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Biodiversity Credits, Production Forests and Private Market Buyers with Aleksandra Holmlund
Season 1, Ep. 15
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Join me today as I speak with Aleksandra Holmlund, CEO of Qarlbo Biodiversity for a glimpse into the biodiversity crediting mechanism she has championed in Sweden. In this conversation we explore the biodiversity finance mechanism developed in cooperation with the Swedish University of Agriculture that focuses on production forest landscapes. In a nutshell, the mechanism works from a baseline of business as usual forestry and attributes any net gains in biodiversity to come from conservation, restoration or diversification of forest management activities. In addition to the mechanics, we discuss the sentiments of key participants in making this biodiversity credit transaction work – the forest owner and the credit buyer. Tune in to learn more about this very pragmatic approach to biodiversity finance in production forests and see if you can learn a thing or two to apply in your own forest investments.
Host: Shauna Matkovich - The Forest Link
Producer: Magdalena Laas - https://www.linkedin.com/in/laasmagdalena/
01:26 Introduction to Alexandra and her background
03:06 Mechanism for biodiversity credit system in production forestry in Sweden
06:20 Example of integration of timber management and biodiversity management
08:50 Proportion of land dedicated to each (specific property owner)
10:12 Carbon credits in Sweden
11:51 Effect of policy changes and legislation on biodiversity offsets and markets
14:16 Buyer’s motivation of obtaining biodiversity credits (specific example)
17:05 Local or global market opportunities?
19:04 MRV process for conservation, restoration and diversification & target setting
22:24 Market price for biodiversity & loss of harvesting income
23:22 Interest from forest owners in biodiversity pilot project
24:15 Funding?
25:06 Duration of commitment by forestry owner (20+ years)
25:48 Mitigate risk of forestry owner quitting project
26:52 Development of biodiversity certification – Swedish Biodiversity Alliance
29:10 Methodology applicable in another jurisdiction
31:30 Data collection methods & fine-tuning metrics
34:26 Actionable advice for investors
[10:49] At this early stage, where we are in the development of the biodiversity credit market, I’d say it is better to keep carbon and biodiversity apart just to be on the safe side, not to trigger any unwanted consequences such as greenwashing critique.
[15:44] A transparent market will allow private funding of biodiversity and enable forest owners to engage in more nature conservation and restoration than we would have had if only taxpayers’ money was paying for everything.
Qarlbo Biodiversity: https://www.qarlbonac.com/
Portfolio: https://www.aleksandraholmlund.com/
LinkedIn: https://www.linkedin.com/in/aleksandra-holmlund-5b04101/
Sound Library:
- Nature by MaxKoMusic/Soundcloud
- Sopwell Woodlands and Scohaboy Bog SAC, Cloughjordan, Co Tipperary, IRELAND by wild_rumpus/Soundcloud
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37. Nature Finance on the Rise - with Jessica Smith
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36. Timber as a Climate Solution - with Paul Brannen
58:02||Season 2, Ep. 36Today I’m joined by Paul Brannen, Director of Public Affairs at the European Confederation of Woodworking Industries & The European Organisation of Sawmill Industry AND author of a recent book, Timber! How wood can save the world from climate breakdown. In our conversation, Paul digs into the details surrounding the climate benefit of building with wood. We compare the carbon footprints of wood, concrete and steel (did you know that concrete is responsible for 8% of global emissions)! We talk about the cost savings of using wood in the built environment. We explain that despite the financial and climate merits, and supportive regulatory environment – the building sector still suffers from convention and doing things the way they’ve always been done. We discuss the importance of circularity in using wood in construction, and finally – how investors can support the whole value chain for enhanced climate and financial benefit.QuoteAnd the interesting emerging area here for the investor is, while there have been some carbon credit available for a considerable time in relation to carbon stored in the forest, generated by new planting, there will also be carbon credits come in, which will go with the carbon stored in the build environments, the the continuation of the storage from the forests into the build environment.Important linksPaul