Compared to conventional approaches to conservation, a market-based approach involves more participants and delivers broader benefits, both financially and ecologically.

Regulated cities and businesses benefit. Typically, regulated entities that buy credits retain operational flexibility and save money because they are allowed to use cheaper, natural processes to reduce their environmental impact, instead of expensive engineered solutions.

Ratepayers benefit. When water, wastewater, and electric utilities lower their costs by buying credits in an ecosystem services market, they avoid having to pass along to ratepayers the cost of installing expensive technology upgrades.

Rural landowners benefit. When rural landowners become sellers in the marketplace, they supplement and diversify their income, instead of relying so heavily on the production of timber and other agricultural commodities.

Fish and wildlife benefit. A market-based approach would direct conservation and restoration activities to strategic locations—the areas in the basin where they will do the most ecological good—instead of at marginal sites near where the environmental impact is occurring. Ecosystem service markets have the potential to drive major new conservation efforts, at a fast pace. Typically, these activities do more than improve the regulated parameter, such as water temperature or nutrient loading. They also provide new habitat for fish and wildlife and restore a multitude of ecological processes that native species rely on, such as water circulation and nutrient cycling.

Oregon’s economy benefits. The personnel and businesses needed to support an ecosystem services marketplace are sizable and would essentially create a new industry centered in Oregon, much like Wall Street and the New York Stock Exchange in New York City. New business opportunities would arise related to (1) conservation and restoration activities, and (2) marketplace development, services, and consulting. In addition, a strong marketplace would attract collateral businesses, such as sustainability or green building trade journals. Establishing Oregon as a hub for creative environmental solutions would draw jobs, talent, and revenue to the state.

Oregon citizens benefit. A market-based approach to conservation would help maintain the ecosystem services that Oregonians rely on, direct growth and development to the most suitable areas, increase cooperation between business and environmental interests, reduce the need for regulations, and strengthen the economy as a new business sector develops.