country’s environmental analysis; final report
this study, unlike others conducted to date, presents an environmental analysis of the country with emphasis on a socio-economic and institutional approach, but does not include a comprehensive assessment of the state of the natural resources. from a review of the political-legal-institutional environmental management scheme, and also by a sectorial study of the economy, reflections on the use of natural resources and analysis of the environmental and social impacts generated are carried out, as well as a review of the distributional aspects that emerge from this process. the study was conducted within the framework of atn/sf-9030-ec technical cooperation from the inter-american development bank to the government of ecuador.
the analysis is based on a exhaustive systematization of secondary information on the use of natural resources by productive sectors, and in adapting the general equilibrium environment model. the study reveals the dependency of the country’s economy on the extraction of natural resources, where comparative advantages lie in the abundant supply of resources, geographical factors and the use of cheap labor. the oil sector stands out as a catalyst for the whole economy and the activity of other sectors, although its potential negative impacts to the natural environment is high. it also highlights the unequal structure of income distribution in the country as a negative factor that limits the flow of benefits of the use of natural resources to different sectors of the population, and apparently limits the response of vulnerable sectors to environmental degradation. in light of these findings and with a multidisciplinary approach, a number of factors that determine the characteristics mentioned were preliminarily identified.
the main objective stated for this study is the development of a socio-economic and institutional analysis of the challenges that environmental management that will face in ecuador in the next 10 years. this will allow the identification of priorities under the scheme provided by the idb environment strategy and their relation to the strategies of the four priority areas defined in its corporate strategy (modernization of the state, competitiveness, social development and regional integration). in particular, the study pursues the following objectives: (i) conduct a socioeconomic analysis of the use of natural resources and environmental goods in the country, indicating opportunities to optimize the net benefits of these assets, in order to maximize the welfare of the present and future ecuadorian population; (ii) have a map of the institutional framework operating in ecuador, especially one on issues referred to the use of natural capital as a production factor in the economy; (iii) identify strategic guidelines for environmental management in key economic sectors; (iv) support the implementation plan of the idb institutional strategy in the field of environment, in a joint effort with the ministry of the environment (mae), and (v) contribute to the idb programming dialogue in the field of environment, strengthening the policies of the ecuadorian state.