Laos Launches Forest Carbon Credit Project

In an effort to reduce greenhouse gas emissions from deforestation and forest degradation, the Lao government has signed an agreement with AIDC Green Forest (AIDC) to launch a forest carbon credit initiative.

Under the Memorandum of Understanding (MoU) for the cooperation between the Lao Ministry of Agriculture and Forestry, the Lao Ministry of Natural Resources and Environment, and AIDC, the project will involve eight forests with a total area of approximately 1.4 million hectares.

The initiative has been launched to help protect and restore forests while also improving the quality of life of local communities.

According to the Ministry of Agriculture and Forestry, the scheme is an important national strategy and is in line with policies adopted to reduce forest destruction.

Under the MoU, the parties will work towards developing a structure to support the purchase and sale of forest carbon credits in line with Lao and international market mechanisms.