Forest Solutions Realized: To work on deforestation-free supply chains in key agricultural commodities, CONAFOR participated in an inter-institutional REDD+ Working Group, including the Ministry of Finance as well as the Ministry of Agriculture and Rural Development. Dedicated operational multi-sectoral teams have been created to advance joint activities on deforestation-free commodity production.
Technical recommendations to enhance operations of the Forestry Guarantee Funds were provided to CONAFOR as part of a broader analysis of bank and fiduciary guarantees.
Lessons learned and experiences were exchanged with countries that apply the MRV system for other REDD+ activities, including forest degradation, increasing forest carbon stocks and sustainable forest management, as well as on community-based forest monitoring within the National Forest and Soil Inventory.
Technical support towards strengthening the national safeguards system has been continued. Mexico has made good progress in the preparation of its second summary of information on how safeguards are respected and addressed. Key elements of the report have been agreed, which is due to be published in 2023. Also, the SIS has been further improved in its structure and technical set up. State level actors from Quintana Roo and Chiapas were able to strengthen their capacities on applying the tools of the SIS.
Forest Solutions Rewarded: Mexico submitted its REDD+ Technical Annex in 2022, showing results in reduced emissions from deforestation and forest degradation in the period from 2017-2019. On that basis, recommendations to access international forest and climate finance under different international private and public funding mechanisms were provided to CONAFOR and other key actors, in accordance with the methodologies of the ART-TREES standard and in line with preliminary information on a potential second phase of the GCF’s Results-based Payments programme.
Mexico continues to show interest in accessing finance sources to reward results in reduced deforestation. With the enactment of the reform to the General Law on Sustainable Forest Management (LGDFS) in 2022, Mexico provided legal pathways for sub-national entities to directly access international climate finance. As such, the states of Jalisco and Quintana Roo advanced in the TREES cycle, with the latter submitting a concept to the ART Secretariat in 2022. The full operationalization of the General Law for Sustainable Forestry Development (LGDFS) reform, including clarity on the rights over emissions reductions requires further regulations by the sectoral lead agency, the Ministry of Environment (SEMARNAT). These regulations are expected in 2023.
While COVID-19 restrictions continued to play a limiting role for operations, UN-REDD maintained progress by using online platforms for technical support. Delays in the submission of the second summary of safeguards information were partly caused by the pandemic’s disruptions.
CONAFOR continued to experience budget restrictions, which further reduced operational capacities. In spite of changes in personnel and the institutional set up, the UN-REDD Programme was able to maintain a stable working relationship with CONAFOR over the course of the year. The reduced capacities in personnel at CONAFOR, however, impacted the work on deforestation-free supply chains, as well as forest finance. The set up of the inter-institutional REDD+ Working Group provides an opportunity to link UN-REDD activities to an institutional agenda and work with CONAFOR and other partners on aspects relating to sustainable production and climate finance.
While the General Law on Sustainable Forest Management was reformed, further clarity on carbon rights and access to international finance streams is required through the by-laws and regulations.
Gender equality is a key component of Mexico’s safeguards information system. As such, the tools developed to facilitate reporting across levels of government explicitly includes gender considerations in its design, application, as well as corresponding capacity building measures.
Synergies with the work under the Governors’ Climate and Forests Task Force (GCFTF) continued in 2022, particularly through GCFTF country coordination on submissions to the ART-TREES standard in Jalisco and Quintana Roo, as well as with the implementation of the GCFTF’s innovation funding projects in Jalisco and Yucatán. Further synergies could be forged with the work under the Voluntary Carbon Markets Integrity Initiative (VCMI), launched in 2021, and active contribution by CONAFOR as well as states in the initiative’s governance body.
The activities developed contribute indirectly to SDGs 5, 8, 12, 13 and 15.