Jean-Louis WEBER Former Special Adviser to the European Environment Agency

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Ecosystem Capital Accounts: the Way to Record the Multiple Forest Values in a National Accounting Framework Jean-Louis WEBER Former Special Adviser to the European Environment Agency on Economic-Environmental Accounting Honorary Professor, School of Geography, University of Nottingham [email protected] Dialogue on Forestry in Context the Eco- Civilization 19 July 2013, Guiyang, China Eco-Forum Global 生 生 生 生 生 生 生 生 生 生

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Eco-Forum Global 生 态 文 明 贵 阳 国 际 论 坛. Dialogue on Forestry in Context the Eco-Civilization 19 July 2013, Guiyang , China. Ecosystem Capital Accounts: the Way to Record the Multiple Forest Values in a National Accounting Framework. Jean-Louis WEBER - PowerPoint PPT Presentation

Transcript of Jean-Louis WEBER Former Special Adviser to the European Environment Agency

Page 1: Jean-Louis WEBER  Former Special Adviser to the European Environment Agency

   Ecosystem Capital Accounts: the Way to Record the Multiple Forest Values in a National Accounting 

Framework

Jean-Louis WEBER

Former Special Adviser to the European Environment Agency on Economic-Environmental Accounting

Honorary Professor, School of Geography, University of Nottingham

[email protected]

Dialogue on Forestry in Context the Eco-Civilization 19 July 2013, Guiyang, China

Eco-Forum Global

生 态 文 明 贵 阳 国 际 论 坛

Page 2: Jean-Louis WEBER  Former Special Adviser to the European Environment Agency

National Accounts: SNA and SEEA

SEEA Part 1 “Central Framework”

SEEA Part 2“Experimental

Ecosystem Accounting”

SEEA-EA XXX

SEEA-EA VictoriaSNA

The System of Environmental-Economic Accounts adopted by the UN Statistical Commission in 2012 (SEEA 2012) has been supplemented in 2013 by a volume on “Experimental Capital Accounting”. The “Ecosystem Capital Accounts” (SEEA-ECA) under implementation in Europe are one of these experimentations.

SEEA-ECA

EcosystemCapital Accounts

Jean-Louis Weber, 19 July 2013

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Forests in accounting frameworksMoney. Economic asset, owned and managed for

profit; cultivated forests mostly. No forest depletion recorded. Products = timber.

Monetary and physical accounts. Forest asset: similar to SNA plus an extension to non-managed forests. Forest depletion only in physical units, not in money. No forest degradation recorded. Products = mostly timber plus an extension to non-timber forest products.

Forest as ecosystem statistical units. Complete balances of stocks and flows, including Carbon/biomass, water, landscape integrity and biodiversity. People access to ecosystem services. Valuation in money on a case by case basis (no aggregation). In SEEA-ECA, use of a currency-equivalent named “ecosystem capability unit” to capture the main services into one single measurement.

Jean-Louis Weber, 19 July 2013

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Ecosystems deliver all together multiple services

Source: Gilbert Long, 1972 A propos du diagnostic écologique appliqué au milieu de vie de l'homme. Options Méditerranéennes, 13 , CHIEAM, Montpellier, Juin 1972

Jean-Louis Weber, 19 July 2013

Page 5: Jean-Louis WEBER  Former Special Adviser to the European Environment Agency

Source: Gilbert Long, 1972 A propos du diagnostic écologique appliqué au milieu de vie de l'homme. Options Méditerranéennes, 13 , CHIEAM, Montpellier, Juin 1972

NOTE: Excessive extraction of 1 service (here wood removal) can ruin all the other services

Ecosystems deliver all together multiple services

Jean-Louis Weber, 19 July 2013

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Fossil energy and materials

   The Ecosystem Capital Must Be Maintained as the Produced Capital is… 

Production  & Trade of 

Commodities &  Assets

Biodiversity

Natural Resou

rces

ECOSY

STEM

 CAP

ITAL

Inputs & Residuals

NATURAL CAPITAL PRODUCED CAPITAL

Land

Biomass, carbon

Water

Functional Services

Capital(s): Productivity & Health Maintenance up to capital depreciation (consumption)

Maintenance up to capital

restoration

Jean-Louis Weber, 19 July 2013

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3 – Ecosystem healthy state: public good, non-rival, non-exclusive use, long term “value”, non-transferable

ownership rights, have a money counterpart if regulations enforce it (environmental expenditures, green taxes,

offset certificates…)

1 – SNA commodities and produced assets: Ecosystem Assets and

Services are embedded into market values…

Ecosystems assets and services : 3 “values” in 1

Regu

latin

g Recreating

2 - Non produced assets/ non priced services: mostly common goods, which could be traded, but in general they are not properly

valued by market pricesProvisioning

Market value don’t capture the complete ecosystem value: 1 to some extent, 2 imperfectly and 3 very poorly need

of a different currency

Jean-Louis Weber, 19 July 2013

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ECU: a composite currency to measure ecological value

In physical accounts, measurements are made in basic units (tons, joules, m3 or ha) which cannot be aggregated. These measurements have to converted to a special composite currency named ECU for ‘Ecosystem Capability Unit’. 

