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The Supreme Court Is Honing a New Weapon Against Federal Agencies

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Thursday, June 1, 2023

The Supreme Court last week narrowed the Environmental Protection Agency’s ability to keep wetlands free from water pollution. In Sackett v. EPA, Justice Samuel Alito wrote for the court that wetlands only fell under the Clean Water Act’s scope if they were directly contiguous with what the statute describes as the “waters of the United States,” a catch-all term for the myriad ways that water can appear in or around the United States.Along the way, Alito appears to have sharpened a new tool in the court’s ongoing war against what it describes as the “administrative state”: the various federal regulatory agencies that issue rules based on the laws that Congress has written. He articulated a “clear-statement rule” in Sackett, a relatively novel legal theory which could give the court a new vehicle to second-guess lawmakers and agencies when they affect private property. That vehicle, so to speak, appears to rest on shakier legal ground than the court suggested.Sackett began in 2007 when Michael and Chantell Sacketts backfilled some wetlands on a lot they had recently purchased in Idaho. The EPA had previously established that the wetlands in question ultimately drained into nearby Priest Lake even though it wasn’t directly connected to the body of water or the tributaries that fed into it. Among other things, the Sacketts argued that the wetlands weren’t “adjacent” to the “waters of the United States” that the Clean Water Act covers because there wasn’t a continuous surface connection. (The Sackett’s property is separated from the tributary by a road.)The EPA countered that Congress clearly meant to use “adjacent” instead of “adjoining” in the 1972 law and that it was intended to cover a wider range of wetlands. All nine justices sided with the Sacketts on whether the wetlands they had covered up were the “waters of the United States.” But the case was a 5-4 decision in practical terms when it came to how they read the statute. Alito and four of the other conservative justices rejected the test used by lower courts to determine whether wetlands fell under the CWA’s terms, which looked for a “significant nexus” between wetlands and nearby navigable waters.Instead, the majority applied a more stringent version of a clear-statement rule to achieve their goals. “First, this Court ‘require[s] Congress to enact exceedingly clear language if it wishes to significantly alter the balance between federal and state power and the power of the Government over private property,’” Alito wrote. He quoted from the court’s ruling two years earlier in United States Forest Service v. Cowpasture River Preservation Association.In Cowpasture, the court addressed an environmental group’s challenge to a pipeline that would briefly cross under the Appalachian Trail in a portion of a national forest in Virginia. The Forest Service, which believed it had jurisdiction over that part of the trail, granted a right-of-way permit to the pipeline company. The environmental groups claimed that jurisdiction actually lay with the National Park Service because, in their view, the secretary of the interior had delegated their authority over the entire trail to that agency.Justice Clarence Thomas, writing for a 7-2 majority in that case, rejected that interpretation of the various federal laws governing national trails, national parks, and national forests. He also raised a slippery-slope argument with the environmental groups’ reading of the law. “[The groups’] theory also has striking implications for federalism and private property rights,” Thomas claimed. “[They] do not contest that, in addition to federal lands, these 21 trails cross lands owned by states, local governments, and private landowners. Under [their] view, these privately owned and state-owned lands would also become lands in the National Park System.” “Our precedents require Congress to enact exceedingly clear language if it wishes to significantly alter the balance between federal and state power and the power of the Government over private property,” he continued. Thomas cited only one precedent for that proposition: Gregory v. Ashcroft. But that 1991 case had nothing to do with private property and Justice Sandra Day O’Connor made no mention of it in her majority opinion.Instead, Gregory centered on a state constitutional amendment in Missouri that required state judges to retire at the age of 70. A group of appointed state judges had sued the state under the Age Discrimination in Employment Act of 1967 and on constitutional grounds, claiming that the mandatory retirement provision amounted to age discrimination. The court rejected the constitutional argument because it said the Equal Protection Clause doesn’t apply to age.As for the ADEA claim, O’Connor explained that it was ambiguous whether Congress had meant to include appointed state judges under a general exemption for state elected officials and “appointee[s] on the policymaking level.” Since it was ambiguous, she wrote, the court would defer to the interpretation that did not interfere with state political structures. “This plain statement rule is nothing more than an acknowledgement that the states retain substantial sovereign powers under our constitutional scheme, powers with which Congress does not readily interfere,” O’Connor wrote.That line of reasoning cited multiple prior decisions to establish a federalism-based clear-statement rule. Indeed, based on how the Constitution structures power between the federal and state governments, it makes sense to assume Congress does not intend to reshape state governments unless it specifically says so. No similar assumption applied to private property—at least not until Thomas drew one out of thin air in the Cowpasture ruling two years ago.