Integrating Natural Capital into Urban Policy: A Systems Approach to Addressing Global Climate and Biodiversity Challenges

The twin crises of climate change and biodiversity loss represent intricate, multifaceted global challenges. Addressing these issues effectively necessitates interdisciplinary collaboration and cross-sectoral coordination. However, entrenched knowledge silos and fragmented policy frameworks often hinder the implementation of cohesive strategies. Considering the benefits provided by Natural Capital (NC) within decision-making provides an approach to quantify the value of ecosystem services and their contributions to human well-being, environmental health, and economic stability. Despite its potential, urban design and management frequently lack robust methodologies to assess these benefits.

This research introduces the VNiC-Health framework, a system dynamics model designed to embed Natural Capital within urban planning and policy. The model evaluates the contributions of blue-green spaces (BGS) to ecosystem services and human well-being through a novel metric informed by positive health psychology and biosensor data. Using an Irish urban case study, the model simulates alternative management scenarios to explore their long-term impacts, providing a roadmap to support strategic investment in BGS to mitigate urban challenges, reduce greenhouse gas emissions, and improve public health outcomes, directly supporting global targets such as the EU Biodiversity Strategy, the UN’s Sustainable Development Goals, and the One Health approach.

This study highlights the critical need for integrated tools and approaches that transcend policy silos to address interconnected environmental and societal issues. By framing Natural Capital as a cornerstone of urban sustainability, the VNiC-Health model showcases its potential to advance holistic solutions that align with international climate and biodiversity objectives. It underscores the necessity of embracing innovative, evidence-based tools to drive global progress toward resilience and sustainability.