Economic Valuation Of Ecosystem Services Research Articles

Economic Valuation of Ecosystem Services in Indian Agricultural Landscape: A Meta-analysis

"India’s economy highly relies on its agricultural sector to ensure food and livelihood security for its ever-going population. However, demographic, economic, social, and climatic changes exert pressure on natural resources. Ecosystem services play a pivotal role in adaptation and mitigating the climate change impacts. In this study, we examined the potential drivers and economic value of agro-ecosystem services in India by using a meta-analysis framework. A total of 817 data estimates were considered for the study. The results indicated that provisioning services contributed highest to the agro-ecosystem services with an estimated average value of ` 22306 ha-1 year-1, followed by regulating services (` 9021 ha-1 year-1) and supporting services (` 4613 ha-1year-1). Also, we found that land productivity and crop diversification have a positive effect on the value of agro-ecosystem services while population density had a negative effect. Further, the study revealed that cultural services have been least explored in agroecosystems nevertheless their actual value is much higher than the estimated one. We conclude that efforts should be diverted towards the promotion of crop diversification practices and providing incentives in the form of payment for ecosystem services to enhance agro-ecosystem services and mitigate climate change’s impact on agriculture."

Economic Valuation of Ecosystem Services and Its Association with Socioeconomic Factors in the Wof-Washa Natural State Forest, North Shewa Zone, Ethiopia.

The Wof-Washa Natural State Forest (WWNSF) in Ethiopia harbors remarkable biodiversity but faces threats from local communities, climate change, and a lack of awareness regarding its preservation. Although numerous studies exist, the economic value of the forest's ecosystem services (FESs) has been largely overlooked. Thus, the purposes of this study were to identify FESs, estimate their total economic value, and assess challenges with possible strategies for sustainable forest management. The research employed Google Earth to estimate forest area and socioeconomic surveys with field visits to gather data from 368 participants for analyzing the FESs, monetary values, and challenges with possible strategies. Analyses included descriptive statistics, total economic valuation (TEV), and an ordinary least squares regression model. The study revealed that the WWNSF provides crucial provisioning services (timber, honey, water, and firewood), regulating services (soil erosion control and climate change mitigation), and supporting services (soil formation and nutrient cycling). The forest's annual contribution to sampled households averaged $1152.30, with regulating and cultural services valued at $14,112 and $622.00, respectively. The study also revealed that male-headed households, larger families, and those having limited farmland and off-farm income depended more heavily on the forest. Therefore, farmland scarcity, settlements, and tree harvesting for firewood, timber, and agricultural tools, as well as the lack of employment opportunities, were the main challenges encountered in the study area. This suggests that despite degradation and reduction in size due to human pressures, the WWNSF remains a significant source of socioeconomic and ecological benefits, supporting local livelihoods and biodiversity. To ensure the forest's restoration, prioritizing community participation, promoting family planning, providing alternative income opportunities especially for youth, and balancing resource use with conservation efforts are possible strategies that should be taken into account.

Economic Valuation of Ecosystem Services in Sahel's Wetlands: Case of Bourgou (Echinochloa stagnina) in the Inner Niger Delta

Economic Valuation of Ecosystem Services in Sahel's Wetlands: Case of Bourgou (Echinochloa stagnina) in the Inner Niger Delta

Unlocking Natural Capital in the Megadiverse Colombian Pacific Basin: Navigating Challenges and Governance Gaps

The Pacific region is considered a biodiversity hotspot and presents high species endemic levels. The Colombian Pacific basin occupies an area of approximately eight million hectares, located in the country’s west. The literature about the economic valuation of ecosystem services (ES) and the spatial information on natural resources in the Colombian Pacific basin was revised through various information sources to document the earliest approximation to the state, spatial distribution, and economic value of the natural capital at the scale of biomes, specific ecosystems, and political-administrative units. Our assessment estimated a natural capital loss of 40 billion Int.$2020/year (15% of Colombian GDP in 2020) and a remnant natural capital worth 139 billion Int.$2020/year (51% of Colombia’s GDP in 2020) for 15 ecosystem services. This research establishes that a potential expansion in livestock production systems will generate an additional loss of natural capital between six and eight billion Int.$2020/year. Additionally, we include an analysis based on the GLOBIO4 initiative models, identifying future natural capital losses between 7.5 and 7.6 billion Int.$2020/year. Lastly, the policy challenges and gaps in research and management concerning this remaining natural capital in the Colombian Pacific basin are pointed out.

