The Institute for Agriculture, Forestry and the Environment - PowerPoint PPT Presentation

“Integrated Solutions for Greening Alberta’s Growth” The Institute for Agriculture, Forestry and the Environment Agri-Environmental Partnership of Alberta Forum, March 10, 2010

Premier’s Mandate Institute as a catalyst to: Institute as a catalyst to: � Assist the Alberta Government Assist the Alberta Government in achieving its objective to in achieving its objective to “green growth” “green growth” and improv nd improve environmental outcomes. e environmental outcomes. � Enhance competi Enhance competitiveness opportuniti tiveness opportunities for Agriculture and s for Agriculture and Forestry, and other manage Forestry, and other managers o rs of natural re natural resource sources. s. � Brand Alberta as the leader Brand Alberta as the leader in Environmental Innovation. in Environmental Innovation. Through: Through: � Innov Innovati tion in poli on in policy, processes and systems, institutions, cy, processes and systems, institutions, science and technol science and technology. gy. � A deci A decision support system for selection, evaluati sion support system for selection, evaluation and on and implementation of market-based approaches for Ecosystem implementation of market-based approaches for Ecosystem Se Services (ES). rvices (ES). � Documenti Documenting ecosystem integrity. g ecosystem integrity.

IAFE: A New Paradigm Market as a key part of Alberta’s policy toolbox to: Market as a key part of Alberta’s policy toolbox to: Change the paradigm from environment as a Change the paradigm from environment as a � compliance cost, to … compliance cost, to … Integration of the environment into a new business Integration of the environment into a new business � model - model - new way of doing business through a market ew way of doing business through a market based approach: based approach: As an asset on the balance sheet; As an asset on the balance sheet; � Profit Profit centre rather than a cost centre centre rather than a cost centre �

Why Now and Alberta? � Alberta has a unique opportunity to participate in these markets with its diverse energy, agricultural and forestry industries, and its natural assets. � Experience shows there are emerging opportunities for adding value to our resource products and services.

Leadership Opportunity � Leading edge – no other jurisdiction has done this. � Time is right for developing new environmental markets for Alberta’s natural resource industries. � Pursue global, national and regional market opportunities to take advantage of changing economic times.

IAFE Stakeholder Engagement Agriculture Agriculture Forestr Forestry Research Research (AEPA*) (AEPA* Institu Institutes es Indu Industry stry IAFE IAFE Government Government ENGOs ENGOs GoA GoA Public Public * Agri-Environmental Partnership of Alberta

IAFE Relationship with AEPA � Board Member Representation (two ag. members) � Dialogue and Presentations to AEPA Board � Feedback at AEPA ES Workshop (Oct. 28, 2008) � Input and recommendations by AEPA Project Teams – Ecosystem Services, Environmental Market Opportunities and Land-use Framework � Participation in IAFE Engagement Agriculture Sessions � Over 35 individual meetings by Board with Ag. Groups

Board Direction � Build on existing knowledge and approaches; Build on existing knowledge and approaches; collaboration and cooperation with stakeholders collaboration and cooperation with stakeholders � Improved outcomes and results. Improved outcomes and results. � Increased efficiency. Increased efficiency. � Reduce duplication. Reduce duplication. � Less government intervention. Less government intervention. � Strengthen Alberta’s competitive advantages Strengthen Alberta’s competitive advantages

Ecosystem Services: The Benefits People Obtain from Ecosystems Millen Millennium nium Ecosystem Ecosystem Assessm Assessment ent (2005) (2005) October 22, 2009

The Current Approach to Ecosystem Services � Focus has been on provisioning services. Focus has been on provisioning services. � Governance is hierarchical and prescriptive. Governance is hierarchical and prescriptive. � Historically, exclusive use of command and control Historically, exclusive use of command and control policy. policy. � A mix of instruments in various sectors: A mix of instruments in various sectors: � Cows and Fish (Information) Cows and Fish (Information) � Forest management plans (standards) Forest management plans (standards) � GHG emissions management scheme GHG emissions management scheme � More recently we are seeing new policies emerge More recently we are seeing new policies emerge (LUF). (LUF). October 22, 2009

20 leading experts from around the world 20 leading experts from around the world with experience in researching, designing, with experience in researching, designing, implementing and administering market- implementing and administering market- based instruments (MBIs) in the Agriculture based instruments (MBIs) in the Agriculture and Forestry Sectors. and Forestry Sectors.

Need for New Policy Direction � Important to have an enabling ecosystem services Important to have an enabling ecosystem services market policy framework that allows transformation market policy framework that allows transformation and innovation in business. and innovation in business. � This is not an agriculture or forestry policy This is not an agriculture or forestry policy framework. It is an integrated framework focused on framework. It is an integrated framework focused on ecosystem services and market based approaches ecosystem services and market based approaches that provides opportunities for agriculture, forestry, that provides opportunities for agriculture, forestry, First Nations, and other natural resource managers First Nations, and other natural resource managers for new business and revenues through value-added for new business and revenues through value-added products and services. products and services. � Public perception regarding the transfer of Public perception regarding the transfer of responsibility for environment to the private sector responsibility for environment to the private sector will be a risk. will be a risk. � Messaging regarding public communications, and Messaging regarding public communications, and collaboration with industr collaboration with industry and ENGOs and ENGOs will be ke ill be key. .

Key Considerations � Shift in the role and functions of government and the Shift in the role and functions of government and the private sector/business in the management of the private sector/business in the management of the environment. environment. � Feedback from stakeholders is supportive of direction Feedback from stakeholders is supportive of direction and need to shift roles and responsibilities for and need to shift roles and responsibilities for management of the environment outside of management of the environment outside of government. government. � Public assurance is the responsibility and Public assurance is the responsibility and accountability of GoA. accountability of GoA. � Institutional alignment and re-engineering may be Institutional alignment and re-engineering may be necessary. necessary.

An Ecosystem Services Market Approach � Ecosystem services are integrat Ecosystem services are integrated in nature. Recognizes ed in nature. Recognizes systems, the connections and ch systems, the connections and choices (or trade-offs) to be oices (or trade-offs) to be made around the environment, economy, and society. made around the environment, economy, and society. � Creates incentives to go beyo Creates incentives to go beyond regulatory compliance to nd regulatory compliance to reward environmental reward environmental performance and results. performance and results. � Results in Results in an integrated an integrated approach to policies. approach to policies. � Enables pro-active approaches Enables pro-active approaches addressing problems before addressing problems before they occur. they occur. � Requires coordination acro Requires coordination across departments and sectors. ss departments and sectors. � Relies on transparent informatio Relies on transparent information about state of environment n about state of environment and movement towards environmental outcomes. and movement towards environmental outcomes. October 22, 2009

What is a Market Based Approach? � A market-based approach is a form of government A market-based approach is a form of government regulation and governance. regulation and governance. � A market-based approach is one that relies on A market-based approach is one that relies on market forces to re-allocate goods and services market forces to re-allocate goods and services through full and effective pricing. through full and effective pricing. � The assumption: once the true cost of environmental The assumption: once the true cost of environmental protection is internalized in market prices- invoking protection is internalized in market prices- nvoking a more sustainable trajectory of economic growth. a more sustainable trajectory of economic growth. � A market-based approach uses a alternative set of A market-based approach uses a alternative set of policy instruments. policy instruments. October 22, 2009