Livelihoods Carbon Fund Secures €124 Million for Nature-Based Initiatives

The Livelihoods Carbon Fund, initiated by French food giant Danone, has successfully raised €124 million for its fourth fund aimed at nature-based solutions. This initiative has drawn support from various companies including Schneider Electric, Crédit Agricole, and Michelin, among others. The fund's primary focus is on nature restoration, agroforestry, rural energy projects, and improving farmer livelihoods across Africa, Latin America, and Asia.

Livelihoods aims to impact 500,000 people and sequester up to 10 million tons of CO2 over a 25-year period. According to Eric Soubeiran of Livelihoods, the goal is to demonstrate that nature-based solutions can provide multiple benefits such as climate mitigation, ecosystem restoration, and rural development. The organization incorporates local communities and expertise from nonprofits to align with project goals, emphasizing that the benefits must be clear for the communities involved.

The fund plans to enhance project design and monitoring through the use of satellite monitoring and LiDAR remote sensing technologies. This approach aims to improve transparency and effectiveness in project implementation. Soubeiran noted that while carbon financing is crucial, the success of projects largely depends on community participation and the tangible benefits they receive.

Livelihoods' origins trace back to Danone's 2008 Fund for Nature, which initially focused on ecosystem restoration. After a successful mangrove restoration project in Senegal, the fund was rebranded to the Livelihoods Carbon Fund and opened to other investors. In 2015, Danone partnered with Mars to launch the €120 million Livelihoods Fund for Family Farming, aimed at restoring degraded ecosystems and promoting sustainable farming practices.