Conservation of the Great Barrier Reef: is the Benefit worth the Cost?

saving of the undischarged rampart get down is the social welf ar expenditure the represent?IntroductionThe outstanding restraint bring down has been an motion checkic part of Australias global image for decades. It is considered one of the seven born(p) wonders of the world, it has been a world heritage site since 1981 and it is considered a asseverate delineation of Queensland. This stunning and difficult graphic imaging draws in more than than cardinal one million million million visitors a year, and yet there is immense controversy ring the conservation of the bring down. The non bad(p) bar let down is a sensitive purlieu that relies on the beal ecosystems contact the lower to function. The costal ecosystems issue the aquatic terrestrial link that supports the physical, biological and biogeochemical process that underpin the ecosystem wellness of the large barrier take down ( extensive obstruction reef Marine Park ascendence, 2012). The great obstacle get down provides Australians and pile worldwide galore(postnominal) social eudaimonias such as agricultural production, commercial and recreational fishing, touristry, recreation and environmental treasures. good Economic hold dear of the grand bar bring downThe big barrier reef provides sparing benefits when either preserved or destroyed. Environmentaland scotch concerns tend to raise controversy, whether it be land rights,natural choices, pollution or any other variety of environmental concerns.Public opinion is intemperately divided, some believe that the environment shouldcome first at any costs while others believe the thrift is of greaterimportance. There is no right or wrong answer. The truth is that economicbenefits often employment with environmental and social benefits. This effectsthe mien that policy makers make decisions, therefore it is very important thatthere is a way to pry environmental features within nature in monetary lines. Valuing nature in monetary terms caneffectively inform policy settings and answer industry, government, the knowledgecommunity and the wider public neary understand the contri howeverion of theenvironment to the economy and society. (Total economic valuate of the GreatBarrier lower what you need to know, 2017). In a world that is continually growing moreenvironmentally scrupulous it is important that there is a way to assistwith mutual dread of environmental and economic costs and benefits.Using the Total Economic measure out (TEV) framework a monetary order can be fit(p)environmental features such as the Great Barrier Reef. The aim of this prove isto provide an digest of the value of the Great Barrier Reef and provide acase for conserving the Great Barrier Reef and limitingor modifying the main activities or driving forces that are hurlting pressure ofthe Reefs overall health. What is Total Economic Value (TEV)?TEV is a cost-benefit psychoanalysisframework apply for valuing a natural resource and comparing the cost andbenefit of having said resource to the cost and benefit of not having it. Asrepresented in figure 1 below, there are many unalike types of determine, themain two being office values and non-use values. strain 1 Total Economic Value Framework (Total economic value of the Great Barrier Reef what you need to know, 2017) Putting a monetary value on a naturalresource is a complex task and therefore all values must be reviewed andunderstood. For example the Great Barrier Reef is an figureic Australian image,as an characterization the Great Barrier Reef holds icon value which is internationally important on not only tourism but politics and caper as well.Identifying the Costs and receiptss of Great Barrier Reef ConservationCost well-being analysis (CBA) is aprocess that attempts to measure the positive and minus consequences ofsomething. CBA measures externality effects, social benefits and effects onboth participants and no n-participants. loving Benefits of Great Barrier Reef ConservationThe Great Barrier Reef holds asignificant number of social benefits that need to be reviewed when consideringthe TEV or a CBA of the reef. In a radical of this size not all benefits can bereviewed, just the most major social benefits and costs depart be briefly discussed.The Great Barrier Reef has been an important resource for thousands of years,stretching back to when the indigenous population lived within the coastal battlegrounds surrounding the Great Barrier Reef. Today the reef is used and wanted asa place for people to visit and enjoy. The reef has provided over 54000 fulltime jobs for Australians by destines of fishing and tourism (At what price? Theeconomic, social and icon value of the Great Barrier Reef, 2017). The reef isalso an important sector for culture, recreation, scientific research and defenceforce training (McCook et al., 2010). Even through indirect use the GreatBarrier Reef effects millio ns of people purely by existing. Having a pristinecoastal and marine area to use for recreational activities promotes a healthierlifestyle, this is a social benefit that provides a healthier population andtherefore in the long term decreases medical costs. There is a similarsituation regarding air pollution. Having a healthy coastal environment andhealthy marine environment would help to increase clean air and reduce airpollution, this again would slenderize medical costs in the long term and promote ahealthy lifestyle. Social Costs of Great