The Biodiversity Economy- South Africa's Strategic ... · The Biodiversity Economy- South Africa's...
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Biodiversity and Conservation
The Biodiversity Economy- South Africa's Strategic Approach to Raising the Value
Proposition of Biodiversity
• South Africa is the 3rd most biologically diverse country (following Indonesia & Brazil)
& Chair of the Like-Minded Megadiverse Countries (LMMCs)
• SA is also a water stressed country, with on-going pressures from loss and
degradation of natural habitat, in terrestrial, freshwater and marine environments,
Alteration of flow, especially in the freshwater environment (for example as a result of
damming and abstraction of water)
• One of the key mandates of DEA is the protection and enhancement of
environmental assets & natural resources
• The SA TEEB-State of Play Report is a key strategic trajectory for South Africa, as
the preliminary findings have informed the revision of the National Water Resource Strategy, the Water Pricing Strategy and the development of a National
Biodiversity Economic Development Strategy (NBEDS)
TAKING STOCK
RESPONDING TO SOUTH AFRICA’S DEVELOPMENT CHALLENGES THROUGH RELEVANT POLICY INTERVENTIONS… • HIGH LEVEL MINISTERIAL DELIVERY AGREEMENT: NEGOTIATED CHARTER
• Outcome 10: Protected and enhanced environmental assets and natural
resources
• Output 4: Biodiversity protected
• Suboutput 4.4
• Valuing ecosystem services
• 4.4.1 Environmental costs related to the provision of resource based services
• (a)Number of tools developed for the economic valuing of ecosystem services
DIRECT VALUE Things that people are willing to pay to do
• Hunting
• $
$3,975.00 $3,500.00
$1,459.00
ACCOMMODATION
GUIDES
BIRDING
RECREATION
HIDDEN VALUES
CLEAN WATER
WATER PROVISION
FLOOD ATTENUATION
Private Nature Reserves
PEST CONTROL
POLLINATION
STABILISING SOIL
A CASE STUDY ON VALUATION
• KZN nature body told to fund itself • 2012-09-28 14:19 – The Mercury
“The nature conservation agency was under pressure to operate
independently as other departments like health and education needed
more resources to deliver services.”
March 2011, the Board discussed a preliminary assessment of ecosystem
services and endorsed the development of a proactive programme to
demonstrate and support:
(1) the importance of biodiversity in providing services to people in KwaZulu-Natal, and
(2) the role and value of Ezemvelo in providing these services.
WHAT DOES THAT MEAN IN REAL TERMS? • Biodiversity offers R150 billion worth of services
• Ezemvelo is given a budget of R512 million to conserve biodiversity
• The return on this is R292.36 for every R1 invested by the province in Ezemvelo
• This value could also be taken as the amount that National Treasury would have to fund
should there be no ecosystems services provided
Concluding Remarks
• In the next decade important decisions are going to be taken in terms of large-scale
infrastructure, resource planning and economic development.
• Natural Capital must be considered as part of infrastructure development
NATIONAL DEVELOPMENT PLAN
“by 2030, South Africa’s transition to an environmentally sustainable, climate change resilient, low-carbon economy and just society will be well under way”.
“South Africa must also realise its full potential of its natural resources”
INFRASTRUCTURE DEVELOPMENT
• NDP is being implemented through the National Infrastructure Plan (PICC, 2012), which includes a series of 18 Strategic Integrated Projects (SIPs) and is co-ordinated by a Presidential Infrastructure Co-ordinating Committee.
• R850 billion (approximately $100 billion) has been earmarked for infrastructure investment in South Africa over the period 2012-2015.
The capex for Eskom’s 3 largest new build projects ranks
among the world’s largest construction projects…
•Three Gorges dam
•World’s largest
electricity project
25
23
Kusile
Ingula •$ billions of
capex
2
•Olympic Dam
• world’s largest mining
project
20
8
5 yr capex on
rail, port and
pipeline
upgrades
INVESTMENTS IN ECOLOGICAL INFRASTRUCTURE 1
– A new approach to understanding and communicating the core intention of maintaining and restoring natural ecosystems that provide valuable services emerged.
– Communicating the concept of ecological infrastructure (i.e. the source of the service) was much more tangible to potential investors across sectors than ecosystem services
– Investment-based thinking was replacing the market-based approach of fixing a price for the provision of an ecosystem service based on supply and demand
INVESTMENTS IN ECOLOGICAL INFRASTRUCTURE 2
PRINCIPLES OF IEI
IEI should build on & learn
from existing experience &
programmes
IEI should optimise its
contribution to job creation,
poverty alleviation & rural
development
IEI should take place in a
participatory & socially
sensitive manner IEI should include
monitoring & evaluation
IEI should focus on
achieving clearly defined
benefits & outcomes
IEI should focus on
systematically identified
spatially strategic areas
IEI will be strengthened by a
trans- disciplinary approach
INVESTMENTS IN ECOLOGICAL INFRASTRUCTURE 3
• 19th SIP (Strategic Integrated Project) focused on investment in ecological infrastructure for water security
• The uMngeni Ecological Infrastructure Partnership was launched in 2013. It is a multi-partner programme aimed at improving water security for Durban, one of South Africa’s largest cities, through restoring and maintaining ecological infrastructure in the catchment that supplies most of the city’s water.
