TAKING ACTION FOR URBAN NATURE
Business Model Catalogue
Led by Durham University, NATURVATION involves 14 institutions across Europe working in fields as diverse as
urban development, innovation studies, geography, ecology, environmental assessment and economics. Our
partnership includes city governments, non-governmental organisations and business. We will assess what
nature-based solutions can achieve in cities, examine how innovation is taking place, and work with
communities and stakeholders to develop the knowledge and tools required to realise the potential of
nature-based solutions for meeting urban sustainability goals.
Author: Helen Toxopeus, Sustainable Finance Lab, Utrecht School of Economics, Utrecht University
Contributors: Harriet Bulkeley (DU), Friedemann Polzin (UU), Janice Astbury (DU), Hade Dorst (UU), Kathrin
Hörschelmann (IFL), Stela Ivanova (IFL), Attila Katona (CEU), Bernadett Kiss (LU), Panagiota Kotsila (UAB), Yuliana Lazova
(IFL), Chris Martin (DU), Kes McCormick (LU), Laura Tozer (DU), Alexander van der Jagt (UU), Christine Wamsler (LU),
Anja Werner (IFL), Laszlo Pinter (CEU), Bettina Dreiseitl-Wanschura (Dreiseitl Consulting)
Citation: Toxopeus, H.S. (2019) Taking Action for Urban Nature: Business Model Catalogue, NATURVATION Guide
More information: www.naturvation.eu
This project has been funded by the European Union’s Horizon 2020 research and innovation
programme under grant agreement No. 730243
Urban nature-based solutions create many types of value...
...but who will pay for it, and why?
Risk reduction
Isar plan, Munich
Atlantis Water Fund Pilot, Cape Town
Urban offsetting model
Naturcent, Hamburg
Urban Forest Fund, Melbourne
Green densification model
Parc Marianne, Montpellier
Eco-Valley, Tianjin
Vacant space model
Pla Buits urban gardens, Barcelona
Winter ice at The Forks, Winnipeg
Local stewardship model
Roadside tree concept, Leipzig
Square meter for butterflies, Edinburgh
Green education model
School gardens, Győr
Belvedere College Urban Farm, Dublin
Green health model
Food for Good, Utrecht
Newcastle Parks Trust, Newcastle
Green heritage model
Park-Museum Vrana, Sofia
Chinampas agriculture, Mexico City
Value proposition | The Isar Plan is a river restoration project (8 km, 2000-2011) in Munich carried out in
response to the need of flood protection, improvement of water quality and increased citizen awareness of the
need of green in the city. The monotonous ‘grey’ river bed was replaced by a diverse, rewilding river landscape
that not only offered flood protection and improved biodiversity but also became an attractive recreation
area for residents.
In the risk reduction model, upfront investments into urban nature-based solutions are made to lower future costs from extreme weather
events such as droughts, storms and floods.
Enabling conditions | The project put different goals at the
forefront, harmonizing the project plan across different sustainability
goals (flood protection, water quality and recreation) and
successfully coordinating between different municipal silos and
actors.
Risks | The recreational success of the river seems to create
disturbances for fish, which are found less than expected.
Value delivery | The expiring of water contracts with local
energy plants were a key opportunity for renegotiation the amount of
water flow in the Isar for energy generation. Also, citizens started
asking for more green in cities and green parties were elected.
An interdisciplinary project team, headed by the Bavarian
Water Management Office, enabled different municipal
departments and experts to cooperate successfully.
Isar River - Credit: Bernadett Kiss
Value capture | The total budget was EUR 35 million, jointly
funded by the Bavarian state and the city of Munich. Flood
events (1999, 2005, 2013) increased the available budgets for
flood protection. While the flooding corridor has higher
maintenance costs than before, the new Isar park and bathing
area attract more guests (including residents and visitors) than
before during the whole year.
Isar River - Credit: Bernadett Kiss
Value proposition | The Water Fund in Cape Town is a public-private funding mechanism for urban
nature-based solutions interventions that lead to increased water security at lower costs. The Western
Cape is expected to become even drier as climate change impact increases, which means that a key value driver
of this initiative is to lower the incidence and extent of droughts (increased climate resilience). The first
intervention financed by the Water Fund is removal of invasive species from the catchment area, which will
increase the city’s water supply to an equivalent of approximately two months water usage.
In the risk reduction model, upfront investments into urban nature-based solutions are made to lower future costs from extreme
weather events such as droughts, storms and floods.
Enabling conditions | Water management needs to include the
greater Cape Town region. Replicating the Water Fund model
from other cities in the world where the Nature Conservancy has
implemented it, facilitates multinational players like Coca Cola and
InBev to co-invest.
Risks | The municipality is hesitant to invest in catchment clearing
outside of city boundaries. The importance of catchment
clearing was also contested by many people because of the focus
on quick wins to manage the drought.
Value delivery | The Water Fund, as a ‘neutral’ third party
body, creates the trust needed for private actors to collaborate
around a common goal, facilitating dialogue and - ultimately -
investment.
The invasive plant clearing work is carried out by women from
nearby disadvantaged communities through a social enterprise.
