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The Economic Valuation <strong>of</strong> <strong>the</strong> Proposed Degazettment <strong>of</strong> Mabira CFR<br />

___________________________________________________________________________________<br />

Figure 2: 2: Key Key Elements <strong>of</strong> <strong>the</strong> <strong>of</strong> Conservation <strong>the</strong> Conservation versus Degazettement versus Degazettment Options Options <strong>of</strong> Part <strong>of</strong> <strong>of</strong> Mabira Part Central<br />

Forest <strong>of</strong> Mabira Reserve Central Forest Reserve<br />

1.4. METHODOLOGY<br />

This <strong>economic</strong> analysis was carried out in three phases including a detailed review <strong>of</strong><br />

1.4. METHODOLOGY<br />

literature and media reports on <strong>the</strong> subject, assessment <strong>of</strong> standing stock and inventory<br />

This <strong>economic</strong> analysis was carried out in three phases<br />

information on <strong>the</strong> potential impact on <strong>the</strong> forest, key informant interviews, community<br />

including<br />

consultations<br />

a detailed<br />

followed<br />

review<br />

by<br />

<strong>of</strong><br />

data<br />

literature<br />

computations<br />

and media<br />

and interpretation. The study also involved<br />

reports detailed on <strong>the</strong> description subject, assessment <strong>of</strong> <strong>the</strong> biodiversity <strong>of</strong> standing stock <strong>of</strong> Mabira Central Forest Reserve, <strong>economic</strong><br />

and e<strong>valuation</strong> inventory <strong>of</strong> information <strong>the</strong> agricultural on <strong>the</strong> potential impact <strong>of</strong> <strong>the</strong> area and detailed analysis <strong>of</strong> <strong>the</strong> sugar<br />

on commodity <strong>the</strong> forest, market. key informant interviews, community<br />

Description <strong>of</strong> <strong>the</strong> biodiversity <strong>of</strong> Mabira CFR relied on literature reviews. The<br />

agricultural <strong>economic</strong> e<strong>valuation</strong> relied on both budgeting techniques and cost benefit<br />

analysis, using <strong>the</strong> Net Present Value as <strong>the</strong> decision-making<br />

chapters.<br />

criteria. Assessment <strong>of</strong> <strong>the</strong><br />

conservation value <strong>of</strong> <strong>the</strong> forest estate relied on both cost benefit analysis and <strong>the</strong><br />

concept <strong>of</strong> total <strong>economic</strong> value (TEV). The detailed analytical frameworks are<br />

described in subsequent chapters.<br />

____________________________________________________________________<br />

By Yakobo Moyini, PhD<br />

6<br />

Biodiversity<br />

Conservation<br />

Down stream<br />

water services<br />

Recreation<br />

Extraction <strong>of</strong><br />

forest products<br />

Cost <strong>of</strong><br />

conservation<br />

Net decrease in<br />

ecosystem benefits<br />

Biodiversity<br />

Conservation<br />

Down stream<br />

water services<br />

Recreation<br />

Extraction <strong>of</strong><br />

forest products<br />

Decreased<br />

Biodiversity<br />

Conservation<br />

Decreased Down<br />

stream water<br />

services<br />

Decreased<br />

Recreation<br />

Reduced Extraction<br />

<strong>of</strong> forest products<br />

Less foregone cost<br />

<strong>of</strong> conservation<br />

Gross<br />

decrease in<br />

ecosystem<br />

benefits<br />

Opportunity<br />

cost <strong>of</strong><br />

foregone<br />

ecosystem<br />

benefits<br />

Cost <strong>of</strong><br />

conservation<br />

With Conservation Without Conservation Cost benefit analysis <strong>of</strong> conservation<br />

Source: Pagiola et al., (2004)<br />

decision<br />

consultations followed by data computations and<br />

interpretation. The study also involved detailed<br />

description <strong>of</strong> <strong>the</strong> biodiversity <strong>of</strong> Mabira Central Forest<br />

Reserve, <strong>economic</strong> e<strong>valuation</strong> <strong>of</strong> <strong>the</strong> agricultural<br />

potential <strong>of</strong> <strong>the</strong> area and detailed analysis <strong>of</strong> <strong>the</strong> sugar<br />

commodity market.<br />

Description <strong>of</strong> <strong>the</strong> biodiversity <strong>of</strong> Mabira CFR relied on<br />

literature reviews. The agricultural <strong>economic</strong> e<strong>valuation</strong><br />

relied on both budgeting techniques and cost benefit<br />

analysis, using <strong>the</strong> Net Present Value as <strong>the</strong> decisionmaking<br />

criteria. Assessment <strong>of</strong> <strong>the</strong> conservation value <strong>of</strong><br />

<strong>the</strong> forest estate relied on both cost benefit analysis and<br />

<strong>the</strong> concept <strong>of</strong> total <strong>economic</strong> value (TEV). The detailed<br />

analytical frameworks are described in subsequent<br />

The Economic Valuation <strong>of</strong> <strong>the</strong> Proposed Degazettement <strong>of</strong> Mabira CFR | 2011<br />

7

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