eu guidance on integrating ecosystems and their services

22
. EU Guidance on Integrating Ecosystems and their Services into Decision-Making Summary for Policymakers in Government and Industry Draft 2.0 – 9 August 2020

Upload: others

Post on 07-Feb-2022

4 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: EU Guidance on Integrating Ecosystems and their Services

.

EU Guidance on Integrating Ecosystems and their

Services into Decision-Making

Summary for Policymakers in Government and Industry

Draft 2.0 – 9 August 2020

Page 2: EU Guidance on Integrating Ecosystems and their Services

2 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

I. Contents

I. Table of Contents …………………………………………………………………………………………………………………… 2

II. Introduction …………………………………………………………………………………………………………………………… 3

1. Chapter 1 – Introducing Ecosystem Services and their Benefits for Decision Makers……………… 4

1.1. Society’s dependence on ecosystem services …………………………………………………………………….. 4

1.2. Cost-effective solutions for critical challenges ……………………………………………………………………. 5

1.3. Sustaining the Flow of services through healthy ecosystems ……………………………………………… 5

1.4. Societal resilience through ecosystem resilience ……………………………………………………………….. 6

1.5. Varying visibility of ecosystem services ………………………………………………………………………………. 7

1.6. Objectives of this guidance document ……………………………………………………………………………….. 7

2. Chapter 2: The Eight Guiding Principles …………………………………………………………………………………. 8

2.1. Prioritise measures that improve ecosystem condition ……………………………………………………… 8

2.2. Address inter-dependencies and trade-offs of biodiversity and ecosystem services …………. 8

2.3. Apply ‘mitigation hierarchy’ to address negative impacts on ecosystems …………………………. 9

2.4. Apply precautionary principle …………………………………………………………………………………………….. 9

2.5. Set long-term objectives and plans to secure ecosystem services ……………………………………… 10

2.6. Ensure adaptive management ……………………………………………………………………………………………. 10

2.7. Coordinate and integrate planning across sectors and levels …………………………………………….. 10

2.8. Enable stakeholder engagement ………………………………………………………………………………………… 10

3. Chapter 3: Implementation – 5 Steps for Effective Integration of Ecosystem Services ………… 12

3.1. Step 1: Set Purpose, Scope & Context for Integration ………………………………………………………… 12

3.2. Step 2: Screen and Prioritise Ecosystems and their Services ……………………………………………… 14

3.3. Step 3: Map, Assess & Value Ecosystems and their Services ……………………………………………… 15

3.4. Step 4: Integrate Knowledge & Values into Decisions ……………………………………………………….. 18

3.5. Step 5: Implement, Monitor & Review ……………………………………………………………………………… 19

III. Overall Summary …………………………………………………………………………………………………………………… 21

- What is in this Summary? ……………………………………………………………………………………………………… 21

- What is in the Full Guidance? …………………………………………………………………………………………………. 22

Page 3: EU Guidance on Integrating Ecosystems and their Services

3 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

II. Introduction

This is a summary document of the EU Guidance on Integrating Ecosystems and their Services into

Decision-Making, developed by the European Commission. It highlights the Guidance’s key points and

principles for integrating ecosystems and their services, making them accessible and beneficial for

decision-makers across different sectors.

Background

Our society and economy are strongly embedded in nature. This comprehensive guidance document

helps governments and businesses increase impact, reduce costs and ensure sustainability, by

integrating nature's services into policies and decisions.

Our quality of life and economic activities depend on ecosystems and their services. To support

decision-makers maximise social and economic benefits, this document provides guidance on how to

identify and integrate ecosystems and their services into policies, plans and investments.

Nature offers innovative, cost-effective and long-term solutions to Europe's biggest challenges.

Decision-makers across levels and sectors can harness these solutions by:

- Highlighting the socioeconomic benefits that flow from nature to people;

- Managing and enhancing ecosystems to sustain their diverse benefits;

- Assessing these benefits and integrating them into policy and planning.

Outline

Drawing on EU policy frameworks and driven by innovative science and research, this guidance

document is split into three chapters, each answering the following questions:

- Chapter 1 - What are the benefits of integrating ecosystems and their services into decision-

making across levels and sectors?

- Chapter 2 - What are the guiding principles for successful integration of ecosystems services into

decision-making?

- Chapter 3 - What are the five steps for successful integration?

Objectives

This document will summarise key information and guidance for decision-makers in government and

business. Chapters 1-3 aim to:

- Raise awareness on benefits and contributions of ecosystem services;

- Promote nature-based solutions for socioeconomic objectives;

- Support decision-makers engaging with nature;

- Promote holistic and fair solutions with engaged stakeholders.

Page 4: EU Guidance on Integrating Ecosystems and their Services

4 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

Chapter 1: Why Ecosystem Services?

Introducing Ecosystem Services and their Benefits for Decision Makers

This chapter highlights the benefits of integrating ecosystems and their services into decision-making.

Using examples and definitions, Chapter 1’s key messages include:

1.1. Society depends on ecosystem services.

1.2. Ecosystem services support cost-effective solutions.

1.3. Healthy ecosystems sustain more services.

1.4. Ecosystem resilience underpins societal resilience.

1.5. Many ecosystem services are less ‘visible’ than others.

1.1. Society depends on ecosystem services

What are ecosystem services?

Our societies and their economies are embedded in nature. An ‘ecosystem’ is a physical environment

made up of living and non-living components that interact with one another. From these interactions,

ecosystems create a flow of benefits to people and the economy called ‘ecosystem services’.

