Accounting for biodiversity: operationalising environmental accounting

Abstract

This study seeks to operationalise the reporting of corporate natural assets (i.e. habitats, flora and fauna). A natural inventory model is used, building on existing methodology. This study significantly extends the prior research by considering environmental accounting in the context of a large site and by using a UK publicly listed company, Hyder plc. The research finds that the methodology is generally applicable. Data were available to identify and value ten important habitats. Moreover, data were present for critical species (especially birds and mammals), and for flora and fauna on critical habitats. However, for some non‐critical species, data, particularly population data, was problematic. The potential benefits of the natural inventory model are substantial, the costs are modest.

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