1 / 22

Getting Started with Payments for Ecosystem Services

Getting Started with Payments for Ecosystem Services. Getting Started with Payments for Ecosystem Services. MODULE TWO: Existing Markets and Payments Schemes for Ecosystem Services. October 2009. United States Forest Service.

dexter-kennedy
Télécharger la présentation

Getting Started with Payments for Ecosystem Services

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Getting Started with Payments for Ecosystem Services Getting Started with Payments for Ecosystem Services MODULE TWO: Existing Markets and Payments Schemes for Ecosystem Services October 2009 United States Forest Service

  2. Module 2: Existing Markets and Payment Schemes for Ecosystem Services Early Environmental Markets Environmental Markets and Payments for Services A Review of Existing Markets Categories of Services/ Markets Biodiversity Compensation and Offsets Water Payments and Nutrient Trading Carbon Markets Summary US Legislative Activity Regional Highlight: California Multi-Market Trends Existing Markets and Payments Schemes

  3. Early Environmental Markets • Capped Issuance of Hunting and Fishing Licenses • Limited, Sellable Water Use Rights • Cap-and-Trade Trading in Pollutant Allowances of Sulfur Dioxide (U.S., 1990s) • Water Quality Trading (U.S.) • Wetlands and Species Credits (U.S.)

  4. Environmental Markets & Payments for Services Carbon trading (regulatory and voluntary) Carbon trading (regulatory and voluntary) Water-related payments (public sector) Water markets (regulation-driven) Biodiversity trading (regulation-driven) Water payments (public sector funding) Carbon trading (regulation-driven) Water markets (public sector funding) Water payments (B2B & public sector) Biodiversity transactions (B2B) Biodiversity trading (regulation-driven) Biodiversity transactions (B2B) Water payments (B2B) Water payments (public sector)

  5. A Review of Existing Markets Policy or Regulation-based Voluntary or Private Transactions Open-Trading Schemes Markets that require sufficient liquidity and transferability, low transaction costs and good access to information Public Payments Payments to property-owners who agree to adopt land management practices associated with the maintenance of ecosystems Self-Organized Deals Individual beneficiaries of environmental services contract directly with providers of these services. Regulatory Markets Voluntary Markets Government Payments Government Taxes Landowner (or NGO) to Landowner Multi-Buyer Consortium

  6. Biodiversity Water Carbon Others: Scenic beauty (eco- tourism), bundled services (land trusts, conservation easements) Categories of Services/ Markets 6 6 6 6 6

  7. Biodiversity: The Anti Commodity 7 7

  8. Biodiversity Compensation Programs • EXISTING • United States • Wetland & Endg Species Mitigation • Australia • Biobanking (NSW) • BushBroker (Victoria) • Native Vegetation Offsets (South) • Canada – Wetland Mitigation Banks • INTERESTED • France • UK • South Africa • New Zealand • Others 8 8 8 8 8

  9. Species banking started in the early ’90s & wetlands in early ‘80s ~115 species & 800 wetland & habitat banks in the US Species offset & banking - $200-300 million in 2007 Wetlands offsets & banking $3 billion in 2007 (ELI) U.S. Species Banking 9 9 9 9 9

  10. BBOP MaluaBioBank Gopher Tortoise Habitat Credit Bank Climate, Community Biodiversity Standards Voluntary Programs 10 10 10 10 10

  11. Payments for Watershed services (quality & quantity) Paying land owners (ex. Heredia, Costa Rica/ Perrier Vittel) Purchasing land (Water Conservation Fund in Quito) Nutrient trading Nitrogen, phosphorus, sediments Small pilot programs across the United States (Ohio’s Miami Conservancy District) Water payments 11 11 11 11 11

  12. Not easily commoditized (not carbon) But markets want to be global and this will happen on watershed scale so smaller size (watershed) Could become a series of large markets Think Chesapeake, Ohio Forest Trends “Chesapeake” Fund Nutrient trading: challenges Source: EPA 12 12 12 12 12

  13. The most global environmental market as a result of Kyoto Protocol, which drives European Emissions Trading System (EU ETS) Non- Kyoto carbon markets Voluntary carbon markets US carbon markets Markets for biological carbon sequestration Carbon Markets 14 14 14 14 14

  14. Universe of Carbon Markets in 2009 Total value, 2009: US$143,727 Billion EU ETS $118 Billion CDM $2.7 Billion Voluntary OTC $326 Million JI $354 Million AAU $2 Billion Chicago Climate Exchange (expired) $50 Million NSW $117 Million RGGI $2.2 Billion Source: Ecosystem Marketplace and World Bank 15 15

  15. Role of Forests, Soil and Agriculture • Emission source and sink • Landowners and farmers critical political stakeholders • Balance carbon flows • Green carbon under-utilized in market based climate change solutions

  16. Active Forest Carbon Offset Projects Source: www.forestcarbonportal.com 17 17 17 17 17

  17. US Legislative Activity • Federal History • Waxman – Markey • Kerry – Boxer • American Power Act • Agriculture plays a powerful role in Senate politics • Legislation stalled, states looking to state and regional programs • Voluntary (“pre-compliance”) markets prevail in the US • Patchwork of regional compliance schemes • The Regional Greenhouse Gas Initiative (RGGI) • Assembly Bill 32, Global Warming Solutions Act

  18. Regional Highlight: California • Global Warming Solutions Act – AB32 • CA electorate 61.3%, CA Air Resources Board 9-1 in favor cap/ trade • Polluting industries buy/sell emission allowances • By 2020 emissions limited to 1990 levels • Future for REDD • Companies unable to reduce emissions to target levels can ‘offset’ with forest conservation in tropical countries • 74 million tons of CO2 reductions from offset credits by 2020

  19. Regional Highlight: California • California (US), Acre (Brazil), Chiapas (Mexico) • Signal of sub-national activity in the US in absence of federal carbon trading • CA Air Resourced Board (ARB) to allow offsets from avoided deforestation in Chiapas and Acre • REDD credits sold as offsets to CA industrial emitters in 2nd and 3rd compliance periods • Forestry projects in the 1st period: reforestation, improved forest management, avoided conversion

  20. Difficult to track Demand for real benefits (honing requirements) Growth in Infrastructure (TZ1 pilot registry for CA species banking; Bay Bank) Carbon as entry point for many investors Multi-market trends 21 21 21 21 21

  21. Blazing Trails… Voluntary market mental model Innovation across the globe Multi market systems Stacking, bundling questions 22 22 22 22 22

More Related