Leveraging blue carbon ecosystems to develop sustainable financing solutions for MPA management in the West Indian Ocean Region

Despite enhanced conservation efforts in policy and management responses, the state of biodiversity around the world continues to decline and anthropogenic carbon emissions are threatening human well-being by altering the Earth's climate As it happens, climate change is one of the main drivers of biodiversity loss and conversely, biodiversity is one of the main remedies to climate change mitigation and adaption. Therefore, it is crucial to mainstream climate change challenges into national biodiversity policies and action plans, as well as to integrate climate and biodiversity policy agendas at the global and national levels. The resultant post-2020 Global Biodiversity Framework is an attempt by the CBD and the global community to accelerate efforts to halt the loss of biodiversity and restore ecosystems.

Conservation of biodiversity through protected areas, reserves, parks and “other effective area-based conservation measures” is predominantly the most viable option to ensure that the benefits of healthy ecosystems are reaped to their maximum capacity. However, a survey of the managers of 79 Marine Protected Areas in 34 countries revealed a median funding gap of 15% between current income and the amount required to achieve even minimal conservation objectives. The existing financial flows are insufficient to support, let alone develop PA networks, especially in underrepresented marine habitats. There is therefore a need to for additional, innovative funds to supplement traditional sources of PA support, such as carbon financing.

Initially, carbon financing was primarily oriented on terrestrial (green carbon) ecosystems. However, there hasn't been much work done on how to make blue carbon function across the value chain, from ecology and community to business. Despite the limited use of blue carbon as a commodity in carbon pricing systems, the potential benefits of using blue carbon in these systems are significant. Blue carbon ecosystems provide a wide range of other ecosystem services, such as coastal protection, biodiversity conservation, and fish habitat, which can benefit local communities and the broader economy. In addition, the conservation and restoration of blue carbon ecosystems can provide employment and income opportunities for marine protected areas and local communities, particularly in developing countries.

This study aims to fill the gap caused by the perceived low uptake of blue carbon in sustainable financing systems like carbon financing, notably in Africa. In order to address the financing gap of protected areas in Africa, this concept builds on the various insights that have been pursued by a number of researchers in the carbon markets and sustainable financing fields. It bridges the gap between the strategic inclusion of blue carbon ecosystems in climate change mitigation, the implementation of sustainable financing solutions as an adaptation mechanism, and the conservation of biodiversity.