19
Overview of the Cost Benefit Analysis - Challenges Rashid Sumaila Fisheries Centre, University of British Columbia Vancouver, Canada Governance and CBA of WIO Workshop Nairobi, 18-19, January 2011

Overview of the Cost Benefit Analysis - Challenges

  • Upload
    libby

  • View
    16

  • Download
    0

Embed Size (px)

DESCRIPTION

Overview of the Cost Benefit Analysis - Challenges. Rashid Sumaila Fisheries Centre, University of British Columbia Vancouver, Canada. Governance and CBA of WIO Workshop Nairobi, 18-19, January 2011. Goal for the CBA work (from this meeting). - PowerPoint PPT Presentation

Citation preview

Page 1: Overview of the Cost Benefit Analysis - Challenges

Overview of the Cost Benefit Analysis - Challenges

Rashid Sumaila

Fisheries Centre, University of British Columbia

Vancouver, Canada

Governance and CBA of WIO Workshop Nairobi, 18-19, January 2011

Page 2: Overview of the Cost Benefit Analysis - Challenges

Goal for the CBA work (from this meeting)

• To benefit from your collective knowledge and wisdom on how best to conduct our study to make it as useful to the region as possible;

• Leave meeting with a clear idea of what to do and how to do it;

• Learn from the policy and governance work.

Page 3: Overview of the Cost Benefit Analysis - Challenges

Objectives 1

• Assessing the total economic value of marine and coastal resources of the ASCLME region and their contribution to the economy of the region’s countries:

– Defining the scope;– Meeting data needs;– Timeframe.

Page 4: Overview of the Cost Benefit Analysis - Challenges

ASCLME region

• What is it?– The whole Western Indian Ocean?– Only the Agulhas and the Somalia LMEs?– Which countries belong to the region?– Which countries use the resources of the

ASCLME but do not belong to the region?

Page 5: Overview of the Cost Benefit Analysis - Challenges

Total economic value

• Use and non-use values;• Market and non-market values;• Agreeing on which economic benefits to

include in analysis.

Page 6: Overview of the Cost Benefit Analysis - Challenges

Coastal and marine resources

• Identifying coastal resources of the ASCLME• Which resources to include?• How do we include and or demarcate

resources that are not exclusively dependent on the ASCLME.

Page 7: Overview of the Cost Benefit Analysis - Challenges

Contribution to the economy

• How do we measure this?• Which indicators to include?

Page 8: Overview of the Cost Benefit Analysis - Challenges

Objectives 2: Distribution of benefits

• Scope of distributional analysis:– ASCLME countries versus non-ASCLME countries;– Between ASCLME countries;– Within ASCLME countries:

• High versus low income earners;• Female versus male participants.

• How do we do this:– Calculate the proportion of current total benefits to

different groups?– Use indicators, which ones?

Page 9: Overview of the Cost Benefit Analysis - Challenges

Objectives 3: Marine & coastal resources and poverty alleviation

• Scope: – Within and between ASCLME countries;

• How to do it: – Distributional analysis in objective 2 will form the

basis for the analysis here.

Page 10: Overview of the Cost Benefit Analysis - Challenges

Objectives 4: Indicators and policy analysis

• Using the economic results of the assessment, provide local resource managers with:– indicators and policy analyses about the economic

impact of different governance options for sustainable use of the resources; and

– the economic trade-offs among different uses of the marine ecosystem.

• Challenge here is that it is a huge task, whose scope needs to be carefully determined.

Page 11: Overview of the Cost Benefit Analysis - Challenges

Objectives 5: Capacity building

• Increasing capacity for government and other stakeholders in the ASCLME region to use environmental economics effectively in their decision-making:

– How do we do this?– What timeframe?

Page 12: Overview of the Cost Benefit Analysis - Challenges

Objectives 6: Report

• Compile the final regional report on Cost benefit Assessment of the marine and coastal resources of the western Indian Ocean region:

– This is the easy part, i.e., once earlier challenges are dealt with.

Page 13: Overview of the Cost Benefit Analysis - Challenges

Coverage/scope

• Western Indian Ocean:– The Agulhas current;– The Somalia coast;– The Red Sea;– The Arabian Sea;– The High Seas.

Page 14: Overview of the Cost Benefit Analysis - Challenges

Coverage/scope

• ASCLME countries– Comoros– Kenya– Madagascar– Mauritius– Mozambique– Seychelles– South Africa– Somalia– Tanzania

Page 15: Overview of the Cost Benefit Analysis - Challenges

Coverage/scope• Total economic value: Use or non-use values;• Use values:

– Direct use values: Captures the direct use of coastal & marine ecosystem services from consumptive purposes such fish, wood and non-consumptive uses such as recreation, tourism and cultural activities.

Page 16: Overview of the Cost Benefit Analysis - Challenges

Coverage/scope• Use values:

– Indirect use values: Captures the indirect ecosystem services provided such as waste assimilation, habitat and biodiversity protection, etc;

– Option value: the value for maintaining the option to use the ecosystem in the future.

• Non-use values:– Bequest– Existence

Page 17: Overview of the Cost Benefit Analysis - Challenges

Coverage/scope

• Coastal and marine resources:– Small-Scale Fisheries;– Tourism;– Agriculture and forestry;– Mariculture;– Energy;– Ports and Coastal Transport;– Costal mining.

• How do we include and or demarcate resources that are not exclusively dependent on the ASCLME.

Page 18: Overview of the Cost Benefit Analysis - Challenges

Method & data: Total economic value

• Direct output impact (e.g., catch value for fish);• Economic rent;• Income to labour;• Returns to capital;• Jobs supported;• Multiplier effects – added value throughout the

economy.

Page 19: Overview of the Cost Benefit Analysis - Challenges

Thanks for your attention

Photo by Asep