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  • 8/7/2019 Daniel Taghioff Avoiding Collapse

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    India knows how to avoid collapse

    India is a country that is set to face huge social tensions.

    Not only will Climate Change make life more precarious for the

    poor, but the suggested solutions to climate change will de-

    stabilise them yet further. However, India also contains the

    seeds to a solution to this, especially amongst its activist

    struggles.

    Jared Diamonds book Collapse is a chilling read, considering

    how closely its account of the implosion of civilisations past

    also traces out the arc of our current global predicament (Dia-

    mond, 2005). He teases out the implications of population and

    consumption growing exponentially: It means that consumption

    hits natural resource limits at a very great speed, and that the

    moments before that collision are a huge party for those at the

    top, since consumption is at its absolute peak. This leads to a

    situation where the rich are living such a high-life that it is

    near impossible for them to imagine the plight of the poor, who

    are the first people to be hamstrung by the dwindling of re-

    sources. This gap is what disables the early warning systems of

    failing societies, and it is precisely this gap that we see

    opening up around climate change. Right here, right now, in In-

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    dia, but also even more so globally, this fatal gap in under-

    standing between rich and poor is stark and growing.

    No issue exemplifies this gap and the dangers it represents

    better than climate change. The Darfur Crisis was called a taste

    of things to come with climate change (Moon, 2006) occurring in

    one of the most population dense parts of the world, in the face

    of a shifting climatic regime. However commentators on the area

    pointed out that at the same time as food became scarce in Dar-

    fur due to the shifting climate regime, the value of land rose,

    especially as it was already being bought up by capital inten-

    sive schemes from the World Bank and IMF to reform agriculture.

    Effectively what kicked off the civil war in the area was Urban

    Elites coming in and speculatively buying up the land that had

    started rising in value, and thus increasing its value further

    in a positive feedback, a kind of Gold-rush (Polgreen, 2007). It

    was this gap, between speculation and subsistence, that was the

    spark that set the area on fire.

    This is a problem not just for Darfur but for the world at

    large, and no-where illustrates this better than India. By dint

    of its huge population and very high levels of land pressure

    (see figure 1), like Darfur, Asia is highly vulnerable to cli-

    mate change. Asia lacks huge areas of free land for people to

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    move into, and it is also nuclear-armed (China, India, Paki-

    stan and so on). So in security terms, the whole world needs so-

    Figure 2: World Map with area adjusted by Nuclear Weapons holdings.

    Figure 1: World map with area adjusted by population.

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    cial solutions under climate change that will create stability

    in densely populated areas. This applies to Asia as a whole but

    especially to India which holds the most poor people of any

    country on earth (some 30% of all people below a dollar a day).

    You can see this gap between subsistence and speculation

    opening up in India right now. India is to date in receipt of

    over 2 Billion USD of Clean Development Mechanism (CDM) funding,

    which is designed to let developed countries emit by paying de-

    veloping countries for making cuts. The CDM funds are going to

    the industrial interests already involved in marginalising local

    people, as well as corrupting local politics. By this mechanism,

    India as the second largest receiver of CDM funds is already

    leading the way in practicing mitigation as a way of displacing

    people.

    Felix Padel and Samarendra Das, in their upcoming book on

    Aluminium Mining in Orissa, will explain the enormous resource

    and energy intensity of the Minerals industry, to the extent

    that ore refineries often have Coal-powered plants attached to

    them. Yet these industries, that also displace huge numbers of

    people and divert huge areas of Forest lands, are also to be

    subsidised in the name of Clean Development. The processes of

    displacement by Mining are accelerating fast: More than twice as

    many diversions of Forest for mining were granted from 1997-2007

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    than for the previous ten years (Nayak, 2008). So again India is

    forging ahead in the displacement sector.

