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Pitch

The new measure of value should be defined, taking into account an ecosystem dimension.


Description

Contents 

      Executive Summary

      Team

      What

      Why:Rational of the proposal

      How:Feasibilty of proposal

      Vision of the future under this proposal

      Glossary

 


The term 'development', was one of the wonderful offspring of industrial revolution. But it is being wrongly conceptualized and narrowed as a simple process of procuring more and more quantity of commodity at any cost. The mere nature of money as equivalence, commensurable, zero information entity, greatly fuels that wrong conceptualization. Reductionist measurement of prosperity (“weight of bodies in physics”) becomes the resultant of that. For being an easy and efficient means of exchange, money losses its essential quality value for the sake of quantity and exchange potential. By adding ecosystem values to the money (Information), it will be a better way to bypass the quantity based economy (i.e produce and dump system) and its massive degradation potential to ecosystem. 

Requirement of get together, cooperative and collaborative are the 'opportunities' imbibed in climate crisis. These approaches became 'opportunity' since it is well practiced by human civilization through out its history to achieve something good. The very nature of the climate crisis, for achieve solution or get rid of crisis essentially requires cooperation among social systems and between socio-ecological systems.

The current economic system has to undergo urgent revival. It is because of two main reasons, first one is its meager sustainability in the scenario of key resource crunch. Second one is its involvement in environmental degradation, which again imperil whatever remaining sustainability promises by it. Thus it is essential to make the economy to be more sustainable in the future. There is only one possible way out of the current unsustainable situation of economy: the literal fulfillment of the mutual responsibility for managing worldwide economic and social development through the reform of global financial and monetary systems.

The problem of mismanagement (even non ability to manage) has widely felt in Environmental, economic, social sphere. It leads to a verge of system collapse in the scenario of climate crisis. Account of environmental dimension, internalization: learning from the ecosystem and from the mistakes of environmental and  social management (experiments) will be a better way out. There is no simple band aid for these daunting and day by day improving problems. It must admit that those systems are acting in complex way and our science and technology is tuned only for linear simple reductionist purposes. So we need to rejuvenate our science to cop up with 'dancing', dynamic, uncertain systems. Sustainability science will be the option for that. For doing and applying sustainability science and technology based on that, it requires personal to cross border collaboration, social consensus and understanding of our sole dependency on ecosystem.

There is a balance in our relationship with ecosystem, we can utilize the service from ecosystem and in return need to maintain/sustain it. Measurement of environmental balance, service consumed and impact incurred by us, adding that measured value into social exchange will be the best way to internalize our economic transaction with ecosystem. Though that measurement and internalization will be difficult,difficult to comprehend while considering the elusive and dynamic system of nature. Information technology can be helpful for procuring that information.

By understanding and appreciating that balance we can hope for societal change to attain the balance. By internalizing that balance in money it will become collective aspiration for that attainment. It leads to collaboration of industry and society (industrial ecology) to reduce the impact and increase the service return back to the ecosystem. Gives necessity to innovate for sustainable development and prosperity. That gives individual to global fulfillment and happiness, and most importantly promises resilience in the scenario of inevitable system change and gives a chance for evolving the economy while considering the climate crisis

This proposal aims to make ecosystem principle and well being of earth ecosystem as a strong determining factor of economy and its prosperity. It wants to make that influence as matching, augmenting or bypassing other current determining factors such as state, tradition or market. The system based on the Environmental Balance Indices (EBI) for determination of cross-currency rates could be an example of such a system. EBI is the ratio of services for ecosystems production’s intensity to ecosystem services consumption’s intensity. In environmental balance theory, the global ecosystem is the reference point for human activities’ assessment. The main aim of this proposal is to make a functional narrative for internalization by emphasizing some of the well known and emerging pillars of concepts, best practices, linkages between them to procur iformation for environmetal balance index caculation.

