Global Carbon and Biodiversity Market Design for Equity: Environmental and Economic Outcomes across Nations

BACKGROUND

Forest restoration is a critical strategy for mitigating the global climate and biodiversity crises. The process of recovering forests that have been degraded is accelerating globally with the growth of carbon and biodiversity markets, which create financial incentives for restoration through the trade of credits. Forest restoration projects are often implemented for these carbon or biodiversity markets to offset damaging deforestation or carbon emission activities elsewhere. As currently used, these restoration projects do not always result in their expected benefit. There is limited land available for agriculture, which means if we restore land already being used, like farmland, the farming may shift somewhere else - a phenomenon known as agricultural displacement which is difficult to track and manage. This displacement could mean clearing nearby forests or even the forests in other countries, resulting in an overall environmental loss rather than gain - known as leakage. Leakage can also negatively impact vulnerable communities and nations increasing their exposure to environmental degradation which includes loss of biodiversity, reduced access to clean water, and worsened climate change impacts, while also undermining local economies dependent on healthy ecosystems.

Designing market options is complex and compounded by international carbon and biodiversity trading. In the near future there will be many more carbon and biodiversity projects around the world because one country can now meet its obligations under the Paris Agreement by buying carbon credits generated through restoring land in another country (Article 6). This poses the risk of developing economies being disadvantaged in the long term as wealthier nations prioritise securing cost-effective forest restoration. It also creates dependencies on external carbon markets rather than fostering equitable and environmentally sustainable economic growth. Already 80% of countries have signalled their intention to use Article 6 to meet their obligations for reducing carbon emissions, for example through restoring forests. This project will use quantitative analysis to strategically co-develop solutions with academic and industry experts to help governments deliver forest-based carbon and biodiversity projects that result in net environmental and economic outcomes. Specifically, this project answers the question: how can forest restoration-based environmental markets deliver net environmental and economic gains equitably?

DESCRIPTION

This PhD scholarship is part of an ARC DECRA project entitled "Forest restoration for equitable carbon and biodiversity markets". This project will use existing modelling and planning tools to evaluate and refine global carbon and biodiversity market design strategies. It will help develop and integrate carbon and biodiversity market scenarios informed by expert workshops, where policymakers, economists, and environmental scientists will identify key design options. This project will evaluate and refine global carbon and biodiversity market design strategies. They will help develop and integrate market scenarios informed by expert workshops, where policymakers, economists, and environmental scientists will identify key design options. They will gain expertise in stakeholder engagement, scenario development, and environment-economy modelling.

We invite prospective students with varied backgrounds, but ideally we are looking for students with backgrounds in one or a combination of the following: quantitative analysis, sustainability science, spatial analysis, forest restoration, equity and distributional impacts of environmental policy, and experience with workshops, expert elicitation, or co-designed research. Overall, the candidate ideal candidate would be analytically strong, policy-engaged, and comfortable working across economics and environmental science, with a clear interest in carbon and biodiversity market design.

RESEARCH ENVIRONMENT

This project will be under the primary supervision of Dr Brooke Williams, you will join the new Biodiversity, Forest Restoration, and Ecology (BIOSFERE) Lab https://biosfere.org/ at the University of Newcastle, Australia https://www.newcastle.edu.au/ - one of the best locations in the world! The Lab sits within the impactful Centre for Conservation Science https://www.newcastle.edu.au/research/centre/conservation-science.