    I would like to look at a case in depth to tease out how the

    economics of resource shortage drive these issues. Since Felix

    and Samarendra have covered the Gold Rush that is chasing dwin-

    dling minerals, lets instead look at the links between Oil

    prices, demand for bio-fuels and food prices. The food price

    spike in 2008 was attributed by the World Bank as being 75% down

    to the growth in bio-fuels1. Cultivable land, instead of produc-

    ing stuff to feed humans, was turned over to feed energy mar-

    kets. Food markets are dominated by the poor, in terms of sheer

    weight of numbers, although their pitifully low purchasing power

    confounds that to a great extent. This is what lets countries

    export food even as people starve.

    Energy markets are by stark contrast utterly dominated by the

    rich, since energy consumption and income track each other very

    closely (Strahan, 2007). When energy markets become tight, for

    instance in 2008 when demand for oil out stripped supply, it is

    very easy for purchasing power to cascade, through linkages like

    bio-fuels, into food markets and so hit the poor very hard. In

    other words the scarcity of oil leads to a rise in the cost of

    1 Jenn Baka, who works on Bio-fuels at Yale, is skeptical of the 75% figure I don't agree with Mitchell'sassessment as it lacks rigour -- he arrives at 75% basically by subtracting from 100 what he thinks is the

    significance of other impacts such as the Australian drought. However, somewhere between 30% to 75%of the rise is likely to be down to bio-fuels, which is more than enough to cause a crisis.

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    energy, and this is passed on into a rise in the cost of food.

    Does this sound like Collapse?

    In 2008 the oil price went to $100 dollars a barrel. Even the

    International Energy Agency now admits that it is just a ques-

    tion of when conventional oil production peaks and they say 2020

    (Macalister and Monbiot, 2008). Then the price could go as high

    as $300 a barrel (Strahan, 2007). Just imagine the impact on

    food prices. A chilling footnote to this discussion is that in

    February 2009, just before predictions regarding this summers

    drought were first taking shape, a US-India deal was brokered to

    increase bio-fuel production (Taragana, 2009). Coming up is the

    budget for carbon offset in the new US Climate Bill, which is

    talking of figures of 2 Billion tonnes of Carbon offset per

    year, three times the size of any previous national carbon trad-

    ing proposal. To put this in context only 7.5 million tonnes of

    Forest Carbon were traded in 2007, so we are talking orders of

    magnitude of potential growth in this trade, that is orders of

    magnitude of pressure on forest land (Baka, 2009 personal commu-

    nication).

    Behind each of these stories there was a dwindling resource

    (carbon air-space or minerals), and then a move by the rich to

    corner that resource, often by enclosing what was formerly a

    commons, and carving it up amongst themselves and trading it. It

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    is a sobering fact of life that as a resource becomes scarce its

    value increases. It follows that as something becomes expensive,

    then those with money tend to circle in. As we can see happen-

    ing, Climate Change is already turning into a politics of land

    control, and toxic financial products like the Clean Development

    Mechanism are already starting processes of displacement.

    When you consider that natural resource consumption is grow-

    ing exponentially across the board, it becomes clear resource

    shortage, around minerals, around carbon commons with CDM, in-

    creasingly around fresh water (Barlow and Clarke, 2002) and also

    around oil (David, 2007), will be followed up by gold-rush after

    gold-rush of purchasing power seeking out quick and lucrative

    fixes to the problems of over-consumption. With bio-fuels, this

    is exactly what is being seen all over the world, from Madagas-

    car, where a deal to grow Palm Oil as a bio-fuel precipitated a

    coup, to Sudan where South Korean companies have bought up

    690,000 Hectares of land (Vallely, 2009).

    Financialisation is clearly not such a solution.

    So why is it so popular as an approach? It is remarkable to

    see how policy-makers really start to take an issue on board.

