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EU seeks to steer CAP money to biodiversity protection

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Published 04 May 2011, updated 05 May 2011

The EU's 2020 biodiversity strategy, presented yesterday (3 May) by the European Commission, seeks to boost the bloc's tiny green budget by steering more Common Agricultural Policy payments towards rewarding farmers and foresters for protecting the environment.

The European Commission's new strategy to protect and improve the state of Europe's biodiversity over the next decade highlights six priority targets, accompanied by corresponding measures needed to reach them.

Imposition of the new strategy is expected to start with the full implementation of existing EU legislation, namely the bloc's Habitats and Birds Directives and proper implementation and management of the Natura 2000 network of protected areas.

But the EU executive underlines that upcoming reforms of the Common Agricultural Policy (CAP), the Common Fisheries Policy (CFP) and Cohesion Policy, as well as the shaping of the Future Financial Perspectives post-2013, are "important opportunities to ensure that they also deliver the necessary support and funding for the strategy".

Indeed, insufficient integration of biodiversity concerns into other sectoral policies was one of the root causes of the failure of the EU's previous target of halting biodiversity loss by 2010, according to the Commission.

Implementing EU biodiversity strategy though CAP

To ensure that agricultural activities are sustainable, the new strategy calls a "maximising" of agricultural areas covered by biodiversity-related measures under the CAP by 2020 to allow "the conservation of biodiversity and bring about a measurable improvement in the conservation status of species and habitats that depend on or are affected by agriculture and in the provision of ecosystem services".  

But the strategy does not indicate what percentage of the current EU farm area the measures should apply to.

Improvements will be measured against the June 2010 baseline for European biodiversity, compiled by the European Environment Agency, the proposal stressed.

The Commission will propose that CAP direct payments should reward the delivery of environmental public goods that go beyond cross-compliance, such as permanent pasture, green cover, crop rotation or ecological set-aside.

The EU executive also considers including the bloc's Water Framework Directive within the scope of cross-compliance in order to improve the state of aquatic ecosystems in rural areas.

Ultimately, the idea is to integrate quantified biodiversity targets into EU rural development strategies and programmes, encourage the uptake of agri-environmental measures to support genetic diversity in agriculture, and encourage forest owners to protect and enhance forest biodiversity.

"Farmers and foresters manage three quarters of EU landscape. We cannot meet our 2020 [biodiversity] target without engaging them fully," EU Environment Commissioner Janez Potočnik warned.  

Funding

Currently the EU instrument directly targeted at supporting environment related projects across Europe is LIFE+. Its budget for the 2007-2013 period is a little over two billion euros, breaking down to a yearly average of €286 million.

In comparison, the bloc's agricultural policy (CAP), through the European Agricultural Fund for Rural Development (EAFRD), provides some €53.5 billion per year in funding for the agricultural and forestry sector, with 80% going on direct aid and market intervention under the first pillar.

Support for biodiversity protection, management and restoration measures in agricultural and forest habitats is mainly funded under the CAP's second pillar on rural development, which gets the remaining 20% (€10.9 billion) of the bloc's yearly farm budget.

The EU executive is also mulling the development and use of innovative financing mechanisms, including market-based instruments (MBI), through which the external costs of consumption and production activities on the environment could be internalised. Such measures would include Payments for Ecosystem Services, green taxes, fees, tradeable permits, eco-labelling, subsidies and compensation schemes.

Positions: 

The Greens in the European Parliament complained that the strategy offers "few concrete commitments" to achieve the goal of halting biodiversity loss by 2020, and argued that the strategy's sub-targets are "inconsistent with the overall goals".

Dutch Green MEP Bas Eickhout said that "the strategy could and should have been a detailed policy blueprint for meeting the EU's revised goal of halting biodiversity loss by 2020. Instead it is distinguished by unambitious sub-targets and a lack of concrete commitments to fulfil the goal of halting biodiversity loss".

French Green MEP Sandrine Bélier stressed that "the real test of the Commission's commitment to halting biodiversity loss will now be the proposals it presents this year across different policy areas. The next EU budgetary cycle will also be crucial, and the EU should ensure all its programmes contribute to biodiversity protection rather than loss".

"The commitment to ensure that direct payments under the CAP are linked to biodiversity protection is a welcome development to this end. Any EU funding must be conditional on consistency with and full implementation of EU biodiversity and water legislation in the regions concerned," she said.

