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Environmental Diplomacy
LSE public lecture
Dr René CastroMinister for Foreign Affairs for Costa Rica
Professor Stuart CorbridgeChair, LSE
Challenges and Opportunities for Challenges and Opportunities for Latin America and the CaribbeanLatin America and the Caribbean
RBLAC Service Line #3RBLAC Service Line #3
Dr.. René Castro
Dr. René Castro
London, January 2011
EcoEco--diplomacy: diplomacy:
critical for Costa critical for Costa
RicaRica’’s sustainable s sustainable
competitivenesscompetitiveness
Eco-diplomacy definitions
Some very important environmental problems which transgress our national boundaries, require international environmental cooperation…in other words ecodiplomacy.
(Ref: Sascha Muller-Kraenner, director Heinrich Boll Foundation, 1999), German Green Party
Many global environmental problems such as the impacts of climate change, the preservation of biological diversity, and trans-boundary air pollution demand multilateral responses (Ref: Paul Hagen, The Environmental Forum, 2010)
Ecodiplomacy 7 distinguishing factors
1. The Nature of the subject matter: from global to interdependency*
2. The Role of Science and Scientist: Uncertainty*
3. The Complexity of Negotiations: local and multilateral impacts*
4. The Unique equity issues involved: North-South, rural-urban, intergenerational*
5. Innovative features and approaches: CDM*
6. Large number of players: from Ozone initial 24 parties to UNFCCC 150 **
7. Ever increasing Role of the Media: Fish bowl**
*Ref: Ambassador Richard Benedick, US, chief negotiator for the Montreal Protocol on Ozone Depletion
**Added by Rene Castro, CR, Chief negotiator for the UNFCCC Kyoto Protocol
Traditional priorities for a country
1. Security*
2. Economics*
3. Social Domestic Issues
4. Something ??
5. Something else ???
6. Local Environment*
7. Global Environment and Commons*
*Ref: Ambassador Richard Benedick, US, chief negotiator for the Montreal Protocol on Ozone Depletion
CountryCountry’’s and Corps sustainability approach*s and Corps sustainability approach*
Economy
Ecology Equity
Sustainability Country
Profits
Value of shares
Wages
consumers
Stakeholders
*Ref: Adapted from Prof. Sarah Cordero, INCAE 2004
ISO 14001
Life cycle analisys
Corporate Social Responsibility
MACROECONOMY MICROECONOMYEc
oefic
ienc
y
Philantropy
CA + CS + CE > CRSE
BA + BS + BE < BRSE
Is Ecodiplomacy Changing Is Ecodiplomacy Changing countriescountries’’ and Firmsand Firms’’Strategies? Strategies?
Financial Crisis: Inflation and oil prices
Fuente:http://www.imf.org/external/pubs/ft/weo/2008/update/02/in
dex.htm Setiembre, 2008 /24/9. 12:00 md
Water Wars: The possible flashpoints are the Nile, Niger, Volta and Zambezi basins
The report predicts that population growth and economic development will lead to nearly one in two people in Africa living in countries facing water scarcity or what is known as 'water stress' within 25 years (BBC, Nov 15, 1999).
Figura 2.3
Availability of resources and the ability of eco-sy stems
Sustainability
Resources demand from the society
The firm today
Unstainable path
Steps towards sustainability
(Sustainable Development)
Inferencia
Tomada de The Natural Step for Business: Wealth, Ecology, and the Evolutionary Corporation , Por Brian Nattrass y Mary Altomare.
The Funnel analogy
Example #1: Car industryExample #1: Car industry
Leaving dead?
Survivor?
Fuente: http://www.economist.com/business/displaystory.cfm?story_id=11670623
Fact: Used cars market value Fact: Used cars market value plummeted for mostplummeted for most
-40%
-35%
-30%
-25%
-20%
-15%
-10%
-5%
0%
5%
10%
15%
% s
ales
Cars andLight
trucks
Chrysler Ford GM Honda
Car makers
Fuente:http://www.economist.com/business/displaystory.cfm?story_id=11670623 Fecha:030708
Demand for large oilDemand for large oil--thirsty carsthirsty cars
in free fallin free fall
Even some ugly hybrids have Even some ugly hybrids have a chancea chance
Figura 2.3
Some are killed by market and environmental changes
Disponibilidad de recursos y capacidad deecosistemas
Sostenibilidad
Demanda de recursos que impone la sociedad
LaCompañíahoy
Dirección insostenible
Pasos hacia la sostenibilidad
(Desarrollo sostenible)Compañía previsora enun futuro sostenible
Inferencia
Tomada de The Natural Step for Business: Wealth, Ecology, and the Evolutionary Corporation , Por Brian Nattrass y Mary Altomare.
