Protecting nature could save Aotearoa New Zealand more than $270 billion over the next 50 years, according to a major new report from the World Wide Fund for Nature (WWF) New Zealand and EY New Zealand.
The report, the first of its kind in New Zealand, reveals the economic costs of halting and reserving biodiversity loss by 2030 and shows that urgent investment into protecting Aotearoa’s threatened species and habitats could save the country significantly in the medium- to long-term.
Actions such as creating more Marine Protected Areas to help protect and restore marine ecosystems, restoring degraded wetlands, or repurposing land to support native forest growth could all bring a net benefit to Aotearoa New Zealand’s economy of an estimated NZD $272 billion from 2025-2080.
These savings will be achieved through protecting the country from the impacts associated with nature loss – such as disruption to crops, reduced water quality, or less abundant fish stocks. Meanwhile, safeguarding our ‘clean and green’ reputation globally will bring opportunities for our tourism and primary industry sectors.
By 2035 the economic benefits are expected to outweigh the costs of inaction related to nature loss and result in significant long-term growth, but we need to substantially increase our investment in nature - by up to 6.5 times the current spend - to achieve this, according to the analysis.
The research shows that nature-based solutions to climate change - such as native forest restoration and planting and restoring wetlands - could capture and store an additional 13.7 million tonnes of carbon dioxide every year from 2030, saving the country NZD $56.4 billion by 2080 and helping New Zealand to meet its climate targets domestically by reducing the need to purchase offshore mitigation.
WWF-New Zealand’s CEO, Dr Kayla Kingdon-Bebb, says the report makes it clear that protecting nature is not only important for our wellbeing and environment – it also makes economic sense.
“Politicians often claim their priority is growing the economy and they see protecting nature as a drain on the books – but this landmark research turns the idea of ‘people versus nature’ on its head.
“It’s not just about protecting nature for nature’s sake – safeguarding our threatened species and habitats can create competitive advantage for our key industries and grow our economy,” she says.
“Aotearoa New Zealand is at the pointy end of biodiversity-loss, with the highest per capita rate of threatened species in the world. We’re acutely reliant on nature for our primary industries and tourism sector, and our ‘clean and green’ brand gives us a competitive advantage globally.
“This research shows us clearly for the first time just why it’s in all of our interests to have a healthy natural environment.”
In 2022, Aotearoa New Zealand joined other countries around the world in signing on to the Kunming-Montreal Global Biodiversity Framework - a series of 23 global targets to halt and reverse nature loss by 2030, and often described as the ‘Paris moment’ for nature.
This report looks at the five of these targets most relevant in Aotearoa and looks at the economic impacts, challenges and opportunities of achieving these.
It shows that investment into nature needs to increase by approximately 6.5 times the current spend - or NZ $22.5 billion per year - to meet these targets. But the longer we wait, the more costly the action will become, and the more likely irreversible damage will occur, the report says.
“We’re at a tipping point. Over 4,000 of our native species are now at risk of extinction, and climate-related disasters – like the flooding we’ve just seen in Dunedin – are only going to get more frequent. Our research makes it clear that the time for action is now,” says Kingdon-Bebb.
“Halting and reversing nature loss by 2030 is going to require transformation across our economy, particularly in the primary industries - but many of our leading businesses already know this and are taking steps towards creating a nature-positive future.
“It’s time for the Government to get ahead of the curve and support Kiwi businesses to lead the way. More short-term thinking from our political leaders is only going to pass on huge costs to future generations,” she says.
The report outlines the opportunities nature-positive action brings for New Zealand’s primary sectors and identifies actions the Government could take to create the right conditions for businesses to invest in nature.
This includes making it mandatory for businesses to assess and disclose their impacts on nature so consumers and investors can make more informed decisions– as well as initiatives such as a system of biodiversity or carbon credits generated by nature action, or an investment fund that targets nature-related projects.
“Countries are being called upon at the upcoming COP16 biodiversity summit in Colombia next week to present their updated plans on how they’re going to halt and reverse nature-loss by 2030. So far we’ve seen a lot of backsliding from the Coalition Government, and a series of anti-environment policies that will push our native species closer to the brink.
“If we don’t step up our game, we're going to quickly fall out of step with the rest of the world and fail to meet the increasing sustainability demands from consumers and investors globally. The Government’s continued focus on short-term economic growth at the expense of our environment is ultimately going to undermine our economy and saddle future generations with an enormous, unconscionable debt.
“We hope this report will shine a light on what’s at stake for Aotearoa if we don’t act now and help to create a pathway for a nature-positive future.”