To achieve the internalization,  a series of interconnected mechanisms are we propsing to seek the preferred actions. The first action is to improve the connectivity among economic players and establishes connectivity between the earth ecosystem and economic systems for cooperation.  The mechanism for these actions are from social networking, sensor web enabling , Internet of things . The second action is to define the threshold ecological footprint and balance of ecosystem. The mechanisms for this action are based on industrial ecology practices and defining social ecological footprint on ecosystem services. The third action is mechanism of internalization by calculation of Environmetal Balance Index and economic valuation of EBI with coordination in global level and  implementation in local level.


Lead author - Taras Bebeshko.

Second author-Nishadh.K.A.

Other supporters and contributors are most welcome!



 The economy need to be evolved into resilient to climate crisis. Internalizing the economy into the earth ecosystem is a better way to achieve that. Since human society itself is an integral part of ecosystem and so it's economy also need to be.

Action 1: Generate strong cooperation within social system through accountability, openness on its ecological footprint towards ecosystem and between social and ecological systems through understanding its complexity, dynamics, uncertainty.

Action 2: Stipulate the ecological footprint, resilience and economic growth objectives of local social system towards the contextual dynamic ecosystem condition. Implement action for resilience through cycling and controlling the ecological footprint  in socio-ecological sphere.

Action3: Calculate the Environmental Balance Index of individual nation to root personal level based on the resilience, economic growth objectives and also according to the socio-economic dynamisms. Monitarization of environmental balance Index, make it as an value added currency exchange in global level and tradable entity in local level.  

Mechanisms:

For action 1 - envirocloud

Information about ecosystem functionality with respect to local condition, societal utilization, disposal of ecosystem goods and service is essential for the intended cooperation. That information has to be trustful and open accessible to sought accountability in it. Envirocloud envisage to procure that information through social networking, networking of sensors that sensing the functionality of machines running that society and real time feed it in world wide web. So that the data cloud formed will be encircles the local environment with vital information to cooperation within community and between social and ecosystem.

For action2:

Institutionalize the knowledge generation and implementation of industrial ecology:

The data collected through envirocloud need to be transformed into meaningful knowledge with considering the phase of dynamism in ecosystem. The local environmental management institution practicing sustainability science will be the nodal agency for the knowledge generation. The knowledge will be about ecological footprint of society towards ecosystem and generation of ecosystem services, its dynamics at the current context of footprint and climate crisis. Moreover this mechanism has to be another functionality to generate, social consensus among members of society. Based on these  the resilience objectives and economic growth objectives need to be revamped temporally.

Localized industrial ecology setup has to be initiated bearing in mind the local ecological footprint of the area. It has to be aligned with aspiration of resilience objective and economic objective stipulated by the footprint of the area. Industries and societies need to be encouraged to innovate the techniques, possible networks (setting up industrial ecology), control measures by considering the local setup, avenues, social consensus for reducing the footpirnt. Centralized control measures such as smart grid based provision of energy such as electricity, gasoline can be practiced. Those initiatives need to be financed  promptly by generating the resource from action3.

For action 3:

Environmental Balance Index has to be calculated dynamically and the value has to be included in currency exchange. It would incentivize the mechnism 1 and 2.

Using the definition given in the “Recommendations on Payments for Ecosystem Services in Integrated Water Resources Management”, we can say that:

“Ecosystem” means a dynamic complex of plant, animal and microorganism communities and their nonliving environment interacting as a functional unit.[1]

People, as part of the ecosystem, hold a special place. This exceptional position is determined by two factors:

1.     The practical possibilities of people to destroy the ecosystem as a whole in the process of its activities, on the one hand; and

2.     On the other hand - the impossibility of man’s existence outside the ecosystem.

Beginning to realize this fact, people attempting to organize its relations with the ecosystem, to ensure its own sustainable development.

Simultaneously expanding the notion of economy, which in these terms can be regarded as an integrated system of social relations and relations with the ecosystem, considered from the perspective of the concept of value.

