OECD-UNDP Conference on Biodiversity Finance - Session 1 Edward Perry, OECD
•
0 likes•214 views
This document summarizes the global biodiversity finance landscape. It outlines the key sources, intermediaries, and implementers of biodiversity finance flows. It estimates total annual biodiversity finance is $78-91 billion from public, private, and international sources. However, governments spend around $500 billion annually on activities harmful to biodiversity. It recommends improving tracking and assessment of biodiversity finance flows to help close the biodiversity funding gap.
Recommended
Recommended
More Related Content
What's hot
What's hot (20)
Similar to OECD-UNDP Conference on Biodiversity Finance - Session 1 Edward Perry, OECD
Similar to OECD-UNDP Conference on Biodiversity Finance - Session 1 Edward Perry, OECD (20)
More from OECD Environment
More from OECD Environment (20)
Recently uploaded
Recently uploaded (20)
OECD-UNDP Conference on Biodiversity Finance - Session 1 Edward Perry, OECD
- 1. THE GLOBAL BIODIVERSITY FINANCE LANDSCAPE A SNAPSHOT Edward Perry Biodiversity, Land Use and Ecosystems (BLUE) programme Climate, Biodiversity and Water Division Environment Directorate, OECD
- 2. Sources Intermediaries Implementers Public • Government budgets (revenue from taxes, fees and charges) Private • Household revenues and savings • Corporate revenues and savings Public • Ministries • Public agencies and funds • Development finance institutions (national, bilateral, multilateral) • Global Environment Facility (GEF) and multilateral funds Private • Institutional investors • Asset managers • Commercial banks • Philanthropic foundations Public • Local and central government • Protected area agencies • Public utilities Private • Conservation NGOs • Private companies • Households and communities Sources Implementers Intermediaries Source: OECD (2020), A Comprehensive Overview of Global Biodiversity Finance oe.cd/biodiv-fin-report Finance instruments and mechanisms • Grants, subsidies and transfers • Concessional debt • Commercial debt • Equity and own funds • Payments for ecosystem services • Biodiversity offsets • Water quality trading and offsets • Forest and land use carbon offsets
- 3. OECD estimates biodiversity finance at USD 78-91 bn/yr PUBLIC DOMESTIC PRIVATEPUBLIC INTERNATIONAL Source: OECD (2020), A Comprehensive Overview of Global Biodiversity Finance oe.cd/biodiv-fin-report 67.8 USD bn/yr 3.9-9.3 USD bn/yr 6.6-13.6 USD bn/yr 81 governments (2015-2017 data) Source: CBD, BIOFIN, COFOG and other Bi/multi-lateral ODA and non-concessional flows (2015-2017 data) Source: OECD CRS Sustainable commodities, philanthropy, PES, others (2015-2017 data) Source: multiple sources
- 4. Governments spend much more on harmful activities 78-91 USD billion ~500 USD billion ANNUAL BIODIVERSITY FINANCE FROM ALL SOURCES ANNUAL GOVERNMENT SUPPORT POTENTIALLY HARMFUL TO BIODIVERSITY vs Source: OECD (2020), A Comprehensive Overview of Global Biodiversity Finance oe.cd/biodiv-fin-report OECD (2019), Biodiversity: Finance and the Economic and Business Case for Action oe.cd/bio-fin-econ-case4action
- 5. Improve assessment, tracking and reporting of biodiversity finance flows Source: OECD (2020), A Comprehensive Overview of Global Biodiversity Finance oe.cd/biodiversity-finance • Encourage Parties to report data to CBD financial reporting framework by category (rather than total domestic finance) and provide information on underlying methodology • Develop and agree on an internationally harmonised approach for assessing and tracking public biodiversity finance, building on existing frameworks and classification systems • Establish a common framework to assess and track private finance for biodiversity, drawing lessons from OECD’s Research Collaborative on Tracking Finance for Climate Action • Increase national-level efforts to identify, assess and track harmful public expenditure • Develop guidance and adopt measures to evaluate the effectiveness of biodiversity finance flows, and related finance instruments and mechanisms
- 6. Tracking economic instruments and the finance they generate (Aichi Target 3) Source: oe.cd/biodiversity-finance 0 10 20 30 40 50 60 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Numberofcountries Number of countries with biodiversity-relevant taxes
- 7. 197 New Finance Solutions identified to reduce finance needs Outlines the architecture of the process - anchored in strengthened national partnerships between Finance and Environment Ministries 2018 BIOFIN Workbook30 Inventories of existing financing mechanisms 30 National measurements of Biodiversity Expenditures 30 National Financial Needs Assessments 30 Biodiversity Finance Plans First generation of national Biodiversity Finance Plans developed
- 8. The Catalogue of Biodiversity Finance Solutions 1. Biodiversity offsets 2. Bioprospecting 3. Biosafety fee 4. Carbon markets 5. Conservation easement (external-analysis) 6. Conservation or wildlife themed items 7. Corporate and corporate foundations' donations 8. Corporate social responsibility tax 9. Corporate sustainability 10. Crowd funding 11. Debt-for-Nature Swaps 12. Disaster risk insurance 13. Earmarking & retention of biodiversity revenues 14. Ecological fiscal transfers 15. Effective procurement 16. Enterprise challenge and innovation funds 17. Environmental risk insurance 18. Financial and operational mergers 19. Green banks 20. Green bonds 21. Green lending 22. Green procurement 23. Cost effectiveness measures 24. Human resources management 25. Impact investment 26. Enhance public budget execution 27. Incentives for sustainable business 28. Enhanced Land or Marine Stewardship 29. Islamic finance 30. Lobbying for public budget allocations 31. Lotteries 32. Lower cost of capital for conservation investments 33. Mobile banking 34. Mobilization of private donations 35. Increasing Official Development Assistance (ODA) 36. Promoting Natural capital accounting 37. Outsourcing strategies 38. Payment for Ecosystem Services 39. Compensation for planned environmental damage 40. Penalties and other compensation for unplanned environmental damage 41. Promotion of sustainable tourism 42. Non-State Protected Areas 43. Financial guarantees 44. Remittances 45. Result based budgeting 46. Social and development impact bonds 47. Sovereign Wealth Funds 48. Change subsidies harmful to biodiversity 49. Sustainability standards and certification (voluntary) 50. Biodiversity friendly subsidies 51. Earmarking of taxes on financial transactions 52. Taxes, fees and quotas in the fishery sector 53. Taxes on natural resources (non- renewables) 54. Taxes on renewable natural capital 55. Taxes, Fees and Royalties in the Forestry Sector 56. Tariffs, fees and taxes in the water sector 57. Taxes on pesticides and fertilizers 58. Taxes and fees in the tourism sector 59. Taxes and fees in the wildlife sector 60. Technology upgrade and maintenance 61. Trade finance 62. Trust funds 63. Venture capital 64. Water markets 65. Fees, penalties, and management expenditures for Environmental (and Social) Impact Assessment 66. Finance for Permanence 67. Pasture (and grazing) Fees www.biodiversityfinance.net/finance-solutions
- 9. oe.cd/biodiv-fin-report oe.cd/bio-fin-econ-case4actionoe.cd/biodiversity-finance www.biodiversityfinance.net www.biodiversityfinance.net PUBLICATIONS FORTHCOMING • Financing Nature – Mechanisms and policies to close the global biodiversity funding gap. Developed by The Nature Conservancy (TNC), the Paulson Institute and Cornell University. • The Little Book of Investing in Nature – a simple guide to financing the new deal for nature. Developed by the Global Canopy Programme in partnership with Cornell University, AFD, UNDP- BIOFIN, Mirova and WWF.