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MULTI DIMENSION IMPACT ACCOUNTING File: MDIA-p3-05-LAND-150613.odp Peter Burgess (c) All rights reserved MDIA LAND

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MULTI DIMENSION IMPACT ACCOUNTING

File: MDIA-p3-05-LAND-150613.odp Peter Burgess (c) All rights reserved

MDIALAND

MULTI DIMENSION IMPACT ACCOUNTING

WORK-IN-PROGRESS.SLIDESET STILL IN DEVELOPMENT.UPDATES WILL BE POSTED OVER

THE NEXT SEVERAL WEEKS

LAND has been central to the idea of wealth and power for ever.

MULTI DIMENSION IMPACT ACCOUNTING

Law about LAND has been crafted to make statutory ownership more important than any system of traditional ownership.

MULTI DIMENSION IMPACT ACCOUNTING

The money value of land is based on the money profit earning potential of the land.

MULTI DIMENSION IMPACT ACCOUNTING

This value ignores the important ecosystem services provided by natural land use.

No metrics … no value!

MULTI DIMENSION IMPACT ACCOUNTING

Tropical rain forests have little money value as is, but provide incredibly important ecosystem services. ● Carbon sequestration● Habitat (biodiversity fauna and flora)

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

TROPICAL RAIN FOREST

To make money, degrade the rain forest and ... ● Clearcut for mining; or ● Clearcut for palm oil plantations; or ● Exploit for old growth logging

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

MINING (in Peru)

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

CLEAR CUTTING FOR PALM OIL

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

OLD GROWTH LOGGING

Mangrove and wetlands are essential to the good health and survival of everything in the fish and animal kingdoms.

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

MANGROVE

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

WETLANDS

In a money based world, land fill for urban trash is a preferred use for (money valueless) wetlands …

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

Meadowlands wetlands being used for landfill

Or warehouses …

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltCapital

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltCapital

NaturalCapital

Sun

LAND USE

Meadowlands wetlands being used for warehouses

Or a sports arena …

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltCapital

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltCapital

NaturalCapital

Sun

LAND USE

Meadowlands wetlands being used for sports arena

Or a shopping mall …

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltCapital

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltCapital

NaturalCapital

Sun

LAND USE

Meadowlands wetlands being used for shopping mall

… and of course urban housing like this is an efficient land use.

Certainly in terms of money but also likely in terms of people.

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

URBAN HIGHRISE

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

SUBURBAN HOUSING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

SUBURBAN TRACT DEVELOPMENT

… but maybe not for single family McMansions …

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

MCMANSIONS

The money value of mountains is low … the ecosystem service value is low … maybe it is only the recreational dimension that gives them any value at all!

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

MOUNTAINS

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

MOUNTAINS

Deserts are also low in both money value and ecosystem service value …

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

DESERTS

… unless, of course, there are oil resources under the sand …

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltCapital

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltCapital

NaturalCapital

Sun

LAND USE

Meadowlands wetlands being used for shopping mall

Savanna … a mix of trees and grasses … is not an optimum for money profit use of land …

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

SAVANNA

Prairie is much better … Monoculture with heavy use of fertilizer, pesticides, herbicides and highly mechanized and energy intensive ...

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

PRAIRIE

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

PRAIRIE

A parking lot has money value associated with convenience and economic use.

… but a parking lot degrades natural storm water control.

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

PARKING LOTS

A shopping mall and parking lots have money value associated with business use.

The development degrades natural storm water control.

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

SHOPPING MALLS

MULTI DIMENSION IMPACT ACCOUNTING

SunSun

BOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltStructures& Systems

NaturalCapital

Sun

LAND USE

AIRPORTS

The money value of land is determined by the profit flows that can be derived from using the land for money profit activities.

MULTI DIMENSION IMPACT ACCOUNTING

The environmental value of land is determined by the ecosystem services that are provided by the land.

MULTI DIMENSION IMPACT ACCOUNTING

MULTI DIMENSION IMPACT ACCOUNTING

Sun

LAND USE

Sustainable agricultureWater purification

Intensive monoculture

Coastal mangrove

Urban infrastructure

Roads, Parking Lots

There is a limited amount of land and there are multiple possible uses.Land is a factor in improving human capital, producing goods and

services, and locating MBC. Money value is a metric for this.Land is also a factor in providing very critical ecosystem services.

A metric for this is needed, reflecting the ecosystem service potential.

Money Value

Suburban sprawl

Housing

Tropical forest

Habitat

Industrial operations

Sun

BOP

FinancialCapital

HumanCapital

Man BuiltCapital

NaturalCapital

Sun SunSun

EOP

FinancialCapital

HumanCapital

Man BuiltCapital

NaturalCapital

Sun

MediumZero

Medium

Zero

High

MediumHigh

High

Zero

Zero

High

MediumMedium

Low

High

Zero

ZeroZero

Zero

High

High

Zero

Wetlands Zero High

Natural Value

Moving forward … Request for collaborationMoney is part of a complex socio-enviro-economic system. While it works … it does not work as well as it should, nor as well as it could. The work of MDIA is to enable this complex system to work better.

MDIA needs to be a team effort. Join in and help to make the world a better place. Please get in touch.

Peter Burgess … [email protected]

MULTI DIMENSION IMPACT ACCOUNTING