Dr. Sandra Kleine

Slide 1:Economic instruments to finance climate and biodiversity action29th August 2022Dr. Sandra KleineMinistry of Climate Protection, Agriculture, Rural Areas and the Environment,Mecklenburg-Vorpommern (Germany)Slide 2:Landscapes in Mecklenburg-VorpommernOur wealth consists of numerous biotopes and their indispensable ecosystem services - which are of no value for economic statistics unfortunately...69 inhabitants per km2GDP 49,46 Bn EUR29th August 2022Slide 3:Ecosystem Services and BiodiversityForestsprovide timber1 ha sequesters about 8-9 t CO2 per year (life cycle!)Peatlands1 ha of rewetted peatland avoids about 15 t CO2 equivalent per year (on average)Orchardsprovide fruitscontribute positively to biodiversity - many varieties with local distribution, diverse habitat with adapted species....Hedges1 ha sequesters approx. 4 t CO2 in 30 years; contributes positively to biodiversity (biotope network)29th August 2022Slide 4:Landscapes Biodiversity and Ecosystem ServicesHow can we bring them into economic equations?29th August 2022„Ca. 970 Mrd US$ per year are needed to stop species extinction till 2030!“www.responsible-investor.com„ There is a lack of instruments to invest in ecosystem services!“www.bloomberg.comSlide 5:29th August 2022Translated into Action...Plant trees!Rewet peatlands!Care for and restore orchards!Plant hedges!Make ecosystem servicesvisible, assessable andinvestable!Slide 6:29th August 2022Milestones of the Eco-Securities – „Ökowertpapiere“2007Waldaktie„Woodstock“Climate protection2011MoorFutures„Peatland futures“Climate protection2015Streuobstgenussschein„Orchard coupon“Biodiversity2022HeckenScheck„Hedge fonds“Climate protectionBiodiversityClimate adaptationSlide 7:Bases and Impacts of Eco-SecuritiesProtection of climate and environment (ecologic)voluntary market complements mandatory marketsMonetisation of ecosystem-services (economic)we make use of markets!Correct market failurespublic goodsLeverage of private investments (political economy)state provides framework for private investments („impact investing“)Urban vs. rural areas (rural development)enable rural areas to make use of their comparative advantageeconomic activities in urban areas are based on ecosystem-services of rural areasreward of rural areas by urban capital flows29th August 2022Slide 8:29th August 2022Milestones of the Eco-Securities – „Ökowertpapiere“2007Waldaktie„Woodstock“Climate protection2011MoorFutures„Peatland futures“Climate protection2015Streuobstgenussschein„Orchard coupon“Biodiversity2022HeckenScheck„Hedge fonds“Climate protectionBiodiversityClimate adaptationSlide 9:Facts about PeatlandsMost important terrestrial carbon storagedrainedwetGHG-EmissionsGHG-Emissionsmitigated4 times more carbon than woods29th August 2022Slide 10:Facts about PeatlandsIn Mecklenburg-Vorpommern:300.000 ha13 % of land area450.000.000 tons of carbonMost important terrestrial carbon storage4 times more carbon than woods29th August 2022Slide 11:Facts about Peatlandsnatural peatlandsdrained peatforestsagricultural peatlandsunused peatlandsIn Mecklenburg-Vorpommern:300.000 ha13 % of land area450.000.000 tons of carbonMost important terrestrial carbon storage4 times more carbon than woods29th August 2022Slide 12:Peatlands in Mecklenburg-VorpommernHirschelmann et al. 2020 https://www.greifswaldmoor.de/files/dokumente/Infopapiere_Briefings/20210531_Faktenpapier%20Moorklimaschutz.pdf29th August 2022Slide 13:Peatlands in Mecklenburg-VorpommernHighest GHG-Source in Mecklenburg-VorpommernHirschelmann et al. 2020 https://www.greifswaldmoor.de/files/dokumente/Infopapiere_Briefings/20210531_Faktenpapier%20Moorklimaschutz.pdf29th August 2022Slide 14:MoorFutures – Your Investment in Climate ProtectionStandard MethodologyBrandMinistryof Climate Protection, Agriculture, Rural Areas and the EnvironmentCompetence CenterEco-Securitieswww.moorfutures.de29th August 2022Slide 15:MoorFutures – Your Investment in Climate ProtectionStandard MethodologyBrandMinistryof Climate Protection, Agriculture, Rural Areas and the EnvironmentCompetence CenterEco-Securitieswww.moorfutures.deforward looking baselinebased on the mitigated emissions of rewetted peatlandsalinged with international standards of voluntary carbon market29th August 2022Slide 16:MoorFutures – Your Investment in Climate ProtectionLandownersProject executing agencyNGO / PartnersAdvisory BoardStandard MethodologyBrandMinistryof Climate Protection, Agriculture, Rural Areas and the EnvironmentCompetence CenterEco-Securitieswww.moorfutures.de29th August 20221 MoorFutures represents 1 ton CO2-eq that is mitigatedSlide 17:29th August 2022MoorFutures – Your Investment in Climate ProtectionMinistryof Climate Protection, Agriculture, Rural Areas and the EnvironmentCompetence CenterEco-SecuritiesLandownersProject executing agencyNGO / PartnersAdvisory BoardStandard MethodologyBrandProject working groupwww.moorfutures.de2/3 of all peatland areas in GermanySlide 18:MoorFutures – with Co-BenefitsRewetting stops immediately the emissions!Nature conservation - e.g. preservation of biodiversityWater management - e.g. retention and filter function, especially for nutrients, retention areas, flood regulation function, drought.Climate protection - C sink, contribution to reducing atmospheric pollution by climate-relevant gasesUse - including forestry use (alder forests), reed cultivation, nature tourism,Environmental education - raising people's awareness, especially of the services provided by intact biotopes, using peatlands as an example.29th August 2022Slide 19:Summary – The Eco-SecuritiesEco-securities are very effective communication tools to make socially relevant services of intact biotopes visible.By valorising them, considerations and decisions become "smarter" and natural capital is no longer "overlooked".Eco-securities offer great opportunities to develop attractive CSR strategies together with companies.Eco-securities lead to new "sustainability alliances" at regional level (sharing, citizen science...).29th August 2022Slide 20:Ministry for Climate Protection, Agriculture, Rural Areas and Environmentwww.regierung-mv.deCompetence Center for Eco-Securitieswww.z-eco.deDr. Sandra KleineFon +49 385 588-16276s.kleine@lm.mv-regierung.des.kleine@lm.mv-regierung.dewww.z-eco.deww.mecklenburg-vorpommern.deThank you very much for your attention!