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News articles on environmental economics

Mongabay.com news articles on environmental economics in blog format. Updated regularly.









Economic slowdown leads to the pulping of Latvia's forests

(01/23/2012) The economic crisis has pushed many nations to scramble for revenue and jobs in tight times, and the small Eastern European nation of Latvia is no different. Facing tough circumstances, the country turned to its most important and abundant natural resource: forests. The Latvian government accepted a new plan for the nation's forests, which has resulted in logging at rates many scientists say are clearly unsustainable. In addition, researchers contend that the on-the-ground practices of state-owned timber giant, Latvijas Valsts meži (LVM), are hurting wildlife and destroying rare ecosystems.


Recognizing value of nature could boost income for the world's poor

(01/20/2012) The rural poor would substantially boost their income if the ecological services of the ecosystems they steward were valued and compensated by the rest of the world, claims a new study published in the journal Bioscience.


One company behind U.S.'s top three biggest greenhouse gas emitters

(01/16/2012) The Atlanta-based Southern company owns the top three biggest sources of greenhouse gas emissions in the U.S. according to recent data released by the Environmental Protection Agency (EPA). Three of Southern's coal-fired plants—two in Georgia and one in Alabama—account for around 64.74 million metric tons of total greenhouse gas emissions, higher than all of Finland's carbon emission in 2008.


How much is the life of a whale worth?

(01/16/2012) How do you end a decades-long conflict between culture and conservation? How do you stop a conflict where both sides are dug in? A new paper in Nature proposes a way to end the long and bitter battle over whaling: environmentalists could pay whalers not to whale.


Indonesia could earn billions from well-designed deforestation-reduction program, finds study

(01/12/2012) Indonesia could have earned $5 billion in revenue and avoided 1 billion tons of carbon dioxide emissions between 2000 and 2005 had a reducing emissions from deforestation and degradation (REDD+) program been in place, reports an assessment published in the journal Proceedings of the National Academy of Science.


Eco-toilets help save hippos and birds in Kenya

(01/04/2012) It may appear unintuitive that special toilets could benefit hippos and other wetland species, but the Center for Rural Empowerment and the Environment (CREE) has proven the unique benefits of new toilets in the Dunga Wetlands on Lake Victoria's Kenyan side. By building ecologically-sanitary (eco-san) toilets, CREE has managed to alleviate some of the conflict that has cropped up between hippos and humans for space.


Ecuador makes $116 million to not drill for oil in Amazon

(01/02/2012) A possibly ground-breaking idea has been kept on life support after Ecuador revealed its Yasuni-ITT Initiative had raked in $116 million before the end of the year, breaking the $100 million mark that Ecuador said it needed to keep the program alive. Ecuador is proposing to not drill for an estimated 850 million barrels of oil in the Ishpingo-Tambococha-Tiputinin (ITT) blocs of Yasuni National Park if the international community pledges $3.6 billion to a United Nations Development Fund (UNDF), or about half of what the oil is currently worth. The Yasuni-ITT Initiative would preserve arguably the most biodiverse region on Earth from oil exploitation, safeguard indigenous populations, and keep an estimated 410 million tons of CO2 out of the atmosphere. However, the initiative is not without its detractors, some arguing the program is little more than blackmail; meanwhile proponents say it could prove an effective way to combat climate change, deforestation, and mass extinction.


Earth systems disruption: Does 2011 indicate the "new normal" of climate chaos and conflict?

(12/21/2011) The year 2011 has presented the world with a shocking increase in irregular weather and disasters linked to climate change. Just as the 2007 "big melt" of summer arctic sea ice sent scientists and environmentalists scrambling to re-evaluate the severity of climate change, so have recent events forced major revisions and updates in climate science.


Issues of the Day: 100 Commentaries on Climate, Energy, the Environment, Transportation, and Public Health Policy: Book Review

(12/14/2011) Issues of the Day: 100 Commentaries on Climate, Energy, the Environment, Transportation, and Public Health Policy is a wonderful overview of 100 different issues presented in two-page briefs by teams of expert individuals.


