Ecosystem Services (ES) depend on natural capital in interaction with human and social capitals. Natural capital, including vegetation and belowground biodiversity supporting soil formation and nutrient enrichment, is important for producing the supporting,regulatory and provisioning services used by humans for economic, social and cultural benefits. Mainstreaming economic development in most developing countries is usually accompanied by a decrease of natural capital and shifts in the social fabric, both affecting ES. Concerns triggered by this change have led to quantification and valuation of ecosystem services often applying globally standardized financial metric as that used for economic progress, so that the genuine economic growth can be monitored. As such, global and national environmental laws and policies now recognize the need for ES quantification and valuationfor very many reasons.Quantification and valuation of ES is a key step in deciding remedial actions for emerging environmental problems, such as climate change. For instance, the change of carbon dioxide and fluxes of nitrous oxide and methane expressed in carbon-equivalent units and multiplied with the market price for a unit of certified emission reduction has been used to prioritize climate change remedies and climate change investments. This way, carbon sequestration by forests, agricultural and other natural systems can be expressed in financial terms. Through quantification, it is also possible to link a particular share of greenhouse gasses to particular actors e.g. national governments, industries and localfarming communities or particular activities, such as deforestation, manufacturing industry, transport, etc. Quantification and valuation also inform the rights to use and invest in natural capital based on value to various beneficiaries including governments, multilateral markets and farmers. For instance, governments are motivated to protect biodiversity when the value of this biodiversity in terms of economic, environmental and social contribution is clearly articulated. Similarly, local communities have often been motivated to engage in sustainable forestry based on quantified economic, social and ecological value of certain tree species. However, this often requires the recognition that quantified ES and associated values have varying appeal to different people, institutions and ecologies. An ES value attached to global consumers, e.g. carbon credits (or not feeling guilty about tropical deforestation) may not appeal to a local peasant interested in firewood to cook a meal. As such, the Millennium Ecosystem Assessment Framework emphasized the need for ES quantification to considerthe full value of an ES to various stakeholders. This book deals with into some of the aspects of quantification and valuation of forest ecosystem services. The book has been compiled with a view to cover the various aspects on the subject in various forestry colleges,forestry training institutes and AgriculturalUniversities in India. This will serve as a valuable source ofinformation forthe academicians in forestry colleges and institutes and also forthe undergraduate and post-graduate students forthe preparation of competitive examinations in forestry discipline.
Dr. GIRISH B. SHAHAPURMATH The authoris presently working as an Assistant Professor of Forest Management in Department of Natural Resource Management at College of Forestry, Sirsi, University of Agricultural Sciences, Dharwad (Karnataka), India. He has completed his Master’s and Doctoral degree in Forestry in specialization with Silviculture and Agroforestry from University of Agricultural Sciences, Dharwad (Karnataka, India). His fields of interest are Forest Management/Sustainable Forest Management, Remote Sensing and Geographical Information System in Forestry (GIS). He has a vast experience in teaching and research in the field of forestry and agroforestry. He has published more than 100 scientific publications in reputed journals at national and international levels. He has also published many books in the field of forestry, such as Forest Management (ISBN: 9789388020633), Forest Policy, Laws, Legislation and Constitution of India (ISBN: 9789388020657), Forest Business Management (ISBN: 9789388020619), Marketing and Trade of Forest Produce (ISBN: 9789388020671), Remote Sensing and GIS in Forestry (ISBN: 9789388020675), Forestry Terminologies- Terms used in Forestry (ISBN: 9789388892933) and The Silviculture of Indian Trees (ISBN: 9788194783534), The Silviculture of Tree Species - A Forestry Field Manual (ISBN: 9789390660483), Introduction and Application of Forestry (ISBN: 9789390425587), Textbook on Elements of Remote Sensing (ISBN: 9788195446551) and also published many chapters in reputed books. He has completed many research projects in the field of forestry and agroforestry. He is a recipient of “Distinguished Scientist Award” in Forestry by Agricultural and Environmental Technology Development Society (AETDS)in International Conference on Global Initiatives in Agricultural and Applied Sciences for Eco-Friendly Environment (GAAFES-2019) at Nainital (UK) during Dec 1-2, 2019. He has been awarded as the “Best Teacher Award-2016” for outstanding contribution in the field of Forestry on the occasion of International Conference on “Rural Livelihood Improvement by Enhancing Farmers’ Income through Sustainable Innovative Agri and Allied Enterprises (RLSIAAe)” organized by the Society for Upliftment of Rural Economy, Varanasi (India) during 30th Octoberto 1st November, 2018 held at Birla Institute of Technology, Patna. He is also a recipient of “Outstanding Scientist Award” in Forestry by The Society of Tropical Agriculture, New Delhi, India in 7th International Conference on Agriculture, Horticulture And Plant Sciences held at Shimla (H. P.) during June 28-29, 2018. Forests are essential to life on Earth, providing us with one of our main sources of natural resources. They are home to many species, from the animal kingdom to fungi, plants and many microorganisms. Forests are complex ecosystems that can host a substantial part of our planet’s biodiversity and store genetic resources. They also provide multiple goods and services which benefit people in many ways: economically, materially, health-wise, emotionally or socially. These Forest Ecosystem Services, orforests’ contribution to people, are made up of many elements, some of which might be more obvious than others. Forests offer us many goods: foods, such as honey, nuts, fruits and mushrooms; timber; cork; wood biomass; aromatic and medicinal plants. These can be a source of income