Economic value of a non-market ecosystem service: an application of the travel cost method to nature recreation in Sweden

Abstract

ABSTRACTMost ecosystem services that are not traded on markets contribute to human welfare; however, these services are often undervalued due to the fact that their economic value is not well known. Accounting for the value of these services can help in making decisions that enable efficient use of environmental resources. This paper reports on a study of recreational trips to nature areas, the economic value of recreation in nature and factors influencing such trips. It also aimed to explore the possibilities of designing a nature-based recreation management strategy that could meet societal preferences and demands for recreation amenities. Data were obtained from a survey that involved Swedish residents who were randomly selected from a national register and were analysed using a negative binomial regression model. The results showed that the average frequency of trips to nature areas was 80 trips annually and the average travel cost for a trip to these areas was 117 SEK (16 USD). Forest-dominated areas were the most frequently visited and mountainous areas the least. Trips to mountain-dominated areas had the highest travel cost, followed by water-dominated areas, with forest areas the lowest. The consumer surplus for a trip to a nature area was 526 SEK (72 USD). The frequency of trips to nature areas was influenced by factors such as travel cost, type of nature area, travel time to and time spent at the nature area, recreational activity, income and dwelling place. If the aim of the Swedish policy on outdoor recreation (i.e. Right to Public Access) is to increase the frequency of trips to nature areas, facilities that could help reduce travel costs to these areas should be provided. Nature areas should be managed towards meeting societal preferences and demands for recreation. The findings could assist ecosystem managers in land use planning processes and in designing a sustainable nature-based recreation strategy.