Bermuda’s coral reefs have a ‘total economic value’ of more than $700 million, according to research released this morning.

The Department of Conservation Services today released a study on the Total Economic Value (TEV) of Bermuda’s coral reefs which show that the annual value of the coral reef ecosystem averages $722 million, potentially amounting to $1.1 billion per year.

Dr. Samia Sarkis, of the Department of Conservation Services, said: “This first environmental economic valuation for Bermuda is paving the way for an alternative approach to conservation of natural resources.

“The recognition of the value of a natural resource or ecosystem is a fundamental step in considering the impact we have on the environment, the loss of ecological functions and the economic losses that ensue.

“This study has demonstrated the importance that coral reefs hold in the eye of the community and the tourists, reflected in their willingness to trade off monies (up to $50 million per year) for conservation and management of the reef system.

“The increased awareness will continue to generate support among the community and policy and decision-makers for ensuring sustainable development. For policy makers, and local businesses, the study also provides a tool enabling the integration of environmental concerns in the decision-making process and places it on a comparable (monetary) basis with economic and social impacts.

“It is hoped that these results on the TEV of Bermuda’s coral reefs will assist in identifying and implementing more sustainable policies and activities, balancing environmental, social and economic goals for the long term sustainability of our most prominent marine asset, the northernmost coral reef system in the world.”

Bermuda’s coral reefs provide substantial economic benefits through coastal protection from storms and hurricanes as well as supporting both the tourism industry and commercial and recreational fisheries and are fundamental contributor to a quality of life envied worldwide.

The project was initiated and coordinated by the Department of Conservation Services in collaboration with environmental economists from the UK’s Joint Nature Conservation Committee and implemented by the Institute for Environmental Studies (IVM) of the Vrije University (Netherlands) and a Bermuda-based scientific team.

* The Executive Summary has been posted on the Government website www.gov.bm under The Ministry of Environment and Sports.

* See the full story in tomorrow’s Royal Gazette