Value capture | Future savings on water treatment,
desalination and conservation costs are expected to easily
offset the costs of watershed conservation for Cape Town, providing
high return on investment.
Additionally, the program enables stable job creation for
disadvantaged women near the watershed areas.
Invasive plant clearing Credit:
Laura Tozer
Cape Town’s Table Mountain - Credit: Laura Tozer
Value proposition | Parc Marianne eco-district in Montpellier is a green urban development that
integrates green-blue infrastructure into its design from the beginning; citizens are said to be ‘living in a
nature-based solution’. As a district in a sea-side city, it is built in such a way that it addresses flood risk,
leaving space for the water to run through in case of flooding allowing for density and nature. The district also
received ecolabel certification (2015) on thermal performance, quality of life, nature and biodiversity and
mobility.
The green densification model integrates nature-based solutions into (often large-scale) urban real estate development. The costs of
creating and maintaining these NBS become an embedded part of a larger business case of ‘sustainable urban living’, captured through
real estate value and economic growth.
Enabling conditions | The former major, George Frêche, set out a
long-term vision for Montpellier which was very interventionist;
this allowed the municipality to buy a lot of land with tax money,
control prices and plan projects like Parc Marianne.
Risks | While biodiversity is a goal, it is not taken into account
explicitly. There are concerns about the way the apartments are
divided between different milieus, and it is noted that the more
expensive houses are positioned along the green areas.
Value delivery | Controlled land prices made it possible for
the City of Montpellier to buy the land (in the 1980-90’s) and
develop long-term plans for the area. The master architect and
the city council together developed detailed social and
environmental requirements for the development of the new
area.
Montpellier has a long history or building on floodplains, as is the
case with Parc Marianne. The neighborhood was built
elevated so that the natural terrain could be used as a retention
basin, which is a more sustainability solutions.
Value capture | The project was financed by developers buying
the land from the municipality. The total investment from the
developers was around EUR 110 million. The city prescribed the
rents that the developers can ask for each flat; the price was not a
factor in the tender allocation.
Street in residential area of Parc Marianne - Credit: Anja Werner
Riverbed in Parc Marianne - Credit: Anja Werner
Value proposition | The Eco-Valley of the Sino-Singapore Tianjin Eco-City has been designed and
realized as an integral part of the Tianjin Eco-City. The Eco-Valley cuts across the entire Eco-City like a ‘fishbone’
with a total surface area of approximately 180,000 m2 (3.17km long, minimum 50m wide) . It links together the
city center with all residential districts, parks, community spaces, commercial zones and waterside areas as a park
and transportation spine. It is expected to lead to a high quality of life for its 350,000 residents and its
businesses, simultaneously serving as a rain- and stormwater management system.
The green densification model integrates nature-based solutions into (often large-scale) urban real estate development. The costs of
creating and maintaining these nature-based solutions become an embedded part of a larger business case of ‘sustainable urban living’,
captured through real estate value and economic growth.
Enabling conditions | The Eco-Valley (and Eco-City) had strong
political support: it was initiated through a framework agreement
between China and Singapore, as a pilot of China’s “sponge cities”
project. A set of Key Performance Indicators (KPI’s) were
developed for the Eco-Valley with a strong focus on ecological
urban development.
Risks | Commercial pressure from real estate development in
combination with unexpected high costs led to a decrease in the
proportion of affordable housing from 50% to 20%.
Value delivery | Tianjin Eco-City, which the Eco-Valley is part of,
is set up as a large public-private partnership between Chinese
and Singaporean development companies. The Singaporean
National Parks Board was in charge of planning the Eco-Valley,
implementing its expertise on green infrastructure, park connector
concepts and water management. The Eco-City and Eco-Valley are
delivered in three phases. There is a master plan, but also some
room for a learning approach based on input from the first residents.
Maintenance of the Eco-Valley’s vegetation and public spaces is
subcontracted.
Value capture | The cost of the Eco-Valley is approximately
€ 20.8 million. While revenue streams were not calculated
explicitly for the Eco-Valley, developers anticipated an increase in
the value of the real estate in the Eco-City, and assumed that it
contributes to a successful ‘live-and-work’ concept. The Eco-Valley
should generate revenue by attracting residents, visitors,
businesses and industrial parks to the Eco-City. The Eco-Valley acts
as the water management and stormwater retention structure of the
Eco-City, also lowering extreme weather costs.
Developing the Eco-Valley - Credit: SSTEC
Tianjin - Credit: Shutterstock.com
Roadside tree planting in Leipzig Credit:
Kathrin Hörschelmann
Value proposition | The ‘Straßenbaumkonzept’ (roadside tree concept) in the city of Leipzig offers
citizens the opportunity to contribute to the funding of specific street trees near to where they live. For a minimum
donation of €250, citizens can adopt a tree (‘Patenbaum’) which is then planted in a designated area along a
roadside and receives a dedication plaque. This approach builds on the cultural meaning that people can
attach to trees, as a symbol of life or memorial site. Also, it profits from increased recognition with citizens to
improve air quality and reduce noise levels in Leipzig, which can be mitigated through tree planting.
