“Earth provides enough to satisfy every man’s needs, but not every man’s greed.” ~ Mahatma Gandhi
We lost more than 1.3 million square kilometers of forest cover between 1990 and 2016. An area bigger than South Africa! Roughly 137 species of animals, insects or plants are lost every day in the tropical forests. Let it be the agrarian activities in Brazil or palm plantations in Indonesia and Malaysia. The fact remains that our planet is losing its forest cover at alarming rates. And if nothing is done now, there won’t be anything left to save.
The good news is that we’re all coming together to address the rapid climate change. People around the world are carrying out reforestation efforts to maintain the natural balance. Economic experts have put together these activities under the term “Restoration Economy.” A panel of researchers defines restoration economy as “any combination of activities intended to result in ecological uplift, improve ecosystem health, and result in a functioning ecosystem that provides a suite of ecosystem services.” Let’s find out the economic impact of the restoration economy in modern times.
Understanding the economic impact of the Restoration Economy
Startups mushrooming in the Restoration Economy
According to a report from the World Resources Institute (WRI) and the Nature Conservancy (TNC), startups working in the restoration economy are witnessing unprecedented growth, even ten times annually, as the global restoration efforts accelerate. The investor sentiment has remained low in conservation projects, partly because of the lack of their understanding of the financial gains they could make in such projects. However, the report highlights that startups across the globe are using technology and new economic models to improve their profit margins. Some of the noteworthy names in the report include BioCarbon Engineering, Land Life Company, Brinkman and Associates, Ecosia, F3 Life, TerViva, and many more.
Restoration economy provides more jobs
Research indicates that the restoration economy does not only counter climate change. It employs more people for every million dollars spent, as compared to the traditional oil and gas industries. While the oil and gas industry supports 5.2 jobs against every $1 million investment, the restoration industry supports roughly 33. This depends on geography and the type of restoration project.
More interesting facts about the restoration economy
- Halting deforestation around the world could boost the global economy by up to $80 billion annually.
- Developing sustainable food and land use models could lead to an economic activity of $2.3 trillion. Moreover, it creates over 70 million jobs.
TreeCoin: A step towards sustainable land use and timber production
Natural resources have suffered at the hands of short-term economic gain models. It is critical to devise business models that can restore the natural balance while providing enough for our needs.
TreeCoin is a startup that aims to develop a sustainable timber production model that can boost wood harvest without hurting the planet. TreeCoin aims to plant over 10 million trees in the first stage of its project, covering over 12,000 hectares of land. Additionally, the foundation intends to take on multiple social projects with the sole purpose of uplifting the lives of the local population.