The governance systems in the Nordic countries have many similarities, but there are also differences in how the implementation of NbS can be supported through policies. When working with policy development to mainstream and upscale the use of NbS, this is both related to creating new policies, such as strategies and incentive programs, to strengthen existing policies that are already supporting NbS, such as nature protection and restoration initiatives, and to change policies that may not incentivize NbS. There are several standards and criteria suggested for NbS, and these can also be applied when working with policy development, such as the IUCN global standard. Key elements that policies supporting NbS should also consider, are education and capacity building, financing, stakeholder involvement, knowledge-based management and cross-sectoral collaboration.
3.4 Cost-benefit of NbS
One of the main challenges when planning and implementing Nature-based solutions (NbS) is to be able to weigh the costs of the solutions against their benefits. Cost-benefit analyses are traditionally focused on one single, or a few selected issues, and do not always include impacts on nature or the ecosystem services provided by nature. This makes it difficult to assess the costs and benefits of NbS in comparison to more traditional, technical, or “grey” solutions.
The lack of information and uncertainty about the costs and benefits of NbS makes it difficult to calculate reliable revenue streams and to develop investment plans for NbS. To help to address this issue, the following recommendations were made in NbS workshops with Nordic stakeholders (Sandin et al., 2022):
The strength of NbS is that they can address multiple societal problems at the same time, but this is not reflected in most current cost-benefit analyses. To account for the benefits of NbS, there is a pressing need for proper monetary valuation studies focusing on the ecosystem services of different NBS to allow for value transfers from one study area to other locations and cases.
Current cost-benefit analyses of NbS often do not properly consider the long-term benefits of NbS (as these benefits could increase over time, depending on how they were built/secured and managed). This leads to the impression that NbS are more expensive compared to traditional or “grey” solutions, even when they are not. Comprehensive cost-benefit analysis can help potential investors choose NbS over other more technical solutions.
Current thinking is often focused on single ecosystem service delivery – for example water companies focus on delivering drinking water and cleaning wastewater using traditional infrastructure, thus missing the additional services NbS could provide. In order to direct existing funding to test and create NbS, including ecosystem service delivery, it is necessary with creative, proactive, and holistic thinking.
There is a lack of coordinated public and private funding for NbS. The many benefits that NbS can deliver for different societal needs should also be reflected in the funding the solutions receive. Incentive systems may help to attract private investors, coordinate public funding, and mainstream NbS.
Public funding is partly dependent on awareness and understanding of the importance of NbS. If governments should prioritize NbS over other types of solutions, one route would be to increase awareness and knowledge about NbS among the general public to change the views of politicians.
Changing mindsets towards the acceptance of more holistic solutions is necessary to embrace NbS in order to upscale such solutions.
3.5 Monitoring and evaluation
At the core of NbS are the societal challenges that these solutions will help solve (IUCN, 2020). Monitoring and evaluation of NbS efficiency are therefore essential to determine whether implemented NbS respond effectively to these challenges across ecosystems and land use types. The IUCNs global standard for NbS require that NbS are managed adaptively and are based on evidence. This means that in practice, NbS need to be monitored and evaluated to make sure that the implemented actions continue to deliver the benefits that they were implemented for. It is therefore very important that in the start-up phase of a new NbS project (such as a restoration project) that measurable “scope, vision, target, goals, and objectives” are identified, and that adequate funding are allocated for monitoring and evaluation as part of the NbS implementation (Gann et al. 2019).
Unfortunately, proper monitoring is not often done in NbS in the Nordics (see Sandin et al. 2022; Barkved et al., 2024). If no proper monitoring and evaluation is done, it will result in the following problems:
a lack of initial data for proper project planning
missing monitoring and assessment schemes for evaluating NbS
a lack of information regarding the effects of NbS on social and ecological values across different spatial scales and on long-term effects
The European Commission has developed a handbook for practitioners for the evaluation of impact of NbS with the goal to “to support the adoption of common indicators and methods for assessing the performance and impact of diverse types of NbS” (European Commission, 2021). Other frameworks developed to assess NbS includes the integrated valuation of a nature-based solution for water pollution control (Liquete et al., 2016); the assessment of the effectiveness and co-benefits of nature-based solutions in urban areas including NbS design, implementation and evaluation (Raymond et al., 2017); the assessment of the regulation of urban run-off (Zölch et al., 2017); and a ‘dynamic’ assessment framework explicitly incorporating climate change (Calliari et al., 2019).
Regarding the evaluation of the impact of NbS, important questions remain regarding how to assess NbS within and across societal challenges (Raymond et al., 2017), but it is clear that the monitoring and evaluation of NbS impacts should include both observations (monitoring) as well as analysis (assessment of the results). This includes both measuring and assessing change, as well as costs and benefits of the NbS. Including a monitoring scheme with the NbS project will support and enhance the evidence base for new and established NbS as well as provide important information regarding performance, effectiveness, implementation and costs (European Commission 2021). When doing so it is important to include appropriate, unbiased, and robust methods for the monitoring and evaluation to be effective (Chrysoulakis et al 2021). Most current studies on the impact of NbS are limited to single cases, limited in terms of the impacts considered or have focused on a specific type of NbS (Dumitru et al. 2020). Most attention has focused on assessing the environmental aspects without paying enough attention to economic, social and health impacts (Brink and Wamsler, 2018; Raymond et al., 2017).