Natural capital accounting: From pilot accounts to national implementation

Introduction by Monica Grasso, Ph.D., Chief Economist, NOAA and Dr. Fenichel, Assistant Director for Natural Resource Economics and Accounting at the White House Office of Science and Technology Policy (OSTP)

Presenter(s): Ken Bagstad, Research Economist, U.S. Geological Survey and Scott Wentland, Senior Research Economist, Bureau of Economic Analysis

Abstract: Natural capital accounts (NCA) and environmental-economic statistics organize environmental and economic data to provide a consistent view of the state of the nation's natural resource stocks and flows and their economic contributions to the national economy. With the publication of international NCA statistical standards and guidance over the last decade, consensus approaches to NCA are increasingly being applied around the world. In the U.S., recent pilot work on NCA began in 2016, and in April 2022, the White House announced the intent to develop a national strategy for NCA and a plan for its implementation over the next 10-15 years. In this presentation, we will provide an overview of what NCA is, describe past U.S. efforts and the upcoming national NCA strategy, followed by a discussion of NOAA’s role in the development and use of NCA together with a wide range of Federal government agencies and departments.

Keywords: natural capital accounting, ecosystem services, economics

Bios: Ken Bagstad is a Research Economist with the U.S. Geological Survey. Since 2016 he has co-led an interagency group developing pilot natural capital accounts for the U.S. While previously detailed to the World Bank he worked with several foreign governments in the construction of natural capital accounts, and he has assisted the UN Statistics Division in developing natural capital accounting methods and tools.

Scott Wentland is a Senior Research Economist at the BEA, where his research focuses on housing, real estate, land, and environmental valuation. He has worked with Ken on a number of projects related to the interagency working group since 2016, and currently leads BEA projects on environmental economic accounts, including land and environmental activity accounts.