GLOBAL WARMING & OUR MISSION
Our mission is to be the best in the world in micro hydro electric and water resource management: by evolving innovative damless hydroelectric and water transfer technology. We create Today’s Tall Tree Nurseries to support Micro Finance for women farmers and their families using the Carbon Tax Fund, a new form of foreign aid. We export Mechanization into Africa for more productive agriculture. The trees soak up carbon dioxide emissions in order to relieve global warming.
Climate change is so urgent an issue that we need all the human ingenuity and energy we can get directed toward its mitigation. Offsetting in itself won’t halt global warming. But it has an important role to play.
In October 2006, a report by the leading international economist Sir Nicholas Stern attempted to put a price on this looming catastrophe, and concluded that if nothing is done, the cost of global warming could be 20 percent of GDP or more for the countries of Earth. In other words, it will be the worst economic disaster in history. That is to say, the stakes for our civilization could not be higher. The first step must be to cut greenhouse gases.
Wangari Maathai won the Nobel Peace Prize in 2004 for planting thirty million trees in Africa. As Maathai says, “When we plant trees we plant the seeds of peace and the seeds of hope.”
We need a worldwide emergency program to plant trees as a temporary response to the rising levels of carbon dioxide in the atmosphere. These would act as a ‘carbon bank,’ buying time while society shifted from fossil fuels to renewable or nuclear energy.
No strategy to fight climate change and inhabit the planet sustainably is going to work without taking trees into account. We ignore the fact that around 25 percent of global carbon emissions are caused by deforestation. Only 20 percent of the world’s original forest cover remains intact.
Forest carbon projects represent a fresh way for underdeveloped countries to extract value from their lands. Accessing this market requires some work and it is not costless.
One of the biggest problems is coal: it is plentiful and cheap, and is the fuel of choice for major developing nations such as India and China, as well as for the US and other developed countries. But coal is the most polluting of all the major energy sources, not only in terms of carbon emissions, but also nitrogen oxide, sulfur dioxide and mercury. Nevertheless, with no cost constraint on environmental impact, China is building the equivalent of one large coal-fired station per week, while the US has nearly three hundred on the drawing board. Almost all of these plants plan to use old-fashioned dirty technology.
“If you cut down a tree, plant another one” is the essence of offsetting. Since the environment doesn’t care how the goal is achieved, a cap and trade permit offers additional options in meeting the greenhouse gas (GHG) reduction goals. As far as the earth’s climate is concerned, it is the net level of carbon emissions that create an impact. So, removing carbon from the atmosphere does the job of “offsets” of carbon emissions. As far at the atmosphere is concerned, this is equivalent to reducing emissions. Both removals and additional reductions will improve the net level.
If offsetting were applied now, then the true cost of dirty coal technology would be immediately apparent. By putting a price on environmental impact, we will be encouraged to change our behavior. It will be more expensive to use electricity from dirty coal plants.
African Landowners: Why should you care?
The African land has the potential to sequester (remove from the atmosphere and hold) carbon. Both the soils and whatever vegetation grows on your land can sequester carbon. If Africans make efforts to increase the sequestration on your lands, they could earn extra income.
The tradeable permit system can be thought of as a three-step process to reduce pollution emissions.
- Scientists provide information and recommendations concerning the physical impacts of a pollutant and the environment’s capacity to absorb it. For example, if current emissions of 1,200,000 tons of carbon equivalents are found to be harmful to the environment, the scientific community can recommend limiting emissions to 1,000,000 tons.
- The governments decide on what limits will be placed on emission of the pollutant. The governing body will then issue permits to emit the pollutant in units that meet the limit. In our example, the government could implement a cap of 1,000,000 tons of CO2 The government then issues 1,000,000 permits for each emit 1 ton of CO2. Any firm that subsequently emits CO2, or equivalents, must legally hold permits for all of their emissions.
- The permits are either auctioned to the highest bidder or given to existing polluters in number proportionate to their baseline emissions (grand-fathering). Once the permits are issued, the owners of the permits are free to buy or sell to anybody who wants to participate in the market (usually other polluters, but could potentially be advocacy groups).
In the world of carbon pollution, the polluters had an unrestricted right to pollute prior to the cap and trade program. Once the cap and trade system is in place, those polluters will have new costs associated with emitting carbon. And, there will be assurances, that total emissions from all sources will not exceed an internationally agreed upon limit.
A tradeable permit system offers flexibility to the polluters on how to accomplish the environmental goal. If one polluter can overachieve at low cost, there is an incentive for them to do so – selling their rights to a polluter that cannot meet their objectives cheaply. This can lead to the development of innovative solutions and minimizes the costs to society.
