Results area 2
Natural capital and water-energy-food nexus
Photo: Ignitia
Managing natural capital for water, energy and food security
During the reporting period, NDF continued financing projects aimed at enhancing natural capital, such as air, soil, water and biodiversity. The depletion of natural capital and loss of biodiversity is accelerated by climate change. Natural capital is critical for human well-being, the economy and sustainable societies. The security of water, energy and food also depends on it.
NDF’s contribution under this outcome led to delivering more than 1,400 climate solutions, ranging from installing hydropanels for clean and sustainable drinking water in vulnerable communities to providing sustainable resource management services, benefitting over 630,000 women and men. The size of area covered by sustainable resource management was more than 11 million hectares.
In this section we highlight some of the results in bolstering natural capital, including our support to smallholder farmers in Latin America, fishery managers in Honduras and pigeon pea farmers in Zambia.
Contribution to the SDGs:
Building Climate Resilience in MSMEs in Latin America and the Caribbean (PROADAPT)
Turning climate risks into opportunities
The UN’s International Panel on Climate Change predicts climate change will cause a 2-6% decline in global crop yields every decade. NDF partnered with the Inter-American Development Bank and local groups in Latin America and the Caribbean to build climate change resilience in multiple sectors.
The regional facility, PROADAPT, worked with micro- to medium-sized businesses (MSME) to turn climate risks into profitable business opportunities. One example was building an early-warning system in the form of a mobile application to inform farmers about unpredictable rainfall and potential floods in the Gran Chaco region covering Paraguay, Argentina and Bolivia.
“The app group did quite well,” evaluator Carmen Lacambra said in a news article. “When it rained a lot and the waters rose, thanks to the early warning systems, the losses in terms of cattle as well as income was significantly reduced.”
“People are much more aware now of the need to adapt to climate change with new practices and tools for how to raise livestock and how to make the best use of water, and we’re using this app to share this knowledge,” said PROADAPT Project Coordinator Mauricio Moresco in a news article.
Another example is the Blue Harvest project, which helped small coffee farmers adopt sustainable agricultural practices, strengthen local water governance and improve market access.
Most coffee producers in Latin America depend upon rainfed farms, but erratic rainfall due to climate change causes havoc to their livelihood. Blue Harvest promoted water resource management in El Salvador, Honduras and Nicaragua with almost 3,500 coffee farmers and producers, 40% of whom were women.
The project promoted sustainable coffee production, including water resource management, soil use, crop diversification and gender and family issues for farmers. Local officials were involved to help in matters such as infrastructure and supervision of resources. Finally, it improved access to high-value markets for their products.
A small number of agricultural practices can have a significant positive impact on water recharge, slowing erosion and protecting water quality, allowing them to be used as best practices and adapted in other areas and contexts.
Proadapt supports micro- to medium-sized businesses to turn climate risks into business opportunities in different sectors, such as agriculture. Video: PROADAPT
“When it rained a lot and the waters rose, thanks to the early warning systems, the losses in terms of cattle as well as income was significantly reduced.” - Carmen Lacambra
NDF CO-FINANCING
EUR 3.5 million
PROJECT PERIOD
2013-2022
PARTNER AGENCY
Inter-American Development Bank / IDB Lab
MAIN RESULTS
- 28,168 farmers with increased capacities, improved skills and raised awareness.
- 10,287 MSMEs improved their climate resilience.
- 6,054 hectares under improved conservation, sustainable management and use of natural resources.
Testing biochar-pigeon pea agroforestry businesses in Zambia (ClimChar)
New crops and new uses for crop residue
In Zambia, severe droughts hit farmers already struggling with exhausted soils. Zambian and Norwegian partners had an idea that biochar from pigeon peas could help. The ClimChar project received funding from the Nordic Climate Facility, an NDF challenge fund, to develop their innovative business concept.
Biochar is the residue which remains after the pyrolysis of biomass. It can help mitigate climate change through carbon sequestering in the soil. It is also a great soil amendment, acting as a fertiliser and improving soil quality by increasing water and nutrient retention. This can be an important climate change mitigation and adaptation solution in the face of longer and more severe droughts.