From this standpoint, the relationship people/ecosystems are characterized by exchange of services, which are presented in two opposite forms:

People, as a consumer of ecosystem services

“Ecosystem services” means the benefits people obtain from ecosystems. These include provisioning services such as food, water, timber and fibre; cultural services that provide recreational, aesthetic and spiritual benefits; and supporting services such as soil formation, photosynthesis and nutrient cycling.

Any and all human activity is based on consumption of ecosystem services.

At the same time, the ecosystem itself is self-sufficient. Its existence is possible and without people. However, given the limited ecosystem’s resources and irresistible growth of human consumption of ecosystem services, the fundamental deficit of ecosystem services is obvious and, as a consequence, the deficit of services to ecosystem.

People, as a producer of services to ecosystem

“Services to ecosystem” means the benefits ecosystems obtain from people. These include services on reduction of human activities’ impacts on ecosystems and activities related to recovery and protection of ecosystems.

As an example of this kind of services to ecosystems, can serve greenhouse gases emissions reductions under the UN Framework Convention on Climate Change and Kyoto Protocol. Unfortunately, neither UNFCCC nor KP, do not define greenhouse gas emission reductions or increase of their absorption as services to ecosystem. This omission allows the parties to arbitrarily interpret the meaning of their actions and to speculative pricing policies. In trading operations, the main UNFCCC objective – “limitation or reduction of greenhouse gas emissions”, sometimes replaced by the redistribution of allowances for greenhouse gas emissions.

The problem of the services’ value determination

The irregularity in the distribution of ecosystem services is obvious. Moreover, total non-uniformity in the provision of services to ecosystem is also obvious. In other words, a total deficit of ecosystem services, and also deficit of services to ecosystem, creates the opportunity for trade (exchange) operations to cover these deficits.

At the same time, in terms of economy, a price is the amount of money in exchange for which the seller is ready to transfer (sell), and the buyer agrees to receive  (buy) a unit of goods (services). In fact, the price is the exchange coefficient of a specific product (service) for money. The ratio within goods’ exchange is determining goods’ value. Therefore, the price is the value expressed in money or monetary value of goods’ (services’) units. However, in the relationship people/ecosystem, it is meaningless to speak of any agreement or disagreement of ecosystems for any amount of money received in exchange for services (services of ecosystems or to ecosystems).

There is the paradox of the impossibility of commodity-money relations in the framework of the people/ecosystem relationships. Therefore, attempts of “unilateral” determination of the value of ecosystem services and/or services to ecosystem, are voluntaristic and manipulative by nature.

The resolution of this paradox is to assess the value of the two types of services only in their interdependence. Each service (ecosystem service, or service to ecosystem) should not be assessed separately, but the ratio of the intensity services’ to ecosystem production to the intensity of ecosystem services’ consumption. Such an attitude, we call the Environmental Balance Index.

The Environmental Balance Index (EBI):

      EBIt=ERIt/EEIt

Where:

ERIt – intensity index of production of services to ecosystem;

EEIt – intensity index of consumption of ecosystem services.

The value of EBI<1, indicates that the intensity of consumption of ecosystem services exceeds the corresponding efforts on recovery and protection of ecosystems. Or in other words – Environmental debtor.

The value of EBI=1 is an indicative of environmental neutrality.

The value of EBI>1, indicates that the intensity of the production of services to ecosystem exceeds the intensity of consumption of ecosystem services. Or in other words – Environmental creditor.

On methodology of ERIt and EEIt determination

It is important to note that ERIt and EEIt are opposite in its essence, therefore, they should be considered separately from the level of accounting.

The general case of ERIt and EEIt determination

Definition of ERIt

“Intensity index of production of services to ecosystem (ERIt)” means a generalized indicator of the recovery and protection of ecosystems. It measures the average achievements in the essential elements that define ecosystem-friendly human activities.

There is a possibility and the need to expand this list by adding new elements and groups.

