Policy sequencing to reduce tropical deforestation

Abstract

Non-technical summary Tropical deforestation continues apace despite a proliferation of commitments made by companies and governments to control it. Halting and reversing deforestation requires multiple, complementary interventions by state and non-state actors at different scales. We argue that the order in which these instruments and actors are introduced into the policy mix matters. Sequences of interventions from case studies in Latin America show that government commitment is a critical first step, implemented through command-and-control measures and then incentives. Combined with REDD+, they create an enabling environment for supply chain initiatives. A more coordinated and deliberate polycentric governance is needed to achieve zero-deforestation. Technical summary Avoided deforestation provides a natural climate solution for reducing emissions while generating co-benefits for people and nature. However, unleashing this potential requires improved governance. Diverse coalitions of actors are designing interventions to protect forests, each with different motivations and specialization of strategies. We introduce a policy sequencing framework to advance our understanding of how to improve polycentric zero-deforestation governance. Focusing on commodity production in Costa Rica, Brazil, and Colombia, we reconstructed the policy mix of zero-deforestation interventions across three domains – domestic public policies, REDD+, and supply chain initiatives. We classified interventions according to their instrument mechanism – disincentives, incentives, enabling measures – and when they were introduced into the policy mix. We found a sequence of interventions that reflects stages of forest cover dynamics, but also depends on local political will and institutional capacity. Government command-and-control measures are needed early in the policy sequence to slow deforestation, with incentives added to increase legal compliance. REDD+ helps governments build an enabling environment that supports supply chain initiatives seeking to increase forest cover at later stages of the sequence. Policy sequencing and policyscape concepts advance the design of more deliberate polycentric forest governance that enhances actor coordination and instrument synergies in the policy mix. Social media summary How do we stop deforestation? The policy options are well-known, but the order in which they are introduced matters.

Addressing indirect sourcing in zero deforestation commodity supply chains

“…Moreover, indirect sourcing presents a sustainability blind spot not only for traders but also for downstream buyers. Across 449 publicly listed companies in the food, textile, and wood products sectors, where companies have supplier codes of conduct, these are in most cases (60.5%) limited to their direct suppliers ( 78 ). Indirect suppliers have similarly been identified as a disproportionate source of risk exposure for companies in the automotive, electronics, pharmaceutical, and consumer goods sectors ( 79 ).…”

“…Trading companies must invest in sustainable procurement efforts that extend beyond their own direct supply chains, and policies from consumer countries, such as on mandatory due diligence, need to account for the prevalence of indirect sourcing and informal production and trade. Only by layering these policies with inclusive land use governance, rule enforcement, green finance, and other corporate sustainability efforts ( 78 ) may we create the necessary mix of incentives for sustainable development within production landscapes.…”

Six research priorities to support corporate due-diligence policies

“…Most case studies and impact evaluations of voluntary policies for supply-chain governance disregard the wider political contexts in exporting and importing countries. Researchers now need to analyse such laws as part of a global policy ecosystem 14 .…”

Understanding deforestation lock-in: Insights from Land Reform settlements in the Brazilian Amazon

“…In the case of land use, many authors have argued for combining various interventions -command-and-control actions, supply-chain policies, economic incentives, etc.in mixes that can operate synergistically to address tropical deforestation (see Lambin et al, 2014;Bastos Lima et al, 2017;Carrilho et al, 2022). Some have gone further to discuss also the most effective sequencing for such measures (see Furumo and Lambin, 2021). What is clear from transitions theory is that successful action must include a measure of both "creation" and "destruction" elements (Kivimaa and Kern, 2016).…”

“…Sustainability transitions frameworks have been increasingly applied to environmental fields such as energy (Geels et al, 2017a;Rogge et al, 2017), agri-food systems (El Bilali, 2019), and the bioeconomy (Gawel et al, 2019). In the realm of forests, the concept of lock-in and transitions scholarship have only recently started to receive attention as a lens for analyzing land-use change (see Delabre et al, 2020;Furumo and Lambin, 2021).…”