EFFLUENT FEES,AN ALTERNATIVE SYSTEM FOR ACHIEVING WATER QUALITY: A CASE STUDY1

This paper reports the findings of a case study of the relative costs of a uniform standards system and an effluent fee system of water quality control. A 30-mile stretch of the Black Warrior River in Alabama is considered. The analysis demonstrates that the dischargers could reduce total pollution abatement costs by 33 percent under the suggested effluent fee system.     

Why pollution standards are preferred by industries: pragmatism and rent-seeking behaviour

Regulatory instruments in environmental policy have strongraison d'etre. They still dominate the instruments selected by policy makers. Even with the growing interest in the use of economic instruments, in theory, empirical studies and policy, industries tend to prefer command-and-control as a practical instrument in pollution control. Polluters often assume they have more influence on regulation than on setting effluent charge levels. The industry can be better off under the regulatory standard than an imposed effluent charge when the total cost of abatement to the industry is considered. The higher costs to the industry make effluent charges less attractive. In practice, generally a mixed environmental policy is used in which regulations dominate. This choice has been based on effectiveness, economic efficiency and political acceptability. By simulating the abatement cost function, it was found that marketable permits offer an attractive system of pollution control when the scope of variation in abatement levels is evident. Unfortunately, at higher levels of abatement, the benefits of this system are small and insufficient to justify any regulatory reform. Thus, with a pragmatic approach coupled with a rent-seeking behaviour of the polluters, a shift to the use of economic instruments is neither likely nor desirable even when administrative and transactions costs are not considered.Dr Khalid Abdul Rahim is currently a lecturer in the Faculty of Economics and Management at the Universiti Pertanian Malaysia. He is also a visiting Fellow at the Institute of Strategic and International Studies (ISIS) Malaysia, in Kuala Lumpur, and the Thematic Network Coordinator in the UNEP Network for Environmental Training at tertiary Level in Asia and the Pacific (NET-TLAP).     

Estimating the economic burden from illnesses associated with recreational coastal water pollution--a case study in Orange County, California

A cost-of-illness framework was applied to health and income data to quantify the health burden from illnesses associated with exposure to polluted recreational marine waters. Using data on illness severity due to exposure to polluted coastal water and estimates of mean annual salaries and medical costs (adjusted to 2001 values) for residents of Orange County, California, we estimated that the economic burden per gastrointestinal illness (GI) amounts to 36.58 dollars, the burden per acute respiratory disease is 76.76 dollars, the burden per ear ailment is 37.86 dollars, and the burden per eye ailment is 27.31 dollars. These costs can become a substantial public health burden when millions of exposures per year to polluted coastal waters result in hundreds of thousands of illnesses. For example, exposures to polluted waters at Orange County's Newport and Huntington Beaches were estimated to generate an average of 36,778 GI episodes per year. At this GI illness rate, one can also expect that approximately 38,000 more illness episodes occurred per year of other types, including respiratory, eye, and ear infections. The combination of excess illnesses associated with coastal water pollution resulted in a cumulative public health burden of 3.3 million dollars per year for these two beaches. This paper introduces a public health cost variable that can be applied in cost-benefit analyses when evaluating pollution abatement strategies.     

A Cooperative Approach to Reduce Water Pollution Abatement Cost in an Interjurisdictional Lake Basin

A cooperative approach via transfer fee was developed to improve the cost‐effectiveness of water pollution control in interjurisdictional lake basin management in China. Different from the existing literature that studies water quality trading and pollution reduction at micro levels (i.e., focusing on enterprises and firms), this article explores cooperative pollution reduction strategies from a macro level, targeting multiple jurisdictional regions. The merits of this new approach include: (1) improving the cost‐effectiveness of pollution reduction by making use of the cost differentiation in pollution reduction between industries and municipal sewage plants, and between different administrative areas; (2) managing payments for ecosystem services by horizontal transfer payment; and (3) incorporating the concepts of game, cooperation, coordination, and watershed‐based management in implementation. For empirical demonstration, a bilevel optimization model was built and calibrated using the 2005 data of the Lake Tai basin to work out the optimal solutions for cooperative chemical oxygen demand (COD) reduction. Results show that policies based on this new approach can significantly reduce the overall COD abatement costs for the basin as well as the individual jurisdictional regions compared to the current practice.     