Ecosystem services provide Europe's supply of clean air, water, food and raw materials. They also help

regulate and maintain climate, air quality, water cycles, carbon emissions and agricultural

productivity. Yet, the value of these services is not properly accounted for in policies, planning and

market transactions.

Types of ecosystem services

Ecosystem services can be classified into three main categories:

i. Regulating & maintenance: services maintain the environment and regulate its processes (e.g.

pollination, decomposition of organic waste, pollution removal, water-cycle regulation, soil

formation).

ii. Provisioning: services include the production of tangible resources (e.g. crops, fish, wild plants

and animals, timber, water, and other natural materials).

iii. Cultural: services include the non-material benefits to people from nature (e.g. recreational,

intellectual and spiritual benefits of interacting with nature).

Regulating

Air quality, climate,

erosion, pollination

Provisioning Food, crops, fibre,

timber, fuel,

freshwater, medicine

Maintenance

Soil formation

water-cycling,

photosynthesis

Cultural

Recreational,

intellectual, spiritual,

educational

Figure 1 Types of Ecosystem Services – Adapted from EWA’s Diagram on Ecosystem Services

Page 5: EU Guidance on Integrating Ecosystems and their Services

5 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

1.2. Ecosystem services support cost-effective solutions

What are nature-based solutions?

Healthy ecosystems provide a range of services that can be mobilised to address social, economic and

environmental challenges, also known as nature-based solutions. These are cost-effective actions

supported by nature, bringing benefits to people and building resilience towards economic and

environmental disturbances.

By protecting, managing and restoring different ecosystems, nature-based solutions can contribute to

the wellbeing of people and biodiversity. For example, conserving forests and peatlands sequesters

carbon emissions, and restoring wetlands can reduce nutrient pollution from agricultural runoff.

Integrating nature-based solutions

Nature-based solutions can contribute to green infrastructure: a strategically planned network of

natural and semi-natural areas, designed and managed to deliver a wide range of ecosystem services.

Biodiversity is an essential component of this infrastructure, bringing more diverse natural features

and processes into cities and landscapes. Integrating nature-based solutions into planning and policy

supports decision-makers achieve long-term economic prosperity while reducing economic and

environmental costs.

1.3. Healthy ecosystems sustain more services

An ecosystem’s capacity to provide a wide range of essential services depends on the ecosystem’s

condition. Well managed ecosystems that are biologically diverse can sustainably deliver multiple

services and benefits to people. On the other hand, mismanaged and heavily modified ecosystems

ultimately deliver fewer benefits and may increase socioeconomic burdens, particularly on the long

run.

Benefits of healthy ecosystems

For example, biologically diverse agricultural ecosystems in good condition can sustainably deliver

provisioning services like food and other agricultural materials. They can also deliver a range of

regulating and maintaining services that are essential for agricultural production, including:

pollination; soil formation; natural pest control; climate, nutrient and water cycle regulation; and

carbon storage in soil and biomass. Finally, they can deliver cultural services from traditional rural

landscapes and habitats for biodiversity.

Consequences of intensively used ecosystems

Intensively using and modifying an ecosystem to maximise one single service can impair its capacity to

deliver other essential services. For example, intensively managed monocultures aim to maximise the

provision of crops or timber, which degrades an ecosystem’s condition. Negative impacts can also

reach other people, further areas and future generations (e.g. impaired water-regulation services and

weakened environmental resilience to future disturbances).

Intensive use can even compromise an ecosystem’s capacity to continue providing the services that

were initially desired. For example, soil fertility and pollination can be degraded by intensive use,

increasing costs for additional energy, water and chemicals to maintain production levels. Therefore,

improving the condition of ecosystems can help restore their natural productivity over time while

securing other essential benefits for the entire area.

Page 6: EU Guidance on Integrating Ecosystems and their Services

6 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

1.4. Ecosystem resilience underpins societal resilience

What is resilience?

Resilience is the ability to withstand pressures and recover from disturbance. Healthy and well

managed ecosystems are more resilient, meaning they are more likely to survive growing pressures

and recover from disturbances. This is critical for securing essential services and stability in the face

of global environmental change. In turn, governments, businesses and communities are more likely to

survive and recover from the growing threats to society and the economy, including public health

outbreaks and natural disasters.

Consequences of degraded ecosystems

Nature is declining globally at unprecedented rates in human history, causing grave impacts on people

around the world. In 2019, the World Economic Forum’s Global Risk Report rated major biodiversity

loss and ecosystem collapse amongst the 10 highest global risks in terms of likelihood and risk of

impact.1 Land degradation has reduced the productivity of lands around the world, and crops are

increasingly at risk from pollinator loss. This threatens global food security, increasing risk of economic

instability, starvation, and conflicts over resources. Loss of coastal habitats means that hundreds of

millions of people are more vulnerable to floods and hurricanes, risking displacement and other

humanitarian catastrophes.

Ecosystem resilience for social and economic prosperity

To ensure stability and prosperity in the face of global disturbances, decision-makers can ensure that

ecosystems are resilient and can continue providing their essential services to people and their

economies. This interdependence is illustrated below, showing how sustainable and healthy supplies

of resources connect each of the Sustainable Development Goals (SDGs):

Figure 2: How sustainable and healthy food connects all SDGs (Stockholm Resilience Centre 2016)

1 The Global Risks Report 2019 – 14th Edition, World Economic Forum

Page 7: EU Guidance on Integrating Ecosystems and their Services

7 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

1.5. Ecosystem services vary in ‘visibility’

Some ecosystem services are more visible or tangible, like crops, fisheries and timber. Their benefits

are understood and widely recognised in decision-making. Other services are less tangible and are not

appropriately accounted for, such as pollination for agriculture or flood protection by wetlands.

