumã I
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Ratio
Number Deforestation
Property name Longitude Latitude Area [ha] deforestation
area [ha]
[%]
Fazenda São
Area 6 764858.41 9408289.37 1 481.54 118.14 8
Sebastião
According to data from MapBiomas Collection 7 (MapBiomas, 2021), these areas maintained land use
for the period 2011 to 2021 over 10 years (Figure 3.8), as shown in the images below. The land
conversion practices identified were the same as those used by the baseline agent, and the post-
deforestation land use identified was livestock.
Figure 3.8. Land use of proxy areas.
Of these 6 properties, we selected the 5 proxy areas with the highest rate of permissibility (lower rate of
deforestation) to study, from 2011 to 2021, the dynamics of land use classes and changes in land use
in these areas. Below, the histogram of each of the areas shows that livestock has had consolidated and
constant use in the last 10 years (Figure 3.9).
83
25000 45000
40000
20000 35000
Frequency
Frequency
30000
15000 25000
20000
10000
15000
5000 10000
5000
0 2014 0
2015
2016
2017
2018
2019
2020
2021
2021
2011
2012
2013
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
Year Year
Pasture Grassland Forest Formation Pasture Grassland Forest Formation

a b
35000 20000
30000
15000
25000
Frequency
Frequency
20000
10000
15000
10000
5000
5000
0 0
2014
2015
2016
2017
2018
2019
2020
2021
2011
2011
2012
2013
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
Year Year
Forest Formation Pasture Grassland Forest Formation Pasture Grassland

c d
16000
14000
12000
Frequency
10000
8000
6000
4000
2000
0
2012
2011
2013
2014
2015
2016
2017
2018
2019
2020
2021
Year
Forest Formation Pasture Grassland

e
Figure 3.9. Histogram of Fazenda Queimadas’s land use (a); Histogram of Fazenda Lago Formoso
I’s land use (b); Histogram of Fazenda Marinheiro’s land use (c); Histogram of Fazenda Tarumã
I’s land use (d); Histogram of Fazenda São Sebastião (e).
84
Deforestation agents around proxy areas have the same characteristics found in the proximity of the
project area: nearby highways, refrigerators, warehouses, and nearby communities. This proximity to such
markets facilitates agricultural, livestock, and timber operations (Figure 3.10).
Figure 3.10. Accessibility to relevant markets.
It was verified the conditions of regrowth of native vegetation in the proxy areas, between 0% to 1% in
relation to the area of the property in the last 10 years, thus it can be concluded that it is related to
noises of classification and management, and not abandonment of the area.
Proxy areas have the same type of land management and land use since they are not located in
Conservation Units of Integral Protection and Indigenous Lands, as demonstrated in Figure 3.11.
85
Figure 3.11. Proxy area location in relation to public lands.
The three conditions of similarity proposed by VMD0006 are met. The forest type around the proxy area
and in the proxy area before deforestation is Ombrophilous Forest of dense canopy in 100% of the area,
as shown in Figure 3.12.
86
Figure 3.12. Proxy areas type of vegetation.
The type of soil found in the proxy areas is suitable for livestock in the region, the project area is covered
100% of Latosoil, the same soil is present in 100% of proxy areas, and in the same proportion as ABC-I1
area (Figure 3.13).
87
Figure 3.13. Proxy areas type of soil.
The proportion of "soft" slope classes (slope <15%) to "steep" (slope ≥15%) in proxy areas is equal to the
ratio in the project area, likewise the elevation classes (500m classes) in these proxy areas are in the
same proportion found in the project area. Therefore, 100% of the areas are situated in topographic
conditions 100% similar, in slope less than or equal to 15% and at altitudes of 500 meters, as illustrated
in the Figure 3.14 and Figure 3.15. It is worth mentioning that these conditions are also favorable for the
development and management of livestock.
88
Figure 3.14. Slope ranges identified, in percentage, in proxy areas.
89
Figure 3.15. Altitude ranges identified, in meters, in proxy areas.
Annual Area of Deforestation

The total area that will be deforested is equal to 5,140.20 ha, and according to the rate of deforestation
of 10% per year, the annual area of deforestation (AA planned,i,t) would be equivalent to 514.02 ha/year.
3.5 Additionality
The project additionally assessment was carried out according to the most recent version of the VCS tool
“VT0001 – Tool for the Demonstration and Assessment of Additionally in VCS Agriculture, Forestry and
Other Land Use (AFOLU) Project Activities, version 3.0, 1 February 2012, Sectorial Scope 14.
Both applicability conditions from the tool are met because the project AFOLU activity the same or similar
to the proposed project activity on the land within the proposed project boundary performed with or
without being registered as the VCS AFOLU project does not lead to violation of any applicable law even
if the law is not enforced.
Step 1. Identification of alternative land use scenarios to the proposed VCS AFOLU
project activity
Sub-step 1a. Identify credible alternative land use scenarios to the proposed VCS AFOLU
project activity
90
All realistic and credible land use scenarios were identified considering relevant national and/or sectoral
policies and circumstances, such as historical land uses practices and economic trends. The list of
credible alternative land use scenarios that would have occurred on the land within the project boundary
of the VCS AFOLU project is described below:
i. Continuation of the pre-project land use (Business as Usual Scenario).

This scenario involves the landowner’s planned deforestation to explore the commercial uses of timber
products and other non-forest economic activities. The planned deforestation is, according to the national
forest code, allowed to occur in 20% of the area located in the Amazon rainforest. For deforestation to
occur it is necessary to submit a request for the suppression of vegetation to the competent
environmental department, together with the plan for the suppression of vegetation, and with subsequent
authorization from the environmental department, represented by the Single Environmental License
(LAU).
The main activities that cause deforestation in the Legal Amazon region are livestock and logging when
carried out intensively, and without proper management practices (Ferreira et al., 2015; Morales et al.,
2021). In these deforestation processes, the first step is normally clear-cutting and logging. It is estimated
that only 35% (yield) of this timber is converted into long-term wood products (IBAMA, 2016), and the
non-merchantable timber that stays in the field is usually accumulated and burnt before the installation
of pasture or agricultural activities. Most carbon emissions from baseline activities occur during this
operation.
In the Itacoatiara and Silves municipalities, livestock and logging are important economic activities.
According to the IBGE (2021), these regions are in the 7th and 22nd positions of the state ranking, with
39,622 ha and 5,974 ha (equivalent to 4.5% and 1.6% of the total municipalities' areas) occupied with
pasture, respectively (MapBiomas, 2021). Furthermore, these two municipalities occupy the 4th and 6th
positions of the state ranking, due to their extraction of wood in the log being 85,000 m³ and 72,000 m³,
respectively IBGE (2021). Notwithstanding, these activities are also the major agents that increase
deforestation in regions.
According to IPAAM32, since 2018 there were already 645 LAUs emitted in other to approve the request
for the suppression of vegetation in the Amazonas State (region of ABC-I1 areas), in which, in 2021, the
largest approved area for deforestation was identified, equivalent to 36,052 ha. As the main project
activity involve avoiding the planned deforestation, all project activity instance has presented their
protocol for deforestation and the subsequent LAU, which authorizes legal deforestation on land, which
demonstrates the credibility of the presented scenario.
Also, according to Freitas Junior and Barros (2021), the regions in the Legal Amazon presented higher
livestock growth rates (from 1990 until 2015) than other regions in Brazil, a fact that evidence the
process of expansion of bovine production in the region. Several elements contribute to this growth,
which the author mentions with emphasis on the opening of roads, the establishment of tax incentives,
32 Annex: LAU_Supressão_IPAAM_2018-2022
91
and subsidized rural credit. As well as adequate weather conditions, with more uniform temperatures
and less severe periods of drought than the other country’s regions. Cattle ranching has grown in the
region also because it tends to be more profitable than other regions due to low land prices and higher
pasture productivity (IMAZON, 2015).
ii. Project activity on the land within the project boundary performed without being registered
as the VCS AFOLU project.
This scenario involves the maintenance of the preserved forest area by the landowners, with sustainable
activities occurring in the project area, without any source of supplementary income. Monitoring and
surveillance measures, taken by the landowners, will be made to privilege primarily their legal reserve
(80% of the property), then to avoid any eventual external agent’s land invasion. Such measures were
presented in Section 1.11. Description of the Project Activity of this PD, which involve:
• Patrolling and surveillance activities are taken by employees with this specific task. Monitoring
bases and the necessary equipment (food, water, motorcycles, mobile phones) will be provided
to support with the task.
• Satellite monitoring will be done to identify fire alarms disclosed by the MapBiomas Alert data.
Geospatial analysis can help to anticipate fires by tracking their advances. A deforestation
pattern or regions with higher risk near the properties can be identified and provide information
to create a mitigation plan.
• Leakage control is done by the project proponent together with the landowner to prevent potential
carbon loss in the leakage area, which will be based on a cooperative effort with local
stakeholders to promote a new approach to forest use and land use in the region.
Although being an interesting scenario, it also has the important characteristic of being completely
financed by the landowners, which wouldn’t receive any kind of additional revenue executing those
actions.
iii. Logging being conducted through Sustainable Forest management.

Logging in the State of Amazonas is a practice that occurs both legally and illegally. This is because the
related environmental legislation is systematically not enforced, and for that logging would take place
through or not the approval of the sustainable forest management plan. In a study conducted by Sistema
de Monitoramento da Exploração de Madeira - Simex (IMAZON, 2022), it was detected in the State of
Amazonas the timber farm for an area of 14,976 ha in the period (Aug/2020 – Jul/2021), being 14% of
the total area legally exploited. While of the unauthorized activity, most of it was identified within
registered rural properties (40,9% of total illegal logging) (IMAZON, 2022).
The landowners of ABC-I1 will already explore their legal reserve, conducting logging activities through
their timber companies. According to the legislation on the subject, there is the possibility to execute
forest management activities in the forest areas from a Legal Reserve (80% of the property) and the
other 20% (equivalent to the project area). In this scenario, the landowner would have to develop and
approve a sustainable forest management plan under the competent environmental agency to explore
the area.
92
Executing forest management to benefit from timber resources is an expensive activity but that would
generate some revenue for the landowners and increase their land value. Those resources could be used
to maintain the integrity of the rest of the forest area once it would start to have economic value. Although
this is not the most viable economic scenario for the project area, it would still be a plausible scenario,
given the possibility and the infrastructure for the treatment and sale of timber products in the region,
combined with a growing demand for sustainable products.
According to the legislation on the subject, there is the possibility to execute forest management activities
in the forest areas from a Legal Reserve (LR) inside an APA. In this scenario, the landowner would have
to develop and approve a sustainable forest management plan under the competent environmental
agency to explore his legal reserve area. Executing forest management to benefit from timber resources
is an expensive activity but that would generate some revenue for the landowners. Those resources could
be used to maintain the integrity of the forest area once it would start to have economic value. Actions
to prevent illegal deforestation would be easier to take than such as patrolling and satellite monitoring,
maybe not as strong and effective as in scenario (ii), but much better than doing nothing as in scenario
(i).
Sub-step 1b. Consistency of credible land use scenarios with enforced mandatory applicable
laws and regulations
Considering the three credible alternative land use scenarios from sub-step 1a, a demonstration of
compliance with all mandatory applicable legal and regulatory requirements was made in the next
paragraphs.
i. Continuation of the pre-project land use (Business as Usual Scenario).

Maintaining the planned activities for the project area before the ABC project, the landowners would
continue to be in accordance with the pertinent legislation, already detailed in Section 1.14. Both
landowners have the rights to explore 20% of their lands in the most appropriate way they decide to,
according to the Brazilian Forest Code, that’s what they plan to do and would continue to execute in this
scenario. The planned activities for the project area involves the suppression of the vegetation followed
by non-forest economic uses (e.g., cattle ranching and soybeans production).
ii. Project activity on the land within the project boundary performed without being registered
as the VCS AFOLU project.
In terms of compliance, in the same way as scenario (i) both landowners from the ABC-I1 comply with the
legality already described in Section 1.14. Besides the economic activities done in 80% of their lands,
the additional activities executed to avoid invaders do not imply compliance with any legislation that has
not already been complied with.
iii. Logging being conducted through Sustainable Forest management

The Brazilian Forest Code (Law Nº 12,651, 2012, Brasil (2012b)) allows forest management practices
inside the LR area of rural property, and there is no legal boundary to implement sustainable forest
management practices in 20% of the property, after a Sustainable Forest Management Plan has been
approved, meaning that additional revenues could be generated by the landowner.
93
Some important articles state that:
“Art. 17. The Legal Reserve must be conserved with native vegetation cover by the rural property owner,
owner or occupant in any capacity, individual or legal entity, public or private law.
§ 1 The economic exploitation of the Legal Reserve is admitted through management

sustainability, previously approved by the competent body of SISNAMA, in accordance with the
modalities provided for in art. 20.
(…)
Art. 20. In the sustainable management of the forest vegetation of the Legal Reserve, practices of
selective exploitation adopted in the modalities of sustainable management without purpose commercial
for consumption on the property and sustainable management for forest exploitation with commercial
purpose.
(…)
Art. 22. Sustainable forest management of the Legal Reserve vegetation with purpose commercial activity
depends on authorization from the competent body and must comply with the following guidelines:
I – do not de-characterize the vegetation cover and do not harm the conservation of the native
vegetation of the area;
II - ensure the maintenance of species diversity;
III - conduct the management of exotic species with the adoption of measures that favor the
regeneration of native species.”
Sub-step 1c. Selection of baseline scenario

Based on the baseline scenario described in Section 3.4 and all the common practices and the BAU
scenario, the most credible scenario for ABC-I1 to happen without the revenue of the carbon credits
would be scenario (i), the continuation of the pre-project land use scenario.
Scenario (ii) is easily rejected considering that it would add only costs to the landowners, and no
additional revenue to them.
Scenario (iii) was discarded mainly because scenario (i) presents more possibilities of non-forest
economic uses for land, with higher potential for economic gains in the short, medium, and long term.
Step 2. Investment analysis

The proposed project activity, without the revenue from the sales of VCUs, is financially less attractive
than scenario 1 (defined as the BAU scenario), to demonstrate that, according to VT0001 (VERRA,
2012b), an investment analysis will be performed.
Sub-step 2a. Determine appropriate analysis method
94
According to VT0001 (VERRA, 2012b), to determine whether to apply simple cost analysis, investment
comparison analysis or benchmark analysis, it’s required to identify if the VCS AFOLU project generates
no financial or economic benefits other than VCS related income.
As the VCS AFOLU project generates financial or economic benefits other than VCS related income, it was
applied the simple cost analysis (Option I).
Sub-step 2b. – Option I. Apply simple cost analysis

The costs to implement REDD+ activities involve community engagement, monitoring and surveillance of
the property’s areas against illegal squatters, a decent infrastructure for the local workers, etc. All the
most relevant costs for implementing structured monitoring, surveillance, and fire protection system were
identified in partnership with the landowners and are described in Table 3.5 and Table 3.6 below.
Table 3.5 General CAPEX for infrastructure and equipment.
CAPEX Unit cost [R$] Units required Total cost [R$]

Vehicles 300 000.00 1 300 000.00
Main surveillance building and 20 000.00 2 40 000.00
ancillary surveillance point
Energy generator 4 500.00 2 9 000.00
Motorcycle 25 000.00 2 50 000.00
Signaling plate 300.00 20 6 000.00
Fire brigade equipment kit 3 000.00 12 36 000.00
Table 3.6 General OPEX for maintaining the surveillance and monitoring system.
OPEX Annual cost/unit Units required Total annual cost

[R$] [R$]
Field team 21 600.00 8 172 800.00
Motorcycle fuel 1 200.00 2 2 400.00
Generator fuel 14 600.00 2 29 200.00
Vehicles fuel 1 680.00 1 1 680.00
Surveillance and patrolling 21 600.00 2 43 200.00
Courses and Training - Fire brigade 20 000.00 4 80 000.00
Remote monitoring 65 000.00 1 65 500.00
(Satellite imagery)
Social survey and community 35 000.00 1 35 000.00
engagement
Considering that the AFOLU Project activity does not generate any financial or economic benefits other
than VCS related income, without the revenues of carbon credits, a systematic conservation activity for
the areas would not be possible to occur.
95
Step 3. Barrier Analysis

The VT0001 (VERRA, 2012b) requires investment analysis (Step 2) or Barrier Analysis (Step 3). In this
case, we opted for the Investment Analysis, already described in Step 2.
Step 4. Common practices analysis

The practice of implementing a structured monitoring system by private landowners in the Amazon
without the benefit of carbon credits is a rare practice, being commonly observed on public lands, by
measures adopted by the State Governments for biodiversity conservation.
The SNUC law allows the creation of conservative units in private lands (e.g. Private Reserve of Natural
Heritage - Reserva Particular do Patrimônio Natural - RPPN), other mechanisms such as environmental
servitude (Law Nº 6,938, 1981 (Brasil, 1981b)) and payment for environmental services (Law Nº 14,119,
2021 (Brasil, 2021)) can be seen as mechanisms for preserving and encouraging owners to take similar
measures, however less effectively compared to a REDD+ project.
In the case of Environmental servitude, there are some possible benefits limited to the 20% of the land
that the landowner has the right to explore, if implemented the conversion of the area to conservation
matters, as an extension of its legal reserve. However, the financial and legal benefits do not exceed the
opportunity cost of the local market (e.g., timber, livestock, and agriculture). Therefore, there are severe
differences between the conservation mechanisms presented by the environmental servitude versus the
proposed VCS AFOLU Project.
The implementation of payment for environmental services in the region is not yet effective to implement
the proposed VCS AFOLU project activities, as the financial barrier exists while this is a recent mechanism
in the Amazonas State.
According to the Brazilian government, the RPPN are important because contribute to the expansion of
protected areas in the country; have highly positive indices for conservation, especially if considered the
cost and benefit ratio; are easily created in relation to the other categories of UC; enable the participation
of private initiative in the national conservation effort; contribute to the protection of the biodiversity of
Brazilian biomes. The general benefits of adhering to the program are preserved property rights;
exemption from the ITR related to the area created as RPPN; priority in the analysis of projects by the
National Environment Fund (FNMA); preference in the analysis of agricultural credit applications, with
official credit institutions, for projects to be implemented in properties that contain RPPN in its perimeter;
possibilities of cooperation with private and public entities in the protection, and management of the Unit
(ICMBio, 2020). Despite being apparently beneficial to landowners, the creation of an RPPN on the
property is ineffective to stop local deforestation, considering both the high cost of opportunity in the
face of cattle ranching, as well as the dismantling of environmental agencies seen in recent years in
Brazil. It is also a mechanism that presents essential distinctions between the proposed AFOLU project
activity, as the resources from the RPPN are insignificant given the REDD+ project costs, and there is no
MRV-A system that would give the landowner any capability in implementing a structured monitoring and
surveillance system around the properties. Furthermore, no RPPN records were found in Itacoatira nor in
Silves (ICMBio, 2022).
96
The main alternative mechanism for carbon credit in the Amazon comes from the Amazon Fund, which
“is a REDD+ mechanism created to raise donations for non-reimbursable investments in efforts to
prevent, monitor and combat deforestation, as well as to promote the preservation and sustainable use
in the Brazilian Amazon” (FundoAmazonia, 2022). However, there are some fundamental differences
between the accounting and financing mechanism of projects available in Amazon fund versus the VCS
REDD+ projects. In the first one, the project would only be possible if it was provided within the available
budget of the fund, furthermore, the mechanism of accounting for the GHG emissions reductions adopts
different MRV-A mechanisms, besides that the program has had no more projects approval since 2019
(CNN, 2022).
As it’s possible to observe there are some forest conservation mechanisms available in the market with
a limited applicability range, and with essential distinctions between the proposed VCS AFOLU project
activity and with low effectiveness in avoiding the planned deforestation for the 20% of the property in
the Amazon biome, the proposed VCS AFOLU project activity is not the baseline scenario and, hence, the
ABC REDD+ Grouped Project is additional.
3.6 Methodology Deviations

No methodology deviations were made in the design and development of the project until the completion
of this document.
4 QUANTIFICATION OF GHG EMISSION

REDUCTIONS AND REMOVALS
4.1 Baseline Emissions
Baseline emissions are estimated according to VM0007 v1.6 - REDD+ Methodology Framework (REDD+
MF) and VMD0006 v1.3 - Estimation of baseline carbon stock changes and greenhouse gas emissions
from planned deforestation/forest degradation and planned wetland degradation (BL-PL). This module
allows estimating GHG emissions related to planned deforestation on forest lands that are legally
authorized and documented to be converted to non-forest land. As presented in Section 3.5, these areas
would be deforested in the absence of the REDD project activity and converted to pasture for cattle rising.
Deforestation in the Baseline Scenario

The annual area of baseline planned deforestation ( 𝐴𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 ) is calculated according to VMD0006 BL-
PL v1.3 (Equation 1):
𝐴𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 = (𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖 ∗ 𝐷%𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 ) ∗ 𝐿 − 𝐷𝑖

