What is Natural Capital?

Natural capital encompasses the natural resources that society and the economy rely on, such as soil, water, air, and the ecosystems associated with their plants and animals. The natural environment and various ecosystems form a crucial part of our natural capital and serve as the foundation for the natural capital accounts (NCA). These accounts consist of several key components that together provide a comprehensive view of the state of ecosystems in the Netherlands.

• Ecosystem extent shows the size of the different ecosystem types and allows changes to be monitored over time. Examples include forests, heathlands, and agricultural land.
• Ecosystem condition indicates how healthy an ecosystem is, based on factors like biodiversity and indicators such as air quality and soil carbon. This determines how well the ecosystem can continue to fulfill its functions.
• Ecosystem services map the benefits of these ecosystems for society. Examples include carbon storage, pollination by insects, and ecotourism. In addition to ecosystem services in physical terms, ecosystem services are also expressed in monetary terms. This allows for comparisons with economic indicators, including spending on nature conservation or the gross domestic product (GDP).
• Ecosystem capital goes a step further by considering ecosystems as a long-term stock of natural wealth expressed in monetary terms. It includes both current ecosystem services and their potential future value.

In addition to these core components, the NCA also include thematic accounts that focus on specific environmental topics such as biodiversity, marine ecosystems, and carbon balances. These thematic accounts provide deeper insights into how these aspects contribute to sustainability goals and support the development of effective environmental policies.

Statistics Netherlands (CBS) compiles these accounts in collaboration with Wageningen University & Research (WUR) and the Ministry of Agriculture, Fisheries, Food Security, and Nature (LVVN). The system is based on the System of Environmental-Economic Accounting – Ecosystem Accounting (SEEA EA) framework, which was adopted by the United Nations in 2021 as an international statistical standard. From 2026 onwards, all EU countries will be required to produce NCA annually.