The President of the European Commission argues that it is necessary to include nature in companies’ economic balance sheets. In her opening speech at the DLD Nature Conference in Munich, Germany today, Ursula Von der Leyen stressed that “there is a growing awareness that intact nature has an economic value. Nature is beginning to feature in our companies’ business plans.”
Von der Leyen gave the example of a Dutch insurance company that is offering discounts to customers who install green roofs. “This will make the house and the whole neighbourhood safer. It will drain excess rain and improve the lifespan of the roof. So it is not only good for the birds and bees, but also for reducing the future costs of the insurance company,” adding that “this shows that a different approach is possible, in the sense of an economy that encourages people to serve nature, so that nature can serve us all“.
Von der Leyen stressed that for this new type of economy to grow and prosper it is necessary establish policies and enforce them, while not forgetting to support those who may be affected by them. “Over the past five years, we have put our climate goals into law. We have a full set of clear rules in place. But as we implement them, we also need to incentivise those who go the extra mile. In addition to rules, we need rewards. Because protecting nature must also be economically interesting“, he said.
He gave the example of European farmers who have been angry about some of the nature protection laws that they believe put them at a competitive disadvantage compared to the rest of the world. “The debate about the future of agriculture in Europe has often been heated, as if we cannot reconcile the interests of farmers with the interests of nature. But nature is the livelihood of farmers. Their entire lives depend on healthy soils, clean water and the vital work of pollinators. Farmers know this better than anyone,” he said.
Since last year, farmers, environmental groups, the food industry and consumer associations, the financial sector and science, in other words, all interested parties, have been invited to a round table called the Strategic Dialogue on the Future of Agriculture in Europe. “The dialogue has shown that we have much more in common than previously thought. For example, Farmers are among the first victims of climate change and nature loss. At the same time, however, agricultural structures and practices can fuel these crises. Sustainable agriculture is therefore an extremely important tool to support agriculture that works in harmony with nature,” said the President of the European Commission.
That’s why, advocated an efficient system of rewards and incentives. “Only if farmers can make a living from their land will they invest in more sustainable practices. And only if we achieve our climate and environmental goals together will farmers be able to continue to make a living.” In his view, “we need new financial instruments to compensate farmers for the additional costs of sustainability and to reward them for taking care of the land, water and air. It is time to reward those who serve our planet.”
The leader of the European Commission also highlighted the role of nature credits in making a system that combines economic and natural interests work. “We can create a market to restore our planet. It almost seems too good to be true,” he said, citing a water company that considers the health of a spring as a vital asset, or a fruit company that relies on the essential work of pollinators. “We need to channel vital revenues to all those who are providing ecosystem services. Work is already underway at the United Nations and elsewhere to set a global standard for nature credits. This is an essential first step towards expanding this growing market. And we are working intensively with Member States to develop the first pilot projects to support this process“, he advanced.
Ursula von der Leyen also welcomed the fact that half of the electricity currently consumed in the European Union comes from renewable sources, as shown by the State of the Energy Union Report 2024and there will be less dependence on Russia. “We now produce more electricity from wind and solar than from all fossil fuels combined. The era of Russian fossil fuels dominating Europe is over for good,” he said in his speech.
Source: www.jornaldenegocios.pt
