Attracting funding from the private sector: innovative financial instruments in the EU 2020 Biodiversity Strategy

Transcription

1 Attracting funding from the private sector: innovative financial instruments in the EU 2020 Biodiversity Strategy Laure Ledoux, Biodiversity Unit, DG ENV 1 OECD WPBWE Expert workshop on mobilising private sector finance for biodiversity conservation and sustainable use, 9 March 2011, Paris.

2 Structure 1. EU and International Policy Context 2. The EU 2020 Biodiversity Strategy 3. Innovative Financial Mechanisms in the EU Biodiversity Strategy 4. Next steps 2

3 1 EU and International Policy context Council conclusions CBD COP-10 outcomes 3

4 Evolution of EU Biodiversity Policy EC Biodiversity + 4 BAPs (2001) European Council agrees to halt the loss of Biodiversity by 2010 Biodiversity included in SDS and 6th EAP as priority EC Communication and Biodiversity Action Plan (BAP) Mid-term review of the Biodiversity Action Plan (BAP) Health Check for Habitats and Species 15 March: Post-2010 vision and target adopted Endorsed by EU heads of state on 26 March Nagoya... EU 2020 Biodiversity Strategy 4

5 EU Post-2010 policy framework Adoption of EU post-2010 biodiversity vision & headline target Adoption (15-26/03/10) Adoption of new global strategic plan (vision, mission, 20 targets) CBD COP10 (29/10/10) Development and adoption of post-2010 EU biodiversity strategy Adoption (2011) 5

6 Council conclusions (26 March 2010): EU vision and Headline target Adoption of a long-term (2050) vision for biodiversity:. Biodiversity and the ecosystem services we get for free from nature are preserved, valued and, insofar as possible, restored for their intrinsic value, enabling them to support economic prosperity and human well-being, and averting any catastrophic changes linked to biodiversity loss Adoption of a mid-term (2020) headline target 6 Halting the loss of biodiversity and the degradation of ecosystem services in the EU by 2020, and restoring them in so far as feasible, while stepping up the EU contribution to averting global biodiversity loss

7 Council conclusions (14 October 2010) Better address direct and indirect drivers of loss / integration into sectoral policies This includes the the use of innovative financial mechanisms both for public and private funding, such as the reform, elimination and reorientation of those subsidies harmful to biodiversity, payments for ecosystem services, [ ] 7

8 CBD COP October 2010, Nagoya, Japan Commitment to substantially increase resources (financial, human and technical) from all sources, including innovative financial mechanisms, balanced with the effective implementation of the Convention on Biological Diversity and its Strategic Plan for Biodiversity , against an established baseline Parties, relevant organizations and initiatives, [ ] to submit information concerning innovative financial mechanisms that have potential to generate new and additional financial resources as well as possible problems that could undermine achievement of the Convention s three objectives, not later than 30 June

9 2 EU 2020 Biodiversity strategy Problems and objectives 6 Sub-targets Measures to reach Targets, including financing of actions (role of IFM) 9

10 10 The EU 2020 biodiversity strategy in preparation : objectives

11 11

12 3 IFM in EU Biodiversity strategy Possible areas of application Study on IFM for Biodiversity 12

13 EU biodiversity strategy: IFM areas of application Market-based instruments: Funding options for Green Infrastructure, including Payments for ecosystem services (PES), possibility of Public Private Partnerships (PPP) Look into the possibility of biodiversity offsets, including habitats banking, for possible future no net loss initiative Reducing EU consumption impacts on global biodiversity through certification schemes, eco-labelling, green procurement, sustainability criteria Exploring other innovative financial instruments, in partnership with EIB e.g. guarantee schemes, risk-sharing instruments, equity funds or a combination of grants for technical assistance with other financial instruments (see study) In the context of wider funding strategy: integration of biodiversity in main EU funding instruments: Strengthening of PES for environmental public goods in agriculture, forests and fisheries management (EU funding, but possibility of PPP) Co-benefits from Climate change funding Life+ projects to provide catalytic funding? 13

14 EC study: use of IFM to enhance private sector finance of biodiversity Time frame: Jan-June 2011 Analyse conditions, opportunities and limitations for private sector biodiversity finance: Types of biodiversity projects with a bankable potential; Scoping study on current and potential future demand for projects by private sector Potential contribution of the EC, EIB and other institutions for contributing towards the promotion of bankable biodiversity projects and their funding through specific IFM. Provide advice on future policy options, both EU and international when possible Investment Options to be analysed: Nature conservation within the EU (Natura 2000 network) Supporting businesses with activities related to sustainable biodiversity use Sharing financial risks with business/financial institutions investing in activities related to sustainable biodiversity use Supporting carbon storage actions (REDD+ and possible credits) Supporting the setting up of MBIs, e.g. PES, biodiversity offsetting/mitigation banking Green infrastructure projects 14

15 Assessing the role of economic instruments in a policy mix for biodiversity conservation and ecosystem services provision Key aims Evaluating roles of economic instruments in a policy mix cost-effectiveness of existing and proposed instruments missing, redundant, synergistic or conflicting instrument roles, comparing across case studies Transferability of policy lessons between Latin America and Europe Timeline : Review of economic instruments and framework development : 7 case studies at national and regional/local levels (contributing to TEEB follow-up) : Comparative analysis, synthesis, policy recommendations and dissemination 15

16 4 Next steps 16 Adoption of biodiversity strategy before June 2011 Proposal for the EU Budget for the next financing period (June 2011) - integration of IFMs in various EU Funds IFM in biodiversity forthcoming policy initiatives (e.g. Natura 2000, GI) Forthcoming events: Workshop on IFM for CBD in Budapest on March (Hungarian presidency) Workshop on innovative financing instruments in Brussels on 3 May (EC/EIB study)

17 Thank you for your attention 17 Biodiversity homepage: versity/policy/index_en.htm Environment and economics webpage: For more information, contact: