Bringing Forest to the Mainstream Economy - Institutional Frameworks and Economic Instruments to Reduce Deforestation: Costa Rica 1991-2001 FUNDECOR

Bringing Forest to the Mainstream Economy - institutional frameworks and economic instruments to reduce deforestation: Costa Rica 1991-2001 FUNDECOR 04/12/2003 1 Introduction FUNDECOR is a non-governmental organization founded in 1991 to protect and increase the Costa Rican forests located in the country's central plateau. The forest coverage of this territory is one of the largest in Costa Rica, and comprises many of the country's National Parks. 04/12/2003 2 NICARAGUA ACTUAL LOCATION OF THE CENTRAL VOLCANIC Río San Juan MOUNTAIN RANGE AREA CARIBBEAN Puerto Viejo (ACCVC), COSTA RICA ¤ Guanacaste SEA ¤ Puerto Pun tare nas Limón ¤ ¤ ¤ SAN JOSE Golfo de Nicoya Central Volcanic Mountain Range P Conservation Area A N PA C I F IC A Península de Osa M OCEAN A FUNDECOR 04/12/2003 3 Introduction 04/12/2003 4 CENTRAL VOLCANIC MOUNTAIN RANGE CONSERVATION AREA (ACCVC) NATIONAL PARKS MAP 490000 Puerto Viejo 550000 ¤ KEY 270000 270000 (Ha) 1. Ju an C astro B. Nat´l Park. 14.312 Aguas Zarcas La Virgen 2. Volcan Poas Nat´l Park. 6.506 ¤ ¤ 3. Braulio Carrillo Nat´l Park. 47.506 4. Volcan Irazu Nat´l Park. 2.310 Ciuda d Ho rquetas Quesada San Miguel ¤ 5. Volcan Turrialba Nat´l Park. 1.577 ¤ 6. Guayabo Nat´l Monument. 233 590000 Guápiles Guácimo ¤ ¤ 240000 Varablanca ¤ ¤ Na ranjo Siquirres 230000 Grecia NICARAGUA CARIBBEAN Heredia SEA ¤ Sta Cruz PACIFIC P OCEAN A SAN JOSE N 210000 A ¤ M 520000 Tur rialba 590000 A CAR TAG O 10 Km. A CTUAL LOCATION OF THE ACCVC IN COSTA RIC A. ESCALA 04/12/2003 5 Where has FUNDECOR focused? 04/12/2003 6 Which are the main natural resources of the ACCVC and what could affect them? THREATS SOLUTIONS Self-sufficiency Concessions of the parks Delimiting parks Park boundaries National boundaries Parks Surveillance Land tenure Purchase of land Environmental Services Payment and Charging Natural System Resources Forest low economic value for forest ow ners Timber auctioning Com mercialization strategies of SFM’s Advance purchase of wood wood production Access to local and international green Water seal's wood markets Group Certification Biodiversity Buffer Lack of protagonism of forest owners in SFM Timber auctioning Carbon fixing Zone Scenic-tourism beauty Reduced Impact Logging New Technologies Web Sites for implementation practitioners Biological monitoring of Lack of technology forestry operations Land registration Financing of and titling Sustainable Forest Management Financing the planning and implementation of SFM 04/12/2003 7 Beneficiaries of forest products and services 04/12/2003 8 Environmental services payment and charging system ? ? Deforestation deterrence and socially optimal land use 04/12/2003 9 Forest environmental services Water Scenic-tourism beauty ? Biodiversity CO2 Tattenbach, 1999 04/12/2003 10 The public and private logic of Costa Rica’s environmental service payment program Environmental service is defined as an environmental benefit (or cost) produced by the existence (or disappearance) of forest that is not captured by its owner, but by others P ≥ C Private Logic V ≥ P Public Logic V ≥ P ≥ C ESP feasibility range V = Vg +Vc Disaggregating values V = Vc +Eg country logic Vc = On + Vi disaggregating country values Pt 5 On +Ri +Eg ESP program logic 04/12/2003 11 The public and private logic of Costa Rica’s environmental service payment program Environmental service is defined as an environmental benefit (or cost) produced by the existence (or disappearance) of forest that is not captured by its owner, but by others P ≥ C Private Logic V ≥ P Public Logic V ≥ P ≥ C ESP feasibility range 04/12/2003 12 The public and private logic of Costa Rica’s environmental service payment program The total value of all environmental services V is equal to the sum of the values that accrue only at the global level (Vg) and the values that accrue