Economic mechanism of balanced environmental management in the territorial community life-support system: functional and financial aspects

Abstract

The article substantiates the theoretical and applied foundations for forming and operating the economic mechanism of balanced environmental management within the territorial community’s life-support system. The key functional blocks of the mechanism – including regulatory, stimulating, control-protective, and social-safety functions aimed at ensuring a high-quality and safe living environment for the population – are identified and systematized. The study analyzes the financial and economic toolkit for supporting local-level environmental management. Based on an analysis of dynamics in resource payments to Ukraine’s consolidated budget for 2024–2025, the study reveals key trends in revenues from rent payments, land tax, and environmental taxes. The study supports increasing the share of environmental tax allocations to local budgets for communities with high anthropogenic loads. The study discusses the expediency of diversifying funding sources for eco-projects through private investment via public-private partnerships, the issuance of municipal green bonds, and community participation in European international programs. Abstract. The article substantiates the theoretical and applied foundations for the formation and functioning of the economic mechanism of balanced environmental management within the territorial community’s life-support system. The key functional blocks of the mechanism – including regulatory, stimulating, control-protective, and social-safety functions aimed at ensuring a high-quality and safe living environment for the population – are identified and systematized. The study analyzes the financial and economic toolkit for supporting local-level environmental management. Based on an analysis of dynamics in resource payments to Ukraine’s consolidated budget for 2024–2025, the study reveals key trends in revenues from rent payments, land tax, and environmental taxes. The study supports increasing the share of environmental tax allocations to local budgets for communities with high anthropogenic loads. The paper discusses the expediency of diversifying funding sources for eco-projects through private investment via public-private partnerships, the issuance of municipal green bonds, and community participation in European international programs. Keywords: balanced environmental management, economic mechanism, territorial community, life-support system, financial security, environmental tax, rent payment, financial tools, green bonds, public-private partnership.