Costa Rica has taken significant steps to mainstream biodiversity conservation into its economic and social development by establishing policies that recognize ecosystem services. This includes eliminating incentives for deforestation, establishing governance structures around the environment, and creating programs like payments for ecosystem services. As a result, Costa Rica has increased its forest cover from 21% to 52% while growing its GDP per capita from $3,574 to $9,219 between 1974 and 2012. National parks now contribute over $1.4 billion annually to Costa Rica's economy through tourism, electricity generation, employment, and other channels. The document advocates for continued support of policies that integrate green economy concepts into development planning and accounting.
6. Unfortunately,
Conservation has NOT been
seen as contributing to
economic and social development.
Lack of integrated knowledge and awareness
Hard to assign monetary value to nature’s services/public good
Short-term benefits outweigh long-term value
Difficult to scale up successes
OBSTACLES
7. NATURAL CAPITAL AND DEVELOPMENT
2012
GDP /pc : $3,574
21% Forest cover
Population: 2.7 million
Energy: 70% Hydro,
30% Fossil fuel
GDP /pc : $9,219
52% Forest cover
Population: 5 million
Energy: 98% Hydro, Wind &
Geothermal, 5% fossil fuel
8. DEFORESTATION RATE IN COSTA RICA, 1960-2005
First forest incentives
Elimination of
perverse incentives
Environmental
Governance
“improved”
9. National Parks 5.5 %
Agriculture 7.7 %
National Parks Contribution to the
GDP 2012
10. NationalTourism (70.2%). [Hospitality,
food, transport]
Electricity generation (26.4%). [Estimate
based on plants nearASP.]
Direct/indirect employment (1.7%)
Income from entrance fees (0.9%)
Funding for conservation of ASP (0.6%)
Others (0.15%). [Funding for research, visits,
employment, PSA, land purchase.]
Total: $1.4
Billion USD*
*Exchange Rate: 573 colons per dollar
Economic Benefit of National Parks to the Local
Economy 2009
11. Rationale of the Carbon PES
$
$
¢ c
c
FONAFIFO
COSTA RICA
CARBON FUND
TRANSFERABLE &
NEGOTIABLE
CERTIFICATE
FUELTAX
PAYMENTS
HYDROLECTRIC
COMPANIES’
PAYMENTS
12.
13.
14. 1. Support policies that recognize and reward ecosystem services
and cover opportunity costs.
2. Support policies that ensure that private sector decisions account
for non-market impacts and benefits in operations and site
choices.
3. Support policies that identify and reduce perverse incentives.
4. Include green economy concepts/assessments at the highest
possible level of development planning and policy.
5. Improve measurement: GDP does not account for key
development issues – need to account for the green economy via
credible, existing metrics.
Support Appropriate Policy
15. ¡¡¡ MUCHAS GRACIAS !!!
“Damn! They are
spending my
grandchildren’s
inheritance !!