Biodiversity in the EU Budget and Tracking - Laure Ledoux As part of the OECD side event at CBD COP 14, Sharm El Sheikh, November 2018

1. Biodiversity in the EU budget
and tracking
Laure Ledoux
Deputy Head of Unit
Biodiversity Unit,
DG Environment,
European Commission

2. Financing biodiversity in the EU
budget
 Mainstreaming climate and biodiversity in the EU
budget: integral part of all main instruments.
• Focus on Natura 2000 network and green infrastructure
 LIFE instrument: limited in size but key role for
biodiversity
• Traditional projects for nature and biodiversity
• Integrated Projects for implementing EU legislation –
integrating different sources of funding
• Financial instruments: Natural Capital Financing Facility to
leverage funding from the private sector
 Biodiversity tracking

3. Tracking
 Climate and biodiversity mainstreaming in the 2014-
2020 budget
• 20% climate target
• International commitments under CBD
 Tracking methodology, based on rio markers
• Implementing act on climate tracking
• Internal process for biodiversity tracking
 Annual budget statements and communication on EU
draft budget

4. Draft Budget 2018
Biodiversity financing

5. Draft Budget 2018
Biodiversity financing (2)

6. Natural Capital Financing Facility (NCFF)
Objectives:
address market failures and demonstrate to private investors the attractiveness of
revenue-generating or cost-saving natural capital projects;
leverage funding from private investors for investments in ecosystems and
ecosystem-based solutions to climate change adaptation.
€ 100-125 million Investment facility for 9-12 operations by 2021
Executed by EIB; EU contribution: € 50 million as guarantee, €10 million for
Support Facility to help develop projects
Project categories: Payments for ecosystem services, Green infrastructure projects,
Pro-biodiversity and pro-adaptation businesses, Projects involving biodiversity offsets
EU Business and Biodiversity Platform
Including Community of Practice on Financing and Biodiversity

7. Thank you for your attention!
For more details on Biodiversity Strategy and related actions:
http://ec.europa.eu/environment/nature/index_en.htm
Ecosystem Assessment Platfom:
http://biodiversity.europa.eu/ecosystem-assessments

8. EU biodiversity mid-term review (1)
 Policy frameworks in place and progress under each
target
 A wealth of positive experience to build on
 Insufficient scale and timelag for measurable
improvement in the state of biodiversity
Targets can only be reached if implementation and
enforcement efforts become considerably bolder and more
ambitious, and integration effective.
At the current rate of implementation, biodiversity loss will
continue in the EU and globally, with significant implications
for the capacity of ecosystems to meet human needs in the
future.

9. EU biodiversity mid-term review (2)
 Strong partnerships and full engagement of key
actors:
1. Complete and manage effectively Natura 2000
2. Implement Invasive Alien Species Regulation
3. Recognize natural capital throughout the EU
 Effective integration with a wide range of policies:
• Coherent priorities and adequate funding
• Agriculture and forestry
• Marine and fisheries
• Regional development
Achieving biodiversity objectives can contribute to the
growth and jobs agenda, food and water security and
quality of life, as well as to the SDG implementation.

10. MAES overall conceptual framework

11. EurostatEurostat
What do we need for ecosystem accounting
in the EU?
• We need biophysical accounts
• for direct use and as a basis for valuation studies,
upscaling
• We need an EU data layer of accounts
• reference frame for countries
• data foundation for responding to EU policies
• Key Policy issue:
• measure changes in our natural capital stock and
what impacts it has on our economy and society.
• assess the extent and condition of ecosystems that
is needed so that they can carry on delivering
essential services to our economy and society

12. Potential policy uses of NCA
Make better decisions by accounting for range of ecosystem benefits and
values in decision-making; Determine synergies/trade-offs
At macro-level:
•Develop macro-indicators, both physical and monetary
•Raise awareness; Identify limits and thresholds (sustainability dimension)
Sectoral and environmental policies:
•Show how sectors benefit from and impact on natural capital
•Synergies and trade-off across policies
•Common reference frame for assessing progress towards targets (eg
15% restoration target)
•Streamlined reporting across policies
Other dimensions: international (WAVES, UNSD) and corporate (EU
B@B; Natural Capital Protocol)