Example #2: Cement IndustryExample #2: Cement Industry
Environmental commitments are similar Environmental commitments are similar and stiffand stiff
Emisiones específicas de NOx,SO2 y Polvo (g/tonelada de clinker)
1052
1961
1666
435348
580683
546
120 155
610763
1315
522
311
468669
150
2005 2010 2005 2015 2005 2012
HOLCIM CEMEX LAFARGE
NOx NOx NOx NOx NOx NOxSO2SO2 SO2SO2 SO2SO2P PP P P P
Fuente: Reportes de Sostenibilidad: Holcim 2005, Lafarge 2006, Cemex 2006René Castro, et. al marzo de 2008
Social and environmental programs growingSocial and environmental programs growing
Fuente: Reportes de Sostenibilidad: Holcim 2005, Lafarge 2006, Cemex 2006
Holcim Cemex Lafarge
Relación con ONG UICN Rainforest Alliance W WFWildlife Conservation Society
Habitat para la Humanidad
Conservation International CAREWild FoundationBirdlife InternationalConservation Photographers
Programas de Voluntariado Si Si SiProgramas de Salud Si Si SiContribución proyectos comunitarios "Buen Vecino"
Si Si Si
Apoyo educación y cultura Si Si SiApoyo investigación Fundación Holcim Alianza con SEKN n.i
Construcción de viviendas Si Si SiIgualdad de Género Si Si Si
René Castro, et. al marzo de 2008
Figura 2.3
Is it smart to go ahead of times?
Disponibilidad de recursos y capacidad deecosistemas
Sostenibilidad
Demanda de recursos que impone la sociedad
LaCompañíahoy Dirección insostenible
Pasos hacia la sostenibilidad
(Desarrollo sostenible)Compañía previsora enun futuro sostenible
Inferencia
Tomada de The Natural Step for Business: Wealth, Ecology, and the Evolutionary Corporation , Por Brian Nattrass y Mary Altomare.
Presentada por:
Dr. René Castro [email protected]
Colaboración equipo energía INCAE:Master Leo GuevaraMaster Pavel MolinaIngeniera Química Ana Lucía Alfaro
Example #3. Example #3. Costa Costa RicaRica ’’s ICE and the false s ICE and the false dilemma between lower dilemma between lower costs or clean electricitycosts or clean electricity
Global scenarios for energy and oil Global scenarios for energy and oil economyeconomy
Structural approach
Energy sources for developmentFuente: World Energy Assessment, UNDP, 2000
Green energy opportunites for Costa Green energy opportunites for Costa Rica?Rica?
100% renewable by 2021
Exports to Mexico and Central America
Tomado de: “Plan de expansión de la generación eléctrica, período 2006 – 2025”; ICE; 2006; modificado por el autor
Porcentaje de Generación por Fuente
0%
10%
20%30%
40%
50%
60%
70%80%
90%
100%
1982
1984
1986
1988
1990
1992
1994
1996
1998
2000
2002
2004
2006
2008
2010
2012
2014
2016
2018
2020
2022
2024
HIDRO GEOTERMICO EOLICO TERMICO
ProyecciónHistórico
0
20
40
60
80
100
120
Ene
-01
Jul-
01
Ene
-02
Jul-
02
Ene
-03
Jul-
03
Ene
-04
Jul-
04
Ene
-05
Jul-
05
Ene
-06
Jul-
06
Ene
-07
Jul-
07
($/M
Wh)
GUATEMALA EL SALVADOR HONDURAS
NICARAGUA COSTA RICA PANAMA
12
10
8
6
4
2
0US
$ ce
nts
/ kW
h
Costos Marginales de Corto Plazo en Centro América
Tomado del PGE del ICE para el 2002-2016, Pág. 62
Economies of scale for electricty prices
Publicado en el periódico “La Nación” de Costa Rica, el miércoles 19 de enero de 2005
Green markets will expand Green markets will expand traditional opportunities traditional opportunities
Project Finance
Newer technologies
Exporting electricity and
CO2 neutral goods
Reaching Mexico’s
market?Tomado de Cyclone Wind Energy System, en desarrollo
¿MÉXICO?
GuatemalaGuatemalaGuatemala
El SalvadorEl SalvadorEl Salvador
NicaraguaNicaraguaNicaragua
Costa RicaCosta RicaCosta Rica
PanamáPanamPanam áá
SIEPACSIEPAC
SIEPACSIEPAC
SIEPACSIEPAC
SIEPACSIEPAC
HondurasHondurasHonduras
Existing interconnection
National grid
SIEPAC Line
ES-HO Tie
2,1
14,429,5
16,4 20,3
33,2 37,316,9
63,0
101,9
150?
