In 1997 three energy giants, American Electric Power(AEP), BP-Amoco (BP), and Pacificorp entered into a REDD agreement with the Government of Bolivia. In return for millions of dollars of investment for the protection of an area of rainforest from logging for 30 years, they would be allocated the carbon offsets generated by keeping the trees standing. These offsets could then be bought and sold in carbon trading systems, in order to offset some of the CO2 pollution produced by these power companies. The project resulting from this agreement is known as the Noel Kempff Climate Action Project (NKCAP). Since its establishment, it has become the most highly touted sub-national REDD project in the world. NKCAP has been showcased as a model for future subnational REDD projects and used to promote sub-national forest offset policies within the international climate talks, to members of the US Congress, and to other REDD stakeholders. Given the importance of REDD in the current international climate change talks and the notoriety of NKCAP as an example of sub-national forest offset project success, Greenpeace set out to discover whether the claims made by the project could stand up to scrutiny. Based on extensive analysis of the documentation relating to NKCAP, as well interviews with peopleassociated with and impacted by the project, this report looks at the project’s promises in relation to actual emissions reductions; methodologies used to prove the various elements of successful REDD projects; and improvement of the livelihoods of the local communities affected by it. Although NKCAP has been hailed as a successful model for sub-national offset projects, a careful analysis of the documentation relating to the project combined with on-the-ground interviews and research indicates that the project has failed to meet its own claims to properly monitor and account for leakage, prove additionality, guarantee its permanence for the foreseeable future and provide adequate sustainable development opportunities for the local communities. Despite over $10 million in financing and 12 years of operation, the model for sub-national REDD offsets has yet to produce real, measurable, reportable and verifiable emission reductions. http://www.greenpeace.org/international/campaigns/climate-change/forests_for_climate/noel-kempff