Convenient Solutions for an Inconvenient Truth: Ecosystem-based Approaches to Climate Change

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BIODIVERSITY CONSERVATION AND FOOD, WATER, AND LIVELIHOOD SECURITY

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BOX 4.1

Insects and Orange Juice: Paying for Ecosystem Services in Costa Rica In Costa Rica, the Del Oro Company, a large producer of citrus juices, is leading the way in maintaining a balance between agriculture and nature. Its collaboration with the government of Costa Rica in conserving tropical forests in the Guanacaste National Park ensures the provision of essential ecosystem services to the plantations. The Area de Conservación Guanacaste (ACG) encompasses a range of tropical forest habitats including a belt of transition forests between the dry forests of Guanacaste and the wetter Caribbean rain forests. Approximately 1,200 hectares of the dry-wet transition forests form a wide peninsula extending into the Del Oro plantations and adjoining the ACG forests at the southern boundary of Del Oro lands. Del Oro recognizes that the ACG provides essential ecosystem services, in the form of pollination and pest control, to the citrus plantations and juice production industry. Through an agreement with the Ministry of Environment and Energy signed in August 1998, Del Oro agreed to pay for such services: • Biological control agents, primarily parasitic wasps and flies of importance to integrated pest control, were valued at $1 per hectare per year for the 1,685 hectares of Del Oro orange plantations adjacent to the AGA, for a total of $1,685 a year. • Water from the Upper Río Mena Basin, in the ACG, services Del Oro farms and was valued at $5 per hectare per year for the 1,169 hectares, totaling $5,885 a year. • Biodegradation of the orange peels from Del Oro on ACG lands was valued at $11.93 per truckload, for a minimum payment of 1,000 truckloads per year, for a total of $11,930 a year. In addition, the agreement leaves room for a possible carbon fixation program in these 1,200 hectares of wild lands and stipulates that any carbon credits will be divided equally between Del Oro and the ACG. Under the contract, the plantation agrees to maintain good agricultural practices in its plantations according to the standards and legislation of Costa Rica and the U.S. Food and Drug Administration. The agreement provides an interesting model, illustrating how recognition of ecosystem services can play a valuable role in conservation and adaptation. Source: Janzen 1999.

affected by droughts and high temperatures in the years to come. Droughts and flash floods have become more frequent in recent years in these regions. These largely rain-fed agricultural areas are the most vulnerable to the impact of climate change. According to crop-climate models, in tropical countries even moderate warming can reduce yields significantly (1° C for wheat and maize and 2° C for rice) because


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