Select Committee on Environmental Audit Minutes of Evidence


Examination of Witness (Questions 1-18)

26 MAY 2004

DR PAUL JEFFERISS

  Q1 Chairman: We are in a position to start and I am sorry, Dr Jefferiss, for the delay. Also I am aware that some of my colleagues need to move on quite quickly so what I am going to attempt to do, with your agreement, is have a dialogue with you for half an hour and then move on to the next witness and give him half an hour as well. If we run out of time there may be questions which we would like to address to you in writing, if that is alright. Thank you. Can I begin by questioning the term and the usefulness of the term "sustainable development". One of my colleagues said to me in the tea room this morning that the trouble with the word sustainability is that it does not mean anything at all. Indeed, it is now being peppered around all sorts of government documents to such an extent that it may undermine the original purpose of developing the idea. What are your thoughts on that?

  Dr Jefferiss: I think the words "sustainable development", like any other words, can be abused by people who wish to cloak whatever agenda they may have under some kind of respectable brand, but I do not think that that necessarily undermines the validity of the concept of sustainable development so long as some responsible authority is prepared to define that concept closely and in, I suppose, a more concrete and tangible way perhaps than it has been, and that authority is obviously government. I think part of the point of the sustainable development strategy review is going to be precisely to try and focus the definition of sustainable development in a way that is useful and I am happy to give you some suggestions as to what direction we think that focus might take.

  Q2 Chairman: Please do.

  Dr Jefferiss: I think we would want to emphasise the notion of quality of life. The goal of sustainable development is not just to enable us to meet our needs without compromising the ability of the future to meet their needs but to meet our needs at the same time as enhancing the ability of the future to meet their needs. And in that context I would seek to redefine particularly the environmental objective within the current suite of objectives, not just to protect the environment but to protect and enhance the environment in the same way that currently we are seeking social and economic growth or progress. At the same time I would recommend considering reviewing the economic objective to downgrade its importance or at least the intensity with which it is expressed. I think the economic objective is qualitatively different from the others in that economic growth is a means to an end, not an end in itself, in the way that social and environmental objectives are, and I think that high levels of economic growth have not been shown empirically to be compatible with sustainable development. On the other hand, I think all four objectives should usefully be placed in the context of the need to respect the carrying capacity of the earth's ecological limits, which I see again as a qualitatively different form of objective from the other four. Another important concept to focus our understanding is the notion of integration of the four objectives rather than prioritising one or another or trading one or another off against the others. The final thing I would say is that it would be crucially important for the strategy to give a clear commitment to policies that will enact how the strategy defines sustainable development. Broadly speaking, what I mean by that is a commitment to internalising external costs in one way or another. That can be through regulation, standards, or holding various actors liable for the damage they cause through environmental taxation or through setting limits which can be met through various forms of market trading. I think the other part of policy will be education and communication, both through formal education systems and through political leadership and ministerial speeches, to let people know what sustainable development is about and why there is a need to internalise external costs. I think if we can change prices and change people's values then we will see real change in behaviour.

  Q3 Chairman: That all makes a lot of sense and I am grateful to you but immediately you have raised an issue which is one of the problems. Your definition of sustainable development is actually slightly different from that of the WWF, whom we will be meeting next and who set out in their memorandum a definition which is not the same as yours. We have got the Office of the Deputy Prime Minister's definition of sustainability which will be different again. Clearly the Department of Transport has a very different approach towards the notion of sustainability. I just think one of the problems we have all got in trying to move forward the agenda you so eloquently describe today is that we do not have a consensus on what it is we are trying to do or a label we can agree to pin to it.

  Dr Jefferiss: I think that to some extent you are bound to be right. It would be very difficult and it would be unreasonable to expect there to be absolute consonance between various interpretations of sustainable development. But I hope that events like today's and the process of the review of the sustainable development strategy will enable a dialogue to be undertaken both at a national policy level and at a local level on the ground whereby we can come to more of a consensus, or at least a better understanding of the differences between various interpretations.

  Q4 Chairman: Is there not another problem which is that the Government's approach to the whole strategy is based on trying to achieve four different things simultaneously so that is bound to give rise to tensions, is it not?

