{"id":10681,"date":"2018-02-26T03:59:17","date_gmt":"2018-02-26T03:59:17","guid":{"rendered":"https:\/\/bioma.redlac.org\/?p=10681"},"modified":"2026-02-27T15:42:02","modified_gmt":"2026-02-27T15:42:02","slug":"design-of-a-fm-for-socioeconomic-development-of-territories-in-the-surrounding-of-large-scale-infrastructure-projects-by-supporting-sustainable-forest-chains","status":"publish","type":"post","link":"https:\/\/bioma.redlac.org\/?p=10681","title":{"rendered":"Design of a FM for socioeconomic development of territories in the surrounding of large scale infrastructure projects by supporting sustainable forest chains"},"content":{"rendered":"\t\t
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The \u201cForest Innovation\u201d financial mechanism (FM) lies at the intersection between socio-economic development and sustainability in territories around large infrastructure projects through the local environmental potentialities (environmental assets). The pilot of the initiative is the territory around the Jirau hydroelectric power plant with an installed capacity of 3.750 MW, located at the Madeira River in Porto Velho municipality, state of Rond\u00f4nia, Brazil. The main challenge consisted in developing an intervention (investment) model to revert the usual negative impacts from such large-scale ventures in order for them to act as vectors of sustainable development. Another important challenge involved the structuring of a cooperative environment among a wide range of stakeholders that enables the financing and support to address the territory \u0301s demands in the forest sector.<\/strong><\/p>

The territory is located in the Legal Amazon, a region known for high deforestation rates and unsustainable \u2013 in many cases, illegal \u2013 forest exploitation. On the other hand, projections indicate that global and domestic demand for wood (logs and processed wood) will increase in the future and markets already signal that a continuous and legal source of wood is imperative to establish business relationships.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t

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\n \n \n \n <\/svg>\n <\/div>\n\n The ultimate goal of the mechanism is the social wellbeing and the strengthening of ecosystem services at the territory through an acceleration platform that provides a governance arrangement that favors cooperation between multiple (financial) mechanisms and actors to meet different demands by reaching interested funders and investors through specific projects, activities and sustainable ventures in the forest sector. Platforms are models of action in which a governance arrangement allows and encourages dialogue, synergies, cooperation and complementarity between the agents of a territory so that coordinated strategic actions maximize the results of interventions. The platform allows for both niche (specialty) and synergies of intervention, promoting financing through resources (financial and non-financial) with different characteristics (risk disposition, expected return, timing, volume, etc.) <\/div>\n <\/div>\n \t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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\n The model envisaged will encourage entrepreneurship initiatives and sustainable markets in the region while promoting the valorization of the standing forest, with income generation and by leveraging synergistic initiatives already under way at the territory and taking advantage of the potentials promoted by the large infrastructure project present in the territory. \nThe strategic and operational arrangements envisaged in this model of performance can be replicable into other territories that also possess an environmental potential (environmental resources) around large-scale infrastructure projects. The benefits at the territory level are three-fold as the proposed model of operation positively affects the territory \u0301s environment, society and economy. <\/div>\n <\/div>\n <\/div>\n \t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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