Natural Resources: The Foundation of Human Society
Natural resources
Natural resources are materials and energy sources found in nature that humans use to meet their needs.
Sunlight, water, fossil fuels and minerals
They can be classified into two main categories:
- Renewable resources: These can regenerate or replenish naturally over a short period.
- Non-renewable resources: These exist in finite amounts and take millions of years to form.
The Value of Natural Resources
Natural resources hold value in multiple ways:
- Economic: Resources like fossil fuels and minerals drive industries and economies.
- Environmental: Ecosystems regulate climate, purify air and water, and support biodiversity.
- Cultural and Spiritual: Many cultures view nature as sacred or integral to their identity.
- Intrinsic: Nature has value simply because it exists, independent of human use.
- To what extent can economic principles be applied to natural capital?
- Does putting a price on nature help or hinder conservation efforts?
Renewable Resources
- These resources can regenerate or be replenished naturally within a human lifetime.
- However, they can become depleted if used unsustainably.
- Assuming all renewable resources are infinite.
- Overuse can lead to depletion, such as deforestation or overfishing.
Non-Renewable Resources
- These resources exist in finite amounts and are not replenished on a human timescale.
- Once used, they are gone or take millions of years to regenerate.
- Some non-renewable resources, like metals, can be recycled, extending their usability.
- However, recycling requires energy and infrastructure.
Natural Capital: The Stock of Earth's Resources
Natural capital
Natural capital refers to the total stock of natural resources (both renewable and non-renewable) that provide ecosystem services benefiting humans and the environment.
It includes three main types:
1. Renewable Natural Capital
Renewable natural capital
Renewable natural capital is a resource that regenerates naturally over time and provides ongoing benefits.
- Forests: Provide timber, carbon sequestration, and habitat for wildlife.
- Fish Populations: Sustain marine biodiversity and food supply.
- Freshwater Systems: Support drinking water, irrigation, and hydropower.
Sustainability Concern: Overharvesting can deplete these resources faster than they regenerate (e.g., deforestation, overfishing).
2. Non-Renewable Natural Capital
Non-renewable natural capital
Non-renewable natural capital is a resource that exists in finite amounts and cannot be replenished within a human lifespan.
- Fossil Fuels: Coal, oil, and natural gas for energy production.
- Minerals & Metals: Copper, iron, lithium (used in electronics, construction).
- Phosphate Rocks: Essential for fertilizer production and global food security.
Sustainability Concern: Extraction and consumption lead to depletion, pollution, and environmental degradation.
3. Ecosystem Services (Intangible Natural Capital)
Ecosystems services
Ecosystem services or intangible natural capital are nature’s "free services" that support life and human well-being.
- Climate Regulation: Forests and oceans absorb COâ‚‚, reducing global warming.
- Pollination: Bees and other insects sustain agriculture and food production.
- Soil Fertility: Microorganisms and decomposers recycle nutrients for crops.
Sustainability Concern: Biodiversity loss and ecosystem destruction reduce the planet’s ability to provide these essential services.
Why is Natural Capital Important?
- Depletion of natural capital can lead to resource scarcity, economic decline, and environmental collapse.
- Sustainable management ensures long-term benefits for both ecosystems and human societies.
Natural Income: Goods & Services from Natural Capital
Natural capital provides natural income, which refers to the goods and services that ecosystems generate over time.
These can be divided into two categories:
1. Natural Income: Goods (Tangible Resources)
These are physical products extracted from nature that can be consumed or sold.
- Fish: Harvested from oceans, rivers, and lakes for food.
- Timber: Sourced from forests for construction and paper production.
- Crops & Livestock: Agriculture and farming provide food and raw materials.
- Freshwater: Essential for drinking, irrigation, and industry.
Sustainability Concern: Overexploitation of these resources (e.g., overfishing, deforestation) can deplete natural capital if not managed properly.
2. Natural Income - Services (Ecosystem Benefits)
These are intangible services provided by ecosystems that support life and human well-being.
- Climate Regulation: Forests absorb COâ‚‚, reducing global warming.
- Flood Prevention: Wetlands and mangroves absorb excess water, reducing flooding risks.
- Pollination: Bees and other insects help crops reproduce, ensuring food security.
- Water Purification: Wetlands and forests filter pollutants, maintaining clean water supplies.
Sustainability Concern: Destruction of these ecosystems (e.g., deforestation, wetland drainage) can reduce or eliminate these essential services.
Sustainable natural income ensures that resources are available for future generations.
The Implications of Viewing Nature as "Natural Capital" & "Natural Income"
- The terms natural capital and natural income frame nature as a stock of resources that provides ongoing economic benefits.
- This perspective has both advantages and controversial implications, depending on how it is applied.
Advantages: A Model for Sustainable Use
- Encourages Conservation: If nature is seen as an economic asset, governments and businesses may invest in protecting it to maintain long-term benefits.
- Supports Sustainable Management: Viewing ecosystems as providers of services (e.g., forests as carbon sinks, wetlands for flood prevention) can lead to policies that preserve them rather than destroy them.
- Economic Justification for Environmental Policies: Countries can calculate the value of ecosystem services (e.g., pollination, water purification) to justify stricter environmental regulations.
Costa Rica’s Payment for Ecosystem Services (PES) program pays landowners to maintain forests, recognizing their value in carbon sequestration and biodiversity.
Controversial Implications: Exploitation & Anthropocentrism
- Nature as a Commodity: If nature is only valued in economic terms, there is a risk of justifying exploitation as long as it appears profitable.
- Ignores Intrinsic Value of Nature: Some argue that nature has value beyond human benefit, and this model fails to respect biodiversity for its own sake.
- Risk of Greenwashing: Some corporations might use natural capital accounting to appear sustainable while continuing to degrade ecosystems.
Large-scale carbon offset programs allow companies to continue polluting while claiming to be environmentally responsible by "planting trees."
Balancing the Perspectives: Sustainable Development
Instead of purely exploiting natural capital or rejecting economic valuation, a balanced approach integrates ecological, economic, and ethical considerations:
- Ecocentric View: Acknowledges that nature has intrinsic value beyond human use.
- Anthropocentric View (Sustainable Use): Recognizes that humans depend on nature and should manage it responsibly.
- Technocentric View: Uses technology to enhance conservation efforts (e.g., AI-driven ecosystem monitoring).
