Baltic Sea ecosystem services and benefits

Transcription

1 Baltic Sea ecosystem services and benefits Management of environmental problems in aquatic ecosystems (ESCG-501) Heini Ahtiainen Senior Scientist Natural Resources Institute Finland (Luke) Baltic Marine Environment Protection Commission (HELCOM)

2 Topics in this lecture How does the Baltic Sea affect human well-being? How are ecosystem services linked to benefits and values? What is economic value? How to value environmental changes? What are current topics in regional economic and social analyses in the Baltic Sea area?

3 Where we are in the DPSIR framework Drivers Responses Impact Pressures Ecosystem services State

4 Ecosystem services are ecosystem characteristics that are actively or passively used to produce human well-being (Fisher et al. 2009) Relationship between human well-being and ecosystems Benefits accrue to humans Several definitions/classifications E.g. MEA, TEEB, CICES Usable in different contexts

5 Cascade model of ecosystem services (adapted from Haines-Young & Potschin 2010)

6 Classification of ecosystem services Intermediate services Final services Goods Benefits/ values Supporting (primary production, nutrient cycling) Regulating (natural hazard regulation) Provisioning (fish and shellfish, water, energy) Cultural (landscape) Regulating (climate regulation, pollination) Objects of value Market and nonmarket E.g. food, recreation, healthy climate Monetary values Non-monetary values Health values

7 Source: Turner et al. (2014). UK NEA Follow-on. WP Report 4: Coastal and marine ecosystem services. 7

8 Example: recreation and tourism (cultural service) Primary production Larval and gamete production Nutirient cycling Value of recreation and tourism Recreation and tourism Fish and shellfish Algae Clean water Places and seascapes Water cycling Habitat formation Landscape formation Waste breakdown and detoxification

9 What is value? Intrinsic value Independent of humans Economic value Anthropocentric Environmental state/ecosystem services as a source of human well-being Trade-offs: how much money would a person be willing to give up to obtain a better environment

10 Why is valuation needed? No market prices for environmental goods and ecosystem services what is their value? Comparability Integrating environmental values into decisionmaking Cost-benefit analysis Setting targets Prioritizing, allocation of resources Transparency and visibility Public participation

11 Value categories Total economic value Use value Non-use value Actual use Option value For others Existence Altruism Bequest 11

12 Valuation of the environment/ecosystem services Benefits (or damages) from changes in the environment Different approaches Qualitative Quantitative Monetary (economic) In principle, valuation of environmental goods = valuation of ecosystem services Differences in the object of valuation/phrasing of the research question

13 Important considerations in valuation Value of changes instead of total values Spatiality Double-counting Ecological thresholds/nonlinearities Account for only ecosystem services part of the total economic value Part of the value may result from human actions

14 Valuation methods Revealed preference methods Travel costs, property prices Use values (recreation, tourism, landscape) Stated preference methods Contingent valuation, choice experiment Use and non-use values (recreation, existence) Benefit transfer, meta-analysis Applying existing data to new contexts Market prices Food, energy, medicine Cost-based methods Avoided costs, replacement costs Climate regulation, flood control, waste breakdown

15 Critique on ecosystem services and valuation Ecosystem services as an anthropocentric concept Pricing nature Commodifying nature and seeing it as a service provider Total value of nature Valuation methods Stated preferences vs. true preferences Hypothetical values Results do not comply with economic theory

16 Value of Baltic Sea recreation (Ahtiainen et al. 2013, Czajkowski et al. 2015) Travel cost method Identical surveys in 9 countries Value of recreation 15 billion per year Improvement in environmental quality would lead to 7-18% increase in value, about 2 M per year Country Annual number of visits per person Annual value of Baltic Sea recreation (M ) Estonia Finland Denmark Germany Latvia Lithuania Poland Sweden Russia

17 Benefits from reduced eutrophication (Ahtiainen et al. 2014) Contingent valuation method Identical survey in 9 countries Willingness to pay for reducing eutrophication Benefits of reduced eutrophication in total M per year Country Annual willingness to pay per person ( ) Annual benefits of reduced eutrophication (M ) Denmark Estonia Finland Germany Latvia Lithuania Poland Russia Sweden

18 Economic and social analyses at HELCOM (Baltic Marine Environment Protection Commission) 11/20/

19 Regional economic and social analyses at Important development area HELCOM Coherent framework and information across countries Regional results for the Baltic Sea Support for national implementation of EU directives HELCOM expert network on economic and social analyses EU co-funded projects (TAPAS, SPICE, PanBaltic SCOPE) Regional workshops Holistic assessment of ecosystem health (HOLAS II) Marine spatial planning 11/20/

