The Clean Development Mechanism Worldwide and in Brazil - Implementing Environmental and Resource Management - page 73

Consequently, this leads to the issue of including sink projects in the CDM. Sink
projects are characterized by reforestation or afforestation activities in order to
create carbon sinks. Approximately one fifth of the global anthropogenic carbon
dioxide emissions are caused by unregulated land use and might be reduced by
forestry projects (Böswald et al. 2001). Despite this their inclusion in the CDM is
controversial. The United States and sympathizing nations, as well as a majority of
Latin American and African countries have been in favour of including forest pro-
jects, while particularly the European Union, China and India have opposed such
measures. One reason for the disagreement has been the fear of hindrances to the
transfer of superior and innovative alternative energy saving technologies (Sutter
and Parreño 2005) due to cheap carbon credits generated from sink projects. An-
other issue includes uncertainties regarding the perdurability of carbon fixation by
forest activities (Van Vliet et al. 2003). Indeed, if these problematic aspects are
not properly addressed, the final result might be counterproductive to significant
reductions of greenhouse gases in the atmosphere.

8.4 The Clean Development Mechanism in Brazil

A review of CDM activities in Brazil reveals that the above mentioned issues are
also relevant within the country. Brazil is not only one of the world's most unequal
countries in terms of economic and social equity (Serroa da Motta 2002), but also
made major contribution towards the establishment of the Clean Development
Mechanism (Michaelowa 2004).

8.4.1 Spatial Distribution of CDM Activities within Brazil

Comparable to the global situation, CDM projects in Brazil are concentrated in the
more developed regions. Only a few CDM projects can be found in less developed
North and Northeast. More than two-thirds of the activities take place in the South
(25%) and Southeast (43%) which is the economic centre of Brazil. The Central-
west hosts 20% of all projects (UNEP Risoe Centre 2008).

Table 8.2. Distribution of CDM activities within Brazil (sources: UN Risoe Centre 2008;
UNDP 2003)

Federal State Share on CDM projects HDI (2000)

São Paulo 22.76% 0.820

Minas Gerais 14.32% 0.773

Rio Grande do Sul 10.74% 0.814

Santa Catarina 8.18% 0.822

Mato Grosso 7.93% 0.773

Others 36.06% 0.723