-
20,0
40,0
60,0
80,0
100,0
120,0
140,0
160,0
Mill
ones
de
US
$
1980 1985 1990 1994 1995 1996 1997 1998 1999 2000 2007
Intercambios de Energía en Centroamérica
Tomado de Cyclone Wind Energy System, en desarrollo Tomado de Cyclone Wind Energy System, en desarrollo
Figura 2.3First mover advantage
Disponibilidad de recursos y capacidad deecosistemas
Sostenibilidad
Demanda de recursos que impone la sociedad
LaCompañíahoy Dirección insostenible
Pasos hacia la sostenibilidad
(Desarrollo sostenible)Compañía previsora enun futuro sostenible
Inferencia
Tomada de The Natural Step for Business: Wealth, Ecology, and the Evolutionary Corporation , Por Brian Nattrass y Mary Altomare.
Example #4: Tropical ForestExample #4: Tropical Forest
Costa Rica: (Forest) StripeteaseCosta Rica: (Forest) StripeteaseCosta Rica: (Forest) StripeteaseCosta Rica: (Forest) StripeteaseCosta Rica: (Forest) StripeteaseCosta Rica: (Forest) StripeteaseCosta Rica: (Forest) StripeteaseCosta Rica: (Forest) Stripetease
Forest Cover increasing due to domestic Forest Cover increasing due to domestic Forest Cover increasing due to domestic Forest Cover increasing due to domestic Forest Cover increasing due to domestic Forest Cover increasing due to domestic Forest Cover increasing due to domestic Forest Cover increasing due to domestic
incentivesincentivesincentivesincentivesincentivesincentivesincentivesincentives
Forest cover by 2005 keeps growingForest cover by 2005 keeps growing
2005 (Forest 2005 (Forest 51.4%)51.4%)
More than 9000
families
Generates more than
mas 25000 jobs/year
Investment of more than
$ 250 000 000More than 750 000
ha.87% protection,
13% other activities
World’s Tropical Forest may grow back after 2010 Cancun Agreements
CO2
Internationally Certified
Pioneer 1997: Certified tradable Offsets (CTOs),Standardized 2005: Certified Emissions Reductions (CERs)
Ref: Castro et al. 2005Ref: Castro et al. 2005
…Part of the money should come from CO2 market
Example 5: Conflicts versusinnovation
Military occupation and damage of Costa Rican territory by the Government of Nicaragua versus Aerospace regional programs
October 27, 2010
Costa Rica has both limited defense and null attack capabilities
Nicaraguan Military Gunship MI-17; used to transport troops to Costa Rican terrritory
Civil helicopter rented by the Costa Rican police forces, to transport policemen to the area occupied by Nicaragua today
10
Effective cartographic comparison between both official sources, and the sketch
of the “Alexander Award” (1898)
“ Alexander Award"
Award X of March 2, 1898
Volume I, page 33
OFFICIAL MAP FROM THE NATIONAL
GEOGRAPHIC INSTITUTE OF COSTA
RICA
OFFICIAL MAP FROM THE
NICARAGUAN INSTITUTE OF
TERRITORIAL STUDIES 8
Increasing sediment deposits and troops presence in Costa Rican
territory since October 27, 2010
November 8, 2010November 11, 2010
November 14, 2010
November 26, 201014
A man-made canal through Costa Rican territory from Harbor Head (Laguna Los
Portillos in Spanish) to the San Juan River November 11, 2010
November 14, 2010
November 26, 201016
AerospaceandClimateChange
Developing new technologies that either have a role in reducing emitted CO2 or improving resilience and adaptation to climate change.
The Government of Costa Rica is supporting the emerging national aerospace industry: Ad Astra Rocket Company, ACAE, CORAAL.
Central America Aerospace Cluster: Launch of the National Program for Aerospace Development and Regional Integration of Central America in New Technologies Generation (July 2010)
DAEDALUS Project• ACAE is building an aerostatic globe that will allow to obtain climate predictions, it will measure the temperature and concentration of CO2 in the atmosphere.
• The project is being sponsored by the Ministry of Foreign Affairs and financed by SICA the regional Government entity.
• The first launch was successfully made on December 18th
buit
Ecodiplomacy: First conclusions
We are evolving from economic globalization to environmental interdependency.
We are evolving from politicians’ short-term cycle to environmental long-term impacts and remedies.
We will need more -not less- negotiations and multilateral agreements…even in times of financial crisis and regional or local conflicts.
Ecodiplomacy lives in a greenish fish bowl
Environmental Diplomacy
LSE public lecture
Dr René CastroMinister for Foreign Affairs for Costa Rica
Professor Stuart CorbridgeChair, LSE