“Despite all this, the Court insists that Congress use ‘exceedingly clear language’ when it wishes ‘to significantly alter the balance between federal and state power and the power of the Government over private property,’” Justice Sonia Sotomayor wrote in a dissenting opinion in that case. “But Congress did. It used language so clear, in fact, that every year the Park Service provides an acreage report listing state and private land as part of the Appalachian Trail system unit.” She concluded that the majority’s outcome was “inconsistent with the language of three statutes, longstanding agency practice, and common sense.”The court’s friendliness towards companies fighting environmental regulations is consistent and unsurprising. As I noted last week, Alito wrote with great sympathy for the Sacketts and property owners in general. He also expressed disagreement with Congress’s chosen method of addressing water pollution. That led to some veiled criticism of how he read the statute from Justice Brett Kavanaugh, who explained that Congress and the EPA had clearly and consistently meant “adjacent” to include non-contiguous wetlands.“The Court suggests that ambiguities or vagueness in federal statutes regulating private property should be construed in favor of the property owner, particularly given that States have traditionally regulated private property rights,” Kavanaugh noted in an opinion joined by the court’s three liberal justices. “To begin with, the federal government has long regulated the waters of the United States, including adjacent wetlands.” He also noted that the court’s new test upended what had been a settled question for decades and would invite a wave of new litigation to determine what counted as a “continuous surface connection.”Justice Elena Kagan was even more pointed in her concurring opinion, which functioned more like a dissent. “It relies as well on a judicially manufactured clear-statement rule,” she wrote, joined by Justices Sonia Sotomayor and Ketanji Brown Jackson. “When Congress (so says the majority) exercises power ‘over private property’—particularly, over ‘land and water use’—it must adopt ‘exceedingly clear language.’ There is, in other words, a thumb on the scale for property owners—no matter that the Act (i.e., the one Congress enacted) is all about stopping property owners from polluting.”If this fight feels familiar, that’s because it is. The Supreme Court’s conservative supermajority is rethinking core doctrines of administrative law on similar grounds. In last term’s ruling in West Virginia v. EPA, they used the “major-questions doctrine” to curb the agency’s power to regulate carbon emissions from aging power plants under the Clean Air Act. That doctrine rests on the idea that Congress must “speak clearly” if it wishes an agency to address a question of “vast vast economic and political significance.” What counts as “speaking clearly?” What counts as a policy question of “vast economic and political significance”? The court was, well, unclear on that.As Kagan noted, the vagueness of these new doctrines opens the court to criticism that it is merely substituting its own policy preferences for those of Congress and federal agencies. The court will get another opportunity next term when it revisits the Chevron doctrine in Loper Bright Enterprises v. Raimondo. The Chevron doctrine holds that courts should defer to specialized agencies if the agency’s interpretation of federal law is based on a “permissible construction” of the statute in question. Conservative legal scholars and judges have long criticized the doctrine for supposedly giving too much power to agencies and weakening democracy. In practical terms, scrapping Chevron would transfer that power not to Congress or the people, but to the courts that second-guess them.What makes last week’s opinion in Sackett—and the “exceedingly clear language” test that it articulated—so striking is that it is largely detached from the precedent it cites. “Today’s pop-up clear-statement rule is explicable only as a reflexive response to Congress’s enactment of an ambitious scheme of environmental regulation,” Kagan observed. “It is an effort to cabin the anti-pollution actions Congress thought appropriate.” Americans and their elected lawmakers can now only wait to find out which other long-standing laws aren’t “exceedingly clear” enough for the justices’ tastes.

