Chapter 4: Standard Principles of Planning
4.2. Environmental Balance -part 1- : Mitigation vs. Control
In sustainable economic planning, environmental balance is a criterion principle that takes precedence over material balance. Environmental balance strictly means ecological balance pertaining to the balanced maintenance of the earth's natural ecosystem.
In that sense, it might be more appropriate to clearly define it as "ecological balance," but since this is not necessarily a widely supported term, here we will use the term "environmental balance," which has the broader meaning of a healthy balance in the global environment.
The most elementary principle of ecological balance in this sense is mitigation, which reduces the load on the ecosystem as much as possible. This is not about controlling the development itself, but about gradually reducing the environmental burden caused by the development. The stages of the process are avoidance, minimization, correction, alleviation, and compensation, in that order.
The first stage, "avoidance," is almost never adopted because it is a zero approach to avoiding certain development activities, and the second stage, "minimanization," is also difficult to adopt because it means minimizing the extent and scale of certain development activities.
The third, "correction," works insofar as it is possible to restore an ecosystem damaged by a development activity, but is rejected when that restoration requires significant costs, and is structured so that it eventually settles on the fourth, "alleviation." In reality, even alleviation is an obstacle to development, so it is often dealt with by the fifth option, "compensation," (including monetary compensation), which is provided as an escape route.
Such an idea is compatible with the loose environmental policy of "environmental protection" within the capitalist framework symbolized by the "development and environment compatible" slogan. In fact, there is a nod to the fact that this idea originated in the United States, historically the headquarters of capitalism. Even in a planned economy, however, it can be adopted in a development economic planning scheme that focuses on development.
However, as a principle of a sustainable planned economy that focuses on guaranteeing ecological sustainability, "mitigation" principle is just too loose and insufficient as a reference principle. Instead, it is necessary to introduce the concept of "controlling."
"Controlling" is a reference principle that goes beyond ‘mitigation’ to more actively control production activities, both quantitatively and qualitatively, in order to maintain ecological equilibrium. In light of the five stages of the “mitigation” principle mentioned earlier, the three stages of avoidance, minimization, and correction are systematically implemented, while the neutralized stages of mitigation and compensation are eliminated.
Such a “controlling” principle is a general framework, but in order to apply it to a planned economy, it is necessary to devise and apply a precise mathematical model that enables balance-of-payments calculations to objectively measure the environmental impact of production activities. This is the next task.
"Controlling" goes beyond "mitigation" and is a standard principle that proactively regulates production activities both quantitatively and qualitatively in order to maintain balance in the ecosystem. In light of the five stages of the "mitigation" principle mentioned above, the three stages of avoidance, minimization, and correction are implemented in a planned manner, while the neutralizing stages of alleviation and compensation are excluded.
This "controlling" principle is just one broad framework, and to apply it to a planned economy, it is necessary to devise and apply precise mathematical models that enable balance calculations to objectively measure the environmental load caused by production activities. This is the next challenge.
👉The papers published on this blog are meant to expand upon my On Communism.