Properly understanding and accounting for less visible ecosystem services is crucial for human

wellbeing and economic prosperity.

Visible and tangible ecosystem services

Provisioning ecosystem services are more visible and tangible. Their benefits are widely recognised

and prioritised in policy decisions. Provisioning services include crops from agricultural ecosystems,

timber from forests, and fish from marine and freshwater ecosystems. Their economic value is partly

reflected in markets and investment choices. The provision of these services is often maximised

through intensive management measures, leading to their overuse and impacting other less visible

services.

Less visible and tangible ecosystem services

Other ecosystem services are less visible and tangible, particularly regulating services that help

maintain the environment and regulate its processes. Their benefits are finally being recognised by

strategic decision-makers and becoming increasingly accounted for in their policies and investments.

Services include: flood protection and groundwater recharge by wetlands and floodplains; carbon

sequestration by healthy soils and peat ecosystems to curb CO2 emissions; pollination for food

security. Another less visible service is access to nature for human wellbeing, mental health and the

cognitive development of children. 2

Accounting for ‘less visible’ ecosystem services

Governments, land managers and communities can benefit greatly from recognising and improving

the delivery of essential ecosystem services that are ‘less visible’. Businesses can improve their

performance and secure their stability by prioritising ecosystem health in their policies and operations.

Decision-makers that value and account for ‘less visible’ ecosystem services can better achieve

prosperity for people and businesses.

1.6. Chapter 1 Summary: Why Ecosystem Services?

Knowledge on ecosystems and their services is developing rapidly to better address challenges facing

people and their economies in the EU. This chapter has highlighted the benefits of integrating

ecosystems and their services into decision-making, including:

1. Society’s dependence on ecosystem services (1.1.)

2. The cost-effectiveness of nature-based solutions (1.2.)

3. The importance of healthy ecosystems to sustain the flow of diverse benefits (1.3.)

4. Resilient ecosystems supporting societies recover from disturbances (1.4.)

5. The importance of ‘less visible’ ecosystem services for long-term prosperity (1.5.)

2 IEEP (2016) The Health and Social Benefits of Nature and Biodiversity Protection. A report for the European Commission.

Page 8: EU Guidance on Integrating Ecosystems and their Services

8 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

2. Chapter 2: The Eight Guiding Principles

Guiding decision-making and ecosystem services

This chapter highlights guiding principles and safeguards to support decision-makers better integrate

ecosystems and their services into policies and plans. The Eight Guiding Principles are derived from

existing environmental conventions and legislation, including the Convention on Biological Diversity

(CBD), the Treaty of the Function of the European Union (TFEU), and several EU Directives. Their

implementation is discussed later in this document (Chapter 3).

Summary: The Eight Guiding Principles for Effective Integration

1. Prioritise measures that improve ecosystem condition and contribute to wellbeing

2. Address inter-dependencies and trade-offs

3. Apply the ‘mitigation hierarchy’

4. Apply the ‘precautionary principle’

5. Set long-term objectives/plans to secure essential ecosystem services

6. Ensure adaptive management

7. Coordinate and integrate planning across sectors and levels

8. Enable stakeholder engagement

2.1. Prioritise measures that improve ecosystem condition

The first guiding principle is to prioritise measures that improve the condition of ecosystems while

contributing to people’s wellbeing and prosperity for net societal gain.

Options and measures that improve ecosystem condition should be prioritised whenever feasible. This

entails measures that halt and reverse the loss of ecosystems and their services.

Nature-based solutions can form part of the chosen approach to tackle the problem at hand.

With political will and stakeholder support, prioritising such measures can: (i) support halting and

reversing the loss of healthy ecosystems and their services, (ii) deliver wellbeing and prosperity, and

(iii) support Europe’s sustainable development agenda.

2.2. Address inter-dependencies and trade-offs

The second guiding principle is to address inter-dependencies and trade-offs of biodiversity and

ecosystem services.

Some areas can be subject to pressures from competing stakeholders with different priorities.

Management priorities may result in new or increased pressures on nature and other stakeholders.

This can make it difficult to yield the best results for nature and the range of its services to people.

All parties and stakeholders should identify and understand the different trade-offs of decisions and

measures for ecosystems and their services. Trade-offs should then be addressed in a fair and

equitable way. Management decisions effectively account for the range of inter-dependencies

between ecosystems, communities, and the flow of benefits between them.

Page 9: EU Guidance on Integrating Ecosystems and their Services

9 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

2.3. Apply the ‘mitigation hierarchy’

The third guiding principle is to apply the ‘mitigation hierarchy’, a clear process that ensures no net

loss of healthy ecosystems and their services. It must be implemented with full care and transparency

to effectively address impacts to nature.

This adheres to EU environmental legislation, including Action 7 of the EU Biodiversity Strategy. In

order of priority, this hierarchy follows four types of measures:

1. Avoidance; 2. Minimisation; 3. Rehabilitation / Restoration; and 4. Offsetting.

1. Avoidance: Identifying and completely avoiding detrimental impacts from the outset of a

process. This includes monitoring and planning efforts before measures are implemented.

