RECOMMENDATIONS FOR THE IMPLEMENTATION OF THE LETICIA PACT IN A CONTEXT OF GREEN, JUST, AND RESILIENT ECONOMIC RECOVERY - WWF
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RECOMMENDATIONS FOR THE IMPLEMENTATION OF THE LETICIA PACT IN A CONTEXT OF GREEN, JUST, AND RESILIENT ECONOMIC RECOVERY 1
Recommendations for the implementation of the Leticia Pact in a context of green, just, and resil- ient economic recovery Policy recommendations for Amazonian governments to influence economic recovery and stimulus plans in the context of COVID 19, within the framework of the Action Plan of the Leticia Pact. By: Juliana Castro Escobar and Mariana Tafur Rueda (consultants) Table of Contents Introduction 4 1. Context 6 2. The importance of a green economic recovery 12 3. Economic recovery in the Amazonian context 20 3.1. The Amazon biome and its importance for the planet 23 3.2. Recovery strategies 25 4. The Leticia Pact as an opportunity for green recovery 28 4.1. General Context of the Leticia Pact 30 4.2. Implementation progress 33 4.3. Recommendations for the implementation of the Leticia Pact Action Plan within the framework of economic recovery 36 References 52 Cover photo: ©️ Luis Barreto - WWF - UK Back cover photo: ©️ César David Martinez WWF June 2021 WWF Colombia, WWF Amazon coordination unit Contact: Paula Bueno pabueno@wwf.org.co ©️ Andre Dib - WWF - Brazil 2 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 3
INTRODUCTION The link between humans and nature has been deteriorating and with it zoonotic biome, capable of sustaining its environmental and cultural contributions for local diseases, which originate in animals and are transmitted to people, have been peoples within a framework of social equity, inclusion and global responsibility, growing at an alarming rate. Such is the case of the pandemic caused by the combining protection, sustainable management and restoration of ecosystems Covid-19 virus that began at the end of 2019 and has not yet been overcome in with the visions and needs of local communities and the sustainable development most countries around the world. According to the report Covid-19: Urgent Call to needs of the countries of the region (WWF, 2020:2). Protect People and Nature by WWF (2020), there are two factors directly related to this type of disease: unsustainable food systems that drive land conversion The document has four sections. The first section emphasizes the context of for agricultural purposes, and inadequate food safety standards relating to the Covid-19, its social and economic consequences and the importance of relating consumption of wildlife species. If these factors continue to go unchecked, the this and future viruses to the conservation of the Amazon biome. The second consequence will be increased exposure to animal pathogens at the animal- section discusses the importance of achieving green and resilient economic human interface (WWF, 2020). recovery to face the effects of the pandemic, which has at its core the development of more harmonious relationship models between people and nature. The third Accordingly, this is a key moment in human history to build a safer and section consists of a synthesis of the actions and plans that have been developed more sustainable future for people and the planet. The strategy can start by by the Amazonian countries for such recovery, with special attention to Ecuador, promoting green and resilient recovery plans to repair this link with nature and Peru and Colombia. Finally, the fourth section focuses on providing specific thus, reduce the risk of future pandemics. This document presents a series of recommendations related to the mandates of the Leticia Pact and its Action Plan recommendations for the economic recovery of the countries of the Amazon as an opportunity for green, fair and resilient recovery. biome in the wake of the Covid-19 crisis and within the framework of the Leticia Pact, as an opportunity for governments to work together. It is expected that, within the framework of green and resilient recovery, these recommendations will lead to actions which addresses the challenges that threaten the integrity of the Amazon biome and currently cause large-scale loss of ecosystems, ecosystem services, biodiversity and cultural diversity. The aim is for Amazonian governments to generate coordinated strategies that recognize the Amazon as an integrated system and seek to maintain an ecologically healthy ©️ Shutterstock - Gustavo Frazao - WWF 4 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 5
1. CONTEXT What is the Leticia Pact? In September 2019, leaders from seven Amazonian countries met in Leticia, Colombia, and signed the Leticia Pact for the Amazon, an important political commitment to coordinate efforts and responses to the current crisis facing the Amazon and increase regional collaboration to protect the world’s largest tropical forest and promote the sustainable use of the resources it provides. The Pact includes important commitments on key issues such as joint monitoring, strategies to combat deforestation and ecosystem degradation, conservation, restoration and sustainable-use actions, cooperation mechanisms, exchange of experiences and lessons learned, as well as actions to collaboratively combat forest fires that have been plaguing the region. Since signing the Pact, governments have advanced the development of an Action Plan for implementation, working groups have been established with the support of the Amazon Cooperation Treaty Organization (ACTO) for the various themes of the Pact and, thanks to the sponsorship of the Inter-American Development Bank (IDB), a fund for sustainable development and bioeconomy has been created to support its implementation. ©️ Marizilda Cruppe - WWF-UK 6 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 7
The Amazon in a pandemic context is already becoming evident and will have devastating consequences for those who work informally, which, according to 2018 figures from the International Labor Organization (ILO), amount to 53% of workers in the region. The Amazon biome is one of the largest providers of environmental services on the planet and, in addition to regulating climate and rainfall in key agricultural regions, Recognizing this deep crisis goes beyond the economic aspects, it is important its protection is necessary for the regulation of pests and diseases. This is due to to ask what the impacts are on the environment, and Indigenous Peoples and the relationship that has become increasingly evident between the degradation of local communities (often the main victims of inequalities). It is also critical to nature and human health and, specifically, to the fact that in deforested areas the ascertain the impacts on governments’ promises and agreements in relation to spread of zoonotic diseases is much greater than in conserved areas. the reduction of deforestation and implementation of conservation initiatives, recognizing that the region has among the highest levels of biodiversity in the Therefore, conserving the Amazon and completely halting the loss of ecosystems world, with areas as biodiversity rich as the Amazon. must be done urgently to maintain climate stability, cultures, the economies of the planet and the survival of the human species. This