  Dr Jefferiss: I think yes and no. If you look at endeavours to achieve four things simultaneously from society's perspective, and especially over the longer term, then I do not think that there are tensions necessarily, especially if you can identify and incorporate external costs in one way or another because I think in that way you will achieve long-term benefits for society as a whole. It may be that in doing that there are short-term costs for particular groups or particular individuals. But I think it is a mistake to distort policy for the achievement of sustainable development in the short-term interests of particular individuals or groups. Instead, long-term policy for the achievement of sustainable development should be maintained, and the needs disadvantaged groups addressed separately and directly. To give you an example of what I mean, many analyses suggest that energy efficient measures will yield long-term carbon and economic benefits. We [the RSPB] have done an analysis of the ODPM's Sustainable Communities plan that suggests that if the housing developments in that plan were required to meet the Building Research Establishment's Eco-Homes Standards for energy efficiency, then it would cost about £130 per house in the short term but the cost/benefit ratio over 30 years would be about one:six. It is in society's interests to achieve that for environmental, social and economic reasons but it is not going to be in the short-term interests of individual home buyers, particularly poor people. Likewise, putting up the price of domestic fuel will certainly reduce fuel consumption but will adversely affect the fuel poor. However, rather than structure energy and housing policy to accommodate those individual needs it would be more rational and more in the interests of long-term sustainable development to set much more stringent building standards, to increase the price of fuel, and to make sure that policy is in place directly to address the needs of socially disadvantaged communities. That would be a more socially, economically and environmentally effective way of dealing with the issue.

  Q5 Joan Walley: If I can just pick you up on one of the things you said there. You talked about the importance of internalising environmental costs and then you went on and you talked about what is in the long-term interest is not necessarily in the short-term interest and you gave the example of energy efficiency and building regulations. What I really wanted to ask you is how do you see a value being placed on time in all of this, because it occurs to me, for example, when the Government is looking at aviation policy, it may well see a possibility of moving towards reduced aircraft emissions over a period of time but the time is not internalised in terms of cost in any way. With many of these things it is a trade-off between now and later but there is no way of putting a value on time and costing that into the way in which we need to change the way we do things in order to get that long-term viability. I really would be interested in your comments on that.

  Dr Jefferiss: Economists would say that there is a way of valuing time and that is by using a discount rate. The problem is that the choice of the discount rate crucially determines the outcome of the cost/benefit analysis and, by and large, the discount rate used is that which would be relevant in the commercial sector which is operating over a two to three-year time horizon, rather than a social discount rate which would be much lower. It is interesting that in that regard the Treasury itself has recommended a 3.5% social discount rate for the purposes of calculating the trade-offs between long and short-term benefits, and it was using that discount rate that we arrived at the six:one benefit to cost ratio. Even using a 10% discount rate for the particular analysis we did you would still come up with a 4.5:1 benefit/cost ratio. In addition to the time value of money, there is also the issue of whether we have actually included all of the costs and benefits in the calculations to which we applied the discount rate. The RSPB undertook a study with Cambridge University of the relative economic sense of either conserving wild nature or converting wild nature to various forms of human land use, and found that in all cases we studied—and this article was published in Science so it was a credible, peer-reviewed scientific article—it made no economic sense whatsoever to convert wild nature particularly to unsustainable forms of land use and the benefit/cost ratio was at least 100:1 for preserving wild nature. But, even then, the benefit/cost ratio was under-estimated because there were many forms of value that we simply did not incorporate because we could not possibly calculate them. They were fundamental values, various forms of ecosystem service, like climate regulation, water cycling, nutrient cycling, and so on. I think there is the time issue and the question of the scope of the costing and benefiting. Finally, I would say if we do not take account more adequately then there is a possibility that we will create problems that are irreversible or very long-term indeed. Climate change is the most obvious example.

  Q6 Chairman: You argue very strongly that the concept of equity should become the eleventh principle in this context but what actual role do the principles play in practice? The first one is putting people at the centre. What is the practical value of these principles and what impact would inserting equity actually have?