2. Minimisation: Reducing the extent of unavoidable impacts to ecosystems. This includes the

duration and intensity of direct, indirect and cumulative impacts.

3. Rehabilitation/Restoration: Rehabilitating ecosystems that have been degraded or restoring

ecosystems that have been cleared following impacts that could not be avoided or minimised.

4. Offsetting: Compensating for all impacts to ecosystems that could not be avoided, minimised

or restored.

2.4. Apply the ‘precautionary principle’

The fourth guiding principle is to apply the ‘precautionary principle’ by not pursuing policies or actions

when scientific evidence on potential hazards is still uncertain.

This is an approach to managing potential risks to the public and environment. The principle dictates

that when there is no scientific consensus on an issue, the policy, decision or measure in question

should not be pursued.

This is useful for preventing grave risks to ecosystems and the services they provide to different

stakeholders, including vulnerable groups. It ensures that decision-making is guided by careful

research and planning, protecting communities and businesses from public and environmental

hazards.

Offset

Rehabilitate

Restore

Minimise

Avoid

Figure 3: Mitigation hierarchy- from most favourable actions to least favourable

Page 10: EU Guidance on Integrating Ecosystems and their Services

10 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

2.5. Set long-term objectives and plans

The fifth guiding principle is to set long-term objectives and plans to secure essential services linked

to long-term natural processes.

Management systems, policy cycles and business decisions tend to operate on relatively shorter

timescales. Alternatively, ecosystem processes can be complex and operate on very long timescales-

their effects can last decades and centuries. Soil formation is one example of a critical long-term

process that is negatively impacted by short-term objectives. It takes centuries to produce a thin layer

of soil, yet soil is quickly degraded by intensive management aimed at maximising short-term and

medium-term gains.

Decision-makers can ensure long-term prosperity by integrating essential ecosystem processes into

their management systems. By setting long-term objectives and plans, governments and businesses

can better address and sustain life-supporting ecological processes.

2.6. Ensure adaptive management

The sixth guiding principle is to ensure adaptive management for continued learning and adaptation

based on the outcomes of previous policies and practices.

Adaptive management is a systematic process to continuously improve management policies and

practices by learning from the outcomes of previous policies and practices.

Through continuous learning and evidence-based decision-making, it allows for actively adapting

objectives and actions in response to (i) changes in context, and (ii) developments in knowledge from

monitoring the outcomes of previous decisions.

2.7. Planning across sectors and levels

The seventh guiding principle is to coordinate and integrate planning across governance sectors, levels

and decision-making frameworks.

Coordination and collaboration are essential. This includes knowledge-sharing and ensuring the

consistency of data used. Planning should also be undertaken at appropriate spatial scales (closer to

the ecosystems).

Coordination and planning should maintain interlinkages between different governance levels, to

ensure the consistency of policy objectives and decision-making processes.

2.8. Enable stakeholder engagement

The eighth and final guiding principle is to enable stakeholder engagement to fill knowledge gaps,

address competing interests, and secure stakeholder support. Stakeholder engagement is a crucial

and complex process that requires time, attention, resources and expertise.

Page 11: EU Guidance on Integrating Ecosystems and their Services

11 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

2.8. Enable stakeholder engagement (continued)

Public participation is at the core of integrating ecosystem services into decision-making. Managing

ecosystems for the benefits they provide has consequences for different stakeholders. It is crucial that

they are engaged throughout the process.

This engagement is beneficial for decision-makers. Stakeholders fill gaps in knowledge, providing

locally held information on the supply, demand, and value of different ecosystem services.

Ensuring stakeholders’ support is essential throughout the entire decision-making process.

Stakeholder engagement starts at the earliest stages and continues throughout the implementation,

monitoring and evaluation stages. Stakeholders should feel that their interests and concerns regarding

ecosystems and their services have been addressed fairly.

Chapter 2 Conclusion – Implementing the Eight Guiding Principles

The ‘Eight Guiding Principles’ highlighted in this chapter provide guidance for the effective integration

of ecosystems and their services into decision-making. Implementing these principles is covered in the

next chapter, with each step implemented in accordance with one or more of the Eight Guiding

Principles.

Figure 4: The Eight Guiding Principles for Ecosystem Services in Decision Making

Page 12: EU Guidance on Integrating Ecosystems and their Services

12 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

3. Chapter 3: Implementation

Five Steps for Effective Integration of Ecosystem Services

This chapter highlights the main processes and instruments to support decision-makers with

implementation. The following sections outline five steps for the effective integration of ecosystems

and their services into decisions, including policies, plans and actions:

Step 1: Set out the purpose, scope and context for integrating ecosystem services into decisions.

Step 2: Screen and prioritise ecosystems to identify services and stakeholders.

Step 3: Map, assess and value relevant ecosystems and their services.

Step 4: Integrate knowledge on ecosystem services and their value(s) into decisions.

Step 5: Implement, monitor and review decisions to ensure adaptive management.

Please remember that these steps complement existing planning and policy frameworks. They are not

intended to create new or parallel processes. For further details on implementation, please refer to

the full guidance document, which includes additional references and resources.

3.1. Step 1: Set the Purpose, Scope & Context of Integration

Step 1 sets out the purpose, scope and context for integrating ecosystem services into the decisions

of a process or project. This first step determines: (3.1.1.) purpose of integration; (3.1.2.) context and

scope for integration; (3.1.3.) key stakeholders.