is more necessary today, as WWF in its document, Latin America and the Caribbean in the context of the the biome is undergoing rapid transformations that threaten its integrity, species Covid-19 pandemic- Messages for governments, indicates that “the way we grow and the environmental and global services it provides, including regional and and consume products, produce and use energy, protect coastal ecosystems and global climate stabilization (WWF, 2020: 2). forests will either condemn us or allow us to walk the path to a resilient future, help us to be healthier, and protect the lives of people, which depend, among other The Covid-19 pandemic arrived in Latin America at a time when the economies of things, on a healthy environment. The current crisis creates an urgent need for the countries of the region are weak and vulnerable, especially in macroeconomic a deep process of reflection on the relationship between humans and nature, the terms. According to the Economic Commission for Latin America and the Caribbean social inequalities and risks associated with current economic development models, (ECLAC) in its Report on the Economic Impact in Latin America and the Caribbean and how we might better protect ourselves in the future.” (WWF, 2020: 1). of the coronavirus disease (COVID-19), “in the decade following the global financial crisis (2010-2019), the regional Gross Domestic Product (GDP) growth rate declined from 6% to 0.2%. Moreover, the 2014-2019 period saw the lowest growth since the 1950s (0.4%). As the pandemic spreads in the region, its characterization as a health, economic and social crisis is increasingly evident. The dimension and duration of its effects, although difficult to quantify due to uncertainty, are beginning to be clearly perceived. It will be the cause of the greatest economic and social crisis in the region in decades, with very negative effects on employment, the fight against poverty and the reduction of inequality.” (CEPAL, 2020: 8). Economic experts indicate that the pandemic will have a broad impact on two fronts which will particularly affect economies such as those in Latin America. On the one hand, the global slowdown and, on the other hand, the drop in the prices of raw materials because of this slowdown; raw materials being the basis of the economies of the countries in the region (Manzano and Saboin, 2020). Covid-19 will increase public debt and, unlike the “advanced economies”, most countries in the region will have limited fiscal stimulus (IDB, 2020). In addition, 26 million jobs have been lost in Latin America and the Caribbean during the pandemic (ILO, 2021:1)(ILO, 2021:2) and the number of people suffering from extreme hunger will increase from 135 million in 2019 to 265 million in 2020 (FAO, 2020). Emerging from the pandemic all Latin American countries will find themselves with more poverty, inequality, unemployment, informality, a significant consequence of insolvent companies, weakened financial sectors and more difficult fiscal situations than at any time in the last 20 years (IDB, 2020). According to ECLAC, some of the main effects that the Covid-19 pandemic will bring to the region are: (i) decreased economic activity in several major trading partners; (ii) reduced demand for tourism services; (iii) disruption of global value chains; (iv) falling commodity prices; (v) worsening financial conditions; (vi) reduced remittances. A rise in unemployment and social inequality in the region ©️ Adriano Gambarini _ WWF Living Amazon Initiative 8 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 9
Specifically in the Amazon region, during the pandemic there According to the Coordinator of the Indigenous Organizations of the Amazon has been evidence of the growth of some pressures such as Basin (COICA), in 2020 there were 202 environmental and territorial leaders deforestation, mining and the increase of other illegal activities murdered in Colombia, Brazil, Peru and Bolivia. This is a 67% increase compared such as wildlife trafficking. For example, in Brazil, in the first to 2019. In 2021, 16 indigenous people in Colombia and Peru have been murdered quarter of 2020 the historical deforestation record was broken so far. COICA and its member organizations have reacted by declaring a state and it was reported that deforestation alerts grew 63.75% in of emergency demanding urgent actions to protect indigenous defenders and April 2020 during the social isolation measures due to the recognize their rights at national, regional and international levels. pandemic (WWF, 2020: 2). These pressures are associated with the absence of the state and decreased forest monitoring It is important to mention that in addition to the environmental effects of in some regions, which is associated with situations such as the increased rates of deforestation and forest cover burning, the forest fires that strengthening of armed groups and illegal activities in some have been increasing in the Amazon biome affect air quality and combined with In countries such as Brazil, the first of the Amazonian countries. Likewise, the growing economic the spread of Covid-19, can have harmful effects on the health of the Amazonian quarter of 2020 hit its deforestation crisis faced by the region’s inhabitants is generating even more population (IPAM Amazonia, 2020). pressure on ecosystems as people seek access to land to ensure record and deforestation alerts were their daily subsistence. Considering the current situation which shows the importance of biodiversity and of reported to have increased by 63.75% the conservation and sustainable use of species and ecosystems in building greater in April 2020, during social isolation The environmental pressures are further exacerbated by the fact resilience to climate change and future pathogens, the implementation of the Action that Covid-19 has had a devastating impact on the indigenous Plan of the Leticia Pact is a unique opportunity to strengthen coordinated and measures due to the pandemic. peoples living in the region, with more than 65,000 people infected comprehensive actions in the Amazon biome. Implementation of the Pact can help and 2,000 deaths (Scientific Panel for the Amazon, 2020). In to ensure conservation and human welfare in the region. To achieve this objective, addition, the growing number of murders of social leaders and inter-institutional efforts are needed at the national and international levels, with defenders of the territory and the environment in some Amazonian the involvement of the Amazonian countries, as well as international cooperation countries such as Colombia, Brazil and Peru is alarming and their organizations and financial institutions. In addition, all of this must be aligned with prevention should be prioritized within national and regional the economic recovery plans being implemented in the region. actions. According to the latest report by Global Witness, Colombia is the most dangerous country in the world for environmental defenders and Brazil is in third place. (Global Witness, 2020). ©️ Luis Barreto _ WWF-UK ©️ Andre Dib - WWF-Brazil 10 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 11
