Kein Folientitel

1
Valuation of Ecosystem Services An Integrated
Hydrological and Economic Model to Value the
Enhanced Nitrogen Retention in Renaturated
Streams
Ingo Bräuer Rainer Marggraf
Institute of Agricultural Economics University of
Göttingen
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Contents

• Introduction
• The Replacement Cost Method (RCM)
• General Idea and Problems at Application
• Chemical Processes in the River
• Modelling Changes in the Nitrogen Retention
• Valuation of the Nitrogen-Retention
• Practical Problems using the RCM

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Aims

1. Development of a user-friendly procedure to
   evaluate the ecosystem function N-retention to
   promote the use of RCM
2. Discussion of the choice of technical substitutes

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The Replacement Cost Method
Valuation by comparison of an ecological function
and a corresponding technical substitute
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Replacement Cost Method Valuation Procedure
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Replacement Cost Method Valuation Procedure
1. Quantification of the ecosystem function
Quantity
X
2. Determination of the technical substitute and
its marginal costs
Price

Value
3. Economic benefits of the ecosystem service
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Study Area
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Investigated River
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Non-point N-Imission
point N-Imission
Problem
River System
Influence of Beavers on the Structure of the River
River
Floodplain
Floodplain
Denitrification-Processes
1
Models
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Diffuse N-Imission
punktuelle N-Imission
Problem
River System Jossa
Influence of Beavers on the Structure of the River
River
Floodplain
Floodplain
Hydraulic Load 15
Denitrification-Processes
15.500 m²
Increase in flooded area
1
Models
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Valuation Procedure
1. Quantification
Quantity
Spessart 4.700 kgN/a
X
Price

Value
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Valuation Procedure (RCM)
1. Quantification of the ecosystem function
Quantity
X
2. Determination of the technical substitute and
its marginal costs
Price

Value
3. Determination of the economic benefits
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Replacement Costs
Price
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Valuation Procedure (RCM)
2. Replacement Costs
Quantity
Avoidance of N-Emissions
X
Price
2,5 /kgN

Value
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Valuation Procedure (RCM)
3.Economic Value
Quantity
X
Price

Value
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Reference-Scenario
1. Drinking Water
2. Sewage Plant
3. Agricul. Pol.
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7,5
2,5
260.000 /a
36.000 /a
12.000 /a
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Summary

• An estimation of economic values is possible
• The results depend highly on the reference
  scenario
• A transparent procedure is essential to assess
  the quality of the results

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Replacement Cost Method
Total Econ. Value
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The investigated Program

• When 1987 Reintroduction of 18 Beavers
• Where Spessart (n-w) Jossa und Sinn
• What Program included Purchase of Land and
  Habitat-Develpoment
• 2001 Population of ca. 180 Ind. in
  severeal River systems (u.a. Kinzig)

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Total Economic Value (TEV)
TEV
Use Values
Non-Use Values
Direct UV
Indirect UV
Option Value
Bequest V.
Existence V.
Habitat
Habitat
Ecosystem
Recreation
genetic Resources
Functions
Species
Species
Species Obs.