Download - Aurelio Ramos_Water Funds
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Water Funds
IGEL, Mar 2011
Ami Vitale
Aurelio RamosDirector Conservation Programs for Latin America
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1. ChallengesWater supply is one of the main sustainable development
CHALLENGE in the 21st century:
- 1 billion people around the world without access to water
- By 2025, 2/3 of the countries will be water-stressed
- Every 8 seconds a child dies in the world becauseof lack of water acess or water pollution.
- Natural disasters (floods) happening every year
(human loss and USDbillions).
- Fish stocks diminished: 80% lost in magdalena River.
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Medium watersheds
Composite risk rankings (Eri-C)
Potential Risk
Low
Medium
High
Composite risk rankings for
13 anthropogenic activities
13 threats, examples:RoadsRailroadsMining
Cattle-ranchingPopulation density & growth
Main stresses to Latin America watersheds
LowMediumHigh
Watersheds at risk
Development Climate change impacts
El Nio effects on water supplies 120municipalities with no water in 2010Worst flood ever in Colombia, 2010
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nvest ng n t e
GREEN INFRAESTRUCTURE
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0.0
10.0
20.0
30.0
40.0
50.0
Conservado Uso actual (conpoltica ambiental)
Uso fuera parque(sin polticaambiental)
m3/ha/ao
toneladas/ha
/ao
Cantidad agua
Cantidad de sedimentos
Improve Accountability & Efficiencyon watershed investments
Source: Ciat, 2007 (TNC), Bogota Water Fund
Water quantity
Quantity of sediments (Component of Quality)
ConservedArea
Uses insideProtected Area
OutsideProtected Area
m3/ha/year
Ton/ha/year
Regulation significant but not quantified
10:1
Savings
USD 4.5M year
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The Model
Users Providers
Quito, Ecuador
Population: 2 million
Condor Bioreserve
& Surrounding farmlands
$
CLEAN
WATER
$inancialFund
2. Definition of Water Funds
Board
Water Fund
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Aporte acuferos Aporte caudal Cobertura
Priority areas for investment
Conectividad biodiversidad
Sistemarea ronda del ro
(250 mts cada lado)(Has)
rea en coberturanatural para
conservacin (Has)%
rea intervenidapara restauracin
(Has)%
Ro Amaime 7.126 3.135 44 3.991 56
Ro Bolo 2.210 1.414 64 796 36
Ro Desbaratado 1.016 772 76 244 24
Ro Fraile 2.792 2.345 84 447 16
Ro Nima 1.642 1.133 69 509 31
Ro Tulu 13.234 5.426 41 7.808 59
TOTAL 28.020 14.226 13.794
3. Conservation strategies and investments
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Type of investments: land use
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Months
No project
With project
Base flows
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Changes in water quantity
1990-2003 2015 -2039
0
50
100
150
200
250
Flowl(m3/s)
Time (months)
Monthly mean on water quantity
Lnea Base MRI
Escenario MRI
Adaptation to climate change: where to invest and how?
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Land use changes,restoration and other investments
Ecuador
Brasil Brasil
Colombia Colombia
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Ecuador Ecuador
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CIPAV, 2007
Land use changes and restoration
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4. Proof of Concept:
Quito Water Fund
14
Importance
2 million residents
Condor Bioreserve: 2.5 million acres, exceptionalbiodiversity, including 760 bird species; 28 rivers
Partners
EMPAAQ (Quitos water agency); Quito Electric Company;
USAID; Swiss Development Corporation; Cerveceria National(beer company); Tesalia Springs Co.
Conservation
Progress
2008: provided $800,000 for conservation inwatersheds: park guards, environmental education,sustainable livelihoods.
Ser io Pucci/TNC; Ami Vitale
Fund Progress 2000: $21,000 start-up 2011: $10,000,000 aprox.
Annual investments of nearly $2-3 million (leverage)
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10 years of impact in watershed conservation
and rural development : FONS
Impacted 500,000 hectares/1.2 million acres of land
Involved 30,500 children in Environmental Education
Programs Re-vegetated and maintained ~600 hectares of land/year for
the past 4 years
Reforested 2,033 hectares/5,023acres of land with over
2,000,000 trees Hired, trained, and employed 11 community parks guards to
help conserve protected areas
Engaged over 200 families in community development
projects in rural basins
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5. Water funds vision
Over the next 5 years $27 million of Seed Capital willleveragedirect investment of $143 million
in 32 Water Funds,
providing long-term
payments for environmental servicesto rural communities, and securing
clean and sufficient water andeffectivelyconserving 9 million acres
For50 million people in Latin America
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ModelProof
of
Concept
AdjustmentsTropicalAndes
Goals
Developed Quito 12 water funds (WF)Bogota
CartagenaCuencaZamoraWater for Life.
LARGoals
Platform
TNCTeams
32 WF
In LAR
9 M acres
50 M people
Other geographies
3,0 M acres
Protected Areas
0,5 M acresPrivate Lands
20 M people
Manual
Phase I: 2000-2006Proof of Concept
Phase II: 2007-11Model
Phase III: 2011-15Replication
PartnersIDB
NationalCapacityTNC in selected WF
PlatformRegional: IDB & TNCNational: Water Assoc
TNC:OtherGeographies
Phase IV: 2015World Scale
6. Going into scale
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Objetive:
The Platform would, strategically and on a case-by-case basis, provide capacity building fortechnical and human resource management; secure the necessary funding for such items asoutreach activities and feasibility studies or seed capital needed for each Water Fund.
Plataform (IDB-TNC-Corporate):
Best practices Regional projects Monitoring and accountability of funds Relationships with loans from IDB
Asoc. Nac de AcueductosColombia (ACODAL).Replicate water fundsPolicieNational accountabilityTNC: environmental accountabilityIDB: credits and financial support
Nacional Assoc. Of water utilities
Brazil
National Assoc of water utilitiesPer
Bogota FABoG
Valle del
Cauca FA
Medellin FA
SNSM FA
The Platform (in 5 years)
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7. Conclusions
1. Water funds as a powerful tool.
2. Secure some of the medium and long term capitalization
funds.
3. Still proving some hypothesis, but replicating.
4. Model different for rural areas.
5. Strategy on a broader watershed management work.
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AURELIO RAMOSDirector Conservation ProgramsThe Nature Conservancy
[email protected] 57 5 6649893
mailto:[email protected]:[email protected]