1. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI The Implementation of Integrated Land and Ecosystem Accounts in Europe Assets and Services Jean-Louis Weber EEA jean-louis.weber@eea.europa.eu

2. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Why accounting for ecosystems is important? Key policy issues –Biodiversity conservation –Sustainable use of living/ cycling resource (natural and managed systems) and land –Adaptability to climate change –Cost of inaction Recent developments & research: –SEEA2003 –Millennium Ecosystem Assessment: Natural Assets and Human Well-being ecosystem services: provisioning (goods), regulating, support, cultural –IUCN / VALUE project (Counting ecosystems as water infrastructure…) –Ecological economics in general (ISEE…) –GEOSS – Global Earth Observation System of System –Europe's project of Ecosystem Assessment 2012 (Eureca!) –G8-German Stern-like assessment of costs of non-conservation of biodiversity –National ecosystem assessments, accounts (France, UK, India…) –and more...(Ecological Footprint, HANPP...)

3. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI SEEA: expansion of the System of National Accounts (UN1993) in order to include more environmental aspects RM HASSAN - UN The System of Environmental and Economic Accounting (UN 2003) - RANESA Workshop June 12-16, 2005 Maputo

4. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Accounting for Ecosystems Land use accounts and Ecosystem accounts Land use accounts and Ecosystem accounts The story so far…. The next steps….

5. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Accounting for ecosystems: Conceptual Model Spatial analysis DP S IR Driving forces (production, consumption) Pressures State of environment Impacts of state on society, economy and ecosystems Responses Causation FrameworkIndicators&Aggregates

6. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Economic system and ecosystem EGS GDP Economic assets Ecosystem assets GDP: Gross domestic Product EGS: Ecosystem Goods and Services Intermediate use of EGS Final use of non-market EGS

7. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Inclusive Domestic Product Final EGS IDP GDP Final use of non-market EGS Inclusive Domestic Product GDP: Gross domestic Product EGS: Ecosystem Goods and Services IDP: Inclusive Domestic Product

8. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI GDP: Gross domestic Product EGS: Ecosystem Goods and Services IDP: Inclusive Domestic Product LEP: Land Ecological Potential : Monetary units : Physical units EGS IDP GDP Economic assets Ecosystem assets Intermediate use of EGS Final use of non-market EGS & Physical and monetary assessments LEP

9. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Renewable resource (goods & services) from ecosystems Ecoproduct (of cycling and reproductive systems/ capital) are produced by means of other ecoproducts. The ecosystem production function includes a surplus ecoproduct that can be used by the economy. (from Anthony Friend 2004) Sources: Kling/U Michigan_2005 & Friend/ISEE_2004 Economy Basic eco- product Non-basic eco- product Input necessary for ecosystem reproduction (conservation of ecosystem health, integrity, functions & services) Surplus available for harvesting/extraction

10. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Depletion/ degradation of ecosystem goods & services and ecosystem assets Basic eco- product Non-basic eco- product Input necessary for ecosystem reproduction (conservation of ecosystem health, integrity, functions & services) Sources: Kling/U Michigan_2005 & Friend/ISEE_2004 Economy Possible compensation = artificial input (irrigation, energy, nutrients, infrastructures…) Trade-off = increased yields against losses of natural functions and biodiversity Surplus available for harvesting/extraction Non-sustainable harvesting/extraction

11. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Sustainable intermediate use of EGS Non-Sustainable intermediate use of EGS Economic assets Ecosystem assets EGS IDP GDP Final use of non-market EGS Sustainable and non sustainable economic use LEP GDP: Gross domestic Product EGS: Ecosystem Goods and Services IDP: Inclusive Domestic Product LEP: Land Ecological Potential

12. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Causation: DPSIR within the ecosystem accounting framework: e.g. Wetlands *

13. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI CORE LAND COVER ACCOUNT Soil Flora & Fauna Water system Atmosphere/ Climate Land use economic & social functions Artificiality of land Intensity of use LAND & ECOSYSTEM ACCOUNTS Ecosystem services Ecosystem potentials Integrity, health & viability Vulnerability Production & Consumption Natural Assets Population Infrastructures & Technologies Spatial analysis

14. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Spatial analysis: Land cover accounts CORINE Land Cover 1990 and 2000 Enables us to map stock and change… … and to construct stock and flow accounts …and to report them using a range of different geographical frameworks

15. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Data infrastructure of land cover accounts Smallest mapping unit for stock 25ha Change mapped at 5ha Smallest mapping unit for stock 25ha Change mapped at 5ha

16. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI The approach used to generate the LEAC record for stock

17. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI From changes to flows LCF3 LCF1 LCF2 LCF5 LCF4 LCF7 LCF6 LCF8 Change Matrix (44x43=1932 possible changes) summarized into flows LCF9 1990 2000

18. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Scales: individual ecosystems v.s. geo-statistical monitoring/ accounting WETLANDS 1990 OF N-W EUROPE EEA/ETCTE (courtesy Danube Delta National Institute)

19. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Stocks/ flows Assets & Values Goods & Services System Interactions, resilience Ecosystem Accounting Framework

20. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Ecosystem Accounting Framework Stocks & flows –Spatial systems: land cover (units, zones, landscape types) river reaches, rivers, catchments coastal systems –Biomass, Productivity (NPP/NEP), Carbon Storage –Nutrients (N,P) –Water –Species –Other… System interactions Goods & Services Assets & Values Basic ecosystem stock accounts

21. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI LEAC There is a growing demand for spatially explicit indicators for to support policies for –nature, –regional development, –agriculture, –transport, –coastal management …

22. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Land Accounts and Sustainability Do gains compensate for losses? Loss of stock e.g. by deforestation Gain in stock e.g. by afforestation Has the quality of the stock been maintained?

23. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Mapping flows: urban sprawl, by grid

24. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Land cover: Small Landscape Units Accounts Distribution of SLU by land use Expert meeting on Land Use and Ecosystem accounting, 18-19 May 2006, EEA within grassland within arable land between arable & grassland

25. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Biomass & NPP Anomalies, distress symptom Direct Material Consumption – Total Material Requirement (Material Flows Accounts) HANPP Supporting service

26. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Example of indicator based on NPP

27. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Example of indicator based on NPP

28. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI HANPP OUR CHANGING PLANET The U.S. Climate Change Science Program for Fiscal Year 2006

29. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Example of asset account for Biomass/C (draft)

30. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Example of resource use and supply account (draft)

31. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Ecosystem Accounting Framework Stocks & flows System interactions, integrity & health –Spatial interactions (ecotones, distributions, composition / scales) –Components interactions Spatial & temporal interactions (water stress, species dynamics…) Bio-chemical-physical cycles –Human interactions Re-structuring, over-harvesting/over- extraction, deposition of residuals and force-feeding, introduction of species – use of land and the natural capital –Health – Ecosystem Distress Syndrome Goods & Services Assets & Values Functioning, health, resilience

32. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Ecosystem health: counts of diversity/integrity Specific diagnosis From selection of markers and threshold values according to habitat types, region, context 1.Homeostasis state (no alteration foreseen). 2.Resilience state (the disturbance that ecosystems are still able to absorb or compensate, keeping the same functions, identity and feedbacks (Walker, 2005). 3.Reversible process without compensation (degradation). 4.Irreversible change (death). Ecosystem Distress Syndrome model: –Disruptions of nutrients cycling (loss or excess) –Degradation of substrates (fragmentation, water stress, chemical stress) –Change in species composition (invasive…) –Dependence of systems from artificial input (energy, water, subsidies …) –Capacity of supporting healthy communities Focussed research of stressors –overharvesting, overuse –land/rivers restructuring –deposition of residuals –introduction of species Physical wealth as stocks*coefficients (potential, resilience) Source: David J. Rapport

33. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Ecosystem accounting framework Stocks & flows System interactions Ecosystem Goods & Services –Ecosystem input to production (intermediate consumption or indirect use) –Final services to population (non- market, collective or individual) –Land use functions Values Sustainability assessment

34. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Ecosystem services Ref to Millennium Ecosystem Assessment: http://www.maweb.org/en/index.aspx http://www.greenfacts.org/ecosystems/index.htm

35. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Land Use Functions – nomenclature Common nomenclature with different LUF intensity Expert meeting on Land Use and Ecosystem accounting, 18-19 May 2006, EEA...allowing to address cross-cutting issues e.g.: Urban - Rural interaction Agro - Environment assessment

36. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Land Use Functions – e.g. Rural area Farming & food production but also other functions with raising importance Expert meeting on Land Use and Ecosystem accounting, 18-19 May 2006, EEA

37. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Source: Roy Haines-Young Ecosystem regulation service: Account of new housing in flood risk zones Low High Proportion of new residential housing in high risk flood zones, by landscape type (1999-2003) in south east England

38. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Ecosystem accounting framework Stocks & flows System interactions Goods & Services Values Source: Roy Haines-Young Value of ecosystem goods and services, IDP, wealth, natural capital

39. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Framework of Ecosystem Accounts Natural assets accounts Natural capital structure, resilience & wealth (physical units, by sectors) Capital consumption & accumulation (physical units, ) Ecosystem assets wealth () Natural Capital Accounts/ living & cycling natural capital Functions & Services Land use function Natural function Supply & use of ecosystem goods and services (Use of resource by sectors, supply to consumption & residuals, accumulation, I-O analysis) Material/energy flows (focus on biomass, water, nutrients, residuals) Accounts of flows of ecosystem goods and services Counts of stocks diversity / integrity (by ecosystem types, focus on quality) Ecosystem Stocks & State Accounts Ecosystem State (health diagnosis and wealth calculation) Core accounts of stocks & flows (by ecosystem types, raw quantities) Ecosystem types Economic sectors Spatial integration Economic integration

40. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Differences in accounting for economic and ecological systems In economy: + > – = gains = increase in wealth – > + = losses = decrease in wealth aggregated results are defined as the sum of elementary flows over a fixed period (year or quarter) at the national or regional levels economic factors are generally substitutable average values make sense in most cases In ecology: specific ecosystem dimensions need to be reflected… multiple scales and interactions variability, time scales resilience, health of ecosystems, thresholds no need to account for everything, just the key markers (variables) necessary for making the diagnosis (assessment)

41. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Integration of scales: Environmental & Socio-Economic Data Land cover maps Area sampling (crops, habitats…) Socio-economic statistics (e.g. by regions, municipalities, sectors, farm holdings, household groups...) Monitoring of individual sites or stations (e.g. nature, water…) Earth observation: multi-scales land cover + vegetation + NPP +…

42. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Time frame: e.g. water resource/demand Mean annual values may tell the wrong story (i.e. no water shortage in the river)… Variability matters…

43. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI Conclusions By examining all uses of land in an integrated manner, it makes it possible to minimize conflicts, to make the most efficient trade-offs and to link social and economic development with environmental protection and enhancement, thus helping to achieve the objectives of sustainable development. Agenda 21, Chapter 10

44. Expert meeting on test accounts for Mediterranean wetlands 21st, 22 June 2007 ETCLUSI (Some) Specific dimensions of ecosystems that need to be reflected… Extreme events, distributions/ not only average conditions Multiple time frames (inc. long term), variability Multiple (nested) scales Multiple causalities, linear change is not the rule Sectors interactions (partial solutions dont work very long…), No optimal state (maximizing yields…) can be kept indefinitely Assessment of sustainable development paths requires considering the resilience of ecosystems and socio-ecological systems: potentials, feedbacks, vulnerability to external shocks… (from Brian Walker, CSIRO) Land & ecosystem accounts as candidate for data assimilation at the meso scale