Equation 1
97
Where:
𝐴𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 Annual area of baseline planned deforestation for stratum i at time t; ha.
𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖 Projected annual proportion of land that will be deforested in stratum i during
year t; ha
𝐷%𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 Total area of planned deforestation over the baseline period for stratum i; ha.
𝐿 − 𝐷𝑖 Likelihood of deforestation for stratum i; %.
The total area of planned deforestation over the baseline period ( 𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖 ) is determined according to
what is recognized as an immediate site-specific threat of deforestation, which, in its turn, is a function
of the legal permissibility for deforestation. For a complete discussion of the 𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖 determination, see
Section 3.4. the 𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖 was considered to be 5,140.20 ha. The projected annual proportion of land
that will be deforested in stratum i during year t ( 𝐷%𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 ) is determined according to vegetation
suppression authorizations issued by the competent environmental agencies in each state 33. The
𝐷%𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 was considered to be 10% per year. These authorizations should be viewed as verified plans
with known and recorded actual annual deforestation proportions. According to the specifications of
VMD0006 v1.3, 𝐿 − 𝐷𝑖 is set to 100% because only private areas are included by the project (Table 4.1).
Table 4.1. Total and annual area of planned deforestation over the baseline scenario.
𝑳 − 𝑫𝒊 10%
Year 𝑨𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊,𝒕
2022-2023 514.02
2023-2024 514.02
2024-2025 514.02
2025-2026 514.02
2026-2027 514.02
2027-2028 514.02
2028-2029 514.02
2029-2030 514.02
2030-2031 514.02
2031-2032 514.02
Total (𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊 ) 5,140.20
Carbon Stock Change per pool in the Baseline Scenario
33 Annex: Forest suppression plan.pdf
98
This section presents a reservoir's expected changes in carbon stocks in the baseline scenario. Initial
stocks and stocks in post-deforestation are obtained by peer-reviewed literature. This parameter will be
updated when the ABC project biomass inventory is made in the project area.
The project is located in the Amazon Biome, Amazonas, Brazil. Based on the correlation between
geospatial data (BDiA, 2022c) and biomass data from the Amazon biome published in the literature
(Nogueira et al., 2015), biomass was estimated in the project region. In the project area, only one stratum
was identified, namely the Dense-canopy rainforest (submontane). According to Nogueira et al. (2015),
the average biomass values of this stratum of the Amazon Forest are shown in Table 4.2. As already seen,
after deforestation, the area would possibly become pasture, so post-deforestation values were
considered pasture biomass according to Silva Neto et al. (2012) also present in Table 4.2.
99
Table 4.2. The total value of biomass, carbon, and carbon dioxide equivalent for dense-canopy rainforest, submontane (Ds) and
Pastures of Brachiaria brizantha cv. Marandu (Br).
Aboveground Aboveground Belowground Belowground Belowground Total carbon

Aboveground biomass Total biomass Total Carbon
No of Carbon CO2-eq biomass carbon CO2-eq CO2-eq
Forest Class plots Mean SD σx̅c Mean σx̅c Mean σx̅c Mean σx̅c Mean σx̅c Mean σx̅c Mean σx̅c Mean σx̅c Mean σx̅c
(n)
Mg ha-1 tC ha-1 tCO2-e ha-1 Mg ha-1 tC ha-1 tCO2-e ha-1 Mg ha-1 tC ha-1 tCO2-e ha-1
Dense-canopy
rainforest,
533 319.59 76.72 6.51 150.21 7.09 550.76 25.99 70.63 11.59 33.20 5.63 121.72 20.64 390.22 13.30 183.40 9.05 672.48 33.19
submontane
(Ds)a
Pastures of
Brachiaria
36 7.87 3.48 1.14 3.70 0.56 13.56 2.04 1.74 0.38 0.82 0.18 3.00 0.66 9.61 1.20 4.52 0.59 16.56 2.15
brizantha cv.
Marandu (Br)b
aNogueira et al. (2015)
b Silva Neto et al. (2012)
c Considering the conversion factor for a 95% confidence interval of 1.96.
Note: SD – standard deviation; σx̅ – standard error
100
Aboveground Tree Biomass

The baseline carbon stock change in aboveground tree biomass ( 𝛥𝐶𝐴𝐵𝑡𝑟𝑒𝑒,𝑖 ) is calculated according to the
difference between the forest carbon stock in aboveground tree biomass (𝐶𝐴𝐵𝑡𝑟𝑒𝑒 ) and the post-
𝑏𝑠𝑙 ,𝑖
deforestation carbon stock in aboveground tree biomass ( 𝐶𝐴𝐵𝑡𝑟𝑒𝑒 ), according to VMD0006 v1.3
𝑝𝑜𝑠𝑡 ,𝑖
(Equation 2) (Table 4.3):
𝛥𝐶𝐴𝐵𝑡𝑟𝑒𝑒 ,𝑖 = 𝐶𝐴𝐵𝑡𝑟𝑒𝑒 − 𝐶𝐴𝐵𝑡𝑟𝑒𝑒𝑝𝑜𝑠𝑡,𝑖

𝑏𝑠𝑙 ,𝑖 Equation 2
Where:
𝛥𝐶𝐴𝐵𝑡𝑟𝑒𝑒,𝑖 Baseline carbon stock change in aboveground tree biomass in stratum i; t CO2-
e ha-1
𝐶𝐴𝐵𝑡𝑟𝑒𝑒 Forest carbon stock in aboveground tree biomass in stratum i; t CO2-e ha-1
𝑏𝑠𝑙 ,𝑖
𝐶𝐴𝐵𝑡𝑟𝑒𝑒𝑝𝑜𝑠𝑡,𝑖 Post-deforestation carbon stock in aboveground tree biomass in stratum i; t CO2-

e ha-1
𝑖 1, 2, 3, … M strata
Forest carbon stock in aboveground tree biomass (𝐶𝐴𝐵𝑡𝑟𝑒𝑒 ) was estimated based on peer-reviewed
𝑏𝑠𝑙 ,𝑖
literature (Nogueira et al., 2015). The carbon component of dry matter of 0.47 t C t d.m-1 is used when
converting biomass measured in Mg ha-1 to t C ha-1 (IPCC, 2006b). The value of t CO2-e ha-1 was obtained
considering the molar weight of CO 2 (44 g mol-1) divided by C (12 g mol-1) Equation 3.
44
𝐶𝐴𝐵𝑡𝑟𝑒𝑒 = ab ∗ CF ∗ Equation 3
𝑏𝑠𝑙 ,𝑖 12
Where:
CAB_tree,bsl,i Forest carbon stock in aboveground tree biomass in stratum i; t CO2-e ha-1
ab Average biomass stock per hectare in the aboveground biomass pool of initial
forest class i; Mg ha-1
CF Default value of carbon fraction in biomass
CF = 0.47 t C d.m-1 (IPCC, 2006b)
44/12 Ratio converting C to CO 2-e
Post-deforestation carbon stock in aboveground tree biomass ( 𝐶𝐴𝐵𝑡𝑟𝑒𝑒 ) is taken from peer reviewed
𝑝𝑜𝑠𝑡 ,𝑖
literature (Silva Neto et al., 2012) considering an average degradation and the total dry mass. The total
values for the carbon stock in the belowground biomass are indicated in the Table 4.3.
101
Table 4.3. Baseline carbon stock change in aboveground tree biomass (t CO 2-e ha-1).
𝑪𝑨𝑩𝒕𝒓𝒆𝒆 𝑪𝑨𝑩𝒕𝒓𝒆𝒆𝒑𝒐𝒔𝒕 ,𝒊 𝜟𝑪𝑨𝑩𝒕𝒓𝒆𝒆 ,𝒊

𝒃𝒔𝒍 ,𝒊
Stratum (i)
t CO2-e ha-1
Dense-canopy rainforest, submontane (Ds) 550.76 13.56 537.20
Belowground Tree Biomass

Quantifying belowground tree biomass is also recommended, as it generally represents between 15%
and 30% of aboveground biomass. The baseline carbon stock change in belowground tree biomass
(𝛥𝐶𝐵𝐵_𝑡𝑟𝑒𝑒,𝑖 ) is calculated according to the difference between the forest carbon stock in the belowground
tree (𝐶𝐵𝐵𝑡𝑟𝑒𝑒 ) and the post-deforestation carbon stock in belowground tree biomass ( 𝐶𝐵𝐵𝑡𝑟𝑒𝑒𝑝𝑜𝑠𝑡,𝑖 ),
𝑏𝑠𝑙 ,𝑖
according to VMD0006 v1.3, Equation 4:
𝛥𝐶𝐵𝐵_𝑡𝑟𝑒𝑒,𝑖 = 𝐶𝐵𝐵𝑡𝑟𝑒𝑒 − 𝐶𝐵𝐵𝑡𝑟𝑒𝑒

𝑏𝑠𝑙 ,𝑖 𝑝𝑜𝑠𝑡 ,𝑖
Equation 4
Where:
𝛥𝐶𝐵𝐵_𝑡𝑟𝑒𝑒,𝑖 Baseline carbon stock change in belowground tree biomass in stratum i; t CO2-
e ha-1
𝐶𝐵𝐵𝑡𝑟𝑒𝑒 Forest carbon stock in belowground tree biomass in stratum i; t CO2-e ha-1
𝑏𝑠𝑙 ,𝑖
𝐶𝐵𝐵𝑡𝑟𝑒𝑒𝑝𝑜𝑠𝑡,𝑖 Post-deforestation carbon stock in belowground tree biomass in stratum i; t CO2-

e ha-1
𝑖 1, 2, 3, … M strata
The aboveground is converted into belowground biomass through a root-shoot ratio. The value used for
the ratio of belowground biomass to aboveground biomass was 0.221 for the tropical forest of natural
origin, according to the updated IPCC report (IPCC, 2019). The average carbon stock per hectare in
belowground tree biomass in stratum i is determined by Equation 5.
44
CBB_tree,bsl,i = bb ∗ CF ∗ Equation 5
12
Where:
CBB_tree,bsl,i Forest carbon stock in belowground tree biomass in stratum i; t CO2-e ha-1
bb Average biomass stock per hectare in the belowground biomass pool of initial
forest class i; Mg ha-1
CF Default value of carbon fraction in biomass

CF = 0.47 t C d.m-1 (IPCC, 2006b)
44/12 Ratio converting C to CO 2-e
102
Post-deforestation carbon stock in belowground tree biomass (𝐶𝐵𝐵𝑡𝑟𝑒𝑒𝑝𝑜𝑠𝑡,𝑖 ) is taken from peer-reviewed
literature (Silva Neto et al., 2012). The total values for the carbon stock in the belowground biomass are
indicated in the Table 4.4.
Table 4.4. Baseline carbon stock change in belowground tree biomass (t CO 2-e ha-1).
𝑪𝑩𝑩𝒕𝒓𝒆𝒆 𝑪𝑩𝑩𝒕𝒓𝒆𝒆𝒑𝒐𝒔𝒕,𝒊 𝜟𝑪𝑩𝑩_𝒕𝒓𝒆𝒆,𝒊

𝒃𝒔𝒍 ,𝒊
Stratum (i)
t CO2-e ha-1
Wood Products
The harvested trees would have been made into sawnwood, typical for the tropical hardwood species in
Amazonas State. Baseline carbon stock change in wood products ( 𝐶𝑊𝑃,𝑖 , Equation 6) is calculated through
commercial inventory estimation, according to VMD0005 v1.1.
𝐶𝑊𝑃,𝑖 = ∑ 𝐶𝑋𝐵,𝑡𝑦,𝑖 ∗ (1 − 𝑊𝑊𝑡𝑦 )

Equation 6
𝑡𝑦=𝑠,𝑤,𝑜𝑖𝑟,𝑝,𝑜
Where:
𝐶𝑊𝑃,𝑖 Carbon stock entering the wood products pool from stratum i; t CO2-e ha-1
𝐶𝑋𝐵,𝑡𝑦,𝑖 Mean stock of extracted biomass carbon by class of wood product ty from
stratum i; t CO2-e ha-1
𝑊𝑊𝑡𝑦 Wood waste. The fraction immediately emitted through mill inefficiency by class
of wood product ty; dimensionless
𝑊𝑊𝑡𝑦 = 0.24 (Pearson et al. (2012), page 8)
𝑡𝑦 Wood product class – defined here as sawnwood (s), wood-based panels (w),
other industrial roundwood (oir), paper and paper board (p), and other (o)
𝑖 1, 2, 3, … M strata
The wood waste (𝑊𝑊𝑡𝑦 ) is taken from peer-reviewed literature (Pearson et al., 2012). The mean stock of
extracted biomass carbon by class of wood product ( 𝐶𝑋𝐵,𝑡𝑦,𝑖 , Equation 7) is calculated according to
VMD0005 v1.1:
𝑆
1 44
𝐶𝑋𝐵,𝑖,𝑡𝑦,𝑖 = ∗ ∑ (𝑉𝑒𝑥,𝑡𝑦,𝑗,𝑖 ∗ 𝐷𝑗 ∗ 𝐶𝐹𝑗 ∗ ) Equation 7
𝐴𝑖 12
𝑗=1
Where:
𝐶𝑋𝐵,𝑖,𝑡𝑦,𝑖 Mean stock of extracted biomass carbon by class of wood product ty from
stratum i; t CO2-e ha-1
103
𝐴𝑖 Total area of stratum i; ha
𝑉𝑒𝑥,𝑡𝑦,𝑗,𝑖 Volume of timber extracted from within stratum i (does not include slash left
onsite) by species j and wood product class ty; m3
𝑉𝑒𝑥,𝑡𝑦,𝑗,𝑖 =38.3 m3 ha-1 ((da SILVA et al., 2001; Veríssimo et al., 1992), Table 1)
𝐷𝑗 Mean wood density of species j; t d.m.m-3
𝐶𝐹𝑗 Carbon fraction of biomass for tree species j; t C t-1 d.m.
𝑗 1, 2, 3, … S tree species
44 Ratio of molecular weight of CO 2 to carbon; t CO2-e t C-1
12
The carbon entering the wood products pool at the time of deforestation that is expected to be emitted
over 100 years (𝐶𝑊𝑃100,𝑖 , Equation 8) is calculated according to VMD0005 v1.1. The fraction of wood
products that will be emitted into the atmosphere within 5 years (𝑆𝐿𝐹𝑡𝑦 ) and between 5 and 100 years
(𝑂𝑓𝑡𝑦 ) of timber harvest is taken from peer-reviewed literature (Pearson et al., 2012; Winjum et al., 1998).
𝐶𝑊𝑃100,𝑖 = 𝐶𝑊𝑃,𝑖 − 𝐶𝑊𝑃,𝑖 ∗ (1 − 𝑆𝐿𝐹𝑝 ) ∗ (1 − 𝑂𝑓𝑝 )

Equation 8
Where:
𝐶𝑊𝑃100,𝑖 Carbon stock entering the wood products pool at the time of deforestation that
is expected to be emitted over 100 years from stratum i; t CO2-e ha-1
𝐶𝑊𝑃,𝑖 Carbon stock entering wood products pool at time of deforestation from stratum
i; t CO2-e ha-1
𝑆𝐿𝐹𝑡𝑦 Fraction of wood products that will be emitted to the atmosphere within 5 years
of timber harvest by class of wood product ty; dimensionless
𝑆𝐿𝐹𝑡𝑦 = 0.2 (page 276, Winjum et al. (1998) and Pearson et al. (2012))
𝑂𝑓𝑡𝑦 Fraction of wood products that will be emitted to the atmosphere between 5 and
100 years of timber harvest by class of wood product ty; dimensionless
𝑂𝐹𝑡𝑦 = 0.8 (page 276, Winjum et al. (1998) and Pearson et al. (2012))
𝑖 1, 2, 3, … M strata
The Table 4.5 shows the results found for the mean stock of extracted biomass carbon by class of wood
product ty from stratum Ds, the carbon stock entering the wood products pool from stratum Ds and the
carbon stock entering the wood products pool at the time of deforestation that is expected to be emitted
over 100 years from stratum Ds.
104
Table 4.5. Summary of calculations of wood products carbon pool in the baseline scenario
(t CO2-e ha-1).
𝑪𝑿𝑩,𝒊 𝑪𝑾𝑷,𝒊 𝑪𝑾𝑷𝟏𝟎𝟎,𝒊

Stratum (i)
t CO2-e ha-1
Carbon Stock Change in All Pools in the Baseline Scenario

The net carbon stock changes in all pools in the baseline (𝛥𝐶𝐵𝑆𝐿,𝑖,𝑡 ) is calculated according to the following
Equation 9 from VMD0006 v1.3. Conservatively, the parameters 𝛥𝐶𝐴𝐵𝑛𝑜𝑛−𝑡𝑟𝑒𝑒,𝑖 , 𝛥𝐶𝐿𝐼,𝑖 , 𝛥𝐶𝐵𝐵𝑛𝑜𝑛−𝑡𝑟𝑒𝑒,𝑖 ,
𝛥𝐶𝐷𝑊,𝑖 , 𝛥𝐶𝑆𝑂𝐶,𝑖 have been left out of calculations as they are not included in the project boundary.
𝛥𝐶𝐵𝑆𝐿,𝑖,𝑡 = 𝐴𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 ∗ (𝛥𝐶𝐴𝐵𝑡𝑟𝑒𝑒,𝑖 − 𝛥𝐶𝑊𝑃,𝑖 + 𝛥𝐶𝐴𝐵𝑛𝑜𝑛−𝑡𝑟𝑒𝑒,𝑖 + 𝛥𝐶𝐿𝐼,𝑖 )

𝑡 Equation 9
1
+ ( ∑ 𝐴𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 ) ∗ (𝛥𝐶𝐵𝐵𝑡𝑟𝑒𝑒,𝑖 + 𝛥𝐶𝐵𝐵𝑛𝑜𝑛−𝑡𝑟𝑒𝑒,𝑖 + 𝛥𝐶𝐷𝑊,𝑖 ) ∗ ( )
10
𝑡−10
𝑡
1
+ ( ∑ 𝐴𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 ) ∗ (𝐶𝑊𝑃100,𝑖 + 𝛥𝐶𝑆𝑂𝐶,𝑖 ) ∗ ( )
20
𝑡−20
Where:
𝛥𝐶𝐵𝑆𝐿,𝑖,𝑡 Sum of the baseline carbon stock change in all terrestrial pools in stratum i in
year t, t CO2-e
𝐴𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 Annual area of baseline planned deforestation for stratum i in year t; ha
𝐶𝑊𝑃100,𝑖 Carbon stock entering the wood products pool at the time of deforestation that
is expected to be emitted over 100 years from stratum i; t CO2-e ha-1
𝛥𝐶𝐴𝐵𝑡𝑟𝑒𝑒,𝑖 Baseline carbon stock change in aboveground tree biomass in stratum i; t CO2-
e ha-1
𝛥𝐶𝐵𝐵𝑡𝑟𝑒𝑒,𝑖 Baseline carbon stock change in belowground tree biomass in stratum i; t CO2-
e ha-1
𝛥𝐶𝐴𝐵𝑛𝑜𝑛−𝑡𝑟𝑒𝑒,𝑖 Baseline carbon stock change in aboveground non-tree biomass in stratum i; t