Carbon Coalitions: Business, Climate Politics, and the Rise of Emissions Trading: Book Review

(12/13/2011) Jonas Meckling, PhD., writes the first critical analysis demonstrating how various types of not-for-profit, governmental and for-profit coalitions over the past couple of decades have led to the development of the global carbon market, valued in 2010 at US$ 142 billion.


Paper commitments for the Indonesian industry

(12/13/2011) The Indonesian group Asia Pulp & Paper (APP) has been the target of many NGOs for years due to its alleged negative impacts on tropical forests. This culminated in a spectacular campaign launched by Greenpeace in 2011 based on Ken "dumping" Barbie. The rationale was that toy brand Mattel was accused of using APP paper products linked to the clear-cutting of natural forests in the Indonesian archipelago. APP organized a counter-attack in the media with the daily publication of advertisements promoting its sustainable development practices. Journalists from all over the world were also invited to attend guided tours of APP concessions to demonstrate their conservation efforts, and a number of articles were subsequently written.


Mixed reactions to the Durban agreement

(12/12/2011) Early Sunday morning over 190 of the world's countries signed on to a new climate agreement at the 17th UN Framework Convention on Climate Change (UNFCCC) in Durban, South Africa. The summit was supposed to end on Friday, but marathon negotiations pushed government officials to burn the midnight oil for about 36 extra hours. The final agreement was better than many expected out of the two week summit, but still very far from what science says is necessary to ensure the world does not suffer catastrophic climate change.


Yasuni ITT: the virtues and vices of environmental innovation

(12/07/2011) As the 17th Conference of the Parties to the United Nations Framework Convention on Climate Change (UNFCCC) is taking place in Durban, Ecuador has embarked on the development of a project presented as highly innovative. This project targets Yasuni National Park, which has been protected since 1979. Yasuni is home to several indigenous peoples and is a biodiversity hotspot. But it so happens that the park also sits atop a vast oil field of 846 million barrels, representing about 20 percent of the country’s oil reserves. The acronym Yasuni ITT stands for Ishpingo-Tambococha-Tiputinin, which are the names of three potential zones for oil extraction.


Civilization shifting: a new leaderless era

(11/15/2011) For well over a decade global change scientists have ushered calls for urgent alteration in what they refer to as the “Business-as-Usual (BAU) paradigm” to cope with the interlinking social, economic, and environmental issues of the 21st Century. In 2001, one of the world’s largest Earth Science collaborative organizations, the International Geosphere-Biosphere Program (IGBP), published their "A Planet Under Pressure" summary report for policy makers.


Featured video: could a forest be worth more than a gold mine?

(10/31/2011) Jason A. Sohigian, the Deputy Director of the Armenia Tree Project (ATP), presents at TEDx on the often-unacknowledged economic value of forests, including wildlife habitat, safeguarding watersheds, soil health, and tourism. In Amerina, Sohigian estimates the economic value of forests to be between $7 million to $1.1 billion annually, if not more.


11 challenges facing 7 billion super-consumers

(10/31/2011) Perhaps the most disconcerting thing about Halloween this year is not the ghouls and goblins taking to the streets, but a baby born somewhere in the world. It's not the baby's or the parent's fault, of course, but this child will become a part of an artificial, but still important, milestone: according to the UN, the Earth's seventh billionth person will be born today. That's seven billion people who require, in the very least, freshwater, food, shelter, medicine, and education. In some parts of the world, they will also have a car, an iPod, a suburban house and yard, pets, computers, a lawn-mower, a microwave, and perhaps a swimming pool. Though rarely addressed directly in policy (and more often than not avoided in polite conversations), the issue of overpopulation is central to environmentally sustainability and human welfare.


New study: price carbon at the point of fossil fuel extraction

(10/17/2011) Global carbon emissions are a complicated matter. Currently, officials estimate national fossil fuel-related emissions by what is burned (known as production) within a nation, but this approach underestimates the emissions contributions from countries that extract oil and oil for export. Is there a better way to account for a country's total climate change footprint?


