payments for ecosystem services - Instituto de Estudos Agrários e

Transcrição

SOUSA, L.V.C; CAMPOS, E. M.G; PEREIRA JUNIOR,S. B.;ISAAC, L. & FERNANDES, E. A.
Payments for ecosystem services (PES) to promote sustainable agricultural: a case study for the
municiplality of Coronel Xavier Chaves – MG.
50
PAYMENTS FOR ECOSYSTEM SERVICES (PES) TO PROMOTE
SUSTAINABLE AGRICULTURAL: A CASE STUDY FOR THE
MUNICIPALITY OF CORONEL XAVIER CHAVES – MG
Lucas Vitor de Carvalho Sousa1
Eneida Maria Goddi Campos2
Sergio Batista Pereira Júnior3
Luciano Isaac4
Elaine Aparecida Fernandes5
Abstract: This paper is aimed to identify the components of a Payment for Ecosystem’s Services (PES)
scheme in Coronel Xavier Chaves - MG, as an environmental policy mechanism to promote rural
sustainability through finance agrosilvopasture systems. Through field research, surveys, interviews with
experts and questionnaires, we have identified ecosystem’s goods and services provided by clipping
geographic issues, its users, providers and institutions. The results show that a PES scheme for the sector,
based on agrosilvopasture systems will be successful bearing in mind the strong agriculture vocation in
this city and components of a PES scheme observed. Consequently, this fact will contribute to the
restoration and preservation of nature and remunerating providers of ecosystem’s goods and services in a
region with remnants of Atlantic Forest.
Key words: Agrosilvopasture system; sustainability; ecosystem’s goods and services.
Resumo: Este artigo objetivou identificar os componentes de um esquema de Pagamentos por Serviços
Ecossistêmicos (PSE) no município de Coronel Xavier Chaves - MG, como um mecanismo de política
ambiental para promover a sustentabilidade rural via financiamento de sistemas agrossilvipastoris.
Através de pesquisas a campo, entrevistas a especialistas e aplicação de questionários, foram identificados
bens e serviços ecossistêmicos prestados pelo recorte geográfico em questão, seus usuários, fornecedores
e instituições. Os resultados mostraram que, diante da forte vocação agropecuária desse município e,
diante dos componentes de PSE observados, um esquema de PSE para o setor, baseado em sistemas
agrossilvipastoris será bem sucedido. Contribuindo assim, para a recuperação e preservação da natureza e
remunerando os provedores de bens e serviços ecossistêmicos em uma região com remanescentes de
Mata Atlântica.
Palavras-chave: Sistema agrossilvipastoril; sustentabilidade; bens e serviços ecossistêmicos.
JEL Codes: Q 01 Agriculture; Q 56 - Environment and Development, Environment and Trade,
Sustainability, Environmental Accounts and Accounting, Environmental Equity, Population Growth; Q
57 Ecological Economics: Ecosystem Services, Biodiversity Conservation, Bioeconomics, Industrial
Ecology.
1
Mestrando em Economia pela Universidade Federal de Viçosa (UFV). Av. P. H. Rolfs, s/n, Campus Universitário,
Departamento de Economia (DEE), Viçosa - MG, CEP 36570-000. Tel.: 32 9122 9081 email:
[email protected]
2
Professora Doutora do Departamento de Ciências Econômicas da Universidade Federal de São João del-Rei
(DCECO/UFSJ). Pç. Frei Orlando, 170, sl. 4.17, São João del Rei - MG, CEP 36307-352. Tel.: 32 3379 2547
email: [email protected]
3
Graduando em Ciências Econômicas pela Universidade Federal de São João del-Rei (UFSJ). Pç. Frei Orlando, 170,
sl. 4.15, São João del Rei, MG, CEP 36307-352. Tel.: 32 9130 4064
email: [email protected]
4
Mestrando em Economia pela Universidade de Buenos Aires e professor do Departamento de Administração e
Ciências Contábeis da Universidade Federal de São João del-Rei (DECAC/UFSJ). Avenida Visconde do Rio Preto,
s/n (Km 02) Campus Tancredo Neves (CTAN/UFSJ), São João del Rei, MG,CEP 36300-000. Tel.: 32 3371
7731 email: [email protected]
5
Professora Doutora do Departamento de Economia da Universidade Federal de Viçosa (DEE/UFV). Av. P. H.
