Biodiversity

Lord Sikka Excerpts

Wednesday 28th April 2021 Grand Committee

[Lord Sikka (Lab) [V]]

My Lords, the Dasgupta Review reminds us that the trappings of neoliberal capitalism, its unrestrained pursuit of growth, consumption, exploitation and accumulation of private wealth, have brought humanity to the edge of disaster. Paradoxically, the review seeks a solution to the crisis of nature and biodiversity within the framework of neoliberal capitalism, which is unlikely to make a significant difference. For example, it emphasises the need to correct what it calls “pricing distortions” because, currently

“most of Nature’s worth to society—its accounting prices—are not reflected in market prices”.

It recommends that natural capital be brought into national accounting mechanisms; that is, that the externality of nature be expressed in terms of money. One consequence of this will be to treat nature as a tradeable commodity and to unleash a different kind of crisis. The use of terms such as “capital” is problematical, as it signifies something which is to be exploited and privately appropriated.

There is also a fundamental error in the review. Just because something is priced does not mean that it will not be exploited, at least by those who can afford to pay. Does financialisation deliver the desired outcomes? Carbon pricing generates a lot of revenues, but it has not significantly reduced global resource consumption or emissions. To save humanity and all living things, we need a transformation of education and society. Equitable distribution of income and wealth and stakeholder capitalism are the first necessary stepping stones towards that goal. I hope that the Government will embrace them.