EU farmers' lobby Copa-Cogeca agreed that the new biodiversity goals can only be achieved in partnership with farmers, but warned that they risk making farmers uncompetitive.

"As the market is not rewarding farmers efforts for halting biodiversity loss, financial support is needed to enable farmers to proceed in a way which is positive for biodiversity without endangering their viability, profitability and competitiveness. In addition, vocational training and advisory services are needed to provide farmers with the necessary skills," the group said in a statement.

Copa-Cogeca secretary-general Pekka Pesonen underlined that "farmers are fully aware of their responsibility to preserve the genetic diversity of animals and plants used for production as they are an inherent part of biodiversity and contribute to the conservation of valuable habitats".

"Maintaining genetic diversity including plant varieties not yet used for agricultural production will become even more important in the context of climate change. Agriculture and forest management should be allowed to respond to increasing demands for bio-energy and biomaterials whilst contributing to the implementation of the new EU biodiversity strategy," Pesonen said.

Friends of the Earth Europe (FoEE), an NGO, welcomed the strategy but stressed that "measurable targets are urgently needed in the areas of agriculture and forestry if the strategy is to succeed".

Friedrich Wulf, biodiversity campaigner at FoEE, said that "agriculture and forestry are the biggest land users in Europe, and how that land is used is crucial in preventing further biodiversity loss. Without clear and measurable targets to ensure these areas are sustainable, species depletion will continue, undermining the whole EU biodiversity strategy and further threatening global biodiversity".

FoEE therefore urges EU-27 environment ministers "to fill this gap at their next meeting (17 June)," set measurable targets for biodiversity protection and "sow strong support for the greening of the Common Agricultural Policy".

The European Environmental Bureau (EEB), an NGO, said the Commission's new strategy lacked ambition, in particular regarding improving the status of European protected species and habitats and the upgrade of agricultural and fisheries practice.

The green group says that while Europe consumes more than its fair share of the world's resources, "restoring biodiversity and ecosystems would be a difficult undertaking without policy developments in other areas".

"Today, biodiversity doesn't simply mean the protection of rare plants and species; it's about protecting a system people rely on to live. The costs of replacing nature's free services would be devastating," said EEB biodiversity policy officer Sarolta Tripolszky.

The EEB's Vera Coealho, commenting on the strategy's fisheries targets, said that "it is disappointing to see DG Environment backtracking on international commitments and extending the deadline for achieving healthy stocks to 2020 rather than 2015. The focus on a single-species approach to fisheries management, based on outdated Maximum Sustainable Yield principles, does not bode well for the health of the wider marine ecosystem".

Alberto Arroyo, conservation policy coordinator at WWF, said that "the EU's new biodiversity strategy is an important signal of good intentions but it does not have the real power to stop biodiversity loss".

"The fundamental solutions to protect nature will not be found in this strategy but rather in the upcoming legislative reforms that will be decided soon, such as the EU Financial Framework, Common Agricultural Policy, the Common Fisheries Policy and overseas development cooperation strategy due at the end of this year," Arroyo said. 

"In order to save biodiversity, the EU must show commitment to protecting nature within each of these reforms," he added.

The EU Group of the International Federation of Organic Agriculture Movements (IFOAM) believes that the EU must establish an effective legal and financial framework if the targets proposed in the strategy are to be met, especially in relation to the reform of the Common Agricultural Policy (CAP).

The president of the IFOAM EU Group, Christopher Stopes, said that "biodiversity on farm land can be saved and restored by ambitiously re-shaping the CAP towards the promotion of truly sustainable farming and food systems including targeted support for landscape elements that host a diverse flora and fauna".

Marco Schlüter, director of the IFOAM EU Group, called on the EU institutions to help halt biodiversity loss and develop research priorities for the next EU framework programme.

Background: 

The EU's 2006 biodiversity communication and action plan set out a detailed agenda for action to halt biodiversity loss by 2010, but the bloc did not even come close to achieving its target.

A January 2010 Commission communication outlined policy options for EU's post-2010 biodiversity strategy.

In March 2010, the Council set a new EU target for the protection of biodiversity by 2020: to halt the loss of biodiversity and the decline of ecosystem services by 2020, restore such services as far as is feasible, and step up the EU's contribution to safeguarding global biodiversity.

In October 2010, during international negotiations on a new global post-2010 biodiversity vision and target in Japan, EU countries adopted the so-called Aichii targets and promised that the bloc’s next biodiversity strategy would be in line with those commitments.

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