THE BUSINESS CASE FOR BIODIVERSITY STEWARDSHIP

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THE BUSINESS CASE FOR BIODIVERSITY STEWARDSHIP Primary Authors - Tracey Cumming (SANBI / DEA), Amanda Driver (SANBI) Secondary Authors Pravin Pillay (Ezemvelo KZN Wildlife), Greg Martindale (Ezemvelo KZN Wildlife), Kerry Purnell (CapeNature), Kevin McCann (Wildlands Conservation Trust) and Kerry Maree (CapeNature) Many other contributed valuable input

This presentation represents: A case for increasing sustained investment in the biodiversity stewardship programmes in South Africa Increasing understanding of the biodiversity stewardship model, and the benefits that it brings. It is intended to be used primarily by the Department of Environmental Affairs (DEA) and conservation authorities. It has been developed by the South African National Biodiversity Institute (SANBI) for DEA, at the request of the Biodiversity Stewardship Technical Working Group, which is convened by SANBI and has representation from all provincial biodiversity stewardship programmes, DEA and key NGOs. The work was supported by the Grasslands Programme with Global Environment Facility (GEF) funding through the United Nations Development Programme (UNDP)

1. OVERVIEW OF BIODIVERSITY STEWARDSHIP Biodiversity stewardship is an approach to securing land in biodiversity priority areas through entering into agreements with private and communal landowners, led by conservation authorities, with NGOs often playing a key supporting role. Objective: to conserve and manage biodiversity priority areas through voluntary agreements with landowners Biodiversity stewardship contributes to several broader goals: Conserving a representative sample of biodiversity Involving landowners as custodians of biodiversity Contributing to the rural economy Investing in ecological infrastructure Contributing to climate change adaptation and mitigation Supporting sustainable development

2. HISTORY OF THE DEVELOPMENT OF BIODIVERSITY STEWARDSHIP By 2012 all nine provinces had some form of biodiversity stewardship programme in development or operation. Western Cape Northern Cape KwaZulu-Natal Eastern Cape Mpumalanga Free State Limpopo North West Gauteng 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Programme initiated First protected area declared through biodiversity stewardship programme

3. SUMMARY OF BIODIVERSITY STEWARDSHIP ACHIEVEMENTS Summary of protected areas declared and in negotiation through provincial biodiversity stewardship programmes (as at 1 October 2014) - Province Protected areas declared Number Hectares Eastern Cape 7 90 448 Free Sate 0 0 Gauteng 0 0 KwaZulu-Natal 19 59 902 Limpopo 0 0 Mpumalanga 7 103 937 North West 0 0 Northern Cape 4 154 854 Western Cape 35 43 665 Total 72 402 213

3. SUMMARY OF BIODIVERSITY STEWARDSHIP ACHIEVEMENTS Summary of protected areas declared and in negotiation through provincial biodiversity stewardship programmes (as at 1 October 2014) - Province Protected areas declared Protected areas in negotiation Number Hectares Number Hectares Eastern Cape 7 90 448 6 143 626 Free Sate 0 0 1 17 456 Gauteng 0 0 11 6 933 KwaZulu-Natal 19 59 902 56 208 766 Limpopo 0 0 3 56 010 Mpumalanga 7 103 937 5 25 388 North West 0 0 2 2 736 Northern Cape 4 154 854 15 58 894 Western Cape 35 43 665 54 43 782 Total 72 402 213 153 563 590

4. BIODIVERSITY STEWARDSHIP TARGET CONTRIBUTIONS Contribution of BDS to NPAES 2008, 20-year (2028) targets, 2008 2014 From NPAES 2008: Addition still required to meet 20-year (2028) targets (ha) PAs declared and in negotiation through BDS (ha) (2008 - Oct 2014) % contribution to 20-year target (2028) Hectares acquired in the same period through other means EC 1 570 000 234 074 15 0 KZN 842 000 268 668 32 1165* MP 632 000 129 325 20 0 WC 1 004 000 87 447 9 100 026* *These hectares were all acquired through donations

5. BENEFITS OF BIODIVERSITY STEWARDSHIP Makes substantial contributions to meeting national protected area targets, Leverages private sector investment in achieving a government mandate of securing protected areas that would otherwise have to be fully covered by the fiscus, Particularly effective in multiple-use landscapes where biodiversity priority areas are embedded in a matrix of other land uses, Can be used to enable other programmes and policies within the biodiversity sector, Provides security and additional value to the state s investment in natural resource management, Can also play an important role in enabling biodiversity offsets, Has the ability support the stimulation of the rural economy by diversifying rural livelihood options, creating nodes of rural development and stimulating job creation and skills development, Biodiversity stewardship agreements have been implemented on communal land, supporting and integrating biodiversity conservation into the land reform agenda.