The Supreme Court last week narrowed the Environmental Protection Agency’s ability to keep wetlands free from water pollution. In Sackett v. EPA, Justice Samuel Alito wrote for the court that wetlands only fell under the Clean Water Act’s scope if they were directly contiguous with what the statute describes as the “waters of the United States,” a catch-all term for the myriad ways that water can appear in or around the United States.Along the way, Alito appears to have sharpened a new tool in the court’s ongoing war against what it describes as the “administrative state”: the various federal regulatory agencies that issue rules based on the laws that Congress has written. He articulated a “clear-statement rule” in Sackett, a relatively novel legal theory which could give the court a new vehicle to second-guess lawmakers and agencies when they affect private property. That vehicle, so to speak, appears to rest on shakier legal ground than the court suggested.Sackett began in 2007 when Michael and Chantell Sacketts backfilled some wetlands on a lot they had recently purchased in Idaho. The EPA had previously established that the wetlands in question ultimately drained into nearby Priest Lake even though it wasn’t directly connected to the body of water or the tributaries that fed into it. Among other things, the Sacketts argued that the wetlands weren’t “adjacent” to the “waters of the United States” that the Clean Water Act covers because there wasn’t a continuous surface connection. (The Sackett’s property is separated from the tributary by a road.)The EPA countered that Congress clearly meant to use “adjacent” instead of “adjoining” in the 1972 law and that it was intended to cover a wider range of wetlands. All nine justices sided with the Sacketts on whether the wetlands they had covered up were the “waters of the United States.” But the case was a 5-4 decision in practical terms when it came to how they read the statute. Alito and four of the other conservative justices rejected the test used by lower courts to determine whether wetlands fell under the CWA’s terms, which looked for a “significant nexus” between wetlands and nearby navigable waters.Instead, the majority applied a more stringent version of a clear-statement rule to achieve their goals. “First, this Court ‘require[s] Congress to enact exceedingly clear language if it wishes to significantly alter the balance between federal and state power and the power of the Government over private property,’” Alito wrote. He quoted from the court’s ruling two years earlier in United States Forest Service v. Cowpasture River Preservation Association.In Cowpasture, the court addressed an environmental group’s challenge to a pipeline that would briefly cross under the Appalachian Trail in a portion of a national forest in Virginia. The Forest Service, which believed it had jurisdiction over that part of the trail, granted a right-of-way permit to the pipeline company. The environmental groups claimed that jurisdiction actually lay with the National Park Service because, in their view, the secretary of the interior had delegated their authority over the entire trail to that agency.Justice Clarence Thomas, writing for a 7-2 majority in that case, rejected that interpretation of the various federal laws governing national trails, national parks, and national forests. He also raised a slippery-slope argument with the environmental groups’ reading of the law. “[The groups’] theory also has striking implications for federalism and private property rights,” Thomas claimed. “[They] do not contest that, in addition to federal lands, these 21 trails cross lands owned by states, local governments, and private landowners. Under [their] view, these privately owned and state-owned lands would also become lands in the National Park System.” “Our precedents require Congress to enact exceedingly clear language if it wishes to significantly alter the balance between federal and state power and the power of the Government over private property,” he continued. Thomas cited only one precedent for that proposition: Gregory v. Ashcroft. But that 1991 case had nothing to do with private property and Justice Sandra Day O’Connor made no mention of it in her majority opinion.Instead, Gregory centered on a state constitutional amendment in Missouri that required state judges to retire at the age of 70. A group of appointed state judges had sued the state under the Age Discrimination in Employment Act of 1967 and on constitutional grounds, claiming that the mandatory retirement provision amounted to age discrimination. The court rejected the constitutional argument because it said the Equal Protection Clause doesn’t apply to age.As for the ADEA claim, O’Connor explained that it was ambiguous whether Congress had meant to include appointed state judges under a general exemption for state elected officials and “appointee[s] on the policymaking level.” Since it was ambiguous, she wrote, the court would defer to the interpretation that did not interfere with state political structures. “This plain statement rule is nothing more than an acknowledgement that the states retain substantial sovereign powers under our constitutional scheme, powers with which Congress does not readily interfere,” O’Connor wrote.That line of reasoning cited multiple prior decisions to establish a federalism-based clear-statement rule. Indeed, based on how the Constitution structures power between the federal and state governments, it makes sense to assume Congress does not intend to reshape state governments unless it specifically says so. No similar assumption applied to private property—at least not until Thomas drew one out of thin air in the Cowpasture ruling two years ago.“Despite all this, the Court insists that Congress use ‘exceedingly clear language’ when it wishes ‘to significantly alter the balance between federal and state power and the power of the Government over private property,’” Justice Sonia Sotomayor wrote in a dissenting opinion in that case. “But Congress did. It used language so clear, in fact, that every year the Park Service provides an acreage report listing state and private land as part of the Appalachian Trail system unit.” She concluded that the majority’s outcome was “inconsistent with the language of three statutes, longstanding agency practice, and common sense.”The court’s friendliness towards companies fighting environmental regulations is consistent and unsurprising. As I noted last week, Alito wrote with great sympathy for the Sacketts and property owners in general. He also expressed disagreement with Congress’s chosen method of addressing water pollution. That led to some veiled criticism of how he read the statute from Justice Brett Kavanaugh, who explained that Congress and the EPA had clearly and consistently meant “adjacent” to include non-contiguous wetlands.“The Court suggests that ambiguities or vagueness in federal statutes regulating private property should be construed in favor of the property owner, particularly given that States have traditionally regulated private property rights,” Kavanaugh noted in an opinion joined by the court’s three liberal justices. “To begin with, the federal government has long regulated the waters of the United States, including adjacent wetlands.” He also noted that the court’s new test upended what had been a settled question for decades and would invite a wave of new litigation to determine what counted as a “continuous surface connection.”Justice Elena Kagan was even more pointed in her concurring opinion, which functioned more like a dissent. “It relies as well on a judicially manufactured clear-statement rule,” she wrote, joined by Justices Sonia Sotomayor and Ketanji Brown Jackson. “When Congress (so says the majority) exercises power ‘over private property’—particularly, over ‘land and water use’—it must adopt ‘exceedingly clear language.’ There is, in other words, a thumb on the scale for property owners—no matter that the Act (i.e., the one Congress enacted) is all about stopping property owners from polluting.”If this fight feels familiar, that’s because it is. The Supreme Court’s conservative supermajority is rethinking core doctrines of administrative law on similar grounds. In last term’s ruling in West Virginia v. EPA, they used the “major-questions doctrine” to curb the agency’s power to regulate carbon emissions from aging power plants under the Clean Air Act. That doctrine rests on the idea that Congress must “speak clearly” if it wishes an agency to address a question of “vast vast economic and political significance.” What counts as “speaking clearly?” What counts as a policy question of “vast economic and political significance”? The court was, well, unclear on that.As Kagan noted, the vagueness of these new doctrines opens the court to criticism that it is merely substituting its own policy preferences for those of Congress and federal agencies. The court will get another opportunity next term when it revisits the Chevron doctrine in Loper Bright Enterprises v. Raimondo. The Chevron doctrine holds that courts should defer to specialized agencies if the agency’s interpretation of federal law is based on a “permissible construction” of the statute in question. Conservative legal scholars and judges have long criticized the doctrine for supposedly giving too much power to agencies and weakening democracy. In practical terms, scrapping Chevron would transfer that power not to Congress or the people, but to the courts that second-guess them.What makes last week’s opinion in Sackett—and the “exceedingly clear language” test that it articulated—so striking is that it is largely detached from the precedent it cites. “Today’s pop-up clear-statement rule is explicable only as a reflexive response to Congress’s enactment of an ambitious scheme of environmental regulation,” Kagan observed. “It is an effort to cabin the anti-pollution actions Congress thought appropriate.” Americans and their elected lawmakers can now only wait to find out which other long-standing laws aren’t “exceedingly clear” enough for the justices’ tastes.

