Money tree: the green space payoff

Green space is vital for connected, thriving cities. Two years after Horticulture Innovation Australia joined corporations, government agencies, education institutions and community groups to launch a bold plan to create 20 percent more green space in urban areas by 2020, the 2020 Vision remains strong. Could an increased understanding of the economic benefits created by more green space now pay off?

Environmentalists have long championed the benefits of green space, and now, with greater support from corporate Australia and a plethora of concerned higher-learning centres and community groups, it appears the commitment to a greener, healthier future has become mainstream.

Those driving the 202020 Vision are flush with evidence to support their push for 20 percent more green spaces in urban areas by 2020.

A well-placed park can enhance the well being of a community by encouraging physical activity and helping build social connections. Trees remove pollution and improve air quality. Rainwater gardens alongside roads can filter runoff from stormwater, improving the quality of groundwater. Trees throw shade, which reduces the ‘heat island effect’ and keeps our cities cooler. Urban forestry increases native flora and fauna and supports ecosystems within.

There are a myriad of benefits that support the introduction of more green space – but what of the economic rewards?

Perth-based AECOM strategic advice consultant Rachel Thorpe believes green urban space can deliver an immediate economic windfall for cities.

“Research shows customers prefer a shopping strip featuring shade and green,” she explains.

“They tend to stay longer and shop more, which increases retail yield.”

In addition to creating an environment where shoppers are more likely to spend, businesses can also create more appealing work environments for their staff through providing facilities that include green features.

“Working in a building that contains green infrastructure can improve a person’s mental health, reduce stress and fatigue and boost productivity, leading to less absenteeism and a greater return on human investment,” she said.

The same is true in terms of traditional healthcare, with many new hospitals acknowledging the healing benefits of green spaces by incorporating them into innovative designs, indirectly resulting in shorter stays and less burden on the public system.

Combined, these benefits enhance a community’s resilience and position it for prosperity with a healthy, happy workforce.

Time to act

From a health policy and water policy standpoint, the time is now to promote understanding of the economic benefits of a robust green infrastructure program.

Mrs Thorpe cites Perth as a prime example of why.

“Western Australia is at a critical point with regards to losing its green open space because of the lack of formalised understanding of the value, in a time of increased urban density,” she said.

“It’s vital that we can clearly compare the particular economic value to the community of a grey infrastructure asset such as a bridge or a road to the value of a green open space, like a park or a vertical garden.”

While arguably less visible, the economic flow-on effects from increased green space are nonetheless incentivising participation from government and private sector participants. In Western Australia, the push is on to look beyond anecdotal evidence and establish a matrix to put a dollar value on ‘going green’.

“What we need is a true, tried-and-tested framework that places a value on green infrastructure, so that policy makers who hold the purse strings can clearly understand the associated community benefits,” she said.

“Only when we have such a system will we be able to educate people about why it’s economically vital that we protect and continue to create more green spaces in urban areas.”

AECOM has applied for support through the ‘Green Cities fund’ run by Horticulture Innovation Australia to produce the matrix and the framework to be able to put a value on green open space.