Citizens’ Preferences and Valuation of Urban Nature: Insights from Choice Experiments

Abstract

Urban nature increases the liveability of cities and can improve the resilience of cities to climate change. However, the value of urban nature often remains unknown, which results in its undervaluation, and subsequently under-provision. Valuation of small-sized nature in particular remains understudied. This study estimates the economic value of seven urban nature types in Dutch cities and the ecosystem services they provide. We employ a stated preference methodology to estimate the economic value of urban nature to urban residents and four ecosystem services: namely, temperature regulation, flooding risk regulation, air quality regulation and biodiversity regulation. We perform two choice experiments: one with larger urban nature types (urban parks, urban forest and green corridors) and another with smaller urban nature types (green roofs, green walls, street trees and green beds). The results of the choice analysis show that urban residents are willing to pay more for more extensive areas of larger urban nature types, whereas this is not the case for smaller types of nature. The ability of urban green to decrease flood risk, provide cooling and improve air quality is valued (per unit) substantially lower. We discuss various opportunities and barriers for implementing the valuation results in urban planning practices.

Keywords: Economic valuation, stated preferences, nature based solutions, Dutch cities, regulating ecosystem services