RESTORING NAMIBIA‘S BUSH

ENCORACHED SAVANNA

An economic showcase for ecosystem service rehabilitation

Hannes Etter,

The Economics of Land Degradation (ELD) Initiative /

GIZ Sectoral Project to combat desertification (CCD)

CURRENT SITUATION• 26 mil. ha encroached

• Financial and economic

losses

• Debushing relatively

expensive: 600-1200

N$/ha (avg. 800 N$/ha)

• Farmers need support to

clear rangelands in

reasonable time

How and to which extend

can public support be

justified for “rehabilitating”

ecosystem services?

2

ECOSYSTEM SERVICES OF SAVANNAS

EcosystemEcosystemEcosystemEcosystemEcosystemEcosystemEcosystemEcosystem

serviceserviceserviceservice

Type of Type of Type of Type of

benefitbenefitbenefitbenefit

Regulating

Services

Cultural

Services

Provisioning

Services

Wood

Medicinal Plants

Fresh water provision

Biomass for Livestock

Aesthetic Landscapes

Recreation

Tourism

Educational

Sense of place

Carbon sequestration

Watershed services

Pollination

Disease regulation

„Dynamic complex

of plant, animal, and

microorganism

communities and

the nonliving

environment,

interacting as a

functional unit.

Humans are an

integral part of

ecosystems”Millenium Ecosystem

Assessment Report (2003)

Supporting

Services

Uncleared: 5,13 kg/mm/ha

Cleared: 9,10 kg/mm/ha

ECONOMIC BENEFITS:

LIVESTOCK PRODUCTION

Legend

Bush encroachmentDENS_HA

0

2000

3000

4000

5000

8000

12000

Lifestock benefits Tax_Inc_Di

7

10

12

16

18

22

24

28

31

35

Rundu

Tsumeb

Tsumkwe

Gobabis

Ondangwa

Windhoek

Stampriet

Walvis Bay

Otjiwarongo

4

Tripling of carrying capacityTripling of carrying capacityTripling of carrying capacityTripling of carrying capacity

(under 450mm rainfall

uncleared: 3,9 kg meat/ha

� 440.000 N$/a

cleared: 10,2 kg meat/ha

�1.382.000 N$/a)

BenefitsBenefitsBenefitsBenefits varyvaryvaryvary withwithwithwith rainfallrainfallrainfallrainfall

distributiondistributiondistributiondistribution

Spatially diverse benefits from

restoration

Add. Annual tax income

RehabilitationRehabilitationRehabilitationRehabilitation &&&& waterwaterwaterwater provisionprovisionprovisionprovision::::

• Geographically fixed abstraction points

• Enhanced recharge & reduced plant

evapotranspiration increase groundwater

availability

• Reduction of water infrastructure expansion

• Securing a scarce resource in a arid / semi-

arid country

ECONOMIC BENEFITS:

WATER PROVISIONING

5

Rundu

Tsumeb

Tsumkwe

Gobabis

Ondangwa

Windhoek

Stampriet

Walvis Bay

Otjiwarongo

Legend

Bush encroachmentDENS_HA

0

2000

3000

4000

5000

8000

12000

ES-Energy: Grid NetworkVOLTAGE

400

330

220

132

Buffer_of_Feasible_line_ex_FeatureToPo_1

Energy production (Wood combustion plant):

• ~86.000 ha per plant reclaimed in 10 years

producing 54.000 MWh/a

• Additional gains: employment & local development

• Public subsidy: required

to meet the selling electricity price

• Cost for de-debushing are substantially decreased:

86,00 ha at 4% of the original costs(calculated over 10a)

Rundu

Tsumeb

Tsumkwe

Gobabis

Ondangwa

Windhoek

Stampriet

Walvis Bay

Otjiwarongo

6ECONOMIC BENEFITS:

