WORLD RESOURCES 2005 110 budgets on industrial fisheries, ignoring the small-scale fisheries that the poor rely on. Without changing this dynamic, the poor will find their attempts at better ecosystem management frustrated by official inattention. Likewise, without high-level action to make credit and other financial services available for small rural enterprises, the poor will find it hard to capitalize on their governance and management successes. On the other hand, this chapter shows that governments can create a foundation for greater environmental income by providing incentives for nature-based enterprises, empowering the poor by granting legally binding resource rights, and fostering responsive local institutions. In fact, as the case studies in Chapter 5 show, a high-level political commitment to expanding environmental income through local empowerment is crucial to scaling up village-level successes. When this happens, region-wide improvements in management practice and governance can occur that provide the poor a first step in economic advancement.
BOX 4.5 GLOBALIZATION, GOVERNANCE, AND POVERTY THE CURRENT WAVE OF ECONOMIC GLOBALIZATION has lifted many people out of poverty and enhanced human welfare. But the benefits of globalization have not yet reached far enough: over three billion people still live impoverished lives, and the fields, fisheries, forests, and waterways they depend on are increasingly at risk. As the Millennium Ecosystem Assessment points out, the transformation of ecosystems over the past five decades dwarfs the cumulative impact over the preceding centuries. This degradation is undercutting rural livelihoods (MA 2005:2). Half of all jobs worldwide depend on agriculture, forestry, and fishing. Yet agricultural subsidies and other import restrictions in developed countries make it difficult for developing country farmers to compete on the world market (WTO 2003:10, 22). Improving this situation will require better and smarter globalization. Ultimately, a sophisticated market economy is the only mechanism capable of generating lasting prosperity. Market-based approaches, where informed by socially and environmentally responsible public policy, have also been effective in forging solutions to some environmental problems. Emissions trading has been successful in reducing sulfur dioxide and nitrogen oxides, and tradable fishing quotas have reduced over-fishing (Aulisi et al. 2005:11; Kura et al. 2004:92; Ellerman et al. 2000:315; NRC 1999:192). Innovative approaches are being used to assign value, and hence to protect, “ecosystem services”—from crops and fisheries to water filtration and flood prevention. All of these need to happen in ways that rural people can participate in and benefit from—which will only happen if they have a degree of control over the process and the ecosystem “assets.” The public equity markets steer billions of dollars every day to companies and projects around the world. While often inadvertent, this allocation of capital all too often hastens the loss of forests, fisheries, and watersheds, and underwrites the build-up of greenhouse gases in the atmosphere. To counter this trend, many private banks have committed to the “Equator Principles,” which incorporate social and environmental criteria in investment decision-making. Major corporations are investing in environmentally cleaner technology because they are convinced it will increase their profits and make them more internationally competitive. In the energy sector, the International Energy Agency estimates that US$16 trillion will be required for global infrastructure investment over the next twenty-five years (IEA 2004:383). Redirecting this massive capital flow to clean energy and transport systems could reduce poverty, increase security, and stabilize greenhouse gas emissions. To be pro-poor, investors and borrowers need to incorporate environmental sustainability in their activities. The developers of power, oil, gas, and mining projects will need to do a better job of managing risks to human health, as well as damage to rivers, fisheries, and other ecosystems. Borrowers from the Equator banks may have to drop or change their plans to meet environmental standards, as was done in many of ABN AMRO’s projects last year. However, while steering private investment in pro-poor directions is critical, it cannot achieve