In the local stewardship model, local nature-based solution plots and trees are valued by citizens and businesses who are willing to
protect and support nature in their neighborhood based on the direct value and sense of identity and meaning that they derive from it.
Enabling conditions | The municipality needs to designate
space for trees along the roadside, where it competes with grey
infrastructure – both above (car parking) and underground (sewage
pipes).
Risks | The tree planting needs to be additional to the amount of
trees that are already promised to be planted. If there are no
regulations on tree cutting or if it replaces municipality planting, the
net impact of this concept may be zero or even negative.
Value delivery| The Straβenbaumkonzept was developed
through a cooperation between the municipality and the
environmental NGO Ökolöwe. The low level of bureaucracy
involved made it possible to facilitate private funding for street trees,
as well as a tax rebate offered on the donation, making it easier
and more attractive for citizens to fund a street tree. A detailed city
tree map / registry on the website of the municipality allows
citizens to identify specific locations for a tree they would like to fund.
Value capture | The costs of new tree planting and maintenance
is a barrier for increasing the number of trees in Leipzig.
The contribution of citizens lower the cost of tree planting, and at the
same time increase the symbolic value of the tree. However,
public funding, and the strong involvement of the NGO, are still
needed to administer this program.
Roadside tree planting in Leipzig Credit:
Kathrin Hörschelmann
A green cycle path in Leipzig - Credit: Kathrin Hörschelmann
Value proposition | The ‘square meter for butterflies’ project in Edinburgh engages private and public
organizations to enhance their green roofs. This measure provides the biodiversity quality necessary to attract
and sustain native butterfly species. The project focuses on a particular pollinator species (the native
Northern Brown Argus butterfly, often referred to as Edinburgh’s butterfly). This is thought to help capture people’s
imagination and encourage them to contribute to urban biodiversity. The focus on just a ‘square meter’, aims
to show that even small interventions can make a difference.
In the local stewardship model, local nature-based solution plots and trees are valued by citizens and businesses who are willing to
protect and support nature in their neighborhood based on the direct value and sense of identity and meaning that they derive from it.
Enabling conditions | Knowledge on native butterfly species and
their habitats, available information on green roofs in the area and
networking by the initiators were essential for the engagement of
organisations to enhance their green roofs.
Risks | Upscaling this model requires enough capacity to raise
additional square meters, which is not available in this phase of the
project.
Value delivery | The Royal Botanical Garden Edinburgh
(RBGE) initiated this project, using funding from the Edinburgh Living
Landscape (ELL) network’s program. They approached the Butterfly
Conservation Trust to develop this project. Together they identify
buildings which already have green roofs where greening
could be enhanced. If the building users commit to a ‘square meter
for butterflies’, RBGE provides the plants. Wherever possible,
building users are involved in the creation and maintenance of the
square meters.
Value capture | This nature-based solution is seen as a
cost-effective intervention for delivering biodiversity value.
Building users contribute green space on their roof and are
stimulated to take part in creation and maintenance. RBGE providing
funding for an officer to help deliver some of the actions in the
Edinburgh Living Landscape (ELL) network’s program, and also
providing the plants. The Butterfly Conservation Trust provides
training to all staff on butterflies and their ecology.
Northern Brown Argus - Credit: Shutterstock.com
The roof of Edinburgh City Council - Credit: Anthony McCluskey
Value proposition | The urban garden ‘Food for Good’ in Utrecht is a 0.7 ha vegetable garden that
connects and supports vulnerable people from different backgrounds (such as refugees, elderly, disabled
people). By growing and harvesting fruit and vegetables together, the garden initiators aim to provide
a therapeutic environment to connect people with themselves, other socio-economic groups and the natural
environment, to help them flourish.
In the green health model, the therapeutic, health and wellbeing value of urban nature-based solutions is recognized and used as a
driver to finance urban nature-based solutions.
Enabling conditions | The space used by Food for Good was
previously earmarked for development, but this was adjusted to a
park/greenspace designation.
Risks | In spite of their business model, Food for Good still
struggles to secure long-term funding. They start up new
projects all the time to attract (temporary) project funding.
Value delivery | Food for Good was set up as a partnership
between a foundation, a social care organization and an
environmental foundation. It was created on a derelict piece of
land. As it grew, other social care organizations started referring
their service users to Food for Good. Key staff have expertise both
in agriculture and in social care, which contributes to the success of
the garden.
Value capture | Food for Good has higher costs than
average urban garden because of its focus on vulnerable people,
which requires competent staff to be involved in the daily
activities in the garden. At the same time, it receives income from
the healthcare budgets of service users (vulnerable people), in
exchange for providing activities and daycare. The garden received
support from the municipality in the form of a 1-year urban
agriculture grant, the allocation of the land and free services, such as
waste collection.
The "Food for Good" Garden - Credit: Hade Dorst
The “Food for Good” garden in Utrecht - Credit: Hade Dorst
Value proposition | The Newcastle City Council established an independent charity – Newcastle Parks
Trust – to care for all of the city’s parks and allotments. It promotes public health for its citizens as a core
objective of parks in Newcastle. This vision returns to the original Victorian ideal of urban parks for health
and wellbeing in the city. By developing activities and facilities that encourage active lifestyles and act as
disease prevention mechanisms, park maintenance and enhancement can lead to better, efficient health
outcomes.
