In een driedelige documentaire ‘De Prijsvechter’ onderzoeken Roland Duong en Marijn Frank de oorzaak en gevolgen van onze goedkooplust. True Price legt in de derde aflevering uit waar je aan moet denken om een echte prijs te berekenen. Kijk deze laatste aflevering van de serie op VPRO, zondag 22 januari om 21.10 uur: http://www.vpro.nl/programmas/prijsvechter/aflevering-3.html
How does the true price of organic agriculture differ from conventional agriculture?
Adrian de Groot Ruiz gave an interview about organic versus conventional agriculture on Business News Radio (in Dutch). You can listen to the whole interview, in response to a statement of Louise Fresco, the President of Wageningen University and Research. (His part starts at 22 minutes) here.
Read a summary of the questions and answers below:
Interview on BNR Duurzaam
Adrian de Groot Ruiz as an expert on this statement:
“Organic agriculture is less productive than conventional agriculture”
Journalist Frederique Mol is the interviewer.
The real costs are not included in the price consumers pay. Who pays for these?
Society pays. For example, when CO2 emissions go up, there will be more floods. We will need to build more dams and the productivity of agriculture will go down. These are costs which are real, but the person enjoying the piece of chocolate does not pay for it.
Which information do you need to judge the statement?
Environment is the most interesting, because the advantage is that organic agriculture is better per hectare. There is less use of pesticides and herbicides, there is less loss of soil quality and less CO2 emissions per hectare. The disadvantage is there is less produce per hectare.
How do you calculate the real price?
Multiply the costs per hectare with efficiency. With the use of pesticides and herbicides, you determine the loss of species and value the different species. With CO2 you take the societal costs. We calculate 110 euros for a ton of CO2.
Does organic agriculture perform better than conventional agriculture?
The most leading studies show that the yield is about 20 percent lower.
That sounds like bad news for organic agriculture. Can we put a price on it?
No, and that is the interesting part. This is what we should measure, but it differs per continent and per product. To be fair, we don’t know. So it’s important that everyone measures and reports their true price. For example, an organic trader, Eosta, reports their costs per hectare, but we would like to see the costs per product and then: may the best farmer win!
True Price introduces a range of new tools tailored for businesses & financials and NGO’s & Institutions. We leverage on our world leading expertise in impact measurement and valuation to help professionals manage impacts. Our products build onto the familiar concepts that we developed like True Pricing and the Integrated Profit and Loss.
Our partners Alliander and Schiphol became first and second in the prestigious Transparency Benchmark 2016.
— Alliander N.V. (@Alliander) 17 november 2016
As Alliander topped the list, they won the Crystal Prize. The Jury of the Price mentioned that Alliander focuses on the tradeoffs between interests of its stakeholders and new forms of value creation (p.20). Schiphol was commended for their focus on the future role of an airport and its innovative way of showing their value creation (p.20).
The Transparency Benchmark is the most important price for Annual Accounts in the Netherlands. The winner of last year was AkzoNobel.
The jury report can be found here.
Global leaders convene to launch new framework that will help businesses make better decisions by including natural capital. True Price was part of the consortium delivering the project focusing on the business engagement programme. In addition, it served as technical advisor for 5 of the fifty pilots.
Representatives from over 160 of the world’s leading organizations, spanning business, finance, accounting, conservation, academia, and policy, meet today in London to celebrate the culmination of a unique collaborative project that has produced the first global Natural Capital Protocol.
The Natural Capital Protocol is a standardized framework designed to generate trusted, credible, and actionable information that business managers need to make truly informed decisions. It brings together and builds on a number of approaches that already exist to help business measure and value natural capital, and, by harmonizing them, will allow all businesses everywhere to benefit from understanding their relationships with nature.
The Protocol represents public and private sectors coming together in a unique collaboration, under voluntary contracts, to create something for the common good, and is freely available to all under a Creative Commons license.
38 diverse organizations formed the Protocol’s core development team, and over 450 organizations provided input over the course of the two year project. With the global challenges we face, such collaboration through voluntary partnerships will become ever more crucial, and the Protocol is proof of what can be achieved.
According to a 2013 report commissioned by the Natural Capital Coalition, half of all existing corporate profits would be at risk if the costs associated with natural capital were to be internalized through market mechanisms, regulation or taxation. A water shortage, for example, would have a catastrophic impact on 40% of Fortune 100 companies.
Natural capital brings together the environmental strands of climate, water, energy, biodiversity and waste into a uniform strategic approach. If adopted at scale, the Natural Capital Protocol has the power to revolutionize the way that businesses evaluate their operations and make decisions, helping them to reduce pollution, protect biodiversity, and limit the impacts of climate change, while simultaneously producing positive business results, safeguarding operations and supporting efforts to create a more sustainable world.
The Protocol has been through a comprehensive consultation and piloting process. Organizations and professionals from six continents offered over 3,200 comments during the consultation, and over 50 leading businesses piloted the Protocol, including Dow, Shell, the Coca-Cola Company, Kering, Hugo Boss, Yorkshire Water, Nestle, Interface, Olam and Nespresso, with many more lining up to apply the Protocol once it is launched.
Download the Natural Capital Protocol here.