the desired outcome where bad governance is pervasive. Private investment in hydrocarbons and other extractive industries has sometimes been associated with corruption, environmental degradation, social dislocation, and impoverishment. Changing this will require more transparency, public participation, and accountability. The Extractive Industries Transparency Initiative (EITI), launched by the British government, is already proving successful. Royal Dutch Shell and BP have agreed to disclose detailed payment information on their oil operations in Nigeria and Azerbaijan, respectively. Investors representing over US$7 trillion have endorsed EITI, and civil-society organizations are using EITI as an instrument for government accountability. Endorsement of EITI by G-8 nations and oil-producing countries would make a decisive difference to the lives of the poor who live in the 60 countries that depend on oil, gas, and mining revenues (Soros 2005:43). Economic globalization has led to a host of technologies that can aid efficient market functioning, promote sound governance of natural resources, and protect the interests of the poor. Low-cost environmental data collection using remote sensing and highresolution satellite mapping is one example. Tracking and monitoring devices are helping to reduce over-exploitation of fisheries. In Malaysia conservationists use satellite transmitters to keep count of elephants (WWF 2005). Rural Indian farmers with high-speed Internet receive online updates about market prices and weather, making them more competitive (Annamalai and Rao 2003:1). Increasingly low-cost and accessible technologies are beginning to measure trends in deforestation, soil erosion, and climate change. India, China, and Brazil have launched their own satellites, and are sharing data with other developing countries. Hopefully, it will not be long before existing databases—including poverty maps and maps of ecosystem services—can be overlaid routinely on the sites of proposed mining operations, timber harvests, or industrial plants to identify how these developments might affect poor families in the region. A smarter approach to economic globalization can work when the poor are empowered through access to information, participation, and justice, and when they have legally recognized resource rights that allow them to manage, sell, rent, and invest in ecosystem services. By partnering with the private sector to make credit available for ecosystem-based enterprises, and by improving the marketing and transport of goods produced, the poor can gain income and benefit from the wider marketplace that globalization affords. 111
- Page 1 and 2:
WORLD RESOURCES 2005 United Nations
- Page 3:
WORLD RESOURCES 2005
- Page 6 and 7:
WORLD RESOURCES 2005 The World Reso
- Page 8 and 9:
WORLD RESOURCES 2005 ■ Capture Gr
- Page 10 and 11:
WORLD RESOURCES 2005 viii In the sp
- Page 12 and 13:
The Wealth of the
- Page 14 and 15:
WORLD RESOURCES 2005 For many of th
- Page 16 and 17:
WORLD RESOURCES 2005 4 Making gover
- Page 18 and 19:
BOX 1.1 THE DIMENSIONS OF POVERTY 6
- Page 20 and 21:
BOX 1.1 THE DIMENSIONS OF POVERTY L
- Page 22 and 23:
WORLD RESOURCES 2005 10 nations. It
- Page 24 and 25:
WORLD RESOURCES 2005 Percent of Hou
- Page 26 and 27:
BOX 1.2 LIFE ON A DOLLAR A DAY TO B
- Page 28 and 29:
WORLD RESOURCES 2005 16 greater pro
- Page 30 and 31:
WORLD RESOURCES 2005 FIGURE 1.3 A T
- Page 32 and 33:
Box 1.3 HEALTH, ENVIRONMENT, AND PO
- Page 34 and 35:
Box 1.3 HEALTH, ENVIRONMENT, AND PO
- Page 36 and 37:
WORLD RESOURCES 2005 24 The Wealthy
- Page 38 and 39:
WORLD RESOURCES 2005 26 and hence w
- Page 40 and 41:
BOX 1.4 POVERTY AND GOVERNANCE IN A
- Page 42 and 43:
BOX 1.4 POVERTY AND GOVERNANCE IN A
- Page 44 and 45:
Harvests from forests, fisheries, a
- Page 46 and 47:
WORLD RESOURCES 2005 Of course, env
- Page 48 and 49:
WORLD RESOURCES 2005 ADOPTING A LIV
- Page 50 and 51:
WORLD RESOURCES 2005 MISUNDERSTANDI
- Page 52 and 53:
WORLD RESOURCES 2005 FIGURE 2.3 SOU
- Page 54 and 55:
BOX 2.1 FINDINGS OF THE MILLENNIUM
- Page 56 and 57:
WORLD RESOURCES 2005 44 FIGURE 2.4
- Page 58 and 59:
BOX 2.2 BRAZIL NUTS AND PALM HEARTS
- Page 60 and 61:
WORLD RESOURCES 2005 48 Because of
- Page 62 and 63:
WORLD RESOURCES 2005 TABLE 2.6 NATU
- Page 64 and 65:
WORLD RESOURCES 2005 52 FIGURE 2.6
- Page 66 and 67:
The patterns and institutions of go