2. THE IMPORTANCE OF A GREEN ECONOMIC RECOVERY In response to the global economic slowdown and the socioeconomic crisis caused by Covid-19 control measures, governments are implementing policies and packages to reactivate national economies. In the Amazon region, governments have focused on key priorities to address the emergency, including strengthening the health system, protecting the most vulnerable households and the business sector, particularly small and medium-sized enterprises. As highlighted, the implementation of these recovery measures should be seen as an opportunity to promote a systemic perspective on development that has at its core the interrelationship between the health of the planet and human beings (Reactivación Transformadora, 2020). ©️ Daniel Martínez - WWF - Peru 12 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 13
This is necessary so that the response to the crisis can foster job creation, income planetary limits for their fulfillment (Ibid). Secondly, it is key that governments generation and place the protection of nature at its center. At the same time, recovery join the decarbonization pathway, agreed in the Paris Agreement, which seeks stimuli should not create setbacks in environmental terms and in terms of recognition to implement actions to limit the increase in global temperature and achieve a of rights. The degradation of nature and the pandemic have a clear link that 45% reduction in global emissions by 2030 and net decarbonization by 2050. sometimes seems invisible to decision-makers. Understanding that human health Likewise, Amazon countries must ratify the Escazu Regional Agreement on Access and planetary health are closely linked will imply making policy decisions in which to Information, Public Participation and Justice in Environmental Matters in environmental conservation is a fundamental axis, since the protection of biodiversity Latin America and the Caribbean (Ibid). allows for greater resilience in the face of future viruses (WWF, 2020: 1). Along these lines, to not lose sight of the international commitments made in Thus, it is essential to achieve a transition to greener economies, in which profound the face of the various challenges facing the Amazon context, economic recovery transformations are generated in current models to ensure efficiency in the use and must comply with international conventions and treaties such as the United management of natural resources, innovation and investment in green industries Nations Framework Convention on Climate Change, Minamata Convention on and nature-based solutions, and sustainability in economic growth. Likewise, to Mercury, Convention on Biological Diversity, and the Convention to Combat achieve a transformative reactivation it is necessary to promote a systemic approach Desertification and Land Degradation. The Nationally Determined Contribution that addresses the social inequity that has deepened with the Covid-19 pandemic by (NDC) must also be integrated. formulating public policies that foster healthier relationships between people and the natural world (Reactivación Transformadora, 2020). In summary, to achieve a green and sustainable recovery in line with international commitments, recovery plans should seek to improve human well-being without To this end, post-Covid-19 recovery plans and stimulus packages must also be aligned being detrimental to nature, recognizing that nature is the basis for prosperous with international commitments. That is, they can serve as an opportunity to address and sustainable socioeconomic development. Recovery plans should also prioritize climate change and biodiversity loss on a global scale by supporting key targets actions that support the transition to greener economies in support of climate, nature already established in international agreements. and sustainable development objectives in line with international commitments. Finally, they should adopt a multilevel and cross-sectoral approach that promotes job For this reason, they must be aligned with the 2030 Agenda for Sustainable creation, economic empowerment and social well-being based on a synergy between Development, which promotes a holistic vision of development that, in turn, development, climate and nature. (WWF and ILO, 2020). promotes equality and sustainability as guiding principles and considers the ©️ Luis Barreto - WWF - UK 14 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 15
Nature-based Specifically in the Amazon context, it is crucial that the transition Solutions safeguards and respects the rights and livelihoods of Indigenous Peoples and local communities so that they can make sustainable use of the forest according to their own cultures and traditions. All of this must lead to low carbon, socially sustainable economies focused on halting biodiversity loss, maximizing ecosystem resilience, and mitigating climate change. Bioeconomy Considering the above, there are some elements that can be enhanced to integrate green growth in the recovery plans of Amazonian countries: Green jobs 1. Nature-based Solutions: ©️ Luis Barreto - WWF - UK To begin with, strategies should be oriented towards the implementation of nature-based solutions (NBS), understanding that these encompass different actions to protect, restore and Energy matrix sustainably manage natural or modified ecosystems and thus address societal challenges in an effective and adaptive manner 2. Bioeconomy: (Cohen-Shacham et al., 2016). It is essential to promote bioeconomy as a strategy for the economic recovery Nature-based solutions have proven to be effective in protecting, of countries in the region. This is defined by the European Commission as sustainably managing, and restoring ecosystems, as well as in “the production of renewable biological resources and the conversion of these addressing food security - or food sovereignty - for communities, resources from the waste stream into value-added products such as food, bio- and reducing the effects and risks of natural disasters, among other based products and bioenergy. Its sectors and industries have a strong potential Green things. Increasing the use of NBS has several advantages including for innovation due to the use of a wide range of sciences, industrial and enabling infrastructure integrated environmental outcomes, promotion of human health technologies, together with local and tacit knowledge” (European Commission, and well-being, and empowerment of local communities. All of 2018). It can be said that bioeconomy as an economic model has great potential in these can be effective in addressing some of the challenges facing the Amazon because it is the most biodiverse region in the world. humanity and maintaining biodiversity while conserving jobs and improving labor productivity (WWF and ILO, 2020). In the Amazon context, these solutions must focus on ways to Land use combine conservation and sustainable use of biome resources to achieve zero net deforestation and forest degradation while promoting sustainable development, ensuring livelihoods for local populations that are in harmony with nature. Key to this is to act under an integrated landscape management approach and prioritize strategies that promote and finance sustainable forest management, deforestation-free value chains, non-conversion landscapes, and the Comprehensive restoration and reforestation of degraded areas. policies ©️ Daniel Martínez - WWF - Peru 16 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 17
