The Economic Value and Regional Economic Impact of National Parks

The results of recent studies commissioned by the New South Wales National Parks and Wildlife Service indicated that national parks and other protected areas have considerable economic value and can contribute directly and indirectly to the employment, income, output and value added of the regional economies within which they are located. The recognition and identification of these values and impacts can have implications for environmental policy development, park management and regional development planning. It was found that the per visit economic value of the recreation use of Dorrigo and Gibraltar Range National Park was $34 and $20 respectively or extrapolated to an annual value, approximately $5.4 m for Dorrigo National Park and $0.8 m for Gibraltar Range National Park. With positive population growth, higher levels of income and a continuing shift in preferences towards conservation and outdoor recreation there is a strong argument that these economic benefits would increase over time. However, on the conservative assumption that they remain constant, the present value of the future recreation use of Dorrigo National Park was in the order of $77 m. The comparable figure for Gibraltar Range National Park was approximately $11 m. According to available evidence the preservation or non-use values of these parks could also be considerable. In terms of total regional economic impacts, it was estimated that Dorrigo National Park contributed over $4.0 m in output, $2.3 m in value added including $1.5 m in household payments to 71 people. Gibraltar Range National Park contributed $1.5 m in gross output, $0.9 m in value added including $0.6 m in household income payments to 30 people.