Rolfs, s/n, Campus Universitário, Departamento de Economia (DEE), Viçosa - MG,
CEP 36570-000. Tel: 31 3899 2455. email: [email protected]
SOCIEDADE E DESENVOLVIMENTO RURAL on line – v.7, n. 4– Nov – 2013.
www. inagrodf.com.br/revista
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1 INTRODUCTION
This article aims at identifying through a study case both strengths and
limitations provided by the city of Coronel Xavier Chaves, Minas Gerais, so that a
Payment for Ecosystem Services Scheme (PES) envisaging a sustainable agropecuary is
implemented. It is interesting to notice that the pressure caused by human activity in
the environment has affected both welfare and ecosystem’s services provided by nature.
(COSTANZA et al., 1997; MEA, 2005). This scenario is worsened by the inefficient
management of natural capital as well as the lack of incentive and economic
compensation to environmental preservation (PAGIOLA and PLATAIS, 2007).
Consequently, the increasingly demand on food supply and fuel requires a more
intensive agricultural and pecuary activity, a fact which makes it a humanity challenge
in terms of innovative solutions research. Especially, if one considers the fact that
technology is able to replace the welfare and services provide by nature.
Hence, an alternative solution to such a problem has been discussed, not only by
the United Nations for Food and Agriculture (FAO, 2011) but also by governments,
international organizations and the private sector; so, the PSE scheme seems to be a
potential solution.
The PES scheme is a financial compensation to the local, regional and global
welfare and ecosystem’s services users to the providers of such services (GÓMEZBAGGETHUN et al., 2009). Thus, the PES is a way of adding monetary value to the
services generated by nature, like food and water supply, pollination, carbon
sequestration amongst others. This makes the ecosystem’s services offer part of the
agents’ strategic decision, as the users will have a direct incentive to make their practice
more sustainable (PAGIOLA et al., 2002).
The best-known and successful PES case to date is the one in Costa Rica, which
started in 1996, with the amendment of the Forestry Plan Management Law. Such a
program motivates the agricola producers to preserve and restore their forest remnants
via financial compensations (MORSE et al., 2009; e Daniels et al., 2010). In Brazil, we
can highlight the PES program called Conservador das Águas and was implemented
and developed by the City Council of Extrema-MG and the project Produtor de Água
financed by the NGO The Nature Conservancy (TNC), which pay the rural producers to
restore the forests and preserve the soil (GUEDES and SEEHUSEN, 2011).
Differently from the PES previously mentioned, the idea proposed in this work
is not only a mere transfer of financial resources to those who provide ecosystem’s
goods and services. It actually enables the rural producers to use new Technologies, say:
the agrosilvopasture system, which is capable of generating income, maintaining and
increasing ecosystem’s goods and services as well as attracting work force to the rural
areas.
Hence, this work has as a main goal to identify, through a case study, the
potential and limitations in Coronel Xavier Chaves to build a PES scheme proposal. We
specifically aim at defining the applicants and providers as well as estimating
Acceptance Disposition (AD) and Payment Disposition (PD) values of the ecosystem’s
goods and services. Lastly, we have tried to describe the PES proposal to the city
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mentioned above. Through hypothesis, the ongoing projects of a sustainable use of the
natural resources allow room for a PSE scheme installation6.
2 MATERIAL AND METHODS
We have defined the city of Coronel Xavier Chaves (MG) as a geographical cutout and the data was collect through field research, documental research and
bibliographical revision.
The identification/hierarchy of the Ecosystem’s Goods and Services (EGSs)
provided by the city, eligible to be included in a PSE scheme, was done through
Costanza’s classification (COSTANZA et al. 1997) and MEA (2005). To assist the
EGSs choice, secondary data from the Instituto Brasileiro de Geografia e Estatística IBGE as well as Instituto de Pesquisa Econômica Aplicada – IPEADATA was used.
Such data included information about the soil, main agropecuary activities and the
number of rural establishments.