- Page 68 and 69:
WORLD RESOURCES 2005 56 These facto
- Page 70 and 71:
BOX 3.1 UNDERSTANDING THE SCOPE OF
- Page 72 and 73: WORLD RESOURCES 2005 60 tenure arra
- Page 74 and 75: WORLD RESOURCES 2005 coexist uneasi
- Page 76 and 77: WORLD RESOURCES 2005 64 (Shyamsunda
- Page 78 and 79: BOX 3.2 HOW COMMUNITY-BASED RESOURC
- Page 80 and 81: WORLD RESOURCES 2005 resource manag
- Page 82 and 83: WORLD RESOURCES 2005 FIGURE 3.3: VO
- Page 84 and 85: BOX 3.3 EMPOWERING COMMUNITIES THRO
- Page 86 and 87: WORLD RESOURCES 2005 74 rights in m
- Page 88 and 89: WORLD RESOURCES 2005 76 constitutio
- Page 90 and 91: Empowering the poor with resource r
- Page 92 and 93: WORLD RESOURCES 2005 In addition, w
- Page 94 and 95: WORLD RESOURCES 2005 82 irrigated a
- Page 96 and 97: BOX 4.1 NEGOTIATING INDIGENOUS TENU
- Page 98 and 99: WORLD RESOURCES 2005 86 costs, whet
- Page 100 and 101: WORLD RESOURCES 2005 and training f
- Page 102 and 103: WORLD RESOURCES 2005 90 it is by no
- Page 104 and 105: WORLD RESOURCES 2005 92 Another met
- Page 106 and 107: BOX 4.2 FAIR TRADE CERTIFICATION: R
- Page 108 and 109: WORLD RESOURCES 2005 also common in
- Page 110 and 111: WORLD RESOURCES 2005 98 Understand
- Page 112 and 113: WORLD RESOURCES 2005 practices, inc
- Page 114 and 115: BOX 4.3 SERVING THE POOR PROFITABLY
- Page 116 and 117: WORLD RESOURCES 2005 104 Engaging w
- Page 118 and 119: BOX 4.4 PAYING THE POOR FOR ENVIRON
- Page 120 and 121: WORLD RESOURCES 2005 108 the govern
- Page 124 and 125: Each situation faced by the rural p
- Page 126 and 127: WORLD RESOURCES 2005 The establishm
- Page 128 and 129: WORLD RESOURCES 2005 154 THE MILLEN
- Page 130 and 131: WORLD RESOURCES 2005 referred to as
- Page 132 and 133: WORLD RESOURCES 2005 TABLE 4 SUGGES
- Page 134 and 135: WORLD RESOURCES 2005 Encouraging En
- Page 136 and 137: WORLD RESOURCES 2005 162 POVERTY RE
- Page 138 and 139: WORLD RESOURCES 2005 sector activit
- Page 140 and 141: WORLD RESOURCES 2005 FRAMEWORK FOR
- Page 142 and 143: WORLD RESOURCES 2005 168 titling pr
- Page 144 and 145: WORLD RESOURCES 2005 170 the need f
- Page 146 and 147: Data Tables
- Page 148 and 149: WORLD RESOURCES 2005 WORLD RESOURCE
- Page 150 and 151: WORLD RESOURCES 2005 REGIONS Classi
- Page 152 and 153: WORLD RESOURCES 2005 LOW-, MIDDLE-,
- Page 154 and 155: WORLD RESOURCES 2005 For more infor
- Page 156 and 157: WORLD RESOURCES 2005 FREQUENCY OF U
- Page 158 and 159: WORLD RESOURCES 2005 For more infor
- Page 160 and 161: WORLD RESOURCES 2005 DATA RELIABILI
- Page 162 and 163: WORLD RESOURCES 2005 For more infor
- Page 164 and 165: WORLD RESOURCES 2005 FREQUENCY OF U
- Page 166 and 167: WORLD RESOURCES 2005 For more infor
- Page 168 and 169: WORLD RESOURCES 2005 The Human Pove
- Page 170 and 171: WORLD RESOURCES 2005 For more infor
- Page 172 and 173:
WORLD RESOURCES 2005 FREQUENCY OF U
- Page 174 and 175:
WORLD RESOURCES 2005 For more infor
- Page 176 and 177:
WORLD RESOURCES 2005 FREQUENCY OF U
- Page 178 and 179:
WORLD RESOURCES 2005 For more infor
- Page 180 and 181:
WORLD RESOURCES 2005 Net Fuel Impor
- Page 182 and 183:
WORLD RESOURCES 2005 For more infor
- Page 184 and 185:
WORLD RESOURCES 2005 Total GHG Emis
- Page 186 and 187:
WORLD RESOURCES 2005 For more infor
- Page 188 and 189:
WORLD RESOURCES 2005 collection of
- Page 190 and 191:
WORLD RESOURCES 2005 For more infor
- Page 192 and 193:
WORLD RESOURCES 2005 International
- Page 194 and 195:
WORLD RESOURCES 2005 For more infor
- Page 196 and 197:
WORLD RESOURCES 2005 FREQUENCY OF U
- Page 198 and 199:
WORLD RESOURCES 2005 For more infor
- Page 200 and 201:
WORLD RESOURCES 2005 Calorie Supply
- Page 202 and 203:
WORLD RESOURCES 2005 228 Chapter 4
- Page 204 and 205:
WORLD RESOURCES 2005 230 References
- Page 206 and 207:
WORLD RESOURCES 2005 232 Institute,
- Page 208 and 209:
WORLD RESOURCES 2005 234 ■ World
- Page 210 and 211:
WORLD RESOURCES 2005 236 ■ Solesb
- Page 212 and 213:
WORLD RESOURCES 2005 238 ■ Ostrom
- Page 214 and 215:
WORLD RESOURCES 2005 240 ■ Carter
- Page 216 and 217:
WORLD RESOURCES 2005 242 Watersheds
- Page 218 and 219:
WORLD RESOURCES 2005 244 http://www
- Page 220 and 221:
WORLD RESOURCES 2005 246 Index A Ac
- Page 222 and 223:
WORLD RESOURCES 2005 248 employment
- Page 224 and 225:
WORLD RESOURCES 2005 250 Household
- Page 226 and 227:
WORLD RESOURCES 2005 252 integratio
- Page 228:
WORLD RESOURCES 2005 global relianc