This should result in agreed objectives and an agreed scope for assessing ecosystem services as part

of a wider decision-making process. It should also identify stakeholders and a plan for their

engagement throughout.

Guiding Principles in Step 1

Principle 2: Address Inter-dependencies & trade-offs

Principle 7: Coordinate and integrate planning across sectors

Principle 8: Enable stakeholder engagement

3.1.1. Setting out the purpose

The first step should be to set out the main issues and challenges that need to be addressed. This should

help identify the objectives of the decision-making process, including the objectives of integrating

ecosystems and their services. These can include:

- Solving the issues and challenges identified above;

- Providing cost-effective nature-based solutions to these issues and challenges;

- Improving ecosystem health to ensure the delivery of multiple services;

- Achieving wider social and economic benefits for sustainable development;

- Preventing or mitigating potential damage to ecosystems and their services from the onset.

Page 13: EU Guidance on Integrating Ecosystems and their Services

13 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

3.1.2. Context mapping

What is the context for integrating ecosystem services into decision-making? Answering this question

helps frame the issue and identify challenges. Context mapping explores:

- Legal and policy frameworks;

- Interactions with existing policy objectives, development plans and strategies;

- Social, economic and environmental context;

- Key stakeholders and interests, including vulnerable groups.

3.1.3. Stakeholder assessment and engagement

What is stakeholder mapping and analysis?

Stakeholder mapping and analysis is essential to formulating policies, plans and decisions. This helps

identify and engage key stakeholders and other sectors who can:

i. Inform and influence decisions and their implementation;

ii. Be affected by the decision, either positively or negatively;

iii. Highlight potential synergies and risks to cooperation;

iv. Develop mutually beneficial solutions.

How to assess and engage stakeholders?

Stakeholders should be involved from the earliest stages of a project or decision-making process. They

should play a part in identifying problems and setting objectives. This engagement must continue through

each stage of the decision-making process. Further assessments and mapping may be needed at different

stages of the project to identify and engage less obvious stakeholders.

Stakeholder assessment and engagement requires a commitment of time, resources and expertise.

Technical resources are available to support decision-makers with stakeholder assessment and

engagement for ecosystem services. 3 4 5

Desired objectives and outcomes

This stage should form the basis of a stakeholder engagement plan that supports decision-makers:

- Develop an inventory of stakeholders;

- Discuss problems, objectives, options, synergies and trade-offs;

- Manage stakeholders’ expectations;

- Increase stakeholder awareness, ownership and trust;

- Ensure the sustainability of decisions;

3 ESMERALDA MAES Explorer (see ‘Questions and themes’) 4 Participatory and deliberative techniques to embed an ecosystems approach into decision making (DEFRA) 5 How to engage citizens through applying the ecosystem service approach

Page 14: EU Guidance on Integrating Ecosystems and their Services

14 | Guidance on Ecosystem Services for Policy Makers – Draft 02_09.08.2020

3.2. Step 2: Screen and Prioritise Ecosystems and their Services

Step 2 is to screen and prioritise ecosystems in the area of concern. It aims to: (3.2.1.) identify the full

range of ecosystems and their services; (3.2.2.) Narrow down and prioritise relevant ecosystems

services. These will then be assessed in Step 3.

Step 2 will produce an overview of ecosystem services then a smaller set of agreed priority services.

This will influence the outcome of the remaining process, emphasizing the importance of participatory

approaches.

Guiding Principles in Step 2

Principle 2: Address Inter-dependencies & trade-offs

Principle 7: Coordinate and integrate planning across sectors

Principle 8: Enable stakeholder

engagement

3.2.1. Identifying the range of ecosystems and their services

The aim here is to identify the full range of ecosystems and their services. This is to be done through

a participatory process, combining stakeholder consultation with literature review and data analysis.

Building on previous assessments, reviews and consultations may be useful.

Questions for Identification

i. What are the different types of ecosystems in the area of impact?

ii. What are the ecosystem services flowing from these ecosystems?

iii. Which of these services is most relevant to this decision-making process?

iv. What is required for further assessment?

Outcomes of identification

i. Overview of ecosystems in the area of impact, including a map and written descriptions;

ii. List of the range of ecosystem services provided by each ecosystem.

3.2.2. Prioritising relevant ecosystem services

It may be challenging to assess every ecosystem and its services due to limited time and resources.

This step aims to prioritise the assessment of relevant ecosystem services. With full stakeholder

participation, a set of criteria for prioritisation is developed to address key issues.

Questions for prioritising ecosystem services

- Which ecosystem services support the objectives of a decision-making process?

- Which services are likely to be impacted by it?

- Which ecosystems and their services can be improved?

- Who are the main beneficiaries from an ecosystem and its services?

- What are the potential synergies and conflicts between stakeholders?

- Which ecosystem services are important for vulnerable groups?

Outcomes of prioritisation

i. A shorter list of agreed priority services to be assessed in the area of potential impact;

ii. A simple matrix to score the relevance of and impact to ecosystem services.

Page 15: EU Guidance on Integrating Ecosystems and their Services

15 | Guidance on Ecosystem Services for Policy Makers – Draft 01_04.14.2020

3.3. Step 3: Map, Assess & Value Ecosystems Services

Step 3 is to map, assess and value the ecosystems and services identified in Step 2. The aim is to build

knowledge, providing up-to-date and accurate information on relevant ecosystems, their condition,

their services, and their importance to stakeholders.

