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ECOSYSTEM ACCOUNTS for CHINA Report of the NCAVES Project Citation and Reproduction ECOSYSTEM ACCOUNTS FOR CHINA Report of the NCAVES Project Citation and reproduction NBS China 2021. Ecosystem Accounts for China. Results of the NCAVES Project. Cover images: Sergio Capuzzimati and Tom Rickhuss Disclaimer The views, thoughts and opinions expressed in the text are not necessarily those of the United Nations or European Union or other agencies involved. The designations employed and the presentation of material including on any map in this work do not imply the expression of any opinion whatsoever on the part of the United Nations or European Union concerning the legal status of any country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers or boundaries. CONTENTS Preface and Acknowledgements .............................................................................. 5 Acronyms ....................................................................................................................... 6 Annotated Outline ......................................................................................................... 8 Section 1 : Introduction ...................................................................................... 9 1.1 Context .................................................................................................................... 9 1.1.1 The importance of SEEA in a policy context .............................................9 1.1.2 Country context .......................................................................................... 10 1.2 NCAVES project .................................................................................................... 12 1.2.1 Global Workstreams ................................................................................... 12 1.2.2 Project set-up in China ............................................................................... 12 1.3 The SEEA EA ........................................................................................................ 13 1.3.1 Conceptual approach .................................................................................14 Section 2:Ecosystem Accounts in Guangxi .....................................................16 2.1 Overview of the current Guangxi natural capital accounting ...................... 16 2.1.1 Compilation of Guangxi natural resources balance sheets ................ 16 2.1.2 Valuation of Guangxi’s ecosystem services .......................................... 16 2.1.3 Pilot work of Guangxi NCAVES project ................................................... 17 2.2 Introduction to pilot work of Guangxi .............................................................. 17 2.2.1 Main objectives of pilot work .................................................................... 17 2.2.2 Results achieved ......................................................................................... 18 2.3 Overview of the Guidelines for the Pilot .......................................................... 18 2.4 Results of the accounts compliation ............................................................... 21 2.4.1 Asset accounts for natural resources .....................................................21 2.4.2 Ecosystem asset accounts .......................................................................27 2.4.3 Ecosystem service accounts ....................................................................30 2.5 Main conclusion ................................................................................................... 37 2.5.1 Main challenges ..........................................................................................37 2.5.2 Next steps in Guangxi ................................................................................38 Section 3: Ecosystem Accounts in Guizhou ................................................... 39 3.1 Short overview ...................................................................................................... 39 3.2 Results of the account compliation .................................................................44 3.2.1 Ecosystem extent account ........................................................................44 3.2.2 Ecosystem condition account ..................................................................45 3.2.3 Ecosystem services account ....................................................................45 3.2.4 Valuation of ecosystem regulating services ..........................................46 3.2.5 Vaulation of ecosystem cultural services ..............................................53 3.2.6 Aggregated results ......................................................................................54 3.3 Conclusions ...........................................................................................................55 3.3.1 Innovative use of models to measure the value of ecosystems ....... 55 3.3.2 Limiation of the study and future outlook ............................................. 55 Section 4: Natual Resource Balance Sheet .................................................... 56 4.1 Valuation study .................................................................................................... 56 4.1.1 Research content .............................................................................................56 4.2 Principles of valutaion of natural resources .................................................. 56 4.3 Valuation methods ............................................................................................ 57 4.4 Future outlook .......................................................................................................60 Section 5: Linking SEEA and GEP ....................................................................61 5.1 Ecosystem services assessment and GEP .................................................... 61 5.2 Overview of GEP in China ................................................................................... 62 5.3 Guidelines in SEEA and GEP .............................................................................. 63 5.4 Future outlook ......................................................................................................64 Section 6: Scenario Analysis ........................................................................... 65 6.1 Context and policy question to answer ........................................................... 65 6.2 Approach ............................................................................................................... 67 6.3 Results ................................................................................................................... 68 6.3.1 Results for the scenario analysis using SEEA EA .................................68 6.3.2 Ecosystem service-based ecological compensation standards .......72 6.4 Discussion .............................................................................................................75 Section 7: Policy Applications of NCA in China ............................................. 76 7.1 Policy context ....................................................................................................... 76 7.2 Government performance assessment .......................................................... 76 7.3 Planning and zoning ............................................................................................ 77 7.3.1 Building Key Ecological Function Zones (KEFZs) ................................. 77 7.3.2 Ecological redlines ......................................................................................79 7.3.3 Proposing national parks ...........................................................................79 7.3.4 Discussion ....................................................................................................80 7.4 Ecological transfer payments and eco-compensation policies ..................81 7.4.1 Ecological transfer payments ...................................................................81 7.4.2 Other eco-compensation policies ............................................................82 7.4.3 Creating ecological restoration and engineering ..................................82 7.4.4 Discussion ....................................................................................................83 7.5 Summary and Future Outlook ...........................................................................84 Section 8: References ...................................................................................... 86 Section 9: Technical Annex 1 .......................................................................... 88 Section 10: Technical Annex 2 .......................................................................129 PREFACE and ACKNOWLEDGMENTS This report is presented by the National Bureau of Statistics of China and which is also the lead implementing partner for the Natural Capital Accounting and Valuation of Ecosystem Services (NCAVES) in China. Acknowledgements go to the European Union for funding the NCAVES Project and to the Delegation of the European Union to China for supporting the project implementation. Acknowledgements also go to the United Nations Statistics Division (UNSD) and United Nations Environment Programme (UNEP) for leading the NCAVES project globally and supporting its management and implementation in China. The Statistical Bureau of Guangxi Zhang Autonomous Region and Guizhou Bureau of Statistics are acknowledged for their
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