Ecosystem services are dynamic, following specific paths between regions and generating externalities. However, research on these externalities and the mechanisms within ecological networks remains limited. The quantification, spatial patterns, and evolution of these externalities are still unclear and need further study. Utilizing land use, topography, precipitation, and socio-economic data from 2010 and 2020, the study aims to quantify the externalities of ecosystem services and analyze their spatial distribution and network transmission characteristics within the Territorial Ecological Space (TES) of Jintan District. Using the InVEST model, we assessed the externalities of ecosystem services and integrated these with an ecological network model to reveal the impact of network structure on the flow of externalities. We propose an ecological space optimization plan with various scenarios, offering a reference for regional ecological space optimization. Key findings indicate that ecosystem service externalities exist and display spatial differentiation, with ecological source areas and corridors participating in the flow and dissipation of these services. Based on these findings, an ecological space optimization plan is proposed, consisting of multiple scenarios, which offers a reference for regional ecological space optimization. The study contributes to the sustainable management of ecological spaces by providing new insights and methodological advancements, particularly in the context of optimizing ecological spatial structures and ensuring regional ecological security. By elucidating the spatial dynamics and network transmission of ecosystem service externalities, this research supports informed decision-making in ecological conservation and land use planning.