2. AGENDA
• Public and private goods & land use
• The natural capital approach
• The 25 year plan
• The prize ahead
3. PUBLIC AND PRIVATE GOODS
& LAND USE
• Public goods are pervasive
• These are market failures
• Tragedy of the commons
• Private and public solution
4. NATURAL CAPITAL
Natural capital is everything nature give to use for free
• Renewables on public goods up to critical thresholds
• Non renewables are private – excludable & rival
• Both renewables & non-renewables have intergenerational effects
5. NATURAL CAPITAL AGGREGATE
RULES
Weak aggregate natural capital rule:
The aggregate level of renewable natural capital should be kept at
least constant, and there should be general capital compensation for
the depletion of non-renewables.
Strong aggregate natural capital rule:
The aggregate level of renewable natural capital should be kept at
least constant and the value of the economic rents from the depletion
of non-renewable natural capital should be invested in renewable
natural capital.
6. NATURAL CAPITAL MAINTENANCE
AND ENHANCEMENTS
• Capital maintenance & assets-in-perpetuity
• The “trust” concept for future generations
• The legacy & natural capital enhancement
• A “nature fund” and public monies for public goods
7. THE 25 YEAR NATURAL
ENVIRONMENT PLAN
• The commitment in the 2011 White Paper: The Natural Choice
• The manifesto commitments
• The framework and the pioneers
• Developing local 25 year plans
• Post CAP & the use of subsidies for better land management
8. THE PRIZE MATTERS
• What the natural environment could look like in 25 years time
• Possibilities for 2020
• 5 year staging posts
Further declines in natural capital is neither inevitable nor
economically desirable
9. FOR INFORMATION
Natural Capital Network
Paper 1.
Catchment
management,
abstraction and
flooding
Dieter Helm
Feb 2015
Natural Capital Network
Paper 2.
In defence of the
green belt
Dieter Helm
April 2015
Natural Capital Network
Paper 3.
Flood defence: Time
for a radical rethink
Dieter Helm
Jan 2016
Natural Capital Network
Paper 4.
Green Bonds for
Natural Capital –
some issues
Dieter Helm
Jun 2016
WWW.DIETERHELM.CO.UK