Management of treated pulp and paper mill effluent to achieve zero discharge

Pulp and paper mills are one of the major effluent generating industries in the world. In most cases, mill effluent (treated or raw) is discharged back into a river, creek, stream or other water body; resulting in negative environmental impacts, as well as social concerns, among the downstream users. Pulp and paper mill effluent management, which could result in zero discharge into downstream water bodies, would present the best management option to address socio-environmental concerns. This paper presents such an effort aimed at closing the water cycle by using treated effluent from the mill to irrigate forage and fodder crops for producing animals feed. The treated effluent is delivered from the mill through gravity into a winter storage dam of 490ML capacity. For irrigation applications on 110ha of farmland, which is 42% of the total farmland, the water is pumped from the winter storage dam to five individual paddocks with Centre Pivot (CP) irrigators and one rectangular paddock with a Soft Hose Travelling (SHT) irrigator. From October 2001 to June 2006, a total of 2651mm of wastewater was applied at the farm. The impact assessment results, obtained from field monitoring, investigations and analysis, indicated that the closed water cycle effluent management strategy described had resulted in a lessening of the impact on water resources usually associated with paper mills. However, social attitudes to the use of crops that have been irrigated with recycled waters and the resulting impact on market value of the produce may still be a major consideration.     

The influence of metal source uncertainty on cost-effective allocation of mine water pollution abatement in catchments

In mine water pollution abatement, it is commonly assumed that known mine waste sites are the major pollution sources, thus neglecting the possibility of significant contribution from other old and diffuse sources within a catchment. We investigate the influence of different types of pollution source uncertainty on cost-effective allocation of abatement measures for mine water pollution. A catchment-scale cost-minimization model is developed and applied to the catchment of the river Dalälven, Sweden, in order to exemplify important effects of such source uncertainty. Results indicate that, if the pollution distribution between point and diffuse sources is partly unknown, downstream abatement measures, such as constructed wetlands, at given compliance boundaries are often cost-effective. If downstream abatement measures are not practically feasible, the pollution source distribution between point and diffuse mine water sources is critical for cost-effective solutions to abatement measure allocation in catchments. In contrast, cost-effective solutions are relatively insensitive to uncertainty in total pollutant discharge from mine water sources.     

Sustainable Water Quality Management Framework and a Strategy Planning System for a River Basin

In Taiwan, the authorities have spent years working on remedying polluted rivers. Generally, the remediation planning works are divided into two phases. During the first phase, the allowed pollution discharge quantity and abatement quantity of each drainage zone, including the assimilative capacity, are generated based on the total river basin. In the second phase, the abatement action plans for each pollution source in each drainage zone are respectively devised by the related organizations based on the strategies generated during the first phase. However, the effectiveness of linking the two phases is usually poor. Highly integrated performances are not always achieved because the separate two-phase method does not take system and management thinking into consideration in the planning stage. This study pioneers the use of the Managing for Results (MFR) method in planning strategies and action plans for river water quality management. A sustainable management framework is proposed based on the concept and method of MFR, Management Thinking, and System Analysis. The framework, consisting of planning, implementation, and controlling stages, systematically considers the relationships and interactions among four factors: environment, society, economy, and institution, based on the principles of sustainable development. Based on the framework, the Modified Bounded Implicit Enumeration algorithm, which is used as a solving method, is combined with Visual Basic software and MS Excel to develop a computer system for strategy planning. The Shetzu River, located in northern Taiwan, is applied as a case study. According to the theoretical, practical, and regulatory considerations, the result-oriented objectives are defined to first improve the pollution length of the Shetzu River in specific remediation periods to finally meet regulated water quality standards. The objectives are then addressed as some of the constraints for the strategy planning model. The model objective is to pursue the maximum assimilative capacity (environmental phase) subjected to the constraints of water quality standards (institutional phase), social equity (social phase), and proper available technology (economic phase). The pollution quantity abatement and allocation, which are named the top strategies, of each drainage zone for different scenarios can be obtained based on each water quality standard. The middle as well as lower strategies and action plans, which consist of pollution quantity abatement and allocation of each class (domestic, industrial, livestock, and non-point pollution sources) and their individual pollution sources in each drainage zone, are then generated based on the top strategies. The performance indicators and measure plans are proposed based on the action plans to promote the comprehensive effectiveness of river water quality management. The authorities have begun to develop a budget based on the strategies and action plans developed in this study. The analytical results indicate that the objectives, strategies, and action plans developed based on the sustainable management framework and strategy planning system can effectively help the related authorities to fulfill the tasks of water quality management for a river basin.     

