An economic analysis of environmental protection and management: An example from the Philippines

Summary The island of Palawan covers some 12000 km² and is located in the southwest of the Philippines archipelago. It is a beautiful and as yet relatively unspoilt island but in recent years the social and economic pressures on its natural resources and environment have begun to mount. If present trends continue, severe environmental damage will result. In recognition of this danger, the Philippines government and the European Economic Community have commissioned the preparation of an Integrated Environmental Program (IEP) for the island, as part of an overall economic development program. Phase one of the IEP study comprised an assessment of the island's resources and present situation and the formulation of a plan for the future protection of its environment, taking due account of the need for continuing economic development.An analysis was made of the likely economic returns from the proposed environmental protection program, using conventional benefit-cost analysis methodology. Due to the inadequate data base and the wide-ranging assumptions which had to be made, this was inevitably very approximate in nature. It was carried out in terms of the three main types of conservation activity proposed, namely land-based conservation, mangrove conservation and inshore marine conservation, and the program as a whole. The main benefits and costs were identified and, where appropriate, quantified for inclusion in the analysis.Choice of discount rate and length of analysis period are critical factors affecting the economics of environmental protection, which essentially involves the pursuit of long-term rather than short-term gains, output in the immediate future being restricted to the level of long-term sustained yield for the benefit of future generations. Use of the high discount rates customarily applied for project analysis in countries such as the Philippines (typically, 10–15 percent) places a heavy premium on short-term gains and attributes little or no value to benefits and costs further in the future. To take account of this problem the present values of costs and benefits were calculated using low discount rates of zero and 5 percent. Though this was a necessarily crude and arbitrary method of adjustment it was considered to be a better alternative than that of following normal convention and applying the high rates of discount customarily used in the Philippines.The analysis indicated that the various conservation activities could be expected to produce acceptable, though not spectacular, levels of economic return. Mangrove conservation would be particularly beneficial and the irrigation benefits from preserving river base flows and preventing an increase in peak floods, by means of catchment protection, would be high. The unquantifiable ecological and social benefits would also be substantial.Christopher Finney is Chief Economist of Hunting Technical Services Limited, UK, a major consulting firm involved in planning and implementation of agricultural development overseas, and has been with the firm since 1962. He is an agricultural economist with particular interest and experience in the fields of irrigation, livestock, farm mechanisation, general agriculture and conservation. He has worked on a wide variety of projects in numerous countries in Africa, Asia and Latin America. Mr Stanley Western is a senior soil scientist and land use planner with the same company. Since joining the firm in 1960 he has undertaken a very wide range of resource assessment and planning assignments in Asia, Africa and Latin America. He was Team Leader on the Palawan Integrated Environmental Program planning study.     

South African gold mining taxation : An example of a resource rent tax

Theoretically, a resource rent tax is neutral in that it does not influence the allocation of resources. However, the application of such fundamental principles in the tax formula of the South African gold mining industry negates the neutrality principle. A progressive element in the tax rate encourages mining of submarginal ores - leads to misallocation of resources. However, it substantially reduces the financial risks of a mining company engaged in the extraction of a commodity characterized by price volability, such as gold, and permits economies of scale in mining and encourages conservation of a non-renewable resource. As long as prices increase faster than costs, the advantages of this system probably exceed the disadvantages. The choice of the threshold rate in such a tax system is critical. If it is too high it will encourage mining of submarginal ores, and if too low it does not recognize the peculiar risks of gold mining investments.     

The effect of landscape type and landscape elements on public visual preferences: ways to use knowledge in the context of landscape planning

This study deals with an assessment of the visual quality of landscapes, and specifically with the perception of selected elements in the landscape. The aim of the study was to find out how particular elements are perceived in various landscape types, whether this perception is affected by the landscape type in which the elements are placed, and to what extent the respondents’ characteristics affect the assessment. The study was carried out with a sample of respondents of various ages, educational levels and types of employment. The respondents came from Slovakia and the Czech Republic. The preferences of the respondents were determined using an online questionnaire, in which they rated landscape photographs on a 21 point rating scale with a range from ?10 to +10 points. Using generalised linear mixed effect models, it was found that the perception of an element is most affected by the landscape type, since the same element was assessed differently according to the landscape in which it was situated. The results confirmed that selected elements which do not disturb the harmony of the landscape are generally positively perceived, and the selected elements of a technical character are generally negatively perceived. Among the characteristics of the respondents, only gender and the respondent's current place of residence have an effect on their visual preferences.     