CO2-e ha-1
𝛥𝐶𝐵𝐵𝑛𝑜𝑛−𝑡𝑟𝑒𝑒,𝑖 Baseline carbon stock change in belowground non-tree biomass in stratum i; t
CO2-e ha-1
𝛥𝐶𝑊𝑃,𝑖 Baseline carbon stock change in wood products in stratum i; t CO2-e ha-1
𝛥𝐶𝐷𝑊,𝑖 Baseline carbon stock change in dead wood in stratum i; t CO2-e ha-1
𝛥𝐶𝐿𝐼,𝑖 Baseline carbon stock change in litter in stratum i; t CO2-e ha-1
𝛥𝐶𝑆𝑂𝐶,𝑖 Baseline carbon stock change in soil organic carbon in stratum i; t CO2-e ha-1
105
𝑖 1, 2, 3, … M strata
𝑡 1, 2, 3, … t* years elapsed since the projected start of the project activity
Stock changes in aboveground biomass and litter are emitted at the time of deforestation. Following
deforestation, emissions from belowground biomass, dead wood, soil and wood products take place
gradually over time. Stock changes in belowground biomass and dead wood are emitted at an annual
rate of 1/10 of the stock change for 10 years, and at an annual rate of 1/20 of the stock change for 20
years for soil organic carbon (for non-wetland soils). Carbon stocks entering the wood products pool at
the time of deforestation and that are expected to be emitted over 100-years are emitted at an annual
rate of 1/20 of the stock for 20 years. Thus, for a given year t, emissions are summed across areas
deforested from time t-10 up to time t (for belowground biomass and dead wood) and from time t-20 up
to time t (for soil organic carbon and wood products), in the Equation 9.
Therefore, Table 4.6 and Table 4.7 show the net emissions for belowground biomass distributed over 10
years and the the wood products pool and that are expected to be emitted over 100-years distributed
over 20 years, respectively.
The Table 4.8 summarizes all the values needed to calculate the Equation 9, as well as the final results
for 𝛥𝐶𝐵𝑆𝐿,𝑖,𝑡 .
106
Table 4.6. Stock changes in belowground biomass gradually over 10 years (t CO2-e).
𝜟𝑪𝑩𝑩𝒕𝒓𝒆𝒆,𝒊 ∗ 𝑨𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊,𝒕 2022 2023 2024 2025 2026 2027 2028 2029 2030
Year*
tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e
2022-2023 61,024.78 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48
2023-2024 61,024.78 - 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48
2024-2025 61,024.78 - - 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48
2025-2026 61,024.78 - - - 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48
2026-2027 61,024.78 - - - - 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48
2027-2028 61,024.78 - - - - - 6,102.48 6,102.48 6,102.48 6,102.48
2028-2029 61,024.78 - - - - - - 6,102.48 6,102.48 6,102.48
2029-2030 61,024.78 - - - - - - - 6,102.48 6,102.48
2030-2031 61,024.78 - - - - - - - - 6,102.48
2031-2032 61,024.78 - - - - - - - - -
Total 610,247.83 6,102.48 12,204.96 18,307.44 24,409.91 30,512.39 36,614.87 42,717.35 48,819.83 54,922.31
*Years not shown in the table are values in 0.
Table 4.6. Stock changes in belowground biomass gradually over 10 years (t CO 2-e) (continued).
2031 2032 2033 2034 2035 2036 2037 2038 2039 2040
Year
tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e
2022-2023 6,102.48 - - - - - - - - -
2023-2024 6,102.48 6,102.48 - - - - - - - -
2024-2025 6,102.48 6,102.48 6,102.48 - - - - - - -
2025-2026 6,102.48 6,102.48 6,102.48 6,102.48 - - - - - -
2026-2027 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 - - - - -
2027-2028 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 - - - -
2028-2029 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 - - -
2029-2030 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 - -
2030-2031 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 -
2031-2032 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48 6,102.48
Total 61,024.78 54,922.31 48,819.83 42,717.35 36,614.87 30,512.39 24,409.91 18,307.44 12,204.96 6,102.48
107
Table 4.7. Stock changes in CWP100,i gradually over 20 years (t CO2-e).
𝑪𝑾𝑷𝟏𝟎𝟎,𝒊 ∗ 𝑨𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊,𝒕 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034
Year*
tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e
2022-2023 13,006.79 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34
2023-2024 13,006.79 - 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34
2024-2025 13,006.79 - - 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34
2025-2026 13,006.79 - - - 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34
2026-2027 13,006.79 - - - - 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34
2027-2028 13,006.79 - - - - - 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34
2028-2029 13,006.79 - - - - - - 650.34 650.34 650.34 650.34 650.34 650.34 650.34
2029-2030 13,006.79 - - - - - - - 650.34 650.34 650.34 650.34 650.34 650.34
2030-2031 13,006.79 - - - - - - - - 650.34 650.34 650.34 650.34 650.34
2031-2032 13,006.79 - - - - - - - - - 650.34 650.34 650.34 650.34
Total 130,067.87 650.34 1,300.68 1,951.02 2,601.36 3,251.70 3,902.04 4,552.38 5,202.71 5,853.05 6,503.39 6,503.39 6,503.39 6,503.39
Table 4.7. Stock changes in C WP100,i gradually over 20 years (t CO 2-e) (continued).
2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 2049 2050 2051
Year*
tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e tCO2-e
2022-2023 650.34 650.34 650.34 650.34 650.34 650.34 650.34 - - - - - - - - - -
2023-2024 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 - - - - - - - - -
2024-2025 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 - - - - - - - -
2025-2026 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 - - - - - - -
2026-2027 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 - - - - - -
2027-2028 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 - - - - -
2028-2029 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 - - - -
2029-2030 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 - - -
2030-2031 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 - -
2031-2032 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 650.34 -
Total 6,503.39 6,503.39 6,503.39 6,503.39 6,503.39 6,503.39 6,503.39 5,853.05 5,202.71 4,552.38 3,902.04 3,251.70 2,601.36 1,951.02 1,300.68 650.34 -
108
Table 4.8. Calculation of the sum of baseline carbon stocks changes in all pools (t CO2-e).
𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊 𝑨𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊,𝒕 𝑨𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊,𝒕 𝑨𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊,𝒕 𝑨𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊,𝒕 𝜟𝑪𝑩𝑺𝑳,𝒊,𝒕

𝑨𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊,𝒕 𝜟𝑪𝑩𝑺𝑳,𝒊,𝒕
∗ 𝑫%𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊,𝒕 ∗ 𝜟𝑪𝑨𝑩𝒕𝒓𝒆𝒆 ,𝒊 ∗ 𝜟𝑪𝑾𝑷,𝒊 ∗ 𝜟𝑪𝑩𝑩𝒕𝒓𝒆𝒆,𝒊 ∗ 𝑪𝑾𝑷𝟏𝟎𝟎,𝒊 Accumulated
Year
ha ha t CO2-e t CO2-e t CO2-e t CO2-e t CO2-e t CO2-e
2022-2023 514.02 514.02 276,130.24 15,484.27 6,102.48 650.34 267,398.79 267,398.79
2023-2024 514.02 514.02 276,130.24 15,484.27 12,204.96 1,300.68 274,151.61 541,550.40
2024-2025 514.02 514.02 276,130.24 15,484.27 18,307.44 1,951.02 280,904.42 822,454.82
2025-2026 514.02 514.02 276,130.24 15,484.27 24,409.91 2,601.36 287,657.24 1,110,112.06
2026-2027 514.02 514.02 276,130.24 15,484.27 30,512.39 3,251.70 294,410.06 1,404,522.12
2027-2028 514.02 514.02 276,130.24 15,484.27 36,614.87 3,902.04 301,162.88 1,705,685.00
2028-2029 514.02 514.02 276,130.24 15,484.27 42,717.35 4,552.38 307,915.70 2,013,600.70
2029-2030 514.02 514.02 276,130.24 15,484.27 48,819.83 5,202.71 314,668.51 2,328,269.21
2030-2031 514.02 514.02 276,130.24 15,484.27 54,922.31 5,853.05 321,421.33 2,649,690.54
2031-2032 514.02 514.02 276,130.24 15,484.27 61,024.78 6,503.39 328,174.15 2,977,864.69
2032-2033 - - - - 54,922.31 6,503.39 61,425.70 3,039,290.39
2033-2034 - - - - 48,819.83 6,503.39 55,323.22 3,094,613.61
2034-2035 - - - - 42,717.35 6,503.39 49,220.74 3,143,834.35
2035-2036 - - - - 36,614.87 6,503.39 43,118.26 3,186,952.62
2036-2037 - - - - 30,512.39 6,503.39 37,015.79 3,223,968.40
2037-2038 - - - - 24,409.91 6,503.39 30,913.31 3,254,881.71
2038-2039 - - - - 18,307.44 6,503.39 24,810.83 3,279,692.54
2039-2040 - - - - 12,204.96 6,503.39 18,708.35 3,298,400.89
2040-2041 - - - - 6,102.48 6,503.39 12,605.87 3,311,006.76
2041-2042 - - - - - 6,503.39 6,503.39 3,317,510.15
2042-2043 - - - - - 5,853.05 5,853.05 3,323,363.20
2043-2044 - - - - - 5,202.71 5,202.71 3,328,565.92
2044-2045 - - - - - 4,552.38 4,552.38 3,333,118.29
2045-2046 - - - - - 3,902.04 3,902.04 3,337,020.33
2046-2047 - - - - - 3,251.70 3,251.70 3,340,272.03
2047-2048 - - - - - 2,601.36 2,601.36 3,342,873.38
2048-2049 - - - - - 1,951.02 1,951.02 3,344,824.40
2049-2050 - - - - - 1,300.68 1,300.68 3,346,125.08
2050-2051 - - - - - 650.34 650.34 3,346,775.42
2051-2052 - - - - - - - 3,346,775.42
TOTAL 5,140.20 5,140.20 3,346,775.42
109
Non-CO2 Emissions in the Baseline Scenario

Greenhouse gas emissions in the baseline resulting from deforestation activities within the project area
(𝐺𝐻𝐺𝐵𝑆𝐿,𝑖,𝑡 ) are calculated using Equation 10, according to VMD0006 v1.3.
𝐺𝐻𝐺𝐵𝑆𝐿,𝑖,𝑡 = 𝐸𝐹𝐶,𝑖,𝑡 + 𝐸𝐵𝑖𝑜𝑚𝑎𝑠𝑠𝑎𝐵𝑢𝑟𝑛,𝑖,𝑡 + 𝑁2 𝑂𝑑𝑖𝑟𝑒𝑐𝑡−𝑁,𝑖,𝑡

Equation 10
Where:
𝐺𝐻𝐺𝐵𝑆𝐿,𝑖,𝑡 Greenhouse gas emissions as a result deforestation activities within the project
boundary in the stratum i in year t; t CO2-e
𝐸𝐹𝐶,𝑖,𝑡 Net CO2-e emission from fossil fuel combustion in stratum i in year t; t CO2-e
𝐸𝐵𝑖𝑜𝑚𝑎𝑠𝑠𝑎𝐵𝑢𝑟𝑛,𝑖,𝑡 Non-CO2 emissions due to biomass burning in stratum i in year t; t CO2-e
𝑁2 𝑂𝑑𝑖𝑟𝑒𝑐𝑡−𝑁,𝑖,𝑡 Direct N2O emission as a result of nitrogen application on the alternative land
use within the project boundary in stratum i in year t; t CO2-e
𝑖 1, 2, 3, … M strata
𝑡 1, 2, 3, …t* years elapsed since the start of the REDD VCS project activity
The baseline scenario conservatively excludes nitrogen application ( 𝑁2 𝑂𝑑𝑖𝑟𝑒𝑐𝑡−𝑁,𝑖,𝑡 ) and net CO2-e
emissions from burning fossil fuels (𝐸𝐹𝐶,𝑖,𝑡 ) (see Section 3.3). Hence, non-CO2 emissions due to biomass
burning (𝐸𝐵𝑖𝑜𝑚𝑎𝑠𝑠𝑎𝐵𝑢𝑟𝑛,𝑖,𝑡 ) are calculated according to VMD0013 v1.2 (Equation 11). For that, The area
burnt (𝐴𝑏𝑢𝑟𝑛,𝑖,𝑡 ) equal to annual area of baseline planned deforestation in the baseline case ( 𝐴𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 ).
Combustion and emission factors and global warming potential are default values adopted and taken
from IPCC reports (IPCC, 2006a, 2014) .
𝐺
𝐸𝑏𝑖𝑜𝑚𝑎𝑠𝑠𝑏𝑢𝑟 𝑛,𝑖,𝑡 = ∑ (((𝐴𝑏𝑢𝑟𝑛,𝑖,𝑡 ∗ 𝐵𝑖,𝑡 ∗ 𝐶𝑂𝑀𝐹𝑖 ∗ 𝐺𝑔,𝑖 ) ∗ 10−3) ∗ 𝐺𝑊𝑃𝑔 ) Equation 11

𝑔=1
Where:
𝐸𝑏𝑖𝑜𝑚𝑎𝑠𝑠𝑏𝑢𝑟 𝑛,𝑖,𝑡 Greenhouse gas emissions due to biomass burning in stratum i in year t of each
GHG (CO2, CH4, N2O); t CO2-e
𝐴𝑏𝑢𝑟𝑛,𝑖,𝑡 Area burnt for stratum i in year t; ha
𝐵𝑖,𝑡 Average aboveground biomass stock before burning stratum I in year t; t d.m.
ha-1
𝐶𝑂𝑀𝐹𝑖 Combustion factor for stratum i; unitless
𝐶𝑂𝑀𝐹𝑖 = 0.59 (Table 2.6, page 2.55, IPCC (2006a))
𝐺𝑔,𝑖 Emission factor for stratum i for gas g; kg t-1 d.m. burnt
𝐺𝑔,𝐶𝐻4 = 6.8 kg t-1, 𝐺𝑔,𝑁𝑂2 = 0.2 kg t-1 (Table 2.5, page 2.54, IPCC (2006a))
110
𝐺𝑊𝑃𝑔 Global warming potential for gas g; t CO2/t gas g

𝐺𝑊𝑃𝐶𝐻4 = 28 t CO2 tgas-1, 𝐺𝑊𝑃𝑁𝑂2 = 265 t CO2 tgas-1 (Box 3.2, Table 1, page 87,
IPCC (2014) and Grennhouse (2014))
𝑔 1, 2, 3 … g greenhouse gases including carbon dioxide, methane and nitrous
oxide; unitless
𝑖 1, 2, 3, … M strata
𝑡 1, 2, 3, … t* time elapsed since the start of the project activity; years
The average aboveground biomass stock before burning ( 𝐵𝑖,𝑡 ) is calculated according to VMD0013 v1.2
adjusted to reflect methodological deviation (Equation 12).
12 1
𝐵𝑖,𝑡 = (𝐶𝐴𝐵𝑡𝑟𝑒𝑒,𝑖,𝑡 + 𝐶𝐷𝑊𝑖,𝑡 + 𝐶𝐿𝐼,𝑖,𝑡 ) ∗ ∗ Equation 12
44 𝐶𝐹
Where:
𝐵𝑖,𝑡 Average aboveground biomass stock before burning for stratum i, year t; tonnes
d.m. ha-1
𝐶𝐴𝐵𝑡𝑟𝑒𝑒 ,𝑖,𝑡 Carbon stock in aboveground biomass in trees in stratum i in year t; t CO2-e ha-
1)
𝐶𝐷𝑊𝑖,𝑡 Carbon stock in dead wood for stratum i in year t; t CO2-e ha-1
𝐶𝐿𝐼,𝑖,𝑡 Carbon stock in litter for stratum i in year t; t CO2-e ha-1
12 Inverse ratio of molecular weight of CO 2 to carbon; t CO2-e t C-1

44
1 Carbon fraction of biomass; t C t-1 d.m.
𝐶𝐹 𝐶𝐹 = 0.47 t C t-1 d.m. (pg. 4.48, Table 4.3, IPCC (2006b))
𝑖 1, 2, 3, … M strata
Table 4.9 shows the parameters used in calculating biomass burning for the baseline scenario, as well
as results accounted for CH 4 and N2O emissions generated and the average aboveground biomass stock
before burning for stratum Ds.
111
Table 4.9. Non-CO2 emissions in the baseline case (t CO2-e).
𝑩𝒊,𝒕 319.59 t d.m. ha-1
𝑨𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊,𝒕 = 𝑨𝒃𝒖𝒓𝒏,𝒊,𝒕 𝑬𝒃𝒊𝒐𝒎𝒂𝒔𝒔𝒃𝒖𝒓,𝑪𝑯𝟒,𝒊,𝒕 𝑬𝒃𝒊𝒐𝒎𝒂𝒔𝒔𝒃𝒖𝒓,𝑵𝟐 𝑶,𝒊,𝒕 𝑮𝑯𝑮𝑩𝑺𝑳,𝒊,𝒕

Year
ha t CO2-e t CO2-e t CO2-e
2022-2023 514.02 18,454.07 5,136.90 23,590.97
2023-2024 514.02 18,454.07 5,136.90 23,590.97
2024-2025 514.02 18,454.07 5,136.90 23,590.97
2025-2026 514.02 18,454.07 5,136.90 23,590.97
2026-2027 514.02 18,454.07 5,136.90 23,590.97
2027-2028 514.02 18,454.07 5,136.90 23,590.97
2028-2029 514.02 18,454.07 5,136.90 23,590.97
2029-2030 514.02 18,454.07 5,136.90 23,590.97
2030-2031 514.02 18,454.07 5,136.90 23,590.97
2031-2032 514.02 18,454.07 5,136.90 23,590.97
2032-2033 - - - -
2033-2034 - - - -
2034-2035 - - - -
2035-2036 - - - -
2036-2037 - - - -
2037-2038 - - - -
2038-2039 - - - -
2039-2040 - - - -
2040-2041 - - - -
2041-2042 - - - -
2042-2043 - - - -
2043-2044 - - - -
2044-2045 - - - -
2045-2046 - - - -
2046-2047 - - - -
2047-2048 - - - -
2048-2049 - - - -
2049-2050 - - - -
2050-2051 - - - -
2051-2052 - - - -
Total 5,140.20 184,540.70 51,369.00 235,909.69
Net GHG emissions in the Baseline Scenario
112
The baseline net GHG emissions for planned deforestation (Equation 13) is determined according to
VMD0006 BL-PL v1.3.
𝑡∗ 𝑀
𝛥𝐶𝐵𝑆𝐿,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 = ∑ ∑(𝛥𝐶𝐵𝑆𝐿,𝑖,𝑡 + 𝐺𝐻𝐺𝐵𝑆𝐿−𝐸,𝑖,𝑡 ) Equation 13

𝑡=1 𝑖=1
Where:
𝛥𝐶𝐵𝑆𝐿,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 Net greenhouse gas emissions in the baseline from planned deforestation up
to year t*; t CO2-e
𝛥𝐶𝐵𝑆𝐿,𝑖,𝑡 Net carbon stock changes in all pools in the baseline stratum i in year t; t CO2-e
𝐺𝐻𝐺𝐵𝑆𝐿−𝐸,𝑖,𝑡 Greenhouse gas emissions as a result of deforestation activities within the

project boundary in the baseline stratum i in year t; t CO2-e yr-1.
𝑖 1, 2, 3, … M strata
Table 4.10 presents all values for net carbon stock changes in all pools in the baseline stratum Ds in year
t, greenhouse gas emissions as a result of deforestation activities within the project boundary in the
baseline stratum Ds in year t and, finally, the net greenhouse gas emissions in the baseline from planned
deforestation up to year t.
Table 4.10. Net GHG emissions in the baseline from planned deforestation in the baseline period
(t CO2-e).
𝜟𝑪𝑩𝑺𝑳,𝒊,𝒕 𝑮𝑯𝑮𝑩𝑺𝑳−𝑬,𝒊,𝒕 𝜟𝑪𝑩𝑺𝑳,𝒑𝒍𝒂𝒏𝒏𝒆𝒅 𝜟𝑪𝑩𝑺𝑳,𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝐚𝐜𝐜𝐮𝐦𝐮𝐥𝐚𝐭𝐞𝐝

Year
t CO2-e t CO2-e t CO2-e t CO2-e
2022-2023 267,398.79 23,590.97 290,989.76 290,989.76
2023-2024 274,151.61 23,590.97 297,742.58 588,732.34
2024-2025 280,904.42 23,590.97 304,495.39 893,227.73
2025-2026 287,657.24 23,590.97 311,248.21 1,204,475.94
2026-2027 294,410.06 23,590.97 318,001.03 1,522,476.97
2027-2028 301,162.88 23,590.97 324,753.85 1,847,230.82
2028-2029 307,915.70 23,590.97 331,506.66 2,178,737.48
2029-2030 314,668.51 23,590.97 338,259.48 2,516,996.97
2030-2031 321,421.33 23,590.97 345,012.30 2,862,009.27
2031-2032 328,174.15 23,590.97 351,765.12 3,213,774.38
2032-2033 61,425.70 - 61,425.70 3,275,200.08
2033-2034 55,323.22 - 55,323.22 3,330,523.30
2034-2035 49,220.74 - 49,220.74 3,379,744.04
2035-2036 43,118.26 - 43,118.26 3,422,862.31
2036-2037 37,015.79 - 37,015.79 3,459,878.09
2037-2038 30,913.31 - 30,913.31 3,490,791.40
2038-2039 24,810.83 - 24,810.83 3,515,602.23
2039-2040 18,708.35 - 18,708.35 3,534,310.58
113
𝜟𝑪𝑩𝑺𝑳,𝒊,𝒕 𝑮𝑯𝑮𝑩𝑺𝑳−𝑬,𝒊,𝒕 𝜟𝑪𝑩𝑺𝑳,𝒑𝒍𝒂𝒏𝒏𝒆𝒅 𝜟𝑪𝑩𝑺𝑳,𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝐚𝐜𝐜𝐮𝐦𝐮𝐥𝐚𝐭𝐞𝐝

Year
t CO2-e t CO2-e t CO2-e t CO2-e
2040-2041 12,605.87 - 12,605.87 3,546,916.45
2041-2042 6,503.39 - 6,503.39 3,553,419.84
2042-2043 5,853.05 - 5,853.05 3,559,272.90
2043-2044 5,202.71 - 5,202.71 3,564,475.61
2044-2045 4,552.38 - 4,552.38 3,569,027.99
2045-2046 3,902.04 - 3,902.04 3,572,930.02
2046-2047 3,251.70 - 3,251.70 3,576,181.72
2047-2048 2,601.36 - 2,601.36 3,578,783.08
2048-2049 1,951.02 - 1,951.02 3,580,734.10
2049-2050 1,300.68 - 1,300.68 3,582,034.77
2050-2051 650.34 - 650.34 3,582,685.11
2051-2052 - - - 3,582,685.11
Total 3,346,775.42 235,909.69 3,582,685.11
4.2 Project Emissions