Burying the carbon to dig up the future

Soil carbon sequestration presents a pathway towards climate change mitigation and adaptation while also fostering sustainable socio-economic development. The emergence of soil carbon markets, which monetize carbon capture and land management practices, has given new impetus to this area of study. However, the intersection of environmental, social, and economic systems inherent to soil carbon markets introduces significant complexities. To understand the research landscape and the prevailing themes within the field, we conducted a systematic literature review, sourcing articles from the Web of Science and SCOPUS databases that focused on soil carbon markets, published between January 2017 and august 2023. Our analysis revealed three primary research themes emerged: 1) Soil Ecosystem Services (61%), closely associated with the agricultural and environmental sciences; 2) Environmental Economics (21%) show the growing focus on economic valuation of ecosystem services since the Paris Agreement; and 3) Exploratory Analyses (18%) highlight recent efforts in dealing with the complex network of environmental, social, economic, political and cultural factors. However, these areas of research are often treated separately, reflecting a broader disconnect between natural and social sciences: Geography, uniquely positioned at the intersection of natural and social sciences, could bridge this divide. Through a geographical lens, one can better comprehend drivers behind land management and land-use changes and how they relate to environmental indicators and soil carbon markets. In the social sciences, cultural aspects that shape soil management practices, farmers' relationships with land and markets, and their engagement with soil carbon markets could be examined to predict actions towards improving environmental performance indicators. These settings are highly local, influenced by factors like land tenure rights, landscape ecology, political settings, and power dynamics. Geography's role extends beyond merely understanding these local factors. It also involves studying 'space' and 'place', concepts that are crucial in the context of soil carbon markets. Within the framework of complexity theory and spatial agent-based modelling for socio-ecological systems, Geography can provide valuable insights into how different entities within soil carbon markets interact and influence each other. In the context of climate change, soil ecosystem services, and by extension soil carbon markets, can influence social and economic vulnerabilities. An integrated study of land use, management practices, and their impact on soil ecosystem services, using both quantitative and qualitative approaches, can provide insights into social behaviour and ecosystem responses over time.

Unlocking Natural Capital in the Megadiverse Colombian Pacific Basin: Navigating Challenges and Governance Gaps

The Pacific region is considered a biodiversity hotspot and presents high species endemic levels. The Colombian Pacific basin occupies an area of approximately eight million hectares, located in the country’s west. The literature about the economic valuation of ecosystem services (ES) and the spatial information on natural resources in the Colombian Pacific basin was revised through various information sources to document the earliest approximation to the state, spatial distribution, and economic value of the natural capital at the scale of biomes, specific ecosystems, and political-administrative units. Our assessment estimated a natural capital loss of 40 billion Int.$2020/year (15% of Colombian GDP in 2020) and a remnant natural capital worth 139 billion Int.$2020/year (51% of Colombia’s GDP in 2020) for 15 ecosystem services. This research establishes that a potential expansion in livestock production systems will generate an additional loss of natural capital between six and eight billion Int.$2020/year. Additionally, we include an analysis based on the GLOBIO4 initiative models, identifying future natural capital losses between 7.5 and 7.6 billion Int.$2020/year. Lastly, the policy challenges and gaps in research and management concerning this remaining natural capital in the Colombian Pacific basin are pointed out.

