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Climate change is a major threat to biodiversity and ecologists have identified necessary adaptation strategies. However, little research has been conducted so far on the economics of climate adaptation for biodiversity conservation. Three challenges arise from an economic perspective: How to (1) assess the impact of climate change on the cost-effectiveness of conservation, (2) consider the increasing uncertainty, and (3) evaluate conservation policy instruments under climate change. Addressing these challenges provides a thus far largely unexplored perspective on the economics of biodiversity conservation. This perspective relies on novel methodologies and provides policy-relevant insights.
In this thesis, these challenges are addressed in eight articles. Chapter 2 presents a novel economic evaluation framework to assess policy instruments for climate adaptation. Specific criteria are developed, their relevance for different strategies is assessed and suitable instruments identified.
Chapters 3 and 4 have a methodological focus as two climate-ecological-economic (CEE) models are developed. Chapter 3 presents an applied model integrating detailed sub-models able to assess the cost-effective spatio-temporal allocation of conservation measures. In chapter 4, methods from operations research are developed further to identify optimal time series of reserve networks. In both chapters, cost-effective conservation plans are identified in case study applications.
In chapter 5, CEE modelling is applied to examine the role of uncertainties regarding future climatic conditions. It is found that a trade-off between expected performance and robustness emerges in the case study in the future.
In chapters 6 to 8, CEE modelling is used to assess policy instruments under climate change. Chapter 6 examines an agri-environment scheme: cost-effectiveness requires flexibility in adapting the timing of conservation measures due to species’ adaptations and changes in costs. Chapter 7 examines two versions of land purchase: a “no sale” policy which prohibits sales for ecological reasons and a “sale” policy to enhance spatial flexibility for adaptation. A new trade-off is identified: while “no sale” mainly increases habitat permanence of expanding habitat types, “sale” improves the outcome for increasingly threatened habitat types. Chapter 8 is novel in its comparative analysis of two policy instruments considering spatial and management flexibility in a case study. It is found that in the case study, conservation contracts are more cost-effective than land purchase, but that the relative suitability switches when the conservation agency is able to capture producer rents.
Finally, chapter 9 uses the results of chapters 3 and 5 to develop an innovative teaching tool for students to learn about cost-effective biodiversity conservation under climate change.
Anthropogenic threat for the world’s environment and ecosystems and financial constraints necessitate a wise use of resources for the implementation of biodiversity conservation measures. A cost-effective planning and governance of biodiversity conservation has to be done to achieve maximal ecological outcomes with given financial resources. A better understanding of available modes of governance can help to improve the cost-effectiveness of biodiversity conservation planning and implementation.
This thesis investigates the influence of governance mode choice on the cost-effectiveness for biodiversity conservation measure implementation in selected conceptual and empirical settings, and identifies ecological, economic and climatic factors of influence. Linking the cost-effectiveness analysis for biodiversity conservation measures to the make-or-buy decision enables a novel perspective on cost-effective biodiversity conservation. In this context, conservation agencies are assumed to have two main options to implement biodiversity conservation measures in principle: (1) the buy alternative in which land is purchased for the purpose of biodiversity conservation measure implementation, and (2) the compensation alternative where a conservation agency compensates landowner’s opportunity costs to incentivise voluntary conservation measure implementation by landowners.
Two conceptual ecological-economic models were developed to analyse the cost-effective governance mode choice and their sensitivity to changing ecological, economic and climatic parameters. Two empirical case studies were conducted to address the question of cost-effective governance mode choice for a conservation project in Schleswig-Holstein (Germany) and a federal state wide comparison of conservation activities in California (USA).
It was found that the buy alternative is more cost-effective than the compensation alternative if conservation budgets and interest are high. In addition, not only the choice of governance mode is relevant with respect to cost-effectiveness, but also the mechanism to spatially select conservation sites chosen within a selected governance mode. Changing climate change speed – among other factors – influences the cost-effectiveness of governance modes and site selection strategies. The cost-effective governance mode choice also crucially depends on the intended timeframe of a conservation project. For shorter timeframes, compensating landowners is the cost-effective governance mode, however for longer durations the buy alternative becomes more cost-effective. This effect arises specifically due high one-off costs for buying land, which however amortize over time, compared to high recurring costs for compensating landowners. Based on these findings, the policy recommendations are provided which aim to improve the cost-effectiveness of governance modes available for biodiversity conservation.