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Investor Presentaiton

6 REDD+ in the State of Acre - Brazil As a basis for payments, REM only considers ER below the historical average. To qualify for pay- ment, ER need to be: • • • Measured based on forest area and area change ("activity data") against the reference level in the reference region (the State of Acre), determined by satellite imagery and data on carbon stocks ("emissions factors") Reported, i.e. the information is compiled in a complete and trans-parent manner Validated by a scientific committee, consis- ting of national and international scientists, following an agreed protocol Registered in a registry system for tracking and avoiding double-counting Retired, meaning that emission reductions cannot be used as carbon offsets for trading or compliance. REM does not purchase carbon credits, nor is a transfer of title required. Brazil may report reward-ed ER to the UNFCCC as part of its voluntary national contribution towards climate change mitigation. REM does not reward the total amount of ER - only a propor-tion corresponding to funding allo- cations. As of December 2016, all of the committed funds (EUR 25 million) have been disbursed to Acre's State government. REM has rewarded ap-prox. 16.5% of Acre's total ER in the 2011-2015 period, with an ad- ditional 17.7% registered and retired as a risk mana- gement mechanism by Acre. REM encourages other actors to reward Acre's remaining ER. REDD+no Estado do Acre Brazil's forest monitoring Through PRODES (Satellite-Based Monitoring of Forest Clearing in the Amazon), Bra-zil's Na- tional Institute for Space Research (INPE) collects data on forest cover change and pro-duces, since 1988, yearly defor-estation rates in the Legal Ama-zon. These data are also used by the Government for the establishment and implementa-tion of public policies to combat deforestation. Key facts about the Brazilian Amazon The Amazon Biome, spanning 9 countries, covers an area of 6.7 million km² - roughly two times the size of India. Around 60% of the world's largest rainforest is found in Brazil - covering approx. 50% of the national territory. The Brazilian Amazon hosts a quarter of the world's terrestrial species, carries out 15% of terrestrial photosynthesis and con-tains an enormous carbon stock - all of which contri- bute signifi-cantly to global social and econo- mic benefits. Key facts about the State of Acre • Situated in the South-West of the Brazilian Amazon, Acre is one of Brazil's smaller states - with an area of 164.123,7 km² it occupies only around 2% of the Brazilian territory, but equals approximately the size of Nepal. Home to a diverse population of more than 830.000 people, of which 200.000 live in rural areas and approx. 23.000 are from in-dige- nous communities. The 14 million hectares of primary forest cover 87% of Acre's territory. Protected areas (97% forested) and territories of Indige-nous Peoples (98% forested) harbor more than half of Acre's for-ests. The remaining forests are located in private lands (78%), ru-ral settlements (58%) and not yet defined areas (87%). In these territo- rial categories deforestation pressures are par- ticularly high. Overall, 87% of Acre's forests are still standing, despite de-forestation pressure. While overall improvements in the living condi- tions are noted, social indicators are relatively Low and poverty rates high.
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