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This report analyses the current status of the land-use sector under the United Nations Framework Convention on Climate Change and its Kyoto Protocol, and formulates options for how various incentives and systems could be harmonised under a future climate treaty. It argues that the land-use sector serves key environmental and social functions and supports the livelihoods of around a half of the world’s population. However, it is argued that the climate regime fails to formulate a coherent vision or set of incentives for mitigation and adaptation from the sector. The negotiation of a future climate treaty that will take effect in 2020 is seen as a key opportunity to improve the current system and create an integrated accounting and incentive framework for adaptation and mitigation strategies across all land-uses.