Oceana.org and companies with the objective of providing a platform for the exchange of information on biological diversity in areas internationally and distinctive nationally in the United States. Capital is needed to fund programs that help biodiversity conservation and there is an increase in private firm investments trying to contribute to the cause.
Businesses depend on ecosystem services, notably for regenerative and waste assimilation capacities. Many business activities impact – both positively and negatively – a vast array of species and some sectors depend directly on wild plants and animals for their production processes. Also, the private sector plays a dominant role in the commercial use of genetic resources and their derivatives.
There are several barriers to private investments contribution to biodiversity conservation. Missing markets or non-existent property rights and information institutional and enforcement failure play a role among underlying causes of biodiversity loss. Adverse incentives with negative impacts to the private firms include direct and indirect subsidies, market price supports, tax incentives and infrastructure provision. (OECD. 1997. Incentive measures to promote the conservation and sustainable use of biodiversity: Framework for case studies.)
Several elements of success could increase private investment engagement. Political agreements and consensus for action provide clear evidence of the problem which could help increase lifestyle change from the public and the consumer as they become more aware and accepting of the importance of biodiversity and preservation. Setting simple measurable performance targets and indicators for businesses helps efficiently collaborate actions into already existing business models and activities.
Availability of cost effective alternative technologies as well as clear business costs and business opportunities allow for businesses to plan for long-term incentives aligned with the business planning horizon making it easier for government to reward good business performance and penalize adverse outcomes.
By: Raghda Al Mulhim