    The Stern Report marked a sea-change in climate debates, bring-

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    ing the economics of it into public focus2. Crudely put, instead

    of considering how many people climate change might kill, some-

    one came up with figures about how much it would cost. This

    seems deeply sick (Monbiot, 2008 - and at a collective level it

    is) but it is understandable when you look at how people get

    things done in big organisations. These organisations see the

    world and act on it through budgets and statistics, this is the

    language of action in a policy context (Hacking, 1983). Under-

    standable though this is, it makes it no less dangerous. The

    biggest impacts of climate change will be in the non-cash econ-

    omy, amongst those whose environmental problems are already

    under-recorded through state pollution control boards, or state

    below poverty line registers.

    These marginal groups are the humans who most often rely on

    the commons that are being enclosed, such as forests and waste-

    land. However being drawn into the cash economy will only ex-

    pose them further to the economic forces likely to be their un-

    doing under conditions of scarcity. They simply cannot secure

    access to a livelihood by cash-means when in competition with

    rich world purchasing power for a dwindling resource base. So

    the language of large institutions leads to financialised ap-

    2 Within the dismal science Stern put a fire under the climate-costing debates by rallying against theJam-now-pay-later school. He did this by using a 0% discount rate on the future, taking responsibility in

    this way being somewhat radical amongst the Professors of prudence. Thanks to Jenn Baka for flaggingthis.

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    proaches to climate change which heighten the crisis for those

    actually facing shortage in a life-threatening sense. This is

    Jared Diamonds gap written across the face of the earth.

    It is possible to protect livelihoods by non-market means,

    but to do so you need to secure non-tradable access to those

    livelihoods, preferably with a certain amount of local demo-

    cratic control in terms of how that access is managed. Amartya

    Sen and Jean Dreze put forward the useful idea of entitlements

    to help economists to understand famines (Drze and Sen, 1989).

    In their analysis it carries two burdens. One is to point out

    that people obtain things from outside the cash economy. The

    second is to show how famine can be driven by a collapse in pur-

    chasing power, and not necessarily directly by food shortage.

    This helps to explain, for instance how their can be famines in

    times of increased food production, where there is a collapse in

    both direct entitlements to food (from the environment, without

    a cash nexus) in a certain area, alongside a collapse in pur-

    chasing power to bring food in, via economic entitlements, from

    the high production areas, as happened in the Bengal Famine.

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    This also explains how India can export food even as people

    starve (Patnaik, 2007)3.

    Climate change is likely to create a crisis both of direct

    entitlements to food from the environment, due to unpredictable

    weather and displacement by sea-level rise, but also a crisis of

    purchasing power, with the Gold Rushes described above likely to

    be a major factor in that. So what you need in order to deal

    with this combination is some kind of protected non-tradable en-

    titlement that is immune to these gold rushes and that gives

    some buffer against climatic unpredictability.

    One possible way forward is targeted benefits like the

    NREGA scheme, coming from central government. But this makes lo-

    cal communities dependent on political will at the center. How

    long will such political will last when chemical agricultural

    inputs and petrol become very expensive, when food price infla-

    tion sets in? At what level of financial pressure does the Gov-

    ernment cave in and leave the poor to their fate? There were

    suggestion in 2008 that the relatively small food price rise

    then was placing financial strain on the government, and this

    with oil at $100 a barrel, what of $300?

    3 It is important to note that this mechanism can also occur where purchasing power chasing a given re-

    source increases, thus driving up prices, bringing about an effective collapse of a local cash-entitlementwithout necessarily seeing a decrease in local purchasing-power, at least as expressed in cash terms.

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    There is an alternative approach to social security that has

    emerged in another area, that of Forests. Forests have also be-

    come caught up in the process of trying to trade for space in

    the Carbon Cycle. Forests are to be brought into the CDM regime

    via a scheme called reductions in emissions from deforestation

    and forest degradation in developing countries (REDD)(UN, 2008).

    The move towards this process has caused a great stir amongst

    Indian policy makers, who have latched on to the statistic that

    Indias Forests absorb 11% of Indias emissions, a major bar-

    gaining chip for them in the Global Carbon Countdown. Judging by

    CDM, and the expensive procedures involved in verifying Carbon

    Credits, these schemes look highly unlikely to involve local

    communities and much more likely to displace them. However,

    there is little need for speculation on this point, by a happy

    coincidence India already has a mechanism for trading Forest

    that looks remarkable similar to the Trees-as-Carbon-Credits ap-

    proach of REDD.