The Economic Valuation of Ecosystem Services: Economic Value-Based Management in a Case Study of Protected Areas in Iran

The Economic Valuation of Ecosystem Services: Economic Value-Based Management in a Case Study of Protected Areas in Iran

Comparative Valuation of Three Ecosystem Services in a Canadian Watershed Using Global, Regional, and Local Unit Values

Economic valuations of ecosystem services often transfer previously estimated global unit values to the geographical setting of interest. While this approach produces quick results, its reliability depends on how representative the large-scale average unit values are for the given local context. Here, we estimate the values of three ecosystem services (ES)—water filtration, nutrient cycling, and carbon sequestration—in the Grand River watershed (GRW) of southern Ontario, Canada. The watershed covers nearly 7000 km2, has a humid continental climate and a population of close to one million people. Land cover is dominated by agriculture. We compare ES valuations using locally derived (i.e., GRW-specific) unit values to valuations based on unit values from a regional database and those compiled in the global Ecosystem Services Valuation Database (ESVD). The regional database includes mean unit values from three case studies within southern Ontario and one boreal watershed in British Columbia. As expected, the regional database yields average monetary values for the three ES that are close to those obtained using the local unit values but with larger associated uncertainties. Using the ESVD, however, results in significantly higher monetary values for the ES. For water filtration, the ESVD value is more than five times higher than the regional and local estimates. We further illustrate the effect of the extent of aggregation of forested and agricultural land categories on the ES values. For example, by subdividing the forest category into three subcategories (deciduous, coniferous, and mixed forest), the estimated value of the carbon sequestration service from forested areas within the GRW decreases by 7%. Overall, our results emphasize the importance of critically assessing the origin of unit values and the land cover resolution in ES valuation, especially when ES valuation is used as a policy-guiding tool.

Useful properties of natural systems within specific parts of the North-Western Black Sea Region's coastal zone

The paper characterizes the term 'ecosystem services' i.e. useful resources and benefits that present-day humanity can receive from nature (both tangible and intangible benefits from the abiogenic and biogenic components of various natural ecosystems). The purpose of the work is to assess the beneficial properties of natural systems of certain parts of the coastal zone of the North-Western Black Sea. There is a quite broad approach to the very concept of ‘ecosystem services’. However, the connection of ecosystem services with natural ecosystems only and their free of charge essence may be often disregarded. The term ‘ecosystem services’ is not appropriate, since natural ecosystems cannot provide any services considering that 'a service' means an act or a purposeful action. Nature exists and does not provide any services, while natural resources and conditions exist independently of human beings.
 The term ‘services’ cannot be used in relation to natural ecosystems, since ‘services’ mean some purposeful activity of a person resulting in occurrence of a beneficial effect that can satisfy any human needs. In the sphere of nature management a natural system serves as a main object of research. When it comes to optimizing the nature management, it is more correct to speak about use of a certain part of natural resources, i.e. about a natural resources potential, rather than about use of them in their entirety. A number of scientists believe that the value of nature is infinite, and, therefore, cannot have a monetary equivalent. However, at present days, the economic valuation of ecosystem services is extremely important to ensure efficient nature management and can form a basis for making informed management decisions. This approach is dominant though, because such monetization helps people in their understanding of importance of conserving the biogenic and abiogenic components of natural systems for the sake of their lives. Instead of the term ‘ecosystem services’ the author suggests using the concept of ‘useful properties of natural systems’, i.e. their providing, regulating and cultural services, as well as supporting properties. The useful properties of natural systems are limited by both hazardous natural processes and physical, chemical and biological pollution of anthropogenic origin. The research offers an assessment of useful properties of natural systems within specific parts of the North-Western Black Sea Region's coastal zone (in Odesa Oblast). These natural ecosystems can provide tangible benefits, however, the possibility of using their beneficial properties is negatively affected by a progressing technogenic impact on the components of the natural environment of urbanization processes, development of industries, energy, transport and agricultural sectors of our economy, and, starting from February 2022, by the military activities and combat operations.

