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Beyond the Edge: Australia's First National Peri-urban Conference La Trobe University October 2013
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Future Proofing Peri-urban Agriculture: Methods to Quantify and Value Ecosystem Services
Dr Harpinder Sandhu
School of the Environment, Flinders University of South Australia
Beyond the Edge: Australia's First Peri-Urban Conference, October 1, 2013
Key global issues
• Population increasing
• Food demand will double by 2050
• Loss of biodiversity and ecosystem services
• Climatic variability and change
Ecosystem Services
• Nature’s services –
Gretchen Daily, 1997
• Nature article by
Costanza et al. (1997)
US $ 33,000,000,000,000 p.a.
Gross global production:
US $ 18,000,000,000,000 p.a.
Trends of Natural Capital and Ecosystem Services
Agriculture poses risks to Ecosystems
1900 2000 2050 1950 2020
0.5
0.74
1.5
1.66
1.89
3
20
87
135
236
3.75
6.55
10.1
Drivers of Ecosystem Change
The largest industry on the planet
1.3 billion people, $4 trillion in global GDP (6 %)
• 3-4% to the national GDP
• 60% of total area
• 65% of natural resources
• Need to incorporate ES into decision making
How do we turn things around?
Sandhu et al. 2010 Env Sc Policy, Sandhu et al. 2012 Ecol. Econ., Sandhu et al. 2013
Ecosystem Services in Agricultural Landscapes
August 2010
Relevance of ES to different agricultural industries
Low relevance
Medium relevance
High relevance
Sandhu et al. 2012 Ecol. Econ.
Monetary value of Ecosystem Services
Inventory and characterize targeted goods and services
Primary Economic
Studies
Value Transfer
Market Values
(i.e., water markets)
Apply values to Site
Depict and interpret results
Canterbury and Surrounding Region
Value of Ecosystem Services ($ ha-1 per year):
Where A(LUi) = Area of land use/cover type (i)
and V(ESki) = Annual value per unit area for ecosystem service type (k)
generated by land use/cover type (i).
Ecosystem Service Value Calculation
n
k
kiii ESVLUAESV1
)()()(
Economic value from field experimentation
Economic value in $ ha-1
yr-1
Ecosystem services Organic fields Conventional fields
1 Biological control of Pests 50 0
2 Mineralization of plant nutrients 260 142
3 Soil formation 6 5
4 Food 3990 3220
5 Raw materials 22 38
6 Carbon accumulation 22 20
7 Nitrogen fixation 40 43
8 Soil fertility 68 66
9 Hydrological flow 107 54
10 Aesthetic 21 21
11 Pollination 62 64
12 Shelterbelts 880 200
Total economic value of ES 4600 3680
Non-market value of ES 1480 670
Table 1 - Summary of mean economic value of ecosystem services in organic and
conventional fields.
Sandhu et al. 2008 Ecological Economics
Example Results: GIS Mapping by Parcel
Putting it all together
Valuation
Database
ArcIMS®
System
User
Data Input
Project Website
and
Economic Analysis
Server
Project Team
Sharepoint
Collaboration
Web-based Map Server: Farm Parcels and Field
Research
http://ecovalue.uvm.edu/evp/modules/nz
Legend
Conventional agriculture
Non-market ES ($US)
0
1 - 100,000
100,001 - 200,000
200,001 - 400,000
400,001 - 600,000
600,001 - 800,000
800,001 - 1,000,000
1,000,001 - 2,000,000
2,000,001 - 3,000,000
3,000,001 - 4,200,000
GIS map showing total economic value of ES for arable
land in Canterbury based on conventional farming
Sandhu et al. 2008 Ecological Economics
Application of ES concept in
peri-urban areas
• To generate better social, environmental and economic
outcomes from peri-urban areas
(integrate land–use planning and NRM planning)
• To guide decision support system
(incorporate ES into planning and decision-making relating
to resource allocation in peri-urban development)
Decision making in peri-urban areas
Indirect drivers of
ecosystem change
Economic
Social
Political
Cultural
Direct drivers of
ecosystem change
Natural
Biological
Land use
change
Ecosystem Services
Provisioning services
(food, water, wine )
Regulating services
(clean air, water)
Cultural services
(recreation, aesthetics)
Supporting services
(nutrient cycling, soil
health, pollination)
Urban and Peri-Urban Areas
Habitat
Personal safety
Social cohesion
Freedom of choice
Health
Education
Governance
Economic opportunities
impacts
dependenc
e
Decision Making
Policy Options
Management
Options