Putting people to work: restoring our ecosystems, sequestering carbon

(10/02/2011) President Obama's sole focus of his September 8th speech to the United States Congress was job creation. He closed his speech by summoning an earlier time of promise: "President Kennedy once said, ' Our problems are man-made—therefore they can be solved by man. And man can be as big as he wants.' These are difficult years for our country. But we are Americans. We are tougher than the times we live in, and we are bigger than our politics have been. So let's meet the moment. Let's get to work..." Inspiration is surely needed because in addition to the United States, where unemployment remains at about 9 percent, severe unemployment is found throughout the world, with Greece, Spain, and South Africa, for example, having 2011 summer unemployment rates at over 16, 20, and 25 percent, respectively.


Forest carbon projects rake in $178 million in 2010

(09/29/2011) Investors funneled $178 million into forest carbon projects intended to mitigate global climate change last year, according to a new report by Forest Trends' Ecosystem Marketplace. By trading a record 30.1 million tons of carbon dioxide equivalent (MtC02e), the market saw a 48 percent rise over 2009—including a rise in private investors over non-profits as well as greater support for the global program Reduced Emissions from Deforestation and forest Degradation (REDD)—shows that the burgeoning market may be beginning to make good on its promise to provide funds to save forests for their ecosystem services with an initial focus on carbon.


Panama canal drives forest conservation, offers insight on value of ecosystems

(09/26/2011) As demonstrated by growing enthusiasm for conserving forests and the rise of the Reducing Emissions from Deforestation and Degradation (REDD+) program, the public is increasingly aware of the role forests play in delivering ecosystems services — like clean air and water — that benefit mankind. Yet, science still lags conventional wisdom — researchers have yet to fully quantify much of what healthy forests provide. Bridging this gap is key to unlocking the full value of protecting and restoring tropical forests. The ambitious Agua Salud Project in Panama is attempting to do just that.


Conservationists renew push for 'rainforest bonds'

(09/19/2011) Conservationists are renewing a push for a special class of 'rainforest bonds' to fund efforts to conserve tropical forests.


UN: private sector engagement needed to save forests

(09/14/2011) Reversing global forest decline will require private sector engagement and finance, argues a new report published by the United Nations and a coalition of more than 200 financial institutions.


Conserving and Valuing Ecosystem Services and Biodiversity: Economic, Institutional and Social Challenges

(09/11/2011) Conserving and Valuing Ecosystem Services and Biodiversity: Economic, Institutional and Social Challenges provides a much needed survey reflecting upon recent institutional experience yielding analysis that concludes that there exists financially rigorous rationale to justify conservation of biodiversity for economic reasons, above and beyond the usual rationale of conservation only for biodiversity, spiritual or ethical reasons.


Children on the frontlines: the e-waste epidemic in Africa

(09/09/2011) In Agbogbloshie, a slum outside the capital city of Accra, Ghana, tons of electronic waste lies smoldering in toxic piles. Children make their way through this dangerous environment, desperate to strip even a few ounces of copper, aluminum, brass, and zinc from worn-out electronics originating from the United States and Europe. "The smell alone will drive all but the most desperate away, but many are so desperate they persevere despite the obvious dangers. It is a very tough thing to witness," explains Dr. Kwei Quartey, a Ghanaian author and physician, in a recent mongabay.com interview.


Sowing the seeds to save the Patagonian Sea

(09/07/2011) With wild waters and shores, the Patagonia Sea is home to a great menagerie of marine animals: from penguins to elephants seals, albatrosses to squid, and sea lions to southern right whales. The sea lies at crossroads between more northern latitudes and the cold bitter water of the Southern Ocean, which surround Antarctica. However the region is also a heavy fishing ground, putting pressure on a number of species and imperiling the very ecosystem that supplies the industry. Conservation efforts, spearheaded by marine conservationist Claudio Campagna and colleagues with the Wildlife Conservation Society (WCS), are in the early stages. Campagna, who often writes about the importance of language in the fight for preservation, has pushed to rename the area to focus on its stunning wildlife.


Organic farming can be more profitable in the long-term than conventional agriculture

(09/01/2011) Organic farming is more profitable and economically secure than conventional farming even over the long-term, according to a new study in Agronomy Journal. Using experimental farm plots, researchers with the University of Minnesota found that organic beat conventional even if organic price premiums (i.e. customers willing to pay more for organic) were to drop as much as 50 percent.


