Ghana’s Green Shift: CSOs Call for Transparent Use of Carbon Market Revenues, Highlight Land Rights Concerns
As Ghana charts a path toward sustainability and renewable energy, the debate surrounding carbon markets continues to spark divergent views among stakeholders.
Speaking during the NorvanReports and NRGI X Space discussion on “Powering Ghana’s Future: Political Promises Vs CSO Demands – Are We Ready for the Green Shift?”, Chibeze Ezekiel, Executive Coordinator of the Strategic Youth Network for Development (SYND), highlighted critical challenges and opportunities in leveraging carbon market revenues for local climate actions.
Opposition to Carbon Markets
Ezekiel underscored significant resistance to carbon markets, particularly from African Civil Society Organizations (CSOs), who view the mechanism as a form of “greenwashing.”
This perception stems from concerns about land grabbing and inequitable distribution of responsibilities under global climate agreements like the Paris Accord.
“At COP, our friends from African CSOs are strongly opposing the concept of carbon credits, as it is seen as one of the greenwashing initiatives,” he remarked.
Mr Ezekiel cited cases where large tracts of land have been repurposed for tree planting to meet carbon credit requirements, often at the expense of local landowners and their livelihoods.
He emphasized the importance of ensuring that carbon market revenues are judiciously utilized to benefit local communities, particularly in addressing climate adaptation challenges like unpredictable rainfall patterns.
Maximizing Community Benefits
Proposing practical applications of carbon market revenues, Mr Ezekiel suggested channeling funds into initiatives like irrigation systems to support farmers affected by changing climatic conditions.
He also advocated for using the funds to establish alternative livelihoods, such as briquette production, to provide rural communities with sustainable income sources.
“If resources are coming from the carbon market, they must be properly channeled to address community needs,” he stated.
Mr Ezekiel praised Ghana’s Forestry Commission for its efforts in securing carbon market funds through mechanisms like the World Bank’s results-based programs.
However, he called for transparency and accountability to track the impact of such funds on the lives of beneficiaries.
Fair Pricing and Revenue Optimization
Adding to the discussion, Benjamin Boakye, Executive Director of the Africa Centre for Energy Policy (ACEP), emphasized the need for Africa to advocate for fair pricing in carbon credit transactions.
“The pricing is often dictated by buyers. We need to develop mechanisms that ensure fair pricing for the carbon we trade,” Mr Boakye noted.
He stressed the importance of transparency in tracking carbon market revenues and optimizing their use for community development.
Mr Boakye also called on journalists and other stakeholders to play a more active role in monitoring and reporting on the flow of funds within carbon market frameworks to ensure they deliver tangible benefits.
The Role of Ghana’s Carbon Market Office
Ghana’s Carbon Market Office serves as the administrative and technical hub for implementing the country’s international carbon market framework.
It facilitates the trading of emission credits to meet climate targets while driving cost-effective climate actions.
In 2023, Ghana’s carbon credit supply was projected to reach 33 metric tons (MT), which could unlock $500 million in capital.
As Ghana explores the potential of carbon markets, stakeholders agree that ensuring equity, transparency, and accountability is crucial.
While the mechanism presents opportunities for environmental and economic gains, addressing underlying challenges will be key to its success.
Stakeholders, including CSOs, government agencies, and the media, must collaborate to create a robust framework that prioritizes the welfare of local communities and aligns with Ghana’s broader green agenda.