We have also collected primary data through interviews with the local specialists
like the City Environment and Agricultural Secretary as well and such the technicians of
the Regional Office of the Empresa de Assistência Técnica e Extensão Rural do Estado
de Minas Gerais (EMATER-MG). The surveys, carried out in October 2011 and
supervised by the EMATER-MG technicians, bore in mind the land owners, considered
the EGSs providers, as well as the existing enterprises and economic activities that use
environmental resources. The latter ones were provided and shortlisted by Regional
Farming Administration (RFA), and data provided by the City Council7.
According to the Agropecuary Census (IBGE, 2006), there are 181 agropecuary
establishments in Coronel Xavier Chaves, 84% of which are concentrated within a 5 –
10 hectares area. Therefore, the population of rural producers was drawn in relation to
its distribution. Afterwards, a sample of the population was selected and the calculation
was based on Silva et al. (1997)8.
The estimate value to be paid to the EGSs providers was based on the
environmental resources economic valuation, the production function, whose economic
and environmental indexes were priced by the substitute goods and services and/or the
complementary services available in the market.
3 RESULTS AND DISCUSSION: A PES Scheme Proposal to the city of Coronel
Xavier Chaves
3.1 The PES Scheme Components and Format
6
As the recent program ‘Células Rurais Sustentáveis’ that financially awarded rural producers who
promoted environmental preservation actions and sustainable agriculture on their lands, supported by
public and private as well as regional and state institutions.
7
For further details, refer to final scientific report sent to FAPEMIG, entitled ‘Sistema de Pagamentos
por Serviços Ecossistêmicos (PSE) como um instrumento de política ambiental: identificação dos agentes
e proposta de implantação em municípios da microrregião São João del-Rei (MG).’
8
The significance level was defined by 10% and the average error margin by 10 hectares, since taking the
average taken +/- 10 hectares (the maximum error margin accepted in population average estimates) one
can find most of the rural properties located in this geographical stripe.
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Coronel Xavier Chaves is eminently motivated by agricola activities as,
according to IBGE (2006) and IPEADATA (2011) data, approximately 46% of the
Economically Active Population (EAP) are found in rural areas. In addition, the
agropecuary sector alone is responsible 40% of the Gross Domestic Product (GDP) in
the city. Besides, it is interesting to point out that the number of cattle is larger than the
number of people living in the city, in which 3.451 heads of cattle against 3.301
inhabitants. These figures go on to show the existing agropecuary vocation in Coronel
Xavier Chaves. As far as agriculture is concerned, the farming products which are
cultivated in the area are coffee beans, sugar-cane, beans and corn.
Having noticed that Coronel Xavier Chaves is intrinsically motivated by socioeconomic activities related to mainly agropecuary, the program aims at strengthening
such agropecuary and sustainable environmental characteristics. This can be achieved
through an agrosilvopasture system, maintaining and recovering the participation of the
economically active rural population in the city.
In this sense, the agrosilvopasture system acts like a tool to ensure sustainability
in the agricola realm, capable of curbing the environmental pressure and increasing the
rural producer’s income once it diversifies agricultural activities like reforestation,
agricola cultivations, pastures and cattle farming. In other words, by using this model of
economic rural activity, one may preserve green areas, integrating agricultural
cultivation (corn, beans and sugar-cane amongst others) and pecuary within the same
environment.
However, in order to succeed in implementing such a system, it is of paramount
importance that the rural producer shows interest in new technologies as well as the
specialized assistance provided. According to Oliveira Neto and Paiva (2010), the
renewal or recovery of pasture, seen as part of the procedure concerning the
agrosilvopasture system implementation might have the costs amortized through the
income provided by agricola culture, a fact which is usually generated in the first year
depending on the producer’s interest. What is more, the woodland component becomes
an alternative source of income activity to the rural producer, which, in turn, will escape
from the risk of seasonality spread once the production will be diversified.
The adoption of an agrosilvopasture system brings about costs to the rural
producer, yet Cordeiro and Silva (2010) points out that it is economically viable once
there is technical assistance with both implementation and operation. On the other hand,
there is the financial benefit, mainly environmental ones, which enables the rural
producer to diversify their income and offer ecosystem’s goods and services. Take the
eucalyptus as an example which features a permanent cultivation system due to its
forestry component.
