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The role of economic instruments
in the context of biodiversity
related MEAs
Presentation on the basis of a report prepared by
Nicola Borregaard
Matthew Stilwell
Beatriz Bustos
17-18th of February 2003
Geneva
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
Content
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
1. Introduction
2. The role of economic instruments in the context
of biodiversity related MEAs
3. References to economic instruments en selected
MEAs
4. Lessons learnt in the use of EIs to implement
selected biodiversity related MEAs
5. Conclusions – Prospect for enhanced use of EIs
1. Chapter: Objectives
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
• How can EIs be used (more effectively) for
biodiversity protection?
• How have EIs been approached in MEAs?
• How can a more comprehensive perspective on
the use of Eis help biodiversity protection?
• Which synergies exist to be taken advantage of in
the different MEAs?
Chapter 2: Which EIs for Biodiversity
Protection?
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
• Property rights
– Conservation easements
– Communal property rights
• Market creation
– Ecolabeling
– CO2 sequestration offsets
– Tradable development rights
• Charges
– Entrance fees
– Concession payments for tourism, hunting, fishing
Chapter 2: Which EIs for Biodiversity
Protection?
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
• Fiscal instruments
– Tax exemptions or tax deductions
– Differential land use tax
• Environmental Funds and financial mechanisms
– National environmental funds
– Soft credits
– Biodiversity investment funds
• Liability system
– Fines
– Performance bonds
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
Chapter 4: How to increase the effective
use of EIs to implement biodiversityrelated MEAs
1. Thematic areas for the use of EIs
2. Supporting the introduction of EIs for
biodiversity protection
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
Thematic areas for the use of EIs
•
•
•
•
•
•
EIs for in situ conservation
Raising financial resources
Sustainable trade
Payments for environmental services
Transfer of technology
Addressing perverse subsidies
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
EIs for in situ conservation
• Emphasis of conventions
• Great variety of EIs
applicable
• Experience concentrated
in the industrialized world
• More analysis of more
recent instruments
required
• More analysis regarding
the compatibility between
exsitu and in-situ
instruments required
Orcutt Grass, Sacramento Conservation Bank
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
Raising financial resources
• Often more important than
incentive character of EIs
• Conventions emphasize
the need at national as
well as at MEA level
• Funds have been
important instrument
(more than just financial
tool)
• Lessons from funds that
have not endured?
• Innovative mechanisms
The kiwi is a
unique biological
oddity, a
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
Sustainable trade
• Still small, but very
dynamic
• Relevance not only in
CITES
• Ecolabeling, captive
breeding, geographically
focused programs
• Make more use of
synergies and of private
initiatives
Community forest management in Xapuri, Brazil, FSC certified
Payments for environmental
services
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
• Variety of different
payments
• Mention of specific
services in MEAs
• Little researched and used
• Potential has to be
analyzed
• Environmental impacts as
well
Climate Care reforestation project in Uganda
Supporting the introduction
of EIs
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
•
•
•
•
•
•
Valuation and EIs
Integration of local communities
Identification of benefits and beneficiaries
Importance of bundling goods and services
Role of the State
Networks / training / exchange of
experience
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
Valuation and EIs
• Valuation (not only
economic!) important for
raising consciousness and
for creation of markets
• MEAs have recognized
this
• Reminds us that Eis sould
be inserted in overall
strategy
• Simpler techniques
required
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
Integration of local communities
• Two-way relationship:
•
– Effective use of EIs
– EIs can help integrate
local communities
• Importance recognized
in MEAs
• “Mainstreaming” of
local community
involvement in EIs
required
Campfire – Elefant in the fields
Questions to the Group
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
(beyond critique and comments)
• Structure of report:
– Should chapter 2 and chapter 3 be interchanged?
• Chapter 4:
– Are the main aspects included?
– Are key sources or major initiatives lacking?
– Should perverse subsidies be integrated or not?
• Conclusion:
– Which other aspects should be considered in the
conclusion?
Questions to the Group
Division of Technology, Industry and Economics- Division Technologie, Industrieet Economie - División de tecnologia, industriay economia
(beyond critique and comments)
• For discussion:
– What emphasis should be given to positive incentives?
– What emphasis should be given to the market´s
capacity?
– Which are the areas in which there might be most need
for capacity building?
– The audience of the report:
• Policy makers involved in MEAs, MEA secretariats, policy
makers involved in biodiversity conservation, other groups
involved (NGOs at national and international level, selected
business) in biodiversity protection, practitioners and
academics in use of economic instruments