The costs of pricing nature: The implications of payment for ecosystem services in Europe Bethany Squire & Alexandra Bosbeer Quaker Council for European Affairs
Outline 1.Problem: Trends in ecosystem change in Europe 2.One solution: Overview of EU initiatives in payment for ecosystem services (PES) 3.Does it work? Main concerns 4.What to do? Other solutions Quaker Council for European Affairs
Source: European Environment Agency Quaker Council for European Affairs
Degraded ecosystem services Service Agro- ecosystems Fores t Grass- land Heath/ scrubWetlands Lakes and rivers Crops/timbermixed Livestock Wild foodsdegraded Water Genetic Pollination Climate regulation Pest regulation Erosion regulation Water regulationenhanced Recreation Aesthetic Status , based on EEA 2010 (Rubicode)
Alien species increasing Source: European Environment Agency Quaker Council for European Affairs
EU initiatives: Soils and water Quaker Council for European Affairs
Biodiversity Targets 2010 : halt the loss of biodiversity 2020 : halt the loss of biodiversity Target 2: Maintain and restore ecosystems and their services: Member States to map and assess state of ecosystems and services by 2014, assess the economic value of such services, &, by 2020, promote integration of these values into accounting at EU & national levels. Quaker Council for European Affairs
Weaknesses Provisioning services easiest to value – Integration: CAP and CFP Market is not amenable to reflecting complexities Quaker Council for European Affairs
Case study: Emissions Trading Scheme (ETS) Left to market – demand assumed 2005 = €40 2013= €4 Managing emissions credits = fast-growing sector of financial services Halting emission of CO 2 => secondary objective Quaker Council for European Affairs
Problems & opportunities Market ≠ public interest ‘Business as usual’ Exacerbating scarcity to maximize profits Behavioural economics Social justice issues – Exporting land demand – Human well-being Quaker Council for European Affairs
Potential solutions Raising awareness of values vs valuing – Public decision-making Wider picture – Non-provisioning services – ‘Mainstreaming’ – Combination of methods: regulation and pricing Quaker Council for European Affairs
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