Trends and applications of multi-criteria decision analysis: use in government agencies

Government agencies are responsible for making complex, high-stake decisions, which require them to balance political, technical, and economic considerations. Pressure from stakeholders and administrative requirements necessitate a traceable and transparent method for decision making. Multi-criteria decision analysis (MCDA) methods are available to decision makers to facilitate systematic treatment of the information and factors necessary to make informed and effective decisions in complex circumstances. A survey of gray and academic literature was conducted to gauge the level of application and awareness of MCDA methods by US government agencies and determine if the tools’ benefits are being realized. Results show an increase in awareness and consideration of MCDA from 2000 to the present, and that agencies are especially considering and using tools to engage with stakeholders. Government agencies would benefit from extending the application of MCDA to strategic planning and congressional engagement, as well as by standardizing MCDA use to better enable inter-agency collaboration and communication.     

Ecosystem services assessments in local municipal decision making in South Africa: justification for the use of a business-based approach

The ecosystem services (ES) concept is being increasingly incorporated into environmental policy formulation and management approaches. The Corporate Ecosystem Services Review (ESR) is a framework used to assess the dependence and impact that a business has on ES. The success of the corporate experience of ES assessment provides an opportunity for adaption for local authority decision making. In this paper, the ESR tool was adapted to the South African setting at a local government level, and tested at two sites in the Msunduzi Municipality, KwaZulu-Natal. In testing the tool and gathering feedback from key stakeholders, it was found that there are both opportunities and challenges to this approach. Overall, however, it provides an opportunity for the systematic inclusion of ES assessment into existing regulatory frameworks for land-use planning and Integrated Environmental Management, whether in a strategic application, at a broader spatial (municipal) scale or in a specific locale within the municipality.     

Commitment to use of automobile seat belts: An experiential analysis

Experiential factors involved in use or non-use of automobile seat belts were investigated. Intensive interviews were conducted with 30 participants (ten for each of three self-proclaimed categories, viz. non-user, variable-user and committed-user) drawn from 103 respondents of the 160 potential participants who were sent a preliminary questionnaire.The main findings include the following: (1) committed users maintain usage through imagining accidents, fear of personal injury, memories of accidents involving significant others, perception of accidents as dependent on external circumstances, and desire to be a responsible citizen or good role model for children; (2) non-users distance themselves from an accident and/or injury by perceiving themselves as in control to avoid accidents and by psychologically minimizing the risks of personal injury; (3) variable-users have some of each of the characteristics of the other groups, with seat belt use largely dependent on situation specific variables.     

The role of scientific studies in building consensus in environmental decision making: a coral reef example

We present a new approach for characterizing the potential of scientific studies to reduce conflict among stakeholders in an analytic-deliberative environmental decision-making process. The approach computes a normalized metric, the Expected Consensus Index of New Research (ECINR), for identifying where additional scientific research will best support improved decisions and resolve possible conflicts over preferred management actions. The ECINR reflects the expected change in agreement among parties over preferred management actions with the implementation and consideration of new scientific studies. We demonstrate the ECINR method based on a preliminary application to coral reef protection and restoration in the Guánica Bay Watershed, Puerto Rico, focusing on assessing and managing anthropogenic stressors, including sedimentation and pollution from land-based sources such as sewage, agriculture, and development. Structured elicitations of values and beliefs conducted at a coral reef decision support workshop held at La Parguera, Puerto Rico, are used to develop information for illustrating the methodology. The ECINR analysis was focused on a final study group of seven stakeholders, consisting of resource managers and scientists, who were not in agreement on the efficacy and respective benefits of reducing loadings from three sources: sewage, agriculture, and development. The scenario assumed that loadings would be reduced incrementally from each source through a series of management steps, which would be ranked in order of maximizing anticipated benefits. An examination of whether beliefs exhibited greater confidence and coherence between stakeholders when informed by plausible study results followed. The results suggest that new scientific research would be generally likely to bring people who initially disagreed to agree. Seventy-five percent of the hypothetical research results were projected to result in more agreement among the stakeholders. However, there can be situations where prior beliefs may be too different from the study results to shift perspectives enough to result in more agreement. Furthermore, in a few cases, hypothetical research results were projected to lead to more conflict among stakeholders. Priority research, according to the seven stakeholders, would be to quantify loadings from agriculture and sewage, and not loadings from development, since it is predicted to make little difference in the outcome. Assuming the stakeholders are conflict-averse, they would likely opt for research on sewage loadings as the highest priority. Though preliminary, these results suggest that ECINR can provide useful insights into the social implications of a research program.     

