Abstract:From the economic value perspective,economic values of water conservation function in the Qinling National Ecology Function Zone(QNEFZ) were estimated by using shadow project approach and market value method.From the estimation,the total water conservation value for the QNEFZ in 2010 was about 31.7 billion Yuan,being equivalent to the gross domestic product(GDP) of Ankang City and 5.7 billion Yuan higher than the GDP of Shangluo City.Water conservation value for the QNEFZ in 2010 was 8.8 billion Yuan more than that in 2002,about 1 billion Yuan increase per year,which indicates a significant improvement in water conservation function.However,the current economic value of water conservation function is just a potential value.In the future,it is important to establish the ecological compensation mechanisms to fit market economy for promoting the transformation of the potential value to real value.