The Supreme Court last week narrowed the Environmental Protection Agency’s ability to keep wetlands free from water pollution. In Sackett v. EPA, Justice Samuel Alito wrote for the court that wetlands only fell under the Clean Water Act’s scope if they were directly contiguous with what the statute describes as the “waters of the United States,” a catch-all term for the myriad ways that water can appear in or around the United States.

Along the way, Alito appears to have sharpened a new tool in the court’s ongoing war against what it describes as the “administrative state”: the various federal regulatory agencies that issue rules based on the laws that Congress has written. He articulated a “clear-statement rule” in Sackett, a relatively novel legal theory which could give the court a new vehicle to second-guess lawmakers and agencies when they affect private property. That vehicle, so to speak, appears to rest on shakier legal ground than the court suggested.

Sackett began in 2007 when Michael and Chantell Sacketts backfilled some wetlands on a lot they had recently purchased in Idaho. The EPA had previously established that the wetlands in question ultimately drained into nearby Priest Lake even though it wasn’t directly connected to the body of water or the tributaries that fed into it. Among other things, the Sacketts argued that the wetlands weren’t “adjacent” to the “waters of the United States” that the Clean Water Act covers because there wasn’t a continuous surface connection. (The Sackett’s property is separated from the tributary by a road.)

The EPA countered that Congress clearly meant to use “adjacent” instead of “adjoining” in the 1972 law and that it was intended to cover a wider range of wetlands. All nine justices sided with the Sacketts on whether the wetlands they had covered up were the “waters of the United States.” But the case was a 5-4 decision in practical terms when it came to how they read the statute. Alito and four of the other conservative justices rejected the test used by lower courts to determine whether wetlands fell under the CWA’s terms, which looked for a “significant nexus” between wetlands and nearby navigable waters.

Instead, the majority applied a more stringent version of a clear-statement rule to achieve their goals. “First, this Court ‘require[s] Congress to enact exceedingly clear language if it wishes to significantly alter the balance between federal and state power and the power of the Government over private property,’” Alito wrote. He quoted from the court’s ruling two years earlier in United States Forest Service v. Cowpasture River Preservation Association.

In Cowpasture, the court addressed an environmental group’s challenge to a pipeline that would briefly cross under the Appalachian Trail in a portion of a national forest in Virginia. The Forest Service, which believed it had jurisdiction over that part of the trail, granted a right-of-way permit to the pipeline company. The environmental groups claimed that jurisdiction actually lay with the National Park Service because, in their view, the secretary of the interior had delegated their authority over the entire trail to that agency.

Justice Clarence Thomas, writing for a 7-2 majority in that case, rejected that interpretation of the various federal laws governing national trails, national parks, and national forests. He also raised a slippery-slope argument with the environmental groups’ reading of the law. “[The groups’] theory also has striking implications for federalism and private property rights,” Thomas claimed. “[They] do not contest that, in addition to federal lands, these 21 trails cross lands owned by states, local governments, and private landowners. Under [their] view, these privately owned and state-owned lands would also become lands in the National Park System.”

