Livelihood Impact of Carbon Sequestration on Local Communities: A Case of Ethiopia Nature Regeneration Project in Wolaita, Ethiopia

A number of carbon sequestration projects were being implemented worldwide to address environmental and economic issues simultaneously. This research paper describes research concerning a carbon sequestration project in Humbo district in Ethiopia. The central research question is: Do the project activities result in improved socio economic aspects of small holder farmers in the area? Questionnaire-based household surveys were the main source of data. Data was collected from 130 randomly selected households by using probability proportional to household size. The key results are as follows.1) Participant households used fodder, fuel wood, medicinal plants, honey and wax forest resources and financial benefit from the project for their livelihood and forgone charcoal, fuel wood, grazing land and poles. 2) Project participation is among determinants of household income. 3) Participant households were different in household head age, family size, per capita expenditures for clothing and footwear as a proxy of per capita income and the numbers of main meals including animal protein (i.e. poultry and beef) during the last seven days taken by participant households were higher than non participant households