Allocating maritime tax revenue for national biodiversity strategy#
Description#
General description
The financial sustainability of biodiversity initiatives often faces significant challenges, limiting their operational effectiveness and long-term impact (European Commission, 2020; OECD, 2020). To address this, the proposed solution recommends allocating a portion of maritime-related tax revenue directly to fund projects under the National Biodiversity Strategy (NBS). This dedicated funding mechanism would provide steady financial resources, ensuring the continuity and scalability of biodiversity conservation efforts.
By linking tax revenue to biodiversity objectives, this approach fosters accountability and incentivizes conservation-friendly practices within maritime sectors (UNEP, 2021). It also strengthens the operational capacity of NBS initiatives, enabling the implementation of targeted projects that align with national and international biodiversity goals, such as those outlined in the Kunming-Montreal Global Biodiversity Framework (CBD, 2022). This solution not only enhances the financial viability of biodiversity efforts but also promotes a more integrated and sustainable approach to marine conservation.
Main purpose To ensure the financial sustainability of NBS initiatives, the following actions are recommended:
Allocate a dedicated percentage of maritime-related tax revenue to directly fund biodiversity projects.
Use the revenue to enhance the implementation, monitoring, and evaluation of biodiversity initiatives.
Establish transparent reporting mechanisms to track fund allocation and effectiveness.
Barriers addressed
Inadequate funding for biodiversity projects:
Limits the implementation of critical biodiversity initiatives.
Constrains long-term project planning and sustainability.
Hinders the achievement of ambitious conservation targets.
Lack of dedicated funding streams for plan implementation:
Creates dependency on external or temporary funding sources or projects.
Reduces accountability and effectiveness of biodiversity strategies.
Limited engagement of maritime sectors
Lack of incentive structures linking maritime activities to conservation outcomes.
Policy relevance
This solution directly aligns with the EUBS2030, which emphasizes mobilizing resources to achieve its goals, including the protection of 30% of marine areas. By establishing a sustainable funding mechanism, this approach supports the integration of biodiversity objectives into broader maritime economic activities, contributing to policy coherence across sectors. Furthermore, it aligns with the MSFD and the MSP Directive by promoting ecosystem-based approach and sustainable use of marine resources while safeguarding biodiversity. This mechanism also strengthens national implementation of international commitments under the CBD.
Implementation
Allocating maritime tax revenue: Effective implementation requires legislative amendments to allocate a fixed percentage of maritime-related tax revenue—such as port fees, shipping levies, or maritime business taxes—towards biodiversity funding. This revenue stream should be ring-fenced to prevent diversion and ensure consistent funding for NBS projects. Transparency in fund allocation and use is essential to build public trust and stakeholder confidence.
Enhancing operational capacity: The allocated funds should prioritize key NBS activities, including MPA management activities, habitat restoration, species conservation, monitoring, and capacity-building initiatives. This includes supporting innovative projects such as marine habitat restoration, reducing pollution in marine ecosystems, and fostering stakeholder collaborations.
Public awareness and engagement: A communication strategy should highlight the link between maritime activities and biodiversity funding. Public campaigns and stakeholder workshops can enhance awareness and promote active participation from industries, local communities, and NGOs in conservation efforts. Incentives for maritime businesses that adopt biodiversity-friendly practices can further strengthen engagement.
Impact and effort
Impact: High
This solution has the potential to significantly enhance the financial sustainability and operational effectiveness of NBS initiatives. By providing a reliable funding stream, it enables long-term planning, implementation, and scaling of biodiversity projects. This mechanism also strengthens public and stakeholder support for conservation efforts, contributing to broader societal engagement in achieving biodiversity goals.
Required effort: Moderate
Implementation requires moderate effort, including legislative amendments, financial planning, and capacity-building activities. Establishing transparent reporting mechanisms and fostering stakeholder collaboration will necessitate coordination among government agencies, maritime industries, and conservation organizations. However, the potential benefits in achieving biodiversity targets outweigh the required effort, making this a viable and impactful solution.
Tax revenue for national biodiversity strategy: good practices
The EMFAF program provides a model for co-financing projects that align with biodiversity goals, demonstrating the feasibility of earmarked funds.
Financial support for innovative projects in ports and logistics (e.g., Italy and France) shows how targeted investments can enhance biodiversity outcomes.
Stakeholder engagement platforms and interdisciplinary working groups help align diverse interests, as seen in France and the Mediterranean region.
France’s National Biodiversity Strategy (NBS2030): France has integrated biodiversity into its National Strategy for the Sea and Coast and other policies. A significant example includes funding restoration projects and ecosystem enhancements under its Recovery Resilience and Plan, supported by the NextGeneration EU funds. This initiative demonstrates the potential of targeted investments in biodiversity enhancement.
Italy’s Port and Maritime Transport Policies: Italy utilizes the Recovery and Resilience Plan to fund habitat mapping, restoration actions, and biodiversity conservation. Additionally, Italy’s National Port Strategy encourages innovative local biodiversity projects in partnership with universities and environmental organizations.
Belgium’s Covenant for Fisheries and EMFAF Program: Belgium has developed biodiversity-focused programs under its fisheries policy, supported by the European Maritime, Fisheries, and Aquaculture Fund (EMFAF). These initiatives prioritize restoring and conserving biological resources and ecosystems.