“Our precedents require Congress to enact exceedingly clear language if it wishes to significantly alter the balance between federal and state power and the power of the Government over private property,” he continued. Thomas cited only one precedent for that proposition: Gregory v. Ashcroft. But that 1991 case had nothing to do with private property and Justice Sandra Day O’Connor made no mention of it in her majority opinion.

Instead, Gregory centered on a state constitutional amendment in Missouri that required state judges to retire at the age of 70. A group of appointed state judges had sued the state under the Age Discrimination in Employment Act of 1967 and on constitutional grounds, claiming that the mandatory retirement provision amounted to age discrimination. The court rejected the constitutional argument because it said the Equal Protection Clause doesn’t apply to age.

As for the ADEA claim, O’Connor explained that it was ambiguous whether Congress had meant to include appointed state judges under a general exemption for state elected officials and “appointee[s] on the policymaking level.” Since it was ambiguous, she wrote, the court would defer to the interpretation that did not interfere with state political structures. “This plain statement rule is nothing more than an acknowledgement that the states retain substantial sovereign powers under our constitutional scheme, powers with which Congress does not readily interfere,” O’Connor wrote.

That line of reasoning cited multiple prior decisions to establish a federalism-based clear-statement rule. Indeed, based on how the Constitution structures power between the federal and state governments, it makes sense to assume Congress does not intend to reshape state governments unless it specifically says so. No similar assumption applied to private property—at least not until Thomas drew one out of thin air in the Cowpasture ruling two years ago.

“Despite all this, the Court insists that Congress use ‘exceedingly clear language’ when it wishes ‘to significantly alter the balance between federal and state power and the power of the Government over private property,’” Justice Sonia Sotomayor wrote in a dissenting opinion in that case. “But Congress did. It used language so clear, in fact, that every year the Park Service provides an acreage report listing state and private land as part of the Appalachian Trail system unit.” She concluded that the majority’s outcome was “inconsistent with the language of three statutes, longstanding agency practice, and common sense.”

The court’s friendliness towards companies fighting environmental regulations is consistent and unsurprising. As I noted last week, Alito wrote with great sympathy for the Sacketts and property owners in general. He also expressed disagreement with Congress’s chosen method of addressing water pollution. That led to some veiled criticism of how he read the statute from Justice Brett Kavanaugh, who explained that Congress and the EPA had clearly and consistently meant “adjacent” to include non-contiguous wetlands.

“The Court suggests that ambiguities or vagueness in federal statutes regulating private property should be construed in favor of the property owner, particularly given that States have traditionally regulated private property rights,” Kavanaugh noted in an opinion joined by the court’s three liberal justices. “To begin with, the federal government has long regulated the waters of the United States, including adjacent wetlands.” He also noted that the court’s new test upended what had been a settled question for decades and would invite a wave of new litigation to determine what counted as a “continuous surface connection.”

Justice Elena Kagan was even more pointed in her concurring opinion, which functioned more like a dissent. “It relies as well on a judicially manufactured clear-statement rule,” she wrote, joined by Justices Sonia Sotomayor and Ketanji Brown Jackson. “When Congress (so says the majority) exercises power ‘over private property’—particularly, over ‘land and water use’—it must adopt ‘exceedingly clear language.’ There is, in other words, a thumb on the scale for property owners—no matter that the Act (i.e., the one Congress enacted) is all about stopping property owners from polluting.”

If this fight feels familiar, that’s because it is. The Supreme Court’s conservative supermajority is rethinking core doctrines of administrative law on similar grounds. In last term’s ruling in West Virginia v. EPA, they used the “major-questions doctrine” to curb the agency’s power to regulate carbon emissions from aging power plants under the Clean Air Act. That doctrine rests on the idea that Congress must “speak clearly” if it wishes an agency to address a question of “vast vast economic and political significance.” What counts as “speaking clearly?” What counts as a policy question of “vast economic and political significance”? The court was, well, unclear on that.

As Kagan noted, the vagueness of these new doctrines opens the court to criticism that it is merely substituting its own policy preferences for those of Congress and federal agencies. The court will get another opportunity next term when it revisits the Chevron doctrine in Loper Bright Enterprises v. Raimondo. The Chevron doctrine holds that courts should defer to specialized agencies if the agency’s interpretation of federal law is based on a “permissible construction” of the statute in question. Conservative legal scholars and judges have long criticized the doctrine for supposedly giving too much power to agencies and weakening democracy. In practical terms, scrapping Chevron would transfer that power not to Congress or the people, but to the courts that second-guess them.

What makes last week’s opinion in Sackett—and the “exceedingly clear language” test that it articulated—so striking is that it is largely detached from the precedent it cites. “Today’s pop-up clear-statement rule is explicable only as a reflexive response to Congress’s enactment of an ambitious scheme of environmental regulation,” Kagan observed. “It is an effort to cabin the anti-pollution actions Congress thought appropriate.”

