1. MULTI DIMENSION IMPACT ACCOUNTING File: MDIA-p3-05-LAND-150613.odp Peter Burgess (c) All rights reserved MDIA LAND A COMPONENT OF NATURAL CAPITAL 2. MULTI DIMENSION IMPACT ACCOUNTING WORK-IN-PROGRESS. SLIDESET STILL IN DEVELOPMENT. UPDATES WILL BE POSTED OVER THE NEXT SEVERAL WEEKS 3. LAND has been central to the idea of wealth and power for ever. MULTI DIMENSION IMPACT ACCOUNTING 4. Law about LAND has been crafted to make statutory ownership more important than any system of traditional ownership. MULTI DIMENSION IMPACT ACCOUNTING 5. The money value of land is based on the money profit earning potential of the land. MULTI DIMENSION IMPACT ACCOUNTING 6. This value ignores the important ecosystem services provided by natural land use. No metrics no value! MULTI DIMENSION IMPACT ACCOUNTING 7. Tropical rain forests have little money value as is, but provide incredibly important ecosystem services. Carbon sequestration Habitat (biodiversity fauna and flora) MULTI DIMENSION IMPACT ACCOUNTING 8. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun TROPICAL RAIN FOREST 9. To make money, degrade the rain forest and ... Clearcut for mining; or Clearcut for palm oil plantations; or Exploit for old growth logging MULTI DIMENSION IMPACT ACCOUNTING 10. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun MINING (in Peru) 11. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun CLEAR CUTTING FOR PALM OIL 12. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun CLEAR CUTTING FOR PALM OIL 13. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun OLD GROWTH LOGGING 14. Mangrove and wetlands are essential to the good health and survival of everything in the fish and animal kingdoms. MULTI DIMENSION IMPACT ACCOUNTING 15. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE MANGROVE 16. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE WETLANDS 17. In a money based world, land fill for urban trash is a preferred use for (money valueless) wetlands MULTI DIMENSION IMPACT ACCOUNTING 18. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE Meadowlands wetlands being used for landfill 19. Or warehouses MULTI DIMENSION IMPACT ACCOUNTING 20. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Capital Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Capital Natural Capital Sun LAND USE Meadowlands wetlands being used for warehouses 21. Or a sports arena MULTI DIMENSION IMPACT ACCOUNTING 22. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Capital Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Capital Natural Capital Sun LAND USE Meadowlands wetlands being used for sports arena 23. Or a shopping mall MULTI DIMENSION IMPACT ACCOUNTING 24. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Capital Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Capital Natural Capital Sun LAND USE Meadowlands wetlands being used for shopping mall 25. and of course urban housing like this is an efficient land use. Certainly in terms of money but also likely in terms of people. MULTI DIMENSION IMPACT ACCOUNTING 26. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE URBAN HIGHRISE 27. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE SUBURBAN HOUSING 28. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE SUBURBAN TRACT DEVELOPMENT 29. but maybe not for single family McMansions MULTI DIMENSION IMPACT ACCOUNTING 30. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE MCMANSIONS 31. The money value of mountains is low the ecosystem service value is low maybe it is only the recreational dimension that gives them any value at all! MULTI DIMENSION IMPACT ACCOUNTING 32. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE MOUNTAINS 33. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE MOUNTAINS 34. Deserts are also low in both money value and ecosystem service value MULTI DIMENSION IMPACT ACCOUNTING 35. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE DESERTS 36. unless, of course, there are oil resources under the sand MULTI DIMENSION IMPACT ACCOUNTING 37. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Capital Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Capital Natural Capital Sun LAND USE Meadowlands wetlands being used for shopping mall 38. Savanna a mix of trees and grasses is not an optimum for money profit use of land MULTI DIMENSION IMPACT ACCOUNTING 39. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE SAVANNA 40. Prairie is much better Monoculture with heavy use of fertilizer, pesticides, herbicides and highly mechanized and energy intensive ... MULTI DIMENSION IMPACT ACCOUNTING 41. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE PRAIRIE 42. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE PRAIRIE 43. A parking lot has money value associated with convenience and economic use. but a parking lot degrades natural storm water control. MULTI DIMENSION IMPACT ACCOUNTING 44. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE PARKING LOTS 45. A shopping mall and parking lots have money value associated with business use. The development degrades natural storm water control. MULTI DIMENSION IMPACT ACCOUNTING 46. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE SHOPPING MALLS 47. and much the same applies for airports MULTI DIMENSION IMPACT ACCOUNTING 48. MULTI DIMENSION IMPACT ACCOUNTING SunSun BOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Structures & Systems Natural Capital Sun LAND USE AIRPORTS 49. The money value of land is determined by the profit flows that can be derived from using the land for money profit activities. MULTI DIMENSION IMPACT ACCOUNTING 50. The environmental value of land is determined by the ecosystem services that are provided by the land. MULTI DIMENSION IMPACT ACCOUNTING 51. MULTI DIMENSION IMPACT ACCOUNTING Sun LAND USE Sustainable agriculture Water purification Intensive monoculture Coastal mangrove Urban infrastructure Roads, Parking Lots There is a limited amount of land and there are multiple possible uses. Land is a factor in improving human capital, producing goods and services, and locating MBC. Money value is a metric for this. Land is also a factor in providing very critical ecosystem services. A metric for this is needed, reflecting the ecosystem service potential. Money Value Suburban sprawl Housing Tropical forest Habitat Industrial operations Sun BOP Financial Capital Human Capital Man Built Capital Natural Capital Sun SunSun EOP Financial Capital Human Capital Man Built Capital Natural Capital Sun Medium Zero Medium Zero High Medium High High Zero Zero High Medium Medium Low High Zero Zero Zero Zero High High Zero Wetlands Zero High Natural Value 52. Uses that make the most money have low ecosystem service value Uses that have the highest ecosystem service value have the lowest money value MULTI DIMENSION IMPACT ACCOUNTING 53. Moving forward Request for collaboration Money is part of a complex socio-enviro-economic system. While it works it does not work as well as it should, nor as well as it could. The work of MDIA is to enable this complex system to work better. MDIA needs to be a team effort. Join in and help to make the world a better place. Please get in touch. Peter Burgess peterbnyc@gmail.com MULTI DIMENSION IMPACT ACCOUNTING