3. Green jobs: decarbonization (renewable energy sources, electrification, public and non- motorized transportation, and ecosystem conservation and restoration). It should also seek to be resilient to the impacts of climate change and natural disasters. The promotion of green businesses and green jobs should be central to economic recovery plans. Green businesses are those centered on economic activities focused on environmental conservation. They offer goods and services that generate positive environmental impacts and incorporate good environmental, social, and economic 6. Land use: practices. In addition, they seek to ensure their products and services have a longer Land use is a fundamental aspect in preventing forest loss and degradation. life cycle than traditional ones. The promotion of green jobs is necessary to achieve Mechanisms that support the sustainable use of forests, sustainable production low-emission economic growth and contribute to reducing poverty and improving systems and responsible production and consumption patterns must be the living standards of the population in developing countries. strengthened. To this end, it is essential to promote the development of new resilient production chains based on solidarity and fair trade that, from the planning stage, seek to achieve zero deforestation and forest degradation. Some 4. Energy matrix: options include the promotion of agroforestry economies based on sustainable agricultural practices with forest species and non-timber products that provide direct local incentives to farmers and move away from the expansion of large- In past years the energy matrix in the Amazon region has been mainly focused on scale agricultural and livestock industries. the increasing construction of hydroelectric dams, which has generated negative effects on the integrity of rivers (WWF, 2016). An energy transition in the region can create opportunities to stimulate the recovery of economies and job creation. Boosting energy transformation to renewable sources is an opportunity to achieve international climate goals that drive economic growth and improve welfare in a post-pandemic context. 5. Green infrastructure: Enhancing green infrastructure is vital for the sustainable development of the region. It is a way to boost economic growth because it increases assets for competitiveness (roads, energy generation and others). According to the IDB, “infrastructure boosts employment generation and improves income distribution, which is key in one of the most unequal regions on the planet. Investment in infrastructure fosters integration and foreign trade” (IDB, 2020:11). In the Amazon region, this infrastructure cannot be one that generates negative impacts on ecosystems and local communities. It must be, above all, one that minimizes greenhouse gas (GHG) emissions by considering the four pillars of ©️ Adriano Gambarini - WWF Living Amazon 7. Comprehensive policies: Integrated forest management policies should be promoted through a combination of conservation actions in protected areas and the recognition, consolidation, and sustainable management of indigenous territories. Both protected areas and indigenous territories should be integrated into regional development and investment plans where their financial sustainability is guaranteed. To this end, it is important to establish integrated financing © FCDS mechanisms with public and private partners and donors. 18 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 19
3. ECONOMIC RECOVERY IN THE AMAZONIAN CONTEXT ©️ Luis Barreto - WWF - UK 20 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 21
3.1. The Amazon biome and its importance for the planet The Amazon is a biome of great natural and cultural diversity that plays a crucial role in the global water, energy and carbon cycles. It is the largest continuous 2,200 10 % system of tropical forests and rivers in the world and the largest reservoir of biodiversity on the planet, with more than 10% of all its plant and animal species. 6.7 It is the largest forest and river system in the world, being the source of 20% of the million km 2 new species planet’s unfrozen freshwater and generating “flying rivers” that regulate rainfall in of forest described of global reserve Latin American (it is estimated that 90% of Latin American agriculture depends since 1999 of carbon stored on this rainfall). The biome is a fundamental buffer against climate change, as its ONE forests store more than 100 billion tons of carbon, representing approximately 10% of global emissions (Scientific Panel for the Amazon, 2020). This biome provides multiple ecosystem services such as: water recycling of 50-75% of annual rainfall to the atmosphere; food production including 400,000 tons of 34 million AMAZON fish per year, and a discharge of 200,000 m3 of freshwater to the Atlantic Ocean every second (WWF, 2020: 2). 11,000 It is also home to 34 million people, including about 3 million indigenous people who make up more than 500 groups, some in voluntary isolation and initial contact, which must be protected. They are the holders of ancestral wisdom and residents traditional knowledge that are fundamental for the protection of the region’s years of settlement biodiversity. In addition, it is important to note that protected areas and 8 indigenous territories cover almost half of the Amazon, it is here where the least environmental degradation is evident. Unfortunately, human actions such as the search for land, the exploitation of countries energy and minerals, and small and large-scale cattle ranching, which have led to 2.1 million the deforestation of vast portions of the biome, have destroyed 20% of the region’s + 1 overseas territory km2 forest. An increase in mining and fossil fuel extraction has also been identified in recent years and it is estimated that nearly 70% of protected areas and indigenous 2species ,500 territories are threatened by roads, legal and illegal mining, oil and gas extraction, of protected areas over illegal invasions, hydroelectric dams, and deforestation (Scientific Panel for the Amazon, 2020). It is estimated that by 2030, 27% of the biome will be treeless if the rate of deforestation and environmental degradation remains the same (WWF, of fish 2016). There are studies suggesting that if up to an additional 5% of the forest is over 500 indigenous lost, an ecological tipping point could be reached (WWF, 2020: 2). 1,000,000 km2 groups 17-20% According to this source, the main pressures on the Amazon Forest at present are: of freshwater ecosystems of global 219 ,000 m3 1. Livestock production and extensive systems, which are the main freshwater cause of deforestation linked to land speculation in some countries. 40,000 plant species freshwater discharged every second into the Atlantic 2. Deforestation for the expansion of the agricultural frontier and mechanized agriculture (especially for animals and biofuels from soybeans, palm oil and corn). 22 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 23