Agricultural policies and the emergence of voluntary landscape enhancement efforts: an exploratory analysis of rural tourism using an agent-based model

Conservation and enhancement of ecosystem services have become a priority of rural policies. Feedback loops from rural policies on ecosystem service supply have often been highlighted in the literature, but only vaguely investigated. In this paper, we model feedback loops from rural policies through an agent-based model, and we analyse whether feedback loops can indirectly create a system in which voluntarily landscape enhancement emerges from the interactions between farmers and rural tourists. The results suggest that, in certain conditions, feedback loops from policies can be a relevant element to take into account, but that greater attention to the ecosystem service demand is required.     

Use of decision analysis interviews to support the sustainable use of the forests in Finnish Upper Lapland

Controversy between alternative uses of forests in Finnish Upper Lapland has been going on for decades, and in recent years it has been escalated to a serious conflict. The core of the conflict is the adverse impacts of forestry on old forests which are important grazing areas for reindeer and which are regarded as intact nature and wilderness areas. This paper describes the experiences of applying multi-criteria decision analysis interview approach on this conflict. The approach provides tools for structuring the problem and preferences of the stakeholders as well as for analyzing the effects of different alternatives in a common framework. We focus on the practical experiences gained from the application of this approach in this context. Multi-criteria decision analysis was found to be a useful approach to evaluate the economic, ecological and cultural aspects of this intense conflict. The obtained experiences also support the view that the approach works best when tightly integrated into the planning process.     

Assessing the sustainability of forest management: An application of multi-criteria decision analysis to community forests in northern Ethiopia

Continuous deterioration of the natural resource base has become a serious threat to both the ecological systems and economic production in Ethiopia. Many of these problems have been attributed directly or indirectly to the rapid dwindling of the country's forest cover which is associated with unsustainable forest use and management. Closing community woodlands from human and livestock intervention to promote natural regeneration of forests has been one of the environmental restoration strategies pursued in the degraded highland areas of northern Ethiopia. However, local pressure to use reforested community lands for economic benefit has become a major threat to forest sustainability.Using locally identified sets of criteria and indicators for sustainable community forest management, this paper applies a multi-criteria decision analysis tool to evaluate forest management problems in the northern province of Tigray, Ethiopia. Three MCA methods – ranking, pair-wise comparison, and scoring – were used in evaluating the sets of criteria and indicators and alternative forest management scenarios.Results from the study indicate a number of noteworthy points: 1) MCA techniques both for identifying local level sustainability criteria and indicators and evaluating management schemes in a participatory decision environment appear to be effective tools to address local resource management problems; 2) Evaluated against the selected sets of criteria and indicators, the current forest management regime in the study area is not on a sustainable path; 3) Acquainting local people with adequate environmental knowledge and raising local awareness about the long-term consequences of environmental degradation ranked first among the set of sustainability criteria; and 4) In order to harmonize both environmental and economic objectives, the present ‘ecological-biased’ forest management regime needs to be substituted by an appropriate holistic scheme that takes into account stakeholders' multiple preferences and priority rankings.     

The ethics of Google Earth: crossing thresholds from spatial data to landscape visualisation

‘Virtual globe’ software systems such as Google Earth are growing rapidly in popularity as a way to visualise and share 3D environmental data. Scientists and environmental professionals, many of whom are new to 3D modeling and visual communications, are beginning routinely to use such techniques in their work. While the appeal of these techniques is evident, with unprecedented opportunities for public access to data and collaborative engagement over the web, are there nonetheless risks in their widespread usage when applied in areas of the public interest such as planning and policy-making?     

