Economy of Africa

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5 The Global Environment and Economyasgo


The Nature and Pace of Greenhouse Gas-Induced Climate Change
-Global warming are already beginning in some parts of Africa.
-Developed countries will have to take the lead and bear most of the cost funding and the developing countries will limit global warming to safeguard
their own future.
10.1.6 Natural Resources-Based Livelihoods as a Pathway Out of Poverty: Promise and Limitations
The Centrality of Water
– In policy circles “water is the new oil” meaning water has become increasingly scarce and valuable.
- Poor thinks that water problems as being the at the centre in experiencing poverty.
10.1.7 The Scope of Domestic-Origin Environmental Degradation
The principal health and productivity consequences of environmental dame
● Water pollution and scarcity
● Air pollution
● Solid and hazardous wastes
● Soil degradation
● Deforestation
● Loss of biodiversity
● Global warming-caused climate change
The growing intensification of cultivation on fragile lands lead to rapid soil degradation and loss of productivity.
Environmental problem is the prevalence of unhealthy conditions created by lack of clean water and sanitation.

10.1.8 Rural Development and The Environment: A Tale of Two Villages


(1) Village in Sub-Saharan Africa – They have been warned by the international experts that cutting trees for firewood and clearing the marginal land
for cultivation will only worsen them. But no alternative forms of fuel are available in the local market and even if they were, household funds would be
insufficient to purchase them.
Desertification – the transformation of a region into dry, barren land with little or no capacity to sustain life without an artificial source of water.
(2) Settlement Near the Amazon (Other Hypothetical Village on the edge of a vast rainforest in South America) – Farmers are newcomers, drawn
by governments promises land and prosperity. This settlement has no shortage of rainfall, wildlife, or trees. The level of outputs are in short supply and
yields begin to drop. However, there is a little gain in average productivity, and the migrating population leaves environmental devastation in its wake.

10.1.9 Environmental Deterioration in Villages


Soil Erosion – Loss of valuable topsoils resulting from overuse of farmland, and deforestation and consequent flooding of farmland. This leads to
persistent declines in local per capita food production and may eventually lead to desertification.
Deforestation – The clearing of forested land either for agricultural purposes or for logging and for use as firewood. Deforestation can facilitate the
spread of diseases, such as malaria in Borneo.

The increase in natural disasters associated with local environmental degradation can have a devastating impact on both the local and regional
economy.

10.2. GLOBAL WARMING AND CLIMATE CHANGE (SCOPE, MITIGATION, AND ADAPTATION)
Scope of the problem:
Global warming is likely to present an unprecedented environmental challenge for the developing world.
Climate Change refers to long-term shifts in temperatures and weather patterns. These shifts may be natural, but since the 1800s, human activities
have been the main driver of climate change, primarily due to the burning of fossil fuels (like coal, oil and gas), which produces heat-trapping gases.

Laws and policies about climate change in the Philippines


1. The Climate Change Act (RA 9729), and its Implementing Rules and Regulations (IRR, Administrative Order No. 2010-01)
- The Act acknowledges the Philippines' vulnerability to climate change and the need for appropriate adaptation.

2. Philippines S. No. 2583 Climate Change Act


- This climate change act of 2008 integrating the priorities of the Hyogo Framework for Action – a ten-year blueprint for reducing risks to
disasters worldwide - was passed into law by the Philippine Government to address increasing climatic risks.This act was later amended by the Climate
Change Act of 2009.

3. Administrative Order No. 2021-22

- Guidelines on Mainstreaming, Cascading, and Institutionalizing Climate Change Concerns in the Environment and Natural Resources Priority
Programs

4. Administrative Order No. 2005-17

- Rules and Regulations Governing the Implementation of Executive Order No. 320, Series of 2004, Designating the DENR as the National
Authority for the Clean Development Mechanism

AGENCIES AND ORGANIZATION IN THE PHILIPPINES THAT DEALS WITH ENVIRONMENT:

1. Foundation for the Philippine Environment - sometimes known as the FPE, is part of the environmental organizations in the Philippines
that strives to promote change and action for the common good of both nature and people in the Philippines.
2. Ecological Society of the Philippines - is an environmental group that works to promote environmental awareness about the problems that
the environment is facing and to find solutions to such problems
3. Department of Environment And Natural Resources (DENR) - The Climate Change Service of the DENR answers the need for a unit
within the department that will focus on and address these needs. The Climate Change Service facilitates: (i) the harmonized coordination
and overall direction in the implementation of the mandated CC functions of the DENR inter-bureaus and offices; (ii) better secretariat work
relative to the Cabinet Cluster on CCAM-DRR; and (iii) the effective and efficient integration and implementation of the Risk Resiliency
Program and Risk Resiliency and Sustainability Program, among others
4. Intergovernmental Panel on climate change (IPCC) - is the United Nations–sponsored international scientific body analyzing climate
change and its impacts.