    In an attempt to enforce the Forest Conservation Act of 1980,

    to limit State Government diversion of Forest lands, the Supreme

    Court case known as Godarvarmen mutated into the ongoing Manda-

    mus of The Forest Case over-seeing all clearances for diver-

    sion of Forest (Dutta and Yadav, 2007). Ironically, and perhaps

    unsurprisingly, this centralised clearance process had begun to

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    resemble the Single Window Clearance process desired by the

    World Bank and other business lobbies to simplify investment ac-

    cess to natural resources (Gopalakrishnan, 2008). This political

    process took an even more unusual turn when the Supreme Court

    decided that in order to protect Forest Land from diversion it

    should effectively be put up for sale. The scheme was to force

    parties diverting Forest land to pay both the Net Present Value

    of the land, supposedly calculated to reflect market rates, and

    also to pay a compulsory afforestation fee (CAMPA), which repre-

    sented the cost of reforesting twice the area of the land to be

    cleared. Admittedly these measures were to prevent State Govern-

    ments diverting land to their-friends-in-business on the cheap,

    but they morphed into a mechanism where powerful parties could

    buy their way into Forest land. Any observer of Indian politics

    would not find it hard to answer the following question: Where

    is Carbon best stored, as a tree in the ground or as money in a

    political pocket?

    Despite Condemnation from the Parliamentary Standing com-

    mitee, central agencies have kept hold of the funds from CAMPA,

    allocating only 1000 out of 11,000 crores of the fund to plant-

    ing trees, and none of it to supporting local governance of

    natural resources, contrary to the Standing Committees recom-

    mendations (CSD). It is precisely this fund that is being touted

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    as Indias new 2.5B USD afforestation program in the run-up to

    Copenhagen (Mohuiddin, 2009). Clearly this is not a scheme that

    will lead to local empowerment of communities, to more social

    security, to adaptation, and judging by the way the funds have

    gone so far, it is unlikely to help mitigation either. What it

    is likely to do is further open the door of a single window

    clearance model for forest diversion based on the principle of

    who pays wins. In other words yet another Gold-rush that will

    undermine livelihoods.

    This amounts to a very potent recipe for Collapse. Consider

    that the request from the developed world towards countries like

    India is that they re-jig their entire energy infrastructure

    away from cheap and dirty solutions like coal. India is a coun-

    try with a severe social unrest problem, as the current problems

    in Chattisgargh illustrate. This has been worsened by the pres-

    sures of liberalisation upon the poor, which have reduced per

    capita calorie intake as well as increased indebtedness and

    farmer suicide rates (Patnaik, 2007). A financialised approach

    to climate change, far from helping the vulnerable 40% who de-

    pend on the rains for their food (Briscoe and Malik, 2007), is

    likely to further displace them from their livelihoods. It seems

    clear that in order to have the resources and social stability

    required to re-jig your energy system, you cannot be engaged in

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    a war with your own people. Bear in mind that India is lining up

    for an offensive on Maoists in its central Forest Belt, in an

    operation called, with the upmost in unintentional irony, Green

    Hunt. This is in order to secure those areas for investment

    (Democracy Now, 2009). In other words something has to give.

    What is it that can provide a buffer to rich-world purchasing

    power in the face of dwindling resources? The earlier discussion

    of the Food Crisis shows that centralised schemes like NREGA are

    not necessarily to be relied upon. Apart from it being unclear

    if the government can afford them, they also have a tendency to

    descend into corruption and to bring about patron client rela-

    tions between the givers and receivers of assistance.

