Deal #3738

Initially 4,200 but extended with 2,500ha. Further expansion in Sud-Kwamouth territory planned. May 2013 is the latest date for which information on planted area is publicly available (according to a 2017 report).

Ibi Bateke tree planting project promised to use loans and up-front carbon payments to plant acacia, eucalyptus and pine trees on ca. 4,000 hectares of savannah and restore 230 hectares as “ecological area” through planting of native tree species. (2) After 5 to 7 years, the plantation trees would be cut and turned into charcoal to be sold on the lucrative charcoal market in the country’s capital Kinshasa. In the early years, before the tree canopy closes, revenue was also to be generated from the sale of cassava planted beneath the acacia plantation trees.

The DRC registered the Ibi Batéké Carbon Sink Plantation Project as its first CDM (Clean Development Mechanism) project in 2011. The project claimed to store 54,511 tonnes of CO2 annually, creating 2.4 million carbon credits over 30 years, allowing investors to offset their emissions by financing the project. Income from carbon credit sales was partly promised for community projects, such as education funding, as highlighted by a 2011 World Bank press release (see: https://www.worldbank.org/en/news/press-release/2011/03/08/congo-community-to-use-carbon-payments-to-put-kids-through-school).

Olivier Mushiete is said to have titled 8,000 hectares of the land under his name and registered it as a concession (contrat d’emphyteose). The land rented to Novacel for the Ibi Bateke carbon tree planting project is a portion of these 8,000 hectares of land O. Mushiete turned into privately-held land.

For a set of primarily financial reasons, a restructuring of Novacel took place in 2015 to allow the further development of the IBi Bateke project. Under the terms of this restructuring, a new company was established in 2016 under the name Mushiete et compagnie by the Mushiete family and a group of investors who have accompanied the project since the beginning. Pursuant to this restructuration, all real estate assets were contributed to Mushiete & CO by the Mushiete family, the long term lease with NOVACEL was terminated and all land use rights including the trees and future emission reductions for the duration of the project developed by NOVACEL have been transferred to M & CO, in exchange of a debt recovery of Novacel by Mushiete &CO.

The company generates income from cassava production. The company has struggled to deliver on their promise of carbon credits. By 2017, no carbon credits have been delivered. It is facing financial difficulties and the income from cassava production keeps it afloat (as of 2017). A new CDM project design document for the Ibi Batéké degraded savannah afforestation project for fuelwood production (Democratic Republic of Congo) was submitted in 2020.