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A global review of ecological fiscal transfers

Author

Listed:
  • Jonah Busch

    (Conservation International)

  • Irene Ring

    (International Institute Zittau, Technische Universität Dresden)

  • Monique Akullo

    (Monitoring and Evaluation Department, National Environment Management Authority (NEMA))

  • Oyut Amarjargal

    (Earth Innovation Institute)

  • Maud Borie

    (King’s College London)

  • Rodrigo S. Cassola

    (United Nations Environment Programme World Conservation Monitoring Centre (UNEP-WCMC))

  • Annabelle Cruz-Trinidad

    (United Nations Development Programme)

  • Nils Droste

    (Lund University)

  • Joko Tri Haryanto

    (Republic of Indonesia)

  • Ulan Kasymov

    (International Institute Zittau, Technische Universität Dresden)

  • Nataliia Viktorivna Kotenko

    (Sumy State University)

  • Ariunaa Lhkagvadorj

    (National Academy of Governance)

  • Felipe Luiz Lima Paulo

    (Universidade Federal Rural de Pernambuco)

  • Peter H. May

    (Federal Rural University of Rio de Janeiro)

  • Anit Mukherjee

    (Center for Global Development)

  • Sonny Mumbunan

    (University of Indonesia
    World Resources Institute (WRI) Indonesia)

  • Rui Santos

    (NOVA University Lisbon)

  • Luca Tacconi

    (The Australian National University)

  • Gracie Verde Selva

    (The Institute for Food Systems and Sustainability Research)

  • Madhu Verma

    (World Resources Institute (WRI) India)

  • Xiaoxi Wang

    (Zhejiang University
    Potsdam Institute for Climate Impact Research)

  • Lu Yu

    (Zhejiang University
    German Development Institute-Deutsches Institut für Entwicklungspolitik (DIE))

  • Kecen Zhou

    (International Institute Zittau, Technische Universität Dresden)

Abstract

Ecological fiscal transfers (EFT) transfer public revenue between governments within a country based on ecological indicators. EFT can compensate subnational governments for the costs of conserving ecosystems and in principle can incentivize greater ecological conservation. We review established EFT in Brazil, Portugal, France, China and India, and emerging or proposed EFT in ten more countries. We analyse common themes related to EFT emergence, design and effects. EFT have grown rapidly from US$0.35 billion yr−1 in 2007 to US$23 billion yr−1 in 2020. We discuss the scope of opportunity to expand EFT to other countries by ‘greening’ intergovernmental fiscal transfers.

Suggested Citation

  • Jonah Busch & Irene Ring & Monique Akullo & Oyut Amarjargal & Maud Borie & Rodrigo S. Cassola & Annabelle Cruz-Trinidad & Nils Droste & Joko Tri Haryanto & Ulan Kasymov & Nataliia Viktorivna Kotenko &, 2021. "A global review of ecological fiscal transfers," Nature Sustainability, Nature, vol. 4(9), pages 756-765, September.
    • Handle: RePEc:nat:natsus:v:4:y:2021:i:9:d:10.1038_s41893-021-00728-0
    DOI: 10.1038/s41893-021-00728-0
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