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SOILS FOR DEVELOPMENT
TRUE-COST ACCOUNTING IN FOOD
AND FARMING
London, 04. Dec. 2013
Alexander Müller
Senior Fellow
Institute for Advanced Sustainability Studies (IASS)
Potsdam/Germany
Economics of Land Degradation I (source: ELD)
Economics of Land Degradation II (source: ELD)
Land degradation. Some simple
figures:
• 24 billion tons lost by erosion (wind and water)
• 3.4 tons per person a year
• In some areas of Somalia up to 100 tons/ha and year
• Erosion costs every person 70 per year globally
• 490 Bill USD year
• THESE COSTS DO NOT APPEAR IN THE CURRENT ACCOUNTING SYSTEMS
Agricultural systems at risk

(source FAO, SOLAW report)
The ANTHROPOCENE
• Humans alterations on nature and the effects of these
actions have reached a new quantity and quality
• We are living in the ANTHROPOCENE (Paul Crutzen)
• “Humanity is acting now as a quasi-geological force on a
planetary scale that will qualitatively and irreversibly alter
the natural Earth System mode of operation ― should
business-as-usual be pursued”. (Nobel Laureate
Symposium “Sustainability – A Nobel Cause, 2007)
• Fertilizers and Phosphorus – Can we repair or hide land
degradation?
Trends in
Fertilizer
use
Tilman et al., 2002

FAO SOLAW 2011
Cordell et al 2009
Phosphorus: a critical element in food security
• Is an essential element for any living organism and it cannot
be substituted
• A very low efficiency in phosphorus use along the chain:
The input of P from mining amounts to around 24 Mt,
people on the planet only eat around 3 Mt P
• And around 10 -12 Mt from mined P are transfered to the
sea!
• „..planetary boundaries for eutrophication of freshwaters
by P have alreaqdy been surpassed.“(de Haes et al. 1997)
• Will there be enough P in future and what are the costs???
Outlook2050/80: provisional nutritional outcomes (global
averages/aggregates) (source: FAO, outlook)
undernourished

% of population with
kcal/person/day

%

million

>2700

>3000

%

million

2005/07

13

844

57

28

9

570

2050

4

330

91

52

15

1400

2080

2

150

98

66

21

2000

obese
The „Energiewende“ in Germany
as an example of a sueccessfull transformation

11
The „Energiewende“ started back in 1986!

„To invent a future without nuclear energy“ has started after Chernobyl
 A process of 35 years!
„Bipartisan consensus“ in the German Parliament in 2011
Already back in 2001: Red-Green coalition decided
to phase out nuclear


However, a „Partisan decision“

12
Feed-in tariffs photovoltaics in Germany

13
Negative electricity prices (Energy Exchange) – Example June 2013

14
Conditions for a successful „Energiewende“
When weighing up the goal conflicts, careful consideration must
be given to the following criteria:
climate protection
security of supply
economic and financial viability, also taking into account social
aspects
competitiveness,
research and innovation, and
avoiding one-sided import dependencies for Germany.
(Ethics Commission on a Safe Energy Supply)
15

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True Costs of Food and Farming

  • 1. SOILS FOR DEVELOPMENT TRUE-COST ACCOUNTING IN FOOD AND FARMING London, 04. Dec. 2013 Alexander Müller Senior Fellow Institute for Advanced Sustainability Studies (IASS) Potsdam/Germany
  • 2. Economics of Land Degradation I (source: ELD)
  • 3. Economics of Land Degradation II (source: ELD)
  • 4. Land degradation. Some simple figures: • 24 billion tons lost by erosion (wind and water) • 3.4 tons per person a year • In some areas of Somalia up to 100 tons/ha and year • Erosion costs every person 70 per year globally • 490 Bill USD year • THESE COSTS DO NOT APPEAR IN THE CURRENT ACCOUNTING SYSTEMS
  • 5. Agricultural systems at risk (source FAO, SOLAW report)
  • 6. The ANTHROPOCENE • Humans alterations on nature and the effects of these actions have reached a new quantity and quality • We are living in the ANTHROPOCENE (Paul Crutzen) • “Humanity is acting now as a quasi-geological force on a planetary scale that will qualitatively and irreversibly alter the natural Earth System mode of operation ― should business-as-usual be pursued”. (Nobel Laureate Symposium “Sustainability – A Nobel Cause, 2007) • Fertilizers and Phosphorus – Can we repair or hide land degradation?
  • 7. Trends in Fertilizer use Tilman et al., 2002 FAO SOLAW 2011
  • 9. Phosphorus: a critical element in food security • Is an essential element for any living organism and it cannot be substituted • A very low efficiency in phosphorus use along the chain: The input of P from mining amounts to around 24 Mt, people on the planet only eat around 3 Mt P • And around 10 -12 Mt from mined P are transfered to the sea! • „..planetary boundaries for eutrophication of freshwaters by P have alreaqdy been surpassed.“(de Haes et al. 1997) • Will there be enough P in future and what are the costs???
  • 10. Outlook2050/80: provisional nutritional outcomes (global averages/aggregates) (source: FAO, outlook) undernourished % of population with kcal/person/day % million >2700 >3000 % million 2005/07 13 844 57 28 9 570 2050 4 330 91 52 15 1400 2080 2 150 98 66 21 2000 obese
  • 11. The „Energiewende“ in Germany as an example of a sueccessfull transformation 11
  • 12. The „Energiewende“ started back in 1986! „To invent a future without nuclear energy“ has started after Chernobyl  A process of 35 years! „Bipartisan consensus“ in the German Parliament in 2011 Already back in 2001: Red-Green coalition decided to phase out nuclear  However, a „Partisan decision“ 12
  • 14. Negative electricity prices (Energy Exchange) – Example June 2013 14
  • 15. Conditions for a successful „Energiewende“ When weighing up the goal conflicts, careful consideration must be given to the following criteria: climate protection security of supply economic and financial viability, also taking into account social aspects competitiveness, research and innovation, and avoiding one-sided import dependencies for Germany. (Ethics Commission on a Safe Energy Supply) 15