Economic Valuation of Ecosystem Services of Bamboo in Tanzania

Economic Valuation of Ecosystem Services of Bamboo in Tanzania

Mental health value of parks in China

Biological conservation relies on protected areas, which need funding for acquisition and management. Economic valuation of ecosystem services contributes political and economic support for government budget allocations. One politically powerful cultural ecosystem service is improved mental health of park visitors, known as health services value or HSV. Previous HSV estimates were extrapolated from a single country, Australia. Here we provide a more precise global estimate by: focussing on China as the largest newly-industrialised economy; comparing mental health across 25 parks throughout China, using the Personal Wellbeing Index, PWI; and measuring PWI at representative and heavily-visited Shennongjia National Park, and a gateway counterpart. We calculated ΔPWI as a function of park visit rate, controlled for socioeconomic, demographic and physical health factors. This yielded ΔPWI∼2.75 % for China, as in Australia. Published data show that: the population of China is 1.4 billion; the proportion visiting parks is 32 % (cf ∼70 % in developed nations); and mean national financial value per quality-adjusted life-year is US$63,500 (cf ∼US$200,000). Parks HSV for China is thus US$0.78 trillion per annum. Scaling up to include India, Brazil and Russia, total HSV for the newly-industrialised bloc is US$1.13 trillion per annum, ∼5 % of GDP. Including previous data for developed nations, where HSV is ∼8 % of GDP, yields a new global estimate for parks HSV of US$ 5.1 ± 2.0 trillion per annum, 6 % of global GDP, substantially more precise than previous estimates. For national and local conservation applications, the next step will be to scale down to individual parks, ecosystems, and species.

An overview of economic valuation of ecosystem services in protected areas and its roles in achieving Sustainable Development Goals (SDGs)

Protected areas (PAs) provide a variety of benefits and services related to human welfare, poverty alleviation, and sustainable development. However, economic valuations of PAs are poorly measured to date. The majority of PAs management policy frameworks are based on biodiversity conservation. The purpose of this overview is to highlight the importance of PAs in achieving Sustainable Development Goals (SDGs) by reviewing current and past studies related to the economic value of ecosystem services and the valuation methodologies of PAs at local, regional, and national levels. In addition, the role of PAs in enhancing the sustainability of ecosystem services has been discussed. Furthermore, two case studies related to the ecosystem-economic perspective of PAs; Australia’s Great Barrier Reef and India’s Nagarhole Park, were highlighted. In general, the economic value of PAs is based on the components of ecosystem services, such as provisioning, regulating, supporting, and culture. The management of PAs is critical for valuation of species conservation as one of the standards derived from the ecosystem services. Additionally, it improved the level of financial income of the communities, their educational and health levels, revitalizing local businesses and providing job opportunities through the success of PA’s management strategies as local, national, and international tourist destinations. This review provides a snapshot of the roles of PAs in achieving Sustainable Development Goals (SDGs), useful for future researchers, planners, park managers, and policymakers to develop policies for sustainable investment and improvement of PAs.

Economic Valuation of Ecosystem Services of Qurumber National Park in Gilgit-Baltistan, Pakistan

Economic Valuation of Ecosystem Services of Qurumber National Park in Gilgit-Baltistan, Pakistan

Economic valuation of ecosystem services of natural plant associations of the Pluzhne forestry