In the green health model, the therapeutic, health and wellbeing value of urban nature-based solutions is recognized and used as a
driver to finance urban nature-based solutions.
Enabling conditions | The shift from a national to a local
healthcare regime facilitate the earmarking of public health
budget for park maintenance.
Risks | The public health budget for parks is a temporary solution.
There is a risk that the public health objectives of the parks cannot
be translated successfully into sufficient funding streams.
Value delivery | The Newcastle Parks Trust will undertake two key
activities: generate revenue by providing commercial services (i.e.
health, events, parking) and maintain/develop Newcastle’s parks.
Enhancement and maintenance of sports facilities in parks are
expected to improve the health effect of parks. Parks can also be used
as a form of secondary prevention, reducing health problems by
facilitating interventions directed at lifestyle change such as
prescribed walking, outdoor exercise, gardening and social activities.
Value capture | Based on the benefits of parks for public
wellbeing and health, the Newcastle City Council Public Health
department committed £1m per year until 2019 to support their
maintenance. More expensive and elaborate NHS treatments are
envisioned to be substituted by leisure facilities and health
interventions in parks, thus lowering health costs. Income from
health funding sources is expected to lead to revenues for the Parks
Trust.
Leazes Park in Newcastle - Credit: Shutterstock.com
Exhibition Park, Newcastle-upon-Tyne - Credit: Shutterstock.com
Value proposition | The Urban Forest Fund in Melbourne is created as a financing mechanism to support
private actors to green their properties, offering a 50% subsidy on greening costs. Apart from municipal funding,
the fund draws on an offsetting mechanism, requesting private actors – such as VicRoads, a firm which
develops road infrastructure – to contribute money as a way to compensate the negative impact their
activities have on urban green space by helping create green in other parts of the city.
In the urban offsetting model, a ‘no net loss’ approach incentivizes or requires offset investments into urban nature-based solutions
that are lost because of real estate and infrastructure development within the city.
Enabling conditions | The underlying activity needs to be
profitable enough to carry the offsetting costs.
Risks | The allocation of funds through the Urban Forest Fund may
be delayed through the bureaucratic process that is set up to
facilitate this, in particular maintenance requirements. Another risk is
that the availability of an offsetting mechanism makes loss of
natural areas in cities more acceptable.
Value delivery | For VicRoads to be able to offset their negative
impact on green urban space, the Urban Forest Fund is a financing
mechanism that facilitates their funds to be redirected towards
development of urban nature-based solutions in other parts of the
city. Offsetting by VicRoads was voluntary, which means it required
a contribution to urban green to be an integral part of
VicRoad’s strategy.
Value capture | VicRoads contributed $215,000 to the Urban
Forest Fund and ran additional sustainability initiatives including:
planting 320,000 trees and shrubs, rehabilitating urban green
spaces along the corridor and offering sustainability grants to
community groups. The costs of paying for offsetting by VicRoads
can be attributed to the revenues they generate by developing
the road infrastructure. Their contribution towards offsetting improves
their image, lowers resistance against infrastructure
developments and adds to their objectives to leaving a ‘green
legacy’ in a growing city.
An urban green wall in Howlett Street Credit:
City of Melbourne
Caption to go here
The Urban Forest Fund Winning Project “Greening Howlett Street” Credit:
AKAS Landscape Architecture
Value proposition | The Naturcent program in Hamburg was set up by the municipality in 2016 to
enhance the ecological and recreation value of green areas in the city while at the same time carrying out
ambitious building plans (10,000 houses a year to keep housing affordable). The offsetting policy addresses fears
from citizens that the intensive real estate development in Hamburg will threaten its high livability as a green city,
aiming to reconcile building with greening by focusing on the quality instead of the quantity of green
areas in the city. The program does not require direct payments from citizens, since it is funded by additional land
taxation income from building activities in areas that are designated as landscape protection areas.
In the urban conservation offsetting model, a ‘no net loss’ approach incentivizes or requires offset investments into urban
nature-based solutions that are lost because of real estate and infrastructure development within the city.
Enabling conditions | Underlying the Naturcent policy is a
differentiated taxation system that stipulates higher taxes for
built land use than for green areas. The success of the Naturcent
system is dependent on applications from districts and
environmental organizations for investments in existing green spaces.
Risks | There is a risk that the funding from Naturcent will chip away
at existing district budgets for nature maintenance.
Value delivery | The Naturcent program is facilitated by setting
up a designated nature and landscape conservation fund at
the municipality. This allows for transparency, since incoming funds
from additional land taxes are earmarked for upgrading existing
nature. Districts and environmental organizations in
Hamburg can apply to this fund to invest in upgrading the ecological
and recreation value of green areas.
Value capture | For every square meter of real estate
development in the city, € 6.36 of land taxation income is paid
into this fund. A one-off of € 3 million was entered into the fund
when it commenced as an approximation of land taxes between
2016-2018. It is expected that in 2019 an additional € 750,000 will
flow into the fund.