1.     Recovery and protection of natural areas (NAPt);

2.     Recovery and protection of water resources (WRPt);

3.     Recovery and protection of air resources (ARPt), including:

§ The intensity index of the greenhouse gas emissions reduction, including their capture and storage (GHGt);

§ The intensity index of the sulphur oxides emissions reduction, including their capture and storage (SOXt);

§ The intensity index of the nitrogen oxides emissions reduction, including their capture and storage (NOXt);

§ The intensity index of the ozone-depleting substances emissions reduction, including their capture and storage (OZPt);

§ The intensity index of the non-methane volatile organic compounds emissions reduction, including their capture and storage (NMVOCt);

To measure the level of recovery and protection of air resources the unweighted average of these indicators to be used.

4.     The intensity index of the persistent organic pollutants (except for non-methane volatile organic compounds) usage reduction, including their capture and storage (POPt).

5.     The intensity index of the renewable energy consumption (RECt).

Once the indices values by elements were determined, the ERIt defines as the arithmetic average of the indices by elements.

Definition of EEIt

“Intensity index of consumption of ecosystem services (EEIt)” means a generalized indicator of consumption (exploitation) of ecosystem services. It measures the average achievements determining consumption (exploitation) of ecosystem service by people.

Since all human activity is associated with the consumption of natural resources, the direct dependency between the levels of human development (HDI[2]) and of intensity of ecosystem services’ consumption is obvious.

Based on the last thesis, we can formulate the essence of EBI as follows:

“Environmental Balance Index (EBI)” means the assessment’s indicator of the sustainability of the development.

 

Definition of ERIt and EEIt for the market driven economies

For the market driven economies market indicators should determine ERIt and EEIt.

EEIt is equal to the stock market’s index, calculated on a broad basis. In its definition the majority of public companies headquartered in that country should be taken into account. Usage of a stock index as EEIt, allows considering country’s historical responsibility for the ecosystem services’ consumption the most fully.

For example, for the United States the Wilshire 5000 Total Market Index can be used.

ERIt is equal to the index of the country’s environmental market.

“Environmental market” means a mechanism for buying and selling of environmental units, with low transaction costs and by prices of efficient market.

 

“Environmental unit” means arbitrary units (quantitatively measured) of already achieved or future emissions’ and effluents’ reductions, as well as units of their absorption, their national, regional, and international equivalents (derivatives). Environmental units also include debt obligations, related to compensation for possible damages as a result of non-receipt of ecosystem services (for example: catastrophic bonds).

This restriction prevents accounting of units, which are directly unrelated to the provision of services to ecosystem (e.g.: emission allowances, etc.).

To calculate the ERIt for the market driven economies, it is necessary to use the similar methodology that is used in calculation of the EEIt.



[1] “Recommendations on Payments for Ecosystem Services in Integrated Water Resources Management” (ECE/MP.WAT/22), UN, 2007

[2] The Human Development Index (HDI) is calculated by UNDP and constantly updated.



Since the value addition to currency by EBI provides and competition to evolve economy with consideration of environmental balance. we choose very minimal level emission from deforestation and highest sequestration from tree growth. The emission level from developed countries and under developed countries were chosen as 5%, 10 % incremental than rapidly developing countries by considering the tropical position of those countries and best chance to take advantage of ecosystem services enhancement and reducing impact on environment. Since the mitigation cost actually turn to be fresh flow of financial resources, it can be expected that the GDP cost can be considerably reduced or GDP itself can be increased.  


 

For Internalization:

Features of the Earth ecosystem (such as its efficiency in resource sharing and utilization, and its strategy to be self-sufficient and sustainable) support a strong belief that the current anthropocentric economic system can be made into a sustainable one by internalizing it within the Earth ecosystem. Here the term  internalization refers to the process of embedding ecological values and attitudes into the current economic system. These were acquired and acclaimed by us through learning and networking about the earth ecosystem.

For mismanagement:

The first decade of the XXI century ended. The Millennium Development Goals have been formulated with great enthusiasm in the UN Millennium Declaration, adopted at the UN General Assembly, Sept. 8, 2000[1], and now there is a good reason to contemplate on progress in their implementations and to think about our common future.

