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(en) France, UCL AL #370 - Ecology - Biodiversity: Ecological Compensation, a Scam (ca, de, fr, it, pt, tr)[machine translation]

Date Thu, 14 May 2026 07:54:31 +0300


In issue 369 of Alternative libertaire, we reviewed Alain Bihr's book, *Capitalist Ecocide*. Here, he exposes the scam of ecological compensation, particularly through the ERC principle: "avoid, reduce, compensate," a process that any new capitalist or state-run project should normally follow in terms of its potential ecological impact. Indeed, the third phase of compensation takes precedence over the other two, to the point of completely erasing them, even though we know that each destroyed site is unique, both geographically and in terms of biodiversity.

The idea of ecological compensation arose from the observation that the opening or expansion of agricultural or mining sites, industrial or commercial establishments, public facilities, housing, etc., can lead to a more or less significant degradation of a site's ecological quality, notably affecting biodiversity. Consequently, starting in the 1960s, regulations were adopted in a number of countries aimed at minimizing these negative impacts upstream of projects, reducing them as much as possible during project implementation (whereas it is not possible or desirable to avoid them altogether), and finally, compensating for any residual impacts in kind, according to the so-called ERC strategy: avoid, reduce, compensate.

A perverse implementation
Regarding biodiversity losses, compensation is based on the assumption that such a loss linked to the degradation or destruction of a site, here and now, can be compensated, elsewhere or at another time (sooner or later), in the form of the conservation or preservation of another site (the creation of nature reserves placed outside of any use), its improvement (by reducing or stopping the degradation it may suffer), its rehabilitation (by reintroducing species into biotopes from which they have disappeared) or even the restoration of a site if it has been more or less severely degraded or artificialized (by depolluting it, by allowing the reappearance of the native species that originally composed it), so as to generate gains in biodiversity deemed at least equivalent to the losses caused. The ultimate goal is to ensure overall "development without net loss of biodiversity" (GNP), or GDP growth without GNP...

With the agreement between the European Union and Mercosur, deforestation in Mercosur countries (Argentina, Brazil, Paraguay, Uruguay) could increase by 25% per year over the next six years.

Credit: Pok Rie
The implementation of ecological compensation has been the subject of much criticism. However, these criticisms fall into three different categories. The first set of criticisms primarily concerns the way in which the Avoid-Reduce-Compensate (ERC) approach is implemented. Often, the first two phases remain mere formalities under the pretext that there is always the possibility of ultimately compensating for the losses caused. Thus, from a last resort, compensation tends to become the first option.

The Elusive Metric
Furthermore, regardless of the clarity and rigor of the regulations in this area, compensation obligations are often circumvented or only minimally enforced by the very agents who are supposed to be responsible for them. And the penalties for violations remain far too lenient: in France, between 2013 and 2016, of the 22,000 environmental offenses recorded on average each year, more than 90% resulted in no prosecution or only a warning, only 6.7% in fines (of a rather paltry amount: between EUR1,000 and EUR5,000 on average), and only 0.1% in prison sentences[1].

A second set of criticisms more fundamentally challenges the aforementioned premise upon which the idea of compensating for biodiversity loss rests. Firstly, unlike emissions of various gases whose effects in terms of global warming can be attributed to those of carbon dioxide alone (according to conventions and assessments that are, moreover, debatable), it is impossible to define a common metric for biodiversity: a system of units of measurement allowing for the quantitative assessment of the ecological quality of different sites, so that they can be compared to one another. More precisely, it is impossible to agree on what should be measured (the various aspects of each site's ecological richness) and how to measure it. The proof lies in the hundreds of different assessment methods that exist worldwide.

In *Capitalist Ecocide*, Alain Bihr observes: "Between 1890 and 1990, while the world population quadrupled, global GDP increased fourteenfold, industrial production fortyfold, energy consumption thirteenfold, water consumption ninefold, CO2 emissions seventeenfold, and SO2 (sulfur oxide) emissions thirteenfold, etc."

Credit: Chris LeBoutillier
Secondly, this inability to develop a common metric stems from the current limitations of our understanding of the complexity of interactions between species and between species and their habitats, which constitute and ensure biodiversity within an ecosystem: "We currently lack sufficiently developed techniques and concepts to claim a comprehensive understanding of the consequences of a project on biodiversity and its dynamics"[2]. The gaps in our current knowledge of biodiversity also hinder our ability to predict the ecological evolution of environments affected by compensation practices, especially since this evolution can extend over centuries (for example, in the case of forests, peat bogs, etc.).

Finally, and thirdly, the ecological quality of a site most often depends closely on its location, in other words, its relationship with surrounding sites. This relationship is disregarded, in principle, by establishing a biodiversity market, which considers it possible to declare equivalent sites located in profoundly different socio-natural environments because they are radically unique. This highlights the contradiction between, on the one hand, the qualitative diversity of ecological wealth, which ultimately makes sites irreplaceable-a diversity linked to the irreducible originality of each site, a unique characteristic shaped by the social practices (material, institutional, and symbolic) that have contributed to their creation-and, on the other hand, the quantitative homogeneity to which we seek to reduce them in order to integrate them into market relations, to exchange them by declaring them commensurable and interchangeable. This contradiction is ultimately none other than that between use value and exchange value.

Sacrificing Lady with an Ermine to save the Mona Lisa?
This also reveals the fallacious nature of the presupposition upon which biodiversity loss compensation markets are based: the existence of fragments of nature deemed interchangeable because their ecological use values (often reduced to the multiple ecosystem services they provide) are considered equivalent. This assumption ignores the radical originality of a site or ecosystem, which implies that its degradation or destruction always constitutes a net and irreplaceable loss, regardless of any preservation, conservation, restoration, or even creation of similar sites or ecosystems elsewhere.

Therefore, it is but a short step to question, even more radically, the very principle of ecological compensation-the third type of criticism. To want to assign a price to an element of nature, as is ultimately the case in ecological compensation schemes, is to want to equate a non-reproducible natural element (a living species, a wild natural environment, an ecosystem) with a quantum of value, and thus of abstract human labor, utterly incapable of reproducing it, thereby denying its very essence: its uniqueness. In fact, nothing can "compensate" for the destruction of such an element, which constitutes a radical loss, not even the preservation of another similar element. To claim otherwise would be to assert that one could sacrifice a work by Leonardo da Vinci (or any other painter or artist more generally), for example Lady with an Ermine, on the condition of preserving or restoring another of his works, for example the Mona Lisa, without the pictorial (or more broadly, artistic) heritage of humanity being impoverished as a result. And the same argument can be repeated regarding any other element of humanity's heritage, of which the ecosystems we have inherited are an integral part. This leads to denouncing the futility of these policies, which some theorists and practitioners of ecological compensation eventually concede: "Compensating precisely for the entirety and specificities of each impacted site is illusory, because each impacted site is unique, particularly due to its geographical location, its historical trajectory, and its uses"[3].

A futility compounded by cynicism, since it ultimately cloaks the impoverishment of biodiversity in the virtues of its conservation and masks the devastation of nature under the guise of its preservation.

Alain Bihr

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[1]Harold Levrel, Ecological Compensation, Paris, La Découverte, 2020.

[2]Fabien Quétier et al., "The Stakes of Ecological Equivalence for the Design and Sizing of Compensatory Measures for Impacts on Biodiversity and Natural Environments," INRAE, Sciences Eaux & Territoires, Special Issue No. 7, 2012.

[3]Ibid.

https://www.unioncommunistelibertaire.org/?Biodiversite-Compensation-ecologique-une-escroquerie
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