Environmental Priority Setting in SEA Anders Ekbom, Environmental Economics Unit, Department of Economics, University of Gothenburg Dec 1, 2010

Environmental Priority Setting in SEA Objectives: Know some of the key decision criteria used for env priority setting in SEA Know some of the key decision criteria used for env priority setting in SEA Understand the role of priorities and priority setting in SEA and in decisionmaking Understand the role of priorities and priority setting in SEA and in decisionmaking

Issues for discussion! What are the Environmental Priorities in your country? What are the Environmental Priorities in your country? Who are influencing these priorities? Who are influencing these priorities? To what extent is Environment a Priority? To what extent is Environment a Priority?

Priorities vs. Environmental Priorities Env Priorities Env Priorities - Clean air - Clean water - Biodiversity etc. Societal Priorities Societal Priorities - Poverty reduction - Economic Growth - Env sustainability - Employment - Health - Education - Etc. etc.

Key distinction 1: So, there is a difference between: Societal priorities (i.e. general political priorities), and Societal priorities (i.e. general political priorities), and environmental priorities environmental priorities - Not necessarily the same!

Key distinction (2): There is a difference between: Environmental priority issues, and Environmental priority issues, and Environmental priority interventions Environmental priority interventions - Not necessarily the same!

Key distinctions (c’ed): Environmental priority issues: Environmental priority issues: 1. Rural Water pollution 2. Urban air pollution 3. Soil erosion 4. Deforestation etc. Environmental priority interventions: Environmental priority interventions: 1. Industrial pollution 2. Urban waste man’t 3. National parks 4. Clean-up of beaches etc.

Key distinction (3): Difference between env. priority issues and env. priority interventions due to: - Different costs for different interventions - Vested interests, power, corruption - Political feasibility, preferences - Scientific uncertainties - Poor, vulnerable no voice etc.

Implications: Important to tie env. issues to: - societal priorities - broader political agenda - poverty reduction, economic growth, employment, health etc. Identify interest/influential groups: - Which are the weak/strong interests? - Experts, public stakeholders - Empower marginalised stakeholders

Env. Priority setting tools: Different analytical tools to assess/identify env. priority issues and env. priority interventions Two groups of tools: 1. Bio-physical priority setting tools 2. Economic assessment tools to identify env. priorities Primary task: establish baseline!

Prioritization of Env. Issues: Bio-physical priority setting tools: 1. Comparative risk analysis 2. Geo-based risk mapping (modeling, forecasting) 3. Carrying capacity analysis 4. Ecologically based Multi-criteria Analysis 5. Ecological Vulnerability analysis

Prioritization of Env. Issues: 2. Economic assessments:  Economic damage assessment: Loss of healthy life Loss of healthy life Loss of productivity (soils, fisheries etc) Loss of productivity (soils, fisheries etc) Loss of env opportunities (biodiversity, ecosystem services, recreational values) Loss of env opportunities (biodiversity, ecosystem services, recreational values)

Prioritizing Env. Interventions: 1. Bio-physical priority setting tools: - Expert judgment - Public opinion surveys - Public participation (“popular voting”) based rankings and ratings, etc.

Prioritizing Env. Interventions: 2. Economic assessment tools: - Cost-benefit analysis - Cost-effectiveness analysis - Cost-utility analysis

Difficulties in Prioritization

Difficulties in Prioritization (1): Conflicting goals: 1. “Secure energy production based on hydro-power” (goal 1) VS. “Sustained ecosystem functions” (goal 2) => Watersheds at risk due to hydro- power production => Watersheds at risk due to hydro- power production 2. Economic Growth VS Mitigate climate Change

Difficulties in Prioritization (2): 1. Inconsistence across strategic actions (policies, plans, programs) : “Regional Devt Plan” (region A) “Env Sustainability Plan (Province ABC) ”National Growth and Employment Strategy (=policy)” - What governs what? Timing decisive?

Difficulties in Prioritization (3): 1. Establishing baseline for assessment, priority setting and decisions: - Scientific uncertainities - => When is it “good enough” to allow priority setting and decisions? - What is sufficient info? - Level of detail? Appropriate scope??

Difficulties in Prioritization (4): 1. Establishing baseline (c’ed) : Guiding questions: - What is the current situation, trend? - Far/close to threshold, env risks? - Env trend likely to change? - What are the Key factors affecting env baseline??

Decision criteria (1) Issues to consider: - Time horizon/inter-temporal aspects - Risks, uncertainties - Distributional aspects/equity; across geographic regions, income groups, disadvantaged /vulnerable (women, children, minorities) etc. - Ecological sustainability - Resilience, Thresholds, Irreversibility,

Decision criteria (2) More issues to consider: - Selectivity, timing & sequencing of SEA - Local capacity for env. priority setting - The role of research in influencing priority setting – experts vs public opinion?! - Social and economic sustainability - Economic efficiency, effectiveness (net benefits), - Transparency; public involvement & acceptance

Political economy aspects of Env Priority setting (1) Key questions: - Who sets the env. agenda? - Who defines national priorities? - Who defines the env. priorities? - Who conducts the SEA? - Who has access to env. information? - Who provides env. information?

Political economy of Env Priority setting (2) Questions: - Have the env issues been identified, defined in an open and structured process or ad-hoc by a smaller group of stakeholders? - How are the key env. interventions (solutions, measures) identified? Who has defined them? - What are the options to improve env priority setting (issues and interventions)?

The Agenda setting hypothesis (1) “Governments’ provision of env information is generally a very strong and influential means to set the env priorities” True! Kartez (1994), Hamilton (1995): government pollution info drives media coverage – others have learnt => battle over info and media to influence env agenda

The Agenda setting hypothesis (2) Transactions costs hamper public involvement in env priority setting. Efforts to reduce transactions costs increases citizens’ collective/ private actions and buy- in on the govt’s proposed priorities => Env NGOs support citizens’ involvement => Counter forces by opponents (eg businesses)

The Role of Research in Decisions and Priority setting 2 schools of thought: - 1. Too much influence of “experts” and proclaimed research knowledge! - 2. Research and researchers have limited policy influence