A new Nicholas Institute report looks at the successes and failures of previous policy attempts to stem deforestation and suggests a way forward for global policy efforts to reduce emissions of greenhouse gasses (GHG) from forest loss.

The report comes at a critical time. Forest loss accounts for 12 to 17 percent of the world's GHG emissions. U.N. Framework Convention on Climate Change (UNFCCC) negotiators are actively considering ways to include incentives to spur reduced emissions from deforestation and forest degradation (REDD) and other forest carbon activities in any post-2012 treaty. The U.S. Congress is developing long-term climate policy proposals that include incentives for REDD and  other possible international forest carbon activities.

To assist these policymakers in their ongoing climate deliberations, the new report analyzes the dominant influences on forest loss, not only forest-focused policies but also other policies that directly or indirectly influence it, all in light of nonpolicy factors such as commodity prices. Lessons learned from these past successes or failures are then linked to current policy decisions.

"It is in the interest of any REDD program to understand what has worked in reducing deforestation and degradation, and what has not," the report's authors write. "Investments and policies can then more effectively embrace and extend success while reducing risks of further failures."

The report, issued in June, was written by a team of experts from the Nicholas Institute and the Sanford School of Public Policy at Duke, North Carolina State University, Virginia Polytechnic State University, and Climate Focus.

More information:
Policy Impacts on Deforestation: Lessons Learned from Past Experiences to Inform New Initiatives

Renewable energy technologies present an opportunity to diversify energy resources while increasing reliance on domestic fuels with greater benefits for employment and economic growth relative to imported energy supplies. Government policies can provide a strong impetus for constructing renewable generation facilities, but these policies, however, are not uniformly available throughout the country.

In a new working paper, a team of researchers at the Nicholas Institute and Georgia Institute of Technology's Ivan Allen School of Public Policy assessed the economic potential for expanding renewable electricity generation in the South under various policy scenarios, including an "expanded renewables" scenario, a Renewable Portfolio Standard (RPS), and a carbon-constrained future (CCF). The team also factored in the potential of customer-owned renewables, such as rooftop solar panels. The team concluded that under an "expanded renewables" scenario, renewable electricity generation could double over the reference forecast for the region, and if a federal RPS were imposed or the policies represented in the CCF scenario were implemented, 15 to 30 percent of the South's electricity could be generated from renewable sources. Among the renewable resources, the team concluded that wind, biomass, and hydroelectric power provide the most generation potential.

"Under realistic renewable expansion and policy scenarios, the region could economically supply a large proportion of its future electricity needs from both utility-scale and customer-owned renewable energy sources," the authors conclude.

The authors plan to release a full report of their findings in the next couple of months.

More information:
Renewable Energy in the South: A Policy Brief

Property Assessed Clean Energy (PACE) financing programs promote energy efficiency investment and renewable energy project development through low-cost municipal loans to property owners.

This new policy brief, written by a trio of Institute policy analysts, reviews the potential advantages PACE bonds may provide, along with key issues about the loans and bond implementation that must still be carefully reviewed and considered.

"Despite being similar to numerous existing and established credit products, such as special-purpose district binds and tax assessment bonds, PACE bonds are still a new and relatively unknown product," the brief's authors observe. "Municipal loan programs must create a sufficient pool of loans to satisfy the market while addressing concerns regarding uncertain returns in energy efficiency and utility costs, impacts on home values, and project quality control." PACE bond projects have been launched in only five communities nationwide, each with unique characteristics that may not translate to other municipalities, the authors note. However, "if these concerns are taken into account, PACE programs can be a useful tool for implementing urgently needed energy improvements in our built environment."

More information:
PACE Financing: Introduction and Key Questions for Local Implementation

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