3.2. Recovery strategies 3. Expansion of unsustainable small-scale farming practices. In the aftermath of the pandemic that began in Amazon countries in March 2020, governments have turned to certain priorities related to economic recovery. In this section we will review the decisions that some of the Amazonian governments have taken in relation to their economic recovery and whether these decisions 4. The development of poorly planned infrastructure such as have incorporated a vision of green growth. However, it is important to clarify dams, and the expansion of hydropower without sustainable that these decisions have not directly involved the Leticia Pact as an opportunity guidelines, whose construction is associated with deforestation for recovery to be conceived from a more sustainable development perspective, and the violation of local communities’ rights. hence the importance of its implementation as a central axis of a resilient and green recovery in the region. 5. The construction of new roads: the highest rates of deforestation occur in areas with the greatest road development. 6. Forest fires caused by poorly controlled burning, inadequate forest management and rising global temperatures. 7. The increase in informal and illegal gold mining and extractive activities associated with deforestation and degradation of protected areas and mercury contamination of rivers. 8. Unsustainable legal or illegal timber trade and species trafficking that contributes to forest degradation. 9. Illegal hunting of species, including the killing of dolphins and jaguars, and overfishing. It is necessary to ensure that the economic recovery strategies of Amazonian countries integrate biome conservation as a priority and promote strategies to halt deforestation and degradation, as well as biodiversity loss. ©️ Brent Stirton - Getty Images - WWF 24 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 25
The following is a summary of the priorities of the The Colombian government’s first response was a package of measures to contain the virus. This was followed by the governments of Ecuador, Colombia and Peru in relation to formulation of the Reactivation Plan New Commitment for the Future of Colombia, which amounts to more than 135 economic recovery and the links that can be established billion pesos (COP). This Plan has led to commitments such with the protection of nature. as the generation of employment, clean and sustainable growth, commitments to the poorest and most vulnerable and to the health of Colombians. Two approaches stand out in environmental terms: the promotion of renewable energy sources Ecuador and the restoration and protection of the environment (this, above all, through the planting of trees). Ecuador’s GDP shows the vulnerability of several sectors to the effects of Covid-19. This is reflected in the US$6 billion in losses According to the Policy for the reactivation, repowering and due to the crisis and a fall of close to 9% in GDP. Manufacturing, sustainable and inclusive growth: new commitment for the future agricultural production and natural resource extraction, especially of Colombia (Conpes 4023 of 2021), the proposed investment oil, account for almost 40% of the country’s income. Ecuador’s plan will allow coordination of the different sources of public and Ministry of Production reports figures of up to 80% of economic private investment to implement the programs. In relation to paralysis in construction, 80% in hotel and restaurant services, environmental protection, the reactivation action plan proposes 70% in manufacturing and 40% in commerce by 2020. Faced with lines of action such as developing the bioeconomy and green this scenario, the Ecuadorian government has proposed short-, businesses, promoting the circular economy, and promoting medium- and long-term responses. sustainable productive development in rural areas. In the short term, the government announced a credit line of US$50 million for small and medium-sized enterprises (SMEs) through the Bank of the Ecuadorian Institute of Social Security Peru and the National Financial Corporation, as well as aid to SMEs through the Reactivation of Ecuador credit line. In addition, Peru’s economy fell 11% during the Covid-19 crisis. The public spending will be reduced through the elimination of public Peruvian government created a business fund for small companies and embassies. The economic reactivation plan pillars and medium-sized enterprises (MYPE), as well as a fund are to strengthen the health system, guarantee food, especially for to support entrepreneurship that guarantees loans. In the most vulnerable sectors, maintain dollarization and promote addition, the donation of public workers’ salaries has employment sustainability. been implemented. The main investments have been in transportation and communications (3,897 million soles); In the medium and long term, the objective has been focused housing (1,472 million soles); and in the agricultural sector on economic reactivation based on a productive structure (377 million soles). that is more resilient to economic cycles. This is done through investment plans prioritizing public investment projects and Under Emergency Decree 114 of 2020 for economic support programs for particularly affected sectors such as tourism. reactivation through public investment, the financing of In addition, in the long term, it is expected to transform the infrastructure measures for urban roads, urban equipment, productive system into a more resilient one and to advance in the rainwater drainage and urban and rainwater sanitation is formalization of the economy. established. By means of the financing of these projects, it is expected to have reactivated the economy, among others, by Finally, Ecuador has defined some lines of action in the framework generating employment. Some of these measures may also be of joint work with the European Union and its Member States strategic for green growth if they are conceived from a vision on green growth: green transition and the creation of territories of environmental preservation and conservation. (rural and urban); protection and appreciation of forests, protected areas and biodiversity; drinking water and sanitation for Similarly, through Emergency Decree 070 of 2020 for all; and implementation of a national policy on climate change, the economic reactivation and attention to the population through environment and natural resource management. public investment and current spending, extraordinary measures are proposed for economic reactivation focused on improving educational infrastructure and basic sanitation. As Colombia for Decree 114, some of these measures could be considered strategic to move towards a development model that puts The economic crisis caused by the effects of the pandemic has led nature at the center. to a 6.8% drop in GDP growth and has left an estimated 4 million people unemployed. Colombia resembles Ecuador and Peru in recognizing the fundamental role the agricultural sector is having in the crisis and the need to move forward with the formalization of the economy. 26 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 27
