Forget beauty, history, and health: When it comes to the Great Barrier Reef, money talks

The Great Barrier Reef was valued at $56 billion (AU dollars) in a report published by Deloitte Access Economics earlier this week.

The report was commissioned by the Great Barrier Reef Foundation in what appears to be an effort to show how valuable the site is to the Australian economy. It is unfortunate that it has come to the point where financial arguments must now be used in favor of protecting the GBR but it is ultimately necessary. Beauty, history, and a healthy ocean don’t seem to be reasons enough – money talks.

In recent years, the greatest threat to the GBR has been bleaching. Coral bleaching occurs when coral polyps expel algae from their tissues which is crucial to the survival of the entire reef. Bleaching is triggered by a number of factors; lack of oxygen, changes in salinity, and varying water temperatures. Due to the increasing water temperatures along the northeast coast of Australia, almost certainly caused by global warming, the GBR has been significantly damaged by bleaching. Most reports state that over 50% of the reef suffered this over the last two years.

The good news is that the coral does not die as soon as the all-important algae has been expelled. As long as water temperatures return to a normal level the coral can regenerate and begin to get its color back. Scientists and environmental leaders have been asking the Australian government for years to better protect the reef but have been met with minimal action. Hence the $56 billion valuation. Again, money talks.

Now those who care deeply about the GBR have realized that the environmental arguments have not been effective. The hope is that the clear economic drawbacks to losing the reef will finally spur the government into more effective policy changes. While the financial valuation might seem high, it is based on extrapolating the value of the GBR through 2050. It takes into account not only the tourism the reef brings (which accounts for just over half of the $56 billion estimate) but also the 60,000 jobs it supports directly and indirectly. The Director of the GBR Foundation, Steve Sargent, framed the argument by saying ‘the reef is valued at more than 12 Sydney Opera Houses’ – the most iconic building in Australia.

While Mr. Sargent’s comparison may be slightly over the top, it demonstrates just how important the GBR is to Australia. Not only is it a spectacular sight to behold as well as an important cultural area for Australian Aboriginals, it is also an essential factor in the Australian economy.

Efforts to save the GBR could occur in a number of different ways. Coral nurseries could be set up to protect particularly endangered areas of the reef. Crown-of-thorns starfish that prey on coral polyps need to be removed from areas of the GBR. But plans like this are only band aids. Ultimately, the effects of global warming have to be slowed in order for the GBR, and coral reefs around the world, to survive. Whether this valuation spurs the Australian government into action remains to be seen. The message from the Great Barrier Reef Foundation and countless environmental experts is clear however. If we don’t act soon it will be too late and Australia will lose one of its greatest financial assets.