Nature-Based Solutions Article Biodiversity

Groundbreaking Biodiversity Project in Ethiopia Sets New Standard for the Voluntary Carbon Market

 

  • A carbon and biodiversity project initiated by Berlin-based startup goodcarbon in Ethiopia establishes a new benchmark for the voluntary carbon market
  • Co-developed with Menschen für Menschen Foundation, the project is supported by the German Agency for International Cooperation (GIZ)
  • The initiative actively involves the local population, with at least 50% of the revenues directly benefiting the local community

Berlin, GER (27 March 2025) - Climate protection specialist goodcarbon, in collaboration with  Menschen für Menschen Foundation and with support from the German Agency for International Cooperation (GIZ), has launched one of the most advanced voluntary biodiversity and CO2 compensation projects. The project is located in southern and southwestern Ethiopia, where up to 7,000 hectares of African montane forest will be restored in close cooperation with the local population. Over the next 40 years, this initiative is expected to sequester approximately 2.3 million tonnes of CO2, regenerate biodiversity, and protect more than 300,000 local residents from landslides. Additionally, it will contribute to improved healthcare, education, clean water access and economic opportunities in the region.

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Developed over two years, this climate protection project builds on more than 40 years of experience from the Menschen für Menschen Foundation in sustainable community development, as well as a nine-year initiative by GIZ. A key component of the project is its collaboration with the local communities: at least 50% of revenue from carbon credit certificates will be directly paid out to local residents, fostering long-term, self-sustaining development in addition to other investments in local community infrastructure. The roots of the planted trees will stabilize the soil, prevent dangerous landslides and enhance climate resilience. The reforested land will provide a thriving biodiverse forest, creating crucial habitats for endangered species that have been absent from the regions for decades, including over 200 bird species.

The project is situated in the Eastern Afromontane Biodiversity Hotspot, a region facing immense environmental and socio-economic challenges. High population growth and poverty have put increasing pressure on natural resources, leading to unsustainable land use and heightened risks of landslides, which claimed 230 lives in 2024 alone. Limited market access, inadequate education, poor healthcare, and weak infrastructure further contribute to economic instability. By involving local communities in the planning and execution of the project, goodcarbon aims to reduce poverty and enhance human well-being. 

One of the measures for the local community will promote agroforestry as a sustainable alternative to forest destruction. Farmers will receive fruit tree seedlings and support to establish agroforestry systems that enhance livelihoods for more than 300,000 people. Over 10,000 farmers will benefit from training in improved agricultural practices and efficient irrigation systems to increase crop yields. These efforts will strengthen food production while reducing pressure on natural forests. Farmers will also receive training in livestock development, including breed improvement and sustainable animal husbandry. Beehives will be provided to encourage honey production, fostering a more resilient rural economy.

Access to clean drinking water will be improved by constructing wells, while also promoting better sanitation and hygiene practices. The project will support improved healthcare services, ensuring better medical access to community members such as vaccinations. Investment in critical infrastructure will include the construction of three durable school blocks, enhancing educational opportunities. To strengthen economic resilience, the project will establish a Micro and Small Enterprise program alongside skill training initiatives.

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goodcarbon Originals are based on a scientifically robust, risk-minimizing approach with proven positive long-term impacts. These projects prioritize maximum transparency and biodiversity conservation in ecologically valuable areas, and a community-focused model: the goal is for at least 50% of revenues to go straight to the local population or to measures that directly benefit them. As a result, goodcarbon Originals deliver genuine, measurable climate action with a positive impact on both people and nature.

David Diallo, Co-Founder and Managing Director of goodcarbon:

“goodcarbon Originals require extensive preparation to ensure they have a lasting impact on biodiversity, nature, and climate. We are thrilled to see the first of these projects officially launched in Ethiopia. This is just the beginning of our commitment to climate justice, with many more ambitious projects in development. Each one is designed to set new standards in community engagement, longevity, and benefits that extend far beyond carbon sequestration.”

Dr. Sebastian Brandis, CEO of Menschen für Menschen Foundation: 

“A common misconception is that CO2 projects are easily comparable simply because they measure carbon sequestration in tonnes. However, CO2 capture is only truly sustainable and valuable when it actively considers biodiversity and provides economic benefits to local communities..”

Yilma Taye, Country Representative for Menschen für Menschen in Ethiopia:

“We can only call our work successful, if we genuinely reach the people in the villages. Collaboration between all stakeholders, as demonstrated in this project, is crucial.”

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About goodcarbon

Founded in Berlin in 2021, goodcarbon specializes in CO2 sequestration and biodiversity projects and operates a global platform for nature-based solutions. The company helps businesses meet their climate targets while channeling billions of dollars into nature conservation and restoration. Through long-term project partnerships, goodcarbon ensures direct engagement, transparency, and tangible impact, not only in climate protection but also in biodiversity conservation and community development. With a rigorous, science-backed approach, goodcarbon sets new standards in the evaluation and selection of carbon credits. Its end-to-end solutions minimize risk, secure financing, and facilitate the creation of globally oriented, long-term sustainability portfolios.

 


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