A Dissertation Submitted in Partial Fulfillment of the Requirements for the
Degree of Master of Science in Economics of Mzumbe University, Morogoro.
2013
Carbon credit provision has been reported to be used as an economic incentive in
mitigating climate change in the world. It has been reported by different climatic change
activists that reforestation is the most important program in combating climate change in
the world. This has been a concern for Project Managers (PM) and Economic Planners
to address sustainable development in their plan. PMs and other social scientists cannot
be involved in different natural scientific experiments, but the only way to participate in
climatic change mitigation is to study economic behavioral systems directed to climatic
change mitigation. Therefore, the provision of carbon credit in tree planting projects is
based on the notion that trees help to mitigate climate change by sequestering carbon
dioxide as they grow. This study evaluates the contribution of provision of carbon credit
incentives for combating climate change through tree plantation. The study uses a case
study analysis in Kituntu and Rwambaizi wards in Karagwe District. The sampling
frame was 1093 smallholder farmers (SHFs) whereby a sample of 120 was chosen. The
research design was mainly triangulation methods whereby qualitative and quantitative
research techniques were employed. Data was collected using questionnaire and
observation method. Data collected were analyzed using qualitative and quantitative
methods, whereas simple statistics and linear regression model was used to test the
hypotheses. The results reveal that the provision of carbon credit incentives such as
seeds, seedlings and cash paid to farmers who plant trees have positive impact in
increasing the rate of tree planting for combating climate change effects. In addition, the
results shows that other factors which influence farmers to plant trees are the size of land
owned by farmers and overall level of education which were found to be significant.
effect in tree planting. However, the results also reveal that there is lack of extension
services and technical support regarding tree plantation to farmers in the rural areas such
as Karagwe District.It is recommended that those government institutions and other
environmental protection stakeholders such as Wakk Foundation and Green Choice to
cooperate with private institution in offering and creating incentive oriented programs in
tree planting.
v
The incentives motivates to motivate farmers to plant trees in their own land for the
purpose of combating climate change needs to go tandem with planting timber, fruits
bearing , oil seed and other beneficial trees. Commercial beneficial trees are relevant to
the poor because the poor are continuously fighting poverty and therefore awareness
creation on the importance and benefits of trees is equally an incentive to plant trees.
The awareness creation on environmental education programs should be done frequently
in the rural areas in order to reduce the rate of deforestation and increase the rate of
afforestation. There is a need to conserve existing trees and add on new commercial and
medicinal trees. Extension services should be established in rural areas so as the farmers
will be able to get technical support from extension agents. In a way the goal of
combating climate change through planting of trees in farmers' fields organized in a
TRUST such as GEPAT will be achieved