Expected project emissions are estimated ex-ante and apply Equation 14 of module M-MON (VMD0015)
of Methodology VM0007. Ex-ante projections of deforestation in the project case assume no deforestation
have taken place as one of the project proponents is the baseline agent of deforestation and has
committed to not undertake land clearing on the property.
𝑡∗ 𝑀
𝛥𝐶𝑊𝑃𝑆−𝑅𝐸𝐷𝐷 = ∑ ∑ (𝛥𝐶𝑃,𝐷𝑒𝑓𝑃𝐴,𝑖,𝑡 + 𝛥𝐶𝑃,𝐷𝑒𝑔,𝑖,𝑡 + 𝛥𝐶𝑃,𝐷𝑖𝑠𝑡𝑃𝐴,𝑖,𝑡 + 𝐺𝐻𝐺𝑃−𝐸,𝑖,𝑡 − 𝛥𝐶𝑃,𝐸𝑛ℎ,𝑖,𝑡 )
𝑡=1 𝑖=1 Equation 14
Where:
𝛥𝐶𝑊𝑃𝑆−𝑅𝐸𝐷𝐷 Net GHG emissions in the REDD project scenario up to year t*; t CO2-e
𝛥𝐶𝑃,𝐷𝑒𝑓𝑃𝐴,𝑖,𝑡 Net carbon stock change as a result of deforestation in the project area in the
project case in stratum i in year t; t CO2-e
𝛥𝐶𝑃,𝐷𝑒𝑔,𝑖,𝑡 Net carbon stock change as a result of degradation in the project area in the
𝛥𝐶𝑃,𝐷𝑖𝑠𝑡𝑃𝐴,𝑖,𝑡 Net carbon stock change as a result of natural disturbance in the project area
in the project case in stratum i in year t; t CO2-e
𝐺𝐻𝐺𝑃−𝐸,𝑖,𝑡 Greenhouse gas emissions as a result of deforestation and degradation
activities within the project area in the project case in stratum i in year t; t CO2-
e
𝛥𝐶𝑃,𝐸𝑛ℎ,𝑖,𝑡 Net carbon stock change as a result of forest growth and sequestration during
the project in areas projected to be deforested in the baseline * in stratum i in
year t; t CO2-e
*For areas with a degradation baseline (i.e. using Module BL-DFW) this
parameter shall be set to zero, for areas with baseline set by Module BL-UP and
Module BL-PL this parameter may be conservatively set to zero.
𝑖 1, 2, 3, … M strata
114
𝑡 1, 2, 3, … t* years elapsed since the start of the project activity
In the case of an identified deforestation agent, the agent has committed not to deforest, collect firewood,
or remove wood from the forests in the project area. Thus, these actions are expected to prevent
degradation by illegal actors, and ex-ante degradation is estimated as zero ( 𝛥𝐶𝑃,𝐷𝑒𝑔,𝑖,𝑡 = 0).
Amazon forests have a low incidence of natural disturbance (Espírito-Santo et al., 2014), which does not
generally result in tree death and C emissions (𝛥𝐶𝑃,𝐷𝑖𝑠𝑡𝑃𝐴,𝑖,𝑡 = 0). Furthermore, according to module
VMD00015 for areas with baseline set by Module BL-PL the 𝛥𝐶𝑃,𝐸𝑛ℎ,𝑖,𝑡 parameter may be conservatively
set to zero (𝛥𝐶𝑃,𝐸𝑛ℎ,𝑖,𝑡 = 0). Therefore, Equation 14 can be rewritten as (Equation 15):
𝑡∗ 𝑀
𝛥𝐶𝑊𝑃𝑆−𝑅𝐸𝐷𝐷 = ∑ ∑ (𝛥𝐶𝑃,𝐷𝑒𝑓𝑃𝐴,𝑖,𝑡 + 𝐺𝐻𝐺𝑃−𝐸,𝑖,𝑡 ) Equation 15
𝑡=1 𝑖=1
Where:
𝛥𝐶𝑊𝑃𝑆−𝑅𝐸𝐷𝐷 Net GHG emissions in the REDD project scenario up to year t*; t CO2-e
𝛥𝐶𝑃,𝐷𝑒𝑓𝑃𝐴,𝑖,𝑡 Net carbon stock change as a result of deforestation in the project area in the
𝐺𝐻𝐺𝑃−𝐸,𝑖,𝑡 Greenhouse gas emissions as a result of deforestation and degradation
activities within the project area in the project case in stratum i in year t; t CO2-
e
𝑖 1, 2, 3, … M strata
The net carbon stock change as a result of deforestation ( 𝛥𝐶𝑃,𝐷𝑒𝑓𝑃𝐴,𝑖,𝑡 ) is equal to the area deforested
multiplied by the emission per unit area, according to VMD0015 v2.2 (Equation 16).
𝑈
𝛥𝐶𝑃,𝐷𝑒𝑓𝑃𝐴,𝑖,𝑡 = ∑(𝐴𝐷𝑒𝑓𝑃𝐴,𝑢,𝑖,𝑡 ∗ 𝛥𝐶𝑝𝑜𝑜𝑙𝑠,𝑃,𝐷𝑒𝑓,𝑢,𝑖,𝑡 ) Equation 16

𝑢=1
Where:
𝛥𝐶𝑃,𝐷𝑒𝑓𝑃𝐴,𝑖,𝑡 Net carbon stock change as a result of deforestation in the project case in the
project area in stratum i at time t; t CO2-e
𝐴𝐷𝑒𝑓𝑃𝐴,𝑢,𝑖,𝑡 Area of recorded deforestation in the project area stratum i converted to land
use u at time t; ha
𝛥𝐶𝑝𝑜𝑜𝑙𝑠,𝑃,𝐷𝑒𝑓,𝑢,𝑖,𝑡 Net carbon stock changes in all pools in the project case in land use u in stratum
i at time t; t CO2-e ha-1
𝑢 1, 2, 3, … U post-deforestation land uses.
𝑖 1, 2, 3, … M strata
115
According to VMD0015 v2.2, an ex-ante estimate of deforestation in the project area must be made. As
the deforestation agent has committed to providing infrastructure and policies to prevent deforestation,
the 𝐴𝐷𝑒𝑓𝑃𝐴,𝑢,𝑖,𝑡 parameter can be set to zero. Hence, the project area currently does not carry out any
activities, so there are no project emissions to report at the audit time.
4.3 Leakage
Leakage emissions from displacement of planned deforestation are estimated in conformance with the
Verified Carbon Standard (VCS) modular REDD methodology VM0007, specifically the VMD0009 LK-ASP
and VMD0011 LK-ME modules. These modules provide for accounting for activity shifting leakage
resulting from displacement of deforestation activities by the agent of deforestation and estimating GHG
emissions caused by the market-effects leakage related to extraction of wood for timber (Equation 17).
𝛥𝐶𝐿𝐾−𝑅𝐸𝐸𝐷 = 𝛥𝐶𝐿𝐾−𝐴𝑆,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 + 𝛥𝐶𝐿𝐾−𝑀𝐸

Equation 17
Where:
𝛥𝐶𝐿𝐾−𝑅𝐸𝐸𝐷 Net GHG emissions due to leakage from the REDD project activity up to year t*;
t CO2-e
𝛥𝐶𝐿𝐾−𝐴𝑆,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 Net GHG emissions due to activity shifting leakage for projects preventing
planned deforestation up to year t* – from Module LK-ASP; t CO2-e
𝛥𝐶𝐿𝐾−𝑀𝐸 Net GHG emissions due to market-effects leakage up to year t* – from Module
LK-ME; t CO2-e
Estimation of emissions from activity shifting

Activity shifting leakage due to displacement of planned deforestation was assessed using a series of
equations outline in VMD0009 LK-ASP. Thus, Equation 18 is used when the specific deforestation agent
is identified as is the case of the ABC project.
𝑡∗ 𝑀
𝛥𝐶𝐿𝐾−𝐴𝑆,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 = ∑ ∑(𝐿𝐾𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 ∗ 𝛥𝐶𝐵𝑆𝐿,𝑖 ) + 𝐺𝐻𝐺𝐿𝐾,𝐸,𝑖,𝑡 Equation 18

𝑡=1 𝑖=1
Where:
𝛥𝐶𝐿𝐾−𝐴𝑆,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 Net greenhouse gas emissions due to activity shifting leakage for projects
preventing planned deforestation up to year t*; t CO2-e
𝐿𝐾𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 The area of activity shifting leakage in stratum i in year t; ha
𝛥𝐶𝐵𝑆𝐿,𝑖 Net carbon stock changes in all pre-deforestation pools in baseline stratum i; t
CO2-e ha-1
116
𝐺𝐻𝐺𝐿𝐾,𝐸,𝑖,𝑡 Greenhouse gas emissions as a result of leakage of avoiding deforestation

activities in stratum i in year t; t CO 2-e
𝑖 1, 2, 3, … M strata; unitless
The procedure for calculating leakage when the deforestation agent is identified must follow three steps:
(i) determination of the baseline rate of forest clearance by the deforestation agent; (ii) estimate new
projection of forest clearance by the baseline agent of deforestation with project implementation if no
leakage is occurring; and (iii) monitor all areas deforested by baseline agent of deforestation through the
years in which planned deforestation was forecast to occur. In step (iii), all areas deforested by the
baseline agent of deforestation must be monitored. Areas of deforestation may be anywhere in the host
country. There is no requirement to track international leakage. For this, the following equation must be
followed (Equation 19).
𝐿𝐾𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 = 𝐴𝑑𝑒𝑓𝐿𝐾,𝑖,𝑡 − 𝑁𝑒𝑤𝑅𝑖,𝑡

Equation 19
Where:
𝐿𝐾𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 The area of activity shifting leakage in stratum i in year t; ha
𝐴𝑑𝑒𝑓𝐿𝐾,𝑖,𝑡 The total area of monitored deforestation by the baseline agent of the planned
deforestation in stratum i in year t; ha
𝑁𝑒𝑤𝑅𝑖,𝑡 New calculated forest clearance by the baseline agent of the planned
deforestation in stratum i in year t where no leakage is occurring; ha
𝑖 1, 2, 3, … M strata; unitless
Non-CO2 emissions due to biomass burning in the area of activity shifting leakage is calculated according
to same procedures used to estimate baseline GHG emissions due to biomass burning. Non-CO2
emissions due to nitrogen application are not part of the project scope.
According to VMD0009 LK-ASP v1.3, the parameter 𝐴𝑑𝑒𝑓𝐿𝐾,𝑖,𝑡 is monitored. Ex-ante, it is assumed this
value is zero and the deforestation agent is the same as the project proponent. Still according to the
methodology, if 𝑁𝑒𝑤𝑅𝑖,𝑡 exceeds 𝐴𝑑𝑒𝑓𝐿𝐾,𝑖,𝑡 then 𝐿𝐾𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 must be set as zero as negative leakage is
not considered under the VCS. Therefore, for the time being, in the ABC project the 𝛥𝐶𝐿𝐾−𝐴𝑆,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 will
be assumed to be zero. In this sense, GHG emissions due to activity shifting for avoiding planned
deforestation are set to zero in ex-ante.
Estimation of emissions from market-effects

According to VMD0011 LK-ME v1.1, the total leakage due to market effects is equal to the sum of market-
effects leakage through decreased timber harvest and decreased harvest for fuelwood / charcoal
production (Equation 20).
117
𝛥𝐶𝐿𝐾−𝑀𝐸 = 𝐿𝐾𝑀𝑎𝑟𝑘𝑒𝑡𝐸𝑓𝑓𝑒𝑐𝑡𝑠,𝑡𝑖𝑚𝑏𝑒𝑟 + 𝐿𝐾𝑀𝑎𝑟𝑘𝑒𝑡𝐸𝑓𝑓𝑒𝑐𝑡𝑠,𝐹𝑊/𝐶 + 𝐿𝐾𝑀𝑎𝑟𝑘𝑒𝑡𝐸𝑓𝑓𝑒𝑐𝑡𝑠,𝑝𝑒𝑎𝑡

Equation 20
Where:
𝛥𝐶𝐿𝐾−𝑀𝐸 Net greenhouse gas emissions due to market-effects leakage; t CO 2-e
𝐿𝐾𝑀𝑎𝑟𝑘𝑒𝑡𝐸𝑓𝑓𝑒𝑐𝑡𝑠,𝑡𝑖𝑚𝑏𝑒𝑟 Total GHG emissions due to market-effects leakage through decreased timber
harvest; t CO2-e
𝐿𝐾𝑀𝑎𝑟𝑘𝑒𝑡𝐸𝑓𝑓𝑒𝑐𝑡𝑠,𝐹𝑊/𝐶 Total GHG emissions due to market-effects leakage through decreased harvest
of fuelwood and charcoal sold into regional and/or national markets; t CO2-e
𝐿𝐾𝑀𝑎𝑟𝑘𝑒𝑡𝐸𝑓𝑓𝑒𝑐𝑡𝑠,𝑝𝑒𝑎𝑡 Total GHG emissions due to market-effects leakage through decreased timber,
fuelwood and charcoal harvest resulting in increased peatland drainage; t CO2-
e
As there is no fuelwood or charcoal collection by the baseline agent of deforestation market leakage is
limited to leakage through decreased timber harvest as calculated in Equation 21. Leakage due to market
effects is equal to the baseline emissions from logging multiplied by a leakage factor and, where
applicable, by a leakage management factor:
𝑀
𝐿𝐾𝑀𝑎𝑟𝑘𝑒𝑡𝐸𝑓𝑓𝑒𝑐𝑡𝑠,𝑡𝑖𝑚𝑏𝑒𝑟 = ∑(𝐿𝐹𝑀𝐸 ∗ 𝐿𝐾𝑀𝐴𝐹 ∗ 𝐴𝐿 𝑇,𝑖 ) Equation 21

𝑖=1
Where:
𝐿𝐾𝑀𝑎𝑟𝑘𝑒𝑡𝐸𝑓𝑓𝑒𝑐𝑡𝑠,𝑡𝑖𝑚𝑏𝑒𝑟 Total GHG emissions due to market-effects leakage through decreased timber
harvest; t CO2-e
𝐿𝐹𝑀𝐸 Leakage factor for market-effects calculations; dimensionless
𝐿𝐾𝑀𝐴𝐹 Leakage management adjustment factor; dimensionless
𝐴𝐿 𝑇,𝑖 Summed emissions from timber harvest in stratum i in the baseline case
potentially displaced through implementation of the project; t CO2-e
𝑖 1,2,3,…M strata; dimensionless
The deduction of the leakage factor for market-effects calculations (𝐿𝐹𝑀𝐸 ) was adopted based on the
relation between mean merchantable biomass as a proportion of total aboveground tree biomass for
each forest type (𝑃𝑀𝐿𝐹𝑇 ) and merchantable biomass as a proportion of total aboveground tree biomass
for stratum i within the project boundary (𝑃𝑀𝑃𝑖 ). The 𝑃𝑀𝐿𝐹𝑇 is estimated considering the literature data.
According to Homma (2011), from 45 billion m3 of Amazon wood stocks, almost 14 billion m3 was
marketable. Thus, the 𝑃𝑀𝐿𝐹𝑇 adopted is 31% for legal Amazon. The 𝐿𝐹𝑀𝐸 used for timber is 0.4, where
mean merchantable biomass as a proportion of total aboveground tree biomass for each forest type is
equal to merchantable biomass as a proportion of total aboveground tree biomass within the project
boundary (𝑃𝑀𝐿𝐹𝑇 = ±15% 𝑡𝑜 𝑃𝑀𝑃𝑖 ). The species that would be harvested in the project area is an
Amazonian species and could only originate from other native forest sites in the Brazilian Amazon.
118
Additionally, they would need to come from woods that are in a state of relative maturity and where it is
simple to locate trees of millable size (> 40 cm DBH). According to Higuchi et al. (1998), the proportion
of stem (merchantable portion) biomass to total aboveground biomass is largely constant in mature
Amazonian forests. It is also not anticipated to vary between the mature native forests in the project area
and those in other regions of the Brazilian Amazon.
Deduction factors for 𝐿𝐹𝑀𝐸 :
𝑃𝑀𝐿𝐹𝑇 = ±15% 𝑡𝑜𝑃𝑀𝑃𝑖 𝐿𝐹𝑀𝐸 = 0.4
𝑃𝑀𝐿𝐹𝑇 > 15% 𝑙𝑒𝑠𝑠 𝑡ℎ𝑎𝑛 𝑃𝑀𝑃𝑖 𝐿𝐹𝑀𝐸 = 0.7
𝑃𝑀𝐿𝐹𝑇 > 15% 𝑔𝑟𝑒𝑎𝑡𝑒𝑟 𝑡ℎ𝑎𝑛 𝑃𝑀𝑃𝑖 𝐿𝐹𝑀𝐸 = 0.2
Where:
𝑃𝑀𝐿𝐹𝑇 Mean merchantable biomass as a proportion of total aboveground tree biomass

for each forest type (%)
𝑃𝑀𝑃𝑖 Merchantable biomass as a proportion of total aboveground tree biomass for

stratum i within the project boundary (%)
𝐿𝐹𝑀𝐸 Leakage factor for market-effects calculations; dimensionless
Moreover, if leakage management activities are established within areas under the control of the project
proponent in order to minimize the displacement of land use activities to areas outside the project area
by maintaining the production of total biomass in commercial species that is merchantable, a leakage
management adjustment factor (𝐿𝐾𝑀𝐴𝐹 ) may be applied (Equation 22). As leakage management
activities have not been established within areas under the control of the proponent and according to
Higuchi et al. (1998), that the proportion of stem biomass (marketable portion) to total aboveground
biomass is constant in mature Amazonian forests, the 𝐿𝐾𝑀𝐴𝐹 was kept at 1.
𝑃𝑅𝑂𝐷𝑀𝐵𝐿𝑀𝐴,𝑡
𝐿𝐾𝑀𝐴𝐹 = 1 − ( ) Equation 22
𝑃𝑅𝑂𝐷𝑀𝐵𝐵𝐿,𝑡
Where:
𝐿𝐾𝑀𝐴𝐹 Leakage management adjustment factor; dimensionless
𝑃𝑅𝑂𝐷𝑀𝐵𝐿𝑀𝐴,𝑡 Production biomass in commercial species that is merchantable in year t in

leakage management areas; t per year
𝑃𝑅𝑂𝐷𝑀𝐵𝐵𝐿,𝑡 Production of biomass in commercial species that is merchantable in year t in
the baseline case; t per year
𝑡 1, 2, 3, … t* time elapsed since the projected start of the REDD project activity;
years
The next step is to estimate the emissions associated with the displaced logging activity. This is based
on the total volume that would have been logged in the baseline in the project area across strata and
time periods (Equation 23):
119
𝐴𝐿𝑇,𝑖 = ∑(𝐶𝐵𝑆𝐿,𝑋𝐵𝑇,𝑖,𝑡 ) Equation 23

𝑡=1
Where:
𝐴𝐿 𝑇,𝑖 Summed emissions from timber harvest in stratum i in the baseline case laced
through implementation of carbon project; t CO 2-e
𝐶𝐵𝑆𝐿,𝑋𝐵𝑇,𝑖,𝑡 Carbon emission due to displaced timber harvests in the baseline scenario in
stratum i in year t; t CO2-e
𝑖 1, 2, 3, …M strata
𝑡 1, 2, 3, … t* time elapsed since the projected start of the REDD project activity;
years
The carbon emission due to the displaced logging has two components: the biomass carbon of the
extracted timber and the biomass carbon in the forest damaged in the process of timber extraction
(Equation 24):
44
𝐶𝐵𝑆𝐿,𝑋𝐵𝑇,𝑖,𝑡 = ((𝑉𝐵𝑆𝐿,𝐸𝑋,𝑖,𝑡 ∗ 𝐷𝑚𝑛 ∗ 𝐶𝐹) + (𝑉𝐵𝑆𝐿,𝐸𝑋,𝑖,𝑡 ∗ 𝐿𝐷𝐹) + (𝑉𝐵𝑆𝐿,𝐸𝑋,𝑖,𝑡 ∗ 𝐿𝐼𝐹)) ∗
12 Equation 24
Where:
𝐶𝐵𝑆𝐿,𝑋𝐵𝑇,𝑖,𝑡 Carbon emission due to timber harvests in the baseline scenario in stratum i in
year t; t CO2-e
𝑉𝐵𝑆𝐿,𝐸𝑋,𝑖,𝑡 Volume of timber projected to be extracted from within the project boundary
during the baseline in stratum i in year t; m3
𝑉𝐵𝑆𝐿,𝐸𝑋,𝑖,𝑡 = 38.3 m3 ha-1 (da SILVA et al., 2001; Veríssimo et al., 1992)
𝐷𝑚𝑛 Mean wood density of commercially harvested species; t d.m.m -3
𝐷𝑚𝑛 = 0.60 t d.m. m -3 (VMD0011-LK-ME-v1.1).
𝐶𝐹 Carbon fraction of biomass for commercially harvested species j; t C t d.m.-1
𝐶𝐹 = 0.47 t C t d.m.-1 ((IPCC, 2006b) page 4.48, Table 4.3).
𝐿𝐷𝐹 Logging damage factor; t C m-3
𝐿𝐷𝐹 = 0.53 t C m-3 (VMD0011-LK-ME-v1.1).
𝐿𝐼𝐹 Logging infrastructure factor; t C m-3
𝐿𝐼𝐹 = 0.29 t C m-3 (VMD0011-LK-ME-v1.1)
𝑖 1, 2, 3, … M strata
𝑡 1, 2, 3, … t* time elapsed since the projected start of the project activity; years
The logging damage factor (𝐿𝐷𝐹) is a representation of the quantity of emissions that will ultimately arise
per unit of extracted timber (m 3). These emissions arise from the non-commercial portion of the felled
tree (the branches and stump) and trees incidentally killed during tree felling. The default values given
here comes from the slope of the regression equation between carbon damaged and volume extracted
120
based on 774 logging gaps measured by Winrock International in Bolivia, Belize, the Republic of Congo,
Brazil and Indonesia, and 134 logging gaps in Mexico.
The logging infrastructure factor (𝐿𝐼𝐹) is a representation of the quantity of emissions that will ultimately
arise per unit of timber (m3) from roads, skid trails and logging decks. The conservative default value is
the upper confidence interval of the average emission from analyses conducted across 1 473 hectares
in the Republic of Congo and 366 hectares in Brazil.
Therefore, the total values for calculating leakage due to market effect, as well as the results for 𝛥𝐶𝐿𝐾−𝑀𝐸
are shown in Table 4.11.
Table 4.11. Net greenhouse gas emissions due to market-effects leakage (t CO 2-e).
𝑨𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊 ∗ 𝑫%𝒑𝒍𝒂𝒏𝒏𝒆𝒅,𝒊,𝒕 𝑪𝑩𝑺𝑳,𝑿𝑩𝑻,𝒊,𝒕 𝑨𝑳𝑻,𝒊 𝑳𝑲𝑴𝒂𝒓𝒌𝒆𝒕𝑬𝒇𝒇𝒆𝒄𝒕𝒔,𝒕𝒊𝒎𝒃𝒆𝒓 𝜟𝑪𝑳𝑲−𝑴𝑬