Between 2016 – early 2019, approx. € 0.5 million total has been
re-invested into upgrading and maintenance of Hamburg’s green
areas.
Building activity in Hamburg - Credit: Helen Toxopeus
Aerial view of Hamburg - Credits: www.mediaserver.hamburg.de / Andreas Vallbracht
Value proposition | The Forks North Portage Partnership (‘The Forks’) – a publicly owned merger of
two development corporations - develops the Winnipeg rivers in wintertime, maintaining (>10 km) skating trails
and warming huts. The frozen river and its skating trails are used for outdoor recreation, cultural events,
fine dining and as a public commuting route, reducing the need for motorized traffic and connecting
otherwise distant neighborhoods to the city center. The Forks have led to a drastic increase of the use of the river
during the coldest time of year, with over 700,000 citizens using the river ice in 2018.
In the vacant space model, the government steps back and provides space for local initiatives and (social) entrepreneurship in
(sometimes temporarily) unused urban public space.
Enabling conditions | In 2008, Winnipeg became the
Guinness Book of World Record Holder for the longest
naturally frozen ice trail, which led to a lot of media attention
and ‘buzz’, facilitating entrepreneurship on the river.
Risks | Justice related issues include unequal access to the
trails (no responsible party looking after the access points to the
river; part of the riverside is privately owned). Others suggest that the
river trails allow low income citizens to enjoy nature without
having to leave the city.
Value delivery | The Forks (FNPP) is governed by a tri-level board
of directors from the federal, provincial and municipal government.
At the same time it enjoys a high level of independence due to
it being financially self-sustainable (not receiving any government
funding). Conceptual and strategic decisions do require approval of
the Board.
Value capture | The costs of maintaining the trails and
providing the warming huts is estimated at around €175,000 a year.
Parking revenues and sales during the winter season easily
exceed these costs, allowing for funding to be spent on
experimentation (social innovation, low cost entrepreneurship
and cultural events).
Fun on the icy river - Credit: Shutterstock.com
Making use of the river in Winter - Credit: Shutterstock.com
Value proposition | The Pla Buits scheme in Barcelona is a participatory intervention that gives the
opportunity to public entities or non-profit associations to develop temporary uses and activities (1-3 years)
on small plots of unused land. Out of the 14 selected projects in the first phase, nine are urban gardens.
They ‘fit’ well to temporary use because no large infrastructure is needed. The Pla Buits urban gardens represent a
form of social entrepreneurship: self-governed projects are given a space to flourish, contributing to urban
green and related ecosystem services, while also offering a solution to social issues of community bonding,
integration, and awareness-raising on food production and consumption.
In the vacant space model, the government steps back and provides space for local initiatives and (social) entrepreneurship in
(sometimes temporarily) unused urban public space.
Enabling conditions | The Pla Buits scheme developed after the
financial crisis, when many construction projects were cancelled
leading to unused plots of land.
Risks | There are concerns that urban gardens in temporary spaces
lead to a social loss once they are displaced. This would
demotivate the continuation or transfer to a different site. Others
are less concerned and find the social dynamics is most important,
not the space itself.
Value delivery |Only legal entities (such as neighborhood
associations) can apply to a Pla Buits plot. The City Council
contributes to its basic amenities (water, electricity).
A successful bottom-up dynamic is essential for the success of
these urban gardens; families with young children, looking
for outdoor activities, play an important role in creating active
communities.
Value capture | The low cost of the unused public space
assigned for these urban gardens is driving the feasibility of this
model, as well as the fact that its use can be temporary.
The municipality offers several support schemes, for example to
pay an instructor who oversees member participation, and in one of
the gardens (Illa de 3 Horts) families pay a small contribution
for running costs. The density of Barcelona increases the value of
these small urban green spaces for its members.
Pla Buits urban garden - Credit: Panagiota Kotsila
A vegetable garden in Pla Buits - Credit: Francesc Baro
Value proposition | School gardens in Győr, Hungary, have recently revived, creating a setting for
children to learn to care for nature ‘by doing’. The increased interest in sustainability education seems
one of the key drivers. Apart from building environmental stewardship, other positive impacts include: more
efficient and varied education; enrichment of other subject areas (such as biology, mathematics, arts);
building nutritional knowledge to prevent child obesity; building work ethics and planning skills; social
equity; food security and community building.
In the education model, urban nature-based solutions are set up and managed to support environmental education and allow young,
urban citizens to engage with food and nature.
Enabling conditions | A national urban agriculture strategy
has been formulated. This supports the funding and uptake of
school gardens through the Foundation for Hungarian School
Gardens.
Risks | School teachers can get over-burdened, managing the
school gardens next to their regular duties.
Value delivery | The vice-dean of the Apáczai school garden in
Győr co-founded the Foundation for Hungarian School
Gardens in 2015 to support school gardens across Hungary.
This has become a fast-growing network (over 200 schools).