  Dr Jefferiss: With one exception, which is the economic principle of an open and supportive economic policy (which I can come back to if you wish) I think the principles can serve two functions. One is that they can form a general backdrop to policy decisions that may create a general awareness of a variety of issues that need to be taken into consideration alongside meeting the four primary objectives. However, I think it would be a useful exercise for policy makers to screen their decisions explicitly against the principles. So for example, with the polluter pays principle, we would have had a more sustainable outcome to the EU Liability Directive if decision-makers had considered closely whether or not the final version of that actually met the polluter pays principle, which I do not think it did. So both to create the scene and as a specific screen for decision-making they can be useful. On the economic one I would question its use simply because it is entirely unclear, to me at least, what it means. If it means supportive in the sense of supporting subsidies under CAP or CFP regimes then clearly that is damaging to the economic, social and environmental agenda. If it means open and supportive in the sense of fully liberalised markets that do not take account of external social and environmental costs, then likewise that will lead to environmental and social degradation. So without a much clearer definition of what that principle is about I would simply remove it.

  Q7 Chairman: There is another principle which is the precautionary principle. How do you feel that relates to the need to work on an evidence-based approach?

  Dr Jefferiss: I do not see any incompatibility between science-based approaches and policy making and the precautionary principle. I think it is quite possible to conceive of situations in which we have more than adequate scientific justification for believing that a problem might well occur but insufficient scientific evidence to know whether it will occur or to what extent it will occur. And it will be rational under those circumstances to wait and try and find out. Examples of that obviously are genetically modified crops where I think it was extremely rational to instigate the field trials. Another example that the RSPB is centrally concerned with at the moment is the impacts of renewable energy on birds. There is scientific evidence to suggest that there may be a problem and under those circumstances we think it would be rational to examine whether there is a problem before proceeding too far and too fast.

  Q8 Mr Thomas: That is precisely what I wanted to ask you about because any strategy has to deal with these conflicting aims and, as you just mentioned, the RSPB itself has had to face up to the potential effect at one level on bird wildlife of renewable energy, and I am thinking of wind farm developments, and you have also got to take into account what effect climate change will have on the bird population. How can any strategy deal with an evidence-based approach in that sense, not only from yourselves as an NGO but also from government. You are under pressure from your members who want to see bird life protected and conserved. The government is under pressure from voters; is there any sense that a strategy can seriously address these issues and come above the narrow political constraints that both NGOs and government operation within?

  Dr Jefferiss: I think the answer is yes. Again, I do not think those kinds of science-based needs are necessarily incompatible with moving the sustainable development agenda ahead. I do not think the instigation of field trials for GM crops has done anything other than give us a more rational basis for decision making. If it incurred a financial cost and, in the scheme of things, a relatively short delay, then I think those costs are more than adequately compensated for by the benefits of increased knowledge that they yield. In the case of wind specifically I would like to go on record as saying the RSPB sees climate change as the single largest global threat to the environment. Again we contributed to an article in Nature suggesting that 17 to 35% of species may be committed to extinction by 2050 under the IPCC mid-range climate scenarios. So, we recognise that climate change is the worst possible threat to birds over the not so very long term. For that reason we are strongly committed to the Government's renewable energy targets. We run our own renewable energy product and sell a rooftop PV system to members (and anyone else who wants to buy it). We are building renewables on [RSPB] reserves. But we think it would be rational, on the basis of what we know, to learn more about the effects of large and broad scale deployments of renewable energy before proceeding too fast. We do not think that that would incur an undue delay in rolling out the renewables programme. On the contrary, we are concerned that if we do not understand these effects better than we do now it might precipitate some kind of backlash that in the longer run would do more to delay the development of renewable energy. To give you a sense, I think we could address the problem by simply putting considerably more resources quickly into gathering the kind of knowledge that we do not yet have about bird movements, behaviour and locations and about the impacts of renewables on them.

  Q9 Mr Thomas: Are not the effects of climate change, which you acknowledge yourself is the single biggest threat to our environment. so pressing under recent information that we have had (in the reports we have had this week for example) all this debate, in this kind of context is not the precautionary principle that you are advocating now one that de facto will lead to the development of rather less amenable forms of energy and the Government needs to crack on and not hold back on development of a renewable future?

