ABSTRACT
This chapter briefly outlines different approaches to measure urban ecological capital and discusses ways through which incorporating the value of ecological capital in the decision-making can help improve policy decisions. Capital is conventionally viewed as means of production, such as machinery, buildings, technology, and labor, which are combined together to produce valuable productive services over time. The Brundtland Commission’s Report supported the need to consider ecological capital in decision-making by popularizing the phrase ‘Sustainable Development’ in 1987. Ensuring non-declining human welfare requires ascertaining the level, forms, and elements of ecological capital that should be maintained along with establishing thresholds of different forms of ecological capital stocks. Ecological capital acts as source of raw materials, as a sink for pollution and household waste, and provides amenity and recreational values along with providing the basic life-support services. A spectrum of approaches is available to value the ecological capital depending on the framework used.