Americans and their elected lawmakers can now only wait to find out which other long-standing laws aren’t “exceedingly clear” enough for the justices’ tastes.

Read the full story here.
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How to tackle the global deforestation crisis

Vital forest is cleared every day, with major climate effects. Satellites have revolutionized measurement of the problem, but what can we do about it?

Imagine if France, Germany, and Spain were completely blanketed in forests — and then all those trees were quickly chopped down. That’s nearly the amount of deforestation that occurred globally between 2001 and 2020, with profound consequences. Deforestation is a major contributor to climate change, producing between 6 and 17 percent of global greenhouse gas emissions, according to a 2009 study. Meanwhile, because trees also absorb carbon dioxide, removing it from the atmosphere, they help keep the Earth cooler. And climate change aside, forests protect biodiversity. “Climate change and biodiversity make this a global problem, not a local problem,” says MIT economist Ben Olken. “Deciding to cut down trees or not has huge implications for the world.” But deforestation is often financially profitable, so it continues at a rapid rate. Researchers can now measure this trend closely: In the last quarter-century, satellite-based technology has led to a paradigm change in charting deforestation. New deforestation datasets, based on the Landsat satellites, for instance, track forest change since 2000 with resolution at 30 meters, while many other products now offer frequent imaging at close resolution. “Part of this revolution in measurement is accuracy, and the other part is coverage,” says Clare Balboni, an assistant professor of economics at the London School of Economics (LSE). “On-site observation is very expensive and logistically challenging, and you’re talking about case studies. These satellite-based data sets just open up opportunities to see deforestation at scale, systematically, across the globe.” Balboni and Olken have now helped write a new paper providing a road map for thinking about this crisis. The open-access article, “The Economics of Tropical Deforestation,” appears this month in the Annual Review of Economics. The co-authors are Balboni, a former MIT faculty member; Aaron Berman, a PhD candidate in MIT’s Department of Economics; Robin Burgess, an LSE professor; and Olken, MIT’s Jane Berkowitz Carlton and Dennis William Carlton Professor of Microeconomics. Balboni and Olken have also conducted primary research in this area, along with Burgess. So, how can the world tackle deforestation? It starts with understanding the problem. Replacing forests with farms Several decades ago, some thinkers, including the famous MIT economist Paul Samuelson in the 1970s, built models to study forests as a renewable resource; Samuelson calculated the “maximum sustained yield” at which a forest could be cleared while being regrown. These frameworks were designed to think about tree farms or the U.S. national forest system, where a fraction of trees would be cut each year, and then new trees would be grown over time to take their place. But deforestation today, particularly in tropical areas, often looks very different, and forest regeneration is not common. Indeed, as Balboni and Olken emphasize, deforestation is now rampant partly because the profits from chopping down trees come not just from timber, but from replacing forests with agriculture. In Brazil, deforestation has increased along with agricultural prices; in Indonesia, clearing trees accelerated as the global price of palm oil went up, leading companies to replace forests with palm tree orchards. All this tree-clearing creates a familiar situation: The globally shared costs of climate change from deforestation are “externalities,” as economists say, imposed on everyone else by the people removing forest land. It is akin to a company that pollutes into a river, affecting the water quality of residents. “Economics has changed the way it thinks about this over the last 50 years, and two things are central,” Olken says. “The relevance of global externalities is very important, and the conceptualization of alternate land uses is very important.” This also means traditional forest-management guidance about regrowth is not enough. With the economic dynamics in mind, which policies might work, and why? The search for solutions As Balboni and Olken note, economists often recommend “Pigouvian” taxes (named after the British economist Arthur Pigou) in these cases, levied against people imposing externalities on others. And yet, it can be hard to identify who is doing the deforesting. Instead of taxing people for clearing forests, governments can pay people to keep forests intact. The UN uses Payments for Environmental Services (PES) as part of its REDD+ (Reducing Emissions from Deforestation and forest Degradation) program. However, it is similarly tough to identify the optimal landowners to subsidize, and these payments may not match the quick cash-in of deforestation. A 2017 study in Uganda showed PES reduced deforestation somewhat; a 2022 study in Indonesia found no reduction; another 2022 study, in Brazil, showed again that some forest protection resulted. “There’s mixed evidence from many of these [studies],” Balboni says. These policies, she notes, must reach people who would otherwise clear forests, and a key question is, “How can we assess their success compared to what would have happened anyway?” Some places have tried cash transfer programs for larger populations. In Indonesia, a 2020 study found such subsidies reduced deforestation near villages by 30 percent. But in Mexico, a similar program meant more people could afford milk and meat, again creating demand for more agriculture and thus leading to more forest-clearing. At this point, it might seem that laws simply banning deforestation in key areas would work best — indeed, about 16 percent of the world’s land overall is protected in some way. Yet the dynamics of protection are tricky. Even with protected areas in place, there is still “leakage” of deforestation into other regions.  Still more approaches exist, including “nonstate agreements,” such as the Amazon Soy Moratorium in Brazil, in which grain traders pledged not to buy soy from deforested lands, and reduced deforestation without “leakage.” Also, intriguingly, a 2008 policy change in the Brazilian Amazon made agricultural credit harder to obtain by requiring recipients to comply with environmental and land registration rules. The result? Deforestation dropped by up to 60 percent over nearly a decade.  Politics and pulp Overall, Balboni and Olken observe, beyond “externalities,” two major challenges exist. One, it is often unclear who holds property rights in forests. In these circumstances, deforestation seems to increase. Two, deforestation is subject to political battles. For instance, as economist Bard Harstad of Stanford University has observed, environmental lobbying is asymmetric. Balboni and Olken write: “The conservationist lobby must pay the government in perpetuity … while the deforestation-oriented lobby need pay only once to deforest in the present.” And political instability leads to more deforestation because “the current administration places lower value on future conservation payments.” Even so, national political measures can work. In the Amazon from 2001 to 2005, Brazilian deforestation rates were three to four times higher than on similar land across the border, but that imbalance vanished once the country passed conservation measures in 2006. However, deforestation ramped up again after a 2014 change in government. Looking at particular monitoring approaches, a study of Brazil’s satellite-based Real-Time System for Detection of Deforestation (DETER), launched in 2004, suggests that a 50 percent annual increase in its use in municipalities created a 25 percent reduction in deforestation from 2006 to 2016. How precisely politics matters may depend on the context. In a 2021 paper, Balboni and Olken (with three colleagues) found that deforestation actually decreased around elections in Indonesia. Conversely, in Brazil, one study found that deforestation rates were 8 to 10 percent higher where mayors were running for re-election between 2002 and 2012, suggesting incumbents had deforestation industry support. “The research there is aiming to understand what the political economy drivers are,” Olken says, “with the idea that if you understand those things, reform in those countries is more likely.” Looking ahead, Balboni and Olken also suggest that new research estimating the value of intact forest land intact could influence public debates. And while many scholars have studied deforestation in Brazil and Indonesia, fewer have examined the Democratic Republic of Congo, another deforestation leader, and sub-Saharan Africa. Deforestation is an ongoing crisis. But thanks to satellites and many recent studies, experts know vastly more about the problem than they did a decade or two ago, and with an economics toolkit, can evaluate the incentives and dynamics at play. “To the extent that there’s ambuiguity across different contexts with different findings, part of the point of our review piece is to draw out common themes — the important considerations in determining which policy levers can [work] in different circumstances,” Balboni says. “That’s a fast-evolving area. We don’t have all the answers, but part of the process is bringing together growing evidence about [everything] that affects how successful those choices can be.”

