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I used this presentation during the TBLI Europe 2012 conference in Zurich on 8 November. I argue that investors should start valuing the non-use value of forests! There are 4 examples in the presentation which demonstrate that non-use values might deliver more than exploiting nature! The presentation is divided into 4 parts: introducing PAN Parks and how we define wilderness introducing the concept of economics of wilderness through payment for ecosystem services presenting 4 examples across Europe explaining the sense of urgency to safeguard Europe's last pieces of wilderness Investors! Change your way of thinking and go for wilderness!
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Soomaa NP © Arne Ader
Paanajärvi NP © Viktor
Gritsuk
Zoltan KUN, Executive DirectorPAN Parks Foundation
THE ECONOMICS OF WILDERNESSPayment for Ecosystem Services vs Commercial Forestry
Paanajärvi NP ©Viktor Gritsuk
Who we are
• PAN Parks works to protect Europe’s wilderness, the continent’s most undisturbed areas of nature
• the first European-wide organisation focusing on the protection of wilderness areas
Fulufjallet NP © Vitantonio Dell’Orto
NO extractive use such as:•hunting•fishing•mining•logging•grazing•grass cutting•road and building constructionis allowed in wilderness
How to define wilderness?
Fulufjället NP © Vitantonio Dell’Orto/exuviaphoto.com
Peneda-Geres NP © Marcos Veiga
Archipelago NP © Janne Görling
Archipelago NP © Janne Görling
Borjomi-Kharagauli NP © Konstantin Gabrichidze
Oulanka NP © Kimmo Salminen
Soomaa NP © Arne Ader
Wilderness Quality Index of Europe
• Based on GIS data sets (road density, population density, etc...)
• Management practice is not considered!
The European Wilderness Preservation System
Borjomi-Kharagauli NP © Kote Gabrichidze
The Economics of Wilderness
Why dealing with the economics of wilderness?
• the European Parliament calls on the Commission and Member States to co-operate with local non-governmental organisations to promote the value of wilderness (point 6);
Wilderness is not a priceless heritage for future generations!• Europeans are not valuing wilderness as much as they should!
Oulanka NP ©Michael Hennemann
The Economics of Wilderness
Insert Braat and Ten Brink figure about the inkage between land use and level of ecosystem services
Rila NP © Nicolas Cegalerba
The Economics of Wilderness
Making wilderness areas financially viable means seizing opportunities of emerging markets for ecosystem services• Payments for Ecosystem Services
Archipelago NP © Heidi Arponen
To protect wilderness we need to diversify incomes• payments for carbon offset• payments for water-related and nature disaster mitigation• peatbog restoration • payments for recreational services
The Economics of Wilderness
The Economics of Wilderness
Examples• Economic impact of Finnish National Parks• Wild Nephin managed by Coiltte• The valuation of Tatra, and Slovensky raj• Sveaskog Ecoparks
Oulanka NP ©Hannu Hautala
The Economics of Wilderness
Economic impact of Finnish National Parks through visitation• 85 M EUR / year• 1,100 man-year• visitor related income in Oulanka NP 14,7 M EUR
http://www.metla.fi/julkaisut/workingpapers/2010/mwp149.pdf
Ireland
Mayo
Wild Nephin
Westport
Atlantic Ocean
Location
The Economics of Wilderness
Type of value Low range Mid range High range
Individual use value
€145,000 €225,000 €528,000
Existence & bequest values
€270,000 €450,000 €1,056,000
Option values €225,000 €450,000 €1,056,000
Indirect values
Tourist income
€75,000 €150,000 €225,000
Public Good Values
The Economics of Wilderness
The Economics of Wilderness
Tatra and Slovensky raj National Park• Conclusion: the smaller park with better management practice creates higher value
Reasonale mean value740,327 k EUR / year
No extractive use!
The Economics of Wilderness
Sveaskog’s example• Ecoparks are large connected ecological landscapes• important outdoor pursuits forests, providing many opportunities for different activities• 36 ecoparks planned in Sweden
more information at http://www.sveaskog.se/en/forestry-and-environment/nature-conservation/eco-parks/
Annual land take in Europe between2000-2006 was over 111,000 ha/year
The size equal to Crete was covered by
concrete in 7 years (2000-
2006)
The size equal to Crete was covered by
concrete in 7 years (2000-
2006)
Our goal: 5% of Europe must be
wilderness
Our goal: 5% of Europe must be
wilderness
4% of Europe is covered by
artificial surface in 2006
4% of Europe is covered by
artificial surface in 2006
If increases with the current
trend, we will have 5%
artificial surface by
2017
Archipelago NP © Seppo Keränen
The Million Project
To ensure guaranteed protection of 1 million hectares of wilderness
in Europe by 2015
Majella NP ©MNP
Building partnerships with protected areas
• Making a commitment to resolve a major challenge
• Improving wilderness management in partner protected areas (biodiversity offsets)
• Biz & Biodiversity EU programme
The Economics of Wilderness
Paanajärvi NP ©Viktor Gritsuk
We can protect (and still benefit from) the last pieces of Europe’s wilderness together!
Join us in The Million Project!
PAN Parks works to protect
Europe’s wilderness, the
continent’s most undisturbed
areas of nature
www.panparks.org
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