Two-thirds of the term, allocated by the international community for achieving these goals and objectives has passed. Looking at the 2010 chart of progress provided by the UN[2], we have to admit that the overwhelming majority of these problems are unlikely to be fulfilled. Some of the problems identified in the report as “completed” in fact are not. For example, cannot be considered as completed the target of fight against poverty in East and Southeast Asia, if it is marked as “great poverty”. Moreover, in many ways the UN itself states the obvious deterioration of the situation.

Countries that signed the Millennium Declaration pledged to build a global community of freedom, equality, solidarity, tolerance, and respect for nature and shared responsibility. Instead, we see the 2011 coming in circumstances of social, environmental and economic shocks.

The panic caused by the terrorist attacks on the World Trade Center and the Pentagon on Sept. 11, 2001, led to unprecedented curtailing of fundamental freedoms in the world. Law enforcement authorities have the right to invade the privacy of citizens. Judicial oversight over the police and intelligence services was eliminated in the United States.

For adding value to money:

Climate change, desertification, biodiversity loss are not stopped, and nature responds to us by temperature extremes, catastrophic floods, snow and drought. This leads to crop failures and famine. Today, 925 million people suffer from chronic hunger worldwide[3]. If rising of food prices will not be stopped, the target of fighting hunger is unlikely to be achieved. The Declaration suggested reducing the number of hungry people from 20% to 10% by 2015. With five years to go, that proportion currently stands at 16%, however. In 1996, a World Food Summit had for the first time set a quantitative target of halving the number of hungry people from roughly 800 million in 1990-92 to about 400 million by 2015. Achieving that goal would mean cutting the number of hungry by over 500 million in the next five years.

Financial crisis was overfed by unprecedented monetary injections and had subsided, but the weight of problematic assets and diminishing ability of enterprises to repay the pre-crisis loans, against the backdrop of the current monetary system, can cause a new round. At the same time, social unrest in the “prosperous” Western Europe due to anti-social measures to combat the financial crisis doesn’t go out from the news headlines.

Why all this happens? Why are the issues, which being solved would lead us to sustainable development, are not solved, and goals are hardly achievable? To answer this question we must ask other one: what do we mean by development?

Development is a process of change, the change of ourselves and of the world around us. In essence, this is a way of life, chosen by each of us. This choice is closely linked with the liberty of its realization. As John Rawls idealized: every person has an equal right to the most extensive liberty compatible with the same freedom for everyone else[4].

But the reality is frighteningly simple. Under modern conditions it is impossible to implement any form of development other than quantitative growth of industry. Only by developing own industry, mining or processing natural resources, countries may actually develop.

Countries with well-developed industrial structure receive substantial benefits. Practically exclusive: the huge volume of goods manufactured by industrial countries dictates the increasing demand for their currencies that in turn leads to an increase of the prices on these currencies at the market. Such situation dictates the need to maintain high demand for goods. The quality of consumed goods pales into insignificance. Only the quantity of consumed goods is essential. From social aspect, this means the dominance of the consumer society. There is a direct correlation between the level of development and amount of produced or consumed goods. Thus, industrial development became the only possible path of the development, and the modern monetary system becomes its equivalent and yardstick.

This is the problem of modern social crisis. It is not a problem of choice for a particular model of social governance or distribution of scarce resources. The problem is the absence of any alternatives, absolute domination of the industrial development path, absence of legitimate material base for any other alternatives.

Industrial path requires an access to two types of resources: natural and financial. However, in the modern world, natural resources are located mainly in developing countries (natural resources in developed countries had been mostly exhausted), but financial is mostly concentrated in the developed world. A significant group of countries do not have access to the above resources. Such countries were virtually discarded from the development path of modern civilization. It holds true for nations, whose cultural or religious values do not accept industrial path of development.

As a result: poverty, famine and natural disasters raised the giant waves of emigration. In search of shelter and bread, hundreds of millions of people seek to the West. They carry with them the only thing they have – their religious and cultural values. They often differ and conflict with local values. Thus terrorism and xenophobia are born, under their blows the last fig leaf of democracy falls away.