Controversial study finds intensive farming partnered with strict protected areas is best for biodiversity

(09/01/2011) Given that we have very likely entered an age of mass extinction—and human population continues to rise (not unrelated)—researchers are scrambling to determine the best methods to save the world's suffering species. In the midst of this debate, a new study in Science, which is bound to have detractors, has found that setting aside land for strict protection coupled with intensive farming is the best way to both preserve species and feed a growing human world. However, other researchers say the study is missing the point, both on global hunger and biodiversity.


World on the Edge: How to Prevent Environmental and Economic Collapse

(08/30/2011) World on the Edge: How to Prevent Environmental and Economic Collapse clearly describes in terms of national and social security how the looming current threat to our collective global future is not from catastrophic war as many describe in hindsight the 20th Century, rather from cataclysmic climate change, biodiversity loss, and water degradation.


National parks do not contribute to poverty, finds decade-long study

(08/24/2011) A new study of Uganda's Kibale National Park refutes the conventional wisdom that parks cause poverty along their borders. 'Apparently the park provides a source of insurance; [locals] can hunt, or sell firewood or thatch from the park' explains Jennifer Alix-Garcia, co-author of the study, with the University of Wisconsin, Madison. 'It's misleading. If you look, you see more poor people living near the park. But when you look at the change in assets, you see that the poor people who live next to the park have lost less than poor people who live further away.'


Innovative program saves wildlife, protects forests, and fights poverty in Africa

(08/23/2011) Luangwa Valley in Zambia is home to stunning scenes of Africa wildlife: elephants, antelopes, zebra, buffalo, leopards, hyena, and lions all thrive in Luangwa's protected areas, while the Luangwa River is known for multitude of snapping crocodiles and its superabundant herds of hippos. In fact, the area's hippos were filmed for the BBC's program Life, including a dramatic battle between two males (see below). Yet as in many such places in Africa, abundant plains and forest wildlife bump up against the needs of impoverished local people. The resulting conflict usually ends in large-scale wildlife declines; the same trend was documented in the Luangwa Valley until a unique initiative began to make a difference not only in the life of animals, but of people as well.


The importance of recognizing viewpoints in a rapidly changing world

(08/16/2011) Is oil palm bad? Is protecting tropical forests more important than converting them for economic development? Should we spike trees to make sure no one cuts them down? Answers to these questions depend on which side of the argument you're on. But often people on either side of debates hardly know what their opponents are thinking.


Adaptation, justice and morality in a warming world

(07/28/2011) If last year was the first in which climate change impacts became apparent worldwide—unprecedented drought and fires in Russia, megaflood in Pakistan, record drought in the Amazon, deadly floods in South America, plus record highs all over the place—this may be the year in which the American public sees climate change as no longer distant and abstract, but happening at home. With burning across the southwest, record drought in Texas, majors flooding in the Midwest, heatwaves everywhere, its becoming harder and harder to ignore the obvious. Climate change consultant and blogger, Brian Thomas, says these patterns are pushing 'prominent scientists' to state 'more explicitly that the pattern we're seeing today shows a definite climate change link,' but that it may not yet change the public perception in the US.


REDD calculator and mapping tool for Indonesia launched

(07/13/2011) Researchers have launched a new tool to help policy-makers, NGOs, and landowners evaluate the potential benefits and costs of Indonesia's reducing emissions from deforestation and degradation (REDD+) program at provincial and district levels.


Australia launches limited carbon tax

(07/11/2011) Australia's 500 largest polluters will pay AU$23 ($24.60) per ton of carbon dioxide emitted beginning July 2012 under a plan announced by Australian prime minister Julia Gilliard.


South Sudan's choice: resource curse or wild wonder?