20 Role of economic and social analysis in the HELCOM holistic assessment Second Holistic Assessment of Ecosystem Health of the Baltic Sea ( ) and State of the Baltic Sea report First version published in July 2017 (final version summer 2018) Human activities State Pressures ANALYSIS OF THE USE OF MARINE WATERS Current contribution to economy or human welfare Potential losses in human welfare from deteriorated state ANALYSIS OF THE COST OF DEGRADATION 11/20/

21 Annual contribution from the use of marine waters to economy in the Baltic Sea region Selected sectors Monetary, employment and quantitative indicators FISH & SHELLFISH HARVESTING Value of landings: 220 million Employment: 9500 people FINFISH AQUACULTURE Gross value added: 14 million MARINE & COASTAL RECREATION (travel cost method) Value to citizens: 15 billion TRANSPORT INFRASTRUCTURE No. of ports: 200 Total port traffic: 840 million tonnes No. of passengers, all ports: 100 million 11/20/

22 Annual welfare losses for citizens if good environmental status is not reached Cost of degradation Selected degradation themes and ecosystem services Losses from eutrophication: million Losses of recreation values: million Losses from degradation of perennial vegetation and fish stocks: million 11/20/

23 Economic and social analyses in marine spatial planning (MSP) PanBaltic SCOPE project in the Baltic Sea region, 2018 HELCOM coordinates the economic and social analyses Review of how economic, social and cultural impacts and existing models are included in national MSP Recommendations on how to develop a framework for ESA in MSP Regional platform for exchanging experiences and knowledge 11/20/

24 References and literature (1) Ahtiainen, H., Artell, J., Czajkowski, M. et al Benefits of meeting nutrient reduction targets for the Baltic Sea a contingent valuation study in the nine coastal states. Journal of Environmental Economics and Policy 3(3): Bateman, I., Mace, G., Fezzi, C., Atkinson, G. & Turner, K Economic Analysis for Ecosystem Service Assessments. Environmental and Resource Economics, 48, Boyd, J. and S. Banzhaf What are ecosystem services? The need for standardized environmental accounting units. Ecological Economics 63: Czajkowski, M. et al Valuing the commons: An international study on the recreational benefits of the Baltic Sea. Journal of Environmental Management 156: Costanza, R. et al The value of the world's ecosystem services and natural capital. Nature 387(6630): p Fisher B, Turner RK, Morling P Defining and classifying ecosystem services for decision making. Ecological Economics 68(3): Haines-Young, R., & Potschin, M The links between biodiversity, ecosystem services and human well-being. In British Ecological Society (Ed.), Ecosystem Ecology: A new Synthesis (pp ). Cambridge University Press. Haines-Young, R. and Potschin, M Common International Classification of Ecosystem Services (CICES): Consultation on Version 4, August-December EEA Framework Contract No EEA/IEA/09/

25 References and literature (2) HELCOM State of the Baltic Sea summary report (HOLAS II): Sea_First-version-2017.pdf HELCOM Supplementary report on economic and social analyses (HOLAS II): st_version_2017.pdf Garpe, K Ecosystem services provided by the Baltic Sea and Skagerrak. Swedish Environmental Protection Agency Report Kosenius A-K, Ollikainen M Ecosystem benefits from coastal habitats: A three country choice experiment. Marine Policy 58: Millennium Ecosystem Assessment (MA) Ecosystems and human well being: Synthesis. World Resources Institute: Washington D.C. p. 86. Obst et al National accounting and the valuation of ecosystem assets and their services. Environmental and Resource Economics 64(1): Söderqvist, T. & Hasselström, L The economic value of ecosystem services provided by the Baltic Sea and Skagerrak. The Swedish Environmental Protection Agency Report TEEB The Economics of Ecosystems and Biodiversity (TEEB). Ecological and Economic Foundations. Edited by Pushpam Kumar. Earthscan, London and Washington. Turner et al UK NEA Follow-on. WP Report 4: Coastal and marine ecosystem services. UK National Economic Assessment (UK NEA) The UK National Ecosystem Assessment. Technical Report. UNEP-WCMC, Cambridge. WG ESA (Working Group on Economic and Social Assessment) Economic and social analysis for the initial assessment for the Marine Strategy Framework Directive: a guidance document. European Commission, 21 December