for people, though this is not always the case: most of them are common goods. Forests can be the perfect place to relax, to enjoy nature and to practice recreational activities, for instance cycling, running, tree-climbing or walking. These activities can support tourism or simply support human well-being, both physical and psychologically. People have cultural and spiritual associations with the forest, which may be formalised or personal. Forests’ contribution to people: forest goods and services that bring direct or indirect economic, materialistic, physiological, psychological, emotional or social advantage to the human population. After oceans, forests are the world’s largest storehouses of carbon. They contribute to climate change mitigation, absorbing carbon dioxide and storing it in wood, leaves and soil, as well as producing oxygen for people to breathe. Because forests can absorb and store carbon over an extended period of time, they are considered “carbon sinks”. Forests have an important role in the global water cycle, absorbing water from the soil through tree roots and returning it to the atmosphere. The diversity of trees and plants that make up forests around the world can improve and maintain soil quality, which has a crucialrole in the nutrients cycle and in filtering water. Society benefits from forests in a multitude of ways and we expect our forests to perform multiple functions, simultaneously and sustainably. Balancing the demands for these Forest Ecosystem Services is, therefore, a major challenge for our times. The benefits provided by forest ecosystems include: goods, such as timber, food, fuel and bio-products, ecological functions, such as carbon storage, nutrient cycling, water and air purification, and maintenance of Preface vii wildlife habitat, social and cultural benefits, such as recreation, traditional resource uses and spirituality. The primary challenge for sustainable forest management is finding ways to continue to benefit from ecological services without compromising the forest’s ability to provide those services. The book “Forest Ecosystem Services: Quantification and Valuation” intended as popular forestry guide describing the general description and usefulness of quantification and valuation of forest ecosystem services. I claim no originality in writing this book except for the arrangement and presentation of the subject matter. A large number of books, journals and proceedings of symposia and workshops have been consulted. Many books and literature including those available in internet have been made use of in preparing this book and references of such books and documents have been cited at the end of book. A list of these references is given at the end of book as references/bibliography. The authors are obliged to many academicians and forest officers who have helped in the preparation of this book. I am greatly indebted to Dean (Forestry) for constant guidance and help during the time of writing the book and improving it substantially. I am equally grateful to all the faculty members of College of Forestry, Sirsi (UAS, Dharwad, Karnataka) and officers of Karnataka Forest Department for their valuable suggestions and help in writing the book as well as for reading through the chapters and making very valuable improvements.
1.1 Introduction: Ecosystem and Ecosystem Services ..................... 1
1.1.1 Defining Ecosystem Services ................................................ 1
1.2 Ecosystem Services: Foundations, Opportunities, and Challenges for the Forest Products Sector.................................... 2
1.2.1 Conceptual Review ............................................................... 3
1.2.2 Definitions Currently in Use................................................ 4
2.1 Classification of Ecosystem Services .............................................. 7
2.1.1 Economic Properties of Ecosystem Services ..................... 8
2.1.2 Public and Private Goods ................................................... 10
2.1.3 The Commons ....................................................................... 11
2.1.4 Strategies for Application .................................................. 12
3.1 Payment for Ecosystem Services .................................................. 13
3.1.1 Private Markets and Payment for Ecosystem Services ................................................................................... 13
3.1.2 Public Lands: Ecosystem Service Provision in the Commons .............................................................................. 17
4.1 Valuation of Ecosystem Services .................................................. 19
4.1.1 Total Economic Value ......................................................... 20
4.1.2 From Raising Awareness to Making Decisions.............. 22
4.1.3 Developing Indicators of Success ..................................... 23
5.1 Quantification of Ecosystem Services ......................................... 27
5.1.1 Services Provided by Trees and Forests ........................... 27
5.1.2 Modelling Vegetation Ecosystem Services ...................... 31
5.1.3 Agroecosystem Management in the 21st Century: It is Time for a Paradigm Shift .......................................... 31
6.0 Case Studies on Quantification and Valuation of Forest Ecosystem Services .............................................................. 37
6.1 Case Study 1: Quantification and Valuation of Forest Ecosystem Services in the Western Himalayan Region of India ................................................................................ 37
7.1 Case Study 2: Valuation of Forest Ecosystem Goods and Services and Forest Natural Capital of the Beijing Municipality, China ........................................................................ 53
8.1 Case Study 3: A Total Economic Valuation of Wetland Ecosystem Services: An Evidence from Jagadishpur Ramsar Site, Nepal .................................................. 61
9.1 Case Study 4: Benefits of Restoring Ecosystem Services in 25 Urban Areas in USA, Canada and China ....................... 75
10.1 Case Study 5: Ecosystem Services Valuation of the Forests of Arunachal Pradesh State, India................................. 83
11.1 Case Study 6: Ecosystem Services of Native Trees: Experiences from Two Traditional Agroforestry Systems in Karnataka, Southern India ....................................................... 91
Conclusion ......................................................................................101
References .......................................................................................103