(07/11/2011) After the people of South Sudan have voted overwhelmingly for independence, the work of building a nation begins. Set to become the world's newest country on July 9th of this year, one of many tasks facing the nation's nascent leaders is the conservation of its stunning wildlife. In 2007, following two decades of brutal civil war, the Wildlife Conservation Society (WCS) surveyed South Sudan. What they found surprised everyone: 1.3 million white-eared kob, tiang (or topi) antelope and Mongalla gazelle still roamed the plains, making up the world's second largest migration after the Serengeti. The civil war had not, as expected, largely diminished the Sudan's great wildernesses, which are also inhabited by buffalo, giraffe, lion, bongo, chimpanzee, and some 8,000 elephants. However, with new nationhood comes tough decisions and new pressures. Multi-national companies seeking to exploit the nation's vast natural resources are expected to arrive in South Sudan, tempting them with promises of development and economic growth, promises that have proven uneven at best across Africa.


Germany backs out of Yasuni deal

(06/13/2011) Germany has backed out of a pledge to commit $50 million a year to Ecuador's Yasuni ITT Initiative, reports Science Insider. The move by Germany potentially upsets an innovative program hailed by environmentalists and scientists alike. This one-of-a-kind initiative would protect a 200,000 hectare bloc in Yasuni National Park from oil drilling in return for a trust fund of $3.6 billion, or about half the market value of the nearly billion barrels of oil lying underneath the area. The plan is meant to mitigate climate change, protect biodiversity, and safeguard the rights of indigenous people.


Environment versus economy: local communities find economic benefits from living next to conservation areas

(06/12/2011) While few would question that conserving a certain percentage of land or water is good for society overall, it has long been believed that protected areas economically impoverish, rather than enrich, communities living adjacent to them. Many communities worldwide have protested against the establishment of conservation areas near them, fearing that less access and increased regulations would imperil their livelihoods. However, a surprising study overturns the common wisdom: showing that, at least in Thailand and Costa Rica, protected areas actually boost local economies and decrease poverty.


Despite setbacks, voluntary carbon markets booming

(06/06/2011) The voluntary carbon market posted a 34 percent gain in 2010, trading a record 131 million tons of carbon dioxide equivalent (MtC02e). While the US accounted for the majority of trading activity, worth $424 million in total, market growth was strongest in developing countries.


Prosperity without Growth: Economics for a Finite Planet

(05/23/2011) Prosperity without Growth: Economics for a Finite Planet challenges us to imaging a world where growth and unmitigated consumption do not equal development. In fact, as clearly described throughout, countries with unmitigated consumption are the underdeveloped countries of the 21st Century expanding our global ecological debt at the expense of countries who are more sophisticated in their development practices with similar prosperity levels while incurring less "national" ecological debt.


Nobel laureates: 'we are transgressing planetary boundaries that have kept civilization safe for the past 10,000 years'

(05/23/2011) Last week the 3rd Nobel Laureates Symposium on Global Sustainability concluded with participants—including 17 past Nobel Prize winners and 40 other experts—crafting and signing the Stockholm Memorandum. The document calls for emergency actions to tackle human pressures on the Earth's environment while ensuring a more equitable and just world.


Is Indonesia losing its most valuable assets?

(05/16/2011) Deep in the rainforests of Malaysian Borneo in the late 1980s, researchers made an incredible discovery: the bark of a species of peat swamp tree yielded an extract with potent anti-HIV activity. An anti-HIV drug made from the compound is now nearing clinical trials. It could be worth hundreds of millions of dollars a year and help improve the lives of millions of people. This story is significant for Indonesia because its forests house a similar species. In fact, Indonesia's forests probably contain many other potentially valuable species, although our understanding of these is poor. Given Indonesia's biological richness — Indonesia has the highest number of plant and animal species of any country on the planet — shouldn't policymakers and businesses be giving priority to protecting and understanding rainforests, peatlands, mountains, coral reefs, and mangrove ecosystems, rather than destroying them for commodities?


Valuing Ecosystem Services: The Case of Multi-functional Wetlands

(05/16/2011) Valuing Ecosystem Services: The Case of Multi-functional Wetlands provides the clearest guide yet to describing and implementing in a systematic fashion payments for ecosystems services (PES) strategies for wetland protection mechanisms. By focusing initially on frameworks and obstacles to implementation of wetland protection strategies such as property rights, measuring and monitoring, behavior and compensation, cultural barriers and external factors, the authors posit that is possible to effectively value multi-functional wetlands.


