Millennium Assessment (MA) 2003 Typology of Ecosystem Goods and Services

1. Provisioning • Goods produced or provided by ecosystems • food • fresh water • fuel wood • genetic resources • Regulating • Benefits obtained from regulation of ecosystem processes • climate regulation • disease regulation • flood regulation • Cultural • Non-material benefits from ecosystems • spiritual • recreational • aesthetic • inspirational • educational • Supporting • Services necessary for production of other ecosystem services • Soil formation • Waste Treatment and Nutrient cycling • Primary production Millennium Assessment (MA) 2003 Typology of Ecosystem Goods and Services Adapted from Millennium Ecosystem Assessment Ecosystems and Human Well Being (2003)

3. Ecology of wetlands Structure Cultural Processes Goods Regulating Services Direct Use Provisioning Indirect Use Nonuse Stated preference techniques: e.g. contingent valuation biomass, soils, flora and fauna communities photosynthesis , nutrient cycling, colonization, succession food & fiber products, water supply flood control, groundwater recharge, waste assimilation • climate regulation • disease regulation • flood regulation • spiritual • recreational • aesthetic • educational production functions, hedonics, replacement cost, contingent valuation • food • fresh water • fuel wood • genetic resources productivity loss, hedonics, travel cost, replacement cost, contingent valuation Societal benefits of wetlands Classification of ecosystem (goods and) services Economic valuation of wetlands

4. Ecology of wetlands Provisioning Services Processes Goods Non-monetary Evaluation Direct Use Indirect Use Regulating Nonuse Supporting Structure Cultural flood control, groundwater recharge, waste assimilation • Soil formation biomass, soils, flora and fauna communities photosynthesis , nutrient cycling, colonization, succession food & fiber products, water supply Landscape and socio-economic indicators • food • fresh water • fuel wood • genetic resources Stated preference techniques: e.g. contingent valuation productivity loss, hedonics, travel cost, replacement cost, contingent valuation • spiritual • recreational • aesthetic • educational • climate regulation • disease regulation • flood regulation production functions, hedonics, replacement cost, contingent valuation Societal benefits of wetlands Classification of ecosystem (goods and) services Methods for valuing wetland services

5. Ecology of wetlands Goods Services Processes Non-monetary Evaluation Indirect Use Nonuse Structure Provisioning Regulating Cultural Direct Use Supporting Ecological Indicators productivity loss, hedonics, travel cost, replacement cost, contingent valuation bio-physical equivalence Stated preference techniques: e.g. contingent valuation • Soil formation biomass, soils, flora and fauna communities production functions, hedonics, replacement cost, contingent valuation flood control, groundwater recharge, waste assimilation photosynthesis , nutrient cycling, colonization, succession • climate regulation • disease regulation • flood regulation Landscape and socio-economic indicators • food • fresh water • fuel wood • genetic resources food & fiber products, water supply • spiritual • recreational • aesthetic • educational Societal benefits of wetlands Classification of ecosystem (goods and) services Methods for valuing wetland services

6. Ecology of wetlands Prioritization of wetlands Structure Processes Goods Services Ecosystem Service Indicators Functional Indicators bio-physical equivalence socio-economic equivalence flood control, water purification food & fiber products, water supply photosynthesis, nutrient cycling, colonization biomass, soils, flora and fauna communities Societal benefits of wetlands Crediting and trading of wetlands Methods for valuing wetland services Markets Revealed Preferences Non-monetary Evaluation Stated Preferences

7. Ecology of wetlands Prioritization of wetlands Structure Processes Goods Services Ecosystem Service Indicators Functional Indicators flood control, water purification food & fiber products, water supply soils, flora and fauna communities nutrient cycling, plant colonization socio-economic equivalence bio-physical equivalence Societal benefits of wetlands Crediting & Trading for wetland mitigation Methods for valuing wetland services Markets Revealed Preferences Non-monetary Evaluation Stated Preferences

8. ES Science and Theory Applied Science (Valuation or Prioritization) Policy & Regulations Management Accounting/Crediting Implementation Monitoring

9. ES/B ES B 1 2 3 4 ES ES B B

10. Wetland area remains the same but functional capacity and wetland quality is reduced with increasing human population and stressors. Human population and stressors levels remain the same but wetland area is lost due to conversion to other land uses. High High Wetland Area Area of Wetlands Population Population Marginal Value Total Value Total Value Low Low Marginal Value Threshold Threshold Time Time

11. Land owner/ Local economy Local economies Easy Good Difficult The world Life-sustaining Poor

14. The economic valuation of ecosystem services represent the tradeoffs that individuals make between alternative conditions of these services. Valuation Methods: • Direct Use: Goods traded in the market • Non-Direct Use: Hedonic Pricing, Travel Cost, Replacement Cost • Non-Use: Contingent Valuation Advantages: • Cost-Benefit Analyses • “Greening” National Income Accounts • Natural Resource Damage Assessments

15. Steps in the EcoValue Project Literature review and collection Processing the literature into the database MS Access Database Integrating the literature database with spatial data in a GIS Delivery of the values for ecosystem services via the internet

16. Relationship Between Land Cover and Ecosystem Services

17. Current Issues and Future Directions • Marginal utility • Spatio-temporal context • Spatio-temporal scale • Quality of original studies • Aggregation of economic values • Limited availability of Land Cover change-detection data

18. Supply-side Issues • What was the initial condition and what is the proposed change? • Water Quality and Recreation • Spatial context • Topological elements of a cover type such as area, connectivity, fragmentation, and proportion of the landscape • Ecosystem Dynamics • Threshold of service • Non-linear change

19. Demand-side Issues • Socio-economic factors • Income • Demographics • Ethnicity and other cultural characteristics • Population • Substitutability

20. Scale Issues • Temporal scale • Distribution of the impact of service • Time lags • Spatial scale: • Who are the stakeholders? Who are the appropriate valuers? • Disjunct between human scales of perception and scales at which services operate or generate impacts • “Only a fraction of what exists, is perceived and only a fraction of what is perceived is responded to” (Jedrzejczak, 2004)

21. Thank You! Treg Christopher tchristo@uvm.edu EcoValue Project website: http://ecovalue.uvm.edu Funding: The northern forest module of the EcoValue Project was developed with support from the Northeastern States Research Cooperative.