WHY ARE WE HERE Biodiversity Going going Potential
WHY ARE WE HERE?
Biodiversity: Going, going…. .
Potential “killer barriers”in the finance area Conservation Success Impacts of private financial flows Lack of reliable, longterm funding
More specifically. . . Total funding is inadequate by an order of magnitude Nearly all conservation funding is short-term (1 - 3 years) Explosive growth of private financial flows (adverse impacts/opportunities) Ecosystem services undervalued
Conservation Finance Programs • Sustainable funding for protected areas and national PA systems • Mechanisms to effectively channel funding to conservation activities • Pioneered some new approaches • Global impacts in just a few areas
Lots of activity, limited collaboration Foundations Government agencies NGOs Conservation Finance Intergovernmental agencies Universities Private sector
How do we go to scale? ? !! Approximate numbers of deals • 20+ conservation trust funds (inadequate capital) • 10 conservation-oriented carbon investment projects • 3 biodiversity enterprises funds (mostly small-scale) • 5 water user fees • 4 conservation concessions • 1 national ecotourism tax • 2 resource extraction fees dedicated to conservation
Barriers to Scaling Up • Capital: Lack of seed funding for new finance projects; lack of capital for trust funds • Tools: Lack of well-packaged information and practitioner tools for taking action • Sharing/learning: Lack of info-sharing and learning from field experience • Technical support: Lack of technical support, particularly in developing countries Lack of focussed collaboration
Training Guide An example of concrete synergies that can be achieved through focussed collaboration (GO TO CD ROM)
CAN A CONSERVATION ALLIANCE BE BUILT AROUND A STRATEGIC PROGRAM OF ACTION?
Purpose of retreat • Preliminary Program of Action • General elements of MOU to formalize alliance • Identify ways other organizations can contribute to and benefit from alliance
Groundrules • Spirit of collaboration • Concise comments to allow others time to speak • Patience • Destroy all cellphones! • Have fun (or else)
TNC’S CONSERVATION FINANCE PROGRAM (in transition)
Staffing: size • “Core Conservation Finance Staff” (at least 1/3 of their time): Appx. 14 • Many others spending less than 1/3 of their time on conservation finance
Staffing: deployment • Core Conservation Finance Staff – 10 in Arlington headquarters – 1 in New Zealand – 1 in San Jose – 1 in Quito – 1 in Vermont
Conservation Finance Programs • Conservation Trust Funds – IPG; TA to support establishment / start-up • Water Policy Program – water valuation and water user fees • Initiative for Innovative Conservation Finance – tools, training, financial innovations • Compatible Ventures Group – market tools, compatible businesses, financial innovations • Eco. Enterprises Fund – equity/loan/grant capital for biodiversity-friendly enterprises
Conservation Finance Programs (continued) • Ecotourism Program – visitor use fees • Climate Change Program – forest carbon mitigation projects (pvt. sector investment) • Debt Swaps Program: TFCA focus • Conservation bonds - state bond issues across U. S. • Conservation easements (? ): US and LA
Status of CF Mechanisms CTFs Mature 4 staff WATER Early 1. 5 staff INIT FOR INNOV CF Start up 3 staff COMPAT VENTURES Mature 5 staff ECO Early ENTERPRISES 5 staff
Status of CF Mechanisms CLIMATE CHANGE DEBT SWAPS Mature 5 staff Mature 2 staff CONSERV BONDS Mature 10 staff? (US) EASEMENTS/ Mature 1 staff (intl) 30+ staff (US)? CONSERV CONC
Focus of CF Mechanisms CTFs Latin America Carrib, Pacific WATER Ecuador, Bolivia, Honduras Exploring Indonesia, DR INIT FOR INNOV CF Training Gde/ related tools Trainings Carbon Fund Agric. transition insurance Small-scale businesses (forest, COMPAT VENTURES farming, ranching) Conservation Beef, Grass Bank, CTIMO, Forest Bank Mostly nat’lscale, some site, Meso. Amer reef US focus to date
Focus of CF Mechanisms Latin America, US CLIMATE projects. Exploring CHANGE Indo, PNG DEBT SWAPS Belize, Peru, Indonesia Forest preserv and reforest, carbon fund CONSERV BONDS 20 states (US) (e. g. , CA and FLA) Ongoing in many states EASEMENTS/ CONSERV CONC All US states 6 LA countries Latin America Private land easements growing area for LA, strong interest to apply in AP ECOENTERP FUND Interest to expand in LA and to AP
Priority mechanisms (under review) • CTFs • Ecosystem service payments (carbon, water, tourism user fees) • Compatible enterprises (income gen, reduce conserv costs, enterprise funds) • Conservation concessions (broad)
Priority themes (under review) • Site sustainability - lasting impacts • Multi-site strategies - going-to-scale • Capacity-building delivery systems (training guide, targeted tools, targeted trainings, etc. ) • 5 TNC Initiatives: marine, invasives, fire, freshwater, climate change
Gaps • Delivery systems: seed fund, practical tools, targeted training, field-based finance specialists • Investment capital for CF mechanisms • Capacity in resource economics and economic analysis (esp. int’l) • Finance strategies that engage commercial-scale businesses • Forest policy expertise
Existing collaborations • Coral Reef / MPA Initiative: TNC / CI leadership. Large, multi-year grant under discussion • Human welfare / biodiv. integration project: TNC/WRI leadership. Large, ten-year Moore Foundation grant • CI / TNC science and research collaboration on conservation economics (e. g. , conservation concessions) • Mesoamer. reef reg. trust fund - TNC and WWF • Eco. Enterprises Fund - TNC, IDB, GEF
Future collaborations • Large-scale priority sites (e. g. , SW Amazon, East Kalimantan, SW China) • Training Guide and targeted trainings • Targeted events/fora: WPC, CBD, GEF • Coral reef / MPAs • Conservation concessions - Latin America and AP)
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