Who benefits from natural capital in Switzerland? An analysis of resource rents by groups of beneficiaries

Introduction
Information on the distribution of the benefits from natural capital is scarce. In this paper we propose a framework for quantifying rents from natural capital by institutional sectors or groups of beneficiaries and apply it to natural capital in Switzerland.
Methods
We draw on concepts of natural capital and rents from previous work and distinguish four main groups of beneficiaries: the private sector, the public sector, citizens as equal shareholders of collectively held capital, and polluters of open-access environmental resources. The data for urban land come from official statistics on land use and zoning and price estimates from private real-estate service providers. The data for other natural resources such as agricultural land and hydropower were obtained from various official sources. The monetary information for environmental resources comes from transactions involving environmental damage and environmental services and studies of external cost.
Results
Using conservative assumptions, annual rental income from natural capital was estimated at CHF 159 billion for the examined period (2016–2021). Land for buildings accounted for CHF 130 billion or 82% of the total rents. The private sector received CHF 103 billion or 65% of the total rents, with natural persons receiving CHF 76 billion (48%), profit-oriented companies 16%, and non-profit organizations 1%. The public sector received 18% and the polluters of open-access resources 17% of the rents. The citizens as collective owners of natural capital contributed CHF 42 billion in transfers to other groups of beneficiaries.
Discussion
Although the estimates involve considerable uncertainty due to limitations of available data and parameters, they provide novel and policy-relevant insights into the extent and distribution of the benefits flowing from natural capital in an industrialized country.