MEASURING THE SITE-SPECIFIC RECREATION BENEFITS RESULTING FROM IMPROVED WATER QUALITY: AN UPPER BOUND APPROACH1

The estimation of the value of recreation benefits resulting from improved water quality is required for many purposes. In particular, the Water Pollution Control Act of 1980 requires the consideration of the reasonableness of costs of reducing water pollution in relation to benefits to be derived from establishing effluent standards (Clean Water Act of 1977). Recreation is often the most important benefit resulting from water quality improvement. Current methods used to calculate recreation benefits are either not site-specific or are expensive and controversial. This paper presents a relatively simple, inexpensive, and less controversial method of calculating site-specific recreation benefits resulting from improved water quality. It does this by producing an upper bound estimate which often is adequate for the relevant decision. The upper bound estimates is based on two assumptions: 1) there are alternative equivalent substitute sites for the newly augmented water quality site, and 2) the new augmented recreation opportunities at the site will be used to their maximum supply capacity. Clearly, if an upper bound benefit estimate in a cost-benefit ratio does not produce a favorable ratio, no other benefit estimate will. In cases where this estimate produces an ambiguous result resort must be had to other more precise methods of estimation.     

THE COSTS OF CONFLICTING ENVIRONMENTAL POLICY: A CASE STUDY IN MILWAUKEE1

ABSTRACT: The history of the Milwaukee water pollution abatement program is examined as a case study to investigate the costs of conflicting environmental policy. The recent U.S. Supreme Court decision concerning the Milwaukee case is described as a milestone in U.S. water pollution abatement policy which will help preclude the type of environmental policy conflict which has been found to be so costly to Milwaukee. The implications to U.S. water pollution abatement policy of the 13-year history of conflict in Milwaukee are presented.     

Environmental regulation, productive efficiency and cost of pollution abatement: a case study of the sugar industry in India

In this paper the input distance function is estimated for the Indian Sugar industry under alternative assumptions of weak and strong disposability of bad outputs. The estimated distance function is used to make the estimates of environmental efficiency, Malmquist productivity index and shadow prices of pollutants. The technical efficiency measure estimated under the assumption of weak disposability of bad outputs is utilized to test the Porter hypothesis. Marginal costs of pollution abatement functions are estimated for different pollutants of water. Pollutant specific taxes are computed using the tax-standards method.     

