Rahr Malting Company, Watershed Based Permitting

This short update states that Rahr Malting Company successfully created phosphorous reductions through nonpoint source pollution reductions. The company exceeded its permit of 150 pounds of CBOD reductions per day by completing four trades resulting in 204 pounds of reductions per day.

A Role for Effective, Efficient, and Equitable Conservation Concessions in Conserving Natural Resources in Indonesia.

In this paper, CCIF explains that conservation concessions enable host countries to capitalize on their ample supply of biodiversity-rich habitats and stimulate economic development by mimicking the payment structure of other business transactions and offer immediate, transparent protection for resources in question. The conservation community may have been quick to dismiss concessions for protected areas as a tool for developing countries. Indeed, with modifications based on local community norms, CCIF believes that concessions may be the perfect tool for conservation. By studying our competition in the commercial extraction industry, we find that we do in fact have an effective set of tools for creating protected areas. CCIF is currently designing a fund to establish and fund conservation concessions in Southeast Asia.

Carbon annuities and their potential to preserve tropical forests and slow global warming: an application for small-scale farmers

Carbon annuities have been suggested as a means for rewarding landowners for preserving forests and sequestering carbon. Although this is an intuitively appealing approach, the benefits of the sequestration activities have not been compared with the opportunity cost of preserving the forest. This paper represents an initial attempt at analysing how large carbon annuities must be to induce a landowner in the Amazonian rainforest to accept the annuity and leave the forest intact. The benefits of carbon sequestration are computed based on estimates in the literature on the carbon contained in a hectare of rainforest and the damages associated with a ton of carbon emissions. This is compared with information on household income from Rondonia, Brazil. Our results show that, for the majority of our conservative assumptions about the damages of carbon emissions, the magnitude of an annuity is greater than the income from agriculture. For less conservative assumptions about the damages from global warming, a fraction of the annuity would be a sufficient incentive for small-scale farmers to switch to sustainable techniques that leave the forest intact.

Capturing Carbon and Conserving Biodiversity

In this book, ecologists, conservationists, lawyers, and atmospheric scientists detail the benefits of alternative market-based systems for reducing and sequestering the carbon emissions currently threatening the planet with global warming and the destruction of animal and human habitat. Swingland (a conservation biologist with The Durrell Institute of Conservation and Ecology) edits 20 chapters including electricity generation options for reduction in carbon emissions, species survival and carbon retention in commercially exploited tropical rainforest, and a legal analysis of carbon sinks and emissions trading under the Kyoto Protocol. The book is most likely to appeal to the climate policy audience.

A Knowledge and Assessment Guide to Support the Development of Payment Arrangements for Watershed Ecosystem Services (PWES)

The authors contend that payments for watershed ecosystem services are frequently based of generalizations that may not be true in the watersheds where the program operates. Through tackling common myths about watershed management and looking at the need for monitoring and information collection, good science and institutional arrangements are encouraged to assure the intended results are produced from payment programs.

Red-cockaded Woodpecker Conservation Banking

Can a large forest products company manage its lands for timber production and also increase habitat occupied by an endangered species? A plan developed by International Paper, Environmental Defense, U.S. Fish and Wildlife Service, and the Georgia Department of Natural Resources is proving that it's possible.

Markets for ecosystem services: Applying the concepts

This paper explores definition and measurement of ecosystem services, development of institutions and mechanisms to facilitate trade and integration of these instruments into the broader natural resource management agenda and toolbox, all with respect to pilot markets for ecosystem services in three case study catchments. Emphasis is placed on pilot selection rationale and identification of key facilitative mechanisms and institutions.

The Link Between Biodiversity and Sustainable Development: Lessons from INBio's Bioprospecting Program in Costa Rica.

This paper looks at the role of INBio's facilitation of bioprospecting to Costa Rica's quest to protect its biological wealth while simultaneously promoting the social and economic development. Gí¡mez concludes that INBio has assisted in Costa Rica's sustainable development by providing the country with vast and complex experience on access, legislation and uses of genetic and biochemical resources that facilitates the sustainable use of the country's biodiversity.