Brannen on LinkedInBook: Timber! How wood can save the world from climate breakdownThe European Confederation of Woodworking Industries (CEI-BOIS)Favorite tree: Sitka Spruce (Picea sitchensis)Production teamHost: Shauna Matkovich - The ForestLinkProducer and editor: Magdalena Laas - Unscripted CreativesDetails:02:06Paul’s background05:38The reason behind writing the book 09:39Development of using wood/timber in building homes and construction of bigger buildings16:12Roadblocks to progress21:11Comparison between wood/timber, concrete, and steel re. durability23:44Evidence about carbon footprint between wood vs concrete vs steel30:42Is there a case when wood is not the most sustainable option?37:34Case for sustainable forest management43:53How can we communicate the importance of investing in sustainable forest production 50:56A possibly circular process56:46Actionable advice57:06Contact detailsSound libraryNature by MaxKoMusic/SoundcloudSopwell Woodlands and Scohaboy Bog SAC, Cloughjordan, Co Tipperary, IRELAND by wild_rumpus/Soundcloud
35. Ethical Business in Forest Investment - with Eugene Kraamwinkel
36:33||Season 2, Ep. 35Today I’m joined by Eugene Kraamwinkel, CEO of two agribusinesses in Cambodia – Phu Rieng Kratie Ampivath and Dau Tu Saigon Binh Phuoc. In our conversation, Eugene highlights the importance of having a strong Code of Conduct to ensure a long-term sustainable forest business, especially in emerging markets and industries such as forestry and agriculture. We discuss how investors can evaluate business integrity risks and red flags to watch for. Eugene shares a roadmap on how forest business owners can make stepwise improvements toward changing the culture around moral conduct. Eugene also emphasizes that ethical business is not just about committing to transparency and anti-corruption but also about environmental and social ethics.QuoteIt is a long-term investment, and it is going to give you sustainability, and it won’t be sustainable if you want to do it over a short-term period. While forestry investments can be profitable it requires patience, deep commitment to responsible management, and investors need to prioritize opportunities that will align with strong environmental, social, and governance principles to ensure business operates transparently, ethically, and sustainably. Important linksLinkedIn: Eugene KraamwinkelFavorite tree: South African yellowwood (Podocarpus latifolius)Production teamHost: Shauna Matkovich - The ForestLinkProducer and editor: Magdalena Laas - Unscripted CreativesDetails02:32Eugene’s background & drive for ethical business practices4:59Why is business integrity important in forestry and agribusiness?07:57Make investors more confident in emerging markets with ethical business conduct risk11:44 Examples of government initiatives to bring about change15:11Starting point for ethical business conduct20:14How can investors be confident that code of conduct will ensure ethical operations in practice25:47Example of shift in from unethical to ethical27:25Red flags for investorsLink between ethics and climate change and sustainability impact33:44Actionable adviceSound libraryNature by MaxKoMusic/SoundcloudSopwell Woodlands and Scohaboy Bog SAC, Cloughjordan, Co Tipperary, IRELAND by wild_rumpus/Soundcloud
34. Due Diligence in Forestry Nature-based Solutions - with Jamie Lawrence
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33. An Institutional Investor’s Approach to Forest Investment - with Jasper Renk of MEAG
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32. Impact Forestry in the Pacific Northwest - with Bettina Von Hagen
48:06||Season 2, Ep. 32In this week's episode, I speak with Bettina Von Hagen, CEO, Co-Founder and Board Chair of EFM. In this conversation we talk about the unique characteristics of Pacific Northwest forests that make this region rich in opportunity for both commercial timber and an array of impact benefits. Bettina goes deep explaining some of the complex ecosystem functions at play in these forests, from migrating salmon to mycorrhizal fungi and the commercial attractiveness of most Pacific Northwest tree species. She describes the 5 R's that EFM applies to their forest management: Rotations, Retention, Reserves, Restoration and Relationships, discusses the carbon market opportunity, provides tips and tricks for making impact forestry operational, and how important active wildfire management strategies are in some of the regions EFM operates. QuoteIf you are serious about climate change, forests should be part of your portfolio. Forests - and other natural ecosystems are the way, are the important mechanism for accomplishing our