不完全竞争行业中的环境工具有效性研究:一个理论框架

各级政府贯彻落实绿色发展的理念,实现经济增长与环境保护的共赢,才能真正实现"绿水青山就是金山银山"。在经济"新常态"背景下,防治环境污染是个复杂而系统性的工程,需要进行经济追因与综合治理,其中,制定实施有效的环境政策工具尤为关键。本文把微观经济学中的双寡头产量竞争模型作为基准模型拓展用于环境经济分析,并把环境税、环境规制、排污权交易这三类主要环境工具对企业生产决策的影响纳入基准模型,旨在对比研究不完全竞争行业中环境工具的有效性问题。结果表明:主要基于市场机制的环境经济政策比行政色彩浓厚的环境规制更有效率。提高环境税率或排污权价格均能显著削减行业污染物排放量,如果环境税率恰好等于排污权价格,则环境税与排污权交易这两类环境工具的效力相等。这对进一步建立和完善我国尚处于探索或初始实施阶段的环境工具,促进石化、电力、钢铁等不完全竞争行业的主要污染物减排,具有一定参考价值和借鉴意义。     

Economic Evaluation of Carbon Dioxide Emission Abatement Measures in the Greek Energy Sector

This paper outlines a methodological framework for the economic evaluation of carbon dioxide (CO 2 ) emission abatement policies and measures, formulating a basis for the selection of those options of climate change mitigation interventions that minimize economic cost and maximize social welfare. To this purpose, a cost-benefit analysis has been implemented in order to evaluate a variety of CO 2 emission abatement measures in the Greek energy sector on the basis of their social (i.e. the sum of the private and external) costs and benefits, and it is compared with a cost-effectiveness analysis, which takes into account only the net financial costs of the examined interventions. The analysis clearly reveals that a significant decrease in CO 2 emissions is possible without great cost to the economy. Moreover, the monetization of environmental benefits (e.g. the restriction of impacts on human health, agriculture and biodiversity, etc.) associated with the above-mentioned interventions represents a powerful tool for highlighting priority actions in the context of a climate change mitigation policy and for quantifying their overall economic and environmental effectiveness.     

新《水污染防治法》第二十八条之法律适用解析

由于水资源的流动性,水污染事故常常影响到上下游不同的行政区的生态环境,跨行政区域水污染纠纷几乎成了中国水污染治理的一项制度痼疾。2008年新修订的《中华人民共和国水污染防治法》第二十八条对跨行政区域水污染纠纷的解决做了原则性的规定,所以根据该条的规定对跨行政区域水污染纠纷的范围、解决方式的效力以及救济方式进行研究,有利于更好的解决跨行政区域水污染纠纷。     

Pollution abatement in the indian pulp and paper industry

Summary In this paper, pollutants in air, water and as solids which stem from the paper industry are discussed, and pollution abatement measures are suggested. The Pulp and Paper Industry is highly capital, material and energy intensive and return on investment is very low. This paper reviews some emerging international principles which are effective in reducing both effluent treatment costs per tonne of paper and the mill discharges, to levels where their environmental impacts become far less significant than at present.Mr Avijit Dey is a graduate in Chemical Engineering from Jadavpur University and at present is Design Engineer in the Paper and Process Cell of Development Consultants Ltd, 24-B Park Street, Calcutta 70016, India. Dr B. Sen Gupta is Reader in the Chemical Engineering Department of Jadavpur University, Calcutta. He obtained his BChE and PhD in Chemical Engineering from Jadavpur University and an ME in Chemical Engineering from the Indian Institute of Science, Bangalore. His research interests involve pulp and paper technology, water conservation and management, and pollution control.     

THE EFFECT OF SOME BASIC STATISTICAL AND BIOLOGICAL PRINCIPLES ON WATER POLLUTION CONTROL1

ABSTRACT: The hypothesis of this paper is that the frequently used regulatory practice which employs point estimates in water pollution control objectives, in combination with monitoring at infrequent intervals, is an inadequate scientific procedure for the measurement and control of pollution. The first part of this paper outlines the relevant sampling theory which applies to the measurement of effluent from industrial plants and describes the possible errors in sampling practice which currently affect the interpretation and enforcement of environmental standards. In the second part of the paper, the authors describe briefly the environmental significance of biological damage functions. In the final part of the paper, the authors recommend that existing pollution control regulations be restructured to be more efficient and effective in the protection of both corporate and social interests. By adopting two different approaches to regulation depending upon the nature of the appropriate damage functions and critical fish species, it is possible to reduce significantly the waste of resources.     

