20200115-003a: Buying & Selling Ecosystem Services Presentation — original pdf

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Buying and Selling Ecosystem Services Presentation To City of Austin Environmental Commission January 15, 2020 Jim Blackburn Post Ike Research at Rice University’s SSPEED Center 2 How Do We Protect 2 Million Coastal Acres Lying At Or Below 20 Feet Elevation? Majority in Private Ownership Conserved Lands High Risk Surge: 20-Ft Above MSL Low-Lying Lands of Galveston Bay Economy and Ecology As A Land Management Strategy Could We Develop a Different Economy Here - - A Resilient Economy Based on Use, Appreciation and Protection of our Natural Values? Let’s Have A Conversation About Ecology $ $ 5 Ecosystem benefits provided by natural coastal lands • Storm surge protection • Flood storage • Carbon sequestration • Water supply enhancement • Fishery productivity • Endangered species habitat • Neo-tropical migrant bird habitat • Waterfowl habitat 7 © Soil Value Exchange TM 2018. All rights reserved. Unlock Natures’ Capital TM What Could We Sell? Carbon Dioxide Removal and Storage California Ca. $ 15 / tCO2 British Columbia $ 35 / tCO2 Do we have a CO2 credit desert? EU CO2 prices are increasing average is above $ 22 / tCO2 Sweden: Switzerland: Finland: France: $ 135 / tCO2 $ 100 / tCO2 $ 75 / tCO2 $ 50 / tCO2 Basic Concept SELLERS BUYERS Money Exchanged For Protection and Expansion of Ecological Services Carbon Neutral/Renewable Commitments Marketing opportunities – CO2 neutral driving 1 Car’s Emission 527 Gal Gasoline/yr 4.7 ton CO2/yr 0.47 ha 1.16 acres 88% of a Football Field Increase market share or sell premium product Market CO2 neutral gasoline Restoring land & support our ranchers Market CO2 neutral cars Restoring land & support our ranchers 10 yr CO2 emissions stored at car purchase $ 15/tCO2 ~$ 0.14 / Gal $ 70 /yr Increase market share or sell premium product Value opportunities – CO2 neutral oil refining Refinery emissions only Customer Emissions 85 kg CO2/b bl 150,000 bbl crude/d 4.6 MM t CO2/yr 432 kg CO2/bbl 24 MM t CO2/yr 500 mid size ranches CO2 neutral HC fuels Enabled by 2500 mid size ranches 0.6% of TX 1 MM acres 3% of TX 5.3 MM acres $ 15/tCO2 $ 69 MM/yr or $ 1.27 /bbl $ 15/tCO2 $ 360 MM/yr or $ 6.60/bbl The Future of Carbon Sequestration Perhaps 1 Billion Tons or More CO2 Storage Up to 20% of U.S. Carbon Footprint Donors Grantees $ Coastal Marshlands Prairies Forests Carbon Fish and Wildlife Wave Reduction Carbon Water Supply Flood Storage Fish and Wildlife Cattle Carbon Water Supply Fish and Wildlife Timber Under the system we designed, ecological services are classed as property rights. If you generate them and own the property (or have an interest in the property), you may sell them if you can find a buyer Stacking To Allow Greatest Landowner Benefits $ To Property Owners Water/Flood Cattle Carbon Species Coastal Protection Honor System For Transactions Dr. Azure Bevington - Referee No measurements No requirement for land management Sales based upon literature values Term sheet issued and base price set You can buy or not Services That Could Be Traded CARBON STORAGE STORMWATER RECHARGE AND RUNOFF STORAGE SPRINGS PROTECTION WATER SUPPLY ENHANCEMENT ENDANGERED SPECIES ENDANGERED SPECIES PROTECTION PROTECTION Potential Texas Hill Country Exchange Coverage Area We Need To Do Something Different Than We Have Been Doing “The world we have created to date as a result of our thinking thus far has problems that cannot be solved by thinking the way we were thinking when we created them.” For Further Information Contact: Jim Blackburn blackbur@rice.edu 713-501-9007