Ministry of Environment and Physical Planning Republic of Macedonia Breaking new grounds in conservation in the Republic of Macedonia: The economic case for long-term protection of the Ezerani Nature Park Integrated Ecosystem Management in the Prespa Lake Basin Breaking new grounds in conservation in the Republic of Macedonia: The economic case for long-term protection of the Ezerani Nature Park Marta Ceroni, PhD ABOUT THIS PUBLICATION: This publication was produced with technical support from the United Nations Development Programme (UNDP), within the Integrated Ecosystem Management in the Prespa Lakes Basin project. This report was prepared by Marta Ceroni, PhD, Director, Sustainable Economies Program, Donella Meadows Institute. The Integrated Ecosystem Management in the Prespa Lakes Basin project is implemented by UNDP with financial support from the Global Environment Facility (GEF). Its overall objective is to help the region’s people with long term economic and social development, conserve the rich biodiversity and protect the waters of the Prespa Lakes Basin. ABOUT THE GEF: The Global Environment Facility unites 182 member governments - in partnership with international institutions, nongovernmental organizations, and the private sector - to address global environmental issues. As an independent financial organization, the GEF provides grants to developing countries and countries with economies in transition for projects related to biodiversity, climate change, international waters, land degradation, the ozone layer, and persistent organic pollutants. These projects benefit the global environment, linking local, national, and global environmental challenges and promoting sustainable livelihoods. ABOUT UNDP: UNDP partners with people at all levels of society to help build nations that can withstand crisis, and drive and sustain the kind of growth that improves the quality of life for everyone. On the ground in 177 countries and territories, we offer global perspective and local insight to help empower lives and build resilient nations. Disclaimer: The opinions and standpoints expressed in this publication are those of the authors and do not necessarily reflect the official position of UNDP or the GEF. Table of Contents Executive Summary...............................................................................................................................................................................................................................................................................................................................4 1 Introduction..........................................................................................................................................................................................................................................................................................................................................................8 2 Goals of the Study...........................................................................................................................................................................................................................................................................................................................11 3 Goals and Structure of The Report........................................................................................................................................................................................................................................................12 4 Ecosystem Services and Conservation.....................................................................................................................................................................................................................................13 5 Why We Need Economic Valuations.....................................................................................................................................................................................................................................................14 6 How Economic Valuations are Done.............................................................................................................................................................................................................................................15 7 Environmental Conditions at Ezerani Nature Park........................................................................................................................................................................................17 8 Total Economic Valuation: Introduction.........................................................................................................................................................................................................................................19 8.1 Values of Ecosystem Goods and Services of ENP in its Present State .........................................................................................................19 8.1.1 Direct Values............................................................................................................................................................................................................................................................................................................................................21 8.1.2 Indirect Use Values...............................................................................................................................................................................................................................................................................................................21 8.1.3 Option Values...................................................................................................................................................................................................................................................................................................................................22 8.1.4 Existence Values........................................................................................................................................................................................................................................................................................................................22 !"#$%&'('$)*+$,-*-.('$&/$01&2&341)2$5-'(&6)(4&*""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""#7 8.2.1 Restoration of the Former Fish Ponds...................................................................................................................................................................................................................................23 8.2.2 Restoration Options According to Various Sources.........................................................................................................................................................................24 !"#"7$8922:%&'($8922:,-*-.($;*)2<'4'$&/$5-'(&6)(4&*""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""#= !"7$0>-1(4?-$%&*'-6?)(4&*$@-6'9'$,9'4*-'':;':A'9)2$B1-*)64&"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""#C 9 Total Economic Valuation: Assessment....................................................................................................................................................................................................................................28 9.1 Values of Ecosystem Goods and Services of ENP in its Present State.......................................................................................................28 9.1.1 Lake Prespa Fishery..........................................................................................................................................................................................................................................................................................................28 9.1.2 Hunting...........................................................................................................................................................................................................................................................................................................................................................36 9.1.3 Hay Production............................................................................................................................................................................................................................................................................................................................37 9.1.4 Reed Collection..........................................................................................................................................................................................................................................................................................................................38 9.1.5 Sand Extraction..........................................................................................................................................................................................................................................................................................................................39