The major agrosilvopasture system benefits, besides its production diversity, are
the erosion control and higher soil fertility. Plus, the shade provided by the woodland
component might bring a higher cattle productivity. Garcia et al. (2010) mentions that
the shading system reduces incident, decreasing the room temperature as well as the
evapotranspiration index, increasing both air and soil humidity. Furthermore, the grass
which grow in the shade tend to be juicier (CASTRO et al., 1999), a fact which
contributes to the animals welfare.
Hence, it is evident that the agrosilvopasture system is efficient and sustainable,
and this will result in better productivity, a rural producer’s income which is varied and
a EGSs production. However, it is important that the rural producer is committed to this
system, willing to take loans whenever they have a low budget and receive specialized
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technical support. It is worth pointing out that most rural producers are provided with
this support by EMATER-MG and that such support is usually free of charge.
3.2 Provided and Demanded Ecosystem’s Goods and Services (EGSs)
The provided and demanded EGSs in Coronel Xavier Chaves, based on
Costanza’s classification (COSTANZA et al., 1997), were the following: Water
regulation; Water supply; Erosion control and sediment retention; Soil formation;
Nutrients recycling; Biodiversity (Atlantic Forest); Residue Treatment (Selection and
Compositing); Carbon sequestration; Pollination; Food production; Raw material and
Entertainment (São José Mountain).
In order to identify the EGSs users and providers, a questionnaire was used with
11 rural producers. The data allowed us to visualize important characteristics of the
producers’ profiles relating the variables to their categories and/or dependence.
In Coronel Xavier Chaves, the average area of interviewed land owners is 26,64
hectares, whose ownership is approximately 28 years. The main declared activities are
corn plantation, dairy agro-industry for both sub-existence and commercial ends, with
90,91% of the interviewed producers using the same conservationist technique, such as
direct planting, contour lining, etc.
When asked about the changes in the quality of the agropecuary production in
their properties, only one producer revealed that the quality has remained the same
whereas the other producers confirmed that the quality of the produce has improved due
to the use of new technologies and sustainable techniques. Only 18,18% of the
interviewed producers reported a fall in the production.
As far as the EGSs are concerned, all producers have reported that their
properties have water bodies as well as woods or forests (Figure 1). About 45,45% of
the interviewed people (11 land owners / producers altogether) confirmed the offer of
all ecosystem’s goods and services listed in the questionnaire (water, woods/forest,
pollination, erosion control and sediment retention). When asked about the degraded
areas in their properties, 27,27% reported the existence of such areas which negatively
affected the production.
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Figure 1: EGSs provided in rural areas based on producers’ information, percentage
Source: Research data base.
As for the Acceptance Disposition (AD) of payment to maintain a EGSs offer
found in their lands, or even a compensation for any damage caused by third parties, all
producers were willing to take loans, yet did not precisely inform how much they would
take per hectare or year. This fact is closely linked with a disbelief in public institutions
in effectively providing this investment and, to make matters worse, fear of
embezzlement.
When it comes to the producers’ expectations of the institutions which should be
responsible for paying them to preserve and/or recover the natural resources in their
properties, the vast majority reported that the government (at all levels) as the main
responsible, a few mentioned the polluting companies as they are likely to do damage to
the environment and, eventually, should account for any sort of compensation.
The main EGSs users, as noticed, are the companies and industries located in
Coronel Xavier Chaves. In order to indentify the EGSs providers, three companies were
selected from the Farming Administration and later on interviewed. We shall name such
providers as: Company A – a sugar-cane-based distillery company; Company B – a
poultry farming factory which also produces poultry feed; Company C – an ashlars
masonry and stone sculpture company.
When asked about the EGSs, which were ranked as of good quality, the
following items were listed: water, eucalyptus burning wood, stones, sugar-cane, corn
and soya. The companies have also reported that the residues originated from the
production process (vinhoto, sugar-cane bagasse, corn flour, soya flour, meat and
feather meal, animal waste, stone chips, boiler serum and smoke) are recycled, yet
Company C admitted to affecting negatively the environment by the inversion of soil.
By the same token, all three Companies are aware of the importance of preserving
natural resources as these are essential to life.