Year
ha tCO2-e tCO2-e tCO2-e tCO2-e
2022-2023 514.02 79,617.70 79,617.70 31,847.08 31,847.08
2023-2024 514.02 79,617.70 79,617.70 31,847.08 31,847.08
2024-2025 514.02 79,617.70 79,617.70 31,847.08 31,847.08
2025-2026 514.02 79,617.70 79,617.70 31,847.08 31,847.08
2026-2027 514.02 79,617.70 79,617.70 31,847.08 31,847.08
2027-2028 514.02 79,617.70 79,617.70 31,847.08 31,847.08
2028-2029 514.02 79,617.70 79,617.70 31,847.08 31,847.08
2029-2030 514.02 79,617.70 79,617.70 31,847.08 31,847.08
2030-2031 514.02 79,617.70 79,617.70 31,847.08 31,847.08
2031-2032 514.02 79,617.70 79,617.70 31,847.08 31,847.08
2032-2033 - - - - -
2033-2034 - - - - -
2034-2035 - - - - -
2035-2036 - - - - -
2036-2037 - - - - -
2037-2038 - - - - -
2038-2039 - - - - -
2039-2040 - - - - -
2040-2041 - - - - -
2041-2042 - - - - -
2042-2043 - - - - -
2043-2044 - - - - -
2044-2045 - - - - -
2045-2046 - - - - -
2046-2047 - - - - -
2047-2048 - - - - -
2048-2049 - - - - -
2049-2050 - - - - -
2050-2051 - - - - -
2051-2052 - - - - -
Total 5,140.20 318,470.80
4.4 Net GHG Emission Reductions and Removals
121
Net GHG emission reduction estimates are based in VM0007 v1.6. The total net greenhouse gas
emissions reductions of the REDD project activity are calculated as follows (Equation 25, Equation 26
and Equation 27):
𝑁𝐸𝑅𝑅𝐸𝐷𝐷 = 𝛥𝐶𝐵𝑆𝐿−𝑅𝐸𝐷𝐷 − 𝛥𝐶𝑊𝑃𝑆−𝑅𝐸𝐷𝐷 − 𝛥𝐶𝐿𝐾−𝑅𝐸𝐷𝐷

Equation 25
Where:
𝑁𝐸𝑅𝑅𝐸𝐷𝐷 Total net GHG emission reductions of the REDD project activity up to year t*; t
CO2-e
𝛥𝐶𝐵𝑆𝐿−𝑅𝐸𝐷𝐷 Net GHG emissions in the REDD baseline scenario up to year t*; t CO2-e
𝛥𝐶𝑊𝑃𝑆−𝑅𝐸𝐷𝐷 Net GHG emissions in the REDD project scenario up to year t*– from Module
MREDD; t CO2-e
𝛥𝐶𝐿𝐾−𝑅𝐸𝐷𝐷 Net GHG emissions due to leakage from the REDD project activity up to year t*;
t CO2-e
𝛥𝐶𝐵𝑆𝐿−𝑅𝐸𝐷𝐷 = 𝛥𝐶𝐵𝑆𝐿,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 + 𝛥𝐶𝐵𝑆𝐿,𝑢𝑛𝑝𝑙𝑎𝑛𝑛𝑒𝑑 + 𝛥𝐶𝐵𝑆𝐿,deg 𝑟𝑎𝑑−𝐹𝑊 /𝐶

Equation 26
Where:
𝛥𝐶𝐵𝑆𝐿−𝑅𝐸𝐷𝐷 Net GHG emissions in the REDD baseline scenario up to year t*; t CO2-e
𝛥𝐶𝐵𝑆𝐿,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 Net GHG emissions in the baseline scenario from planned deforestation up to
year t*; t CO2-e
𝛥𝐶𝐵𝑆𝐿,𝑢𝑛𝑝𝑙𝑎𝑛𝑛𝑒𝑑 Net GHG emissions in the baseline scenario from unplanned deforestation up
to year t*; t CO2-e
𝛥𝐶𝐵𝑆𝐿,deg 𝑟𝑎𝑑−𝐹𝑊 /𝐶 Net GHG emissions in the baseline scenario from degradation caused by
fuelwood collection and charcoal making up to year t*; t CO2-e
𝛥𝐶𝐿𝐾−𝑅𝐸𝐷𝐷 = 𝛥𝐶𝐿𝐾−𝐴𝑆,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 + 𝛥𝐶𝐿𝐾−𝐴𝑆,𝑢𝑛𝑝𝑙𝑎𝑛𝑛𝑒𝑑 + 𝛥𝐶𝐿𝐾−𝐴𝑆,deg 𝑟𝑎𝑑−𝐹𝑊/𝐶 + 𝛥𝐶𝐿𝐾−𝑀𝐸

Equation 27
Where:
𝛥𝐶𝐿𝐾−𝑅𝐸𝐷𝐷 Net GHG emissions due to leakage from the REDD project activity up to year t*;
t CO2-e
𝛥𝐶𝐿𝐾−𝐴𝑆,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 Net GHG emissions due to activity shifting leakage for projects preventing
planned deforestation up to year t*; t CO2-e
𝛥𝐶𝐿𝐾−𝐴𝑆,𝑢𝑛𝑝𝑙𝑎𝑛𝑛𝑒𝑑 Net GHG emissions due to activity shifting leakage for projects preventing
unplanned deforestation up to year t*; t CO2-e
122
𝛥𝐶𝐿𝐾−𝐴𝑆,deg 𝑟𝑎𝑑−𝐹𝑊/𝐶 Net GHG emissions due to activity shifting leakage for degradation caused by
extraction of wood for fuel up to year t*; t CO2-e
𝛥𝐶𝐿𝐾−𝑀𝐸 Net GHG emissions due to market-effects leakage up to year t*; t CO2-e
Specific procedures for the quantification of the net GHG emissions in the REDD baseline scenario, the
net GHG emissions in the REDD project scenario and GHG emissions due to leakage can be found in
Sections 4.1, 4.2 and 4.3, respectively. Total net GHG emission reductions of the REDD project activity
are reported in Table 4.12.
Table 4.12. Total net GHG emission reductions of the REDD project activity (t CO 2-e) (ex-ante).
Estimated baseline Estimated project

Estimated leakage Estimated net GHG emission
Year emissions or removals emissions or removals
emissions (tCO2-e) reductions or removals (tCO2-e)
(tCO2-e) (tCO2-e)
2022-2023 290,989.76 - 31,847.08 259,142.68
2023-2024 297,742.58 - 31,847.08 265,895.50
2024-2025 304,495.39 - 31,847.08 272,648.31
2025-2026 311,248.21 - 31,847.08 279,401.13
2026-2027 318,001.03 - 31,847.08 286,153.95
2027-2028 324,753.85 - 31,847.08 292,906.77
2028-2029 331,506.66 - 31,847.08 299,659.58
2029-2030 338,259.48 - 31,847.08 306,412.40
2030-2031 345,012.30 - 31,847.08 313,165.22
2031-2032 351,765.12 - 31,847.08 319,918.04
2032-2033 61,425.70 - - 61,425.70
2033-2034 55,323.22 - - 55,323.22
2034-2035 49,220.74 - - 49,220.74
2035-2036 43,118.26 - - 43,118.26
2036-2037 37,015.79 - - 37,015.79
2037-2038 30,913.31 - - 30,913.31
2038-2039 24,810.83 - - 24,810.83
2039-2040 18,708.35 - - 18,708.35
2040-2041 12,605.87 - - 12,605.87
2041-2042 6,503.39 - - 6,503.39
2042-2043 5,853.05 - - 5,853.05
2043-2044 5,202.71 - - 5,202.71
2044-2045 4,552.38 - - 4,552.38
2045-2046 3,902.04 - - 3,902.04
2046-2047 3,251.70 - - 3,251.70
2047-2048 2,601.36 - - 2,601.36
2048-2049 1,951.02 - - 1,951.02
2049-2050 1,300.68 - - 1,300.68
2050-2051 650.34 - - 650.34
2051-2052 - - - -
Total 3,582,685.11 - 318,470.80 3,264,214.31
Uncertainty Analysis
VMD0017 v2.2 is used to perform an uncertainty analysis under the ABC project. In order to create an
overall uncertainty estimate of the total net GHG emission reductions, this module combines uncertainty
123
information with conservative estimations. Uncertainty in baseline estimations were estimated through
an assessment of deforestation rates, stocks in carbon pools and carbon stock changes.
Guidance on uncertainty – a precision target of a 95% confidence interval half-width equal to or less than
15% of the recorded value must be targeted. This is especially important in terms of project planning for
measurement of carbon stocks; sufficient measurement plots should be included to achieve this
precision level across the measured stocks.
Assess Uncertainty in Projection of Baseline Rate of Deforestation or Degradation

Uncertainty in baseline rate of deforestation is set as zero (𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝐵𝑆𝐿,𝑅𝐴𝑇𝐸 = 0), as the
deforestation rates are based on actual deforestation plans (BL-PL), following VMD0017 v2.2, Section
5.1.1 criteria.
Assess Uncertainty of Emissions and Removals in Project Area in Baseline Scenario

Uncertainty in the combined carbon stocks and greenhouse gas sources in the REDD baseline scenario
is estimated according to VMD0017 v2.2 (Equation 28):
2
√∑𝑀
𝑖=1(𝑈𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖 ∗ 𝐸𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖 ) Equation 28
𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆 =
∑𝑀
𝑖=1 𝐸𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖
Where:
𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆 Total uncertainty in the combined carbon stocks and greenhouse gas
sources in the REDD baseline scenario; %
𝑈𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖 Percentage uncertainty in the combined carbon stocks and greenhouse

gas sources in stratum i in the REDD baseline scenario; %
𝐸𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖 Sum of combined carbon stocks and GHG sources in the REDD baseline
scenario; t CO2-e
𝑖 1, 2, 3 …M strata; unitless
Uncertainty should be expressed as the 95% confidence interval half width as a percentage of the mean.
Uncertainty is first propagated across pools within strata. The percentage uncertainty in the combined
carbon stocks and greenhouse gas sources is calculated as follows (Equation 29):
2
√∑𝑛1(𝑈𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖,𝑝𝑜𝑜𝑙# ∗ 𝐸𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖,𝑝𝑜𝑜𝑙# ) Equation 29
𝑈𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖 =
∑𝑛1 𝐸𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖,𝑝𝑜𝑜𝑙#
Where:
𝑈𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖 Percentage uncertainty in the combined carbon stocks and greenhouse gas
sources in the REDD baseline scenario in stratum i; %
124
𝑈𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖,𝑝𝑜𝑜𝑙# Percentage uncertainty for carbon stocks and greenhouse gas sources in the
REDD baseline scenario in stratum i; %
𝐸𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆,𝑖,𝑝𝑜𝑜𝑙# Carbon stock or GHG sources in the REDD baseline scenario; t CO2-e
𝑖 1, 2, 3 …M strata; unitless
Uncertainty in pools derived from field measurement with 95% confidence interval calculated as the
standard error of the averaged plot measurements in each stratum multiplied by the t value for the 95%
confidence level (1.96).
Estimate Total Uncertainty in REDD Baseline Scenario

Total Uncertainty in REDD baseline scenario is estimated according to VMD0017 v2.2 (Equation 30):
𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑡∗ = √𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝐵𝑆𝐿,𝑅𝐴𝑇𝐸,𝑡∗ 2 + 𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆 2 Equation 30
Where:
𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑡∗ Cumulative uncertainty in REDD baseline scenario up to year t*; %
𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝐵𝑆𝐿,𝑅𝐴𝑇𝐸,𝑡∗ Cumulative uncertainty in the baseline rate of deforestation up to year t;

%
𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆 Total uncertainty in the combined carbon stocks and greenhouse gas
sources in the REDD baseline scenario; %
𝑡 1, 2, 3, …t* time elapsed since the start of the project activity; years
𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑡∗ is equal to 𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑆𝑆 since 𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝐵𝑆𝐿,𝑅𝐴𝑇𝐸,𝑡∗ is set to zero.
In the ABC project, as the biomass considered for now was from a bibliographic reference, the uncertainty
values were obtained by the same reference (Nogueira et al., 2015). Therefore, the uncertainty of Table
4.2 was propagated (standard error−σx̅ propagation equations) to the final calculation of the baseline
carbon stock and then the percentage uncertainty of the estimate was calculated (Equation 30).
Uncertainty Ex Post in the REDD Project Scenario

As no ex post (re)measurements of carbon pools or GHG sources were made, the uncertainty of these
sources is already included in 𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷−𝐵𝑆𝐿,𝑡∗ and 𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷−𝑊𝑃𝑆 is set to zero.
Total Error in the REDD+ Project Activity

Calculation of leakage is conservative in all instances and therefore uncertainty in leakage is not
considered here. Total project uncertainty is therefore equal to the combined uncertainty in baseline and
project estimates for the REDD activities (Equation 31). The total error in the REDD+ project activity is
therefore calculated according to the scope of the project.
125
2 1
𝑁𝐸𝑅𝑅𝐸𝐷𝐷+𝐸𝑅𝑅𝑂𝑅 = √(𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷𝐵𝑆𝐿 ,𝑡∗ ∗ 𝛥𝐶𝐵𝑆𝐿−𝑅𝐸𝐷𝐷,𝑡∗ ) ∗ ( ) Equation 31
𝛥𝐶𝐵𝑆𝐿−𝑅𝐸𝐷𝐷,𝑡∗
Where:
𝑁𝐸𝑅𝑅𝐸𝐷𝐷+𝐸𝑅𝑅𝑂𝑅 Cumulative uncertainty for the REDD+ (REDD and WRC) project activities
up to year t*; %
𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷𝐵𝑆𝐿 ,𝑡∗ Cumulative uncertainty in REDD baseline scenario up to year t; %
𝛥𝐶𝐵𝑆𝐿−𝑅𝐸𝐷𝐷,𝑡∗ Net GHG emissions in the REDD baseline scenario up to year t*; t CO2-e
𝑡 1, 2, 3, …t* time elapsed since the project start; year
Therefore, we can consider that the Equation 31 can be simplified to 𝑁𝐸𝑅𝑅𝐸𝐷𝐷+𝐸𝑅𝑅𝑂𝑅 =

𝑈𝑛𝑐𝑒𝑟𝑡𝑎𝑖𝑛𝑡𝑦𝑅𝐸𝐷𝐷𝐵𝑆𝐿 ,𝑡∗ .
Implications for Project Accounting

The allowable uncertainty in this methodology REDD-MF is +/- 15% of NERREDD+ at the 95% confidence
level. Where uncertainty exceeds 15% of NERREDD+ at the 95% confidence level then the deduction
shall be equal to the amount that the uncertainty exceeds the allowable level. The adjusted value for
𝑁𝐸𝑅𝑅𝐸𝐷𝐷 to account for uncertainty shall be calculated as described in Equation 32.
𝐴𝑑𝑗𝑢𝑠𝑡𝑒𝑑_𝑁𝐸𝑅𝑅𝐸𝐷𝐷+ = 𝑁𝐸𝑅𝑅𝐸𝐷𝐷 ∗ (100% − 𝑁𝐸𝑅𝑅𝐸𝐷𝐷+𝐸𝑅𝑅𝑂𝑅 + 15%)

Equation 32
Where:
𝐴𝑑𝑗𝑢𝑠𝑡𝑒𝑑_𝑁𝐸𝑅𝑅𝐸𝐷𝐷+ Total net GHG emission reductions of the REDD+ project activities up to
year t* adjusted to account for uncertainty; t CO2-e
𝑁𝐸𝑅𝑅𝐸𝐷𝐷+𝐸𝑅𝑅𝑂𝑅 Cumulative uncertainty for the REDD+ (REDD and WRC) project activities
up to year t*; %
Factors related to the activities of the ARR or WRC project were not accounted for because they were not
included in the scope of this project. As the uncertainty level was set at +/- 15%, no deductions should
result for the uncertainty (Table 4.13).
126
Table 4.13. Cumulative uncertainty for the REDD+ project activities and Total net GHG emission
reductions of the REDD+ project activities up to year t* adjusted to account for uncertainty (t
CO2-e) (ex-ante).
NERREDD NERREDD+ERROR Adjusted_NERREDD+

Year
(tCO2-e) % (tCO2-e)
2022-2023 259,142.68 4.66% 259,142.68
2023-2024 265,895.50 4.56% 265,895.50
2024-2025 272,648.31 4.48% 272,648.31
2025-2026 279,401.13 4.39% 279,401.13
2026-2027 286,153.95 4.31% 286,153.95
2027-2028 292,906.77 4.24% 292,906.77
2028-2029 299,659.58 4.16% 299,659.58
2029-2030 306,412.40 4.09% 306,412.40
2030-2031 313,165.22 4.02% 313,165.22
2031-2032 319,918.04 3.96% 319,918.04
2032-2033 61,425.70 5.19% 61,425.70
2033-2034 55,323.22 5.44% 55,323.22
2034-2035 49,220.74 5.72% 49,220.74
2035-2036 43,118.26 6.04% 43,118.26
2036-2037 37,015.79 6.43% 37,015.79
2037-2038 30,913.31 6.89% 30,913.31
2038-2039 24,810.83 7.44% 24,810.83
2039-2040 18,708.35 8.07% 18,708.35
2040-2041 12,605.87 8.52% 12,605.87
2041-2042 6,503.39 2.47% 6,503.39
2042-2043 5,853.05 2.60% 5,853.05
2043-2044 5,202.71 2.76% 5,202.71
2044-2045 4,552.38 2.95% 4,552.38
2045-2046 3,902.04 3.19% 3,902.04
2046-2047 3,251.70 3.49% 3,251.70
2047-2048 2,601.36 3.91% 2,601.36
2048-2049 1,951.02 4.51% 1,951.02
2049-2050 1,300.68 5.53% 1,300.68
2050-2051 650.34 7.81% 650.34
2051-2052 - - -
Total 3,264,214.31 3,264,214.31
Calculation of AFOLU Pooled Buffer Account Contribution
127
The number of credits to be held in the AFOLU pooled buffer account is determined as a percentage of
the total carbon stock benefits. For this project, this is equal to the net GHG emissions in the baseline
minus the net emissions in the project case. Leakage emissions do not factor into the buffer calculations.
Non_CO2 emissions from fossil fuels and fertilizer usage were conservatively excluded from the project
scope. Buffer is calculated through VM0007 v1.6 (Equation 33).
𝑡∗ 𝑀 Equation 33
𝐵𝑢𝑓𝑓𝑒𝑟𝑝𝑙𝑎𝑛𝑒𝑒𝑑 = (𝛥𝐶𝐵𝑆𝐿,𝑝𝑙𝑎𝑛𝑒𝑒𝑑 − ∑ ∑(𝐸𝐹𝐶,𝑖,𝑡 + 𝑁2 𝑂𝑑𝑖𝑟𝑒𝑐𝑡,𝑖,𝑡 ))
𝑡=1 𝑖=1
𝐵𝑆𝐿 𝑝𝑙𝑎𝑛𝑛𝑒𝑑
(
𝑡∗ 𝑀
− (𝛥𝐶𝑃,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 − ∑ ∑(𝐸𝐹𝐶,𝑖,𝑡 + 𝑁2 𝑂𝑑𝑖𝑟𝑒𝑐𝑡,𝑖,𝑡 )) ∗ 𝐵𝑢𝑓𝑓𝑒𝑟%

𝑡=1 𝑖=1
𝑃 𝑝𝑙𝑎𝑛𝑒𝑒𝑑
)
Where:
𝐵𝑢𝑓𝑓𝑒𝑟𝑝𝑙𝑎𝑛𝑒𝑒𝑑 Buffer withholding for avoiding planned deforestation project activities; t CO 2-e
𝛥𝐶𝐵𝑆𝐿,𝑝𝑙𝑎𝑛𝑒𝑒𝑑 Net greenhouse gas emissions in the baseline from planned deforestation up to
year t*; t CO2-e
𝐸𝐹𝐶,𝑖,𝑡 Net CO2-e emission from fossil fuel combustion in stratum i in year t; t CO 2-e
𝑁2 𝑂𝑑𝑖𝑟𝑒𝑐𝑡,𝑖,𝑡 Direct N2O emission as a result of nitrogen application on the alternative land
use within the project boundary in stratum i in year t; t CO 2-e
𝛥𝐶𝑃,𝑝𝑙𝑎𝑛𝑛𝑒𝑑 Net GHG emissions within the project area in the project scenario; t CO 2-e
𝐵𝑢𝑓𝑓𝑒𝑟% Buffer withholding percentage; %
The buffer pool allocation was estimated using the AFOLU Non-Permanence Risk Tool v.4.0 and the
resulting value for the second baseline period was 10%.
Calculation of Verified Carbon Units

Total number of Verified Carbon Units (VCUs) generated by the project activity implementation is
estimated (ex-ante) according to VM0007 v1.6 (Equation 34). It is important to remember that only ex-
ante estimates were considered.
𝑉𝐶𝑈𝑡 = 𝐴𝑑𝑗𝑢𝑠𝑡𝑒𝑑𝑁𝐸𝑅𝑅𝐸𝐷𝐷+ − 𝐵𝑢𝑓𝑓𝑒𝑟𝑃𝑙𝑎𝑛𝑛𝑒𝑑

Equation 34
Where:
𝑉𝐶𝑈𝑡 Number of Verified Carbon Units at year t = t2 - t1; VCU
128
𝐴𝑑𝑗𝑢𝑠𝑡𝑒𝑑𝑁𝐸𝑅𝑅𝐸𝐷𝐷+ Total net GHG emission reductions of the REDD+ project activity up
adjusted to account for uncertainty; t CO2-e
𝐵𝑢𝑓𝑓𝑒𝑟𝑃𝑙𝑎𝑛𝑛𝑒𝑑 Total permanence risk buffer withholding; t CO2-e
Hence, the estimated net GHG emission reductions or removals result from the difference between (i)
the net GHG emission reductions or removals and (ii) buffer pool allocation (Table 4.14).
Table 4.14. Total net GHG emission reductions of the REDD project activity (t CO 2-e) (ex-ante)
and Buffer pool allocation (t CO2-e).

