Private forest giant says carbon-credit sales getting off to swift start
North Cowichan, First Nations welcome to join in and save start-up costs
Mosaic Forest Management says it has already pre-sold more than one-quarter of its carbon credits and expects the rest to go soon.
“We’ve pre-sold a very big chunk of those and we’ll be continuing to sell the rest over the course of the year,” chief forester Domenico Iannidinardo told sixmountains.ca. “So far so good, lots of interest.”
Mosaic announced in March 2022 plans to defer logging on 40,000 hectares across hundreds of forest stands from Sooke to Campbell River and Haida Gwaii for at least 25 years to pursue the sale of carbon credits.
Since then, dozens of interested buyers from around the world have come calling, including such diversified sectors as mining, liquefied natural gas, technology, and insurance.
“There’s certainly more interest than there is credits…” said Iannidinardo, noting buyers are also asked to demonstrate a commitment to reduce their emissions. “They’re purchasing from us on an annual basis, so, if something changes, then we just won’t sell (to them) in the future.”
Mosaic is selling 1.4 million “verified carbon units,” each unit equating to one tonne of carbon dioxide sequestered by the forests.
Each unit is currently selling for more than $25, with prices expected to increase over time.
Iannidinardo called them “premium credits” because they include old forests, alignment with United Nations sustainable-development goals, and partnerships with the Pacific Salmon Foundation and Indigenous Protected and Conserved Areas Innovation Program.
“It’s more than carbon, there’s a lot of biodiversity features that go with our old forests that a lot of other projects just don’t have,” he said.
So far, carbon-credit sales have been “business to business,” with plans to eventually put some credits up on an exchange for smaller buyers.
The UBC Partnership Group has told North Cowichan it stands to earn millions of dollars more through carbon-credit sales than logging over 30 years.
Mosaic is happy to work with North Cowichan and First Nations on the sale of carbon credits, saving them start-up costs. “We’re not looking to make money by having First Nations and communities join our project,” Iannidinardo said.
Mosaic is owned by BC Investment Management Corporation and the federal Public Sector Pension Investments.
Read more: https://www.bigcoastforest.com/
(Larry Pynn photo of Domenico Iannidinardo and an ancient Douglas-fir.)
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— Larry Pynn, April 6, 2023.