The "Sale" of Biodiversity to Nature Tourists

This OECD study explains that, when public or private natural areas charge entrance or other access fees to tourists, they in effect sell biodiversity to visitors. This market is perhaps the easiest to create in the context of natural area services, and resulting fee revenues can make substantial contributions to conservation. Indeed, tourism's financial and non-financial benefits often are important justifications for the establishment and management of natural areas. Nonetheless, many areas do not charge fees. Arguments for and against fees are described, and price responsiveness is discussed. Lastly, the conservation contribution of private reserves is reviewed.

Economic Valuation of Wetlands on the River Basin Scale

The Ramsar discussion paper Economic Valuation of Wetlands on the River Basin Scale examines wetland ecosystem goods and services and relevant economic valuation methods, their applications, and constraints and limitations to their use. The paper provides an introduction to the concept of wetland ecosystem services and a menu of valuation methods with general and specific caveats related to their use.

Fish and Wildlife Service Releases Conservation Banking Policy

Environmental Defense (ED) lauds the creation of formal guidance on conservation banking. ED explains that "federal guidelines were clearly needed and should ensure greater consistency in the Fish and Wildlife Service's approach to banking, but that the failure of the Service to invite public comment on the guidance is ill-advised and the new conservation banking policy, which is ambiguous or unclear in a number of places, would have benefited from outside scrutiny."

CDM Market Overview

Point Carbon presentation from the 2003 SE Asia Forum on GHG Mitigation, Market Mechanisms and Sustainable Development. Nice overview of CDM demand by country (in terms of preferred kinds of projects and payment terms), offset supply by country, and potential price drivers.

When Money Flows Upstream: Payment for Watershed Services in Guatemala

This presentation given at the 2003 Katoomba Group meeting in Switzerland outlines a project by WWF in Central America to develop a Water Fund that would engage willing and financially able water users to pay for water related ecosystem services from the Sierra de las Minas Biosphere Reserve in Guatemala. The presentation outlines the steps to create a financial linkage between ecosystem services and the benefits to downstream users, as well as the watershed management opportunities to sustain and enhance these ecosystem services. The presentation concludes with an important set of considerations for anyone attempting to establish a market system for ecosystem services.

Market-Based Instruments: The Forum Approach

"The Water Initiative is a World Economic Forum program to ""an initiative to facilitate
multistakeholder cooperation in the management of water and watersheds 'from the summit to the sea.'"" The program involves public-private partnerships that identify opportunities for payments for environmental services and the exchange of best practices. The presentation also give an overview of the Global Greenhouse Gas Register that allows companies to understand their green house gas emissions, their impacts and opportunities to reduce and offset them."

Leadership, accountability and partnership

This report discusses the main themes relating to corporate social responsibility (CSR), as identified by the Kennedy School of Government, University of Harvard. The aim of the report was to study and enhance the effectiveness of CSR through wide and diverse participant survey responses. Recommendations for future avenues of research are also identified.

From our forest to your medicine cabinet

International pharmaceutical companies have been collaborating with Costa Rica's National Institute of Biodiversity (INBio), in a relationship where in return for access to the country's rich trove of biological diversity as a potential source of raw materials for drugs, the firms provided INBio with extensive training and sophisticated equipment. INBio uses its expertise to help small firms in Costa Rica develop products based on sustainable use of biodiversity. With the help of a $1.6 million grant from the IDB's Multilateral Investment Fund, INBio launched the project Support to the Use of Biodiversity by Small Enterprises.

Borrowed from the Future: Challenges and Guidelines for Community-Based Natural Resource Management

Based on 30 years of experience, Dr. Clay identifies in this report some of the many obstacles that thwart community-based enterprises success; and he provides a set of ten guidelines for shaping community-based natural resource management in the future. The document addresses some of the critical issues in community-based natural resource management: Does community-based natural resource management provide a feasible solution for the combined problems of environmentaldegradation and increasing human poverty and inequality? Does the emergence of Internet-based communications, "green markets," and the recognition of the vast array of environmental services provided by nature – but seldom valued in the market prices of products – make obsolete the whole notion of grassroots development? Or do the principal characteristics of contemporary economic globalization make obsolete the very hope for locally based, environmentally sensitive small-scale enterprises in a world of global "branding," distributed global production, and increasing concentration in so many industries?

