Environmental-Economic Accounting for Mainstreaming Biodiversity in Agriculture

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1 for Mainstreaming Biodiversity in Agriculture Carl Obst: Honorary Fellow, University of Melbourne, FAO Consultant & Director, IDEEA Presentation to the 8 th Trondheim Conference on Biodiversity Trondheim, Norway 1 June 2016

2 Competing policy agendas Biodiversity vs Agriculture Natural vs Productive land Conservation vs Use Protected areas vs Private management

3 Distinct information requirements Biodiversity Species Habitat Protected areas Fragmentation and connectivity Invasive species Deforestation Agriculture Production and income Herd size and harvest area Productivity and efficiency Technology and machinery Water use and irrigation Fertilizer use 3

4 Standard economic accounting for agriculture AGRICULTURAL OUTPUTS INTERMEDIATE INPUTS LABOUR MACHINERY AND PRODUCED CAPITAL LAND (area) Supports analysis of: Productivity, efficiency, profits and incomes Trade and supply chains Food and fibre consumption 4

5 But. AGRICULTURAL OUTPUTS INTERMEDIATE INPUTS LABOUR MACHINERY AND PRODUCED CAPITAL LAND Ignores: soil fertility and nutrient cycling, water, pollination, capital cost of degrading ecosystems and biodiversity 5

6 But. AGRICULTURAL OUTPUTS INTERMEDIATE INPUTS LABOUR MACHINERY AND PRODUCED CAPITAL LAND Ignores: soil fertility and nutrient cycling, water, pollination, capital cost of degrading ecosystems and biodiversity Omits: carbon storage and sequestration, water regulation, and air filtration and the broader cultural benefits 6

7 Accounting from a landscape / ecosystem perspective LANDSCAPE / ECOSYSTEM ASSET EXTENT Composition of landscape; ecosystem diversity 7

8 Accounting from a landscape / ecosystem perspective CONDITION Species and genetic diversity; soil condition; water quality LANDSCAPE / ECOSYSTEM ASSET EXTENT Composition of landscape; ecosystem diversity 8

9 Accounting from a landscape / ecosystem perspective ECOSYSTEM SERVICES Nutrient cycling; water regulation; pollination, carbon sequestration CONDITION Species and genetic diversity; soil condition; water quality LANDSCAPE / ECOSYSTEM ASSET EXTENT Composition of landscape; ecosystem diversity 9

10 Accounting from a landscape / ecosystem perspective BENEFITS Food; fibre; clean water; flood protection; culture and amenity ECOSYSTEM SERVICES Nutrient cycling; water regulation; pollination, carbon sequestration CONDITION Species and genetic diversity; soil condition; water quality LANDSCAPE / ECOSYSTEM ASSET EXTENT Composition of landscape; ecosystem diversity 10

11 Integrated environmental-economic accounting BENEFITS AGRICULTURAL OUTPUTS INTERMEDIATE COSTS CAPITAL SERVICES LABOUR PRODUCED CAPITAL STOCK 11

12 Integrated environmental-economic accounting BENEFITS AGRICULTURAL OUTPUTS ENVIRONMENTAL BENEFITS ECOSYSTEM SERVICES INTERMEDIATE COSTS CAPITAL SERVICES LABOUR CONDITION LANDSCAPE / LAND PRODUCED CAPITAL STOCK 12

13 Integrated environmental-economic accounting BENEFITS AGRICULTURAL OUTPUTS ENVIRONMENTAL BENEFITS ECOSYSTEM SERVICES INTERMEDIATE COSTS CAPITAL SERVICES LABOUR CONDITION LANDSCAPE / LAND Species Genetic diversity Ecosystem diversity Landscape configuration PRODUCED CAPITAL STOCK 13

14 System of - SEEA SEEA Central Framework SEEA Experimental Ecosystem Accounting SEEA Agriculture, Forestry & Fisheries

15 Selected SEEA based accounting projects World Bank WAVES project Botswana, Madagascar, Indonesia, Philippines, Guatemala, Costa Rica, Colombia, Rwanda ANCA project UNSD / UNEP / CBD Chile, Mexico, Indonesia, Vietnam, South Africa, Bhutan, Mauritius FAO SEEA AFF pilots: Australia, Canada, Guatemala, Indonesia, Uruguay New EU projects INCA; Joint EU/UNSD project (Brazil, South Africa, India, China) Country initiatives incl. UK, Netherlands, Canada, Malaysia, Norway, Australia and USA Conservation International: Peru, Gabaronne Declaration countries GEOSS Earth Observation for Ecosystem Accounting project 15

16 Applications of SEEA based accounting Integrated international reporting Sustainable development goals UNFCCC / CBD (Aichi targets) / UNCCD Economic analysis and valuation TEEB Agriculture and Food Extended Input-Output and CGE modelling Environmentally adjusted measures of Multi-factor Productivity Local and regional development Spatial planning and analysis of trade-offs / risk analysis Integrated management of weeds, pests, invasive species Scenario modelling e.g. climate change adaptation, biodiversity loss

17 Farmer, Biodiversity specialist or Landscape manager? 17

18 Thank You

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