THE TRUE PRICE

Floriade - VenloMay 8 – 2012

TRUE PRICE Foundat ion

T R U E P R I C E F o u n d a t i o n 6

True Price Foundation 2012The true price is the quoted price plus unpaid social and ecological external costs

QUOTED PRICE: €4

Ecological Costs: €1

Social Costs: €1

TRUE PRICE: €6

QUOTED PRICE: €5

Ecological Costs: €0

Social Costs: €0

TRUE PRICE: €5

T R U E P R I C E F o u n d a t i o n 7

True Price Foundation 2012

True pricing makes sustainability competitive

What would happen to relative prices?

T R U E P R I C E F o u n d a t i o n 8

True Price Foundation 2012

A sustainable economy is smart and circular

Challenge– Estimates of ecological external costs lie mostly between 6%-50% of global GDP

Producers must use resources more efficiently

Taxation can be done more efficiently

Consumers need to shift from having goods to having access to services

We should be smarter in addressing poverty

What needs to be done to achieve true pricing?

T R U E P R I C E F o u n d a t i o n 9

True Price Foundation 2012

Determining true prices is possible

6,7% Ecological costs in total pricePuma published first estimate of true price

Source: Puma EP&L 2010 (2012)

T R U E P R I C E F o u n d a t i o n

True Price Foundation 2012