Can a Financial Instrument Improve the Management of Natural Ecosystems?

This report highlights the opportunities presented by the 2000 Amendment to the 1995 Pensions Act in the UK to improve companies' management of natural capital, including ecosystems, the services they deliver and the millions of animal and plant species that constitute biological diversity.

Creating Markets for Ecosystem Services: Notes From the Field

In recent years, a number of initiatives around the world have sought to create markets for ecosystem services, some dependent on government intervention and some entirely private ventures. This paper and presentation will review the status of these projects, discuss their challenges and successes, and reflect on Jim Salzman's recent experience with establishing a market for water quality in Australia.

Where the Trees are a Desert – Stories from the Ground

This emotional report by Carbon Trade Watch gives voice to Brazilians' struggles against the ever-expanding eucalyptus monoculture. The collection of articles cover the social and environmental problems associated with including mono-culture plantations in carbon trading programs, using Brazil as a case study. The authors believe that the eucalyptus plantations, which have been used for decades for paper pulp or charcoal production, are devastating the environment and lives of the local population of Brazil. They go on to argue that since the advent of "carbon trading" under the Kyoto Protocol, such damaging monocultural plantations are being encouraged.

Problem Is Shortage of Capacity, Not Revenue Sources

Andreas Merkl, executive director of US-based Conservation and Community Investment Forum (CCIF), points to a considerable pool of potential capital from conventional sources. Merkl explains that this capital is unlikely to be committed unless the capacity to deliver protected area services at a meaningful scale with unassailable accountability is dramatically improved over current levels.

US Power Industry and Incentive Based Mechanisms – Focus on Water Issues

In this presentation Adam Davis, working for the US based Electric Power Research Institute (EPRI), reviews water related issues facing the electric power industry and gives examples of payment opportunities for landowners. He looks at incentive systems, water rights transfer markets and pollutant trading markets. He gives an interesting example of habitat creation as an alternative to offset environmental impacts of power plants.

Beyond Carbon Emerging Nexus Emerging Nexus Solar

Through examples and conceptual diagrams WorldWater Corporation presents the opportunity to combined solar energy and water pumping to provide water where it is currently unavailable, give added security to water treatment and supply plants for industrialized utilities and reduce pumping costs and emissions from diesel generators used by farmers. This powerful concept is demonstrated through projects in the Philippines and California. This basic concept shows the applicability for diverse settings, including a payment driven mechanism for the rural poor.

Interlinkages between biological diversity and climate change

This report provides background and advice on the integration of biodiversity considerations into the implementation of the United Nations Framework Convention on Climate Change and the Kyoto Protocol. The report provides scientific basis for the development of recommendations for each convention. The key points of the report include: 1) within the context of the Kyoto Protocol, additionality, leakage, permanence, and uncertainties, are important concepts for carbon storage in relation with the implementation of mitigation activities, 2) agroforestry systems have substantial potential to sequester carbon and can reduce soil erosion, moderate climate extremes on crops, improve water quality, and provide goods and services to local people, 3) national, regional and possibly international systems of criteria and indicators are useful in monitoring and evaluating the impact of climate change and mitigation and adaptation activities.

Developing new income streams for farmers – NSW Environmental Services Scheme: Progress Report on Outcomes and Experience Developed during its Implementation

This progress report describes the experiences of the NSW Environmental Services Scheme as of 2003. The primary aim of the Environmental Services Scheme is to look at some of the practical issues that will arise in the development of a market to support the environmental services produced on-farm. These include the costs associated with including environmental services within rural production, how to define and create ownership of the services produced, and the types of financial, contractual and incentive arrangements necessary. So far, the reception from implementing agencies, landholders and the rural community, has been very positive.