COMPARATIVE BASES OF INDUSTRY POLLUTION ABATEMENT AND COMMERCIAL INNOVATION: IMPLICATIONS FOR WATER RESOURCES MANAGEMENT1

ABSTRACT: Adoption, maintenance, and operation of pollution control technology by manufacturing firms is essential to effective water resource management. In this study of 102 industries, we find that company adoption of pollution control technology and practices is primarily associated with two factors: (1) the overall company capacity for innovation in its production technology; and (2) company relationships with state and federal pollution control agencies, local government officials and professionals. Managerial attitudes about pollution and government regulation are not associated with either pollution control or commercial innovation, but are seen as basic to industry-government relationships. The data suggest an important regulatory dilemma, the problem of regulating a large number of small companies with a low capacity for innovation, but which when taken together account for large volumes of toxic effluent.     

THE IMPACT OF WATER RESOURCE QUALITY CHANGES ON SURROUNDING PROPERTY VALUES1

ABSTRACT: A case study is used to demonstrate a methodology for measuring the residential property value benefit of water pollution abatement. Increases in the value of single-family homes attributable to improvement in the water quality of the nearby Willamette River (Clackamas County, Oregon) were measured using a regression analysis technique. Sales prices and tax assessment data were used to estimate the change in property values coincident with the changes in water quality. The percentage increase in property value due to pollution abatement is expressed as a function of the distance between properties and the river bank.     

The Benefits and Costs of Noise Reduction

This paper attempts to measure, in a cost-benefit analysis, a stricter noise abatement programme for noise originating from roads in Israel. Using the hedonic price method for three large cities and rural area transactions, a benefit from noise reduction was found. In order to perform a social cost-benefit analysis, a measure of benefit has been derived for 1 km of road and has been compared with the cost of noise reduction under different types of road structure. The results indicate that even though benefits have largely increased when compared to past decades (e.g. 1.2% of an average urban property value per 1 decibel reduction), the decision to insulate a given road is dependent on location and road structure. This raises the normative question of a national vs. regional standard that decision makers should be aware of and such studies could be of help in this respect.     

ESTABLISHING PRIORITIES IN MINE DRAINAGE REDUCTION A COST-EFFECTIVENESS APPROACH1

ABSTRACT Twenty-seven watersheds in the Susquehanna River Basin are severely degraded by acid mine drainage pollution. Approximately 620 miles of significant tributaries as well as 230 miles of principal rivers are either sterile or intermittently degraded by acid slugs. As a result of the acid discharges, many uses of the streams, such as water supply and recreation, are precluded. In the past, acid mine drainage abatement programs did not look beyond the immediate problem area. No considerations were given to the blending effect of natural alkalinity in other streams. Since the abatement of acid mine drainage pollution is extremely costly, a method of minimizing these costs was needed. The systematic, cost-effectiveness approach, discussed in this paper presents such a method. This system allows the water resources planners to control the allocation of funds for maximizing the abatement of acid mine drainage.     

地表水水源地突发水污染风险评价方法现状

饮用水水源地与人民的生命安全和社会经济的稳定发展联系非常密切,突发水污染事故严重威胁着水源地饮用水安全。突发水污染事故具有不确定性和模糊性,对不同类型的水源地影响侧重点不同;引发突发水污染事故的因素可以分为人为因素和非人为因素,突发水污染事故多为人为因素所引发;评价方法分为3种类型,分析了分别适用于大尺度河流型的体系构建法和小尺度湖库型的模型模拟法,指出体系构建法综合宏观的特点,以及模型模拟法微观量化的评价方式,综合评价法则结合了这2种方法的优点;分析了评价方法的不足并对发展趋势做出展望,以期为水源地保护工作者提供对水源地突发水污染事故选择评价方法的思路。