What’s in a name? The renaming of the pink cockatoo is no small thing in Australia’s violent history | Andrew Stafford

This beautiful bird’s former name represented colonial dominance – and told us nothing about the speciesThis year’s Guardian/BirdLife Australia bird of the year poll runs from 25 September to 6 October. Nominate your favourite for the shortlistGet our morning and afternoon news emails, free app or daily news podcastThe pink cockatoo has had a few names over the years. The father of Australian ornithology John Gould knew it as Leadbeater’s cockatoo, similar to the scientific name given to it in 1831, Cacatua leadbeateri. This was named after Benjamin Leadbeater, the London naturalist and taxidermist whose name also commemorates Victoria’s faunal emblem, Leadbeater’s possum.Sir Thomas Mitchell, the surveyor general of New South Wales from 1828 to 1855, called it the red-top cockatoo. He was awestruck by its beauty. “Few birds more enliven the monotonous hues of the Australian forest than this beautiful species whose pink-coloured wings and flowing crest might have embellished the air of a more voluptuous region,” he gushed.Sign up for a weekly email featuring our best reads Continue reading...

This beautiful bird’s former name represented colonial dominance – and told us nothing about the speciesThis year’s Guardian/BirdLife Australia bird of the year poll runs from 25 September to 6 October. Nominate your favourite for the shortlistGet our morning and afternoon news emails, free app or daily news podcastThe pink cockatoo has had a few names over the years. The father of Australian ornithology John Gould knew it as Leadbeater’s cockatoo, similar to the scientific name given to it in 1831, Cacatua leadbeateri. This was named after Benjamin Leadbeater, the London naturalist and taxidermist whose name also commemorates Victoria’s faunal emblem, Leadbeater’s possum.Sir Thomas Mitchell, the surveyor general of New South Wales from 1828 to 1855, called it the red-top cockatoo. He was awestruck by its beauty. “Few birds more enliven the monotonous hues of the Australian forest than this beautiful species whose pink-coloured wings and flowing crest might have embellished the air of a more voluptuous region,” he gushed.Sign up for a weekly email featuring our best reads Continue reading...

