Natural Capital Valuations – Extract

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Natural systems like rivers, wetlands, forests, and green spaces deliver real value to our communities – but how do we reflect that in decision-making? “Natural Capital Valuations” is a chapter extracted from the full Infrastructure Asset Valuation and Depreciation Guidelines, which introduces practical guidance on natural capital valuation, an emerging approach that helps organisations understand the financial and strategic significance of nature-based assets.

Designed for valuers, asset managers, finance teams, and infrastructure decision-makers, it offers clear explanations, examples, and methods to support consistent and credible valuations. While the focus is on assets most relevant to local and central government infrastructure portfolios – such as water bodies, terrestrial ecosystems, and green infrastructure – the principles apply more widely.

This chapter explores:

  • What natural capital is
  • The benefits of natural capital valuation for decision-making
  • Key concepts, challenges, and valuation techniques
  • How to select a culturally and technically appropriate approach and apply it in practice
  • Case studies and worked examples to support learning and consistency

It also sets the groundwork for integrating nature into long-term planning, investment decisions, and sustainability reporting – even as international standards continue to evolve. Whether you’re starting from scratch or building on existing work, this chapter helps you recognise the value of nature in the context of infrastructure management.

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