Workshop 4.5

Workshop 4.5 Corruption & Carbon Trading Projects: Is Carbon finance helping to combat detrimental Climate Change?

Stream 3 Climate Change & Corruption

Coordinator: Trusha Reddy (Political Researcher in the Corruption & Governance Programme, Institute for Security Studies)
Date: Saturday 11:00 to 13:00
Location: MC 3

The World Bank and a variety of other international financiers play a significant role in addressing climate change through carbon finance, which supports carbon trading projects throughout the developing world. There are many issues of corruption (including transparency and accountability) that may emerge from the processes of interaction that occur in the delivery of finance for the support of a project through to the implementation and monitoring of these projects. Furthermore, there is also the interplay of issues inherent to the nature of carbon trading and carbon finance that present corruption challenges and may impact on the broader goal of climate change mitigation.

This workshop thus aims to explore the nature and extent of corruption in the carbon finance regime as it pertains to carbon trading projects. In order to do this, case studies of carbon trading projects supported by carbon finance in Africa and India, for example, will be presented to highlight where corruption challenges manifest themselves. There will also be discussion around how concerns of climate justice (including accountability, transparency and ecological debt) for those in host countries are addressed by various executing agents of the projects. A more general understanding of how corruption in carbon finance and associated carbon trading projects may hinder serious climate change mitigation efforts. Recommendations around reform of the carbon finance regime and the way in these may support carbon trading projects will contribute to a more coherent understanding of the subject area and to provide a way forward in addressing the dual corruption and climate change challenges.

Moderator: Kevin Smith, Researcher, Carbon Trade Watch, Transnational Institute
Rapporteur: Aled Williams, Coordinator, U4 Anti-Corruption Resource Center, Christian Michelson Institute

Larry Lohmann,
Author and Researcher, The Corner House
Daphne Wysham, Director, Sustainable Environment Energy Network, Institute for Policy Studies Washington
Benoit Bosquet, Senior Natural Resources Management Specialist, Carbon Finance Unit, World Bank
Trusha Reddy, Political Researcher in the Corruption & Governance Programme, Institute for Security Studies
Oscar Reyes, Communications Officer, Transnational Institute