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The Quest to Make Conservation Profitable
Vision
A future in which conservation is mainstream
• economically attractive and common-place • sustaining Earth’s biodiversity and vital
life-support systems
Realizing the Vision
Increase flow of $$ into conservation
Allocate $$ flow in new ways
Realizing the Vision
1. Working Landscapes2. Ecosystem Services3. Financial Incentives
Increase flow of $$ into conservation
Allocate $$ flow in new ways
Realizing the Vision
1. Working Landscapes2. Ecosystem Services3. Financial Incentives
Complement traditional conservation approaches with new strategic foci
Conservation Value ofWorking Lands
Con
s. V
alue
Intensity of Land Use
Conservation Value of Working Lands
Con
s. V
alue
Intensity of Land Use
Conservation Value ofWorking Lands
Con
s. V
alue
Intensity of Land Use
Distribution of Biodiversity in Hawaii
Biodiversity in Hawai’i
Mature Forest
Koa PlantationRanchland Koa Plantation
FOR BIODIVERSITY: Absolutely vital
1. Reserves core part of strategy2. Window of opportunity
Conservation Value of Working Lands
Realizing the Vision
1. Working Landscapes2. Ecosystem Services3. Financial Incentives
Complement traditional conservation approaches with new strategic foci
Ecosystem Servicesi. Production of Goods
Ecosystem Servicesii. Life-support Processes
Ecosystem Servicesiii. Life-fulfilling Conditions
Ecosystem Servicesiv. Preservation of Options
Conservation Value of Working Lands
FOR ECOSYSTEM SERVICES: Absolutely vital
1. Supply, scale of delivery2. Window of opportunity
Realizing the Vision
1. Working Landscapes2. Ecosystem Services3. Financial Incentives
Complement traditional conservation approaches with new strategic foci
Capturing Conservation Values
• Goal?• Who pays?• How much?• To whom?• For what?• For how long?
Goal: which elements of ecosystem capital are most important?
Past focus: aesthetic and taxonomic criteria
Future focus: ecosystem service criteria
Outcome of Biosphere 2 Experiment
• O2 levels plummeted• CO2 and N2O levels skyrocketted• Water purification failed• 19 of 25 vertebrate spp went extinct• All pollinators went extinct• Crazy ants, cockroaches, katydids rampant
Crop Pollination• 2/3 of crops require it
• Honeybee declines worldwide
• Can wild bees to do the job?
• Value of their habitats?
coffee
tomatoapple
Harnessing coffee for conservation
How valuable is forest to farmers?
Do forest pollinators benefit nearby coffee?
The value of forest to farmers Coffee near forest:• more diverse bees• more pollination• 20% higher yields
Value of forest:
• $60,000/year to 1 farm
• 10x more than current conservation incentive payments
$$
1.0 km
With remnants
The Value of Forest to Farmers
1.0 km
With remnants Without remnants
The Value of Forest to Farmers
1.0 km
With remnants Without remnants
The Value of Forest to Farmers
Lowerbound value ~US$60,000 / yr
Aligning Economic Incentives with Conservation
• Goal?• Who pays?• How much?• To whom?• For what?• For how long?
Paying for Ecosystem Servicesag
ricul
tura
biod
iver
sida
d
estabilización de la clima
purificacióndel agua
$$
Paying for Ecosystem Servicesag
ricul
tura
biod
iver
sida
d
estabilización de la clima
purificacióndel agua agua clima
biod
iver
sida
dag
ricul
tura
$$
$$
$$$$
$$
Experiments =>Models of Success
WATER PURIFICATIONWATER PURIFICATIONFLOOD CONTROLFLOOD CONTROLBIODEGRADATIONBIODEGRADATIONINTEGRATED APPROACHESINTEGRATED APPROACHES
•• importance of serviceimportance of service•• valuation of ecosystem capitalvaluation of ecosystem capital•• capturing ecosystem service valuescapturing ecosystem service values
(Daily & Ellison 2002)
NYC -- Water Purification
PHYSICAL CAPITAL
• FILTRATION PLANT
• US$ 6-8 BILLION
ECOSYSTEM CAPITAL
• RESTORATION OF WATERSHED
• US$ 1-1.5 BILLION
Investment in Ecosystem Capital
Investment in Ecosystem Capital
Napa ~ Flood Control
PHYSICAL CAPITAL
• DIKES, LEVEES, CONCRETE CHANNELS
• US$ 150 MILLION
ECOSYSTEM CAPITAL
• RESTORATION OF NATURAL FLOODPLAIN
• US$ 200 MILLION
Investment in Ecosystem Capital109 buildings removed; 9 bridges (re)moved
650 acres wetlands created or restored
NAPA ~ A “RIVER CITY”
NAPA ~ A “RIVER CITY”
Biodegradation ~ Costa Rica
Pulp
Costa Rica ~ Biodegradation
PHYSICAL CAPITAL
• LIVESTOCK FEED PRODUCER
• US$ 2-3 MILLION
ECOSYSTEM CAPITAL
• NATURAL BIODEGRADATION
• US$ 0.5 MILLION
Del Oro – ACG Contract
Pest control $1/ha-yrWater supply $5/ha-yrOrange peel degradation $12/truckloadProtection from disease gratis
TOTAL $24,000/yr
ECO – O.K.
Murray-Darling Basin• covers > 1 million km2
• supplies 75% Australia’s
irrigation water
• yields >40% Australia’s
agricultural production
• supplies 3 million people
with drinking water
Annual Salt Contribution to Rivers, NSW
MT/km2
Hypothetical Farm Business
CommodityWheatWoolTimberWater filtrationCarbon sequestrationSalinity controlBiodiversity
Share (%)401510157.57.55
Costa RicaPayment for Ecosystem Services
Climate Stabilization
Water Purification
Biodiversity Resources
Scenic Beauty
US$20 / acre-yr
Aligning Economic Incentives with Conservation
• Goal?• Who pays?• How much?• To whom?• For what?• For how long?
Realizing the Vision
1. Working Landscapes2. Ecosystem Services3. Financial Incentives
Increase flow of $$ into conservation
Allocate $$ flow in new ways
Realizing the Vision
1. Working Landscapes2. Ecosystem Services3. Financial Incentives
Increase flow of $$ into conservation
Allocate $$ flow in new ways
1. Governments2. Local Institutions3. Private Sector
Realizing the Vision
1. Working Landscapes2. Ecosystem Services3. Financial Incentives
Increase flow of $$ into conservation
Allocate $$ flow in new ways
1. Governments2. Local Institutions3. Private Sector
The Natural Capital Project
1. MAPPING ES FLOWS– In biophysical, economic,
cultural terms2. IMPLEMENTATION
– Pilot projects– Symbolic trades
3. SCALING UP– Brain Trusts in
Conservation Finance & Communications
To succeed, To succeed,
conservation must become conservation must become
economically profitable and commoneconomically profitable and common--placeplace
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