Ownership property size,landscape structure,and spatial relationships in the Edwards Plateau of Texas (USA): landscape scale habitat management implications

The present research focused on using spatial analysis to determine relationships among land ownership property sizes and landscape structure, with a focus on conservation management implications. Indices and metrics of ownership property sizes and landscape structure were calculated for 20 km buffer areas around 31 North American Breeding Bird Survey transects, 12 located within the Edwards Plateau ecoregion and 18 in contiguous ecoregions. The number of bird species observed at each transect provided a measure of avian species richness associated with land cover classes for each respective transect (González in Urban influence on diversity of avifauna in the Edwards Plateau of Texas: effect of property sizes on rural landscape structure, Texas A&M University, 2005). Spatial correlations were calculated between each pair of the landscape indices. Spatial analysis identified a “threshold of habitat fragmentation” for the 500 acre (ac) ownership property size. Significant spatial correlations among variables showed that property sizes lower than 500 ac produced habitat fragmentation represented by a decrease in mean patch size (MN) and proximity among habitat patches (Index PROX). Spatial analysis also made possible the prioritization of ecological sub-regions of the Edwards Plateau for conservation or restoration. The Live Oak-Mesquite Savannah showed the highest average ownership property size (7305 ac) and the highest values of patch richness. Based on the results, management in the Live Oak-Mesquite Savannah sub-region should focus on the conservation of land mosaic diversity to assure native avian species turnover (Whittaker 1972). In Balcones Canyon Lands, 64 % of land was covered by farms smaller than 500 ac and the overall average ownership property size was above the threshold of fragmentation (1440 ac), implying that management policies there should focus both on habitat conservation and on restoration. In contrast, 71 % of land in the Lampasas Cut Plains was covered by farms smaller than 500 ac, and average ownership property size was very close to the fragmentation threshold (625 ac). Consequently, the results indicate that management in the Lampasas Cut Plains sub-region should focus on habitat restoration (e.g., corridors that connect isolated habitat patches). In general, the threshold of ownership property size, 500 ac, is important for conservation planning because below that threshold of property size, habitat patch size begins to decrease and the distance between equivalent patches of habitat increases. Isolated patches act as islands within a sea of less suitable habitat which produce negative effects on biodiversity. Identifying the spatial characteristics indicative of habitat fragmentation, or the likelihood thereof, is an important issue for conservation planning in places with urban sprawl influence.     

An agent-based approach to explore the effect of voluntary mechanisms on land use change: A case in rural Queensland,Australia

In rural regions, land use changes (LUC) are often the result of the decision-making of individual farmers. To influence this decision-making, compulsory and voluntary mechanisms are implemented. However, farmers’ decision-making is a heterogeneous process that depends on their ability and willingness to take certain decisions. Discrepancies between farmers’ ability and willingness and the design of voluntary mechanisms occur frequently. This makes it necessary to understand how farmers’ participation in these mechanisms can affect LUC. The aim of this paper was to demonstrate an agent-based approach to analyse and explore how voluntary mechanisms can influence LUC processes in rural regions. This approach was applied to a rural region in Australia, where clearing of native vegetation has occurred for agricultural development. Historical land cover data and semi-structured interviews were used to parameterise an agent-based model. Factors that influence farmers’ ability and willingness to participate in these mechanisms were identified. Three scenarios were simulated with the model to explore how the implementation of different voluntary mechanisms can affect the landscape structure of the region. This paper identifies how the diversity of farmers’ decision-making can influence the landscape structure in the region. The advantages and limitations of an agent-based approach in relation to LUC research and policy are discussed.     

Women and community water supply programmes: An analysis from a socio-cultural perspective

Community water supply programmes are seen as instrumental in achieving the goal of ‘safe’ water for all. Women, a principal target group of these programmes, are to be benefited with greater convenience, enhanced socio‐cultural opportunities and better health for themselves and their families, provided through improved water facilities. Water supply programmes largely consist of three essential components, namely: technology, people and institutions. Although such programmes are intended to benefit women members of local communities, scant attention is paid to the impacts of the socio‐cultural context of the community on these programmes. This article explores the influence of social and cultural intricacies on the implementation of community water supply programmes, and assesses their effectiveness. The article offers important lessons for the design and implementation of this type of programme. It concludes that the local socio‐cultural context sets the stage for programme implementation, being a dynamic factor that determines actual access to water sources, more so than mere physical availability, which is often used as a criterion for programme performance. The article stresses the urgent need to integrate socio‐cultural factors as a fourth dimension in designing community water supply programmes, and suggests practical measures for enhancing the effectiveness of such programmes.     