The IPCC identified four zones highly vulnerable to greenhouse gas–induced:


- Climate change: sub-Saharan Africa because of drying,
- Asian megadeltas because of flooding
- Small islands due to multiple sensitivities
- And the Arctic.
The 2006 Stern Review on the Economics of Climate Change concluded that “the poorest developing countries will be hit earliest and hardest by
climate change, even though they have contributed little to causing the problem because;
- Their low incomes make it difficult to finance adaptation.
- The international community has an obligation to support them in adapting to climate change.
- Without such support there is a serious risk that development progress will be undermined

MITIGATION
STRATEGIES PROPOSED FOR MITIGATION OF EMISSIONS
1. Development of “carbon markets”
2. Taxes on carbon”
3. Subsidies to encourage faster technological process

● Global warming is primarily but not exclusively a developed-country caused problem


● Deforestation in developing countries contributes over 20% of harmful greenhouse gases, in addition to the losses it causes of valuable
biodiversity and the environmental services of cleaning air and water.
● Helping developing countries reduce greenhouse gas emissions has emerged as an important dimension for foreign aid.

ADAPTATION
Adaptation to climate change in developing countries is critical for protecting livelihoods and continuing to make development gains.
The UNDP has defined climate change adaptation as “a process by which strategies to moderate, cope with and take advantage of the
consequences of climatic events are enhanced, developed and implemented.”

Adaptation takes place in two forms:


1. “Planned” (or policy) adaptation undertaken by governments and,
2. “Autonomous” (or private) adaptation undertaken directly by households, farms, and firms in response to climate change they experience
or anticipate.

4 classes of adaptation strategies (Arun Agrawal and Nicolas Perrin)


1. Mobility avoid risks across space
2. Storage reduces risks experienced over time.
3. Diversification reduces risks across assets owned by households or collectives.
4. Communal pooling involves joint ownership of assets and resources; sharing of wealth, labor, or incomes from particular activities across
households or mobilization and use of resources held collectively during time of scarcity

Policy adaptations can help make the “livelihood assets” of the poor more resilient to environmental stresses while providing other development
benefits; examples include;
• Inventorying and tracking ecological resources of the poor; addressing environmental deprivations including susceptibility to ecological
stresses in poverty
assessments and programs
• Implementing early warning systems to anticipate environmental emergencies and to prevent disasters (preserving funds for development
efforts)
• Restoring and expanding natural ecosystem barriers (such as reforestation and mangrove expansion) to extreme events such as flooding
and water
shortages
• Constructing infrastructure to serve the poor while accounting for likely climate change (including storm shelters and flood barriers as well as
protected
roads and bridges, with a margin for safety); and establishing microinsurance systems for farmers
• Ensuring better voice and empowerment of the poor and their organizations—in part, to get information about the environmental stresses
they face to
government, media, and the public and to make it more likely that the poor will get a fair share of government services; sharing economic
growth more
equitably
• And supporting all this, demanding more government transparency and accountability.

10.4 URBAN DEVELOPMENT AND THE ENVIRONMENT


10.4.1 Environmental Problems of Urban Slums
- Poor in urban slums face difficult trade-offs between nutrition, medical care, and education.
- Urban slums in Asian metropolis have health-threatening pollutants.
- Streey vendors and market workers exposed to high levels of pollutants.
- Children are also exposed to combined emmisions from automobiles and factories.
- The causes of severe urban environmental problems are divided into two categories: those associated with urbanisation and industrial growth,
and those that must be dealt with in any community but tend to be exacerbated by the congestion of urban settings.
10.4.2 Industrialisation and Urban Air Pollution
- The World Health Organization (WHO) reported in 2018 that about 90% of people worldwide breathe polluted air.
PRINCIPAL SOURCES OF AIR POLLUTION
● Energy use
● Vehicular emissions
● Industrial production
Private Cost - The direct monetary outlays or costs of an individual economic unit.
Pollution tax - A tax levied on the quantity of pollutants released into the physical environment.
Social cost - The full cost of an economic decision, whether private or public, to society as a whole.
Absorptive capacity - The capacity of an ecosystem to assimilate potential pollutants.
(PS: PA INSERT PO AKO NUNG FIGURE 10.6)
10.4.3 Problems of Congestion, Clean Water, and Sanitation
Factors affecting the health of the urban poor
● inaccessibility of clean water
● the lack of sanitation

