Our first National Ecosystem Account
We know that the health of our environment is important to our Australian economy and for us as Australians.
However, the benefits we receive from the environment are not often recognised in decision-making processes.
That's why the department has teamed with the Australian Bureau of Statistics to develop the first National Ecosystem Accounts.
Applying an accounting framework has allowed the contributions of ecosystems, or our environment, to be shown in financial terms.
The Accounts will help governments and communities make decisions that balance economic growth with environmental outcomes.
What does our environment do for our economy and for us?
In 2020-21, 5 Australian ecosystem services provided at least $85 billion to support our economy and wellbeing. This included:
- 34.5 million kilotonnes of carbon storage. This is valued at over $43 billion.
- 58.8 million megalitres of water. This is valued at $1.4 billion.
- Mangroves protected 4,006 coastal homes. This protection valued at $57 million.
- Saltmarsh protected 566 coastal homes. This protection valued at $8 million.
- 56.3 million kilograms of wild fish were caught by Commonwealth fisheries. This is valued at $39.2 million.
- 111.2 million tonnes of forage for grazing beef cattle and calves or sheep and lambs. This is valued at $40.4 billion.
Each annual release will build our understanding of how the environment contributes to our economy by adding updated data and more ecosystem services.
While we are yet to quantify the full value of all Australia's ecosystem services, this first account is a strong foundation for future improvements.
What do the accounts tell us about the state of our environment?
The accounts focus on the size, health and value of Australia's environment.
The health estimates are mixed.
That state of our environment is continuing to decline. Consistent with the fundings from State of the Environment Reporting, by 2021:
- invasive animal and weed species introduced to Australia from overseas continuing to spread.
- an increase in the number of threatened species, and existing populations declining.
- perennial rivers, those that flow all year, that travel through conservation and natural environments, decreasing by 4%.
Yet:
- half of Australia's mangroves had at least 80% canopy cover indicating that they are in good health.
- although forests had shrunk in area, the remaining areas have improved in productivity.
The accounts show us that we continue to use our land intensively, with intensive land-use increasing by 0.5% or 592 thousand hectares from 2015-16 to 2010-21.
That means that our urban and industrial ecosystems grew by 281 thousand hectares or 5.1%.
Nature sustains our businesses and industries. It protects property, provides places to enjoy, and helps keep us healthy. It brings communities together.
Quantifying the economic value of the services provided by the environment allows governments, businesses and communities to make informed decisions on matters that impact the environment.