    This is very much the view of groups like the Deccan Develop-

    ment Society, working with food security, or rather as they put

    it Food Sovereignty. The contention is that climate instability

    can be met by traditional crops such as Millets, which can grow

    under dry conditions. However Millet cultivation is looked down

    on as backward and not at all lucrative, and so can only take

    place where communities have control of their own land and some

    sort of autonomy from local political and economic processes. It

    is a picture that every activist here will recognise - any rela-

    tion with a government or business body tends to turn exploita-

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    tive, based on political and economic purchasing power. This is

    a situation already being worsened in the emerging natural re-

    source Gold rushes. So the answer is local autonomy over natural

    resources, a return of control over the commons as Anna Pinto

    puts it (Pinto, 2009).

    This is pretty much exactly what the Forest Rights Act (FRA)4

    attempts to put in place. It is such measures, that secure live-

    lihoods regardless of the flows of purchasing power. This ap-

    proach is already being discussed in the context of extending it

    within India towards fisher communities, partly via the context

    of Mangroves, with the notion of Sea-Tribal being mobilised to

    describe the traditional and direct relationship with nature of

    those communities (Sridhar and Shanker, 2007).

    The Marine example illustrates the crux of the issue: The

    lack of natural boundaries at sea makes a co-existence regime

    with nature much more self-evident than the land-based human ex-

    clusion models that have dominated wildlife and forest law to

    date. That fisher communities also tend to be autonomous and in-

    ternally democratic also speaks to the provisions in the FRA for

    Community Forest Resources, where collective control and polic-

    ing of natural resources locally becomes the basis of Forest

    4 The Scheduled Tribes and other Traditional Forest Dwellers (Recognition of Forest Rights) Bill 2006

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    Governance in inhabited areas. It is this innovation, of de-

    centralised local natural resource governance overseeing the al-

    location and maintenance of both Forests and rights to them,

    which forms the kernel of the political project behind the act.

    This is a response to the historical injustices of Adivasi dis-

    possession which went on under existing closed and bureaucratic

    systems of rights allocation (Bijoy, 2008).

    There are ongoing debates raging about how successful such

    de-centralisation of control is likely to be, from the failures

    of meaningful participation under JFM to anxieties about lack of

    local environmental knowledge (Ghost, 2009). However, none of

    this explains away the need for a local democratising project in

    relation to natural resources to provide the autonomy required

    for resilience in the face of climate and financial instability.

    With resource pressures mounting across the board, and the

    need for a stable transition to low-carbon economies becoming

    ever more pressing, these kinds of approaches need to be broad-

    ened to become an inclusive safety net for the poor in the face

    of a rapidly changing world. The bottom line is that there are

    emerging models for local democratic non-financialised control

    of natural resources out there for all crucial livelihood areas,

    and there is an existing model in law (the FRA) showing how to

    start creating a legal framework for this, one based around lo-

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    cal autonomy and democratic governance of natural resources.

    This is an approach that could be applied to things like the

    right to water (Grnwall, 2008) and the right to food (Saxena et

    al., 2008), as well as to agricultural development. This is an

    area that is ripe for further study and policy work, to move In-

    dia further towards an integrated regime of democratic natural

    resource management. What India really needs to move in this di-

    rection is the political will to make it so. This may be born of

    the understanding that there is nowhere else to go, but it is

    also only really likely to happen via political pressure. In

    bringing this about, India, and by this I mean activist India,

    could lead the world.

    N.B. My ethnographic work and wider analysis will be looking

    at the possibilities for implementing such an act, via an in-

    depth ethnography of one such implementation struggle, and the

    implications of this within this wider debate, through my ongo-

    ing engagement with the activist struggles dealing with these

    issues. I wish to turn this work into a book, but one dealing

    with these wider issues, and using the ethnographic work to sup-

    port the argument.

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    Acknowledgements

    Many thanks to Jenn Baka for her comments on this piece. Of

    course the errors are mine.

    References

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    Baka, J. (2009) Personal communication 31st September. These are ballpark figures,that I take responsibility for publishing, but it gives some sense of the potential scale ofthe problem.

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