climate goals over the next decade.Important linksEcotrust Forest Management (EFM)Bettina von Hagen on LinkedInFavourite trees: Western redcedar (Thuja plicata), Sitka spruce (Picea sitchensis)Production teamHost: Shauna Matkovich - The ForestLinkProducer and editor: Magdalena Laas - Unscripted CreativesDetails02:27Introduction to EFM07:32EMF and impact investing09:265 R's of forest management: rotation, retention, reserves, restoration, relationships14:23Relationships with communities16:41Uptake of this change in silviculture approach19:19Others following in EMF's footsteps22:30How EMF monetise benefits other than carbon credits25:33Carry in funds structure27:45Investor sentiments towards forest impact strategies, and impact metrics (besides carbon)31:43Fire as part of natural ecosystem33:22Gender diversity and equality in the forestry industry, and difference in approaches40:05Next for EMF41:43Markets for ecosystem services is still very small44:47Actionable adviceSound libraryNature by MaxKoMusic/SoundcloudSopwell Woodlands and Scohaboy Bog SAC, Cloughjordan, Co Tipperary, IRELAND by wild_rumpus/Soundcloud
31. Accelerating Early-stage Forest Assets - with Paul Hol
33:26||Season 2, Ep. 31Today, Paul Hol, CEO of Form International and Co-Founder of Treevive, joins me for a conversation. He shares insights from his journey in forest investment within emerging markets, along with the lessons he has learned. Paul also introduces Treevive, a funding vehicle dedicated to providing feasibility funds for successful projects. These funds support activities such as early stage feasibility assessments, preparing for carbon and forest management certification, and strengthening proponents' ESG systems. Additionally, he outlines the three main stages of development: feasibility (supported by Treevive), operational progress, and the final phase of raising equity.QuoteUse ESG experts who can help you with the right decision on the impacts, because we are really talking about impact investors, where it is always seeking that balance between impact and return of investments. Important linksForm InternationalTreevivePaul Hol on LinkedInFavourite tree: Beech tree (Fagus sylvatica)Production teamHost: Shauna Matkovich - The ForestLinkProducer and editor: Magdalena Laas - Unscripted CreativesDetails02:22Introduction to Paul's experience in emerging markets and an overview of Treevive 06:16Criteria for project selection and current portfolio08:11Description of typical project and timeframe, Treevive's level of involvement10:33Insights into the biggest risks (flagged during assessment)13:46Types of developers on the ground - how Treevive works with them16:16Working with NGOs and corporations of farmers18:30Engagement structurally and financially20:22Main objectives and success metrics22:55Distinction between Form International and Treevive & Investor profile24:25Expectation on ROI & commercial position25:29Framework that attracts new investors (includes sustainability assessment, certification etc)26:46Three phases of funding: feasibility, operations, raise equity29:00Investor portfolio in second phase30:05Pre-credit sales opportunity, but with caveats31:28Actionable adviceSound libraryNature by MaxKoMusic/SoundcloudSopwell Woodlands and Scohaboy Bog SAC, Cloughjordan, Co Tipperary, IRELAND by wild_rumpus/Soundcloud
30. Investor Advice Highlight Reel
21:07||Season 2, Ep. 30Today marks the first episode of 2025! I thought we'd start the year with a highlight reel of advice that Forest Invest guests have provided to new investors. If you've been listening for a while, you will know that I always ask my guests this question: “If you could give one piece of actionable advice to investors – new to the forestry asset class – that would help them decide if and how to invest, what would it be?” So tune in now for some great responses, representing 10 of the past 29 episodes.GuestsSteve Novacavic | CAIAAndrea Braun | Unique Forest InvestmentsAsger Olesen & Herbert Yancey | International Woodland CompanyAleksandra Holmlund | Quarlbo NACDr. Colin Smith | Paperbark ConsultingMaryKate Bullen & Juan Pablo Lankenau | Forest Investment AssociatesPeter D'Anieri | Sewell ForestryTony Simons | Center for International Forestry Research and World Agroforestry (CIFOR-ICRAF)Martin Berg & James Bullen | Climate Asset ManagementLuis Neves Silva & Andrew Heald | iNovalandProduction teamHost: Shauna Matkovich - The ForestLinkProducer and editor: Magdalena Laas - Unscripted CreativesSound libraryNature by MaxKoMusic/SoundcloudSopwell Woodlands and Scohaboy Bog SAC, Cloughjordan, Co Tipperary, IRELAND by wild_rumpus/SoundcloudAmbient Documentary/Sound Guru/Pixabay