4. THE LETICIA PACT AS AN OPPORTUNITY FOR GREEN RECOVERY In view of the development of the recovery strategies men- tioned in the previous chapter and taking into account the importance of the conservation of the Amazon biome in the current planetary situation, the fulfillment of the mandates of the Leticia Pact and the implementation of its Action Plan are a unique opportunity to strengthen the development of coordinated actions in the Amazon that promote a green and resilient economic recovery in line with its integrity, that of its species and that of its inhabitant communities. ©️ Adriano Gambarini _ WWF Living Amazon Initiative 28 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 29
4.1. General Context of the Leticia Pact It is composed of 16 mandates and its plan of action is structured in 5 axes: 1. Reforestation, conservation, sustainable use of forests and biodiversity and promotion of the bioeconomy (integrates mandates 1, 5, 8, 9 and 10). 2. Amazonian security (integrates mandates 2, 3 and 4). ©️ Michael Dantas - WWF - Brazil 3. Information and knowledge management and reporting (integrates mandates 6, 7, 13 and 14). The Leticia Pact was signed in September 2019 during the First Presidential Summit for the Amazon. It was born as an initiative of the governments of Colombia and Peru because of the increase in forest fires in recent years 4. Empowerment of women and Indigenous Peoples (integrates and its effects on the biome. The presidents of Bolivia, Colombia, Peru and mandates 11 and 12). Ecuador, the foreign minister of Brazil, the vice-president of Suriname and the Minister of Natural Resources of Guyana participated in the Amazon Summit. Recognizing the value of the biome for the planet, the signatory governments ratified the need to work together to fight against the different causes of its degradation and ensure its protection and conservation. 5. Financing and international cooperation (integrates mandates 15 and 16). Subsequently, the II Presidential Summit for the Amazon held in August 2020 was attended by all heads of state signatories of the Pact and entities such as the World Economic Forum and the IDB. The signatory governments and several cooperation agencies, civil society organizations and financial institutions At the September 2020 United Nations General Assembly, most Amazonian reaffirmed their commitment to the Pact. The IDB announced the creation governments made statements regarding their environmental commitments, of a fund to promote and support the Pact’s Action Plan and to guarantee and some mentioned their commitment to the implementation of the Leticia its financing. This with a seed capital of US$20 million and emphasizing Pact. Similarly, at the September 2020 Political Leaders Meeting for Nature of the importance of financing the bioeconomy and sustainable development the Biodiversity Summit, the commitment United to reverse biodiversity loss by in the Amazon region in integration with the Amazon Cooperation Treaty 2030 and achieve sustainable development was signed. This commitment has Organization (ACTO). Finally, at the 2019 United Nations Climate Change been signed by the Amazon countries of Bolivia, Peru, and Colombia, among 65 Conference (COP 25), the Leticia Pact Action Plan was launched with 52 actions signatory countries. around the 5 themes. In recent months, the administration of U.S. President Joe Biden reaffirmed its Some of the points agreed upon in the Pact are the strengthening of coordinated commitment to the protection of the Amazon by prioritizing 16 actions in his action to combat deforestation, the establishment of regional information first 100 days in office. In relation to the Leticia Pact, these 16 priorities include exchange mechanisms, the creation of the Amazon Cooperation Network for support for the Fund created by the IDB to finance the implementation of the natural disasters, the protection and empowerment of local communities, Pact, as well as increased international funding for Amazon protection activities and the promotion of research, technological development and knowledge in areas such as scientific research, ecosystem conservation, restoration of management processes aimed at the conservation of the biome. degraded lands and waters, and monitoring and sustainable management of ecosystems in collaboration with local communities (The Amazon Rainforest Climate Platform, 2021). 30 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 31
4.2. Implementation progress This section will review some of the actions taken so far in relation to the implementation of the Leticia Pact that are relevant to the current context and that also raise possibilities for the future. It will present the progress made in three prioritized Amazonian countries: Colombia, Peru, and Ecuador. Colombia At the United Nations General Assembly in September 2020, the Colombian government reaffirmed its commitment to the Leticia Pact and assured that “it has achieved that more than 2,800 families in the Amazon are now associated with livestock reconversion projects and the production of non-timber elements. In addition, more than 17,000 indigenous families are benefiting from governance and sustainable economy projects, and 15,000 are under Payment for Environmental Services schemes for nearly 219,000 hectares”. In this sense, one of the Colombian Government’s goals is to carry out actions that ©️ Marizilda Cruppe - WWF - UK will allow it to comply with 60% of the mandates of the Leticia Pact by May 2022, before the end of the current mandate. The implementation of the Amazon Vision REDD+ Program, to which US$13 million has been allocated, is highlighted as a key initiative for the implementation of the different pillars of the Pact. In addition, Other priorities include actions to support the monitoring of deforestation and progress has been made in identifying more than 335 green businesses in the illegal activities; deforestation- and fossil fuel-free production chains; the defense Colombian Amazon that generate around 3,000 jobs and in the planting of around of environmental defenders in the region and the protection of the rights of 2 million trees in the region. indigenous communities; and the enhancement of fair and sustainable livelihoods. All of this through the financing of specific initiatives and international cooperation actions that promote these priorities. The European Union has funds from the European Commission department (DG Climate) for the implementation by Amazonian governments of any aspect of the Leticia Pact. Projects must be led by one or more governments for a period of three to five years and will have a triangular cooperation approach. Through the Agreement for the Response to the Covid-19 Pandemic of the organizations of peoples and nationalities of the Amazon, COICA made in 2020 a call to the international community; the United Nations (UN), the Organization of American States (OAS), ACTO and all institutions working in the Amazon to coordinate actions to expedite the response for the protection of Indigenous Peoples and nationalities of the Amazon, with differentiated actions and taking into account their social and cultural reality. This, by implementing knowledge dialogue roundtables and developing a risk communication strategy. Thus, the need for inter-institutional work at the national and international levels is evident, since to achieve an adequate implementation of the Pact in a context of economic recovery, the governments of Amazonian countries, as well as international cooperation organizations and financial entities, must be involved. For this, it is imperative to consider teamwork in favor of a systemic vision of the biome and inter-institutional coordination at all levels. It is necessary to put focus on any decision-making process related to nature and define who is involved and how to work as a team (Reactivación Transformadora, 2020). ©️ WWF-Brazil - Juvenal Pereira 32 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 33