She kills to be kind: the mastermind ecologist eliminating invasive predators

Honed in New Zealand and exported globally, Elizabeth Bell’s techniques for creating predator-free zones are allowing native species to thrive again on islands from the Caribbean to the UKIn the middle of the night, nine-year-old Elizabeth Bell sprints through the narrow bush tracks of Maud Island, racing toward the nearest ridgeline. The darkness beyond her is almost total. There is no ambient glow from distant city street lights: the island is a 1.2 sq mile (3.2 sq km) uninhabited speck covered with forest, off the northern tip of New Zealand’s South Island.Somewhere out there in the 1am darkness, on tracks skirting the dense, latticed native forest, her siblings are running too, sprinting for the other headlands. They listen for the sound of distant booming, resonant and low, like the throb of a timpani drum or the buzz of a phone on a hard table. Continue reading...

Honed in New Zealand and exported globally, Elizabeth Bell’s techniques for creating predator-free zones are allowing native species to thrive again on islands from the Caribbean to the UKIn the middle of the night, nine-year-old Elizabeth Bell sprints through the narrow bush tracks of Maud Island, racing toward the nearest ridgeline. The darkness beyond her is almost total. There is no ambient glow from distant city street lights: the island is a 1.2 sq mile (3.2 sq km) uninhabited speck covered with forest, off the northern tip of New Zealand’s South Island.Somewhere out there in the 1am darkness, on tracks skirting the dense, latticed native forest, her siblings are running too, sprinting for the other headlands. They listen for the sound of distant booming, resonant and low, like the throb of a timpani drum or the buzz of a phone on a hard table. Continue reading...

Amazon deforestation continues to plummet

“This shows how an election can change the fate of the Amazon.”

August was another month of relatively good news for the Amazon rainforest: The rate of deforestation has continued to decline significantly. Earlier this week, Marina Silva, Brazil’s environment minister, announced a 66.1 percent decrease in Amazon deforestation compared to last August. That amounted to a loss of about 217 square miles, according to Reuters. These figures come during a time of year when destruction of the rainforest is usually quite high, and follows a similar trend seen in July.  So far this year, the rate of deforestation is 48 percent lower than in 2022 and is at levels not seen since 2018. The numbers are another victory for President Luiz Inácio Lula da Silva, who has made protecting the Amazon a policy priority.  “These results show the determination of the Lula administration to break the cycle of abandonment and regression seen under the previous government,” Marina Silva said, according to the BBC.  The Amazon, the world’s largest tropical rainforest, covers some 2.5 million square miles — an area roughly twice the size of India. It’s a critical carbon sink for greenhouse gas emissions and home to 20 percent of the world’s fresh water. But deforestation and climate change are degrading the Amazon and its ability to sop up carbon from the atmosphere. Some scientists fear that if deforestation continues, the rainforest could reach a point beyond which it cannot recover and would become a grassy savannah. The tenure of Lula’s predecessor, Jair Bolsonaro, saw a roll back of environmental regulations and enforcement, and a spike in deforestation. Since taking office in January, Lula has, among other steps, renewed efforts to combat illegal clearing and reactivated the $630 million Amazon Fund, which is aimed at supporting the government’s push to protect the rainforest.  “This shows the importance of governments acting on climate change,” Erika Berenguer, a senior research associate focused on the Amazon at Oxford University, said of the figures released this week. She is currently doing field work in the rainforest, and says the decreasing rate of deforestation is an important signal for voters.  “Often people vote and feel disempowered,” she said. “This shows how an election can change the fate of the Amazon.”  Some scientists, however, prefer to follow the annual rather than monthly deforestation data. . “It’s a hopeful story,” said Alexandra Tyukavina, a geographer at the University of Maryland who focuses on tropical forest loss. But she adds that there could be a lag in capturing deforestation via satellite imagery and “there is quite a bit of deforestation happening in the second half of the year.”   While the progress so far has been critical, Berenguer calls it “low-hanging fruit” that largely revolved around getting back to where the country was before Bolsarano. “Then you have to pick the fruit at the top of the trees and it’s much more difficult,” she said. “The question becomes what we do to reduce rates even more from what they were pre-Bolsonaro.”  The Lula administration has set a goal of zero deforestation by 2030. But whether he meets that goal, or how close he comes, remains an open question and there is at least some cause for skepticism. A meeting of Amazon nations early this year, for example, failed to reach an agreement on important barriers to progress, such as deforestation targets and the future of oil and gas development in the rainforest.  “We cannot just give ourselves a pat on the shoulder and be happy about it,” said Berenguer. “We cannot get too comfy.” This story was originally published by Grist with the headline Amazon deforestation continues to plummet on Sep 7, 2023.

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