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EDWA’s innovative Ecosystem Goods and Services Valuation Report showed that the upper American River watershed (UARW) is a natural capital asset worth $1.6 trillion over a 100 year period. This value includes agricultural lands which provide a multitude of benefits beyond food production such as groundwater recharge, pollination, biodiversity, and more. Agricultural lands in the UARW have an estimated annual value of $56 million which increases to about $80 million in El Dorado County alone if non-food (e.g., timber) and value-added products (e.g., making apples into cider) are included. This is important because if there are adequate and reliable water supplies, agricultural lands can be significantly expanded on the West Slope providing even greater economic and ecosystem benefits.
EDWA’s ecosystem goods and services valuation demonstrates the importance of maintaining and investing in a healthy watershed as it has a myriad of benefits not just for local communities but for residents across the globe. We are thrilled that a research paper based on the report was published in WATER, a peer-reviewed, interdisciplinary journal that brings together research from diverse disciplines.
The paper, entitled "Headwater Valuation as a Tool for Economic Development, Healthy Forest Management, and Water Resilience," is third-party validation that valuing natural capital in economic terms provides a common metric for comparison and integration with other types of investments in built and social capitals. Putting a monetary value on natural assets is important for helping to inform policy and investment decisions aimed at increasing climate adaptation, improving watershed health, and building rural-agricultural community resilience.
In addition, we are excited that EDWA has been invited to present on this topic at the upcoming joint water resources conference hosted by the American Water Resources Association, the Universities Council on Water Resources, and the National Institutes for Water Resources this fall in St. Louis, MO.
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