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Financing Biodiversity and Ecosystems Conservation in India: Implications for Efforts and Outcomes

Author

Listed:
  • Pandey, Rita

    (National Institute of Public Finance and Policy)

  • Gupta, Manish

    (National Institute of Public Finance and Policy)

  • Sachdeva, Paavani

    (Department of Agriculture and Consumer Economics, University of Illinois at Urbana Champaign)

  • Singh, Abhishek

    (Fifteenth Finance Commission, Government of India)

Abstract

Biodiversity and Ecosystem (BE) conservation finance in India, is highly fragmented. Multiple institutions are involved in directing finance often with overlapping functions. This has adversely impacted BE conservation efforts and outcomes in India. While a couple of studies have attempted to map the flow of funds towards biodiversity and ecosystem (BE) conservation, there is no comprehensive estimate of total public funding, including budgetary flows, in India. The paper not only fills this gap by presenting a methodology for mapping and estimation of fund flows for BE expenditure through budgetary and other public sources but also estimates fund flows from externally aided projects and corporate sector. Using a modified Rio-marker methodology and budgetary data on actual expenditure it estimates expenditure on BE for a period of 7 years (2009-10 to 2015-16) thereby contributing to both theoretical and empirical literature on the subject. The study estimates that states in India, on an average spend between 1.93 and 3.19 percent of their total expenditure towards BE conservation. Paper finds that owing to the fact that BE conservation in India is driven by programs of multiple institutions rather than National Biodiversity Targets; there is no mechanism for measuring either conservation expenditures or outcomes. The paper makes suggestions to address this policy gap.

Suggested Citation

  • Pandey, Rita & Gupta, Manish & Sachdeva, Paavani & Singh, Abhishek, 2021. "Financing Biodiversity and Ecosystems Conservation in India: Implications for Efforts and Outcomes," Working Papers 21/335, National Institute of Public Finance and Policy.
    • Handle: RePEc:npf:wpaper:21/335
    Note: Working Paper 335, 2021
    as

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    File URL: https://www.nipfp.org.in/media/medialibrary/2021/04/WP_335_2021.pdf
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    References listed on IDEAS

    as
    1. Chakraborty, Lekha, 2021. "Fiscal Federalism, Expenditure Assignments and Gender Equality," Working Papers 21/334, National Institute of Public Finance and Policy.
    2. Bhattacharya, Tania & Bhattacharya, Anindya, 2019. "Financing biodiversity action plan using state appropriation account analysis: A case study of an Indian state," Ecosystem Services, Elsevier, vol. 39(C).
    3. Kaur, Amandeep & Chakraborty, Lekha & Rangan, Divy, 2021. "Covid-19 Economic Stimulus and State-level Power Sector Performance: Analyzing the Efficiency Parameters," Working Papers 21/333, National Institute of Public Finance and Policy.
    4. Kaur, Amandeep & Mohanty, Ranjan & Chakraborty, Lekha S & Rangan, Divy, 2021. "Ecological Fiscal Transfers and State-level Budgetary Spending in India: Analysing The Flypaper Effects," MPRA Paper 111947, University Library of Munich, Germany.
    5. Chakraborty, Lekha S, 2021. "Fiscal Federalism, Expenditure Assignments and Gender Equality," MPRA Paper 111949, University Library of Munich, Germany.
    6. Kaur, Amandeep & Mohanty, Ranjan Kumar & Chakraborty, Lekha & Rangan, Divy, 2021. "Ecological Fiscal Transfers and State-level Budgetary Spending in India: Analysing The Flypaper Effects in India," Working Papers 21/332, National Institute of Public Finance and Policy.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Biodiversity and ecosystem financing ; Ecosystem Services ; government expenditure ; sub-national government ; Biodiversity mainstreaming;
    All these keywords.

    JEL classification:

    • Q5 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics

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