Report outcomes

 

Total Economic Value

This study uses a Total Economic Value approach to valuing the Reef which takes a broader view, incorporating both direct-use values (e.g. fishing, tourism) and non-use values (e.g. how much people are willing to pay to protect it). No previous studies have evaluated the Reef using this approach.

Total Economic Value 

 

Why a new valuation?

Past studies have been an important source for this work. However, these studies:

  • have focused on the income the Reef provides to Australia, in a single year;
  • have excluded the value placed on the Reef from non-use sources;
  • have not taken the long run investment approach which is appropriate to the protection of an environmental asset;
  • have generally not focused specifically on the Cairns region;
  • have not considered the cost of bleaching from a total economic value perspective.

 

Key Findings

 
Value of Reef 
  Total assessed value of the Reef Assessed loss from a total and permanent bleaching event % loss of assessed value
Entire Great Barrier Reef  $51.4 billion  $37.7 billion  73%
Cairns Region  $17.9 billion $16.3 billion   90%
 
A Serious Issue 

The findings of this report demonstrate that coral bleaching is a serious issue for Australia, the Great Barrier Reef & Cairns:

  • An impact on perceptions about Australia’s effectiveness in managing its most important  World Heritage Areas;
  • A significant impact on Cairns tourism somewhat mitigated by other tourism and visitor activities in the region which would continue to attract visitors (e.g. Daintree National Park);
  • Commercial fishing also impacted;

 

Why Cairns?

Cairns is the focus of much Reef activity and, as such, ‘personalises’ the impacts of bleaching and climate change. More than 70% of the 1 million visitors to the Reef each year enter via Cairns. The Cairns area accounts for 14% of the Gross Value of Production (GVP) of GBR commercial fisheries.

The "Cairns Region" is defined differently depending on data source. The map below outlines the different regions used in the Report.

Map of Cairns Regions 

 

Protecting the Reef's future

Much is being done…
  • The Reef is well managed and in good condition;
  • Government and others are funding research directed at resilience;
  • Strategies to address other threats (e.g. water quality etc.) are essential;
  • The Commonwealth and Queensland Government  as well as industries are considering potential impacts (e.g. tourism) and investing in response strategies.
But more needs to be done
  • The threat is global and local, urgent and immediate – the effects of climate change are already in the system;
  • Managing the Reef in the face of climate change will be more demanding than any other threat;
  • The threat posed by climate change means we must reduce emissions and develop solutions & adaptations strategies to preserve the Reef’s future;
  • If the Reef is worth $50bn, we must both:
    • do all we can to reduce the likelihood of bleaching and other climate change threats; and
    • Consider interventions which manage climate impacts

We owe it to Cairns, all Australians and the global community to preserve this asset.

 

How the Foundation is responding to the threat of climate change on the Reef

The Foundations Research Vision and Framework are specifically focussed on the threat climate change poses to the Reef. Under this Vision and Framework, the Foundation has invested in a range of projects including ocean acidification, thermal tolerance of corals, migration of corals across temperature zones, identification of the attributes of a sustainable reef in the face of climate change, to name but a few.

Whilst emissions mitigation is critical to the preservation of the Reef in the face of climate change, it is not sufficient. With this in mind, the Foundation is working to advance thinking and discussion on the solutions and adaptations strategies that will be needed if we are to preserve the Reef, and the communities it supports, in the face of climate change. To this end, the Foundation has convened its Solutions and Adaptations Working Group. The Working Group is a group of experts. These experts are working to identify solutions and adaptations strategies across the biophysical, institutional, social and economic domains for development into projects for investment by the Foundation and its donors.

Report background information