Forest Carbon Emission Reduction Act - Directs the Administrator of the Environmental Protection Agency (EPA) to: (1) allocate annually a portion of emission allowances to help developing countries achieve emissions reductions or increase sequestration of carbon dioxide from international forest carbon activities; (2) set-aside a portion of such allowances for ensuring market readiness in developing countries; (3) establish eligibility criteria for incentive allowances to implement national strategies to reduce emissions from deforestation, implement low-cost emission reduction in the forest sector, and guard against deforestation; and (4) promulgate regulations (including regulations relating to quality and eligibility requirements) for the use of offset allowances for international forest carbon activities.
Authorizes the Administrator to provide emission allowances for carbon storage projects in other qualifying natural land.
Authorizes qualifying subnational level activities.
Directs the Administrator to prepare a list of countries that have: (1) demonstrated the capacity to participate in international forest carbon activities at a national level; (2) capped greenhouse gas emissions or otherwise established a credible national baseline; (3) achieved national-level reductions of deforestation; and (4) implemented an emission reduction program for the forest sector.