The economic valuation of ecosystem services, case stormwater

Transcription

1 The economic valuation of ecosystem services, case stormwater Mika Rekola Department of Forest Sciences Cities Forum, Helsinki January 21, 2014

2 Table of Content Stormwater and wetlands Contingent valuation (CV) method Case: Nummela constructed wetland Conclusions

3 Stormwater flood due to excess imperviousness Treatment space available in green areas Water quality not treated in a hardscape An elevated green traffic island is not able to provide much ecosystem services and suffers from draught Stormwater drained to the sea and vegetation irrigated by Lake Päijänne water

4 Urban landscape elements providing stormwater management and ecosystem services Street tree: evapotranspiration, increased infiltration, some water quality benefits, air quality, noise control, habitat, wellness Wetland: strong flood and water quality management potential, rich habitat, recreational amenities Vegetated swale: controlled conveyance, water quality and flood control Green roof: some water retention and quality management, some habitat, view, roof protection and building cooling/heating

5 Economic valuation of non-market benefits Several methods exist Contingent valuation (CV) Travel cost method Hedonic pricing. CV uses surveys to value public goods Health care Education Environmental quality Ecosystem services (ES)

6 Contingent valuation (CV) In Finnish: Ehdollisen arvottamisen menetelmä, maksuhalukkuuskysely Contingent means 1. Possible or liable, but not certain to occur; incidental; casual. 2. (with upon) Dependent on something that is undetermined or unknown. 3. Dependent on something that may or may not occur. A CV survey: scenario 1. A target good, e.g. a change in ES 2. A Project or Policy to achieve change 3. Payment e.g. stormwater fee (hulevesimaksu)

7 Case: Nummela constructed wetlands Graphs: Tuukka Jussila, UUDELY Life+11 ENV/FI/911 Keidas Urban Oases

8 Constructed wetlands clean up stormwater: Example: Nummela Gateway Wetland (2010) - Size 0,1% of it s watershed (recommendation 2-5%) - Highest removal by 3rd growth season 70% suspended sediment and phoshorus Graph: Pasi Valkama, VHVSY ry Data: Luode Consulting Oy Life+11 ENV/FI/911 Keidas Urban Oases

9 Contingent valuation survey MSc Course: Valuation of Environmental benefits (MLY240) during September-October 2013 student assignment: CV study related to Nummela constructed wetland Sample 20 students door-to-door interviews (questionnaire also available on the internet) Data 61 respondents

10 Scenario 1. A good. Constructed stormwater wetlands and other management to improve water quality in lake Enäjärvi Provide recreational amenities 2. Policy and/or Project. Stormwater Project (EU Life+ Urban Oases, Municipality as a partner) 3. Payment. Household fee for stormwater management Based on becoming Act

11 Male 43 % No answer 7 % Results Gender ratio Female 51 % Higher education No answer 3 % Yes 21 % Results are based on a work by group of students Asta Kiema, Tyyra Linko, Dalia D Amato, Tapio Hatakka. No 75 %

12 35 % 30 % 25 % Income Distribution of income Answer available 74 % No answer 26 % 20 % 15 % 10 % 5 % 0 % More than

13 Familiarity with concept of wetland Fully familiar 13 % No answer 3 % None 8 % Familiar 23 % A little 52 %

14 Main use of wetland No answer 8 % Never been there 23 % Walk / jogging 36 % Multiple 0,02 Other 8 % Enjoy nature 5 % Out with kids 18 %

15 Willingness to Pay Euros / household / year Zero or no answer for WTP 30 % Mean SD Median Arithmetic The standard deviation Middle WTP number of a group Eur Eur Eur Non-zero WTP 70 % Total WTP in Nummela: 4000 households*20 = /year

16 Reasons not to pay 25 % 20 % No answer 66 % One reason 18 % Multiple 16 % 15 % 10 % 5 % 0 % No benefit Relative importance to society Should be publicly funded No enough information Do not agree with question Cannot put a price on nature Cannot pay Not worth paying for Do not agree with payment vehicle Other

17 Conclusions Stormwater management needed more in the future Contingent valuation (CV) can be used for valuation of policies CV always needs scenario with payment vehicle Total WTP rather high Stormwater fee accepted as a reasonable vehicle (protests only 10%)

18 Allan Randall: "We can never value nature but a policy THANK YOU! Contact: Life+ ENV/FI/911 Urban Oases mika.rekola@helsinki.fi Photo: Mika Rekola