They offer free membership, trainings, best practices and free
guidance. The fast uptake of school gardens in Hungary (8%, over
1,100 schools) is partly due to sustainability-oriented schools
(eco-schools and Waldorf schools). The school garden Apáczai
offers a university course on organizing and maintaining school
gardens to future school teachers.
Value capture | The Apáczai garden keeps costs at a
minimum to illustrate to students and visitors how a garden can be
run with minimal financial resources, focusing instead on motivation,
creativity and volunteer effort. No paid staff is hired for the garden
while utility costs (land, water, electricity) are covered by schools.
Material costs (tools, seeds, construction) are usually provided by
parents. The Ministry of Agriculture launched a pilot program to
fund 50 school gardens, the Foundation manages this process.
Donations for material (~€200) are sometimes received from
the school maintenance organization KLIK, and from the Foundation
for Hungarian School Gardens.
Pupils at a school in Győr also care for their
indoor plants – Credit: Lorna Winship
The children love getting involved in the school gardens - Credit: Shutterstock.comThe children love getting involved in the school gardens - Credit: Shutterstock.com
Value proposition | At the Belvedere College Urban Farm, high school students have become
engaged in an experimental learning process on urban farming on their own premises, using both traditional
urban farming methods like bee-keeping as well as modern experimental techniques such as aquaponics.
The integration of an urban farm into the college aims to improve the quality of education and to make the
school more sustainability-oriented. Students help to run the farm, and farm projects have entered the official
curriculum of the school.
In the education model, urban nature-based solutions are set up and managed to support environmental education and allow young,
urban citizens to engage with food and nature.
Enabling conditions | Safe access to the roof needed to be
secured for the farm to expand to the rooftop of the school.
Risks | Weather conditions and bad maintenance
sometimes disrupt the farm. The professionalization of the
(aquaponics) project also means it has become more expensive
to operate, making it less transferable to other entities like public
schools.
Value delivery | A creative sustainability entrepreneur of
Urbanfarm.ie, was crucial in designing and building the urban
farm at the college, and connecting to the urban farming
community. Produce was sampled for nearby restaurants in the
early phase of the project. A coordinator was employed to
train students, monitor maintenance and keep records on the project.
Value capture | In the beginning, costs were low, using
upcycled materials such as used fish tanks. Some companies offered
services and donations and parents bought some produce.
In 2017 the project won the Zayed Future Energy Prize, giving
the school $100,000 to professionalize the project. This was used to
expand (and provide safe access) to the roof. An Erasmus
funding scheme allowed for a project coordinator to be hired.
Aquaponics at Belvedere College Urban Farm Credit:
Panagiota Kotsila
Experimental techniques at Belvedere College - Credit: Panagiota KotsilaExperimental techniques at Belvedere College - Credit: Panagiota Kotsila
Value proposition | Xochimilco in Mexico City is the last remnant of the historical lake system that the city
was built on. Here, the traditional agricultural practice “chinampas” – floating agricultural islands –and
its (threatened) endemic species, the axolotl are sustained since the Aztek period. Local communities and
farmers are working to develop new and better markets where they can offer high quality, traditional and
seasonal agricultural produce, showcasing the cultural heritage that is being sustained and connecting
citizens with producers and place, for example through Sunday markets.
The green heritage model builds on cultural values and a sense of identity to sustain and develop urban nature-based solutions.
The green spaces that support / are cultural heritage can lead to different types of value creation, ranging from tourism and education
to cultural healing.
Enabling conditions | Working directly with people /
producers on the ground has been identified as an important
condition for sustaining the chinampas agricultural system, because
the government is usually replaced after 3-year terms
which makes it difficult to sustain long-term policies.
Risks | In spite of the high cultural value of Xochimilco, it remains
under serious threat as a result of urban sprawl and consequent
change in land use.
Value delivery | Local community organizations,
producer-consumer networks and cooperatives are created to work
with producers across Xochimilco. They focus on creating
value-added markets. The products are often sold at pop-up
markets, to situate themselves close to their potential customers and
differentiate themselves from standard market produce. The origin of
the products and their eco-friendliness is highlighted. All of
groups combine sales of produce with ecotourism, educational
programming, volunteering opportunities and other
engagement activities. Academics play a large role through action
research, technical support and social service. The Chinampero
agricultural system has been recognized as a Global Agricultural
Heritage Site by the UN FAO.
Value capture | Revenues are being created by finding
value-added markets for produce. Consumers, academics
and visitors are active as volunteers, lowering costs. Tourism is
expected to raise these revenues.
At the same time, the agricultural activity is seen as a as a route to
ecosystem restoration and social-ecological resilience,
targeting funding for these values, as well.
Supporting local markets Credit:
Janice Astbury
Caption to go here
Traditional boats in Xochimilco Credit:
Janice Astbury
Park Museum Vrana - Credit: Shutterstock.com
Value proposition | The Park-Museum Vrana in Sofia, Bulgaria, is a historical urban park (100 ha) whose
history goes back to antiquity, when it was a connection point between Europe and Anatolia. The Iskar river runs
through it and it is the residency of the Tsar. It holds century-old riverside forests and rich biodiversity. As a
biodiversity hotspot with historical significance in a dense urban area, the park offers cultural and
recreational services alongside habitat and cultural preservation services and enjoys great interest
from visitors – tourists as well as city residents.
