Does nature have a price? - Australia is thinking about a Green Wall Street
An exchange for the preservation of ecosystems and biodiversity? In other words, a bonus system for environmental protection, renaturation and careful use of resources and a trading platform based on this.
What is the price of life?
The biggest challenge and at the same time the paradigm of our time is valuation. What is the price of a piece of forest, a koala or a river?
Tim Cronin from the environmental organization WWF is not the only one who is reluctant to put a price on nature, but perhaps that is part of the solution.
"Because it helps to make the true price of our ecosystem clear to the economy, companies and industry. Much of it is currently invisible."
Conversely, the destruction of nature is then no longer free of charge. This price would therefore have to be taken into account when making economic decisions.
New South Wales leads the way
Such an exchange has existed in the Australian state of New South Wales for around ten years. Biodiversity certificates are traded on this exchange on the basis of supply and demand.
Large residential construction projects on the east coast regularly claim incredible areas of forest. The damage caused by this can be offset on the stock market.
If, for example, important eucalyptus forests are damaged, the companies can commission farmers or specialized companies to reforest them.
The system also makes sense when switching to renewable energies, as solar and wind systems require a lot of space. This has an impact on the environment, says economist Hutley.
However, the established system in New South Wales is not yet error-free.
As with the trade in CO2 certificates, buyers don't always get what they paid for - resulting in negative headlines.
A better solution is now being worked on. It should then apply to the whole of Australia.
Tanya Plibersek, Australia's Environment Minister, likes to talk about the world's first green Wall Street. Definitely a prestigious project, but one that is still in its infancy.
