1. Role of socio economics in setting targets and measures
Mansi Konar
Marine and fisheries economics, Defra

2. Key role socio economics can play in MSFD
Identifying the reasons for action and providing evidence on the extent of the problem
Assess the value of benefits from taking action to improve the environment
Socio economics provide a key link to measures and targets
Ensure that the most cost effective measures are chosen to achieve the targets
Helps understanding the limitations/challenges of measures in achieving targets (disproportionate costs)

3. UK’s work on targets, BAU and Cost of Degradation
GES Descriptors
Targets and indicators for descriptors
What does Environmental State (ES) under GES look like?
GES Targets and Indicators
(CEFAS and JNCC)
Scenario of targets
Qualitative/Quantitative
Pressure/State based
Changes in ES between GES and BAU
Changes in Ecosystem services
Changes in Human Welfare
Cost of Degradation
Business as Usual
(ABPMER and Eftec)
Human Activities
Pressures
What does Environmental State (ES) under BAU look like?

4. Outline of Practical steps for socio economic analysis in MSFD
STEP 1 - Establish objective
STEP 2 -Define baseline
STEP 3 - Define options being analysed
STEP 4 - Impacts of options on marine activities and ecosystems
STEP 5 - Monetary Valuation of Costs and Benefits
STEP 6 - Comparisons of Costs and Benefits
STEP 7 - Consideration of distributional impacts
STEP 8 - Sensitivity analysis
STEP 9 - Reporting
Source – Handbook for undertaking socio-economic analysis for Marine Strategy framework directive: Practical guidelines for applied analysis

5. Issues to consider when setting targets and selecting measures
Need to understand the link between our GES targets and the measures needed to achieve them.
Focus of the Directive is primarily on putting in place measures to achieve GES – but socio-economic considerations do come in at this stage.
Need to adopt an rolling analysis approach on target setting to enable building the picture over time
Need to have clear understanding on the gaps in the data, its limitations and how to deal with uncertainty and risks
Need to understand where management measures can’t easily influence the targets set or if measures are likely to be disproportionately costly.
Need to understand the clear links between existing policies (e.g. WFD, CFP) and GES to ensure additionality.

6. Way forward
Working group ESA already looking at issues such as disproportionate costs and socio economic considerations when setting targets
Working closely with WFD colleagues and ensuring that we have a clear understanding of the lessons learnt
Developing close contacts with the other working groups including DIKE
UK currently doing some work on CBA of illustrative measures to inform the setting of targets.