The knowledge gathered in Step 3 informs the integration of ecosystems and their services into

decision-making, implementation and monitoring stages (Steps 4 & 5).

Step 3 focusses on: (3.3.1.) Mapping ecosystems, (3.3.2.) Defining their condition; (3.3.3.) Quantifying

their services; (3.3.4.) Assessing their economic value; (3.3.5.) Assessing different scenarios and

intervention options.

Guiding Principles in Step 3

Principle 3: Apply the mitigation hierarchy

Principle 7: Coordinate and integrate planning across sectors

Principle 8: Enable stakeholder

engagement

3.3.1. Mapping ecosystems

Once ecosystem types have been defined (as per Chapter 3.2.: Step 2), we map the spatial extent of

these ecosystems.

- Mapping considers an ecosystem’s living and non-living components;

- Maps can be compiled and analysed using Geographical Information System techniques (GIS);

- Maps of ecosystems can be produced using existing data, by combining landcover maps with

databases of habitats;

- Maps can assess which ecosystems are covered by protected area networks.

Figure 5 - Sample Ecosystems Map from N. Italy - MAES Digital Atlas

Page 16: EU Guidance on Integrating Ecosystems and their Services

16 | Guidance on Ecosystem Services for Policy Makers – Draft 01_04.14.2020

3.3.2. Defining ecosystem condition

What is ecosystem condition?

Ecosystem condition refers to the physical, chemical and biological condition/quality of an ecosystem.

This is used to understand trends and set targets for environmental health. Ecosystem condition also

includes legal concepts, including conservation and ecological status.

Ecosystem condition and services

Ecosystems must be in good condition to provide the widest range of essential services that deliver

benefits and increase wellbeing.

Indicators for ecosystem condition

Ecosystem condition can be assessed using indicators for environmental quality, biological quality and

pressures. Different types of ecosystems are assessed according to different indicators6.

Baselines for ecosystem condition

- Baselines are established to evaluate the current condition of ecosystems and their services.

- Baselines should include information on drivers of change, including environmental pressures.

- Baselines can either be based on current condition or on another agreed upon point in time.

- Baselines allow for comparisons, to assess and predict the impacts of different interventions and

measures to ecosystems and their services.

- Baselines can be based on existing environmental assessments and can be used to inform the

decision-making process.

3.3.3. Quantifying ecosystem services

Ecosystem services that were prioritised in earlier steps may be assessed in detail to identify and

quantify their value. Valuation is useful in showing the impacts of decision-making on ecosystem

services and socioeconomic wellbeing.

Different types of values

Valuation must consider that nature has multiple types of values. Values of ecosystem services are

linked to social and cultural contexts as well as individual preferences. Types of values include:

- Ecological values: including resilience, biological diversity, ecosystem functionality;

- Social and cultural values: including heritage, spirituality, recreation, sense of place;

- Monetary values: including jobs, profits, costs, investments, products.

Methods for valuing ecosystem services

A range of methods are available to assess and quantify the different values of ecosystem services,

depending on the context. Methods may include:

- Biophysical methods: assessing the physical and biological properties that control the supply of

ecosystem services;

- Socio-cultural methods: identifying people’s preferences and social values for ecosystem services;

- Monetary methods: providing estimates for the economic value of different services.

6 MAES 5th Report (2018), pg. 17-18 – Indicators for Ecosystem Condition

Page 17: EU Guidance on Integrating Ecosystems and their Services

17 | Guidance on Ecosystem Services for Policy Makers – Draft 01_04.14.2020

3.3.4. Accounting for the economic contributions of ecosystems

Establishing accounts for ecosystem services highlights the link between ecosystems and economic

systems. This helps decision-makers quantify nature’s contributions to people and business.

Ecosystem service accounts can be used to make direct comparisons with economic indicators if they

are developed in a consistent and systematic way that aligns with the System of National Accounts.

System of National Accounts (SNA)

SNA is an international standard for compiling and presenting economic data. It represents the

economy in a simplified way by remaining integrated and internally consistent. Nature’s contributions

(i.e. natural capital) are completely absent from the standard SNA. However, natural capital can be

integrated through satellite accounts, as guided by the UN’s System of Environmental-Economic

Accounting (SEEA-EEA). This includes accounts for the extent and condition of ecosystems and their

services, allowing for their integration with other economic indicators from the SNA.

Determining the ‘actual flow’ of ecosystem services

By quantifying the supply and use of ecosystem services, we can determine the actual flow of services

from ecosystems to people and their economies. ‘Actual flow accounts’ can be developed effectively

by following three steps7:

i. Assessing the biological and physical components of ecosystems and their services;

ii. Translating this assessment into monetary values;

iii. Accounting for both the biophysical components and monetary values;

Service potential vs. service demand

Calculating the actual flow of ecosystem services results from the interaction between two

components: (i) an ecosystem’s potential to provide services, and (ii) the demand for these services:

i. Ecosystem service potential: the service that can be provided by different ecosystem types,

depending on their properties and condition.

ii. Ecosystem service demand: the need for a specific ecosystem service by economic sectors and

households to generate a benefit.

However, an ecosystem’s potential to provide services may be different from people’s demand. This

mismatch can lead to the overuse of services, degradation of ecosystems and unmet demands.

Measuring and valuing this mismatch can guide the assessment process as well as decision-making.

