Ecosystem services flow accounts

The purpose of measuring ecosystem services is to provide information on the many contributions that ecosystems make to people and the economy. Ecosystem services are the connecting concept between ecosystem assets and the production and consumption activity of businesses, governments and households and households (collectively referred to as “economic units”). Ecosystem services flow accounts provide information on both the ecosystem services supplied by ecosystems and the users of these services.

Ecosystem service are classified into three broad categories: provisioning services, regulating services and cultural services. Provisioning services, such as biomass production, reflect ecosystem contributions to products extracted or harvested from ecosystems, such as timber, fish or plants. Regulating and maintenance services represent the capacity of ecosystems to maintain climatic, hydrological and bio-chemical cycles, as well as biological processes. Cultural services are generated from the physical setting, location and characteristic of ecosystems and give rise to emotional, intellectual and symbolic benefits that people receive from ecosystems through recreation, knowledge development, relaxation, and spiritual reflection.

Ecosystem services includes intermediate and final services. Final ecosystem services are used by the economy and people (economic units). Intermediate services are used by other ecosystems and contribute to the supply of final ecosystem services.

Beneficiaries include users of final ecosystem services, as well as other economic units that receive benefits indirectly through interactions with users. For example, the users of water supply services include businesses and other organizations that extract water directly from ecosystems, whereas beneficiaries include users as well as businesses, governments, and households that receive clean water or related benefits.

Ecosystem services flows can be accounted for in physical terms and in monetary terms. Ecosystem services flow accounts in monetary terms are described in the System of Environmental-Economic Accounting - Ecosystem Accounting (SEEA-EA) statistical framework, but are not included in the portions adopted as an international statistical standard. Nevertheless, the SEEA-EA recommends that ecosystem service flows in monetary terms be based on exchange values, for compatibility with other macro-economic accounts.

A range of methods are used to estimate the monetary value of ecosystem services since market prices do not exist for services. For example, water purification services provided by wetlands or forests are not regularly bought or sold in the marketplace. Methods that are based on observable and revealed prices and costs are preferred for measuring monetary values of ecosystem services.

Statistics Canada does not yet produce a full set of ecosystem services flow accounts. Selected data on ecosystem services in recent issues of the report Human Activity and the Environment, such as “Accounting for ecosystems in Canada.” In addition, new data on ecosystem services and beneficiaries will be developed on an ongoing basis as part of the development of the Census of Environment. For example, data on resource-based communities provides insights into beneficiaries of ecosystem provisioning services.

For further details on ecosystem services flow accounts, see the United Nations System of Environmental-Economic Accounting - Ecosystem Accounting manual, Chapters 6 to 9.

Access analysis, data tables and methodological information through the following links:

Human Activity and the Environment

Statistics on resource-based communities