The green heritage model builds on cultural values and a sense of identity to sustain and develop urban nature-based solutions. The
green spaces that support / are cultural heritage can lead to different types of value creation, ranging from tourism and education to
cultural healing.
Enabling conditions | This historical green site was closed off
from the public between 1946 – 2003 before it was made public,
which allowed such rich biodiversity to develop in a (peri-)urban
area.
Risks | Unclear ownership prevents investments that can
increase the value of this green space, such as an information office.
Value delivery | The Tsar family donated most of the park to
the municipality for it to become a community park, while remaining
owner of 2.5 ha for themselves. They requested a restricted
access policy to protect rare species in the park. Visitors can only
visit in the weekend and have to buy an entry ticket. The conservation
of wildlife in the park is regulated through several legal policies.
The municipal enterprise ‘city parks and gardens’, created
in 2011, carries out the maintenance of the park. They are open to
collaboration with citizens and private firms, The park offers highly
educated tour guides who are experts not only on the history of
the park but also on plants, birds or landscape and can educate the
visitors.
Value capture | Maintenance costs are carried by the
municipality; entry tickets bring in some revenue but not enough to
cover costs. The price is kept low to allow broad access.
The historical and ecological value of the park is being delivered
together with specialized tours. More private funding is looked for
but is held back because of ownership disputes over the space.
Park Museum Vrana - Credit: Shutterstock.com
Vrana Palace in Sofia - Credit: Shutterstock.comVrana Palace in Sofia - Credit: Shutterstock.com
Green densificationBUSINESS MODELS Risk reduction Local stewardship Green health
Nature-based solution interventions
are valued for their ability to
reduce climate risks (and costs)
such as flooding, extreme heat and
drought.
Urban real estate developers
develop nature-based solutions
along with housing and commercial
buildings, targeted at quality of life
of residents/employees (green
roofs, gardens).
Local small plots of nature (and
single trees) are valued by citizens
who are willing to protect and
support nature in their
neighbourhood.
The therapeutic and health value for
citizens of interaction with urban
nature-based solutions is valued by
(mainly) non-profit and public
actors.
Targeted at municipalities, citizens,
firms. Data / metrics needed to
increase risk awareness and
underpin investments.
Green development expertise or
partnerships with experts are
required (roofing firms, landscape
architects, ecologists).
A coordinating mechanism is
needed for individuals to contribute
at large scale, i.e. tool that
identifies individual trees to build
value and monitor.
In the case of vulnerable citizens,
expertise is needed to help them
recover through their interaction
with nature. Sometimes
maintenance needs to be provided
for, as well.
High, irregular costs prevented in
case of extreme weather; insurance
products remain accessible and
attractive, can grow the market.
Real estate projects often generate
high returns; use part of this to
integrate nature-based solutions
into building project. Expectations
of higher sale prices / rents /
occupation.
Many donations from citizens and
firms; transaction costs and
campaign costs can be lowered by
implementing digital
monitoring/platform.
Investments into urban greening
can help deliver health objectives,
both preventive and recovery, thus
lowering (other) health-related
costs.
Awareness of risk is crucial, as is
availability of data. Municipality
should help poorer citizens who
cannot afford insurance & risk
mitigation interventions.
Value proposition
What is being offered in the
market? Who is the customer?
Value delivery
What resources are needed?
What network? What is the
strategy?
Value capture
What costs are being made (or
prevented?) What revenues, for
whom?
Enabling conditions & risks
What conditions enable this
business model to be effective?
What risks are there?
Green tender procedures /
requirements, land ownership and
monitoring by the municipality
speed up this business model.
Subsidies may be needed for social
housing to be included.
Accounting for the additional
nature provided by local citizens
and businesses is important to
prevent ‘double counting’.
Campaigning is often needed,
including funding.
This model requires expertise on
how green spaces need to be
designed and used to support
citizen health. Just stating ‘green is
healthy’ will not be enough.
BUSINESS MODELS Urban offsetting Vacant space Education Green heritage
When green-blue urban space is
lost to real estate or infrastructure
development, a ‘no net loss’
program can incentivise or require
offset investments into urban
nature-based solutions elsewhere in
the city.
Government steps back and
provides space for local initiatives
and (social) entrepreneurship in
(temporarily) underused urban
public space.
Urban nature-based solutions are
set up and managed in support of
environmental education, allowing
young, urban citizens to engage
with food and nature, usually
through urban farming /
gardening.
A green region, city or
neighborhood creates value
through its green cultural heritage
which attracts tourists, residents and
businesses.
A reliable governance structure
needs to be in place to earmark
funds obtained from building
activities for nature-based solution
investment (i.e. a designated fund).
Governments can support through
in-kind services and by (temporary)
allocation of urban space;
volunteer and community groups
organize themselves bottom-up.
Using nature-based solutions as a
form of education requires
governance support from a specific
school or school network. It also
requires expertise on how to teach
with an urban nature-based
solutions.
Actors need to acknowledge the
cultural value that is embedded in
this green nature-based solution. It
also needs to combine cultural and
ecological expertise to deliver this
joint value.
