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Land for biodiversity conservation — To buy or borrow?

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  • Schöttker, Oliver
  • Johst, Karin
  • Drechsler, Martin
  • Wätzold, Frank

Abstract

The conservation of endangered species and habitats frequently requires a certain type of land use which, however, leads to opportunity costs compared to profit-maximising land-use. In such a setting biodiversity conservation organisations have two main options: (1) The ‘buy alternative’ where they buy the area of interest and either carry out the necessary land-use measures themselves or hire firms to do so, or (2) the ‘borrow alternative’ where they ‘borrow’ the land for conservation from private landowners who agree to carry out biodiversity-enhancing land-use measures over a certain period while the conservation organisation compensates them for their opportunity costs. Comparing both alternatives raises the question of budget efficiency, i.e. which alternative will lead to a higher level of biodiversity conservation for a given financial resources? In this paper we present a conceptual ecological–economic model, and then apply the model to analyse how changes in ecological and economic parameters influence the relative efficiency performance of the two alternatives.

Suggested Citation

  • Schöttker, Oliver & Johst, Karin & Drechsler, Martin & Wätzold, Frank, 2016. "Land for biodiversity conservation — To buy or borrow?," Ecological Economics, Elsevier, vol. 129(C), pages 94-103.
    • Handle: RePEc:eee:ecolec:v:129:y:2016:i:c:p:94-103
    DOI: 10.1016/j.ecolecon.2016.06.011
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    2. Soh, Moonwon & Cho, Seong-Hoon & Yu, Edward & Boyer, Christopher & English, Burton, 2018. "Targeting Payments for Ecosystem Services Given Ecological and Economic Objectives," 2018 Annual Meeting, February 2-6, 2018, Jacksonville, Florida 266502, Southern Agricultural Economics Association.
    3. Bostedt, Göran & Zabel, Astrid & Ekvall, Hans, 2019. "Planning on a wider scale – Swedish forest owners' preferences for landscape policy attributes," Forest Policy and Economics, Elsevier, vol. 104(C), pages 170-181.
    4. Cho, Seong-Hoon & Soh, Moonwon & English, Burton C. & Yu, T. Edward & Boyer, Christopher N., 2019. "Targeting payments for forest carbon sequestration given ecological and economic objectives," Forest Policy and Economics, Elsevier, vol. 100(C), pages 214-226.
    5. Calvet, Coralie & Le Coent, Philippe & Napoleone, Claude & Quétier, Fabien, 2019. "Challenges of achieving biodiversity offset outcomes through agri-environmental schemes: Evidence from an empirical study in Southern France," Ecological Economics, Elsevier, vol. 163(C), pages 113-125.
    6. Oliver Schöttker & Frank Wätzold, 2022. "Climate Change and the Cost-Effective Governance Mode for Biodiversity Conservation," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 82(2), pages 409-436, June.
    7. Drechsler, Martin & Wätzold, Frank & Grimm, Volker, 2022. "The hitchhiker's guide to generic ecological-economic modelling of land-use-based biodiversity conservation policies," Ecological Modelling, Elsevier, vol. 465(C).
    8. Gerling, Charlotte & Wätzold, Frank, 2019. "Evaluating policy instruments for the conservation of biodiversity in a changing climate," MPRA Paper 95512, University Library of Munich, Germany.
    9. Augustynczik, Andrey Lessa Derci & Yousefpour, Rasoul & Rodriguez, Luiz Carlos Estraviz & Hanewinkel, Marc, 2018. "Conservation Costs of Retention Forestry and Optimal Habitat Network Selection in Southwestern Germany," Ecological Economics, Elsevier, vol. 148(C), pages 92-102.
    10. Zabel, Astrid & Bostedt, Göran & Ekvall, Hans, 2018. "Policies for forest landscape management – A conceptual approach with an empirical application for Swedish conditions," Forest Policy and Economics, Elsevier, vol. 86(C), pages 13-21.
    11. Schöttker, Oliver & Wätzold, Frank, 2017. "Cost-effectiveness of buying land for conservation versus paying land-users for conservation measures – the case of preserving an oligotrophic lake in a Natura 2000 area in North Germany," MPRA Paper 80661, University Library of Munich, Germany.

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