Terms of Reference: Knowledge Product: Proving no deforestation in supply chains
SNV is a not-for-profit international development organization and is currently establishing a presence in Indonesia. Funded from public and private sources, SNV currently works in 35 countries world-wide. SNV is committed to reducing poverty by catalyzing environmentally sustainable solutions for the poor in agriculture, energy, water, sanitation and hygiene, and REDD+.
1. Background:
Many of the world's best known companies and environmental groups are turning their attention to the potential of greening commodity supply chains in order to address deforestation. Important commodities driving deforestation include Palm Oil, Cocoa, Coffee, Rubber and Shrimp Aquaculture. Responding to growing consumer concern, companies like Coca-Cola, Disney, McDonald's, Office Depot, Nestle, and Unilever are seeking to eliminate deforestation from the products they offer. The Consumer Goods Forum, a global industry network representing companies with $3 trillion in annual revenue, has pledged to break this commodity and climate change link by 2020.
In order to meet this aim companies have been pledging to reach 100% certification; for example Mars has pledged to have all their cocoa certified by 2020. However, there remains concerns that certification, through initiatives such as RSPO, are not sufficient to ensure that sourced production is leading to `no deforestation'. There are more robust methodologies to measure and monitor changes in GHG emission through application of carbon methodologies; however it is unlikely this can practically be applied across a company's supply chain.
2. Objective:
This piece of work should explore the role of certification in ensuring no deforestation and provide suggestions on what needs to be improved. The focus for SNV is on 4 supply chains: Palm Oil, Cocoa, Coffee and Shrimp. Forest and FSC should also be explored as a possible example. User friendly tools should also be developed for companies to help them better integrate no deforestation into their commodity supply chains.
3. Tasks:
Part 1: Module for `'no deforestation'' in certification
SNV is a not-for-profit international development organization and is currently establishing a presence in Indonesia. Funded from public and private sources, SNV currently works in 35 countries world-wide. SNV is committed to reducing poverty by catalyzing environmentally sustainable solutions for the poor in agriculture, energy, water, sanitation and hygiene, and REDD+.
1. Background:
Many of the world's best known companies and environmental groups are turning their attention to the potential of greening commodity supply chains in order to address deforestation. Important commodities driving deforestation include Palm Oil, Cocoa, Coffee, Rubber and Shrimp Aquaculture. Responding to growing consumer concern, companies like Coca-Cola, Disney, McDonald's, Office Depot, Nestle, and Unilever are seeking to eliminate deforestation from the products they offer. The Consumer Goods Forum, a global industry network representing companies with $3 trillion in annual revenue, has pledged to break this commodity and climate change link by 2020.
In order to meet this aim companies have been pledging to reach 100% certification; for example Mars has pledged to have all their cocoa certified by 2020. However, there remains concerns that certification, through initiatives such as RSPO, are not sufficient to ensure that sourced production is leading to `no deforestation'. There are more robust methodologies to measure and monitor changes in GHG emission through application of carbon methodologies; however it is unlikely this can practically be applied across a company's supply chain.
2. Objective:
This piece of work should explore the role of certification in ensuring no deforestation and provide suggestions on what needs to be improved. The focus for SNV is on 4 supply chains: Palm Oil, Cocoa, Coffee and Shrimp. Forest and FSC should also be explored as a possible example. User friendly tools should also be developed for companies to help them better integrate no deforestation into their commodity supply chains.
3. Tasks:
Part 1: Module for `'no deforestation'' in certification
- Collate information on certification/standards for the four REAP commodities [Palm Oil, Cocoa, Coffee, Shrimp aquaculture]; review standards to understand how they address deforestation;
- Make recommendation on which certification standards should be adopted for our 4 focal commodities [based on their guidance on meeting no deforestation];
- For the chosen certification/standards assess in more details if they have been successful in proving no deforestation; highlight limitations, in particular around issues of traceability, measuring and monitoring land cover change;
- For each commodity certification scheme provide suggestions on how to overcome these limitations with regards to no deforestation (e.g. stricter standards, better monitoring systems, carbon criterion could be added to the HCV toolkit (); provide recommendations on how to deal with indirect impacts (see work by Hans on indirect certification);
- Produce recommendation on necessary changes/additions to the certification standards to better address the issue of no deforestation in supply chains; this could be an RSPO + or Naturland + (+ is no deforestation/carbon emissions); as much as possible provide for each commodity class;
- Provide a crude estimate of costs of meeting these stricter standards; identify least cost options; assess different options of who pays the costs; explore innovative financing to pay upfront costs.
Part 2: Develop guidance for groups to introduce the no deforestation model
- Provide more guidance on key areas to meet no deforestation certification for each commodity where appropriate (this will be based on findings from Part 1): e.g.
- Good practice between companies and communities leading to better forest management [land sharing]; (e.g. BMP, livelihood support, benefit distribution mechanisms)
- Dealing with indirect impacts
- Traceability, monitoring and measurement of land use
- Carbon finance/REDD+/certification as a proxy measure
- Others (depending on outcome from Part 1)
- Produce guidance for certification plus module (bringing together the above points)
- Assess tools to help companies implement certification plus module (e.g. GCP deforestation risk assessment tool, SNV Inclusive Business model); integrate guidance into SNV Inclusive Business model; suggest companies to trial the Toolkit in Indonesia
- Provide direction on development of a company in-setting tool which provides a mechanism for companies to monitor changes in GHG emissions from their supply chain, with a focus on including from reduced impact on forested areas.
Part 3: FSC and Carbon
- Assess FSC standards and provide recommendations on ways it can be used as proxy measure for GHG emissions; make suggestions on additions to the standard to be able to robustly measure and monitor forest based emissions to access carbon markets;
4. Expected Outputs
- Report on appropriate certification standards for REAP focal commodities
- Certification + modules for 4 priority commodities
- Guidance documents and tools for companies to introduce zero deforestation as part of the SNV Inclusive Business Tool
- Guidance on how to include carbon in FSC
5. Qualifications
- Master degree in Forestry, Natual Resource Management, and/or Agriculture
- Sound knowledge and experience working with certification standards;
- Knowledge of REDD and/or Carbon;
- Knowledge of SNV; experience of SNV Inclusive Business Tool would be preferable
6. Timeframe and Location
The consultant will be recruited for a period of 35 days over a period of 3 months (with possible extension if necessary) from the date of signing the contract for activities.
It is expected that the consultant must provide information indicating that they are qualified to perform these services to the highest professional standard. A consultant for this assignment will be selected in accordance with the procedures set out by SNV. Interested individual consultants and may obtain further information from the SNV by contacting Richard McNally at rmcnally@snvworld.org . Interested consultants should submit their application letter and latest CV, by email to no later than 12 July 2013.
The consultant will be recruited for a period of 35 days over a period of 3 months (with possible extension if necessary) from the date of signing the contract for activities.
It is expected that the consultant must provide information indicating that they are qualified to perform these services to the highest professional standard. A consultant for this assignment will be selected in accordance with the procedures set out by SNV. Interested individual consultants and may obtain further information from the SNV by contacting Richard McNally at rmcnally@snvworld.org . Interested consultants should submit their application letter and latest CV, by email to no later than 12 July 2013.
