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First-ever Soil and Water Conservation Ecological Product Value Conversion Transaction Implemented Nationwide

ChenShengWei,ChenBin Thu, Mar 28 2024 10:38 AM EST

Recently, with the technical support from Professor Wang Yixiang's team at the School of Environment and Resources of Zhejiang A & F University, the first-ever soil and water conservation ecological product value conversion transaction has been implemented in Anji County, Zhejiang Province.

Soil and water conservation ecological products refer to various supplies and services provided by ecosystems for human society through the prevention, protection, and control of soil and water loss, enabling sustainable utilization or potential use. The project landing this time involves the ecological clean small watershed riverbank area of Shimenkeng in the source of the Huangpu River in Anji County. The development and operation rights of this area are for a period of 6 years, with a transaction amount of 33.28 million CNY.

The transferors of this transaction are Anji County Water Conservancy Investment Development Co., Ltd. and the People's Government of Zhangcun Town, Anji County. The transferee is Zhejiang Green County Longshanyuan Tourism Development Co., Ltd., which will carry out drifting development in this area. The funds obtained from the transaction will be used specifically for future soil and water erosion control and to promote shared prosperity among villagers.

The soil and water conservation ecological product value conversion transaction of the Shimenkeng Ecological Clean Small Watershed Riverbank Area in Anji County, originating from the source of the Huangpu River, received theoretical support from the Development Research Center of the Ministry of Water Resources. Additionally, the Zhejiang Institute of Water Resources and Hydropower Research and Zhejiang A & F University provided support for project design and value assessment. After calculation, the value of soil and water conservation ecological products in 38 small watersheds in Anji County reached 3.32 billion CNY. This result has been reviewed by authoritative institutions such as the National Committee of Experts on the Implementation of Ecological Product Value and has established a mechanism for the value conversion of soil and water conservation ecological products at the county level.

The products of this transaction are located in the Shimenkeng Small Watershed of Zhangcun Town, Anji County, the source of the Huangpu River. Since 2012, Anji County has implemented measures for soil and water erosion prevention and control in this watershed, such as nurturing bamboo forests, terraced cultivation land treatment, slope water system management, aquatic ecosystem restoration, and rural living environment improvement, in conjunction with projects like the "Ten Million Engineering" and "Five Waters Governance," effectively consolidating and enhancing the soil and water conservation function of the ecosystem. According to calculations, the value of soil and water conservation ecological products in the Shimenkeng Ecological Clean Small Watershed is 103.575 million CNY.

It is reported that at the end of the last century, Anji County primarily focused on developing the "stone economy," with frequent mining activities, making it one of the areas in Zhejiang Province most severely affected by soil and water loss due to mining activities. For over 20 years, Anji County has adhered to the concept that green waters and green mountains are as valuable as mountains of gold and silver, promoting the overall governance of mountains, waters, forests, farmlands, lakes, and grasslands. It has actively explored the path of transforming the "Two Mountains" and gradually achieved the transformation from an ecological county to a strong ecological county. Currently, Anji County maintains a vegetation coverage rate and forest coverage rate of over 70% year-round, with surface water, drinking water, and outbound water quality reaching 100%, and the air quality remaining above 87%, earning it the reputation of being a "place of clean air, clean water, and clean land," the first ecological county in the country, the first county to receive the "United Nations Human Settlements Award," and the first pilot area in Zhejiang Province for building a demonstration area for high-quality development and common prosperity.

The Anji County People's Government has successively issued regulations and systems such as the "Anji County Soil and Water Conservation Ecological Product Transaction Management Measures (Trial)" and the "Anji County 'Two Mountains Bank' Pilot Implementation Plan," initially establishing an operational, replicable, and scalable mechanism for realizing the value of soil and water conservation ecological products.

In the view of Wang Yixiang, such transactions open up a new channel for the transformation of the "Two Mountains." He stated that soil and water conservation ecological products include benefits such as water conservation, soil erosion control, climate regulation, and water environment purification, which are intangible. The success of this transaction enables the realization of invisible ecological values and explores a feasible path to transform the ecological advantages generated by soil and water conservation work into economic benefits.