The EU’s new priorities are at a major crossroads. The once cutting-edge European Green Deal is now ditched in favour of defence, security and competitiveness. These discussions are taking place against the backdrop of the much-anticipated future EU budget, the financial resource responsible for driving forward the EU’s goals.
Competitiveness in particular has become the new buzzword. It now appears everywhere, there’s even a commissioner responsible for a competitive circular economy.
What we hear is that investing in clean technology, industry, and simplifying legislation, particularly for private companies, is key to achieving this.
But what we don’t hear is what forms the very foundations of our economy: nature.
It’s what provides us with clean drinking water, clean air, helps protect against disasters such as floods, droughts and landslides, stores carbon and pollinates the food we depend on — all services that not just our economies, but our lives depend on.
But nature is far from being in a healthy state. 81 percent of habitats are in poor status in the EU and the situation appears to only be getting worse.
One of the key ways the EU can address this is by financing measures to protect what we still have and restore what has been lost.
There is already a dedicated programme — albeit modest — to finance such activities.
For more than three decades, the EU’s LIFE programme has done just that. Directly financing innovative, ambitious projects to halt biodiversity loss and restore vital habitats. In fact, it is widely deemed to be the best-performing EU fund.
The EU needs to continue this programme, which has proven its worth for several decades, and increase its funding, which currently makes up just 0.5 percent of the EU budget.
But as more details emerge about the new EU budget, it seems increasingly likely that the LIFE programme will be swallowed by a new 'mega-funds’ focusing on financing competitiveness.
No separate, standalone fund for the environment would exist.
Critics argue that spending scarce public resources to save butterflies or protect trees from being cut down is not viable.
But a quick look at some facts and figures is enough to see the importance of nature and what’s at stake.
According to the European Commission’s own Joint Research Centre, between 19 and 36 percent of the EU’s gross value added is highly dependent on ecosystem services.
Pollination services alone are currently valued by the European Environment Agency at around €10-15bn yearly in the EU. While investment into nature restoration generates €8-38 in economic value for every euro spent, from the various ecosystem services provided.
The commission, in its current attempts to chase competitiveness is failing to see the wood for the trees.
Even a modest level of economic activity depends on a healthy environment, so if the ultimate goal is human wellbeing and prosperity, we need to invest in the resources that support us: nature.
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Daniel Thomson is EU policy officer for biodiversity at CEE Bankwatch Network.
Daniel Thomson is EU policy officer for biodiversity at CEE Bankwatch Network.