Buffer pool allocation 𝑽𝑪𝑼𝒕
Year or removals or 𝑨𝒅𝒋𝒖𝒔𝒕𝒆𝒅_𝑵𝑬𝑹𝑹𝑬𝑫𝑫+
(t CO2-e) (t CO2-e)
(t CO2-e)
2022-2023 259,142.68 25,914.27 233,228
2023-2024 265,895.50 26,589.55 239,305
2024-2025 272,648.31 27,264.83 245,383
2025-2026 279,401.13 27,940.11 251,461
2026-2027 286,153.95 28,615.39 257,538
2027-2028 292,906.77 29,290.68 263,616
2028-2029 299,659.58 29,965.96 269,693
2029-2030 306,412.40 30,641.24 275,771
2030-2031 313,165.22 31,316.52 281,848
2031-2032 319,918.04 31,991.80 287,926
2032-2033 61,425.70 6,142.57 55,283
2033-2034 55,323.22 5,532.32 49,790
2034-2035 49,220.74 4,922.07 44,298
2035-2036 43,118.26 4,311.83 38,806
2036-2037 37,015.79 3,701.58 33,314
2037-2038 30,913.31 3,091.33 27,821
2038-2039 24,810.83 2,481.08 22,329
2039-2040 18,708.35 1,870.84 16,837
2040-2041 12,605.87 1,260.59 11,345
2041-2042 6,503.39 650.34 5,853
2042-2043 5,853.05 585.31 5,267
2043-2044 5,202.71 520.27 4,682
2044-2045 4,552.38 455.24 4,097
2045-2046 3,902.04 390.20 3,511
2046-2047 3,251.70 325.17 2,926
2047-2048 2,601.36 260.14 2,341
2048-2049 1,951.02 195.10 1,755
2049-2050 1,300.68 130.07 1,170
2050-2051 650.34 65.03 585
2051-2052 - - -
Total 3,264,214.31 326,421.43 2,937,792
5 MONITORING
129
5.1 Data and Parameters Available at Validation

Data / Parameter 𝐴𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡
Data unit ha
Description Annual area of baseline planned deforestation for stratum i at time

t
Source of data Calculated based on VMD0006 v1.3 equation 4
Value applied See the values applied in the Table 4.1
Justification of choice of Estimated based on projected annual proportion of land that will
data or description of be deforested in stratum i during year t, the total area of planned
measurement methods deforestation over the baseline period for stratum I and the
and procedures applied likelihood of deforestation for stratum i according to VMD0006
v1.3.
Purpose of Data Calculation of baseline emissions.
Comments -
Data / Parameter 𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖
Data unit ha
Description Projected annual proportion of land that will be deforested in

stratum i during year t.
Source of data Vegetation Management Plan
Value applied 5,140.20
Justification of choice of Determined according to what is recognized as an immediate site-

data or description of specific threat of deforestation, which, in its turn, is a function of
measurement methods the legal permissibility for deforestation, the suitability of the
and procedures applied project area for conversion to alternative non-forest land use, the
government approval for deforestation and a management plan
for deforesting the project area. See Section 3.4 for a complete
description of measurement methods and procedures applied.
Purpose of Data Calculation of baseline emissions.
Comments -
Data / Parameter 𝐷%𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡
130
Data unit %
Description Total area of planned deforestation over the baseline period for
stratum i
Source of data Vegetation Management Plan
Value applied 10%
Justification of choice of Where a valid verifiable plan exists for rate at which deforestation
data or description of is projected to occur, this rate must be used, according to
measurement methods VMD0006 v1.3, Section 1.3 criteria.
and procedures applied
Purpose of Data Determination of baseline scenario.
Comments -
Data / Parameter 𝐿 − 𝐷𝑖
Data unit %
Description Likelihood of deforestation for stratum i
Source of data VMD0006 v1.3
Value applied 100
Justification of choice of For all areas not both under Government control and zoned for
data or description of deforestation, L-Di must be equal to 1. Must be revisited at the
measurement methods time of baseline revision
Purpose of Data Determination of baseline scenario
Comments -
Data / Parameter CF
Data unit t C t d.m-1
Description Default value of carbon fraction in biomass
Source of data (IPCC, 2006b) page 4.48, Table 4.3
Value applied 0.47
131
Justification of choice of The default value was used to be more conservative

data or description of
measurement methods
Purpose of Data • Calculation of baseline emissions

• Calculation of leakage
Comments -
Data / Parameter ab
Data unit Mg ha-1
Description Average biomass stock per hectare in the aboveground biomass

pool of initial forest class i
Source of data Nogueira et al., 2015
Justification of choice of Average biomass stock per hectare in the aboveground biomass
data or description of pool was estimated based on peer-reviewed literature
measurement methods
Purpose of Data Calculation of baseline emissions
Comments -
Data / Parameter 𝐶𝐴𝐵𝑡𝑟𝑒𝑒

𝑏𝑠𝑙 ,𝑖
Data unit t CO2-e ha-1
Description Forest carbon stock in aboveground tree biomass in stratum i
Source of data Estimated based on peer-reviewed literature (Nogueira et al.,

2015).
Value applied 550.76
Justification of choice of Forest carbon stock in aboveground tree biomass was estimated
data or description of based on peer-reviewed literature
measurement methods 44
and procedures applied 𝐶𝐴𝐵𝑡𝑟𝑒𝑒 = ab ∗ CF ∗
132
Comments -
Data / Parameter 𝐶𝐴𝐵𝑡𝑟𝑒𝑒𝑝𝑜𝑠𝑡,𝑖
Description Post-deforestation carbon stock in aboveground tree biomass in

stratum i
Source of data Secondary data from peer-reviewed literature (Silva Neto et al.,
2012)
Value applied 13.56
Justification of choice of Post-deforestation carbon stock in aboveground tree biomass is

data or description of taken from peer reviewed literature (Silva Neto et al., 2012)
measurement methods considering an average degradation and the total dry mass
Comments -
Data / Parameter 𝛥𝐶𝐴𝐵𝑡𝑟𝑒𝑒,𝑖
Description Baseline carbon stock change in aboveground tree biomass in

stratum i
Source of data Calculated based on VMD0006 v1.3 Equation 6
Justification of choice of Estimated based on the forest carbon stock in aboveground tree
data or description of biomass in stratum i and the post-deforestation carbon stock in
measurement methods
aboveground tree biomass in stratum i
𝛥𝐶𝐴𝐵𝑡𝑟𝑒𝑒,𝑖 = 𝐶𝐴𝐵𝑡𝑟𝑒𝑒 − 𝐶𝐴𝐵𝑡𝑟𝑒𝑒
𝑏𝑠𝑙 ,𝑖 𝑝𝑜𝑠𝑡 ,𝑖
Comments -
133
Data / Parameter 44/12
Data unit Dimensionless
Description Ratio converting C to CO 2-e
Source of data -
Value applied 44/12 = 3.67
Justification of choice of Conversion of carbon to carbon dioxide

measurement methods

Comments -
Data / Parameter bb
Data unit Mg ha-1
Description Average biomass stock per hectare in the belowground biomass

pool of initial forest class i
Source of data The aboveground is converted into belowground biomass through

a root-shoot ratio
Justification of choice of Average biomass stock per hectare in the belowground biomass
data or description of pool was estimated based on peer-reviewed literature and through
measurement methods a root-shoot ratio
Comments -
Data / Parameter Root-shoot ratio
Data unit t root d.m.t-1 shoot d.m.
Description Root to shoot ratio appropriate to species or forest type / biome;

note that as defined here, root to shoot ratio is applied as
134
belowground biomass per unit area: aboveground biomass per

unit area (not on a per stem basis)
Source of data IPCC, 2019 – Table 4.4
Value applied 0.221
Justification of choice of The ecological zone was selected as a Tropical Rain Forest on the
data or description of South American continent
measurement methods
Comments -
Data / Parameter 𝐶𝐵𝐵𝑡𝑟𝑒𝑒

𝑏𝑠𝑙 ,𝑖
Description Forest carbon stock in belowground tree biomass in stratum i
Source of data Estimated based on peer-reviewed literature (Silva Neto et al.,

2012)
Justification of choice of Calculated from carbon stock in aboveground biomass in trees in

data or description of the baseline in stratum i and root to shoot ratios
and procedures applied CBB_tree,bsl,i = bb ∗ CF ∗
12
Comments -
Data / Parameter 𝐶𝐵𝐵𝑡𝑟𝑒𝑒𝑝𝑜𝑠𝑡,𝑖
Description Post-deforestation carbon stock in belowground tree biomass in

stratum i
Source of data Estimated based on peer-reviewed literature (Silva Neto et al.,

2012)
Value applied 3.00
135
Justification of choice of Post-deforestation carbon stock in belowground tree is taken from

data or description of peer reviewed literature (Silva Neto et al., 2012) considering an
measurement methods average degradation and the total dry mass
Comments -
Data / Parameter 𝛥𝐶𝐵𝐵_𝑡𝑟𝑒𝑒,𝑖
Description Baseline carbon stock change in belowground tree biomass in

stratum i
Justification of choice of Estimated based on the forest carbon stock in aboveground tree
data or description of biomass in stratum i and the post-deforestation carbon stock in
measurement methods
aboveground tree biomass in stratum i
𝛥𝐶𝐵𝐵_𝑡𝑟𝑒𝑒,𝑖 = 𝐶𝐵𝐵𝑡𝑟𝑒𝑒 − 𝐶𝐵𝐵𝑡𝑟𝑒𝑒𝑝𝑜𝑠𝑡,𝑖
𝑏𝑠𝑙 ,𝑖
Comments -
Data / Parameter 𝐶𝑊𝑃,𝑖
Description Carbon stock entering the wood products pool from stratum i
Value applied 30.12
Justification of choice of Estimated based on mean stock of extracted biomass carbon by

data or description of class of wood product ty from stratum i and the wood waste (the
measurement methods fraction immediately emitted through mill inefficiency by class of
and procedures applied wood product)
136
Comments -
Data / Parameter 𝐶𝑋𝐵,𝑡𝑦,𝑖
Description Mean stock of extracted biomass carbon by class of wood product

ty from stratum i
Value applied 39.64
Justification of choice of Estimated based on volume of timber extracted from stratum i

data or description of (does not include slash left onsite) by species j and wood product
measurement methods class ty measurement methods and procedures applied, mean
and procedures applied wood density of species j, carbon fraction and the total area of
stratum
Comments -
Data / Parameter 𝑊𝑊𝑡𝑦
Description Wood waste. The fraction immediately emitted through mill

inefficiency by class of wood product ty
Source of data Pearson et al. (2012), page 8
Value applied 0.24
Justification of choice of Waste wood gives the proportion emitted immediately due to
data or description of factory inefficiency which is 0.19 in developed countries, 0.24 in
measurement methods developing countries.
Comments -
Data / Parameter 𝑉𝑒𝑥,𝑡𝑦,𝑗,𝑖
137
Data unit m3 ha-1
Description Volume of timber extracted from within stratum i (does not include
slash left onsite) by species j and wood product class ty
Source of data da SILVA et al., 2001; Veríssimo et al., 1992, Table 1
Value applied 38.3
Justification of choice of Estimated value based on the average of the values presented in
data or description of Table 1 by Veríssimo et al., 1992 for a forest stratum similar to the
measurement methods ABC project

Comments -
Data / Parameter 𝐷𝑗
Data unit t d.m.m-3
Description Mean wood density of species j
Source of data Default value of VMD0011 LK-ME v1.1
Value applied 0.60
Justification of choice of Regional average (0.58 t d.m.m-3 - tropical Africa; 0.60 t d.m.m -3 -
data or description of tropical America; 0.57 t d.m.m -3 - tropical Asia) from Brown, S.
measurement methods 1997. Estimating Biomass and Biomass Change of Tropical
and procedures applied Forests: a Primer. For the Food and Agriculture Organization of the
United Nations. Rome, 1997. FAO Forestry Paper - 134. ISBN 92-
5-103955-0.

Comments -
Data / Parameter 𝐶𝑊𝑃100,𝑖
138
Description Carbon stock entering the wood products pool at the time of
deforestation that is expected to be emitted over 100 years from
stratum i
Value applied 25.30
Justification of choice of Estimated base on carbon stock entering wood products pool at
data or description of time of deforestation from stratum i, fraction of wood products
measurement methods that will be emitted to the atmosphere within 5 years of timber
and procedures applied harvest by class of wood product ty, and Fraction of wood products
that will be emitted to the atmosphere between 5 and 100 years
of timber harvest by class of wood product ty
Comments -
Data / Parameter 𝑆𝐿𝐹𝑡𝑦
Description Fraction of wood products that will be emitted to the atmosphere

within 5 years of timber harvest by class of wood product ty
Source of data page 276, (Winjum et al., 1998) and page 8, (Pearson et al., 2012)
Value applied 0.2
Justification of choice of Winjum et al. 1998 give the following proportions for wood
data or description of products with short-term (<5 yr) uses after which they are retired
measurement methods and oxidized (applicable internationally): Sawnwood: 0.2
The methodology makes the assumption that all other classes of
wood products, and where wood product class ty is unknown, are
100% oxidized within 5 years
Comments -
Data / Parameter 𝑂𝑓𝑡𝑦
139
Description Fraction of wood products that will be emitted to the atmosphere

between 5 and 100 years of timber harvest by class of wood
product ty
Source of data page 276, (Winjum et al., 1998) and page 8, (Pearson et al., 2012)
Value applied 0.8
Justification of choice of Default value suggested by Winjun et al., 1998

measurement methods
Comments -
Data / Parameter 𝐺𝐻𝐺𝐵𝑆𝐿,𝑖,𝑡
Data unit t CO2-e
Description Greenhouse gas emissions as a result deforestation activities

within the project boundary in the stratum i in year t
Justification of choice of Calculated based on the non-CO2 emissions due to biomass

data or description of burning in stratum i in year t
measurement methods
Comments -
Data / Parameter 𝐸𝐵𝑖𝑜𝑚𝑎𝑠𝑠𝑎𝐵𝑢𝑟𝑛,𝑖,𝑡
Data unit t CO2-e
Description Non-CO2 emissions due to biomass burning in stratum i in year t
140
Justification of choice of Calculated based on area burnt for stratum i in year t, average
data or description of aboveground biomass stock before burning stratum i, in year t,
measurement methods combustion factor for stratum i, emission factor for stratum i for
and procedures applied gas g and the Global warming potential for gas g
Comments -
Data / Parameter 𝐴𝑏𝑢𝑟𝑛,𝑖,𝑡
Data unit ha
Description Area burnt for stratum i in year t
Source of data Equal to 𝐴𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡 in the baseline case
Justification of choice of For the calculation of baseline emissions, the burned area is
data or description of considered equivalent to the annual deforested area, assuming
measurement methods that all deforestation is preceded by a fire to clear the land in the
and procedures applied baseline case
Comments -
Data / Parameter 𝐵𝑖,𝑡
Data unit t d.m. ha-1
Description Average aboveground biomass stock before burning stratum i in

year t
Justification of choice of Calculated based on carbon stock in aboveground biomass in

data or description of trees in stratum i in year t, Carbon stock in dead wood for stratum
measurement methods i in year t, Carbon stock in litter for stratum i in year t and Carbon
and procedures applied fraction of biomass
Comments -
141
Data / Parameter 𝐶𝑂𝑀𝐹𝑖
Description Combustion factor for stratum i
Source of data Table 2.6, page 2.55, IPCC (2006a)
Value applied 0.59
Justification of choice of Default values in Table 2.6 of IPCC, 2006a

measurement methods
Comments -
Data / Parameter 𝐺𝑔,𝑖
Data unit kg t-1 d.m. burnt
Description Emission factor for stratum i for gas g
Source of data Table 2.5, page 2.54, IPCC (2006a)
Value applied 𝐺𝑔,𝐶𝐻4 = 6.8 kg t-1, 𝐺𝑔,𝑁𝑂2 = 0.2 kg t-1
Justification of choice of Default values in Table 2.6 of IPCC, 2006a

measurement methods
Comments -
Data / Parameter 𝐺𝑊𝑃𝑔
Data unit t CO2/t gas g
Description Global warming potential for gas g
Source of data Box 3.2, Table 1, page 87, IPCC (2014)
142
Value applied 𝐺𝑊𝑃𝐶𝐻4 = 28 t CO2 tgas-1, 𝐺𝑊𝑃𝑁𝑂2 = 265 t CO2 tgas-1
Justification of choice of Default factor from the latest IPCC Assessment Report
measurement methods
Comments -
Data / Parameter 𝐶𝐴𝐵𝑡𝑟𝑒𝑒 ,𝑖,𝑡
Description Carbon stock in aboveground biomass in trees in stratum i in year

t
Source of data Estimated based on peer-reviewed literature (Nogueira et al.,

2015)
Justification of choice of Forest carbon stock in aboveground tree biomass was estimated
data or description of based on peer-reviewed literature
and procedures applied 𝐶𝐴𝐵𝑡𝑟𝑒𝑒 = ab ∗ CF ∗
Comments -
Data / Parameter 12/44
Description Ratio converting CO2-e to C
Source of data -
Value applied 12/44 = 0.27
Justification of choice of Conversion of carbon dioxide to carbon

measurement methods
143
Comments -
Data / Parameter 𝛥𝐶𝐵𝑆𝐿,𝑖,𝑡
Data unit t CO2-e
Description Net carbon stock changes in all pools in the baseline stratum i in
year t
Justification of choice of Estimated based on the annual area of baseline planned

data or description of deforestation for stratum i in year t, the baseline carbon stock
measurement methods change in aboveground tree biomass in stratum i, the baseline
and procedures applied carbon stock change in belowground tree biomass in stratum i, the
baseline carbon stock change in wood products in stratum i, and
the carbon stock entering the wood products pool at the time of
deforestation that is expected to be emitted over 100-years from
stratum i.
Comments -
Data / Parameter 𝛥𝐶𝐵𝑆𝐿,𝑝𝑙𝑎𝑛𝑛𝑒𝑑
Data unit t CO2-e
Description Net greenhouse gas emissions in the baseline from planned