However, neither company seemed supportive when enquired about the Payment
Disposition (PD) to permanently guarantee the EGSs required for their productive
process. They argue that the government should be responsible for it since they have to
pay too many taxes. They mention that, together with the EGSs providers, the Public
Power should also take an active role when it comes to preserving and restoring the
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natural resources. Consequently, bearing the PD in mind, it is a foregone conclusion
that the three companies will not follow the proposal in this study.
3.3 Potential Funding Sources to a PSE scheme in the city
The potential funding sources to a PES scheme are vitally important. They must
be stable and long-lasting in terms of providing regular funding to the producers. On
having analyzed both primary and secondary data in this research, it is suggested that
the EGSs, the ICMS-Ecológico (ICMS-E)9 and the Bolsa Verde10 should be the main
funding sources. This should be done so on the grounds that, firstly, the city receives the
ICMS-E and, consequently, it would be a source of compensation to those who provide
and preserve the EGSs.
Secondly, the providers of such resources (conversion of native woods and
forests in legal reserves or in conservation units) will allocate continuously and
permanently the ICMS-E and the Bolsa Verde through the State Government. There is
also a great likelihood of increasing the funding as the city Environment Secretary
declared that “an Effluent Treatment Station (ETS) will soon be built, increasing the
ICMS-E allocation’’
Thirdly, the ICMS-E and the Bolsa Verde themselves will contribute to the city
as they can be invested in environmental programs. Last, but not least, these do not
imply opportunity cost, as they are financial resources generated by the environment
and, consequently, for the environment.
Bolsa Verde is suggested as a funding instrument to preserve woods and forests
in the city as it is a way of compensating for the producers that respect the legal reserve.
It is also a way to replicate the observation of the environmental laws by the producers
since this program targets the recovery of native forestlands as well.
3.4 The Economic Value of the payment to the selected EGSs providers
The economic value to be paid by the PES program to the rural producers that
follow the agrosilvopasture system was hereby defined by EMATER-MG technical
information referring to 2011. This value ranged from R$ 1.700,00 to R$ 2.228,00 per
hectare for the implementation process, and R$ 510,00 per hectare/year, on average, to
maintain the system. This comprises the cost of soil preparation, the system
maintenance (the eucalyptus weeding and pruning as well as the pasture fertilization),
the variation of culture or agricultural activities in the area chosen for the
agrosilvopasture system implementation.
Such figures were obtained through methods which are based on the market of
substitute goods and marginal productivity, estimated by the production function of the
agrosilvopasture system, and were made available by EMATER-MG. This is due to the
fact that the rural producers were unable to apply the contingent evaluation technique
9
The ICMS-E (Tax on Circulation of Goods and Services - environmental factor) stems from two subcriteria: a) the Conservation Index, which refers to the Conservation Units and other protected areas such
as natural reserves; b) the sub-criteria of the Environmental Sanitation Index (ISA), linked to landfills,
sewage treatment plants and waste selection and composting plants.
10
The Program ‘Bolsa Verde’, still under implementation, stems from the preservation and/or restoration
of native vegetation cover in rural properties.
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(AD and PD) and, consequently, did not know or chose not to establish the funding they
were willing to receive. However, they showed interest in making their exploration of
natural resources more efficient, productive and sustainable.
Taking into account the present pricing and the ICMS-E collected in the city (R$
27.434,66, in 2010), it would be possible to use such a resource alone to implant the
program for approximately 14 hectares11. Evidently, this ICMS-E allocated in Coronel
Xavier Chaves is still incipient, yet it is likely that such figure will increase due to an
ETE installation as well as the regularizations of the Residues Selection and
Composting Plant in the city.
On the other hand, in case the environmental legislation is met, the conversion of
20% of the average area of the rural establishment in legal reserve12, there will be
another permanent funding source to the PES scheme proposed here. The Bolsa Verde
program plays an important role as rural land owners are provided with R$
200,00/hectare/year for preserved native woodland.
Having met the environmental legislation, it was estimated the conversion of
20% out of 6.988,5 hectares correspondent to the total area of the rural establishments
in the city (IBGE, 2006). The area value found was 1.397,7 hectares of potential legal
reserve, which is exactly the sort of soil required for the Bolsa Verde allocation, as long
as it is legally certified and accredited by the Public Power.