  Dr Jefferiss: On the contrary, as I said, unless we have greater clarity on these issues I fear that the lack of clarity will create the possibility of using it as a lever to slow down the renewables programmes. Parties that are opposed to renewables development can very easily latch on to the lack of scientific knowledge about various impacts to justify delay. What we are saying is that we could expeditiously gather the knowledge which would prevent that from happening. At the moment the government is spending about £350 million on direct grants for renewable development and the amount coming through the renewables obligation will be in excess of £1 billion by 2010. By contrast, the amount being spent on research to gather the kinds of information I am talking about is of the order of tens to hundreds of thousands of pounds. Given the importance of the issues we feel that it would be entirely sensible for the Government to spend perhaps £3 million on gathering the kinds of data that we are talking about in a period of two to three years since that would effectively enable everyone—us, the developers, government and everyone else—to move forward with confidence. We do not think the cost and timetable for such research need lead to the kinds of concerns you express—it would remove them—but I can understand why you fear that it might.

  Q10 Mr Chaytor: Your written evidence was quite positive about the impact of the Government's strategy and I think you said that it has kept sustainable development firmly on the table, but does that apply equally to all government departments or do you detect a difference?

  Dr Jefferiss: I do detect a difference, yes.

  Q11 Mr Chaytor: Are you prepared to name and shame?

  Dr Jefferiss: I would not put it in quite such black and white terms as that. I think different departments have shown strengths and weaknesses in different areas. Defra as the lead department on sustainable development itself has done well, by and large, on sustainable development itself, on moving forward on agriculture policy, on sustainable production and consumption strategies, and so on. I think other departments are beginning to engage with the sustainable development strategy but are not necessarily engaging with it in all its aspects. For example, I think the DTI has made important strides on climate change and renewable energy in the last three to five years—really important strides—and I think that needs to be recognised, but some of the balancing aspects of sustainable development that I alluded to in the answer to my last question have not been fully internalised yet. I think the Treasury, which obviously has a very important role to play, and arguably the most important role to play has made important contributions to sustainable development through its statement of intent on green taxation for example, through its commitment to subjecting departmental submissions under the Comprehensive Spending Review to sustainability assessment, and assessment against their public service agreement targets. But at the same time I do not think the Treasury has necessarily carried through the implications of those reviews into its actual practice. For example, in maintaining momentum on the green taxation agenda the Climate Change Levy was a very welcome introduction but we have not seen very much practical progress since then. There has been some progress on company car taxation and fuel tax differentials but not as much as we might have hoped on pesticides taxation or taxing diffuse water pollution, for example. DFID is obviously committed to sustainable development and in its various literature it is committed both to the notion of poverty eradication as a means to protect the environment and environmental protection as a means to eradicate poverty. But in practice it has tended to privilege poverty eradication over environmental protection, or at least explicit environmental protection, with the expectation and assumption that environmental protection will necessarily follow from poverty eradication when I do not think there is necessarily the proof that that is always the case. Certainly with respect to biodiversity conservation within environmental protection that has received inadequate attention, not just from DFID but from government as a whole.

  Q12 Mr Chaytor: That is a very useful survey of the contribution of departments but would those developments not have happened without an overarching strategy? What I am interested in is whether you think it would have been likely that individual departments would have taken individual initiatives on climate change, on green taxation for example, without the strategy, or are we in danger of strategy overload because we have got a UK strategy, presumably there is a strategy in the devolved parliament in Scotland and the Welsh Assembly, we may have regional government and regional government strategies. What is the real purpose of the overarching strategy as against simply encouraging individual departments as agencies to respond on very specific things?

  Dr Jefferiss: I think the strategy—I may be wrong and it is hard to prove this—has driven progress further and faster in departmental action than would have been the case without the strategy.

  Q13 Mr Chaytor: You do not think we are getting bogged down in too much strategy or too many bureaucratic structures to deliver this?

