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Chapter 10: Responding to the value of nature Chapter Coordinators: Patrick ten Brink (Institute for European Environmental Policy – IEEP) and Heidi Wittmer (Helmholtz Centre for Environmental Research – UFZ) Lead authors: Patrick ten Brink, Augustin Berghöfer, Aude Neuville, Christoph Schröter-Schlaack, Alexandra Vakrou, Stephen White, and Heidi Wittmer Editing and language check: Clare Shine Acknowledgements: for comments and inputs from Jonathan Armstrong, David Baldock, Edward Barbier, Rudolf de Groot, Johannes Förster, Marianne Kettunen, Thomas Kretzschmar, Pushpam Kumar, Georgina Langdale, Markus Lehmann, Robin Miège, Helen Mountford, Sander Van der Ploeg, Matt Rayment, Benjamin Simmons, Pavan Sukhdev, Graham Tucker, James Vause, François Wakenhut, Jean-Louis Weber, the many chapter authors and contributors upon which this builds* and many others. Disclaimer: The views expressed in this chapter are purely those of the authors and may not in any circumstances be regarded as stating an official position of the organisations involved. Citation: TEEB – The Economics of Ecosystems and Biodiversity for National and International Policy Makers (2009). URL: www.teebweb.org * See chapters for names of authors and contributors. TEEB for Policy Makers Team TEEB for Policy Makers Coordinator: Patrick ten Brink (IEEP) TEEB for Policy Makers Core Team: Bernd Hansjuergens (UFZ), Sylvia Kaplan (BMU, Germany), Katia Karousakis (OECD), Marianne Kettunen (IEEP), Markus Lehmann (SCBD), Meriem Bouamrane (UNESCO), Helen Mountford (OECD), Alice Ruhweza (Katoomba Group, Uganda), Mark Schauer (UNEP), Christoph Schröter-Schlaack (UFZ), Benjamin Simmons (UNEP), Alexandra Vakrou (European Commission), Stefan van der Esch (VROM, The Netherlands), James Vause (Defra, United Kingdom), Madhu Verma (IIFM, India), Jean-Louis Weber (EEA), Stephen White (European Commission) and Heidi Wittmer (UFZ). TEEB Study Leader: Pavan Sukhdev (UNEP) TEEB communications: Georgina Langdale (UNEP)
THE ECONOMICS OF ECOSYSTEMS AND BIODIVERSITY TEEB for National and International Policy Makers Table of Contents Chapter 10 Responding to the value of nature 10.1 Why valuing ecosystem services makes economic sense 3 10.1.1 Values are becoming more visible 3 10.1.2 Markets limitations and the role of public policies 6 10.1.3 Recognising ecosystem service values contributes to better decisions 7 10.2 Measuring to manage our natural capital 10 10.2.1 Better measurement of biodiversity and ecosystem services 10 10.2.2 Better links to macro-economic and societal indicators and national accounts 11 10.2.3 The need for better informed management of natural capital 12 10.3 Reasons to invest in natural capital 13 10.3.1 Investment for climate change mitigation and adaptation 13 10.3.2 Investment in ecological infrastructure 15 10.3.3 Investment in protected areas 16 10.3.4 Restoration of degraded ecosystems 18 10.3.5 Investment in ecological infrastructure supports jobs 19 10.4 Improving the distribution of costs and benefits 21 10.4.1 Making sure the right people pay 21 10.4.2 Setting incentives in line with the distribution of nature’s benefits 22 10.4.3 Clarifying rights to resources: good for people and for the environment 23 10.4.4 Managing transition and overcoming resistance to change 25 10.5 Natural capital that delivers prosperity 27 10.5.1 Policies make a difference 27 10.5.2 Opportunities for improvement 28 10.5.3 The road ahead 29 10.5.4 Building a more resource efficient economy 30 References 32 Acknowledgements 36 TEEB FOR NATIONAL AND INTERNATIONAL POLICY MAKERS - CHAPTER 10: PAGE 1
Page 1 and 2: Part I: The need for action Ch1 The
Page 3 and 4: ThE EcoNoMIcs of EcosysTEMs AND BIo
Page 5 and 6: THE GLOBAL BIODIVERSITY CRISIS AND
Page 9 and 10: 1.2 THE GLOBAL BIODIVERSITY CRISIS
Page 11 and 12: • Enough food could be produced o
Page 13 and 14: MArINE sysTEMs THE GLOBAL BIODIVERS
Page 17 and 18: 1.2.3 WHAT IS DRIVING THESE LOSSES?