Perú Ecuador The Peruvian government recognized that it is particularly vulnerable to climate In its statement at the United Nations General Assembly in September 2020, the change. For this reason, the Framework Law on Climate Change was approved Ecuadorian government stated that: “we are committed to the conservation of the in 2018 and the government has seen the Paris Agreement as fundamental, Amazon. We subscribe to the Leticia Declaration and the so-called Financing for establishing roadmaps for 91 adaptation measures and 62 mitigation measures. The Sustainable Development and Bioeconomy for the Amazon Initiative. With the conservation and sustainable use of the Amazon is another priority, including its creation of the multi-donor fund administered by the IDB, important resources will resilience to climate change and the protection of its vast biodiversity. be allocated to conserve this lung of the planet and to improve the quality of life of indigenous peoples. We are facing new challenges, in which the solution lies in Progress in the implementation of the Pact’s Action Plan for the Peruvian case union and peace, not in dispute”. is concentrated mainly in Axis I, which contains issues related to reforestation, conservation, sustainable use of forests and biodiversity, and promotion of the bioeconomy. In this regard, the Peruvian Ministry of Environment has been working with the IDB to obtain resources for bio-businesses and design financial mechanisms for NBS. Likewise, in Peru there are at least two Global Environment Facility (GEF) projects underway in the Amazon. Despite this, it has been evident that the effects of attention to the pandemic have considerably reduced the resources allocated to the implementation of the Leticia Pact. ©️ Daniel Martínez - WWF Perú ©️ Luis Barreto - WWF - UK 34 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 35
4.3. Recommendations for the implementation of the Pact’s Action Plan within the framework of economic recovery The following recommendations are aimed at implementing the five themes structure for the Pact that directly receives a political mandate for its of the Action Plan of the Leticia Pact along various lines and sectors that focus implementation. In addition, it is crucial to integrate actors from the private mainly on promoting solutions that place people and nature at the heart of and academic sectors into the implementation of the Pact to trigger research the economic recovery process. The goal is to advance on an inclusive growth and experience sharing processes. agenda so that countries can converge towards economies that address the challenges neglected during the crisis, such as inequality and environmental Thirdly, it is necessary to apply inclusive governance and territorial planning sustainability, and fulfill the Pact’s mandates. strategies with indigenous peoples and local communities to agree on ways to implement the Pact’s Action Plan at the local level and thus achieve the The general enabling conditions to give rise to the following recommendations objective of sustainable development. Including the needs and interests of the are, first, that Amazonian governments see economic recovery as an opportunity communities in any public policy formulation process is not a waste of time, but to consider nature as a central theme of their strategies, which should consider rather an efficient and effective way of making decisions that lead to concrete regional particularities to align with global priorities. solutions with real effects in the territories. Secondly, coordinated, and inter-institutional action at the national level Because of their clear linkt to the post-Covid-19 economic recovery, most of (integrating the work of the foreign ministries with the ministries of economy, the recommendations are concentrated in Axis I of the Pact’s Action Plan, finance, treasury, trade, transport, environment, agriculture, and interior which focuses on reforestation, conservation, sustainable use of forests and or government) and at the international level, with coordination between biodiversity, and promotion of the bioeconomy. the different governments and other institutions as key multi-donor funds for its implementation, should be considered as a guiding principle for the implementation of the Pact. In this sense, it is essential to define a governance ©️ Luis Barreto - WWF - UK 36 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 37
Necessary enabling Recomendation Theme Relevance Opportunities Potential leaders conditions NBS must be an integral part of the Promote nature-based solutions as a driver of economic Strategies that promote and finance design of public policies and specific Signatory governments, recovery. These should combine the conservation sustainable forest management, and sustainable use of the biome with sustainable Nature based measures determined for regional deforestation-free value chains and the international cooperation, Priority economic reactivation. private sector. development objectives and guarantee local populations Solutions (NBS) restoration and reforestation of degraded IDB through the Financing and those who depend on its environmental services areas. Example: funding announced by the Crisis responses under the NBS Fund livelihoods that are in harmony with nature. Biden administration. approach must be aligned to the NDCs. Promote t bioeconomy and green jobs and businesses as fundamental strategies for economic reactivation. Promoting public policies and Bioeconomy Pact (Government of Ecuador) In the Amazonian context, this implies a transition from investment related to the empowerment traditional production systems to proposals that are of the bioeconomy and the growth of Intergovernmental working groups to more aligned with the recognition of the territory and the green businesses and green jobs. advance issues related to the promotion of sustainable use of natural ecosystems. Some sectors IDB Financing Fund in which the bioeconomy can be promoted are: the Bioeconomy Priority the bioeconomy (led by Peru). Signatory governments Articulation between the public sector ecological production of forest products, the sustainable and private initiatives to promote green IDB financing fund with seed capital of use of timber and non-timber forest resources, sustainable businesses as economic alternatives in US$20 million has highlighted the importance tourism, the promotion of regenerative agriculture and the Amazon. of financing the bioeconomy. deforestation-free production chains, and investment in non-conventional renewable energy sources. Promoting green infrastructure is vital for the sustainable Guarantee the democratic and informed development of the region. It is a way to boost economic participation of indigenous and local growth because it increases assets for competitiveness. communities from