The name of the fund is Kolviður. The address and legal venue of the fund is in Reykjavík.
The founders of the fund are the Icelandic Forestry Association (Skógræktarfélag Íslands) and the Icelandic Environment Association (Landvernd). The Fund was established with the support of the Government of Iceland.
The objective of the Kolviður Fund is to reduce the concentration of carbon dioxide (CO2) in the atmosphere by increasing the carbon sequestration of forest ecosystems , binding the soil and reducing soil erosion, increasing public awareness and the awareness of companies in regard to greenhouse gas emissions, and promoting education on related issues.
The goals of the project are therefore quite complex, as soil conservation and the enrichment of plant ecosystems occur simultaneously to carbon sequestration.
Success is achieved by making it possible for individual parties to take responsibility for their own emissions and respond to negative effects by tangible means. The Kolviður Fund will thus encourage Icelanders to become the first nation in the world to carbon offset their transportation exhaust effects by forestry and land reclamation.
The Kolviður Fund also emphasizes increasing the competitiveness of companies by carbon offsetting the transport of supplies and finished goods between geographical markets.
Regulation on Funds No 140/2008
Act on Greenhouse Gas Emissions No 65/2007
Act on Environmental and Resource Taxes No 129/2009
Act on Climate No 70/2012
Regulation of Emissions Permits for Operators working in the EU Emission trading system No 70/2013
Certification, supervision and research
Scientific control and research are conducted by the Iceland Forest Service at the Forest Service Branch at Mógilsá
Financial external control is conducted by the KMPG Ltd. in Iceland http://www.kpmg.com/is/is/pages/default.aspx.
The KPMG audits and provides opinion on the information the Kolviður Fund makes available on a yearly basis in relation to planting and measurement of carbon offsetting, that takes place every five years. The aim of the audits is to ascertain whether the provided information on planting and carbon sequestration is reliable and within reasonable margins of error.
The Icelandic National Audit Office (Ríkisendurskoðun) has the obligation to observe the operation of non-profit funds and private foundations in accordance with relevant regulations. http://www.rikisendurskodun.is/index.php?id=44
Board and staff
The Board of the Kolviður Fund is comprised of:
- Reynir Kristinsson, Chairman of the Board
- Magnús Gunnarsson, Chairman of the Icelandic Forestry Association
- Einar Gunnarsson, Icelandic Forestry Association
- Guðmundur Ingi Guðbrandsson, Executive Director of the Icelandic Environment Association
- Anna G. Sverrisdóttir, The Icelandic Environment Association
The Kolviður Fund emphasizes close collaboration with researchers in this field who share their knowledge and the latest developments in this matter. Extensive research on carbon sequestration is being undertaken.
Cooperation contracts on carbon sequestration
The customers of the Kolviður Fund purchase carbon sequestration to offset the exhaust gas pollutant emission of their vehicles or hired transport, due to air travel of staff members and visitors, as well as air freight and transport by sea between geographical markets.
The Kolviður Fund can offset the abovementioned factors for all companies, regardless of their geographical location.
Companies that are currently carbon offsetting their activities are operating in the following fields:
- Financial matters
Mathematical models on the Kolviður Fund’s website offers clients a tool to calculate their operation’s emissions of greenhouse gases and the costs of wood carbon offsetting, such as by planting trees in areas where long-term agreements (90 years) have been made in order to allow for this type of forestry.
The Kolviður Fund makes long-term cooperation agreements with companies in regard to offsetting their emissions based on carbon accounting.
The Fund makes contracts with forestry companies or contractors for planting.
By choosing the Kolviður, The Icelandic Carbon Fund, its clients promote, in addition to carbon sequestration, the sequestration of soil and reduction of soil erosion, one of the major environmental problems in Iceland. The Fund promotes the reduction of greenhouse gas emissions with the utmost care, and carbon sequestration of soil and vegetation to make up for indispensable emissions.
The Kolviður Forests
The Kolviður Forests are forests that are cultivated and preserved in order to prevent the accumulation of carbon dioxide (CO2) in the atmosphere.
Through photosynthesis, trees convert carbon dioxide and water into sugars (carbon compounds) and separate oxygen. The Kolviður Fund calculates only the sequestration that occurs in tree trunks and roots of trees, but significant sequestration also takes place in excess of that calculated by the Kolviður Fund for this purpose.
The sequestration capacity of forests varies according to land quality and their species composition. According to research conducted by the Iceland Forest Service, the annual sequestration can amount to about 20 tons of CO2 per hectare. Selection of tree species also affects the result. Some tree species live about as long as people but others grow for hundreds of years. If nature runs its course, the old forest will die and be replaced by a new generation of trees and the carbon will be sequestrated in the sward and soil .
Damaged land will harbour forests of great variety that sequestrate carbons as well as provide varied services for both people and ecosystems. The Kolviður Forests, cultivated in Iceland, will be accessible for public enjoyment and pleasure.
The Kolviður Fund abides by the instructions of the Icelandic Forestry Association ”Forestry in harmony with the environment” (http://skog.is/index.php?option=com_content&view=article&id=145&Itemid=100036) and the United Nations Framework Agreement on Climate Change (http://cdm.unfccc.int/Projects/pac/pac_ar.html).
The guidelines for ”Forestry in harmony with the environment” were created in collaboration with all the major agencies in Iceland in the field of nature conservation and soil reclamation, as well as environmental organizations. These guidelines provide information on the factors to consider during forestry cultivation, such as in regard to nature conservation .
The Kolviður Fund makes long-term agreements with landowners and forest holders to cultivate carbon forests on previously barren land. The agreements specify that if forests have to give way to other land-use, the Kolviður Fund will be fully compensated for lost sequestration in order to set up cultivation in another place to conform to contracts in reference to those who have purchased carbon sequestration.