The ClimChar project introduced pigeon peas, which is relatively new in Zambia, as a cash crop for export. The agricultural residue from the pigeon pea trees was used to create biochar, which was in turn used to improve the farmers’ maize fields.
“We developed local and cheaper ways to make and utilise biochar, cutting out transport costs from a central biochar machine,” said Collins Nkatiko of Conservation Farming Unit. “This way farmers extended the use of biochar beyond experimental plots and even started selling biochar to interested neighbours.”
Initial results were good: the biochar improved soil moisture retention and drought tolerance while maize yield increased 12-37%. ClimChar proved that the idea had both economic and environmental potential, and the lessons learned are now being applied in spinoff projects in Sub Saharan Africa.
ClimChar, a project supported by Nordic Climate Facility, introduces innovative ways to create biochar and improve farmers’ maize fields. Photo: Menon
NDF CO-FINANCING
EUR 456,290
PROJECT PERIOD
2019-2022
PARTNER AGENCY
Menon Economics
OTHER PARTNERS
Conservation Farming Unit, the Norwegian Geotechnical Institute, the Norwegian University of Life Sciences
MAIN RESULTS
- 1,226 farmers trained on pigeon pea production and 753 farmers trained on biochar production (1,110 women, 909 men).
- 3,915 people benefiting from improved conservation, sustainable management and use of natural resources (2,153 women, 1,762 men).
- 168 hectares under improved conservation, sustainable management and use of natural resources.
Resilience of the Blue Economy and the Coastal Ecosystem
Building resilience of mangroves and fisheries
The northern, mangrove-covered coast of Honduras has many communities which depend upon artisanal fishing, which is households fishing with traditional methods. Fishing and mangroves go hand-in-hand, which is why improving the resilience of both were addressed in a project led by the Inter-American Development Bank and mainly funded by the NDF.
The northern Honduran coastline is vulnerable to deforestation and land use changes, as well as to the increasing number and ferocity of tropical storms caused by climate change. The recent pandemic years have been especially tough on local fishermen.
“The crews got sick, and then the hurricanes affected our equipment, as many dedicated themselves to rescuing people,” Rigoberto López, President of the Fisheries Association in Marión, said in the final evaluation report. “The losses during the pandemic were enormous.”
The project, Resilience of the Blue Economy and the Coastal Ecosystem in Northern Honduras, focused on the fishers and mangroves as an interconnected entity. It raised awareness of the ecosystem services the mangroves provide, such as being a fish habitat and protecting the coast from storms.
The project helped fishers reach high-value markets, improve production practices, access credit, and improve operations and record-keeping. Local officials worked to improve management of natural resources and track fish catches.
The project also specifically engaged people with disabilities, as well as their families, in capacity building and employment activities, with 5 fishing companies assigning jobs and establishing business relationships with them under the project. A particular focus was also on the key role women play in the communities.
“In these socio-environmentally vulnerable communities, women have the fundamental role in ensuring the proper management of the family economy,” said local businesswoman Pili Luna. “Being able to give them an income translates into a transformation in their lives and communities.” Luna helped set-up a women-led enterprise for processing fish skin into fish leather that is now being used in shoe production.
Fishing and mangroves go hand-in-hand, which is why improving the resilience of both were addressed by the project, Resilience of the Blue Economy and the Coastal Ecosystem in Northern Honduras. Video: GOAL Global
“In these socio-environmentally vulnerable communities, women have a fundamental role in ensuring the proper management of the family economy.” - Pili Luna, entrepreneur
NDF CO-FINANCING
EUR 3.1 million
PROJECT PERIOD
2016-2022
PARTNER AGENCY
Inter-American Development Bank
OTHER PARTNERS GOAL Global, the Government of Honduras
MAIN RESULTS
- 3,151 jobs supported (1,739 women and 1,412 men – 53 persons with disability).
- 3,951 fishers with increased income.
- 31 communities adopted new sustainable conservation practices in the mangrove swamp.