3.3.5. Modelling and assessing scenarios

Step 3 has outlined the mapping and assessment of ecosystems and their services in light of a decision

or policy. This provides the basis for modelling and assessing possible scenarios to explore potential

outcomes for nature and its contributions to people in the future. Scenarios can include outcomes for

relevant sectors and stakeholders, to help identify and assess potential synergies and trade-offs.

In line with Chapter 2’s Eight Guiding Principles, decision-makers should develop scenarios that

maintain and improve the condition of ecosystems. This ensures the sustainable flow of multiple

services from nature to people. Scenarios should indicate measures to avoid or mitigate negative

impacts to ecosystems, or compensate for them as a last resort.

7 EU KIP INCA: Ecosystem Service Accounting (Part II)

Page 18: EU Guidance on Integrating Ecosystems and their Services

18 | Guidance on Ecosystem Services for Policy Makers – Draft 01_04.14.2020

3.4. Step 4: Integrate Knowledge & Values into Decisions

Step 4 integrates knowledge on ecosystem services and their value into decision-making. The assessments from Step 3 can now guide the development policies, plans and actions that maximise benefits to people and nature.

Guiding Principles in Step 4

Principle 1: Prioritise measures that improve ecosystem condition

Principle 2: Address inter-dependencies and trade-offs

Principle 3: Apply the mitigation

hierarchy

Principle 4: Apply the precautionary principle

Principle 5: Set long-term objectives and plans

Principle 6. Ensure adaptive

management.

Principle 7: Coordinate and integrate planning across sectors

Principle 8: Enable stakeholder engagement

3.4.1. Choose desirable scenarios, intervention options and instruments

Knowledge from mapping and assessing ecosystems and their services can now be integrated to determine policy options and their likely outcomes. This should lead to choosing intervention options that: (i) enhance ecosystem condition; (ii) secure important ecosystem services for society; (iii) address trade-offs fairly and transparently; (iv) address negative impacts by implementing the mitigation hierarchy; (v) support implementation by allocating resources and strengthening capacity; (vi) specify indicators and metrics to monitor and evaluate implementation.

3.4.2. Make decisions that maximise synergies and minimize trade-offs

Decision-makers should prioritise policies and measures that maintain and enhance the condition and

resilience of ecosystems. Protecting and restoring ecosystems can maximise the delivery of multiple

services and minimise the trade-offs between them. This can build synergies between different

stakeholders and policy goals, strengthening the resilience of people, business and nature.

3.4.3. Apply mitigation hierarchy to impacts on ecosystems and their services

With increased knowledge on ecosystems and their services, decision-makers have the tools to

integrate a variety of mitigation measures into their planning. Decisions on policies, plans and projects

should apply the mitigation hierarchy (Chapter 2.3 – Principle 3), aiming to completely avoid or

minimise negative impacts on ecosystems and their services. If impacts are unavoidable, decisions

should aim to rehabilitate and restore ecosystems, enhancing their services and increasing their

biological diversity. Only as a final resort should decisions aim to offset damages through

compensation measures.

3.4.4. Ensure stakeholders are informed, engaged and aware

Decisions must integrate stakeholders into their planning and implementation, ensuring that they are

informed, engaged and aware. This includes an awareness of the benefits and trade-offs of different

interventions and their impacts on ecosystems and their services. Stakeholders include local

communities, representatives of administrative and economic sectors, as well as vulnerable groups.

Decision-makers should ensure that their plans include resources for the engagement and capacity-

building of stakeholders.

Page 19: EU Guidance on Integrating Ecosystems and their Services

19 | Guidance on Ecosystem Services for Policy Makers – Draft 01_04.14.2020

3.4.5. Choose the right implementation instruments

Implementation instruments form the basis of management practices on the ground. They determine

how ecosystems and their services will be managed in light of the decisions, policies and practices of

stakeholders and sectors. Various implementation instruments can be used to ensure that planning

and implementation effectively consider ecosystems and their services. These can include:

- Legislative instruments: including laws, regulations and provisions on the national and EU level;

- Spatial instruments: including designating/managing protected areas, zoning, and land-use plans;

- Market-based policy instruments: including payment for ecosystem services, offsetting schemes.

3.5. Step 5: Implement, Monitor & Review

Step 5 is to implement, monitor and review decisions agreed upon in earlier steps. Effective

implementation requires that stakeholders are fully engaged, and that implementation is adaptive.

Roles, responsibilities and resources should be defined and allocated. Clear systems for monitoring

implementation and reviewing decisions should be in place.

Guiding Principles in Step 5

Principle 1: Prioritise measures that improve ecosystem condition

Principle 3: Apply the mitigation

hierarchy

Principle 4: Apply the precautionary principle

Principle 6: Ensure adaptive management.

Principle 7: Coordinate and integrate planning across sectors

Principle 8: Enable stakeholder engagement

3.5.1. Apply adaptive management

Ecosystems and their services are integrated into the implementation and review of decisions through

an adaptive management approach (see Chapter 2.6. – Principle 6). Through continuous learning,

implementation can adapt to new developments. This includes integrating evidence from monitoring

and reviewing the outcomes of decisions. Adaptive management is crucial for dealing with

uncertainties and global pressures.

3.5.2. Ensure capacity for implementation

Capacity-building and awareness-raising strengthen the engagement of stakeholders and promote

effective implementation. This requires adequate financial resources and expertise. Efforts can

include training activities to support other decision-makers integrate ecosystems into their processes.

Stakeholders across sectors should be regularly informed and updated on the benefits of maintaining

and restoring ecosystems and their services.