Left alive and wild, a single shark worth $1.9 million

(05/02/2011) For the Pacific island nation of Palau, sharks are worth much more alive than dead. A new study by the Australian Institute of Marine Science (AIMS) has found that one reef shark during its full life is worth $1.9 million to Palau in tourism revenue. Sold for consumption the shark is worth around $108. In this case a shark is worth a stunning 17,000 times more alive than dead.


Archbishop Desmond Tutu: 'quest for profit subverts our present and our future'

(05/01/2011) As the honorary speaker at an event celebrating fifty years of the conservation organization World Wide Fund for Nature (WWF), Archbishop Desmond Tutu stated that overconsumption and obsession with economic growth were imperiling the global environment and leaving the poor behind.


What does Nature give us? A special Earth Day article

(04/22/2011) There is no question that Earth has been a giving planet. Everything humans have needed to survive, and thrive, was provided by the natural world around us: food, water, medicine, materials for shelter, and even natural cycles such as climate and nutrients. Scientists have come to term such gifts 'ecosystem services', however the recognition of such services goes back thousands of years, and perhaps even farther if one accepts the caves paintings at Lascaux as evidence. Yet we have so disconnected ourselves from the natural world that it is easy—and often convenient—to forget that nature remains as giving as ever, even as it vanishes bit-by-bit. The rise of technology and industry may have distanced us superficially from nature, but it has not changed our reliance on the natural world: most of what we use and consume on a daily basis remains the product of multitudes of interactions within nature, and many of those interactions are imperiled. Beyond such physical goods, the natural world provides less tangible, but just as important, gifts in terms of beauty, art, and spirituality.


Election cycle linked to deforestation rate in Indonesia

(04/14/2011) Increased fragmentation of political jurisdictions and the election cycle contribute to Indonesia's high deforestation rate according to analysis published by researchers at the London School of Economics (LSE), the Massachusetts Institute of Technology (MIT), and South Dakota State University (SDSU). The research confirms the observation that Indonesian politicians in forest-rich districts seem repay their election debts by granting forest concessions.


Vanishing mangroves are carbon sequestration powerhouses

(04/05/2011) Mangroves may be the world's most carbon rich forests, according to a new study in Nature Geoscience. Measuring the carbon stored in 25 mangrove forests in the Indo-Pacific region, researchers found that mangroves forests stored up to four times as much carbon as other tropical forests, including rainforests. "Mangroves have long been known as extremely productive ecosystems that cycle carbon quickly, but until now there had been no estimate of how much carbon resides in these systems. That's essential information because when land-use change occurs, much of that standing carbon stock can be released to the atmosphere," explains co-author Daniel Donato, a postdoctoral research ecologist at the Pacific Southwest Research Station in Hilo, Hawaii.


World Bank proposes to limit funding to coal plants

(04/05/2011) Following years of criticism from environmentalists and some governments the World Bank has proposed new rules regarding carbon-intensive coal plants, reports the Guardian. The new rules would allow lending for coal-fired plants only to the world's poorest nations and would only lend after other alternatives, such as renewable energy, had been ruled out.


Bats worth billions

(04/03/2011) US agriculture stands to lose billions in free ecosystem services from the often-feared and rarely respected humble bat. According to a recent study in Science bats in North America provide the US agricultural industry at least $3.7 billion and up to a staggering $53 billion a year by eating mounds of potentially pesky insects. Yet these bats, and their economic services, are under threat by a perplexing disease known as white-nose syndrome (WNS) and to a lesser extent wind turbines.


Sustainability takes only cents

(03/30/2011) Real economic global results from decoupling economic growth from unsustainable natural resource management and inefficient industrial processes are the central themes of Cents and Sustainability. Implementing wealth creation strategies at the local, national, and international level is the primary economic theme, or modus operandi, of the 21st Century, as opposed to 20th Century wealth appropriation strategies. This begets the question do concrete auditable examples of wealth creation while sustainably managing natural resources at the national level exist?



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