Modern civilization is on the verge of self-destruction. Outstanding Development Goals, along with future financial and environmental collapses are already destroying the world. This process is caused by modern financial and monetary systems. By Money.

International monetary system is based on the model of free reciprocal currency exchange. It locks the full rejection of gold monetization, which has ceased to be the universal equivalent. Money itself was transformed into a commodity with a market-based pricing, and as such has ceased to perform its primary function of value measuring.

The commodity price performs the same measurement role, as the length of segments in geometry or the weight of bodies in physics. However, when money became a commodity, its added value is equal and expressed in nothing but in money itself. If you will weigh one pound of apples ten times, at the end you will not get ten pounds of apples. With money such “tricks” are quite possible. In this way, the money bubbles grow, unsecured by any real products. And the money supply is looking for at least some support.

The dynamics of prices growth for luxury goods is very indicative. Since the ratification of the Jamaican system in 1978, prices for luxury goods raises annually for at least 15-20%. However, some times the rate was much greater. For example: the painting “0 through 9” by Jasper Johns was bought for just $1200 in 1961, and now Sotheby’s estimation is $7-9 million. Another example: Amedeo Modigliani’s work “Portrait of Jeanne Hebuterne” was sold for 31.368 million at Sotheby’s in 2004, while in 1979 there were not even $600 thousand for the painting. Don’t you think that these figures look “surprising”, recalling the above data on the number of hungry people in the world?

For Envirocloud

Sustainable development is all about creating opportunity for socio-ecological system to make it adaptable to forces of change[5]. It requires close collaboration among community and scientific establishments, Interdisciplinary approach and competences[6]. Putting people together from different disciplines and social backgrounds is a very essential thing in this regard. We need to study socio-ecological systems together, absolutely essential for dynamic processes that lead to collapse, adaptation or recovery[7]. Understanding and management of socio-ecological system are impossible without considering its complexity, uncertainty and dynamism. Current conventional practices do not achieve desired output because of this. It largely hampers conservation initiatives and sustainable development [8]. The complexity can be dealt by catching the underlying  processes or components making self organization in itself [5]. Along with It has to be simple and dynamic as related to the situation by connecting with varies policies, actions taken in social sphere and evaluating the pluralistic future vision. The uncertainty in the ecosystem has to be aptly considered [5]. While considering uncertainty, we are never going to get enough observation to be certain, to explain about even a simple ecosystem.  Pluralistic maps (models) of same phenomenon can be an alternative for this. To make that kind of models we need as much observation as possible [9]. Merging the physical digital world can be a way around for coping with complexity of ecosystem. Can distributed sensors be networked for this, to dynamically know about it [10]. Localized contextual knowledge is essential for co adaptive management. It has to be shared in such a way that to create alliances between scales and organization of socio-ecological system [11]. Harnessing the crowd sourced information will be a better way to collect local information in the scenario of prevailing uncertainty. Because it gives pluralistic view on same story and thus increases the trust on information [12]. Envirocloud hopes to create a web application to be able to crowd source environmental observation from community as well as varied type of sensors [13].


[1] UN Resolution # A/RES/52/2

[4] John Rawls Justice as Fairness//John Rawls, Collected Papers, Harvard University Press, Cambridge, Massachusetts – London, England, 1999. 

5. C. S Holling, “Understanding the complexity of economic, ecological, and social systems,” Ecosystems 4, no.   5 (2001): 390-405.

6. S. Jasanoff et al., “Conversations with the community: AAAS at the millennium,” Science 278, no. 5346 (1997): 2066.

7. Elinor Ostrom on resilient social-ecological systems, 2007,   http://www.stockholmresilience.org/seminarandevents.

8. W.E.Rees, “Thinking Resilience,” In R. Heinberg and D. Lerch, The Post Carbon Reader: Managing the 21st Century’s Sustainability Crises (University of California Press, 2010).