deforestation up to year t*
Justification of choice of Estimated based on the net carbon stock changes in all pools in
data or description of the baseline and GHG emissions as a result of deforestation
measurement methods activities within the project boundary in the baseline stratum i in
and procedures applied year t
Comments -
144
Data / Parameter 𝛥𝐶𝐿𝐾−𝑀𝐸
Data unit t CO2-e
Description Net greenhouse gas emissions due to market-effects leakage
Justification of choice of Total leakage due to market effects is equal to the sum of market-
data or description of effects leakage through decreased timber harvest and decreased
measurement methods harvest for fuelwood / charcoal production
Purpose of Data Calculation of leakage
Comments -
Data / Parameter 𝐿𝐾𝑀𝑎𝑟𝑘𝑒𝑡𝐸𝑓𝑓𝑒𝑐𝑡𝑠,𝑡𝑖𝑚𝑏𝑒𝑟
Data unit t CO2-e
Description Total GHG emissions due to market-effects leakage through

decreased timber harvest
Justification of choice of Leakage due to market effects is equal to the baseline emissions
data or description of from logging multiplied by a leakage factor and, where applicable,
measurement methods by a leakage management factor
Comments -
Data / Parameter 𝐿𝐹𝑀𝐸
Description Leakage factor for market-effects calculations
145
Source of data VMD0011 LK-ME v1.1
Value applied 0.4
Justification of choice of When the mean biomass is equal 15% to the biomass within the
data or description of project boundaries, the 𝐿𝐹𝑀𝐸 shall be considered 0.4. In the ABC
measurement methods project, the biomass of the total trees aboveground is considered
and procedures applied equal in the Amazon Biome and in the Project Area
Comments -
Data / Parameter 𝐿𝐾𝑀𝐴𝐹
Description Leakage management adjustment factor
Value applied 1
Justification of choice of As leakage management activities have not been established

data or description of within areas under the control of the proponent and according to
measurement methods Higuchi et al. (1998), that the proportion of stem biomass
and procedures applied (marketable portion) to total aboveground biomass is constant in
mature Amazonian forests, the 𝐿𝐾𝑀𝐴𝐹 was kept at 1.
Comments -
Data / Parameter 𝐶𝐵𝑆𝐿,𝑋𝐵𝑇,𝑖,𝑡
Data unit t CO2-e
Description Carbon emission due to displaced timber harvests in the baseline

scenario in stratum i in year t
Justification of choice of The carbon emission due to the displaced logging has two
data or description of components: the biomass carbon of the extracted timber and the
146
measurement methods biomass carbon in the forest damaged in the process of timber
and procedures applied extraction
Comments -
Data / Parameter 𝐿𝐷𝐹
Data unit t C m-3
Description Logging damage factor
Value applied 0.53
Justification of choice of Default value for broadleaf and mixed forests of 0.53 t C m -3.
data or description of Default value for broadleaf and mixed forests of 0.53 t C m -3 from
measurement methods 774 logging gaps measured by Winrock International in Bolivia,
and procedures applied Belize, the Republic of Congo, Brazil and Indonesia may be used
for tropical broadleaf forests
Comments -
Data / Parameter 𝐿𝐼𝐹
Data unit t C m-3
Description Logging infrastructure factor
Value applied 0.29
Justification of choice of Conservative default value of 0.29 t C m -3 calculated from 1,839

data or description of hectares of logging concessions analysed by Winrock International
measurement methods in the Republic of Congo and Brazil, may be used for tropical
and procedures applied broadleaf forests
Comments -
5.2 Data and Parameters Monitored
147
Data / Parameter Project Forest Cover Monitoring Map
Data unit N/A
Description Map showing the location of forest land within the project area at
the beginning of each monitoring period. If within the Project Area
some forest land is cleared, the benchmark map must show the
deforested areas at each monitoring event.
Source of data Remote sensing in combination with GPS data collected during
ground truthing
Description of The measurement methods and procedures applied are described

measurement methods in Approved VCS Module VMD0015-M-REDD-v2.2 - methods for
and procedures to be monitoring of GHG emissions and removals in REDD and CIW
applied projects.
Frequency of Must be monitored at least every 5 years or if verification occurs

monitoring/recording on a frequency of less than every 5 years examination must occur
prior to any verification event
Value applied N/A
Monitoring equipment Remote sensing and GPS.
QA/QC procedures to be The minimum map accuracy must be 90% for the classification of
applied forest/non-forest in the remote sensing imagery.
If the classification accuracy is less than 90% then the map is not
acceptable for further analysis. More remote sensing data and
ground truthing data will be needed to produce a product that
reaches the 90% minimum mapping accuracy.
Purpose of data • Calculation of baseline emissions

• Calculation of project emissions
Calculation method N/A
Comments N/A
Data / Parameter 𝐴𝑏𝑢𝑟𝑛,𝑖,𝑡
Data unit ha
Description Area burnt for stratum i in year t
Source of data Remote sensing data
148
Description of It is considered that burning is a common practice in the region,

measurement methods and that all deforested area undergoes burning in a given moment
and procedures to be
applied
Frequency of Areas burnt will be monitored every 5 years or if verification occurs

monitoring/recording on a frequency of less than every 5 years, examination will occur
Value applied N/A
Monitoring equipment Remote sensing and GPS
QA/QC procedures to be Best practices in remote sensing and GIS:

applied
1) Land use and land cover mapping is assessed using
Landsat satellites images with resolution 30 meters
(MapBiomas, 2022a) validating through a pixel-by-pixel
based machine learning algorithms classification using
Google Earth Engine.
2) The Mapbiomas methodology uses image with minimal
cloud cover product of Landsat scenes mosaicked from
various months of the year (MapBiomas, 2022a).
3) An independent verifiable accuracy assessment was
performed using high-resolution image with 5 m
resolution from Planet Image to confirm the minimum
map accuracy of 90% for each land use class used.
4) Conservatively the secondary forest is eliminated of the
forest class according to Silva Junior et al. (2020).
Also, with the objective of reducing the classification error
between forest cover maps, a PRODES hydrography mask was
downloaded by TerraBrasilis plataform is added in each forest
cover maps map, in this way, this land use class remained
unchanged in all years (Assis et al., 2019)

• Calculation of project emissions
Comments As burning of biomass is common practice in the region, it was

considered that all the deforested areas were burnt –
deforestation cycle includes burning
Data / Parameter 𝐴𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡
149
Data unit ha
Description Annual area of baseline planned deforestation for stratum i at

time t
Source of data Calculated according to VMD0006 v1.3, Equation 5
Description of Calculated based on the Projected annual proportion of land that

measurement methods will be deforested in stratum i during year t, Total area of planned
and procedures to be deforestation over the baseline period for stratum i and Likelihood
applied of deforestation for stratum i
Frequency of Must be monitored every 5 years or if verification occurs on a

monitoring/recording frequency of less than every 5 years, examination will occur prior
to any verification event
Monitoring equipment N/A
QA/QC procedures to be N/A

applied
Purpose of data Calculation of baseline emissions
Calculation method VMD0006 v1.3, Equation 5
Comments -
Data / Parameter 𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖
Data unit ha

stratum i during year t
Source of data Forest suppression plan
Description of According to the Forest Suppression Plan

measurement methods
applied
Frequency of Must be examined at least every 5 years or if verification occurs

150

applied
Comments -
Data / Parameter 𝐴𝐷𝑒𝑓𝑃𝐴,𝑢,𝑖,𝑡
Data unit ha
Description Area of recorded deforestation in the project area stratum i

converted to land use u in year t
Description of Remote sensing tools

measurement methods
applied

Value applied N/A
Monitoring equipment Remote sensing and GPS

applied
151

Purpose of data Calculation of project emissions
Comments -
Data / Parameter 𝛥𝐶𝑃,𝐷𝑒𝑓𝑃𝐴,𝑖,𝑡
Data unit t CO2-e
Description Net carbon stock change as a result of deforestation in the project

area in the project case in stratum i in year t
Description of Calculated based on the area of recorded deforestation in the

measurement methods project area stratum i converted to land use u at time t and the
and procedures to be net carbon stock changes in all pools in the project case in land
applied use u in stratum i at time t

Value applied N/A

applied
Comments -
Data / Parameter 𝛥𝐶𝑝𝑜𝑜𝑙𝑠,𝐷𝑒𝑓,𝑢,𝑖,𝑡
152
Description Net carbon stock changes in all pools as a result of deforestation

in the project case in land use u in stratum i in year t
Description of Calculated based on carbon stock in all pools in the baseline case
measurement methods in stratum i, carbon stock in all pools in post-deforestation land
and procedures to be use u in stratum i and carbon stock sequestered in wood products
applied from harvests in stratum i

Value applied N/A

applied
Comments -
Data / Parameter 𝐺𝐻𝐺𝑃,𝐸,𝑖,𝑡
Data unit t CO2-e
Description Greenhouse gas emissions as a result of deforestation activities

within the project area in the project case in stratum i in year t
Description of Calculated based on the non-CO2 emissions due to biomass

measurement methods burning in stratum i in year t
applied

Value applied N/A
153

applied
Calculation method VMD0015 v2.2 Equation 30
Comments -
Data / Parameter 𝐸𝐵𝑖𝑜𝑚𝑎𝑠𝑠𝐵𝑢𝑟𝑛,𝑖,𝑡
Data unit t CO2-e
Description Greenhouse gas emissions due to biomass burning in stratum i in

year t of each GHG (CO2, CH4, N2O)
Description of Calculated based on area burnt for stratum i in year t, average

measurement methods aboveground biomass stock before burning stratum i, in year t
and procedures to be combustion factor for stratum i, emission factor for stratum i for
applied gas g and the Global warming potential for gas g


applied
Comments -
154
Data / Parameter Asp
Data unit ha
Description Area of sample plots in biomass inventory
Source of data Recording and archiving of number and size of sample plots
Description of Cluster plot in Maltese cross setup with four rectangular sub-plots
measurement methods with 0.1 ha (10 m x 100 m) each
applied
Frequency of Must be re-evaluated whenever the baseline is revised

monitoring/recording
Value applied N/A
Monitoring equipment GPS and measuring tape
QA/QC procedures to be GPS coordinates are double checked in the field

applied
Comments The biomass inventory will be estimated according to the Standard

Operating Procedure (SOP)34
Data / Parameter n
Description Number of sample plots
Source of data Recording and archiving of number of sample points
Description of Calculated with statistic equation

measurement methods
applied
34 Annex: SOP - Standard Operating Procedure.pdf
155

Value applied N/A
QA/QC procedures to be Standard statistic equation

applied
Calculation method Calculated using the following formula:
(t 2 × CV 2 )
n=
t 2 × CV 2
(E%2 + ( ))
N
Where:
n Number of parcels sampled in each stratum (variable for

each stratum)
t Student t value at 90% of confidence level for (n-1)

degree of freedom.
CV Coefficient of variation (%) (variable for each stratum)
E% Permissible sampling error (10%)
N Number of parcels in total stratum area (variable for

each stratum)

Data / Parameter DBH
Data unit cm
Description Diameter at breast height of a tree in cm
Source of data Field measurements in sample plots
156
Description of Measured 1.3m above ground. Measure all trees above some
measurement methods minimum DBH (≥ 10 cm) in the sample plots
applied
Frequency of Must be re-evaluated whenever the baseline is revised. Where

monitoring/recording carbon stock enhancement is included, monitoring shall occur at
least every five years
Value applied N/A
Monitoring equipment Measuring tape
QA/QC procedures to be Standard quality control procedures for forest inventory including
applied field data collection and data management were applied. The
procedure of DBH measurement is already applied in national
forest monitoring and is available from published handbooks, and
from Penman et al. (2003) (an example of a handbook is
MacDicken (1997)).
Calculation method Diameter (DBH) is calculated based on circumference at breast

height (CBH) measurement, by means of the basic perimeter
equation:
𝐶𝐵𝐻
𝐷𝐵𝐻 =
𝜋

Data / Parameter 𝐵𝑖,𝑡
Data unit t d.m. ha-1
Description Average aboveground biomass stock before burning stratum i in

year t
Description of Calculated based on the Carbon stock in aboveground biomass in

measurement methods trees in stratum i in year t and Carbon fraction of biomass
157
applied


applied

Comments -
Data / Parameter 𝛥𝐶𝑊𝑃𝑆−𝑅𝐸𝐷𝐷
Data unit t CO2-e
Description Net GHG emissions in the REDD project scenario up to year t*
Description of Calculated based on net carbon stock change as a result of

measurement methods deforestation in the project area in the project case in stratum i in
and procedures to be year t, Net carbon stock change as a result of degradation in the
applied project area in the project case in stratum i in year t, Net carbon
stock change as a result of natural disturbance in the project area
in the project case in stratum i in year t and Greenhouse gas
emissions as a result of deforestation and degradation activities
within the project area in the project case in stratum i in year t

Value applied N/A
158

applied
Comments -
Data / Parameter 𝛥𝐶𝐿𝐾−𝑅𝐸𝐷𝐷
Data unit t CO2-e
Description Net GHG emissions due to leakage from the REDD project activity
up to year t*
Source of data Calculated according to VM0007 v1.6 Equation 4
Description of Calculated based on net GHG emissions due to activity shifting

measurement methods leakage for projects preventing planned deforestation up to year
and procedures to be t*, and the Net GHG emissions due to market-effects leakage up
applied to year t*

Monitoring equipment
QA/QC procedures to be
applied
Purpose of data Calculation of leakage
Calculation method VM0007 v1.6 Equation 4
Comments -
159
Data / Parameter 𝛥𝐶𝐿𝐾−𝐴𝑆,𝑝𝑙𝑎𝑛𝑛𝑒𝑑
Data unit t CO2-e
Description Net greenhouse gas emissions due to activity shifting leakage for
projects preventing planned deforestation up to year t*
Description of Calculated based on the area of activity shifting leakage in

measurement methods stratum i in year t, the net carbon stock changes in all pre-
and procedures to be deforestation pools in baseline stratum i, and the Greenhouse gas
applied emissions as a result of leakage of avoiding deforestation
activities in stratum i in year t

Value applied N/A

applied
Comments -
Data / Parameter 𝐿𝐾𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡
Data unit ha
Description The area of activity shifting leakage in stratum i in year t
Description of Calculated according to the total area of monitored deforestation

measurement methods by the baseline agent of the planned deforestation in stratum i in
and procedures to be year t, and the New calculated forest clearance by the baseline
applied agent of the planned deforestation in stratum i in year t where no
leakage is occurring
160

Value applied N/A

applied
Comments -
Data / Parameter 𝐴𝐷𝑒𝑓𝐿𝐾,𝑖,𝑡
Data unit ha
Description The total area of monitored deforestation by the baseline agent of

the planned deforestation in stratum i in year t
Description of Analysis of remote sensing data and/or legal records and/or

measurement methods survey information for lands owned or controlled or previously
and procedures to be owned or controlled by the baseline agent of deforestation. Legal
applied records will include government permits to deforest including
concession licenses. Ex ante, project proponents must determine
and justify the likelihood of leakage based on characteristics of
the baseline agent or class of agent.

Value applied N/A
Monitoring equipment Remote sensing and GIS tools

applied
161

Purpose of data Calculation of leakage emissions
Comments -
Data / Parameter 𝑁𝑒𝑤𝑅𝑖,𝑡
Data unit ha
Description New calculated forest clearance in stratum i in year t by the

baseline agent of the planned deforestation where no leakage is
occurring
Source of data Calculated according to VMD0009 v1.3, Equation 4 or 5
Description of Calculated based on projected annual proportion of land that will

measurement methods be deforested outside the project boundary in stratum i in year t,
and procedures to be and Total area of planned deforestation outside the project
applied boundary over the baseline period for stratum i, according to
equation 04 or based on Deforestation by the baseline agent of
the planned deforestation in stratum i in year t in the absence of
the project, projected annual proportion of land that will be
deforested in project stratum i in year t, and Total area of planned
deforestation over the baseline period for project stratum i
162

Value applied N/A

applied
Calculation method VMD0009 v1.3, Equation 4 or 5
Comments Equation 4 is used when the identified deforestation agent has

made public a business plan or similar documentation containing
data suited for estimating a conversion rate over the baseline
period. Equation 5 is used when the conversion rate must be
estimated. In this case, the projected annual proportion of land
that will be deforested is the same used to set the baseline, while
the deforestation provoked by the identified deforestation agent
is calculated by VMD0009 v1.3, Equation 1 or 2
Data / Parameter 𝐷%𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑡
Data unit %

project stratum i in year t
Source of data Deforestation permits for areas outside the project boundary
Description of Defined in deforestation permits. Use a verifiable plan or proxy

measurement methods areas
applied
Frequency of Must be revisited at the time of baseline revision

Value applied N/A
163

applied
Comments -
Data / Parameter 𝐴𝑝𝑙𝑎𝑛𝑛𝑒𝑑,𝑖,𝑂𝑃
Data unit ha
Description Total area of planned deforestation outside the project boundaries

over the entire project lifetime for stratum i
Source of data Deforestation permits for areas outside the project boundary
Description of Defined in deforestation permits

measurement methods
applied

Value applied N/A

applied
Comments This parameter is used when an identified deforestation agent has

made public a business plan or similar documentation containing
data suited for estimating a conversion rate over the baseline
period in areas outside the project boundary
164
Data / Parameter 𝑊𝑜𝑃𝑅𝑖,𝑡
Data unit ha
Description Deforestation by the baseline agent of the planned deforestation

in stratum i in year t in the absence of the project
Source of data Calculated according to VMD0009 v1.3, equation 2 or 3
Description of Projected based on linear regression according to VMD0009 v1.3

measurement methods Equation 2 or based on the average number of hectares of forest
and procedures to be cleared by the baseline agent of the planned deforestation in the
applied five years prior to project implementation in stratum i by agent ag
within the country (VMD0009 v1.3 Equation 3)

Value applied N/A

applied
Calculation method VMD0009 v1.3 Equation 2 is used when the results of the analysis
must produce a statistically significant regression with a p≤0.05
and an adjusted r2 of ≥0.75. The regression is calculated based
on the deforested by the deforestation agent each year over the
previous five years within the country. Where no statistically
significant regression can be found, VMD0009 v1.3 Equation 3 is
used
Comments -
Data / Parameter 𝐻𝑖𝑠𝑡𝐻𝑎𝑖,𝑎𝑔
Data unit ha
165
Description Number of hectares of forest cleared by the baseline agent of the

planned deforestation in the five years prior to project
implementation in stratum i by agent ag within the country
Description of Analysis of remote sensing data and/or legal records and/or

measurement methods survey information for lands owned or controlled or previously
and procedures to be owned or controlled by the baseline agent of deforestation
applied

Value applied N/A
Monitoring equipment Remote sensing tools

applied
166
Comments -
Data / Parameter 𝐺𝐻𝐺𝐿𝐾,𝐸,𝑖,𝑡
Data unit t CO2-e
Description Greenhouse gas emissions as a result of leakage of avoiding

deforestation activities in stratum i in year t
Description of Calculated based on Non-CO2 emissions due to biomass burning

measurement methods in stratum i in year t
applied

Value applied N/A

applied
Comments -
Data / Parameter 𝛥𝐶𝐿𝐾−𝑀𝐸
Data unit t CO2-e
Description Net greenhouse gas emissions due to market-effects leakage
Source of data Calculated according to VMD0011 v1.1 Equation 1
Description of Calculated based on total GHG emissions due to market- effects

measurement methods leakage through decreased timber harvest
167
applied


applied
Comments -
Data / Parameter 𝐿𝐾𝑀𝑎𝑟𝑘𝑒𝑡𝐸𝑓𝑓𝑒𝑐𝑡𝑠,𝑡𝑖𝑚𝑏𝑒𝑟
Data unit t CO2-e
Description Total GHG emissions due to market-effects leakage through

decreased timber harvest
Description of Calculated according to leakage factor for market-effects

measurement methods calculations, summed emissions from timber harvest in stratum i
and procedures to be in the baseline case potentially displaced through implementation
applied of carbon project and leakage management adjustment factor


applied
168
Comments -
Data / Parameter 𝐿𝐹𝑀𝐸
Description Leakage factor for market-effects calculations
Source of data Default data from VMD0011 v1.1
Description of Each project thus must calculate within each stratum the
measurement methods proportion of total biomass in commercial species that is
and procedures to be merchantable (PMPi). This must then be compared to mean
applied proportion of total biomass that is merchantable for each forest
type (PMLFT).