  Dr Jefferiss: As I say, I think the issue of plan proliferation is a different issue and is a serious one, but I think the UK SD strategy has caused departments, like the DTI for example, to develop their own sustainable development strategy to engage in the CO2 agenda. I think PSA targets like the farmland birds target for Defra have encouraged it to accelerate formal policy in the agriculture sector, for example. So I think the strategy and its associated indicators and targets have had a material effect. The question of departmental strategy proliferation is a different and real one because not only do we have departmental strategies, we have departmental strategies and departmental sustainable development strategies, which are not always the same thing and which do not always mutually acknowledge one another. We have the EU internal and external dimensions of sustainable development. As well as the UK strategy we have regional spatial strategies and planning guidance, regional economic strategies, regional sustainable development frameworks, the National Assembly for Wales, SD strategy and so on. And I think you are right. We have seen an explosion of these, which on the one hand is a good thing because people are engaging with the agenda, but I think there has been insufficient attention paid to making sure that those strategies are joined up, are mutually consistent, and are focused on priority issues. I am hopeful that one of the outcomes of the current strategy review will be the setting of priorities at the UK level which can then be interpreted flexibly but consistently through a variety of devolved means.

  Q14 Mr Chaytor: You have also said that the time has come to move on from the incremental approach and adopt some bolder shifts in policy. But is there a danger that when governments do adopt bold environmental policy and come across political resistance, the green lobby suddenly vanishes and is no longer seen in support of it? I think of the September 2000 fuel duty dispute. What do you think the role of NGOs such as yours is in further encouraging and then supporting bold strategies when the Government has the courage to develop them?

  Dr Jefferiss: It is a charge that has been levelled against the environmental NGOs in the past and no doubt—

  Q15 Mr Chaytor: —Maybe again in the future in October when the planned increase in fuel duty is on the agenda again.

  Dr Jefferiss: I hope that there is an increase in fuel duty and I hope there are not the same problems, but time will tell. I am sure we bear some responsibility for not having anticipated that particular event or for not having reacted more effectively when it did happen. Having said that, we tried very hard both in individual NGOs and as a group of NGOs—and I do not know what WWF will have to say about this, but we did try hard. We tried to gain press attention. For example, at one of the party conferences we held a joint press event which was attended by almost no-one from the press. It simply proved impossible, even for seasoned campaigning environmental NGOs, to garner much, if any, press attention. Once the protests were underway the protests themselves became the thing of the moment. It was particularly difficult for us to gain any attention when—while NGOs were being quite vociferous—government, as far as we could tell, were almost completely silent on any kind of justification for fuel duty from an environmental point of view. So I think it is a responsibility that government and the voluntary sector should share, with the business sector, for raising public awareness in advance of events of that kind. I think that could be done through the education system and through ministerial speeches and so on. I think it can also be done through an actual policy change, in particular the introduction of green taxation, which is hypothecated back to various forms of activity that yield a positive outcome for the environment. So, for example, fuel duty should very well be recycled back towards sustainable public transport and towards research into lower carbon modes of transport and so on. That does not happen to nearly the extent that it should and I think it would be very useful if the Government were to comment on the fact that environmental taxation is qualitatively different from revenue-raising taxation, in that revenue-raising taxation as historically defined has been precisely about raising money without changing behaviour whereas environmental taxation is the exact opposite; it is about changing behaviour without trying to raise revenue, other than recycling it, and so taxation is actually perhaps not the right word.

  Q16 Mr Challen: The RSPB is the largest membership organisation in the country so during those fuel protests what did you actually do to motivate your members to take action in support of your policy that you have just referred to?

  Dr Jefferiss: If I can cast my mind back.

  Q17 Chairman: You can write to us with the answer on that.

  Dr Jefferiss: The reason I am hesitating . . . the difficulty I am having is remembering the exact timing of actions we had taken.

  Q18 Chairman: I think it would be interesting for us to know. I am afraid we are going to have to write to you with some further questions. We are extremely grateful to you for your written memorandum which is a serious piece of work and which is very helpful indeed, and also to you for being with us today. I apologise for the brevity of this encounter but I hope it will be continued in writing.

  Dr Jefferiss: Thank you for the opportunity.





 
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