INVESTMENTS IN ECOLOGICAL INFRASTRUCTURE 4
•Incorporating ecological infrastructure for water security has informed the
revision of the National Water Resource Strategy and the Water Pricing Strategy.
•The NWRS recognises that strategic water source areas form the foundational
ecological infrastructure on which a great deal of built infrastructure for water
services depends, and are thus strategic national assets that are vital for water
security.
•The Water Pricing Strategy provides for investing part of the revenue derived
from water sales in the maintenance and restoration of strategic catchments that
supply water.
NATIONAL INVESTMENT
From Concept Project Program Institution National Treasury Institutionalized a Chief Directorate dedicated to the integration of
biodiversity and economy and the nationalization of TEEB, and the transfer and est. of an
Environmental Programmes Branch, including the Working For Water Programme to the
Department of Environmental Affairs:
CD: BIODIVERSITY ECONOMY AND SUSTAINABLE USE
2 Directorates
Threatened or Protected Species and CITES
Biosprospecting and Bio-Economy
PURPOSE
To develop, promote and support a national biodiversity economy based on sustainable use of
indigenous resources
POLICY APPROACH: NBEDS
• Scope: Commercialisation & trade of RSA’s biodiversity & its
components.
• Aim: Implementation framework to achieve optimum economic
benefits—direct, indirect and induced—from the
commercialisation of biodiversity in South Africa.
• Key sectors: Indigenous natural products and wildlife sectors.
NBEDS
Commercialisation of BR
Conservation & Sustainable Use of BR
Harmonization
• Coordination, Leadership, Guidance on the commercialisation and trade of South Africa’s biological diversity and the components of such biological diversity of South Africa.
• Contribute to the transformation of the Sector
NBEDS
Commercialisation of IBR
Conservation & Sustainable Use of IBR
Harmonization
• Facility for the promotion and enhancement of the use of biodiversity compounds ~ National Compound Library
• Institutional arrangements for the management, regulation and
support to the indigenous natural and wildlife sectors including industry associations / forums
IN SUMMARY…
Biodiversity is good for Business and
Business is good for biodiversity…
• SA is a member of the Global Partnership for Business
and Biodiversity- BRICS, IBSA, LMMCs,MOUs
– Est a National Business and Biodiversity Network
“redressing the socio-economic legacy of apartheid and should go a long way towards ensuring the entry and
ascendance of the black individual landowners and rural communities into the mainstream of the country
economy especially wildlife economy.”
Vision 2024
• Building a robust biodiversity economy that contributes substantially to the financial and economic climate in SA.
• Broadening rural economic development drivers by enabling black landowners and beneficiaries to participate in the mainstream wildlife economy as shareholders and entrepreneurs.
• Optimizing the land economic value through community private public partnerships without compromising land ownership or use rights.
• Developing game ranches as new and alternative engines of rural economic development with strong emphasis on human resource development, job creation and reduction of poverty.
• Building platforms for community based land use, good governance and planning.
• Participating and contributing as the key driver in food security strategy and programmes through game meat production;
• Calls for a paradigm shift that places biodiversity as viable alternatives for a business rural development model and land reform.
“THE GAME CHANGER”
• Jobs: 60 000 new sustainable jobs created
• Expansion:2 million ha of communal land restored and developed for commercial game ranching
• Equity:R4 billion in game and R3 billion on fixed assets and infrastructure resulting in improved rural income, skills development, institutional capacity building, entrepreneurship and food security.
• Conservation and Game Improvement: 300 000 heads of wildlife under private community owned ranches.
Need investment of about R2.5 billion over the next 10 years to achieve the Vision 2024.
2024 VISION KEY DELIVERABLES
FURTHER INVESTMENT & POLICY APPROACH:
SCIENCE POLICY INTERFACE
• Scope: strengthen the science policy interface through the IPBES programme of work
• Encourage Ecosystem Assessments at multiple scales
• Enhance the value proposition of Natural Capital through sophisticated
communication
• Continue to mainstream cross sectorally which is an on going process.
• Further Research on Natural Capital Accounting, Devaluation, market dynamics
• Monitor and Evaluate: Develop a suite of impact indicators
Kiruben Naicker
Director: Science Policy Interface
Department of Environmental Affairs
Website: www.environment.gov.za