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Exploring Natural Capital Accounting Implications for Turkey

This paper discusses the policy use of Natural Capital Accounting in Turkey, exploring its implications for the economy and the environment. Key indicators of the economy-environment interaction are analyzed, highlighting areas for improvement such as CO2 emissions, air quality, water productivity, and marine protection. The study also examines Turkey's economic dependence on physical and human capital accumulation, in contrast to resource-rich economies. The potential for "de-coupling" and the challenges and opportunities presented by the EU accession process are addressed. The importance of incorporating natural capital considerations into decision-making processes, specifically in the energy sector, is emphasized.

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Exploring Natural Capital Accounting Implications for Turkey

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  1. What's the policy use of Natural Capital Accounting? Exploring implications for Turkey 5th World Congress of Environmental and ResourceEconomists 28th June-2nd July 2014, Istanbul Ebru Voyvoda Middle East Technical University, Ankara/TURKEY

  2. Turkey: special circumstances • Turkeyin “International action for containing the effects of climate change” • Turkey compared to the core implementing countries of the WAVES (Botswana, Colombia, Costa Rica, Guatemala, Indonesia, Madagascar, thePhilippines, Rwanda). • Not a resource-rich economy • Economic growth dependent on accumulation of physical and human capital (consumption/ saving – investment, demographics, education policies) • Implications for the interaction between the economy and environment.

  3. NCA: Exploring Implications for TurkeyNatural Capital Accounting under the SEEA framework: • Natural resource stocks • Land • Ecosystems • w.r.t the functions: • Resource • Sink • Services • Accounting for the “impact of economy on environment”: • RELATING TO DEPLETION • RELATING TO DEFENSIVE EXPENDITURES • RELATING TO DEGREDATION

  4. NCA: Exploring Implications for Turkey • Key Indicators of the interaction between the economy and the environment: • low per capita CO2 emissions, low CO2 emissions per GDP, • one of the highest levels of emission intensity (measured by the ratio of CO2 to energy supply) • Highest (cumulative) growth rate in total emissions: (1)(2)(3) • Low produced and natural capital, low and declining ANS • Lower end at “air quality”, middle-low at “water productivity” and lower end at “forest land”. • Lower end at “marine protection” and “terrestrial protection”. • Need and Potential for “de-coupling”

  5. NCA: Exploring Implications for Turkey • EU accession process, negotiation on the Environment Chapter (compliance with the EU Environmental Acquis), which offers significant opportunities for greening the economy. • Environmental compliance is neither costless nor easy to achieve. • Turkey has already moved forward on some elements of green growth. • Statistics. • Energy – related issues • Dependence on Imports • Change of Ownership (of natural resources and energy supply units **) • Conflicting goals? Trade-off effects…

  6. NCA: Exploring Implications for Turkey Daily et al. (2013): Mainstreaming Natural Capital into Decisions

  7. Electricity Production w.r.t primary source (1985-2011)

  8. Kat, Güven ve Voyvoda (2012): Base Path, Total Energy Supply Shares (%)

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