Carbon markets are an attempt to create a market driven price signal for an environmental service – the natural environment’s ability to filter carbon from the air. Faced with a real price, consumers of these environmental services will reduce their consumption of this service. The politics of global carbon management are still developing. Carbon management, through the use of trade-able permit markets, is developing by legislation in Europe and voluntarily in select parts of North America. There is a strong possibility that when North America should legislate carbon management: we should be on the planning horizon of every commercial interest in Canada and the US.
This is all part of a Western Climate Initiative of a carbon permit trading market, which includes California. The Carbon Price calculation was based on $15/ton which provides a Net Present Value (NPV) of $50,300 for 100 ha. The Province of Alberta, Canada will eclipse to $23.40/ton by 2020. This increases the NPV by 66% to $83,600, while the carbon tax increased by 56%. (Quebec is about $16.40 and will be $18.00 in 2020, while Ontario will be at $17.83).
Our company has targeted 8% as a desirable return on investment (ROI). This will be the rate at which you discount future income and expense streams. This analysis does not include any income from the sale of fruit or nuts. The default cost values that we have included with the tool do NOT include any expenses associated with operational activities such as planting and fertilizing. Further, these cost estimates are rough. Our estimates indicate that applying this fertilizer will increase the average growth rate of your stand by 2 tons/ha/yr for a total of 6 tons/ha/yr.
The carbon tax of CO2 emissions is heavily debated and may range from $15-$25 per ton.
Carbon Credits are bought and sold in international markets at whatever the determined market value for them is. The carbon tax is levied against each ton of carbon emitted by burning fossil fuels. Like the trade-able permits, the carbon tax puts a price on environmental degradation. Unlike the trade-able permit system, a carbon tax is easy to administer. The purpose of the carbon tax is to modify behaviors, in this case reducing carbon emission generating activities. These carbon credits are used to produce trees, which aim to offset carbon emissions.
THE CARBON TAX CALCULATOR
The tool can be found at the link: tool provided. This tool will calculate approximate income streams from the carbon value of your project. It will NOT include income streams from other values created by your project, such as agricultural production of fruit and nut.
One of the rules affecting carbon offset projects is the need for projects to be “additional” to what would be done. In other words, you cannot get offset credits for something you would do anyway.
The full cost project requires a very large initial investment. This amount is equal to nearly one third of the cost of the entire project. This support will come from a Carbon Tax Fund and the support will be based on the number of new fruit tree seedlings: 50,000 trees @ $1.49/tree.
Please Note: another calculation of NPV of fruit trees living for 25 years = $0.49/tree plus $1.00/tree for maintenance: $1.49/tree. (Fruit trees are productive for 25 years and then are replaced.)
Offsetting in developing countries is fraught with risks. Since it is usually cheaper to operate offsetting schemes in developing countries, many offsetting projects are based in countries where the government may be unstable, and the rule of law may not be strong. That is why we need the advocacy of Living Water Micro Finance Inc., which will honor their commitment to plant a specific number of trees on 1.5 acre farms, which are monitored by women farmers and their families for 50 years. (We choose 50 years of a lifetime of a tree as the age for estimating carbon sequestration and storage.)
One strategy is to apply a time discount to credits from forestation projects, so that the further a carbon credit is into the future the less it is worth. In other words, a ton of carbon sequestered in a tree this year will be worth a lot more than one planned for 35 years’ time (2050). The following Net Present Value, NPV, could be accelerated beyond these outputs:
At the five and ten year level of $15/ton, the NPV would be $20,000 and $32,000 respectively. At the five and ten year level of $23.50/ton the NPV would be $30,000 and $52,000 respectively
Agroforestry could help solve Climate Change.
HELPING SOLVE WORLD’S CARBON POLLUTION
A Full Scale Aquaponic Tree Nursery in Africa supported by:
- A Micro Hydro Electric System: no dams: HugENERGY.us
- An Irrigation System: NORTHydro.com
- A Rabbit and Fish Farm: AfriCAPITALISM.us
- An Agroforestry Intercrop System: LivingWaterIs.com
- The Charitable Arm: SunnyUp.net
- God’s Loveletters: Godloveletters.com
- Thunder of Justice: ThunderofJustice.com
Stage 1 Agricultural Mechanization of Africa
Stage 2 Today’s Tall Trees Nursery: Carbon Tax Fund
Stage 3 Micro Finance & Landlord Cooperatives
Stage 4 Irrigation in Remote Areas using kinetic energy from moving water.
Stage 5 Electricity Created in Remote Areas using moving water without the use of a dam.
Here is how we begin our REVOLUTION.