The cost of offsetting biodiversity is
internalized in larger real estate or
infrastructural development
projects, and paid out of the
revenue or tax stream that is
created.
Facilitates private actors to develop
meaningful activities at low cost
(low land rent), which enables
(social) entrepreneurship even at
low/no revenue.
Cost effective and interactive way
to implement sustainability
education, enriching other subjects
and nutritional knowledge in
children, as well.
A green cultural space can benefit
from volunteers, networks and
public financing. Value-added
cultural produce and ticket / tour
sales can provide income.
An offset mechanism should not
become a ‘wildcard’ to build on
high quality green-blue spaces, but
should be used as a 'last resort. It
requires availability of green
spaces to invest into.
Value proposition
What is being offered in the
market? Who is the customer?
Value delivery
What resources are needed?
What network? What is the
strategy?
Value capture
What costs are being made (or
prevented?) What revenues, for
whom?
Enabling conditions & risks
What conditions enable this
business model to be effective?
What risks are there?
Closing temporary plots can
destroy social capital built up in
communities. Prevent through
alternative location, integrate into
urban development strategy.
Guidance, monitoring and
expertise is needed from school
teachers or staff. Adds to work load
of sometimes already
overburdened school teachers.
Cultural heritage needs to be
equally accessible so entry prices
may not be too high. Both
ecological and cultural expertise is
needed to deliver this model.
Example City Case author (field research)
Atlantis Water Fund Pilot Cape Town Laura Tozer
Isar plan Munich Bernadett Kiss and Christine Wamsler
Eco-Valley Tianjin Attila Katona
Parc Marianne Montpellier Anja Werner
Roadside tree concept Leipzig Kathrin Hörschelmann
Square meter for butterflies Edinburgh Sander van der Jagt and Hade Dorst
Food for Good Utrecht Sander van der Jagt and Hade Dorst
Newcastle’s parks Newcastle Chris Martin
Urban Forest Fund Melbourne Bernadett Kiss, Kes McCormick and Christine Wamsler
Naturcent programme Hamburg Helen Toxopeus
Pla Buits urban gardens Barcelona Panagiota Kotsila
Winter ice @The Forks Winnipeg Attila Katona
School gardens Győr Attila Katona
Belvedere College Urban Farm Dublin Panagiota Kotsila
Chinampas agriculture Mexico City Janice Astbury
Park-Museum Vrana Sofia Yuliana Lazova and Stela Ivanova
Play the NATURVATION Business model puzzle with this catalogue!
This catalogue showcases different business models that are being used to pay for nature-based solutions. As you can see, nature-based solutions deliver different benefits to
different stakeholders. One of the key opportunities - and challenges - of implementing urban nature-based solutions is coordinating between different actors to realize a
nature-based solution. We therefore also developed a dialogue tool – the business model ‘puzzle’. This puzzle helps to cordinate these actors and to mix and match business
models for different parties (”solving the puzzle”).
1. Choose a type of nature-based
solution or a specific case
Play the puzzle in three steps:
2. Identify the value it creates, for whom
(’puzzle’)
3. Mix and match nature-based solution
business models
For example, a specific project you are working on in your city or
neighbourhood
Use the puzzle pieces: who values what? Use empty pieces of
you want to add additional benefits (or write with a pen).
Use your puzzle template to select nature-based solution
business models that could be used for upscaling your
nature-based solution. Use the Business Model Catalogue as
inspiration.
Download the puzzle at: www.naturvation.eu
Our course combines both technical knowledge
and the social sciences to better understand
nature-based solutions in a holistic perspective.
Nature-based solutions have the potential to provide
multiple benefits across a range of sustainability
challenges facing cities and urban areas.
The aim of our course is to create an online learning
community on nature-based solutions that connects
the key themes of nature, cities and innovation.
Meet a team of researchers and practitioners from
countries across Europe and the world who will
provide insights, findings and practical experiences
of nature-based solutions.
URBAN NATURE – A MASSIVE OPEN ONLINE COURSE
Explore our
Massive Open Online
Course (MOOC) on
nature-based solutions
in cities!
Taking Action for Urban Nature
TAKING ACTION
FOR URBAN
NATURE
Effective
Governance
Solutions
TAKING ACTION FOR
URBAN NATURE
Citizen Engagement Handbook
TAKING ACTION
FOR URBAN
NATURE
Innovation
Pathways
Directory
TAKING ACTION FOR
URBAN NATURE
Business Model Catalogue
Working with nature-based solutions can offer cities new ways of meeting their goals for sustainable development. Putting these solutions into practice often requires municipal governments,
businesses, not-for-profit organisations and community groups to work together and develop new approaches. These NATURVATION guides have been prepared using fifty-four examples from
eighteen cities working with nature to identify the innovation pathways, governance arrangements, business models, and citizen engagement approaches that can work to support action for urban
nature. They are designed to support cities and their partners take forward their ambitions to work with nature for biodiversity, climate change and sustainability.
To download our guides, please visit: www.naturvation.eu
www.naturvation.eu
@naturvation