Ocean’s 20: Blueprint for a Blue Economy

Why in News?

• The Comptroller & Auditor General of India (CAG) will chair SAI20, the Engagement Group for Supreme Audit Institutions (SAl) of G20 countries in Goa.

 

Priority Areas for the SAI20

• Two priority areas have been selected for deliberations; Blue Economy and Responsible Artificial Intelligence (AI).
• As Chair of SAI20, India's CAG aims to help create a framework for G20 nations to ensure inter-generational equity and mitigate climate change while developing ocean resources.
• For SAI20, the CAG is to prepare technology-driven tools to assess authorised development in coastal stretches and track marine water quality.

 

Primary Functions of SAIs

• SAI20 member countries are being engaged in a collaborative exercise to evolve globally relevant audit toolkits along with a compendium of case studies and challenges in the broader framework of auditing coastal spaces, which include:
  • Legal and institutional frameworks,
  • Compliance to coastal regulation,
  • Biodiversity conservation,
  • Capacity building and compliance to SDGs.

 

Important Key Roles of SAI20

• The engagement of SAIs in advising executives is crucial in balancing key developmental concerns while ensuring sustainable development.
• SAI20’s role in promoting intergenerational equity and addressing climate change concerns highlights their importance in ensuring that the benefits of economic growth are shared fairly across generations.

 

Blue Economy

• Blue, or ocean economy, whose global annual value is estimated as $2.5 trillion, encompasses an array of coastal activities, including fishing and tourism.
• In 2018, the United Nations Environment Programme (UNEP) had for the first time laid out the Sustainable Blue Economy Finance Principles.
• Investors can use this framework to fund ocean-based industries.
• Financiers can use it as a reference point to see how marine investment can impact livelihood and poverty eradication.

 

Why the Measurement of Blue economy is Challenging?

• The measurement of the blue economy is challenging due to conflicting definitions and issues while classifying different sectors and sub-sectors.
• Existing international economic classifications are unable to properly differentiate between land-based and ocean-based activities.
• The System of National Accounts (NAS) does not provide a clear understanding of the blue economy.
• Given these difficulties, a new accounting framework is needed that can objectively identify production, trade, and services related to the various segments of the blue economy.

 

Indian Blue Economy

• India has marked the blue economy as one of the 10 core sectors for national growth.
• A National Blue Economy Policy that aims to harness maritime resources while preserving the country’s rich marine biodiversity has been prepared by the Ministry of Earth Sciences.

 

Challenges to Indian Blue Economy

• Hazards of cyclones and sea-level rise are likely to be higher in the coastal regions due to climate change.
• GIS maps from the European Space Agency indicate that 15 per cent of India’s coastal areas have witnessed changes between 1992 and 2018 due to agriculture.
• Depleting forest cover and urbanisation.
• Population living along the country’s coastal areas is expected to rise from 64 million in 2000 to 216 million by 2060.

 Suggestions by CAG for Executive

• Disaster-resilient infrastructure along coasts that can withstand the impacts of hurricanes, typhoons, and tsunamis.
• The executives should be adequately equipped with infrastructure, especially ICT hubs in place for early warning systems.

 

CAG's Audit Report

• Last year, the CAG tabled its Conservation of Coastal Ecosystem report in Parliament, which contained its observations on
  • How the Coastal Regulation Zone (CRZ) notification for 2011 and 2019 have been implemented between 2015 and 2019.
  • Efficiency of development drivers such as project clearances, construction activity, institutional capacity to curb land and forest violations, community livelihood support mechanisms,
  • Mitigation management plans to conserve biodiversity such as mangroves and near-shore coral reefs that protect us from weather vulnerabilities like storms and coastal floods.
• The audit resulted in focused recommendations to help improve the CRZ ecosystem.

 

Conclusion

• The toolkits being prepared by SAI20 under the leadership of the CAG of India will be presented at the SAI20 Engagement Group meet.
• This will provide a unique opportunity for constructive dialogue and agreement to improve auditing of performance in specific areas of ocean-based activities.
• It will help in the assessment of how clearly the policy goals are planned and implemented.

 

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Source: The Indian Express