Objective C3 - Increased investments

LabelTitleDescription

Increased investments

Boost investments in Soil Health (SH) and Soil Organic Carbon (SOC)

Convince policymakers and funders to increase commitments and investments in AFOLU in favor of SH and carbon sequestration.

Targets C3 - Increased investments

Baseline 2020Target 2030Target 2050

The Top 20* institutions were contacted end of 2020.

In 2030, the Top 80** institutions have been reached.

In 2050, all policymakers and funders have been contacted.

* Referring to the 2018 study about potential funders

** Referring to the Funders' overview study "Mapping of active Finance Providers" delivered by the Consultancy team: Perspectives Climate Group in Dec. 2021 (funded by GIZ).

Context C3 - Increased investments

Problem C3 - Increased investments

Problem StatementDescriptionConsequences

Policymakers and donors have limited willingness to invest in maintaining SH through carbon sequestration.

Globally, soils do not get the attention they deserve. There are no clear and committed policies that emphasize the crucial importance of soils as sinks and emitters of important greenhouse gases. There is an apparent lack of awareness from policymakers and donors on the role soils could play in mitigating climate change, sustaining ecosystem functioning, and securing food production.

There is a limited commitment from policymakers and resource owners to invest in SH maintenance through carbon sequestration. This has led to the degradation of soils.     

Causes C3 - Increased investments

CauseDescription

1

Present Bias

Cognitive psychology has shown that individuals and groups tend to take consequences closer to the present more seriously than those in the future. To overcome this feature of the human mind, one may create shorter-term commitment structures. Human psychology requires near-term milestones to reach long-term goals. That is, deadlines and milestones help prepare for the future.

2

Agroecological approaches are perceived as backward

The dominance of the Agrarian landscape by Industrial agri-business. The excellent article by the food bank on the dismissal display of the US representative sent by Trump to the FAO agroecology forum is like what is happening in SA. These Chemical fertilizer companies all claim that Agroecology is not "feeding" the nation and is not profitable.

3

Lack of awareness

There is an insufficient understanding of SH and C sequestration potential. Soils are not perceived as important sinks and sources of carbon and other greenhouse gases. Soils are generally understood as a medium for plant growth. The ecological role of soils is neglected. This lack of awareness has affected policies and investments in SH maintenance-particularly in developing countries like mine.

4

Diffuse responsibility for climate change and SH

To achieve the broader vision, we need to engage many sectors of many societies worldwide, each of whom feels that climate change and SH are not their responsibility. Governments, small farmers, agribusinesses, activists, and conservationists must think everyone is doing their part.

5

Lack of adequate financial and other resources

In developing countries, resources are limited to make the necessary interventions. Most interventions are project-based, which most of the time stop after the life cycle of the projects comes to an end. The interventions are not sustainable.

6

Conflict of interest

Although most people might agree with the 4p1000 vision of healthy soil, there are labor, cost, and other sources of friction related to changing systems (e.g., investment in new equipment on farms and compost infrastructure in cities). The transition from extractive agriculture norms will require resources to support the change.

7

The limited interest of donors in soils

Most donors believe that soil investment does not change the livelihood of societies, or at least its contribution is indirect. As a result, they are less interested in making considerable investments in soils. Many experts working in soils have expressed this concern on various occasions.

8

Lack of clear and implementable policy

There is no clear and implementable policy to guide investment in SH management. Soils are usually treated under the broad heading of "natural resources," with different attention given to soils and often confused with "land." No investment can be made if there is no clear policy.

Implementation strategy C3 - Increased investments

Activities C3 - Increased investments

ActivityDescription

1

Identify target groups for awareness-raising

Gradually identify the most important funding bodies and decision-makers that have to be reached for awareness-raising.

2

Target and lobby the relevant policymakers

Continuously lobby policymakers to counter the risk of greenwashing, as they are often "courted" by those who don't want to see a change in trends.

3

Demonstrate impact evidence

Organize the existing evidence and generate additional proof with the help of science to overcome funders' and decision-makers' reluctance and limited commitment.

4

Ensure consistent commitment policies

Ensure that the public and private sectors make complementary commitments to SH policies.

5

Develop specific content for investors

Identify critical areas to create awareness and develop easily understandable content for the target groups.

6

Compile "best practice" examples

Compile "best practices" examples for SH commitments according to various agro-pedo-climatic situations to convince investors to finance projects.

7

Mobilize resources for awareness-raising of investors

Identify and approach potential funding sources for awareness-raising campaigns amongst investors.

8

Design innovative awareness-raising campaigns

Design innovative and cost-effective methodologies to enhance awareness-raising. Formulate messages which are most convincing to the respective audience.

9Incentive scheme definitionDefine long-term, up-front incentive schemes for farmers. Promote that industries contributing to climate change also finance mitigation activities rather than expecting farmers to finance activities that can only, later on, be considered in CO2-offset markets.

Critical Success Factors (CSFs) C3 - Increased investments

Critical Success FactorDescription

1

Define measurable goals

It must be possible to define measurable targets for governments and companies relative to a baseline or in absolute terms (e.g., SOM%).

2

Increase awareness

Awareness is critical in making decisions. Relevant stakeholders must be aware of maintaining/improving SH in climate change mitigation and enhancing soil productivity. The awareness and knowledge gap must be closed.

3

Advocacy

Lobbying needs to be done globally to influence policymakers and donors at various levels. There must be a dialogue at different levels and with different audiences so that everybody gives the value soils deserve on this planet earth. This intervention has been very much limited.

4

Recalculating Agricultural Risk

Financial instruments such as crop insurance must be updated to reflect the new science of regenerative agriculture. Recognizing SH as a crucial risk mitigation factor will change the incentives for agricultural businesses and, therefore, government subsidies and other policies.

5

Generate evidence to convince policy and donors

The scientific community should generate evidence through research that shows the importance of SH in solving climate-change-related problems and ensuring food security. Evidence is one thing policymakers and donors most often ask for to make the required commitment.

Barriers C3 - Increased investments

BarrierDescription

1

Lack of leadership

Very few local/regional/national leaders are willing to implement policies that are not popular in the short term. More guidance is needed in building public support for long-term goals.

2

Limited resources for awareness creation

Raising awareness requires resources to implement various approaches to reach affected stakeholders. The lack of resources is limiting engagement.

3

Lack of Scientific Consensus

Harder to demand commitments without scientific backing. Need scientists to articulate the long-term value of individual/local/regional commitments more clearly.

4

Lack of the appropriate expertise for advocacy

In some places, we may not have many cadres who can do the advocacy. We must produce sufficient and qualified expertise to be successful.

5

Difficulty in getting attention

There could be resistance. We must be innovative enough to convince these significant stakeholders.


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