Valuing the Benefits of Nature-Based Solutions : A Manual for Integrated Urban Flood Management in China

Public Disclosure Authorized

Public Disclosure Authorized

A Manual for Integrated Urban Flood Management in China

Marcus Wishart, Tony Wong, Ben Furmage, Xiawei Liao,

David Pannell, and Jianbin Wang

Public Disclosure AuthorizedPublic Disclosure Authorized

Contributors

About the Sustainable Development Practice Group

The World Bank's Sustainable Development Practice Group helps countries tackle their most complex challenges by bringing together financing, knowledge and implementation into one platform. By combining the Bank's global knowledge with country investments, this model generates transformational solutions to help countries grow sustainably.

Please visit us at www.worldbank.org or follow us on Twitter at @WorldBank

About the Urban, Disaster Risk Management, Resilience and Land Global Practice

The World Bank's URL Global Practice focuses on developing green, inclusive and resilient cities; managing the urban-rural transition; and assisting in disaster risk management through issues such as urban flood management, disaster preparedness, risk financing, and resilient reconstruction.

Please visit us at www.worldbank.org/urban or follow us on Twitter at @WBG_Cities.

About the Water Global Practice

The World Bank's Water Global Practice brings together financing, knowledge and implementation in one platform. By combining the Bank's global knowledge with country investments, this model generates more firepower for transformational solutions to help countries grow sustainably.

Please visit us at www.worldbank.org/water or follow us on Twitter at @WorldBankWater.

About the Development Research Center

The Development Research Center of the State Council (DRC) is mainly responsible for conducting research on strategic and long-term issues related to economic and social development in China, as well as key challenges related to reforms and policy options, providing advice to the CPC Central Committee and the State Council.

Please visit us at http://en.drc.gov.cn

About the Cooperative Research Center for Water Sensitive Cities

The Cooperative Research Centre for Water Sensitive Cities (CRCWSC) is an Australian based research to practice collaboration that brings together internationally recognized researchers and thought leaders from the public, private sectors to help change the way we design, build and manage our cities and towns. The CRCWSC does this by maximising the contribution water makes to economic development and growth, our quality of life, and the ecosystems of which cities are a part.

Please visit us at http://watersensitivecities.org.au

Valuing the Benefits of Nature-Based Solutions

A Manual for Integrated Urban Flood Management in China

• 2021 International Bank for Reconstruction and Development / The World Bank 1818 H Street NW, Washington, DC 20433
  Telephone: [phone]; Internet: www.worldbank.org

Disclaimer

This work is a product of the staff of The World Bank with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. In the case of any discrepancies between this English version and any subsequent translations, the English version prevails. The report reflects information available up to September 30, 2018.

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Please cite the work as follows: Wishart, Marcus, Tony Wong, Ben Furmage, Xiawei Liao, David Pannell,

and Jianbin Wang. 2021. "Valuing the Benefits of Nature-Based Solutions: A Manual for Integrated Urban Flood Management in China." World Bank, Washington, DC.

Any queries on rights and licenses, including subsidiary rights, should be addressed to World Bank Publications, The World Bank Group, 1818 H Street NW, Washington, DC 20433, USA;

e-mail:[e-mail].

Cover photo: © Shenzhen Water Planning and Design Institute/World Bank.

Cover and report design: kngraphicdesign.com

Contents

Acknowledgements	viii
Executive Summary	ix
Abbreviations	xv
Chapter 1: The Challenge of Urban Flood Management. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	. . . 2
1.1: The Global Challenge	3
1.2: The Challenge in China	5
1.3: Developing Sponge Cities	9
References	13
Chapter 2: Leveraging Nature-Based Solutions for Integrated Urban Flood Management. . . . . . . . . . . . . .	. 16
2.1:Defining Flood Context and Objectives	18
2.2: Undertaking a Flood Risk Assessment	20
2.3: Identify Context-Appropriate Interventions	24
References	45
Chapter 3: Valuing the Benefits of Nature-Based Solutions for Integrated Urban Flood Management. . . .	. 48
3.1: Capturing the Benefits of Integrated Urban Flood Management	49
3.2: Identifying the Benefits of IUFM	50
3.3: Valuing the Benefits of NbS for IUFM	52
3.4: Understanding the Size, Timing, and Certainty of Project Costs and Benefits	55
3.5: Addressing Equity	56
References	57
Chapter 4: Choosing from Integrated Urban Flood Management Options. . . . . . . . . . . . . . . . . . . . . . . . . . .	. 58
4.1: Introduction	59
4.2: Reasoning behind Benefit-Cost Analysis	60
4.3: Differences between Economic and Financial Evaluations	60
4.4: Main Steps in a BCA	61
4.5: BCA Checklist	62
References	75
Chapter 5: Funding and Financing Nature-Based Solutions for Integrated Urban Flood Management . . . .	. 78
5.1: Introduction	79
5.2: Sources of Funding for NbS	80
5.3: Sources of Financing for NbS	86
5.4: Choosing an Appropriate Mix of Financing and Funding	96
5.5: Challenges and Opportunities for Funding and Financing NbS for IUFM	99
References	101
Chapter 6: Application Example and Case Studies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	102
6.1: Case Study: A Worked Example in a Hypothetical Australian City (Appendix B)	103
6.2: Case Study: Valuing the Comprehensive Benefits of Shenzhen Futian River Ecological
Restoration (Appendix C)	108
6.3: Case Study: Valuing the Comprehensive Benefits of Kunshan Forest Park (Appendix D)	113
Chapter 7: Recommendations for Funding and Financing NbS for IUFM in China. . . . . . . . . . . . . . . . . . . . .	122
7.1: Funding and Financing IUFM projects in China	123
7.2: Recommendations for Financing NbS for IUFM in China	126
References	134