Sustainable Asset Valuation (SAVi) of Agroforestry Nature-Based Infrastructure in Welkenraedt (Belgium)

Resource type: 
Business
Policy
Research
EU project stamp: 
No
Main entity: 
International Institute for Sustainable Development (IISD)
Type of entity: 
Research centre/University
Funding: 
EU
Key themes: 
Agriculture
Climate change
Climate change adaptation
Climate change mitigation
Economic and social development
Finance
Forestry
Forests
Resilience
Sustainable forest management
Sustainable management
Sustainable use
Societal challenges: 
Biodiversity Enhancement
Climate Resilience
Food security
New Economic Opportunities & Green Jobs and Participatory Planning and Governance
Scope: 
Europe
Focus: 
Belgium
Description: 

This report describes the Sustainable Asset Valuation (SAVi) assessment of an agroforestry project in the municipality of Welkenraedt, Belgium. Agroforestry is nature-based infrastructure (NBI) that aims to maintain and restore soil productivity, combat erosion, maintain high water quality, and strengthen climate resilience in the area. Agroforestry is included in the municipality’s climate plans.

The net benefits of the agroforestry project are estimated at EUR 3.9 million over a 20-year lifetime period for an investment cost of EUR 607,629. This is due to positive externalities, avoided costs, and additional potential revenue streams, such as, for example, fodder and wood pellet production.

Due to climate change, these benefits will only increase further and make agroforestry projects even more economically attractive. For example, agroforestry has a cooling effect that reduces heat stress on livestock, improving milk production and thus farmers' revenues.

Date: 
2021
Language: 
EN
FR