Barrier Reef ConservationIt can be argued that the conservationof the Great Barrier Reef provide have a negative effect on jobs due to the occurrencethat reef conservation has a negative effect on coal mining and shippingroutes. In order to protect the reef costal nurture must be regulated andminimised and this provide have a significant effect on population harvest-festival and willeconomically effect coastal towns. Conservation of the r eef does notnecessarily mean removing all profitable practices from the reef. Conservationcan mean that economic action may remain but only in a way that issustainable. Great Barrier Reef conservation will result in decreased growthrate for jobs within mining, fishing, agricultural and tourism sectors.Although growth rates for jobs would have to slow in the long term picture thejobs that are created would be created to last. As population size willcontinue to grow it must be determined if the conservation of the Great BarrierReef will be enough to support many coastal and inland communities in northQueensland. The biggest driving force for the support of development of pertlycoal mines and coastal ports in north Queensland is the promise of new jobs forthe people living in proximity to the Great Barrier Reef. measuring stick the costs and benefits of Great Barrier Reef conservationBenefits of the Great Barrier ReefBenefitBenefit fibreEconomic Value TypeValuation MethodRecreatio nal BenefitsSocial BenefitDirect exampleBoth visitors and residents use the Great Barrier Reef for recreational activities. The croak cost method would be used to determine the amount of money that people spent travelling in order to use the reef for recreational activities.About 60 per cent of recreational visitors visit the Reef between one and 10 times in a year, but a small proportion (about 15 per cent) visit the area more than 50 times a year. Recreational use (including recreational fishing) contributed $153 million to the Australian economy in 2006/07. The exact contribution of the non-fishing component is not known. (Gbrmpa.gov.au, 2017)Economic SustainabilityPrivate BenefitDirect white plagueBy maintaining the health of the Great Barrier Reef it will continue to be an summation and supply jobs to the local area. Economic Sustainability can be valued apply the Damage Cost Avoided, Replacement Cost, and Substitute Cost MethodsCultural BenefitsSocial BenefitBequest Value Altruist ValueExistence ValueIcon ValueMany Australians take pride in the natural phenomena within the country and are inclined to protect it for the use of hereafter generations. Hedonic pricing would be used to determine the benefit of the reef in terms of cultural and aesthetic value.Health BenefitsSocial BenefitDirect UseCleaner air and promotion of recreational activities will have health issues decrease and money will be rescue on Medicare. Health Benefits would be measured using the contingent rating method.Scientific ResearchSocial and Private BenefitDirect UseThe Great Barrier Reef can continue to be used for scientific research that may one day supply valuable research.Fishing industryPrivate BenefitDirect useThe use of the reef for commercial fishing can be valued using the market price method, as fish can be valued within a commercial market.Tourism IndustrySocial BenefitDirect UseThe use of the reef for tourism can be valued using the productivity method or the con tingent valuation method as the reef supplies many products and services within the tourism industry.Costs of the Great Barrier ReefOptions for quantifying the costs and benefits of Great Barrier Reef conservationIt appears that the best(p) way todetermine a monetary value of the Great Barrier Reef is the total economicvalue (TEV) framework. This framework has been used many times by manydifferent organisations and repeatedly appears to have consistent conclusions.Oxford Economics assessed the TEV of the Great Barrier Reef in 2009 and came tothe conclusion that it is worth 51.4 billion dollars (Valuing the effects ofGreat Barrier Reef bleaching, 2017), and in 2017 Deloitte economists determinedthat the value of the Great Barrier Reef stood at 56 billion dollars (At whatprice? The economic, social and icon value of the Great Barrier Reef, 2017). TheTEV framework effectively encompasses the superlative range of costs, benefits andvalues out of all other frameworks. When using cost benefit analysis (CBA) theindirect benefits are not considered in the same way that they are with the TEVapproach. It was determined in the Deloitte economists report that the secondmost valuable reflexion of the Great Barrier Reef was indirect or non-use value at23.8 billion dollars, second to only tourism which was determined to be worth astaggering 29 billion dollars. It is clear that the TEV framework is the bestsystem currently within use.ConclusionThe final thoughts on the musical theme ofevaluating the value of the Great Barrier Reef, one of the worlds greatestnatural resources, is that currently the best and most effective way to put amonetary value on the reef is to use the TEV approach. This resource mustpreserved and Australia must not allow this resource to compose abused anddestroyed, it is one of the countrys greatest resources and is such an iconicimage that represents Australia as a whole. The value that this brings throughnon-use value is irreplaceable and is in no way worth destroying for aneconomic trade off. 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