The Economics of Ecosystems and Biodiversity for Water and Wetlands TEEB for WATER and WETLANDS
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THE ECONOMICS OF ECOSYSTEMS AND BIODIVERSITY FOR WATER AND WETLANDS TEEB FOR WATER AND WETLANDS Paper citation: Russi D., ten Brink P., Farmer A., Badura Rudolf de Groot, Dorethee Herr, Jan Petter Huberth T., Coates D., Förster J., Kumar R. and Davidson N. Hansen, Ian Harrison, Miroslav Honzak, Hiroe Ishihara, (2013) The Economics of Ecosystems and Biodiversity Finn Katerås, Marianne Kettunen, Georgina Langdale, for Water and Wetlands. IEEP, London and Brussels; Karin Lexén, Brian Loo, Sarah Mack, Leonardo Ramsar Secretariat, Gland. Mazza, Michelle Molnar, Andreas Obrecht, Hugh Robertson, Elisabeth Schlaudt, Tone Solhaug, Andrew Authors: Daniela Russi, Patrick ten Brink, Andrew Seidl, Graham Tucker, Heidi Wittmer and the TEEB Farmer and Tomas Badura (Institute for European Coordination Group and Advisory Board. Environmental Policy - IEEP), David Coates (CBD Secretariat), Johannes Förster (UFZ), Ritesh Kumar We are very grateful to the many individuals who (WI) and Nick Davidson (Ramsar Secretariat) submitted case examples, helping to identify a wide range of values and responses to these values from TEEB Water and Wetlands core team: Patrick ten Brink, across the globe. The report also benefited from fruitful Andrew Farmer and Daniela Russi (IEEP), Nicolas discussions in the margins of the United Nations Bertrand (UNEP), David Coates (CBD Secretariat), Conference on Sustainable Development 2012 Nick Davidson & Claudia Fenerol (Ramsar Secretariat), (Rio+20), the eleventh meeting of the Conference of Johannes Förster (UFZ), Ritesh Kumar (Wetlands the Parties to the Ramsar Convention on Wetlands in International), and Mark Smith (IUCN). July 2012, and the eleventh meeting of the Conference of the Parties to the Convention on Biological Diversity Acknowledgements: The development of this (CBD) in October 2012. report has been initiated by the Ramsar Convention Secretariat, with financial support from the Norwegian, Standard disclaimer: The contents and views contained Swiss and Finnish Governments and the International in this report are those of the authors, and do not Union for Conservation of Nature (IUCN). We would necessarily represent those of any of the contributors, like to thank the following for valuable inputs, review reviewers or organisations supporting this work. and suggestions – Maja Stade Aarønæs, Sasha Alexander, Solange Ashu, Edward Barbier, Katrien Van Cover photo: enviromantic. der Biest, James Blignaut, Andrew Bovarnick, Luke Brander, Rebecca Benner, Alejandro Calvache, Ioli Design and layout: 100WATT. Christopoulou, Lucy Emerton, Philine zu Ermgassen, The Institute for European Environmental Policy (IEEP) is an independent not-for-profit institute. Based in London and Brussels, the Institute’s major focus is the development, implementation and evaluation of policies of environmental significance, with a focus both on Europe and the global dimension. www.ieep.eu. The Convention on Wetlands of International Importance, called the Ramsar Convention, is an intergovernmental treaty that provides the framework for national action and inter- national cooperation for the conservation and wise use of wetlands and their resources. Copyright © Institute for European Environmental Policy (IEEP) & Ramsar Secretariat, 2013 TEEB is hosted by the United Nations Environment Programme and supported by the following donors. Website: www.teebweb.org TEEB FOR WATER AND WETLANDS1 FOREWORD The “nexus” between water, food and energy is one account these interconnections and interdependencies of the most fundamental relationships and challenges sufficiently. However, the full value of water and wetlands for society. The importance of this nexus was re- needs to be recognised and integrated into decision- emphasised at the UN Conference on Sustainable making in order to meet our future social, economic Development (Rio+20) in June 2012. The outcome and environmental needs. Using the maintenance and document adopted at Rio+20 “The Future We Want” enhancement of the benefits of water and wetlands noted: “We recognize the key role that ecosystems play is, therefore, a key element in a transition to a green in maintaining water quantity and quality and support economy. actions within respective national boundaries to protect and sustainably manage these ecosystems” UNCSD We thank the Norwegian, Swiss and Finnish (2012, para 122). Wetlands are a fundamental part of Governments for their support of this initiative and local and global water cycles and are at the heart of this welcome this publication, produced by The Ramsar nexus. We also expect wetlands to be key to meeting Convention on Wetlands, the Convention on Biological the Millennium Development Goals (MDGs) and the Diversity (CBD), the Institute for European