6. THE FINANCIAL CASE FOR BIODIVERSITY STEWARDSHIP A financial analysis of the longest running provincial biodiversity stewardship programmes, in CapeNature and Ezemvelo KZN Wildlife, was carried out as a means of comparing this mechanisms of securing protected areas to the alternative of land acquisition and management by the state. Two sets of costs were examined: The cost of establishing a protected area, which is a once-off cost (sometimes incurred over more than one financial year), The cost of management of a protected area, which is an ongoing annual cost. Each of these sets of costs was looked at for contract protected areas declared through biodiversity stewardship on the one hand, and for state-owned protected areas on the other. Note In terms of Biodiversity Stewardship, this did not include management costs of the landowner, as the comparison was purely on the basis of fiscal spend

Cost comparison for the establishment of contract protected areas through biodiversity stewardship vs state-owned protected areas, in the Western Cape and KwaZulu-Natal Establishment costs Biodiversity stewardship cost/site (ZAR) Average site size Biodiversity stewardship cost/ha (ZAR/ha) Hypothetical cost/ha for stateowned protected area* (ZAR/ha) Cost ratio for cost/ha Western Cape (2012/13) R 196 572 1 397 ha R 141 KwaZulu- Natal (2013/14) R 168 523 3 605 ha R 47 *Including the costs of negotiating the purchase of the property, declaring the property, and the price of the land. Cost is hypothetical as neither CapeNature nor Ezemvelo KZN Wildlife has purchased land for protected area expansion for a considerable time. The difference in the cost ratio between the two provinces can be explained by a number of factors, mainly: The difference in the average site size between the two provinces The difference in the average land price between the two provinces The difference in staffing resources between the two programmes

Cost comparison for the establishment of contract protected areas through biodiversity stewardship vs state-owned protected areas, in the Western Cape and KwaZulu-Natal Establishment costs Western Cape (2012/13) KwaZulu- Natal (2013/14) Biodiversity stewardship cost/site (ZAR) Average site size Biodiversity stewardship cost/ha (ZAR/ha) R 196 572 1 397 ha R 141 R 168 523 3 605 ha R 47 Hypothetical cost/ha for stateowned protected area* (ZAR/ha) R 10 222 (of which price of land is R 10 020) R 20 313 (of which price of land is R 20 100) Cost ratio for cost/ha *Including the costs of negotiating the purchase of the property, declaring the property, and the price of the land. Cost is hypothetical as neither CapeNature nor Ezemvelo KZN Wildlife has purchased land for protected area expansion for a considerable time. The difference in the cost ratio between the two provinces can be explained by a number of factors, mainly: The difference in the average site size between the two provinces The difference in the average land price between the two provinces The difference in staffing resources between the two programmes 1:73 1:435

Cost comparison for the ongoing management of contract protected areas established through biodiversity stewardship vs state-owned protected areas, in the Western Cape and KwaZulu-Natal Ongoing management costs Western Cape (2012/13) Biodiversity stewardship cost/site/year (ZAR) Average site size Biodiversity stewardship cost/ha/year (ZAR/ha) R 44 924 1 397 ha R 32 State-owned protected areas cost/ha/year (ZAR/ha) Cost ratio for cost/ha/year KwaZulu-Natal (2013/14) R 84 224 3 605 ha R 23 The difference in the cost ratio between the two provinces can be attributed to: Site size The high cost of managing protected areas in KZN compared to WC (game, fences, poaching)

Cost comparison for the ongoing management of contract protected areas established through biodiversity stewardship vs state-owned protected areas, in the Western Cape and KwaZulu-Natal Ongoing management costs Western Cape (2012/13) KwaZulu-Natal (2013/14) Biodiversity stewardship cost/site/year (ZAR) Average site size Biodiversity stewardship cost/ha/year (ZAR/ha) State-owned protected areas cost/ha/year (ZAR/ha) Cost ratio for cost/ha/year R 44 924 1 397 ha R 32 R 132 1:4 R 84 224 3 605 ha R 23 R 385 1:17 The difference in the cost ratio between the two provinces can be attributed to: Site size The high cost of managing protected areas in KZN compared to WC (game, fences, poaching)

7. HEADLINE MESSAGES The cost of establishing PA: Biodiversity stewardship is 70 400 times less costly to the state than purchase The cost of managing PA: Biodiversity Stewardship is 4 17 times less costly to the state than state management

9. RECOMMENDATIONS 1. Provincial Biodiversity Stewardship programmes should be sufficiently resourced according to their specific needs (ave. 9 million per annum per province, approx. R80 million per annum). 1. Partnerships between provincial biodiversity stewardship programmes and NGOs should continue to be strengthened. 2. Land reform biodiversity stewardship sites should receive additional support, given the complexity of creating and support these agreements. 3. Suitable incentives to support the uptake, effective management of sites and long-term commitment of landowners to biodiversity stewardship should continue to be invested in. 4. Biodiversity stewardship programmes should have suitable national support from DEA and SANBI, especially in relation to policy and technical matters. 5. The community of practice for biodiversity stewardship should be strengthened and expanded.

THANK YOU