10.5. The local and global costs of rainforest destruction


● Greenhouse gases Gases that trap heat within the earth’s atmosphere and can thus contribute to global warming.
● Biodiversity The variety of life forms within an ecosystem
● Deforestation in developing countries is a major contributor to global greenhouse gas emissions.
● Tropical Rainforests play a vital role in absorbing carbon dioxide, and their loss reduces the environment’s capacity
to do so.
● Deforestation poses a serious threat to biodiversity, with many species at risk of extinction.
- 12% of the world’s bird species
- 24% of mammal species
- 30% fish species
● The UN Food and Agriculture Organization estimates about 13 million hectares of forest were lost annually between
2000-2010, with the majority being cleared for small-scale agriculture.
● The majority of tropical rain forests are destroyed by small farmers for cultivation by 60%.
● The 90% of the rainforest land cleared for agriculture is often infertile and used for grazing cattle, leading to further
desertification.
● Rainforest settlement programs have been encouraged and financed by governments and international development
banks.
● Global public good A public good, whose benefits reach across national borders and population groups.
The World Bank reviewed its support for settlement programmes and found them to be expensive, at $10,000 per
household on average, and potentially environmentally damaging. Policymakers in rainforest countries like Brazil,
Bolivia, the Philippines, and Ecuador are facing pressure from foreign agencies to implement policies to reduce tropical
forest destruction.
● Rainforest preservation is a public good that benefits everyone, but its costs can be high.
● Settlement programs to preserve rainforests have been found to be expensive and environmentally destructive.
● Developing countries with rainforests face the loss of important domestic fuel sources and foregone foreign
exchange earnings from timber and beef if they preserve rainforests.
● It is unreasonable to expect developing countries to be solely responsible for preserving rainforests, and foreign
countries should contribute to the preservation effort.
● Long-term solutions to preserve rainforests include:
1. increasing access to alternative fuels
2. managing sustainable timber programs
3. providing economic opportunities to impoverished peoples resorting to clearing rainforest land
● Developing countries can increase the efficiency of their use of rainforests by managing them sustainably and
developing alternative markets for rainforest products.
● Proper maintenance and supervision of logging are necessary to prevent clear-cutting and increase the efficiency of
revenue collection from concessions.
● Forests provide undervalued services, including climate regulation, rain and water cycling, flood control, and soil
conservation.
● The Global Environmental Facility has played a significant role in rain forest protection.
● The international community should assist in preserving tropical rainforests
● Developed countries can help by reducing trade barriers to sustainable goods
● Debt-for-nature swaps can reduce the need for rapid forest exploitation for foreign exchange
● Funds are necessary to ensure the success of conservation programs for global public goods
● Such funds should not be viewed as aid but as investments in natural heritage, biodiversity, and global warming
containment
● The Global Environmental Facility has played a significant role in rainforest protection
● The REDD-plus program can help developing countries preserve forests
● The indebtedness of some developing countries with substantial forests may make it difficult for them to finance
environmental programs
● International assistance agencies have established environmental divisions to promote environmentally conscious
lending and address environmental issues directly
Four significant differences that justify the strong pressure to protect rainforests:

1. Tropical rainforests differ from deciduous forests in nutrients and restorability.


2. Tropical rainforest destruction generates larger externalities, both local and global.
3. Forests have more value now due to opportunities for payments for carbon protection and genetic diversity funds.
4. There is more value now in fields such as sources of new antibiotics and other drugs.

Eliminating subsidies and tax breaks for forest elimination makes basic economic sense and that carving bean farms out of
rainforests is an unfortunate substitute for land reform. Indigenous people already live in and depend on rainforests.

10.6. Policy Options of Developing and Developed Countries

10.6.1. What Developing Countries Can Do?


1. proper resource pricing,
2. community involvement,
3. clearer property rights and resource ownership,
4. improving economic alternatives for the poor,
5. raising the economic status of women,
6. policies to abate industrial emissions,
7. taking a proactive stance toward adapting to climate change.

Proper Resource Pricing –


The pricing of natural resources at levels which reflect their combined economic values and environmental values.

Ex. RA 7851 or Price Act of 1992

Community Involvement
work in tandem with community networks, ensuring that programme design is consistent with both local and national objectives.

Ex. Haribon Foundation, Waves for Water, and Save Philippine Seas
DENR

Clearer Property Rights and Resource Ownership

Ex. 1987 Constitution, Article III Section 1 and 9


RA 8974 or Acquisition Right-of-Way- Site Infrastructure

Improving Economic Alternative for the Poor


● on-farm investments in irrigation and sustainable farming techniques,
● use of alternative fuels
● creation of barriers to erosion.
● Elminating poverty through equity, resilience, education, ending hunger
● Commit to climate change solutions and climate justice. ...
● Poverty alleviation through peace. ...
● Cash solves poverty.

