Climate Change Economics Panel - Sutinen
Transcript of Climate Change Economics Panel - Sutinen
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University of Rhode Island
Clim ate Change: Implications for the Socioeconomics &
Governance of Large Marine Ecosystems
Jon G Su tinenDepartment of Environmental & Natural
Resource EconomicsUniversity of Rhode Island
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University of Rhode Island
• How society prepares for & responds to thechallenges of climate change will depend on– The system that governs humans’ interactions
with marine ecosystems• This governance system has not performed
well to date
– Currently being restructured• E.g., Ocean Action Plans in US & Canada
Perspective
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Status & Trends of Marine Ecosystems
• Global– ‘Coastal & marine environmental degradation
not only continues but has intensified.’
• Marine pollution• Overexploitation of living marine resources• Coastal habitat loss
– Major threats ‘still exist, despite national and international actions to address these
problems .’
Source: UNEP. 2002. Global Environment Outlook 3
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University of Rhode Island
The Issues
• Why do we find ourselves with degradedecosystems?
• How do we mitigate the degradation &improve the status of marine ecosystems?
• What are the governance challenges uniqueto climate change?
• What is needed to adapt to climate changesin marine ecosystems?
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University of Rhode Island
EconomicDrivers
Legal/PoliticalDrivers
SocialDrivers
Human Uses of Marine Ecosystems
Markets
Government
Civil Society
Governance Mechanisms
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Markets
• Principal drivers of – Excessive extraction of resources– Disposal of pollutants
– Habitat alteration• Market prices ‘Do not tell the ecological
truth’– Prices do not reflect the full cost of products
made from ecosystem resources
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University of Rhode Island
Market driven impacts
• Oil and gasproduction– Spills
– Discharges• Drilling byproducts
• Shipping &
transportation– Spills– Waste discharges
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Market driven impacts
• Coastal development– Population concentration in
coastal areas• 25% in Canada
• 55% in US
– Waste water discharge
– Alterations of coastal land
• Agriculture– Nutrient runoff
• Nitrogen & phosphorus
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Ancillary Cause:Government
• Jurisdictions
– Incongruent with ecosystem boundaries in some cases• Policies & regulations
– Developed separately to date• Not integrated
• Fragmented, disjointed, ineffective, counter-productive• Political dynamics
– Lack of ‘political will’– Political interference, such as ‘End runs’
• NW Atlantic local, regional, national, international organizations– Two countries, many states, provinces, tribal, & local authorities– Regional fishery management councils & commissions– NAFO, NASCO, Gulf of Maine Council on the Marine Environment
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Institutions and Arrangements of
Civil Society
• Social norms & networks (social capital)– Influence public policy & societal behavior patterns– Incompatible social norms & conflicts among interest groups
impede ecosystem protection efforts• Civil Organizations (NGOs)
– Manifestations of social capital
– NW Atlantic NGOs include• Atlantic Coastal Action Program (ACAP)– 14 watershed/estuary-based local organizations throughout
Atlantic Canada
• WWF-Canada, Conservation Law Foundation, The OceanConservancy
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Dealing with Governance Challenges
• Correcting & mitigating market failures– Design or reform markets to ‘tell the ecological truth’• Calculate ecological costs
– Economists & natural resource scientists
• Calculate the costs of pollution, habitat destruction,overexploitation, etc• Incorporate ecological costs into market prices
– Shift taxes & subsidies to work in ecological benign ways• Reduce income & property taxes in exchange for
• Adding taxes on environmentally damaging activities• User charges & other forms of sustainable financing
– Cap-and-trade programs
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Dealing with Governance Challenges
• Correcting & mitigating government weaknesses– Harmonize policies & regulations– Combat shortsighted effects
• Harmonize the interests of political leaders, agency managers, &resource users with the goal of sustainable development
– Avoid decoupled costs & benefits• Sustainable financing
– E.g., apply the user (beneficiary) pays principle
– Neutralize ‘special interests’
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University of Rhode Island
Dealing with Governance Challenges
• Institutions & arrangements of civil society– Build & strengthen social capital for sustainable
development
• Active involvement of NGOs• Partnerships between government and civicorganizations
• Devolve some rights & responsibilities to NGOs– E.g., monitoring, habitat rehabilitation projects
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EconomicDrivers
Legal/PoliticalDrivers
SocialDrivers
Human Uses of Marine Ecosystems
Markets
Government
Civil Society
Governance Mechanisms
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