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INVESTMENT

In 2010, the International Year of Biodiversity, we call on the Australian Government to: Substantially increase investment in biodiversity and ecosystem protection, restoration and management to at least $9 billion over the three years to 2012 and establish an independent widely consultative process into future funding and stewardship of Australia’s terrestrial, aquatic and marine biodiversity.

Published estimates of the expenditure needed to protect, restore and manage Australia’s biodiversity are outdated and partial (see below).  They pre-date widespread recognition of the importance of keeping natural terrestrial ecosystems intact so their stored carbon stays out of the atmosphere.  They also precede the drought laying waste to the Murray Darling Basin and its biodiversity, exacerbating over-allocation of water and the accumulated impacts of land-clearing. 

Investment boost

Current Australian government expenditure on biodiversity is around $1 billion primarily through the Department of Environment, Water, Heritage and the Arts.  In the context of climate change, investment in biodiversity is as critical as in energy infrastructure.  It is core government business.  We are calling for a major national boost in biodiversity investment to $9 billion over the coming three years.  This will fund on-ground work, stewardship payments, water buy-back, protected area extension and management, research, education and training. 

Increased investment will not only benefit biodiversity;  it will help rejuvenate communities, economies and employment, mainly outside capital cities, and especially in remote Australia.  Analysis of jobs in biodiversity and landscape is poor but, extrapolating from a 2001 study, current employment in the sector may be around 35,000 [http://www.aph.gov.au/Senate/committee/climate_ctte/submissions/sub356.pdf] , with a high proportion in rural, regional and remote Australia.  

A wide-ranging national inquiry should establish the real level of need for biodiversity investment and the environmental, social and strategic benefits of meeting it.

A range of cost estimates

2001 Repairing the Country:  Leveraging Private Investment

Estimated $65 billion over ten years for work including improving river health, conserving native vegetation and flora and fauna, improved planning, increased research, increased landholder involvement and improved soil health.

2002 Australian Terrestrial Biodiversity Assessment 2002

Highly conservative estimate of the cost of restoring native vegetation, regionally, to 30% of its pre-clearing extent:  $4.5 billion.

2007 The Environmental Significance of the Indigenous Estate:  Natural Resource Management as Economic Development in Remote Australia 

Identifies a critical investment deficit in Indigenous Protected Areas which over the decade from 1996 to 2007 received less than $1 per hectare compared with nearly $10 per hectare Australian government expenditure on state/territory reserves.

2007 The Productivity Commission estimates Australian Government expenditure on quantifiable carbon emissions reduction measures at $22 billion over four years from 2007-08 to 2011-12 (2007/08 Annual Trade and Assistance Review

None of this relates to measures to reduce emissions from biodiversity and landscape management.  Native forest clearing and logging accounts for about 18% of Australia’s annual emissions.  Pro rata, expenditure on biodiversity to reduce emissions should be at least an additional $1 billion per annum;  increased CO2 removals as native vegetation regrows to maturity warrant additional expenditure, as do the benefits of non-forest vegetation and soil management. 

2009 Applications for Caring for Our Country grants exceeded $3.4 billion;  available funding was $450 million.

2009 TEEB (The Economics of Ecosystems and Biodiversity) estimates the annual cost of forest loss at between $2 trillion and $5 trillion.  The TEEB study is evaluating the costs of the loss of biodiversity and the associated decline in ecosystem services worldwide, and comparing them with the costs of effective conservation and sustainable use. http://news.bbc.co.uk/2/hi/science/nature/7662565.stm,

2009 The main components of Australian Government spending on biodiversity are through the Department of the Environment, Water, Heritage and the Arts. Outcome 1 (conservation and protection of Australia’s terrestrial and marine biodiversity and ecosystems) and Outcome 4 (includes improved health of rivers, waterways and freshwater ecosystems) detail the main expenditure items (approximately $1b annually).  Additional expenditure is through grants to states and territories, and scattered across other agencies including the Departments of Innovation, Customs and Defence