Ramachandran Philippines Country Environmental Analysis 23 Mar 10

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    Philippines Country EnvironmentalAnalysis

    The Philippines

    Environment and Natural

    Resources Country Assessment

    2nd Consultative Workshop

    Mr. Pavit RamachandranAsian Development BankSouth East Asia Department

    23 March , 2010

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    Agenda

    Context and Rationale

    Key Messages so Far

    Priority ANR Sector Focus Areas ADB Assistance Program ANR Sector

    INREM as an Illustrative Example

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    Context and Rationale

    ADB and WB concluded CEAs in 2009

    Key technical findings were to be translated intomessages for policy makers, wider set ofstakeholders

    Forward looking and Strategic Orientation Inputsinto the MTPDP (2011-2016)

    Mainstreaming environmental sustainability and

    climate change considerations into thedevelopment agenda

    ANR Sector Roadmap and CPS process

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    Cross-Cutting Themes in the Two CEAs

    Improving the Environmental Impact Statement (EIS) System

    Shifting from sector-based to integrated ecosystem basedplanning and management

    Sustaining forest management and biodiversity conservation

    Increasing financing for environmental projects Improving and expanding the use of market based instruments

    ENR concerns and poverty reduction

    Completing the devolution of ENR functions to LGUs

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    Devolution of NRM Key Imperatives

    GoP program for rationalization of nationalgovernment sector agencies and devolutionto LGUs

    Capacity requirements/constraints for soundNRM at LGU levels

    Matching interventions to LGU fiscalcapacities

    Augmenting IRA/budgetary transfers Integrated spatial planning vacuum at local

    levels

    LGU focus in dealing with natural disasters,

    food security, climate change

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    Legal BaseLGC mandates on the preparation of CLUP and CDP

    Section 20(c), The local government units shall, inconformance with existing laws, continue to prepare theirrespective comprehensive land use plans enacted throughzoning ordinance which shall be the primary and dominant

    bases for the future use of land uses.

    Section 106, Each local government unit shall havecomprehensive multi-sectoral development plan to be initiatedby its development council and approved by its sanggunian.

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    What is missing?

    Tools and incentives to implement landscapeand seascape level NRM across LGUboundaries resource management plans;

    corridor and buffer delineation; cross LGUfiscal transfers

    Systematic and pragmatic assessment ofsustainable financing requirements (includingPES)

    Incentives and Assurances for privateinvestments in Environment and NRM(industrial production forestry, andagroforestry, hydropower generation, et al)

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    Adopting an Ecosystem Approach

    54% of the land in the Philippines in mountainous areas

    16.3 million hectares (ha) - has over 18% slope (termedupland)

    68% of this upland area 5.2 million ha - has over 30% slope,

    making the land base vulnerable to accelerated soil erosion. located within 19 major river basins, which cover a total land

    area of about 11 million ha

    5% Visayas 3 river basins

    41% Mindanao 8 river basins

    51% Luzon 8 river basins

    90% of the watershed area within the river basins is currentlydegraded

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    Consequences of Deforestation andWatershed Degradation

    Adverse impacts on economic productivity in uplands, leading to increasedpoverty

    Accelerated soil erosion - estimated soil loss of between 74 and 81 milliontons/yr

    Reduced integrity of near shore coastal areas due to declining watershedintegrity and increasing pollution

    Reduced reservoir storage capacity and life-spans

    Upto 30% reduction in the served area of irrigation systems during dryseason

    High costs on downstream infrastructure

    roads, bridges, agricultural production, settlements, water supply

    Positive impacts on GHG emissions

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    Climate Change Mitigation and AdaptationClimate Change Mitigation and Adaptation

    Climate proofing and adaptation in priority watershedsClimate proofing and adaptation in priority watersheds

    addressing financial and technical capacity deficitsaddressing financial and technical capacity deficits

    adaptive management strategies to reduce vulnerabilities ofadaptive management strategies to reduce vulnerabilities of

    poor and marginal groupspoor and marginal groups

    Improving efficiencies along CCImproving efficiencies along CC--food securityfood security--water interfacewater interface

    quantifying ecosystem services by mixed production systemsquantifying ecosystem services by mixed production systems

    resource utilization regimes (land & water management,resource utilization regimes (land & water management,

    nutrient efficiencies)nutrient efficiencies)

    Reducing carbon intensities/footprint and climate proofing ofReducing carbon intensities/footprint and climate proofing of

    productive sector investmentsproductive sector investments

    Policy enabling, regulatory and financial support forPolicy enabling, regulatory and financial support for

    sustainable financing (PES/ecosustainable financing (PES/eco--compensation, REDD)compensation, REDD)

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    ADB ANR Sector Portfolio (2010-2012)

    Integrated Natural Resources Management($120 m, 2010);

    Irrigation Systems Operation Efficiency

    Improvement ($100 m, 2010); Comprehensive Development of the Agusan

    River Basin ($100 m, 2011);

    Rural Infrastructure Development ($100 m,

    2012); Integrated Coastal Resources ManagementII

    ($100 m, 2012); and

    Mindanao River Basins Development ($100

    m, 2012)

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    Strategic Investment Options

    Investments dictated by intrinsic characteristics ofeach river basin

    Options for investments determined through

    science-based assessment of land capability andproduction/conservation potentials

    Appropriate environmental protection and mitigationintegral to the design of such investment

    Ensure stability of watersheds in the upper riverbasins

    Supporting policy and institutional strengthening

    measures

    Climate change adaptation investments

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    Moving to a Low Carbon (Green)Economy

    Agriculture and natural sector as the catalyst for shifting to a green economy.

    20% of GDP and almost40% of employment

    70% of global freshwater use 13% of global GHG emissions come from agriculture

    Forestry and land use change contribute about 68% of GHG emissions in thePhilippines

    Key Ingredients:

    Application of SEAs and similar approaches under the LGU code

    Investments in greener and sustainable multifunctional agricultural systems organicfarming

    Improving irrigation efficiency, including at farm level

    Rural road (farm to market access)

    Infrastructure for production, marketing and trade (especially in green inputs such asorganic fertilizers)

    Payment for Ecosystem Services Piloting in Cordilliera, Chico River Basin

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    THANK YOU!THANK YOU!