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Chapter 3: Strengthening indicators and accounting systems for natural capital Chapter Coordinator: Patrick ten Brink (Institute for European Environmental Policy – IEEP) Lead authors: Patrick ten Brink, Sonja Gantioler, Haripriya Gundimeda, Pavan Sukhdev, Graham Tucker, Jean-Louis Weber Contributing authors: Jock Martin, Stephen White Editing and language check: Clare Shine Acknowledgements for comments and suggestions, and information from Camilla Adelle, Mubariq Ahmad, Jonathan Armstrong, Giles Atkinson, Jonathan Baillie, Lina Barrerra, Thomas Brooks, Stuart Buchart, Tamsin Cooper, Deanna Donovan, Annelisa Grigg, Mikkel Kallesoe, Jan Joost Kessler, Ninan Karachepone, Eimear Nic Lughadha, Alaistair Morrison, Aude Neuville, Andy Stott, Rosimeiry Portela, Irene Ring, Monique Simmonds, Stuart Simon Paul Smith, Nina Springer, James Spurgeon, Dhar Uppeandra, Madhu Varma, Matt Walpole, Mathis Wackernagel, Oliver Zwirner, other members of the TEEB for Policy Makers’ core group and many others. Disclaimer: “The views expressed in this chapter are purely those of the authors and may not in any circumstances be regarded as stating an official position of the organisations involved“. Citation: TEEB – The Economics of Ecosystems and Biodiversity for National and International Policy Makers (2009). URL: www.teebweb.org TEEB for Policy Makers Team TEEB for Policy Makers Coordinator: Patrick ten Brink (IEEP) TEEB for Policy Makers Core Team: Bernd Hansjuergens (UFZ), Sylvia Kaplan (BMU, Germany), Katia Karousakis (OECD), Marianne Kettunen (IEEP), Markus Lehmann (CBD), Meriem Bouamrane (UNESCO), Helen Mountford (OECD), Alice Ruhweza (Katoomba Group, Uganda), Mark Schauer (UNEP), Christoph Schröter-Schlaack (UFZ), Benjamin Simmons (UNEP), Alexandra Vakrou (European Commission), Stefan van der Esch (VROM, The Netherlands), James Vause (Defra, United Kingdom), Madhu Verma (IIFM, India), Jean-Louis Weber (EEA), Stephen White (European Commission) and Heidi Wittmer (UFZ). TEEB Study Leader: Pavan Sukhdev (UNEP) TEEB communications: Georgina Langdale (UNEP)

THE ECONOMICS OF ECOSYSTEMS AND BIODIVERSITY TEEB for National and International Policy Makers Chapter 3 Strengthening indicators and accounting systems for natural capital Table of Contents Key Messages of Chapter 3 2 3.1 What measurement problems do we face? 5 3.2 Improving measurement of biodiversity and ecosystem services 6 3.2.1 What role do indicators play? 6 3.2.2 What should biodiversity indicators measure? 9 3.2.3 Towards a biodiversity monitoring framework 11 3.2.4 Measuring ecosystem services 14 3.3 ‘Greening’ our macro-economic and societal indicators 23 3.3.1 Traditional approaches to measuring wealth and well-being 23 3.3.2 Tools for more sustainable measurement 23 3.4 Integrating ecosystems into National Income Accounting 27 3.4.1 The rationale for ecosystem accounting 27 3.4.2 Limitations of conventional accounting systems 28 3.4.3 Practical steps towards ecosystem accounting 29 3.4.4 Using available information to meet policy makers’ demands 31 3.5 Building a fuller picture: the need for ‘GDP of the Poor’ 33 3.5.1 A Tale of Two Tragedies: the measurement gap around the rural poor 33 3.5.2 Poverty and biodiversity: from vicious to virtuous circle 34 3.5.3 Practical steps towards measuring the GDP of the Poor 36 References 40 Annex 43 TEEB FOR NATIONAL AND INTERNATIONAL POLICY MAKERS - CHAPTER 3: PAGE 1

Chapter 3: Strengthening indicators and accounting<br />

systems for natural capital<br />

Chapter Coordinator: Patrick ten Brink (Institute for European Environmental Policy – IEEP)<br />

Lead authors: Patrick ten Brink, Sonja Gantioler, Haripriya Gundimeda, Pavan Sukhdev, Graham Tucker,<br />

Jean-Louis Weber<br />

Contributing authors: Jock Martin, Stephen White<br />

Editing and language check: Clare Shine<br />

Acknowledgements for comments and suggestions, and information from Camilla Adelle, Mubariq Ahmad,<br />

Jonathan Armstrong, Giles Atkinson, Jonathan Baillie, Lina Barrerra, Thomas Brooks, Stuart Buchart, Tamsin<br />

Cooper, Deanna Donovan, Annelisa Grigg, Mikkel Kallesoe, Jan Joost Kessler, Ninan Karachepone, Eimear<br />

Nic Lughadha, Alaistair Morrison, Aude Neuville, Andy Stott, Rosimeiry Portela, Irene Ring, Monique<br />

Simmonds, Stuart Simon Paul Smith, Nina Springer, James Spurgeon, Dhar Uppeandra, Madhu Varma,<br />

Matt Walpole, Mathis Wackernagel, Oliver Zwirner, other members of the <strong>TEEB</strong> for Policy Makers’ core group<br />

and many others.<br />

Disclaimer: “The views expressed in this chapter are purely those of the authors and may not in any circumstances<br />

be regarded as stating an official position of the organisations involved“.<br />

Citation: <strong>TEEB</strong> – The Economics of Ecosystems and Biodiversity for National and International Policy Makers (2009).<br />

URL: www.teebweb.org<br />

<strong>TEEB</strong> for Policy Makers Team<br />

<strong>TEEB</strong> for Policy Makers Coordinator: Patrick ten Brink (IEEP)<br />

<strong>TEEB</strong> for Policy Makers Core Team: Bernd Hansjuergens (UFZ), Sylvia Kaplan (BMU, Germany), Katia Karousakis (OECD),<br />

Marianne Kettunen (IEEP), Markus Lehmann (CBD), Meriem Bouamrane (UNESCO), Helen Mountford (OECD), Alice Ruhweza<br />

(Katoomba Group, Uganda), Mark Schauer (UNEP), Christoph Schröter-Schlaack (UFZ), Benjamin Simmons (UNEP), Alexandra Vakrou<br />

(European Commission), Stefan van der Esch (VROM, The Netherlands), James Vause (Defra, United Kingdom), Madhu Verma<br />

(IIFM, India), Jean-Louis Weber (EEA), Stephen White (European Commission) and Heidi Wittmer (UFZ).<br />

<strong>TEEB</strong> Study Leader: Pavan Sukhdev (UNEP)<br />

<strong>TEEB</strong> communications: Georgina Langdale (UNEP)

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