Ecosystem services are the basis of human development and existence. The resilience and balance of ecosystems is the key to the well-being and comfort of the human race, but their role and value of services provided is often underestimated. The aim of the given research is to conduct economic assessment of ecosystem services of natural plant associations of the selected area – Pluzhne forestry. Forests are known to provide the most diverse and comprehensive complex of ecosystem services and thus represent complicated object for assessment. The first step of the assessment included formulation of the list of ecosystem services to be included into the assessment procedure, giving priority to the most well-studied. The second step was aimed at determination of the unit prices for the chosen services. They were elaborated based on similar valuations, sufficiently supported by research data. The resulted cost of ecosystem services provided were compared to the assessments, performed for forest ecosystems in Ukraine and European countries, which is an element of novelty and originality. Although there are noticeable deviations in specific value of ecosystem services per unit of forest area, the general trend in consistent with European experience. The reasons of differences could be explained by the choice of approaches to unit prices evaluation and list of services included into assessment. The obtained data are important for raising awareness of local population and authorities about the importance of ecosystems functioning and need to invest resources in their support and protection. Research works of such kind are still rare in Ukrainian academic sphere despite their high importance for efficient management of environment quality and use. Thus, there is a clear need develop this research field and the given research contributes theoretical and applied provisions for further assessments of such kind.

Economic valuation of ecosystem services in Balatin River Sub-Watershed, Southern Philippines

Purpose. The study aimed to estimate the economic value of the ecosystem services provided by the Balatin River Sub-Watershed (BRSW) as a basis for policy recommendations focused on its conservation.
 Methodology / approach. The economic values were estimated through the Total Economic Value approach. To estimate the use values of the provision of water supply for households and irrigation use, the market price method and productivity method were used, respectively. Meta-analysis benefit transfer was used to estimate the non-use values.
 Results. An estimated 1,327,560 m3 of water is supplied to households every year with total revenue of PHP 20,626,441.20 per year. PHP 4,026,773.80 is generated annually to provide irrigation water. In addition, regulating services of the BRSW generate an amount of PHP 12,191,487.85 in 2021 price levels as a benefit for the residents. This generates an estimated total economic value of PHP 36,844,702.85 with benefits spread across the users in the community. The water for drinking benefits accrue to the residents whose water is supplied by the BRSW through the Wao Water District, the benefits of irrigation water are mostly received by farmers, and the benefits of regulating services accrue entirely to the residents within the BRSW and the surrounding communities.
 Originality / scientific novelty. This study was able to obtain a relatively higher estimated value by using multiple valuation methods in contrast to the conventional method of using a single approach. Additionally, the study contributes to addressing the limitation in existing literature particularly in the BRSW and the remaining sub-watersheds of Lanao del Sur which also suffer from degradation.
 Practical value / implications. The results of this study show that the BRSW is currently an indispensable resource for the municipality. The study is a first in the municipality and can therefore be used as an input in the appraisal of the watershed’s economic value. The estimated economic value generated by the watershed illustrates a portion of what has been neglected over the past decades as the deterioration of BRSW continues.

A Participatory Approach to Economic Valuation of Ecosystem Services in Andean Amazonia: Three Country Case Studies for Policy Planning

Ecosystem services have been steadily incorporated into policy and planning, particularly for conservation. While biophysical and economic values are often part of ecosystems assessments, integrating participatory approaches with these valuation tools into planning is essential. This study demonstrates the importance of undertaking case studies with an integrated approach from valuation to practice. We focus on the evaluation of ecosystem services based on user priorities in three different countries that comprise the northwestern part of the Amazon basin: Colombia, Ecuador, and Peru. A total of 473 community and government representatives were interviewed and their priorities for ecosystem services were elicited. We used three approaches to value the prioritized services, market prices, cost avoided, and the value transfer method. We linked the economic valuation results with policy and development alternatives that focus on ES management and we utilized an adaptive policy framework as a crucial step to assess the “trade off” in relation to any given economic, social, and environmental goal. Seven ecosystem services were identified as priorities: fish, timber, and non-timber forest products as provisioning services; disease regulation, water purification, and carbon sequestration as regulating services; and scenic beauty as the only cultural service. The ecosystem services contributing to the highest proportion of local GDP were regulation of malaria (3.9%) in Colombia, followed by ecotourism (1.75%) in Ecuador and fish (1.7%) in Peru. The instruments developed to help integrate this information into policy actions are mostly related to improving the property right systems currently implemented in each country. The results of this study will enable the management of ecosystem service values to be targeted in planning development at the subnational level in each country.

