1. The role and contributions of mountain Forests and related ecosystem services to Kenya economy
Presented By
Samuel Muriithi
HEAD OF ECONOMICS AND PLANNING:
KENYA FOREST SERVICE

2. Presentation structure
Background of preparation of Forest Resource account in Kenya
Results of Preliminary FRA
Results of the study on role and contribution of mountain forests and related ecosystem services to the economy
Policy recommendations
Way forward 2

3. Forest Resources in Kenya
Natural Forests ,190,000 Ha
Mangroves ,000Ha
Industrial Plantations ,000Ha
Private Forest Plantations ,000Ha
Woodlands ,050,000Ha
Bushlands ,510,000Ha
Farmlands with trees ,385,000Ha

4. Forest resources in kenya
Drylands
Forest Plantations
Farm Forests
Natural Forests

5. The problem.
The contribution of Forests to the economy is under-reported in the national statistics because of omission of the following information
The value addition to forest products through manufacturing.
The provision of wood and non-wood forest products to subsistence economy
The supply of ecosystem services

6. Preparation of forest resource account.
In 2009 Kenya Forest Service formed a Forest mainstreaming Initiative.
Partners involved include:
The Kenya Forest Service;
Kenya Bureau of Statistics;
Ministries of Water, Energy, Agriculture, Livestock. DRSRS, KEFRI, KIPPRA, etc.
Miti Mingi Maisha Bora (Finland);
FAO, UNEP

7. Kenya Forest Resource account
The objective of FMI is to prepare Kenya Forest Resource Account(FRA)
To enhance understanding of the role forests in economic development of Kenya.
The FRA captures full value of the forestry sector and provide evidence on whether the forest resource is utilised sustainably
The FRA present the tread of forest assets (area, volume),monetary value and contribution to the economy over time

8. Forest resource account
Area (Ha)
Volume (m3)
Value (KSH)
Opening stock
Additions
Revisions
Growth
Regeneration
Afforestation
Reductions
Production
Deforestation
Degradation
Net Change
Closing stock

9. Results from the preliminary forest resource account.
Forests contribute 3.5 of the GDP which more than what is reported in the national statistics
The preliminary FRA did not include the contribution of the forest ecosystem services to the economy.
There was need to carryout a study to quantify the contribution of ecosystem services to the economy

10. THE STUDY OF THE ROLE AND CONTRIBUTION OF MOUNTAIN FORESTS AND RELATED ECOSYSTEM SERVICES TO THE KENYA ECONOMY

11. THE FIVE water towers

12. Kenya’s water towers and their ecosystem services in the
Regulating services of five water towers
Economic sectors that benefit indirectry
Local climate regulation
Agriculture
Water regulation
Forestry
Erosion regulation
Fishing
Water purification and waste treatment
Electricity
Natural hazard regulation
Water services
Disease regulation
Public adiministration
Tourism
Households

13. Key findings
THE STUDY OF THE ROLE AND CONTRIBUTION OF MOUNTAIN FORESTS AND RELATED ECOSYSTEM SERVICES TO THE KENYA ECONOMY Deforestation in the water tower in was 28,427 HA at an average rate of 2,762 ha per year

14. the effect of deforestation on irrigation
Deforestation at a rate of 2,762 ha per year between 2000 and 2010 reduced the available water by 62 million m3 per year by 2010
Resulted to foregone opportunity to cultivate 5,287 ha of irrigation agriculture
Irrigation sector loss in 2010 is estimated at KSH billion

15. The effects of deforestation on inland fisheries
Deforestation in the upper catchment of Lake Victoria has led to high nutrient loads in the lake. Using bio-economic model, this report estimate the effect of deforestation on inland fish catch.
Fish catch was reduced by 690 tons or Ksh 86 million in 2010

16. the effect of deforestation on irrigation
Deforestation at a rate of 2,762 Ha between reduced
Water by 62 million cubic meters by 2010.Thus lost opportunity to
Cultivate 5,287 Ha of irrigation agriculture. This translate to loss
Ksh 1,499 million of agricultural output

17. The effects of deforestation on inland fisheries
As a result of elevated levels of sediments attributed to deforestation, fish catch was reduced by 690 tons or Ksh 86 million

18. Effects of deforestation on hydropower generation
Kenya generated 6,976 million of which
46% was hydro-power. Reduction of electricity attributed to reduction in water yield was estimated at KSH 8 million

19. The effects of deforestation on water services.
The cost of water treatment by Government water schemes increased because of pollution due to deforestation. This increased the cost of water treatment by Ksh 192 million or 0.55% in 2010

20. EFFECTS OF DEFORESTATION ON WATER REGULATION AND EROSION REGULATION
Deforestation in water towers during
produced cumulative sediment load of 1.99 billion
tons. Assuming all sediments were deposited in reservoirs and dams loss of water storage capacity exceeded 1 million m3

21. Effect of deforestation on carbon sequestration
Montane forests acts as carbon storage were storage varies from tons per Ha.
At carbon value of US$ 6/ton and assuming an average storage value of 205 ton per Ha, this implies potential carbon value lost to deforestation in 2010 was Ksh 511 million.

22. Effects of deforestation on public health
Deforestation can change micro climate of an area resulting in an increase in vector- borne diseases. Deforestation resulted in small increase in temperature and change in vector capacity of mosquitoes, increasing risk of contacting malaria in areas previously malaria free or low risk.
Incidence of malaria due to deforestation is estimated to have cost Ksh 237 million in health costs to the Government and losses in labour productivity.

23. findings cont.
The one-off benefit of deforestation through timber and fuelwood sales is Ksh 272,000/ha
The total effects of regulating services lost is estimated to be a loss of Ksh 763,283/ha
The loss outweighed benefits from logging by 2.8 times.
The cost of effects of deforestation is experienced in the subsequent years
In 2010, the cumulative negative effects of deforestation to the economy through reduction in regulating services was billion/year

24. Sediment yields from Nyando basin
Source: ICRAF

25. Policy recommendations
Incorporate the economics around forest management
Put in place a fully functioning forest resource account
Stronger regulation of forest use
Encouraging investment in the forestry sector
Address the growing trend of dependence on imports of forest products

26. Policy recommendations
Regeneration after harvest and an increased forest plantation growth in the long term
Better coordination of regulating institutions, producers and consumers of forest products
Mainstreaming the use of economic instruments and incentives such as payment for ecosystem services, trading and insurance schemes

27. Way forward
In December 2012, Kenya will be fitted with its FRA at K.N.B.S. The FRA captures full value of the forestry sector and provide evidence on sustainable use of forest resources

28. THANK YOU