the beginning of Infrastructure development should seek to minimize energy and infrastructure projects, GHG emissions by considering the four pillars of considering the principle of free, prior, decarbonization (renewable energy sources, electrification, and informed consent. public and non-motorized transportation, and the Sustainable a. Promote NBS projects / initiatives for Signatory governments, Medium conservation and restoration of ecosystems). In addition, it infrastructure Implementation of guidelines for infrastructure development in the region. private sector. should seek to be resilient to the effects of climate change sustainable infrastructure to any and natural disasters. Specifically, the development of infrastructure development in the transportation infrastructure should consider sustainable region, in particular those related to the infrastructure guidelines for the construction of roads development of roads. and transportation systems in the region that are not detrimental to biodiversity. Promoting an energy transition to renewable energy sources can stimulate economic recovery and job creation. This requires promoting a balanced energy mix with greater use of non-conventional renewable Promotion of public policies and resources and less reliance on hydropower. Hydropower Energy transition Medium investment in renewable energy Signatory governments. projects should maintain the ecological flows of the river sources. basin and water uses should be based on sustainability standards such as the Hydropower Sustainability Assessment Protocol (HSAP). 38 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 39
Necessary enabling Recomendation Theme Relevance Opportunities Potential leaders conditions Focus on the development of new production chains based on solidarity and fair trade that, from the planning Promoting public policies and stage, seek to achieve zero deforestation and forest investment that seek a transformation degradation. Some options for this are the promotion of towards an agricultural model based on agroforestry economies based on sustainable agricultural Agriculture, native forest products from a production One of the points prioritized by the Biden practices with forest species and non-timber products aquaculture, and approach integrated into the landscape administration for the promotion of actions Signatory governments, that provide direct local incentives to farmers and move Priority that preserves environmental services away from the expansion of the agricultural industry and development of and integrates social development. in the Amazon is the support of production private sector. chains free of deforestation and fossil fuels. large-scale livestock farming. Also invest in agricultural agroforestry systems innovation and in silvopastoral systems and sustainable Promoting productive alternatives to use of forest products to improve the productivity of the traditional agricultural and extensive agricultural sector and the efficiency of practices such as livestock raising practices. cattle ranching - both small and large-scale.-. Promotion of integrated forest It is a priority to exchange and implement protected area management policies through a The conservation of protected areas management experiences and given the current situation, combination of conservation actions in contributes to the fulfillment of international to guarantee the integrated management of protected area protected areas and the recognition, commitments such as Goals 14 and 15 of the systems that are free from the pressures generated by the consolidation, and sustainable SDGs, the objectives of the Convention on expansion of the agricultural frontier, illegal activities, or management of indigenous territories. Biological Diversity, The Pledge of Sydney unsustainable land colonization. To achieve sustainable (2015), the Lima Declaration of the Congress development in the region, an integrated conservation Integration of protected areas and of Protected Areas of Latin America and the model that combines protection, sustainable management Management of indigenous territorial management Caribbean, and the commitments acquired in REDPARQUES, signatory and restoration should be pursued. Medium Collaborative agreements to establish transboundary protected areas into regional development plans. the framework of REDPARQUES, including governments. Financiamiento a los sistemas de áreas the Declaration on the Role of Protected protected areas should also be encouraged, as well as protegidas. Areas and Climate Change (2015). ensuring that spatial and land-use policies and practices Exchange of experiences in conservation integrate protected areas and indigenous territories Actions in this direction should integrate areas through REDPARQUES. with other forms of land use, guaranteeing that local a landscape logic to strengthen In Colombia, there are plans to promote communities have access to the natural resources on connectivity between ecosystems and the reinvestment of the carbon tax for the which they depend and that their livelihoods are not achieve comprehensive conservation conservation of protected areas. indiscriminately affected. actions. Formulation and implementation of programs and projects aimed at strengthening Promote actions to protect collective territories and The implementation of the Leticia Pact indigenous territorial governance. Example: indigenous land-use planning schemes. It is essential to guarantee the ownership of indigenous territories that Protection of must be carried out in coordination and The Biden administration has announced Signatory governments, Priority collaboration with local communities, support for issues of recognition and have been ancestrally inhabited and where the least indigenous territories especially indigenous peoples. empowerment of local communities. indigenous organizations environmental degradation of the Amazon biome is evident. Spaces for the exchange of experiences of indigenous territorial management models. Develop initiatives that seek to exchange and implement Regional Conference on Illicit Species experiences in integrated fire management between Trafficking countries. Fundamentally, they should be based on the United Kingdom funding prevention of forest fires, the promotion of alternatives Articulated monitoring Creation of instances and working Inter-country working groups: environmental Emergency Operations to the use of fire and the strengthening of technical, crime group led by Brazil. scientific, and institutional capacities. For this reason, it of forest cover and Medium groups between countries that allow an One of the points prioritized by the Biden Center of the signatory adequate flow of information. countries. is necessary to take actions to achieve the creation and Amazon security Administration for the protection of the financing of the Amazon Cooperation Network for natural Amazon is the commitment to initiatives to disasters among the Emergency Operations Centers of support monitoring for deforestation and the signatory countries. illegal activities. 40 WWF -Recommendations for the implementation of the Leticia Pact in a context of green, just, and resilient economic recovery 41
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