teeb training session 2: biodiversity loss ©teeb

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T he E conom icsof E cosystem s& B iodiversity T he E conom icsof E cosystem s& B iodiversity TEEB Training Session 2: Biodiversity Loss ©TEEB

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The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

Session 2: Biodiversity Loss

©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

“What is nature worth?” Video

© Institute on Environment, Minnesota: Big Question: What Is Nature Worth?" YouTube ©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

Biodiversity loss: The decline of genetic diversity and distribution and abundance of species diversity, the loss of ecosystem structures, and/or the impairment of ecological functions

Ecosystem degradation: A persistent reduction in the capacity to provide ecosystem services.

Natural capital: An extension of the economic notion of capital (manufactured means of production) to environmental 'goods and services'.

Let’s define….

©UNEP/GRID-Arendal ©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

2000

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

© Netherlands Environmental Assessment Agency ©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

2050

TEEB Training

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

© Netherlands Environmental Assessment Agency ©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

2000 2050 2000 2050

Level of Biodiversity in the World from 2000 and 2050:OECD/Globio

©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

Impact of Biodiversity Loss Deforestation in the Amazon Deforestation in the Amazon

Houses collapsing due to coastal erosion in Alaska Houses collapsing due to coastal erosion in Alaska

Pollution in the mangroves of Bali Pollution in the mangroves of Bali

Litter at the docks in Seychelles Litter at the docks in Seychelles

©UNEP/GRID-Arendal ©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

Population size (reaching ~9 billion people)

Lifestyle changes (increasing urbanisation and per capita income growing 2-4 times)

Governance and policy responses (coordinating responses to global challenges)

Land conversion and habitat loss (converting 10-20% of additional grassland and forestland)

Overexploitation incl. overfishing (increasing pressure)

The Key drivers

©UNEP/GRID-Arendal ©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

Key drivers cont… Invasive alien species (continuing

spread)

Reactive nitrogen flow (increasing by another 66% – already doubled during the past 50 years)

Climate change (continuing global warming – expected to become the predominant global cause of ecosystem degradation and ecosystem service loss)

Pollution (mainly from excessive pesticide use in agriculture and aquaculture; urban and industrial effluents; mining waste; and excessive fertilizer use etc)

©UNEP/GRID-Arendal ©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

Source: FAO 2005a: 7

Source: Nellemann et al 2008: 22

Fisheries exploitation

Forestry – deforestation, afforestation

Biodiversity (loss)

Coral reefs at risk

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

The Impact on ecosystems

©2005 Millennium Ecosystems Assessment ©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

MA’s major findings regarding ecosystems

The structure and functioning of the world’s ecosystems has changed rapidly the past 50 years

20% of the world’s coral reefs have been lost and more than 20% are degraded

35% of mangrove area has been lost in the last several decades

Rate of species extinction is estimated to be 100 to 1,000 times more rapid than the “natural” extinction rate

In the past two decades, 35% of mangroves have disappeared. ©UNEP/GRID-Arendal

©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

• FAO: Global Forest Area has shrunk by approximately 40% since 1700, Forests have completely disappeared in 25 countries

• Ramsar: Since 1900, the world has lost about 50% of its wetlands

• Global coral reef monitoring network: Some 20% of the world’s coral reefs- have been effectively destroyed by fishing, pollution, disease and coral bleaching approximately 24% of the remaining reefs in the world are imminent risk of collapse through human pressures

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Additional findings from other resources…

©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

What is happening to Biodiversity?

©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

©2005 Millennium Ecosystems Assessment

Why does Biodiversity loss matter?

©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

“Has The Earth passed its tipping point?” Video

© Institute on Environment, Minnesota, 2010

©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

GDP & Natural Capital Loss How they (don’t) Fit

Year 2000

Year 2050

Services that would have been there, had biodiversity been

halted Ecosystem service level

Population 9100 million

GDP (OECD Scenarios) 2.8%/year

GDP, with feedback on economic losses from

biodiversity losses integrated - illustrative

Relative to 2000

Population: 6092 million

GDP: 41.4$ trillion (PPP) (10^12)

GDP/capita: 680$ (PPP)

GDP adjusted for well-being impact of biodiversity loss - illustrative

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

©IEEP, 2009 ©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

Key Reasons to End the Economic Invisibility of

Nature

Costs and risks of business as usual (BAU) are too large to ignore

BAU can also exacerbate poverty

Economic solutions exist across policy & business which begin by valuing nature

To realize the productive and employment potential of Natural Capital stewardship

©UNEP/GRID-Arendal ©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

Responding to natures Invisibilities; A Recap so far

The value of biodiversity and ecosystem services is not being fully reflected in the markets, price signals and policies

Decision making (at company, policy & citizen level) often fails to take into account the local to global benefits of biodiversity and ecosystem services

Assessing ecosystem service benefits is critical

There is a need to improve the economic signals to help take the values of nature into account

There is a growing recognition of the need to improve and invest political capital in natural capital accounts and integrated environmental and economic accounts

©TEEB

The Economics of Ecosystems & BiodiversityThe Economics of Ecosystems & Biodiversity

TEEB Training

Group Exercise 3

• Identify: In pairs of two, 1) Identify the drivers of biodiversity loss? 2) What types of biodiversity loss are currently happening in your country.

• Brainstorm: what possible solutions could there be for these issues in your country?

©Master isolated images/FreeDigitalPhotos.net

©TEEB