T s2 gh3_ian white

Riversymposium 27Sep 2011

AusAIDAustralia –China Environment Development

PARTNERSHIP with MEP & MWR

Water Eco-Compensation (Payment for Environmental Services) Policy &

Mechanisms, Lesson and Recommendations

Ian White & Co-workers

Fenner School for Environment & Society, ANU


Chinese Activity Implementation TeamCAEPZhang HuiyanGe ChazongLiu Guihuan Xu KaipengWen YihuiMeng Rui MEPZhang XiaolanHe XinMiyun CountyYang ChunyuChengde EPBMr Wang

GIWRPLiu Xiaoyong Zhang JiangyongWei KaimeiHuang HuojianMWRShi HaifengYang ZhijunDong YanfeiZhang LilliPRHRICui Shubin Li JieYan Li

NHRI

Geng Leihua

NDRC

Yang Peng


AAIT Members

Mark CardenBG Group

Geoff CrokePsi-Delta

Phillip FordCSIRO

Chuxia LinUSQ

Joel NilonANUE

Ian WhiteANU


OUTLINE

1.What is Eco-Compensation?

2.What process was used?

3.What Lessons have been learnt? -Fostering partnerships -Policy dialogue

-Capacity building

4.Outputs

5.Recommendations


ECO-COMPENSATION (CCICED)

Eco-compensation is an institutional arrangement to regulate relationships among all stakeholders.

• It assists regulation of the distribution of ecological and economic interests among all stakeholders,

• It supports and encourages ecologically vulnerable regions to undertake ecological protection,

• It encourages provision of ecosystem services, • It improves ecological and environmental protection,

and • It promotes equality and socially coordinated growth

between urban and rural, and other groups.


ECO-COMPENSATION

Economic Compensation

Ecology Compensation

• compensation for limitations on developmentrights, and • protective investment for important

ecological values


Project ProcessPre-Project Design

Component IInception

Component IICapacity Building

Component IIIAnalysis PES Mechanisms

Tender Bid

Inception Visits/Workshop Project Redesign

Literature Review, Australian Case Study Design

Inception Report

Australian Case Study TourWorkshops, Study Tour Report,

Design China Pilot StudyProgress Report

China pilot studiesCost-benefit analysesIntegration Workshop

Final Report


Inadequacies of the Pre-Project Design

Focussed on Payment for Environmental Services Eco-compensation the key issue Project tasks/outcomes unrelated to objectives Assumed PRC Ministries needed basic training Program aimed at integration but design had two separate sub-

projects with MEP & MWR 9 month project-but required formal core partnership

agreements Mandated a literature data base but a critical review was

needed Emphasised gender mainstreaming


Redesigned Aims of ACEDP EC1. Study the approaches and methodologies necessary to develop

practical, efficient, effective and equitable EC or similar integrated schemes to secure safe and adequate water supplies while compensating rural communities for foregone development opportunities and environmental services provided.

2. Develop practical experience in the development of EC or similar integrated schemes in watersheds and regions used for water supplies.

3. Identify common principles, methodologies and policies that can be applied at the national level.

Focussed on city water supplies


Australian Case Studies

SEQ

NVIRP


Australian Case Studies-Core Partners

Dept Sustainability Environment, Water, Population and Communities (DEWHA)

Murray Darling Basin Authority CSIRO National Water Commission Bureau of Meteorology Australian Bureau of Statistics Australian Bureau of Agricultural Economics and

Science Also State, Regional Bodies & Local Government


China Pilot Studies

Dongjiang

Miyun


Integration


Lessons - Partnerships

1. Pre-Project designs can be counter-productive2. Establishment of formal partnerships across cultural &

language divides is a long-term process 3. Partnerships are best established when core partners

work together – pilot or case studies4. Best to get partners on neutral territories5. More effective when integrated6. More effective when all levels of government involved


Policy Lessons for China - Case Study Tours

1. Payment for environmental services using NVIRP processes & Bush returns as models

2. Improve China’s water market mechanisms3. Strengthen inter-sectoral coordination and

cooperation4. Boost public participation in water management; and 5. Improve water management infrastructure 6. Availability of data a central issue

Also policy lessons for Australia!!


The Basin Salinity Management Strategy as an EC Model for China

Values Ecosystem Service Function

Government

Stakeholders

Agreement Targeted Outcomes

Monitoring and Auditing

Clear measurable objectives


Capacity Building

1. Australia has limited experience in PES/EC but long experience in multi-level governance

2. Designed Case Studies as Cooperative Learning Exercises3. Required formal reporting & presentations as part of case

studies4. Used workshop participator evaluations as a method of

monitoring 5. Used pilot projects to demonstrate data acquisition

processes


Outcomes1. Set of principles for equitable and efficient EC/PES

schemes

2. Assessment framework for EC/PES schemes

3. Simple Financial-Biophysical model for assessing PES/EC schemes

4. Institutional suggestions for EC/PES Schemes

5. General policy suggestions from case and pilot studies

6. Contact established between core ACEDP partners

7. Critical review of the Lessons learnt in Australia and China


Recommendations1. Can only establish an effective policy dialogue

when core partners work together

2. Case studies run as cooperative learning exercises are an effective way of building partnerships, enhancing dialogue and building capacity

3. Establishing trust between partners requires time

4. Multi-level governance is an area requiring further investment

5. Are pre-project designs effective?


Technology

T s2 gh3_ian white