When multiplying this area (1.397,7) by R$ 200,00, one gets the allocated value
provided by the Programa Bolsa Verde (R$ 279.540,00). Then, it proves to be possible
to expand (implant) the program in the short run using the resources provided by the
Bolsa Verde, on the grounds that the rural producers use such funding to implant the
agrossilvipastoris system within approximately 142 hectares in Coronel Xavier Chaves.
The Bolsa Verde program, the ICMS-E allocations as well as the legal reserve
conservation alone, would bring to about 156 hectares only in the first year of system
implantation.
In case it is decided upon continuing with the PES program in agrosilvopasture
systems, from the second year on, with an annual maintenance cost of R$
510,00/hectare, R$ 306.974,66 (resources provided by both the Bolsa Verde and ICMSE, supposing the values are the same) the sum of R$ 79.560,00 would be spent (R$
510,00 x 156 hectares). That said, R$ 227.414,66 would allow room for converting
115,79 hectares more into agrosilvopasture systems, and keep expanding to an area of
approximately 602 hectares, if one considers the values in 2011 and the only resources
mentioned above to materialize the PES scheme proposed here.
Finally, it is suggested that EMATER-MG should be the managing and
supervising institution as it would be responsible for the technical support required, let
alone the credibility and trusting profile it has to keep the process going. The City
council would also play an important role as it is one institution which envisages the
welfare of the city by providing funds to be invested in environmental issues, regulating
11
It was taken into account the average cost of the agrossilvipastoril system implementation, which is
R$ 1964,00.
12
The area of Legal Reserve was ruled by the ‘Código Florestal’ (Lei 4.771/65), in which deforestation is
not allowed, but the controlled use that guarantees the sustainability of the natural resources and
ecological processes. The area of Legal Reserve may vary according to the region and biome: 80% of
Forest Areas in Legal Amazon; 35% of Cerrado Biome; 20% of general fields; and 20% of all biomes in
other regions in the country.
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the process and making sure that PES scheme runs accordingly. We cannot forget the
Rural Producers Union, as a way of organizing the participants, mediating and
facilitating constant evaluation of the program, reporting any potential impairments and
the kind and, above all, being responsible for supervising the financial resources
allocated by the City Council.
It is important to mention that there will be no opportunity cost to the society
when using the ICMS-E and Bolsa Verde to finance investments in the PES scheme, as
such funding should be used for environmental purposes.
4 CONCLUSION
This work enabled us to identify both providers and demanders of ecosystem’s
goods and services in Coronel Xavier Chaves as well as both potentialities and
limitations of a PES scheme, envisaging the implantation and/or expansion of
agrosilvopasture systems. The initial hypothesis was confirmed, which suggests
viability, feasibility and sustainability for a PES scheme implantation in the selected
city.
The identified potentialities comprise the good quality of ecosystem’s goods and
services provided in stock. As observed in the interviews, all properties provide at least
one ecosystem’s good and service. The region and rural areas are also viable to an
agrosilvopasture system implantation.
Besides, an agrosilvopasture system implantation will allow room for a
continuous and maybe long-lasting PES scheme presented here, a fact which is
supported by the woodland component as well as economic feasibility. It is worth
pointing out the high number of rural producers that make use of at least one
conservationist technique facilitates an agrosilvopasture system implantation, as the
system itself is a conservationist technique which requires the use of other techniques,
for instance, the direct planting.
The main limitation observed was the lack of interest of some companies in the
city to participate in this PES scheme. This is the reason why the funding is allocated by
governmental institutions. On the other hand, such fact leads to a more stable status
when it comes to meeting the funding requirements, which keeps up to regular and
constant payments.
In order to actually consolidate the PES scheme, there must be use of Economic
Instruments (ICMS-E, Bolsa Verde amongst others) and Communication Instruments.
The latter ones will raise awareness of the importance of an environmental education
ensuring that the agents involved in the PSE scheme treasure, preserve and recover the
natural resources present in their city. By the same token, it is important to motivate the
non-participants to take a more activity role and, consequently, join in the PES scheme,
a fact which would expand their capacity of providing ecosystem’s goods and services.
ACKNOWLEDGEMENTS
The authors would like to thank Fundação de Amparo à Pesquisa do Estado de Minas
Gerais (FAPEMIG) for the financial support which allowed this research to be carried
out.
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