Ex. RA 11291 or Magna Carta for the Poor

Right to Adequate Food


Right to Decent Work
Right to Relevant and Quality Education
Right to Adequate Housing, Highest Attainable Standard of Health
a., DSWD – Pantawid Pamilyang Pilipino Program (4Ps) and Sustainable Livelihood Program (SLP), and (KALAHI-CIDSS NCDDP);
(b) DOLE – Special Program for Employment of Students (SPES) and Tulong Panghanapbuhay sa Ating Disadvantaged Workers "TUPAD" Project;
(c) TESDA – Skills Training, Private Education Student Financial Assistance (PESFA) and the Training for Work Scholarship Program (TWSP):
(d) DepEd – Alternative Learning System (ALS) and Government Assistance to Students and Teachers in Private Education (GASTPE);
(e) CHED – Student Financial Assistance Program (STUFAP);
(f) National Housing Authority (NHA) – Socialized housing program;
(g) DOH – Basic health care services;
(h) Philippine Health Insurance Corporation (PhilHealth) – Expanded Primary Care Package for the Poor and Senior Citizens; and
(i) Social Housing Finance Corporation (SHFC) – Community Mortgage Program for qualified organized informal settlers.
RA 8425 or Social Reform and Poverty Alleviation Act

5. Raising the Economic Status of Women


● Ensure women are equipped to participate in the economy fully.
● Enforce policies and social protection systems for women.
● Recognize unpaid labor as work.
● Invest in women’s organizations and businesses.
● Create decent work for women.

6 . Policies to Abate Industrial Emmisions

taxation of emissions, tradable emissions permits, quotas, and standards.

energy efficiency, fuel switching, combined heat and power, use of renewable energy, and the
more efficient use and recycling of materials.

RA 8749 or PH Clean Air Act of 1999


The Act provides for the creation of a national program of air pollution management focusing primarily
on pollution prevention; for the promotion of mass media communication in order to create social
awareness and active participation in air quality planning and monitoring

RA 9275 or PH Clean Water Act of 2004

RA 6969 or Toxic Substance and Hazardous and Nuclear Wastes Control Act of 1990

Emission Tax

7. Taking a proactive Stance toward adapting to climate change

● improve early warning systems to anticipate environmental emergencies;


promote reforestation;
● restore natural ecosystem barriers such as mangroves;
● improve microinsurance programmes;
● construct storm shelters,
● flood barriers, and protected roads and bridges.

Ex. RA 9729 or Climate Change


The RA 9729 serves as the basis for programming interventions to mitigate and adapt on the impacts
of climate change. Assistance to small and medium enterprises/industries in developing capacity for
eco-efficient production and through various training and extension activities

Republic Act No. 10174 People's Survival Fund Act of 2012


provide long-term financing to enable the Government to effectively address the problem of Climate Change.

RA 9512 or National Environmental Awareness and Education Act, 2008

10.6.2 HOW DEVELOPED COUNTRIES HELP DEVELOPING COUNTRIES

1. trade liberalisation,
2. debt relief
3. financial and technological assistance.

1. TRADE LIBERALISATION

Eliminating trade barriers against developing-country exports by stimulating economic growth in the
developing world, creating new jobs, and encouraging rural development could significantly reduce
the level of absolute poverty.

EX. Free Market, Common Union

Philippines in ASEAN, APEC, and other international organization

2. DEBT RELIEF

Debt forgiveness may be required if governments, particularly in heavily indebted poor countries, are
to be given the flexibility to make the sweeping changes necessary to achieve sustainable
development. Debt relief involves the reorganization of a borrower's debts to make them easier
to repay. It can also give creditors a chance to recoup at least a portion of what they are owed.
Debt relief can take a number of forms, including reducing the debt, lowering the interest rate
on it, or extending the period for repayment, among others.

Debt-for-nature swap –

The exchange of foreign debt held by an organisation for a larger quantity of domestic debt that is
used to finance the preservation of a natural resource or environment in the debtor country

3. DEVELOPMENT ASSISTANCE
A government aid that promotes and specifically targets the economic development and
welfare of developing countries.

EX. RA 8182 or Official Development Assistance Act of 1996

EX. USAID, AUSAID, and JICA

10.6.3 WHAT DEVELOPED COUNTRIES CAN DO FOR THE GLOBAL ENVIRONMENT

1. Reduce Harmful Emissions

2. Research and Development

3. Import Restrictions

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