ENERGY WOOD PROVISION

Legend

Bush EncroachmentDensity

0 - 2000

2000 - 5000

5000 - 12000

Public Benefits (after 10a)N$ per ha

> 0

-245 - 0

-550 - -250

-650 - -550

-800 - -650

7

RESULTS

Rundu

Tsumeb

Tsumkwe

Gobabis

Ondangwa

Windhoek

Stampriet

Walvis Bay

Otjiwarongo

Benefits (after 10a)Return per ha

-800 - -700

-699 - -600

-599 - -500

-499 - -400

-399 - -300

-299 - -200

-199 - -100

-99 - 0

> 0

• Very specific scenario � needs to be generalized

• Wide range of benefits

• Water infrastructure expenses very useful for subsidizing debushing

• Livestock tax returns positive value after >10yrs

• Large benefits especially in densely encroached areas

• Cross-subsidizing debushing areas with benefits from ES:

CostsCostsCostsCosts/ha (US$)/ha (US$)/ha (US$)/ha (US$) BulkBulkBulkBulk----SumSumSumSum (US$)(US$)(US$)(US$)

Without ES

benefit80 2.143.873.300

Including ES

benefit47 1.260.718.363

RESULTS

8

• Bush encroachment is known to

substantially reduce the ecosystem service

flow � degraded ES

• Other relevant ecosystem services:

• Carbon sequestration

• Touristic value

• Biodiversity

• CC adaptation

• Several spin-off benefits are possible

• Integration into local livelihoods is essential

DISCUSSION

9

The economic implications are an The economic implications are an The economic implications are an The economic implications are an

important component of efforts to important component of efforts to important component of efforts to important component of efforts to

encounter bush encroachment encounter bush encroachment encounter bush encroachment encounter bush encroachment

• Project title: SupportingSupportingSupportingSupporting dededede----bushingbushingbushingbushing effortseffortseffortsefforts inininin NamibiaNamibiaNamibiaNamibia ((((2014201420142014----2017201720172017))))

• Overall goals:

• Increase political and organizational framework

• Develop advisory services for communal and commercial farmers through the

establishment of an “De-bushing advisory service”

• Development of a sustainable value chain for the utilization of the biomass

• Cross-sectoral approach

LOCAL FOLLOW-UP

10

Trade &Industry

Renewable Energy

Agriculture & Forestry

De–Bushing &

Biomass supply

Utilisation of local energy

source

Local value addition &Business

Opportunities

Restoration of farmland

&Employment Generation

LOCAL FOLLOW-UP

11

MMEValue Addition/Business Opportunities

Growth@Home

Energy Production Restoration of

Rangeland

De–Bushing & Biomass supply

allows for …Fuel Supply Fuel Supply Fuel Supply Fuel Supply

AgreementAgreementAgreementAgreement

Bush

Information

SystemDeDeDeDe----Bushing Bushing Bushing Bushing

Advisory Advisory Advisory Advisory

ServiceServiceServiceService

Labor intensive harvesting and

processing

Biomass Producers

Group.

Value chain Value chain Value chain Value chain

AnalysisAnalysisAnalysisAnalysis

Charcoal Charcoal Charcoal Charcoal

Production in Production in Production in Production in

Communal Communal Communal Communal

AreasAreasAreasAreas

Labor intensive harvesting and

processing

Demand from

Nampower

• Contact details: Contact details: Contact details: Contact details: Frank Gschwender | Project Coordinator | frank.gschwender@giz.de

• TheTheTheThe EconomicsEconomicsEconomicsEconomics ofofofof LandLandLandLand DegradationDegradationDegradationDegradation InitiativeInitiativeInitiativeInitiative

is global initiative on the base of an economic study, created by a network of partners

thinking and working for a joint vision:

���� to create a global framework for measuring the economic costs of land

degradation and to create greater awareness for the benefits from sustainable land

use management

• Multi stakeholder-approach

• Methodological background:

More info: www.eld-initiative.org

GENERAL OUTLOOK & VISION

12

Sustainabaleland

rehabilitation

Private sector

Scientific expertise

Decision makers

Costs of inaction

vvvvs.s.s.s.

Benefits of action

Thank you for your attention!

13