Page 29 and 30: 1.4 THE GLOBAL BIODIVERSITY CRISIS
Page 33 and 34: EfErENcEs THE GLOBAL BIODIVERSITY C
Page 37: Part I: The need for action Ch1 The
Page 41 and 42: 10.1 WHY VALUING ECOSYSTEM SERVICES
Page 43 and 44: RESPONDING TO THE VALUE OF NATURE B
Page 49 and 50: 10.2.2 BETTER LINKS TO MACRO- ECONO
Page 51 and 52: 10.3 Investing in natural capital s
Page 53 and 54: as well as the value for money and
Page 55 and 56: Global National or Regional Local T
Page 59 and 60: 10.4 By taking distributional issue
Page 61 and 62: has origins and impacts beyond bord
Page 63 and 64: The ‘Nobel Prize’*-winning econ
Page 65 and 66: 10.5 Biodiversity and ecosystem ser
Page 67 and 68: Rewarding the provision of services
Page 69 and 70: Making this a reality will require
Page 71 and 72: GHK, CE and IEEP - GHK, Cambridge E
Page 73 and 74: Torras, M. (2000) The Total Economi
Page 75 and 76: Part I: The need for action Ch1 The
Page 77 and 78: ThE ECoNoMICS of ECoSySTEMS AND BIo
Page 79 and 80: FRAMEWORK AND GUIDING PRINCIPLES FO
Page 87 and 88: 2.3 FRAMEWORK AND GUIDING PRINCIPLE
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FRAMEWORK AND GUIDING PRINCIPLES FO
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2.3.4 BASE POLICIES ON GOOD GOVERNA
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2.4 FRAMEWORK AND GUIDING PRINCIPLE
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REfERENCES FRAMEWORK AND GUIDING PR
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Part I: The need for action Ch1 The
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THE ECONOMICS OF ECOSYSTEMS AND BIO
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STRENGTHENING INDICATORS AND ACCOUN
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3.1 STRENGTHENING INDICATORS AND AC
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Endnotes STRENGTHENING INDICATORS A
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Chapter 4: Integrating ecosystem an
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INTEGRATING ECOSYSTEM AND BIODIVERS
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4.1 INTEGRATING ECOSYSTEM AND BIODI
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Endnotes INTEGRATING ECOSYSTEM AND
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Economic valuation methods INTEGRAT
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ANNEx 2: sTAGEs of A PoLIcy AssEssM
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Chapter 5: Rewarding benefits throu
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REWARDING BENEFITS THROUGH PAYMENTS
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5.1 REWARDING BENEFITS THROUGH PAYM
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REGULATORY BASELINES AND ADDITIONAL
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could have adverse consequences for
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• some contained an element of te
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• ancillary provisions e.g. possi
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5.4.2 GREENING INTERGOVERNMEN- TAL
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financial flows involved. Building
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considerable patience as such optio
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CERTIFICATION OF SUSTAINABLE FISHER
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While certification systems can sig
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Endnotes REWARDING BENEFITS THROUGH
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44 http://www.mekongtourism.org/sit
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Chapter 6: Reforming Subsidies Chap
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REFORMING SUBSIDIES Key Messages of
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6 Chapter 6 addresses the need for
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6.1.2 HOW BIG ARE EXISTING SUBSIDIE
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6.2 6.2.1 DISTINGUISHING BETWEEN
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through provision of water and ener
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6.3 6.3.1 AGRICULTURE Subsidies to
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Box 6.4: The EU Common Agricultural
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Second, it has to be borne in mind
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• increases the producer price of
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REFORMING SUBSIDIES Box 6.9: Removi
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In the agriculture sector, the pric
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Some consumer energy subsidies may
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6.4 “People who love soft methods
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6.4.2 RESISTANCE TO CHANGE Subsidie
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The multiple policy objectives ofte
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REFORMING SUBSIDIES Social impacts
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The G-20 Heads of State have recent
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REFERENCES Agnew, D.J.; Pearce, J.;
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OECD - Organisation for Economic Co
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Bernd hansjürgens, Christoph Schr
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Key Messages of Chapter 7 Rewarding
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7.1 BASIC PRINCIPLES FoR hALTING oN
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7.2 REGULATING To AvoID DAMAGE: ENv
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y reducing the release of pollutant
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y reducing uncertainties with respe
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This equivalence can involve the sa
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PoTENTIAL BENEFITS oF oFFSETS AND B
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A biodiversity offset should be des
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7.4 SETTING MoRE ACCURATE PRICES: M
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Market-based instruments can be des
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China’s first water use rights sy
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PoTENTIAL CoST SAvINGS ThRoUGh MBIS
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Despite the potential described abo
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Non-market valuation studies can he
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PoLLUTIoN AND oThER DAMAGING ACTIvI
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The 1973 CITES treaty (Convention o
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7.6 MAKING IT hAPPEN - PoLICy MIxES
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has shown the critical need to stre
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Gutman, P. and Davidson, S. (2007)
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Part I: The need for action Ch1 The
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· ·· · · · · · · · · ·
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T H E E C O N O M I C S O F E C O S
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