Indigenous Organizations Criticize Carbon Credit Deal in Brazil

By Anthony Boadle

BRASILIA (Reuters) – Indigenous organizations in the Brazilian state of Para stated they were not consulted by the government before signing a carbon offset credit deal with multinational companies to support Amazon rainforest conservation.

Amazon.com Inc (NASDAQ:AMZN) and other firms agreed last month to purchase carbon credits valued at $180 million through the LEAF Coalition conservation initiative, established in 2021 with companies and governments including the United States and United Kingdom.

At the signing, Para Governor Helder Barbalho claimed that Indigenous peoples and traditional communities participated in the deal.

However, on Tuesday, 38 Indigenous and community organizations from Para signed a public letter condemning the lack of consultation.

> "It is unacceptable for the government of Pará to take decisions without consulting traditional communities, who are the greatest protectors of the forests while also being the most impacted by the lack of effective climate adaptation policies," the letter stated.

> "Forest peoples must be heard and consulted. Our territories are not for sale," they added.

Alessandra Korap Munduruku, a tribal leader and principal author of the letter, expressed concern about the involvement of U.S.-based companies like Amazon and Walmart (NYSE:WMT) in the purchase of carbon credits, as well as asset manager BlackRock (NYSE:BLK) due to its damaging impact in her region.

> "Our priority is the eviction of invaders on our reservation lands threatened by miners and a grain railway," she told Reuters by phone.
> "Our leaders were never consulted on the carbon credits. We are being sold like goods."

The governor's office did not immediately respond to requests for comment.

Korap Munduruku is an Indigenous teacher turned community leader who received the prestigious Goldman Environmental Prize in 2023 for her advocacy efforts against mining companies encroaching on Munduruku lands.

The agreement marks LEAF's first deal in the Amazon, crucial for mitigating climate change due to the significant greenhouse gas absorption capacity of its trees.

The deal anticipates the purchase of up to 12 million tons of carbon credits generated by reducing deforestation in Para from 2023 to 2026. It was announced on Sept. 24 during New York Climate Week.

Each credit corresponds to a reduction of one metric ton of carbon emissions, with jurisdictional payments made to Pará for reducing deforestation across the state, including public lands like reserves.

Governor Barbalho mentioned the state would only retain the portion of proceeds necessary to continue greenhouse gas reduction efforts, while the remaining funds would support Indigenous peoples, traditional communities, and family farms.

Para is set to host the UN COP30 climate summit next year, central to President Luiz Inacio Lula da Silva's efforts to restore Brazil's environmental reputation following years of increasing deforestation.