Natural Capital
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Since the 1970’s it has become increasingly clear that the classical ways of balancing humanities accounts are becoming increasingly anachronistic in attempt to monitor accurately the value of human activity on the earth. An expanding ‘global -consciousness’ and an increasing awareness of the need to regard the whole planet as a single – highly integrated- unit, coupled with the onset of global warming and other human-induced social and natural catastrophes has led people to look beyond the narrow confines of the old accounting systems.
These old systems are characterized by an empirical approach to asset and process management, meaning that they have traditionally paid no regard to the effect of human activity outside of the narrow remit of their own self-defined area of activity. In other words, they have only measured success within the confines of a limited economic model, all other costs having been “externalized”, and thereby disregarded.
The kind of economy which grew out of the activities of the old European Empires, where raw materials from the mineral, plant and animal ‘kingdoms’ were given a zero or nominal value, are no longer appropriate for the 21st century. With the negative environmental consequences of human economic activity becoming clearer by the day it is becoming increasingly apparent that natures ability to regenerate itself in a sustainable way is as much a part of the economic equation as humanities ability to provide for itself. Indeed because, in the final analysis, humanity is completely dependent on the earths living systems for its own sustainability, it could be argued that becoming active managers in the capacity of the biosphere to keep itself in balance is more urgent than the constant creation and accumulation of artifacts.
Since the original Club of Rome report, in the 1970’s, there have been an ever-growing number of attempts to provide alternative economic indicators to widen the narrow remit of the classical economic models, and much progress has and is being made in this direction. But there is still much to do. The evident disparity between the biosphere’s ability to cope with the effects of human activity and humanities attempts to change the way it does business, in order to ensure that it does not loose its raw material base, leaves no room for complacency.
Natural Capital has been founded in order to serve as a catalyst for accelerating the development of a fully integrated set of alternative economic indicators which not only allows for a full and accurate mirroring of the earths natural regenerative processes within economic modeling but which seeks to ensure that such an indicator model is adopted by all the players in the world economic system.
In order to achieve this vision it seeks to work in three-fold way: -
1) As a research group: In cooperation and collaboration with other individuals and organisations it seeks to build up a set of progress indicators which accurately reflect humanities true impact upon natural systems and the actual capacity of the biosphere to regenerate and renew itself. Converting this into a numerical value system. Such a system would also incorporate human economic needs and industrial processes.
2) As a pressure group: To encourage the business community to adopt best current practice and to actively research ways in which this practice can be improved, in all aspects of the production, distribution and disposal cycle. To lobby against what we perceive to be bad practice and to lend moral support to those individuals and organisations which seek to do the same.
3) As a marketing group: To seek to actively promote those goods and services which we feel offer best value for both the individual consumer, society and the environment, and to highlight the value of such products in relation to the indicators developed in the model. And to promote the appropriate sales and marketing infrastructures for the delivery of the plan. This will include encouraging and helping to facilitate best practice through support, courses, consultancies and workshops.
Natural Capital is an independent organisation. Whilst it welcomes funding from all quarters it reserves the right to remain completely independent in its research and in all the statements that it makes.
Whilst it aspires to be objective it will not hesitate to be critical of the practices of organisations where it feels appropriate, and conversely, to support and promote the work of organisations likewise, always bearing in mind that this is purely in the context of its own independent objectives.