The price of one physical unit (e.g. 1 ton of biomass) in ECU expresses at the same time the intensity of use of the resource in terms of maximum sustainable yield and the direct and indirect impacts on ecosystem condition (e.g. water contamination or biodiversity loss, inversely ecosystem restoration).

François 1st (1515-1547), Ecu d'or au soleil du Dauphiné, Source : Münzen &

Medaillen Gm

bH (DE)

1 ECU = 1 unit of accessible ecosystem resource

Economic value:  Quantity x Price (in money)Ecological Value:  Quantity x Price-equivalent (in ECU)

Jean-Louis Weber, 19 July 2013

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95 100

107 103

98 100

100 94

94 103

97 93SUM / 3

SUM

SUM

TECch

ange

Indexes of Accessible Carbon/ Biomass

Indexes of Accessible Water

Indexes of Accessible Landscape/ Biodiversity Services

268255

TEC: Total Ecosystem Capability (ECU)

95.7 101.0

101.3 96.7

SUM

SUM / 3

751 433

920 615

Basic resource(e.g. tons of

Carbon/ Biomass)

X =71846 43733

93227 59450

SUM

ECU values per 1 km2 grid-cells

   SU

M

Calculation of Ecological Values in ECU & Total Ecosystem Potential (TEC)

Jean-Louis Weber, 20July 2013

ECU-Prices

Region Ecosystem

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-3752

(TEC t+1) –

(TEC t)

268255

TEC: Total Ecosystem Capability 

(ECU, year t)

95.7 101.0

101.3 96.7

SUM

ECU-Prices year t

751 433

920 615

Basic resource year t   

(e.g. tons of Carbon/ Biomass)

X =71846 43733

93227 59450

SUM

ECU values per 1 km2 grid-

cells, year t

710 433

940 620

93.7 101.0

102.3 93.7

66503 43733

96193 58073264503X =

   SU

M   SU

M

t+1

t

TEC ch

ange

TEC: Total Ecosystem Capability 

(ECU, year t+1)

ECU values per 1 km2 grid-cells, year t+1

ECU-Prices year t+1

Basic rerource year t+1 

(e.g. tons of Carbon/ Biomass)

Change in Total Ecosystem Potential (TEC): ecosystem capital degradation or enhancement

In this case, there is degradationJean-Louis Weber, 20July 2013

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Landscape Ecological Potential change 1990-2006, by ecosystem landscape units

Degradation

National Accounts & Ecosystem Capital Accounts

National Accounts:GDP, Final Demand, 

Balance Sheet

Consumption of ecosystem capital(unpaid costs) & Adjustment of 

Final Demand (Full Price) Restoration

costs

Enhancement

Balance sheet of ecological debts & 

credits in ECU

Total Ecosystem Capital Capability in ECU

Stocks 1990

Change 1990-2006

Ecological sustainability ofValue Added supported by 

ecosystem services

Sustainability coefficients

Jean-Louis Weber, 20July 2013

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Preliminary results of SEEA-ECA in Europe

An experimental framework for ecosystem capital accounting in EuropeEEA Technical report No 13/2011

http://www.eea.europa.eu/publications/an-experimental-framework-for-ecosystem

Land cover accounts for Europe 1990-2000  (26 countries), 2006Updated for year 2006 (34 countries), next update: for year 2012

http://www.eea.europa.eu/publications/eea_report_2006_11

Jean-Louis Weber, 19 July 2013

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The carbon/biomass account

NPP/NEP:satellite images (NDVI) and modeling,accessible bio-C surplus

Uses:agriculture and forestry statistics by regions/countries resampled to 1km2 grid f(land cover, NDVI)

Net Ecosystem Carbon Balance:soil and vegetation (trees, shrubs, grass)

_ =

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The Net Ecosystem Carbon Balance 2000 (provisional results – 5 June 2012)

Tree felling, 1999 Xmas storm

Greenhouses, plastic sheets

Intensive agriculture

Mixed agriculture

Forest

NB: over-estimation of NPP in the South

Jean-Louis Weber, 19 July 2013

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Ecosystem Capital Accounts: Landscape/Biodiversity Capability AccountSpecies/biodiversity change mean indexes, by ecosystem types

Jean-Louis Weber, 19 July 2013Jean-Louis Weber, 19 July 2013

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Forest species biodiversity change index ~ 1990-2006 : Number of species in 1 km x 1 km grid with population increase or stable minus number of species with decrease

Jean-Louis Weber, 19 July 2013

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People access to ecosystem landscape/biodiversity servicesThe map shows population density (red) weighted by the neighbourhood index (5 km) of forests and other natural areas (incl. agriculture mosaics) (green). Large EU metropolis (London, Paris, Milano, Berlin…) have large populations with limited access to green landscapes. Mountain areas have high “green” potential but limited resident population to enjoy it.

Jean-Louis Weber, 19 July 2013

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Thank You !

Jean-Louis WEBER

[email protected]