9. S. E Jorgensen and G. Bendoricchio, Fundamentals of ecological modeling, vol. 21 (Elsevier Science, 2001).

10. K.A. Delin, “The Sensor Web: A macro-instrument for coordinated sensing,” Sensors 2, no. 7 (2002): 270–285.

11.1. M. Gadgil et al., “Exploring the role of local ecological knowledge in ecosystem management: three case studies,” Navigating social-ecological systems: building resilience for complexity and change (2003): 189–209.

12. O. Okolloh, “Ushahidi, or’testimony’: Web 2.0 tools for crowdsourcing crisis information,” Participatory Learning and Action 59, no. 1 (2009): 65–70.

 


 

EBI calculation as a general case for following countries: China, EU-17 (Eurozone), India, Russia, Ukraine, USA.

EBI Matrix


 

EEIt

ERIt

TTL ERIt

EBIt

HDI

NAPt

WRPt

ARPt

TTL ARPt

POPt

RECt

GHGt

SOXt

NOXt

OZPt

NMVOCt

China

0,6634

0,1675

0,5470

0,9646

0,0000

0,0000

1,1071

0,9451

0,6034

0,0000

1,0268

0,5287

0,7970

EU-17

0,8541

0,2028

0,6701

1,0190

0,8812

0,9037

0,7641

1,1703

0,9476

0,6547

1,0227

0,8098

0,9482

India

0,5117

0,0528

0,4750

0,9192

0,0000

0,0000

1,4572

0,8463

0,6445

0,0000

1,0514

0,5336

1,0427

Russian Federation

0,7139

0,1021

0,8115

0,9754

1,1941

0,9493

0,1521

0,6839

0,7909

0,0000

0,9943

0,6514

0,9124

Ukraine

0,7057

0,0399

0,2161

1,0162

0,4286

0,9156

0,0000

1,2732

0,7267

0,0000

1,0002

0,5433

0,7698

United States

0,8993

0,1512

0,6541

1,0216

0,9982

1,0093

1,1122

1,0233

1,0329

0,0000

1,0042

0,7749

0,8616

Please go to Glossary for expantion of abbrevations

 

 

EBI Map

 

 


 

EBI is the current index, determining the current level of sustainability. As such, it can be applied at both the national and international levels:

-      At the national level, EBI, calculated on the enterprise level, can be used as a coefficient for taxation.

-      At the international level – as a basis for determining the cross-currency exchange rates in foreign trade operations.

Extensive EBI use will influence all three components of sustainable development:

In the social sphere: its gives a choice of development paths for countries and people. In addition to the industrial, financial basis will receive intellectual and spiritual paths of nations’ development.

In ecology: the system will provide funding for a broad implementation of services to ecosystems (including such related to climate change) through currency preferences. That will solve a critical problem of many international treaties aimed ecosystems’ protection and reduction of anthropogenic influence.

In economy: restore the balanced arrangement of national currencies in international trade; will make impossible a repetition of crises of overproduction, of products and money supply.

 

 

 

ARPt          Recovery and protection of air resources

EEIt           intensity index of consumption of ecosystem services

ERIt           intensity index of production of services to ecosystem

EU-17       EUROZONE countries - Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, Malta, Netherlands, Portugal, Slovakia, Slovenia, Spain

GHGt         The intensity index of the greenhouse gas emissions reduction, including their capture and storage

HDI           Human Development Index

NAPt          Recovery and protection of natural areas

NMVOCt     The intensity index of the non-methane volatile organic compounds emissions reduction, including their capture and storage

NOXt          The intensity index of the nitrogen oxides emissions reduction, including their capture and storage

OZPt          The intensity index of the ozone-depleting substances emissions reduction, including their capture and storage

POPt          The intensity index of the persistent organic pollutants (except for non-methane volatile organic compounds) usage reduction, including their capture and storage

RECt          The intensity index of the renewable energy consumption

SOXt          The intensity index of the sulphur oxides emissions reduction, including their capture and storage

WRPt         Recovery and protection of water resources