An Application of the Sustainable Asset Valuation (SAVi) Methodology
Summary
The report demonstrates that the S’Ena Arrubia and Corru S’Ittiri-Marceddì-San Giovanni wetlands provide substantial economic value through ecosystem services and the support of local aquaculture, tourism, and agriculture. It finds that a 'continued degradation' scenario would lead to significant losses in labour income and ecosystem service value, while a circular business model for reusing livestock manure could generate net benefits of EUR 81.3 million for S’Ena Arrubia and EUR 124.2 million for Corru S’Ittiri-Marceddì-San Giovanni. The analysis argues that the cost of maintaining these wetlands is far lower than the cost of replacing their functions with built infrastructure.
Key insights
- The S’Ena Arrubia and Corru S’Ittiri-Marceddì-San Giovanni wetlands are projected to generate cumulative ecosystem services worth EUR 306 million between 2020 and 2060, with an additional EUR 171 million potentially captured if no further degradation occurs.
- Continued degradation of the wetlands is expected to cause significant losses in annual average labour income for the aquaculture industry, specifically 36% for S’Ena Arrubia and 48% for Corru S’Ittiri-Marceddì-San Giovanni over the next 40 years.
- Replacing the ecosystem services of these two wetlands with built infrastructure would cost EUR 92 million between 2020 and 2060, which is significantly higher than the annual maintenance cost of approximately EUR 740,000.
- Implementing a circular business model to reuse livestock manure for biogas, compost, and pellets would generate net benefits of EUR 81.3 million in S’Ena Arrubia and EUR 124.2 million in Corru S’Ittiri-Marceddì-San Giovanni after accounting for production facility costs.
- The reuse of livestock manure as fertilizer would lead to avoided costs for farmers by replacing 50% of chemical fertilizers, saving nearly EUR 6 million for S’Ena Arrubia and EUR 14 million for Corru S’Ittiri-Marceddì-San Giovanni.
- There is a disparity between the economic value of ecosystem services provided by the wetlands and the direct payments farmers receive; in the Province of Arborea, farmers receive EUR 300–800/ha/year, while the services provided by S’Ena Arrubia and Corru S’Ittiri-Marceddì-San Giovanni were valued at EUR 120/ha/year and EUR 234/ha/year respectively in 2020.
- Wetland quality is projected to decrease by approximately 60% for S’Ena Arrubia and 80% for Corru S’Ittiri-Marceddì-San Giovanni by 2060 under the continued degradation scenario, primarily driven by soil erosion and nitrogen concentration.
Cite the original document
- APA
- Bassi, A. M., Bechauf, R., Pallaske, G., Perera, O., Statzu, V., & Uzsoki, D. (2020). An Application of the Sustainable Asset Valuation (SAVi) Methodology. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/savi-sardinia-italy-wetlands-en.pdf
- Chicago
- Bassi, Andrea M., Ronja Bechauf, Georg Pallaske, Oshani Perera, Vania Statzu, and David Uzsoki. An Application of the Sustainable Asset Valuation (SAVi) Methodology. International Institute for Sustainable Development, 2020. https://www.iisd.org/system/files/publications/savi-sardinia-italy-wetlands-en.pdf.
- Wikipedia
- {{cite report |last1=Bassi |first1=Andrea M. |last2=Bechauf |first2=Ronja |last3=Pallaske |first3=Georg |last4=Perera |first4=Oshani |last5=Statzu |first5=Vania |last6=Uzsoki |first6=David |title=An Application of the Sustainable Asset Valuation (SAVi) Methodology |publisher=International Institute for Sustainable Development |date=June 2020 |url=https://www.iisd.org/system/files/publications/savi-sardinia-italy-wetlands-en.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{bassi2020application, author = {Bassi, Andrea M. and Bechauf, Ronja and Pallaske, Georg and Perera, Oshani and Statzu, Vania and Uzsoki, David}, title = {{An Application of the Sustainable Asset Valuation (SAVi) Methodology}}, institution = {International Institute for Sustainable Development}, year = {2020}, month = jun, url = {https://www.iisd.org/system/files/publications/savi-sardinia-italy-wetlands-en.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
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