Create a dedicated communication plan to strengthen the awareness and capacity of all stakeholder.

This plan should be culturally appropriate and guided by stakeholders’ needs for information and

training. Allocate appropriate time and money to develop and implement this communications plan.

Page 20: EU Guidance on Integrating Ecosystems and their Services

20 | Guidance on Ecosystem Services for Policy Makers – Draft 01_04.14.2020

3.5.3. Monitoring and evaluation based on suitable indicators

Monitoring and evaluating the outcomes of decisions is essential for effective implementation. This

should be based on suitable indicators derived from earlier assessments of ecosystems, their services,

and stakeholders (Chapters 3.2 – 3.3.). Suitable indicators include the condition of ecosystems and

their services, as well as their social and economic value(s).

Monitoring and evaluation help decision-makers achieve their intended objectives, taking corrective

and adaptive actions to ensure the wellbeing of people and nature. Results of monitoring and

evaluation should be made available to the broader public. To strengthen trust and support,

stakeholders should be aware of how decisions and policies affect ecosystems and their services. Their

engagement is crucial when making necessary changes.

3.5.4. Secure resources for implementation at different stages of the cycle

One of the key challenges to effective implementation is the lack of resources, including money, time

and expertise. Decision-makers should assess resource needs and ensure that resources are available

to support the integration of ecosystems and their services throughout a policy cycle. This includes

resources for implementation and monitoring.

Processes should be in place to assess resource needs and monitor how resources are used. This

should support the allocation of resources to different stakeholders engaging with ecosystems and

their services. Resources can include EU funding dedicated to supporting ecosystems and their

services to people, including funds for capacity building and climate bonds. 8

3.5.5. Support institutional arrangements that cater for integration

Decision-makers should create or support institutional structures that allow for the exchange of

information and knowledge between stakeholders. Integrating ecosystems and their services into

decisions requires three types of information flows:

i. Knowledge from experts and the scientific community, highlighting the status and trends of

biodiversity, ecosystem condition, and the delivery of ecosystem services;

ii. Knowledge and views from stakeholders and interest groups, including knowledge to assess the

importance of different ecosystem services;

iii. The flow of knowledge from (i) and (ii) between relevant decision makers and policy sectors.

A variety of institutional structures and instruments can support the flow of knowledge between

stakeholders, experts and decision-makers, including expert committees, stakeholder meetings,

public hearings, and inter-ministerial working-groups.

Chapter 3: Conclusion

This chapter has outlined five key steps to integrate ecosystems and their services into decision-

making. The aim of this integration is to develop sustainable policies, plans and projects that ensure

the resilience of people, business and nature.

8 Climate bond financing adaptation actions in Paris (2016)

Page 21: EU Guidance on Integrating Ecosystems and their Services

21 | Guidance on Ecosystem Services for Policy Makers – Draft 01_04.14.2020

4.

5. Overall Summary

6. What is in this Summary?

This document summarises Part 1 of the EU Guidance Document on Integrating Ecosystems and their

Services in Decision-Making, including the following three chapters:

Chapter 1: Why Ecosystem Services?

1.1 People and their economies depend on ecosystem services;

1.2 They provide cost-effective, nature-based solutions;

1.3 Healthy ecosystems sustain the flow of diverse benefits to people;

1.4 Resilient ecosystems support societies recover from disturbances;

1.5 The importance of ‘less visible’ ecosystem services for long-term prosperity.

Chapter 2: The Eight Guiding Principles for Effective Integration of Ecosystem Services

2.1 Prioritise measures that improve ecosystem condition and contribute to wellbeing;

2.2 Address inter-dependencies and trade-offs;

2.3 Apply the ‘mitigation hierarchy’;

2.4 Apply the ‘precautionary principle’;

2.5 Set long-term objectives/plans to secure essential ecosystem services;

2.6 Ensure adaptive management;

2.7 Coordinate and integrate planning across sectors and levels;

2.8 Enable stakeholder engagement.

Chapter 3: The Five Steps for Effective Integration of Ecosystem Services

3.1 Set out the purpose, scope and context for integrating ecosystem services into decisions;

3.2 Screen and prioritise ecosystems to identify services and stakeholders;

3.3 Map, assess and value relevant ecosystems and their services;

3.4 Integrate knowledge on ecosystem services and their value(s) into decisions;

3.5 Implement, monitor and review decisions to ensure adaptive management.

Page 22: EU Guidance on Integrating Ecosystems and their Services

22 | Guidance on Ecosystem Services for Policy Makers – Draft 01_04.14.2020

What is in the Full Guidance Document?

The full guidance document can be found on the European Commission’s website for ecosystem

services and green infrastructure. It is split into Part 1, Part 2, and Part 3:

Part 1: Main Guidance Document

- Detailed content on Chapters 1-3;

- Useful references, case-studies and procedures to effectively integrate ecosystem services;

Part 2: Ecosystem Services in Different Planning Contexts

- Chapter 4 elaborates on the integration of ecosystem services in EU policy areas;

- Chapter 5 highlights the ecosystem approach in land-based and marine spatial planning;

- Chapter 6 offers insights for businesses hoping to better engage with natural capital;

- References and a glossary of terms.

Part 3: Further Resources – Annexes

- Section A provides an overview of useful instruments and resources;

- Section B provides a table of services provided by the main ecosystem types in the EU;

- Section C provides practical case studies

- Section C provides examples of benefits resulting from protecting and restoring ecosystems;