Payment for ecosystem services (PES): a holistic tool for sustainable forest management-a case study from Pakistan.

Economic valuation of ecosystem services is a new concept in forest management. Economic valuation provides basis for payment for ecosystem services (PES). Therefore, objective of this study was to evaluate eco-tourism and carbon stock services of the Maindam valley, District Swat, Pakistan. For the carbon stock calculation, a sample size of 155 plots of 0.1 hectare (Ha) was taken using preliminary survey at 95% confidence interval and 10% allowable error. The data for tourism services was collected from owners of all the hotels, 100 tourists and key informants of the area at 10% sampling intensity on pretested questionnaire for twenty years period (1997-2017). Results showed that Miandam valley has carbon stock worth US$ 16,306,000 while the value of eco-tourism was US$ 1,578,458 on annual basis. The results also showed that trend of tourism has drastically declined after the 9/11 incident for foreigners and locals and the situation was further deteriorated during the era of Talibanization or militancy from 2008-2011. This study recommends implementation of PES strategy at the rate of 5%, thus a total of US$ 78,922 can be earned from eco-tourism and carbon crediting in the study area annually, which could play important role in sustainable forest management.

The economic valuation of ecosystem services: bibliometric analysis

Research background: The services provided by ecosystems are the main support for human populations and for the development of any type of activity. Today, the provision of these services is under threat. The economic valuation of ecosystem services is vital to design appropriate policies, define strategies and manage ecosystems. Purpose of the article: The objective of this study is to analyse the evolution of research on the economic valuation of ecosystem services over the last two decades. More specifically, it aims firstly to identify the main agents driving research and, secondly, it seeks to synthesize in a single document the relevant information on the main economic valuation methods, relating them to the categories of services, ecosystems and regions where they have been employed. Methods: A quantitative review was first carried out through a bibliometric analysis to identify the main drivers of this line of research and its development trends. Secondly, a qualitative review was conducted through a systematic review focusing on the most commonly used valuation techniques in relation to the characteristics of the service, the geographical scope and the ecosystem analysed. Findings & value added: The main novelty of this work, compared to previous literature, is that the relationship between the study area, the type of ecosystem, the category of service and the economic valuation methodology are analysed for the first time. The results highlight the need to continue expanding knowledge in relation to the temporal and spatial scale in the economic value of ecosystem services, the subjective nature of the estimates and the heterogeneity between the different social sectors with respect to the benefit obtained.

Spatial modeling tools to assess and economic valuation of ecosystem services; study area: Qara Gheshlagh wetland

Spatial modeling tools to assess and economic valuation of ecosystem services; study area: Qara Gheshlagh wetland

The natural capital of the Colombian Orinoco River basin. intact ecosystems with high rates of anthropogenic change

ABSTRACT The Orinoco basin is one of the most important hydrologic systems in South America. The Colombian Orinoco basin occupies an area of approx. thirty-four million hectares, located in the country's east. The literature about the economic valuation of ecosystem services (ES) and the spatial information on natural resources in the Colombian Orinoco basin was revised through various information sources to document the earliest approximation to the state, spatial distribution, and economic value of the natural capital at the scale of biomes, specific ecosystems, and political-administrative units. Our assessment estimated a natural capital loss of 200 billion Int.$2020/year (74% of Colombian GDP in 2020) and a remnant natural capital worth 296 billion Int.$2020/year (more than 100% of Colombia's GDP in 2020) for twelve ecosystem services. This research proves that a potential expansion in livestock production systems will generate an additional loss of natural capital of approximately 282 billion Int.$2020/year. Additionally, we include an analysis based on the GLOBIO4 initiative models, identifying future natural capital losses between 4.8 and 33 billion Int.$2020/year. Lastly, the policy challenges and gaps in research and management concerning this remaining natural capital in the Colombian Orinoco basin are pointed out.