Value applied 0.4

applied
Comments -
Data / Parameter 𝐴𝐿 𝑇,𝑖
Data unit t CO2-e
169
Description Summed emissions from timber harvest in stratum i in the

baseline case laced through implementation of carbon project
Source of data Calculated based on VMD0011 v1.1, Equation 4
Description of Calculated based on Carbon emission due to displaced timber

measurement methods harvests in the baseline scenario in stratum i in time t
applied


applied
Comments -
Data / Parameter 𝐶𝐵𝑆𝐿,𝑋𝐵𝑇,𝑖,𝑡
Data unit t CO2-e
Description Carbon emission due to timber harvests in the baseline scenario

in stratum i in year t
Description of Calculated based on the volume of timber projected to be

measurement methods extracted from within the project boundary during the baseline in
and procedures to be stratum i at time t, the mean wood density of commercially
applied harvested species, the carbon fraction of biomass for
commercially harvested species j, the logging damage factor
(LDF), and the logging infrastructure factor (LIF)

170

applied
Comments -
Data / Parameter 𝑉𝐵𝑆𝐿,𝐸𝑋,𝑖,𝑡
Data unit m3
Description Volume of timber projected to be extracted from within the project

boundary during the baseline in stratum i in year t
Source of data da SILVA et al., 2001; Veríssimo et al., 1992
Description of The volume of commercial wood found in previous inventories

measurement methods carried out to request the deforestation of the project area and
and procedures to be the deforestation in the baseline scenario are considered to
applied estimate market leakage effects.

Value applied 38.3 m3 ha-1

applied
171
Comments -
Data / Parameter 𝐿𝐷𝐹
Data unit t C m-3
Description Logging damage factor
Source of data Default value provided by VMD0011 v1.1
Description of Default value for broadleaf and mixed forests of 0.53 t C m -3 from
measurement methods 774 logging gaps measured by Winrock International in Bolivia,
and procedures to be Belize, the Republic of Congo, Brazil and Indonesia may be used
applied for tropical broadleaf forests

Value applied Default value for broadleaf and mixed forests of 0.53 t C m -3

applied
Comments -
Data / Parameter 𝐿𝐼𝐹
Data unit t C m-3
Description Logging infrastructure factor
Source of data Default value provided by VMD0011 v1.1
Description of Factor for calculating the emissions arising from the creation of
measurement methods logging infrastructure (roads, skid trails and decks) during logging
and procedures to be operations per cubic meter extracted
applied
172

Value applied Conservative default value of 0.29 t C m-3

applied
Comments -
5.3 Monitoring Plan

The ABC Monitoring Plan was developed according to the approved VCS methodology VM0007 REDD+
Methodology Framework (APDD) v1.6, and its specific module for GHG emissions, the VMD0015 Methods
for monitoring of GHG emissions and removals in REDD and CIW projects (M-REDD), version 2.2. The
methodology requires the fulfillment of four main monitoring tasks:
• Monitoring of project implementation.

• Monitoring of actual carbon stock changes and greenhouse gas emissions.
• Monitoring of leakage carbon stock changes and greenhouse gas emissions.
• Estimation of ex post net carbon stock changes and greenhouse gas emissions.
To prepare the Monitoring Plan, it is required by the methodology to describe how these tasks will be
implemented, and for each task it must include the following sections:
• Technical description of the monitoring tasks.

• Data to be collected.
• Overview of data collection procedures.
• Quality control and quality assurance procedures.
• Data archiving.
• Organization and responsibilities of the parties involved in all the above.
173
The parties involved in monitoring activities are represented in Figure 5.1. The work between the project
proponent and landowners’ entities is very often interlinked and their smooth cooperation resulting in
effective monitoring practices.
PROJECT
PROPONENT LANDOWNERS
Figure 5.1. The parties involved in monitoring activities.
To clarify the general roles and responsibilities of the parties involved in the project seeks to describe
each general role (Figure 5.2). The project proponent is responsible to the REDD+ activities advisor
through strategic planning, verification, instructions, accounting and development of PD and monitoring
report documents. General Systemica’s quality control and quality assurance procedures are described
in a document in annex37. The landowners are responsible for the execution and reporting of information
through tactical planning, patrolling, surveillance, local infrastructure, and on-site project management.
Therefore, this structure involves the work collaboratively for monitoring activities.
37 Annex: QA_QC_v00.pdf
174
Figure 5.2. General overview of parties involved in monitoring activities
Monitoring of Project Implementation
Technical description of the monitoring task.

Here in the Section 5.3.1. will be covered actions assumed to be more qualitative than quantitative. The
next sections of the monitoring plan involve the actions related with geospatial analysis and the
parameters detailed in Section 5.2. The activities implementation that are going to be addressed by the
ABC project are described below:
• Establishment of frequent surveillance rounds made by employees or contractors in the project

area to ensure that there are no unwanted invaders. In addition, the rounds will help to be alert
in case people from adjacent properties could represent some risk of deforestation for the project
area.
This activity can have a synergy with other activities that the landowner can have in their Legal
Reserve Area. The ABC-I1 will have the installation of sustainable forest management activities
over the next years in the other parts of the properties close to the project areas. This will create
a need for forest surveillance and protection not only for the REDD+ project, but also for the
forest management areas.
Not only farm workers will need to be trained, but also a minimum infrastructure and equipment
acquire to provide good working conditions so the surveillance can be done as it needs (i.e. walkie
talkies, motorcycles or motorized quads to move around the properties, installation of tends or
watchtowers with food and water supplies).
• Creation of a fire prevention and combat plan. Those activities are not in practice today, but it is
important for the project implementation success the development of this fire prevent and
combat plan (i.e. Acquisition of water trucks and other equipment to combat undesirable
burnings, fire brigade training can be done with employees working on the properties that
175
encompass the project area, firebreaks can be created to guarantee one more factor of
protection to the project area in case the source of a fire is a neighboring property.
Establish and consolidate a close contact to local householding. During the first social diagnosis executed
as an early project activity, local communities were consulted. Although Systemica team were able to
understand more about the local conditions and got a first view of local community needs, some meetings
will be done in order to reach an agreement about kind of social project activities.
Data to be collected, overview of data collection procedures and data archiving

The project activities described above are all going to be implemented and evidence are going to be
generated in order to provide transparency. Future verifications will have details about those activities.
Descriptive documents, attendance lists with signatures, georeferenced photos. Social activities will
follow the same approach described with details through 2.
Quality control and quality assurance procedures.

All processes that subsidize the preparation of inputs that will compose the final products that will be
delivered to customers and/or validators will be completely traceable: from the source of obtaining and
processing data (primary or secondary) to the adoption of assumptions that were considered according
to the specific case under evaluation. It is important that at any time, any interested party is able to
consistently reconstruct the processes that were carried out by the team that developed the project. The
complete guide for Ssytemica quality control and quality assurance is available in annex 38.
Organization and responsibilities of the parties involved in all the above

The Systemica LTDA. is responsible for generating the maps, GIS analysis, remote monitoring of the
project area, data archiving, and for providing assistance and clarification during verification audits.
The landowners will be responsible for implementing the patrolling and surveillance system and providing
the necessary vehicles and infrastructure if relevant to develop the project activities, as well as being co-
responsible for data archiving.
All images, maps and records generated during project implementation should be conserved and made
available to VCS verifiers at verification for inspection to demonstrate that the APDD project activity has
been implemented.
Monitoring of actual carbon stock changes, GHG emissions within the project area
and leakage
Technical description of the monitoring task.

As provided in module VMD0015 v2.2, monitoring actual changes in carbon stock and GHG emissions
within the Project Area involves three main steps, which are: (i) selection and analysis of sources of land
use and land cover (LU/LC) change data, (ii) interpretation and analyses, (iii) documentation. This section
38 Annex: QA_QC_v1.0.pdf
176
5.3 of the monitoring report has its structure considering the requirements from the VM0007, procedures
from the VMD0015 will be adapted to fit it.
The project area is not located in a region subjected to MRV by a jurisdictional program. Monitoring of
LU/LC change within the project area will be performed annually by analyzing using images of the medium
resolution, generated by MapBiomas. Some specific interpretation and analysis will be done on the
possible events that could change the LU/LC of the ABC project area and in the leakage area.
The large-scale monitoring will be done through satellite images made available by INPE (PRODES) and
MapBiomas Alert data, which is a system that validates and refines deforestation alerts with high-
resolution images. Eventual carbon stock losses will be estimated as soon as possible. Non-CO2
emissions will be monitored and accounted if they are significant, according to VM0015 (VERRA, 2012a).
Data to be collected.
It is important to emphasize here the best practices in remote sensing and GIS to obtain consistent data
using the conservative approach: (i) land use and land cover mapping is assessed using Landsat satellite
images with resolution of 30 meters (MapBiomas, 2022) validating through a pixel-by-pixel based
machine learning algorithms classification using Google Earth Engine; (ii) the Mapbiomas methodology
uses image with minimal cloud cover product of Landsat scenes mosaicked from various months of the
year (MapBiomas, 2022); (iii) an independent verifiable accuracy assessment was performed using high-
resolution image with 5 m resolution from Planet Image to confirm the minimum map accuracy of 90%
for each land use class used; (iv) conservatively the secondary forest is eliminated of the forest class
according to Silva Junior et al. (2020); (v) also, with the objective of reducing the classification error
between forest cover maps, a PRODES hydrography mask was downloaded by TerraBrasilis plataform is
added in each forest cover maps map, in this way, this land use class remained unchanged in all years
(FG Assis et al., 2019). The data collection will be subject to MRV-A (monitoring, reporting, verification
and accounting), especially to analyze the “Area of forest land converted to non-forest land”.
Non-CO2 emissions from forest fires will be subject to monitoring and accounting, when significant. Also,
an estimation of carbon stocks using Forest Inventory data within the project area will be performed to
generate more accurate carbon stock values, which will be made available to VCS verifiers at verification
for inspection. The field inventory methodology and data to be collected are described in a Standard
Operating Procedure (SOP) annex39, which is also available for consultation by the auditors.
The complete set of parameters that are going to be analyzed is available in the previous Section 5.2 of
this PD.
Overview of data collection procedures.

General remote monitoring will be done with remote sensing methods, using images of medium
resolution. The large-scale monitoring will be done through satellite images made available by INPE
(PRODES) and MapBiomas Alert data, which is a system that validates and refines deforestation alerts
177
with high-resolution images by integrating and analyzing multiple alert systems, such as DETER, PRODES
and so on. This platform data is widely used because it integrates and validates the alerts of several
products increasing the reliability of the data and can be acquired on a daily frequency.
The forest condition within the Project Area and forest cover change due to planned deforestation are
monitored through periodic assessment of classified satellite imagery covering the project area and is
subject to monitoring the conversion of forest land to non-forest land. While increase or decrease in
carbon stocks due to planned activities in the project area will also be monitored through documents and
the data to be collected consists of annual satellite imagery processed by PRODES, for the entire land
coverage of the Project Area.
Monitoring of carbon stock changes and GHG emissions within the project area from forest fires of areas
subject to significant carbon stock decrease in the project scenario according to the ex-ante assessment,
the carbon stock changes will be estimated, in case of planned deforestation, at least once after each
harvest event if they occur.
The forest inventory methodology described in the SOP was specifically designed for ABC carbon
inventories, to be applied in the baseline assessment, as well as in the monitoring period. The field carbon
inventory involved the installation of permanent cluster plots. These permanent plots will be periodically
assessed throughout the project duration.
The field inventory SOP (available for consultation by the auditors) describes the guidelines for the
following aspects:
• Sampling method and sampling process;

• Procedures for allocation of plots in the field;
• Variables to be collect in forest inventory
• Standards for measurement of tree diameters under several conditions;
• Rules to process the borderline trees
• Documentation of coordinates of plots;
• Standards for identification and signalization of plots;
• Description of forest inventory team;
• Standards for measurement dynamics of the field inventory team;
• QA/QC procedures to guarantee the application of correct field procedures(annual training,
evaluation, and performance reporting);
• Items for annual evaluation of field inventory team;
• QA/QC procedures to guarantee that field data are within the range of treedimensions required
in the field inventory;
• QA/QC procedures to guarantee that there was no misunderstanding in datanotation in the field;
• QA/QC procedures to guarantee the reliability of data transfer;
178
• Model of data transfer error quantification and report;
• List of equipment and materials to be used in the field inventory.
Quality control and quality assurance procedures

The validation of land-use data used for modeling of land use will be performed by using the confusion
matrix, in order to calculate the overall index of success by period and by class. Three specific classes
will be used: forest, deforestation and non-forest (hydrography, not forest, clouds, roads, residues,
unclassified objects, and others). The validation will be performed by using the land use mapping
PRODES Digital, and the satellite images used will be scenes of satellite Landsat 8 TM to the total
geographic scope of the Project Area. With the help of the "Create Random Points" tool in ArcGIS 10.0,
100 random points will be generated for each class / year as samples for evaluation, using satellite
images as reference, making it possible to generate a confusion matrix for calculation of the accuracy
indexes, and the Kappa index (indicators for validation of mapping accuracy). Land use classes must
have higher values than 90% accuracy for the accuracy and Kappa index, as required in VM0007 v1.6.
Data archiving
actually been implemented.

The Systemica LTDA. is responsible for generating the maps, GIS analysis, remote monitoring of the
project area, data archiving, and for providing assistance and clarification during verification audits.
The landowners will be responsible for implementing the patrolling and surveillance system and providing
the necessary vehicles and infrastructure if relevant to develop the project activities, as well as being co-
responsible for data archiving.
Field team inventory is responsible for providing all the required information for Systemica during the
forest inventory, as well as being co-responsible for data archiving.
Monitoring of leakage
The ABC project area is not located within a jurisdiction that is monitoring, reporting, verifying and
accounting for GHG emissions from deforestation under a VCS or UNFCCC registered program. The
leakage area boundary was provided in Section 3.3. of Project Boundaries and it will be monitored
whenever a verification of validation process needs to be done.
Technical description of the monitoring tasks.

According to the VM0007 v1.6 the main source of leakage is the deforestation agent, which in the case
of the ABC grouped project is the landowners. Systemica will monitor all eventual areas deforested by the
landowners in Brazil of all instances (baseline agent of deforestation) through the years in which the
planned deforestation was forecasted to occur. There will be no track to international leakage. Other
179
properties of them (that are already owned or that will be purchased by them) will be monitored through
satellite images as well.
Data to be collected
Since all areas deforested by the baseline agent of deforestation must be monitored, to estimate the
increased GHG emissions leakage areas the assumption is made that forest clearing is done by first
logging activities (exploration of high-value wood) followed by burning the area. The parameter values
used to estimate emissions shall be the same used for estimating forest fires in the baseline (Sections
5.1 and 5.2).
Overview of data collection procedures

Deforestation in the leakage areas area may be considered activity displacement leakage. Activity data
for the leakage areas will be determined using the same methods applied to monitoring deforestation
activity data in the project area. Furthermore, GHG emissions from displaced forest fires within the
leakage areas will also be accounted for, if significant.
Leakage will be calculated by comparing ex-ante and ex-post evaluation. However, it is worth noting that
where there is strong evidence can be collected that deforestation in the leakage areas is attributable to
agents of deforestation that are not linked to the agent of deforestation, the detected deforestation will
not be attributed to the project activity, thus not considered leakage.

The validation of land-use data used for modeling land use will be performed by using the confusion
matrix, to calculate the overall index of success by period and by class. Three specific classes will be
used: forest, deforestation, and non-forest (hydrography, not forest, clouds, roads, residues, unclassified
objects, and others). The validation will be performed by using the land use mapping PRODES Digital,
and the satellite images used will be scenes of satellite Landsat 8 TM to the total geographic scope of
the Project Are. With the help of the "Create Random Points" tool in ArcGIS 10.0, 100 random points will
be generated for each class/year as samples for evaluation, using satellite images as reference, making
it possible to generate a confusion matrix for calculation of the accuracy indexes, and the Kappa index
(indicators for validation of mapping accuracy). Land use classes must have higher values than 90%
accuracy for the accuracy and Kappa index, as required in VM0007 v1.6 methodology.
Data archiving
been implemented.
180
The Systemica LTDA. is responsible for generating the maps, GIS analysis and remote monitoring of the
project area, data archiving, and for providing assistance and clarification during verification audits. The
landowners are responsible for providing evidence of any eventual deforestation through their properties.
Ex post calculation of net anthropogenic GHG emission reduction
Technical description of the monitoring tasks.

If new and more accurate carbon stock data become available, these can be used to estimate the net
anthropogenic GHG emission reduction, provided that these data are in accordance with the
requirements established by the applied methodology VM0007 v1.6. The calculation of ex-post net
anthropogenic GHG emission reductions is similar to the ex-ante calculation.
Data to be collected
The report of ex-post estimated net anthropogenic GHG emissions and calculation of Verified Carbon
Units will apply the same table format used for the ex-ante assessment, according to VM0007 v1.6.
Overview of data collection procedures

The data collection procedures involve the compilation of data from previous procedures to calculate ex-
post net anthropogenic GHG emission reduction.

All the previous relevant QC/QA procedures are applicable for the ex-post calculation of net anthropogenic
GHG emission reduction. The cumulative areas credited map within the project area shall be updated
and presented to VCS verifiers at each verification event. The cumulative area cannot generate additional
VCUs in future periods.
Data archiving
All maps and records generated during the project implementation will be conserved and made available
to VCS verifiers at verification for inspection to demonstrate that the APDD project activity has been
implemented. The procedures meet the highest levels of control, and the main purpose is to minimize
the risk of error, obtaining reliable data on which to base the monitoring results, and thus, minimizing
non-conformities. If non-conformities exist during the internal or external auditing processes, the data
should be reviewed, and the non-conformities addressed.

Systemica is responsible for calculating and reporting the ex-post estimated net anthropogenic GHG
emissions, data archiving, and for providing assistance and clarification during verification audits.
Revisiting the baseline projections for future fixed baseline period
181
The Systemica LTDA. is responsible for revisiting the baseline projections for a fixed baseline period. The
current baseline is valid for 10 years, i.e., through November of 2032. The baseline will be reassessed
every 10 years, and it will be validated at the same time as the subsequent verification.
Updating information on agents of deforestation in the project region will be collected at the end of each
fixed baseline period, as these are essential for improving future deforestation projections and the design
of the project activity. In addition, the projected annual areas of baseline deforestation will be revisited
and recalibrated in the model for projection of future deforestation.
Adjusting the land-use and land-cover change component of the baseline involves reassessing
components of the baseline projections, such as the adjustment of annual areas and the location of
baseline deforestation. Updating of the Carbon component of the baseline will only be carried out if more
accurate methods for carbon stock estimates are available on the occasion of baseline revision.
182
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Amazon Biome Conservancy Grouped

Document Prepared by Systemica Ltda.

Project Title Amazon Biome Conservancy Grouped REDD+ Project

Date of Issue 20-December-2022

Prepared By Systemica Ltda.

Postal Code: 01.229-010

T: +55 (11) 9 9394-1980

Eligibility Criteria for Grouped Projects ................................................................. 13

Instances attendance to the Set of Eligibility Criteria ........................................ 14

Current and historical land use ............................................................................. 26

Ecosystem type ...................................................................................................... 29

Geology, topography, and soils ........................................................................... 30

Projects Rejected by Other GHG Programs ........................................................ 35

Emissions Trading Programs and Other Binding Limits ........................................ 35

Other Forms of Environmental Credit ................................................................... 35

Commercially Sensitive Information ..................................................................... 37

Further Information ................................................................................................. 37

Potential negative impacts mapped for stakeholders ...................................... 42

Results of the mobilization ..................................................................................... 47

Identification of stakeholders potentially impacted by the project ................. 55

Identification of any legal or customary tenure/access rights to territories and

Significant changes in the composition of local stakeholders over time ......... 58

Expected changes in well-being compared to the baseline scenario, including

Location of communities, local stakeholders, and areas outside the project

Location of territories and resources that local stakeholders possess or to which

Experience of the team involved in the project ................................................. 63

Geographical boundaries .................................................................................... 71

Temporal Boundaries ............................................................................................. 72

Sources of Greenhouse Gas Emissions ................................................................. 73

Agent of Planned Deforestation .......................................................................... 74

Area of Deforestation ............................................................................................ 75

Rate of Deforestation ............................................................................................ 81

Likelihood of Deforestation ................................................................................... 81

Risk of Abandonment ............................................................................................ 81

Annual Area of Deforestation ............................................................................... 90

Step 1. Identification of alternative land use scenarios to the proposed VCS

Step 2. Investment analysis ................................................................................... 94

Step 3. Barrier Analysis ........................................................................................... 96

Step 4. Common practices analysis ..................................................................... 96

4 QUANTIFICATION OF GHG EMISSION REDUCTIONS AND REMOVALS .......... 97

Deforestation in the Baseline Scenario ................................................................ 97

Carbon Stock Change per pool in the Baseline Scenario ................................. 98

Estimation of emissions from activity shifting ..................................................... 116

Estimation of emissions from market-effects...................................................... 117

Uncertainty Analysis ............................................................................................. 123

Calculation of AFOLU Pooled Buffer Account Contribution ............................ 127

Calculation of Verified Carbon Units ................................................................. 128

5 MONITORING .................................................................................................. 129

Monitoring of Project Implementation ............................................................... 175

Monitoring of leakage ......................................................................................... 179

Ex post calculation of net anthropogenic GHG emission reduction .............. 181

1.2 Sectoral Scope and Project Type

This project is a grouped project.

1.3 Project Eligibility

Section 3.1 General Requirements

Section 3.2 AFOLU-Specific Matters

Appendix 1 Eligible AFOLU Project Categories

• Reduce emissions from deforestation by avoiding legal logging activities.

1.4 Project Design