The Next Generation of Ecosystem Market Tools

by Doug Parsons, Florida Fish and Wildlife Commission

Defenders of Wildlife has been a leader in developing effective and innovative ecosystem service tools, as their recent work attests. Defenders can also take the lead in identifying the next generation of ecosystem service market tools–those which can quantify the value of ecosystem services by adaptation in the face of climate change.

In Florida, the greatest threat from climate change is likely to be sea level rise. Currently, we can look at existing habitats and quantify their economic value in regard to their ability to maintain clean water or clean air, but what value, if any, do they have in a changing climate? A particularly healthy ecosystem might have had X value in regards to how it provided clean water, but can we find additional value for this same land based on its adaptation functions? For example, if maintaining healthy and resilient terrestrial systems helps with northern species migration that is expected to occur with higher temperatures, do these lands now have new economic values based on these new climate response functions? In 2004, mangrove systems famously played a role in mitigating the impact of the tsunami in Southeast Asia. These same systems in Florida could help play a role in mitigating the impacts of sea level rise. Can we put a dollar value on this ‘adaptation value’? I think we can. Florida Fish and Wildlife Commission is considering funding a State Wildlife Grant project to look at how people value ecosystem services in respect to sea level rise. We hope these kinds of projects will help set the stage for developing new economic tools that will provide financial incentives to landowners to help maintain resilient ecosystems in the face of climate change.

I’m optimistic we can develop more sophisticated ways to define ecosystem services, including valuing adaptation functions, which in turn could be powerful tools in preserving natural systems. Although this is new territory for all of us, investing in adaptation today will be cheaper than trying to restore or maintain healthy ecosystems decades from now. We already invest billions of dollars in programs like the Conservation Reserve Program, why not create an Adaptation Reserve Program? In the coming years, carbon markets offer a huge opportunity for adaptation funding. The emphasis on carbon mitigation will hopefully shift, at least partly, toward adaptation funding. Governments and businesses will recognize that a certain amount of warming is going to occur, so now is the time to identify new sources of adaptation funding.

Defenders of Wildlife and CleanWater Services teamed up with the northwest and national associations of zoos and aquariums and Three Rivers Land Conservancy to launch the first project of the Marketplace for Nature. The project is Bronson Creek, a charming little forested site with a creek, nestled in between densely developed subdivisions and a large regional park outside of Portland, Oregon. The site is privately owned, but some riparian restoration has been done by Clean Water Services to help reduce water temperature. A conservation easement on the property is held by Three Rivers Land Conservancy. Attendees at the national conference of zoos and aquariums were offered the option of helping to ‘offset” the ecological footprint of the conference by contributing to the restoration of Bronson Creek. The site provides several ecosystem services including carbon sequestration, water quality, and wildlife habitat. Over 20 percent of the registrants contributed, raised about $2300, and offset about 15 percent of the carbon emissions associated with travel to the conference. The Registry will soon have a special Marketplace for Nature portal for projects that have ecosystem service credits for sale. In the meantime, check out the Bronson Creek project. Next year, the zoo and aquarium conference will be in Houston, Texas where sponsors will try to increase the level of participation in the program to outclass Oregon.

Cheers, Sara