“Functional aspects of marine genomics including biotechnological applications”

1. Mediterranean Science Commission The Socio Economic Dimension (for Global Reporting and Assessment of the state of the Marine Environment) Paulo A.L.D. Nunes 2008 Joint EC-US / CIESM Workshop Workshop for the North Atlantic, the Baltic Sea, the Mediterranean Sea and the Black Sea, under the auspices of the United Nations, in support of the Regular Process Egmont Palace, Brussels, Belgium, 27-29 June 2012 “Functional aspects of marine genomics including biotechnological applications” Monaco, 12-14 October 2008

2. The socio economic dimension: three pillars Source: TEEB • Recognizing value: a feature of all human societies and communities • Demonstrating value: in economic/monetary terms to support decision making • Capturing value: introduce mechanisms that incorporate the values of ecosystems into decision making

3. Recognizing value • Oceans and Europe Regional Seas:Are responsible for the provision of a wide range of goods and services and therefore source of socio-economic value, whether or not they enter the marketplace

4. Marine Ecosystem Services are capital assets fibre production shore line protection tourist attraction recreation water purification biodiversity navigation genetic resources food production flood protection carbon sequestration beauty recreation stabilising micro-climate game reserve shelter for marine life

5. Demonstrating value • Conventional measures of national economic performance (e.g : GDP growth) fail to reflect these natural capital assets and their benefits flows. “Gross domestic product, the leading economic measurement, is outdated and misleading… it is like grading a corporation based on one day’s cash flow and forgetting to depreciate assets and other costs” – J. Stiglitz, Nobel Price, economics

6. What is natural capital accounting • Natural Capital Accounting Builds this information as satellite accounts to the System of National Accounts to fill the gap All countries rely on System of National Accounts, but some information is missing or invisible : • Depletion and degradation of marine natural capitaloffshore oil & gas and minerals, seagrass/coverage, fish stocks, marine genetic materials, water column • Environmental degradation coastal pollution, loss of coastal tourism productivity • Ecosystem services carbon storage (blue carbon), coastal flood mitigation, marine cultural heritage and seascapes

7. Why do natural capital accounting? Better management of natural capital for growth & poverty reduction (especially in the context of socio-economic diversity of the Mediterranean Sea) • What is the real contribution of Natural Capital to GDP and household livelihoods; how do the poor depend on natural capital? Better indicators for monitoring sustainable development/long-term growth • Is GDP growth sustainable or are we just “living off our natural capital?”

8. Why do natural capital accounting? Better management of natural capital for growth & poverty reduction (especially in the context of socio-economic diversity of the Mediterranean Sea) • How do we weigh tradeoffs among competing users, for example transport industry, off-shore oil and gas industry, fishermen and coastal tourism? • How much should be invested in natural capital, such as marine protected areas? • How can we make ecotourism work for the poor? • How do we balance marine spatial planning, including tourism, fisheries and other ecosystem services like carbon storage or water quality?

9. Natural Capital and inclusive wealth Indonesia India Brazil Ecosystem services dependency 99 million 352 million 20 million Ecosystem services as a % of classical GDP Ecosystem services as a % of “GDP of the Poor” Ecosystem services Source: TEEB 22.08.2014 9

10. Natural Capital and inclusive wealth: assessment of the role of the Natural Capital hosted by the Mediterranean sea in terms of poverty alleviation North shore South shore Ecosystem services dependency xxx? million yyy? million Ecosystem services as a % of classical GDP For socio-economic assessment Ecosystem services as a % of “GDP of the Poor” Ecosystem services Source: TEEB 22.08.2014 10

11. Capturing the value Recognizing value Demonstrating value Capturing value Norms, Regulations & Policies Regional Plans Legislations Economic Mechanisms Certification MPA Evaluation Markets PES

12. Implementation of Natural Capital Accounting • SEEAUN’s System of Environmental and Economic Accounting, developed over past 20+yrs. • SEEA is a comprehensive accounting framework, like the System of National Accounts (SNA), that links the use of natural capital by the economy and the impact of the economy on natural capital SEEA Central Framework was adopted as an international statistical standard February 2012, like the SNA This establishes agreed methodology for material natural resources, but more work is needed for the ‘more difficult to measure’ natural capital—ecosystems.

13. Beyond Rio+20 • WAVES – Wealth Accounting and Valuation of Ecosystem Services, launched by WB President Zoellick in October 2010, at CBD COP 10 • '50:50' campaign is a World Bank Group-facilitated initiative that provides a unique opportunity for the public and private sectors to join forces, launched at Rio+20

14. Bringing WAVES to the Mediterranean Sea with CIESM • Implement natural capital accounting in countries along the North and South shores 2. Incorporate natural capital accounts in policy analysis and marine spatial development planning 3. Scientific credibility —develop methodology for ecosystem accounting for the SEEA with natural scientists 4. Promote global adoption of natural capital accounting beyond the pilot countries

15. Thank you