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Living with Risk. A global review of disaster reduction initiatives

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5<br />

<strong>Living</strong> <strong>with</strong> <strong>Risk</strong>: A <strong>global</strong> <strong>review</strong> <strong>of</strong> <strong>disaster</strong> <strong>reduction</strong> <strong>initiatives</strong><br />

218<br />

develop principles, guidelines and effective<br />

strategies to better set their priorities.<br />

Natural <strong>disaster</strong> concerns are more or less<br />

identifiable in the above mentioned reporting<br />

systems, links between environmental management<br />

and flood damage (e.g. lack <strong>of</strong> integration<br />

between water management, transport policy<br />

and nature conservation objectives) being<br />

most frequently described. However, they can<br />

produce essential baseline and vulnerability<br />

information on which to develop <strong>disaster</strong><br />

<strong>reduction</strong> policies (see boxexample from<br />

Bangladesh).<br />

Economic incentives/disincentives for <strong>disaster</strong> <strong>reduction</strong><br />

include:<br />

• Tax incentives, subsidies and loans to compensate<br />

landowners or discourage certain land uses<br />

• User charges: fees for downstream beneficiaries<br />

(domestic water use, agriculture, hydropower, fishery,<br />

recreation)<br />

• Transfer <strong>of</strong> development rights to avoid undesirable<br />

development<br />

• Easements: legal agreement to restrict type and amount<br />

<strong>of</strong> development taking place on a property<br />

• Land purchase/property rights: usually restricted for<br />

exceptional lands (restricted land leases)<br />

• Fines/liability system for damages caused to human settlements<br />

or environmental services<br />

• Pricing structures to discourage unsound use <strong>of</strong><br />

resources<br />

Existing reporting guidelines could easily be<br />

updated to include a requirement to systematically<br />

report on the environmental features and<br />

resource necessary to prevent environmental<br />

degradation that will lead to an increase in <strong>disaster</strong><br />

risks. The process <strong>of</strong> environmental<br />

reporting could also be designed to contribute<br />

to the record <strong>of</strong> ways in which societies mitigate<br />

risk by cultural adaptation and their<br />

appraisal <strong>of</strong> natural resources.<br />

Environmental mapping, in which community<br />

members are asked to locate relevant environmental<br />

features and resources on a self-created<br />

map <strong>of</strong> their territory, could be used for risk<br />

mapping. Maps representing physical features,<br />

such as roads, houses, soil types and vegetation,<br />

could include social and risk phenomena,<br />

e.g., access to resources by specific groups or<br />

household wealth. Community involvement in<br />

map building provides an occasion to discuss<br />

resource management issues.<br />

Ecological and environmental economics<br />

It is essential to obtain an accurate picture <strong>of</strong><br />

true health and wealth <strong>of</strong> the socio-economic<br />

and socio-ecological situation <strong>of</strong> a nation in<br />

assessing progress towards sustainable development.<br />

Of the three interactive spheres <strong>of</strong><br />

sustainable development – social, economic<br />

and environmental/ecological – economic considerations,<br />

in many ways remains dominant,<br />

both in influence and in its measurement.<br />

Proving that <strong>disaster</strong> <strong>reduction</strong> integrating<br />

sound environmental management makes economic<br />

sense is a major challenge when confronting<br />

decision-makers.<br />

Environmental economics, also referred to as<br />

ecological economics, provides a visible way to<br />

link environmental management and <strong>disaster</strong><br />

risk <strong>reduction</strong> in sustainable development. It<br />

utilizes the tools and mechanisms <strong>of</strong> economics<br />

to measure in currency terms, the value and<br />

costs regarding various aspects <strong>of</strong> the environment<br />

such as well-functioning ecosystems,<br />

prisitne environments, biodiversity and the<br />

costs associated <strong>with</strong> resource and ecosystem<br />

depletion.<br />

In conventional economic frameworks, natural<br />

resources, in terms <strong>of</strong> their worth for human<br />

use, have been considered. Beginning in the<br />

1970s, economic mechanisms began to be<br />

adapted in order to measure more accurate representation<br />

<strong>of</strong> the socio-ecological aspects <strong>of</strong><br />

the community.<br />

Until quite recently, the study <strong>of</strong> environmental<br />

economics has been predominantly in academia,<br />

related research institutions, in multilateral<br />

and bilateral organization and in the<br />

large international environmentally-oriented<br />

NGOs. As environmental issues become<br />

increasingly everyday news, decision makers<br />

world-wide have started to examine ways in<br />

which socio-ecological values and costs can be<br />

measured and incorporated into economic and<br />

political discourse. There are numerous<br />

national models, including the older forms <strong>of</strong><br />

National Resource Accounts (NRA), National<br />

Systems for Environmental Accounting

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