at the country level (Vc) V = Vg + Vc disaggregating values A country total environmental service Pc must be no more than the values that accrue at the country level plus the economic compensations obtained (exports) of the global environmental services Eg: V = Vc + Eg country logic 04/12/2003 13 The public and private logic of Costa Rica’s environmental service payment program These country values are also decomposable into values that accrue at the national level On and values that are only geo-specific and accrue at the local level Vi: Vc = On + Vi disaggregating country values A country should pay environmental service payment from general taxes Pt less than the values that accrue at the national level On plus the economic value reveled by the willingness to pay at the local level Ri plus the economic compensations obtained (exports) of the global environmental services Eg: Pt 5 On + Ri +Eg ESP program logic 04/12/2003 14 Internalization of environmental services 04/12/2003 15 Group certification FSC SGS-Qualifor Forest Owners 04/12/2003 16 CENTRAL VOLCANIC MOUNTAIN RANGE CONSERVATION AREA (ACCVC) NATIONAL PARKS MAP 490000 Puerto Viejo 550000 ¤ KEY 270000 270000 (Ha) 1. Ju an C astro B. Nat´l Park. 14.312 Aguas Zarcas La Virgen 2. Volcan Poas Nat´l Park. 6.506 ¤ ¤ 3. Braulio Carrillo Nat´l Park. 47.506 4. Volcan Irazu Nat´l Park. 2.310 Ciuda d Ho rquetas Quesada San Miguel ¤ 5. Volcan Turrialba Nat´l Park. 1.577 ¤ 6. Guayabo Nat´l Monument. 233 590000 Guápiles Guácimo ¤ ¤ 240000 Varablanca ¤ ¤ Na ranjo Siquirres 230000 Grecia NICARAGUA CARIBBEAN Heredia SEA ¤ Sta Cruz PACIFIC P OCEAN A SAN JOSE N 210000 A ¤ M 520000 Tur rialba 590000 A CAR TAG O 10 Km. A CTUAL LOCATION OF THE ACCVC IN COSTA RIC A. ESCALA 04/12/2003 17 FUNDECOR's weighted presence by category of ToD Index: '96-'00 90.0% 80.0% 70.0% 60.0% 50.0% Forest under 40.0% SFMgmt &/or ESP agreements 30.0% 20.0% 10.0% LowHigh 0.0% Medium ToD Index Low JCBla High SiqG CaTu VaCen Guap LaVirg HoCu Region HoCu Guap LaVirg VaCen CaTu SiqG JCBla 04/12/2003 18 Bringing Forest to the Mainstream Economy Products Services GEF Green wood (biodiversity) market INTERNATIONAL KFW TREATIES (CO2) Global LOCAL Global Sustainable Forest FOREST Environmental Management Services Payments Domestic OWNERS Domestic FUNDECOR Municipal FUNDECOR-FSC VOLUNTARY Waterworks GROUP CERTIFICATION PRIVATE AGREEMENTS Brewery Company Local high-end wood products Hidroelectrical industry Companies Products Services 04/12/2003 19 Monitoring of the effect of FUNDECOR operations 04/12/2003 20 Monitoring of the effect of FUNDECOR operations CUADRO N° 3. TASA (%) ANUAL DE DEFORESTACION 1986-1992-1996-2000 Zona de Amortiguamiento Zona de Amortiguamiento sin VC DEFORESTACION BRUTA ACCVC PN TOTAL VC TOTAL ZT FUNDECOR* OTROS** 86/92 5.7 2.4 7.3 9.4 7.0 7.6 8.3 92/96 4.4 1.7 6.0 5.3 6.1 5.0 7.4 96-2000 4.2 1.1 5.9 14.6 4.4 2.3 7.3 DEFORESTACION NETA 86/92 3.8 1.8 4.7 2.6 5.3 5.9 5.2 92/96 -2.6 -1.9 -2.9 -9.8 -1.8 -0.7 -3.1 96/2000 0.5 -0.6 1.1 11.0 -0.5 -2.7 2.5 Deforestación Bruta Deforestación Neta 1/n 1/n 1-(B final/B inicial) 1-[(B final+Reg)/B inicial) *Horquetas, La Virgen, Guácimo **Juan Castro Blanco, Siquirres-Guácimo, Cartago-Turrialba 04/12/2003 21 Monitoring of the effect of FUNDECOR operations 04/12/2003 22 Monitoring of the effect of FUNDECOR operations Annual gross deforestation by category of ToD index: 1996-2000 20.0% 18.0% 16.0% 14.0% 12.0% Anual Gross 10.0% Deforestation 8.0% 6.0% 4.0% 2.0% High 0.0% JCBla Medium SiqG ToD index CaTu Low VaCen LaV irg Guap Ho C u Region HoCu Guap LaVirg VaCen CaTu SiqG JCBla 04/12/2003 23 Deforestation as function of FUNDECOR’s relative presence 0.15 00 ⎛ dr ⎞ ln⎜ 00 ⎟ = a + bPr ate ⎜ ⎟ r ⎝1− dr ⎠ a = −1.80591;b = −8.44113 R2 = 0.94 / t = −11.402 / t = −7.906 0.10 a b estation estation r o f oss de oss 0.05 r Anual g Anual 0.00 0 0.1 0.2 0.3 FUNDECOR's relative presence (% of total forest under 04/12/2003 ESP &/or SFMgmt agreements) 24.

Load more