Environmental future Sustainable Development Goals (SDGs). Policy (IEEP), the International Union for Conservation of Nature (IUCN), the Helmholtz Centre for Environmental Wetlands are essential in providing water-related Research (UFZ) and Wetlands International. It is an ecosystem services, such as clean water for drinking, invaluable reminder of the key role that wetlands, some water for agriculture, cooling water for the energy sector of the most biodiverse regions on our planet, play in our and regulating water quantity (e.g. flood regulation). societies and economies. In conjunction with their role in erosion control and sediment transport, wetlands also contribute to land Anada Tiéga Secretary General, Ramsar Convention formation and therefore resilience to storms. Moreover, on Wetlands they provide a wide range of services that are dependent on water, such as agricultural production, fisheries and Braulio F. de Souza Dias Executive Secretary, tourism. Convention on Biological Diversity Notwithstanding the high value of the ecosystem Pavan Sukhdev Chair of the TEEB Advisory Board services that wetlands provide to humankind, wetlands continue to be degraded or lost due to the effects of intensive agricultural production, irrigation, water extraction for domestic and industrial use, urbanisation, infrastructure and industrial development and pollution. In many cases, policies and decisions do not take into Photo credit: Daniela Russi Photo credit: TEEB FOR WATER AND WETLANDS KEY MESSAGES 1. The “nexus” between water, food and energy is one of the most fundamental relationships - and increasing challenges - for society. 2. Water security is a major and increasing concern in many parts of the world, including both the availability (including extreme events) and quality of water. 3. Global and local water cycle are strongly dependent on wetlands. 4. Without wetlands, the water cycle, carbon cycle and nutrient cycle would be significantly altered, mostly detrimentally. Yet policies and decisions do not sufficiently take into account these interconnections and interdependencies. 5. Wetlands are solutions to water security – they provide multiple ecosystem services supporting water security as well as offering many other benefits and values to society and the economy. 6. Values of both coastal and inland wetland ecosystem services are typically higher than for other ecosystem types. 7. Wetlands provide natural infrastructure that can help meet a range of policy objectives. Beyond water availability and quality, they are invaluable in supporting climate change mitigation and adaption, support health as well as livelihoods, local development and poverty eradication. 8. Maintaining and restoring wetlands in many cases also lead to cost savings when compared to man- made infrastructure solutions. 9. Despite their values and despite the potential policy synergies, wetlands have been, and continue to be, lost or degraded. This leads to biodiversity loss - as wetlands are some of the most biodiverse areas in the world, providing essential habitats for many species - and a loss of ecosystem services. 10. Wetland loss can lead to significant losses of human wellbeing, and have negative economic impacts on communities, countries and business, for example through exacerbating water security problems. 11. Wetlands and water-related ecosystem services need to become an integral part of water management in order to make the transition to a resource efficient, sustainable economy. 12. Action at all levels and by all stakeholders is needed if the opportunities and benefits of working with water and wetlands are to be fully realised and the consequences of continuing wetland loss appreciated and acted upon. TEEB FOR WATER AND WETLANDS1 TABLE OF CONTENTS 1. INTRODUCTION ............................................................................................................................................. 01 2. THE IMPORTANCE OF WATER AND WETLANDS ....................................................................................... 05 2.1. The water cycle and wetlands .................................................................................................................. 05 2.2. The values of water and wetlands ............................................................................................................ 07 2.3. Status and trends of water and wetlands ................................................................................................. 14 2.4. The economic benefits of restoring degraded wetlands .......................................................................... 16 3. IMPROVING MEASUREMENT AND ASSESSMENT FOR BETTER GOVERNANCE .................................. 19 3.1. Introduction ..............................................................................................................................................