Co-development of an integrated assessment framework to evaluate the effectiveness and impact of selected nature-based water treatment technologies in Sri Lanka,The Philippines,and Vietnam

Water quality is a critical challenge in Asia in the context of growing industrialization, urbanization, and climate change. Nature-based solutions (NbS) could play an important role in reducing urban water pollution, while generating multiple co-benefits that could make cities more liveable and resilient. In this regard, a number of pilot and demonstration projects have been set up to explore their potential across cities in Asia. Their effectiveness and impacts, however, have not been adequately documented, thus how they can be sustained, replicated and up-scaled remain poorly understood. This study aims to contribute to addressing this challenge by co-developing an integrated assessment framework and employing it to understand how existing evaluations of NbS in the region can be improved. It focuses specifically on a set of nature-based solutions that have been employed for water treatment across six cities in Southeast Asia (two in each Sri Lanka, the Philippines, and Vietnam), namely, floating wetlands, constructed wetlands and maturation ponds. The study also suggests specific methodologies for capturing a set of core indicators considered relevant for assessing the effectiveness and capturing the multi-faceted impacts of the examined NbS.     

Where to recover from attentional fatigue: An expectancy-value analysis of environmental preference

Preferences for natural and urban environments can be framed in terms of (1) beliefs about the likelihood of psychological restoration during a walk in each type of environment and (2) the evaluation of restoration given differing restoration needs. We conducted an experiment to test hypotheses about restoration as a basis for environmental preferences. Imagining themselves as attentionally fatigued or fully refreshed, participants (N=101) evaluated recovery, reflection, and social stimulation outcomes. Next, they viewed slides simulating a walk through a forest or an urban center, then rated the likelihood of recovery, reflection, and social stimulation outcomes following such a walk. This procedure was repeated with the second environment. Preference for the forest over the city was twice as strong given attentional fatigue. The greater likelihood of restoration in the natural environment in conjunction with more positive evaluation of recovery when fatigued appears to explain this pattern. The results have implications for environmental preference conceptualizations and our understanding of the relationship between preference and restoration.     

The development and application of a multilevel decision analysis model for the remediation of contaminated groundwater under uncertainty

A study was initiated which combined elements of stochastic hydrology, risk assessment, simulation modeling, cost analysis and decision making to define the optimum remediation choice(s) for a Superfund site in the southern United States. The effort focused upon the premise that groundwater remediation is inherently complex due to uncertainties in the geological matrix as well as in contaminant concentrations at points of compliance and/or exposure. The technical analyst should supply the decision maker with estimates of these uncertainties as well as the cost penalties required to reduce them to manageable levels. Monte Carlo transport modeling was employed to define the probability of contaminant excursions from the site, while geostatistical simulation identified a joint plume configuration and its attendant probability. Bayesian modeling was used to define the worth of additional data. These individual components were combined within a Decision Model to identify optimum remediation configurations for a given levels of risk tolerance which could be supplied by the decision maker or affected community. Sensitivity analyses were conducted to define ranges over which the decision would not be affected by variation in the respective decision parameter.     

The use of material flow analysis and the ecological footprint in regional policy-making: application and insights from Northern Ireland

This paper aims to contribute to the ongoing debate on the use of resource accounting tools in regional policy-making. The Northern Limits project applied material flow analysis (MFA) and ecological footprinting (EF) to regional policy-making in Northern Ireland over a number of years. The early phase of the research informed the regions first sustainable development strategy which was published in 2006 with key targets relating to the EF and improving the resource efficiency of the economy. Phase II identified the next steps required to address data availability and quality and the use of MFA and EF in providing a measurement and monitoring framework for the strategy and the development of the strategy implementation plan. The use of MFA and EF in sustainable regional policy-making and the monitoring of its implementation is an ongoing process which has raised a number of research issues which can inform the ongoing application and development of these and other resource accounting tools to within Northern Ireland, provide insights for their use in other regions, and help set out the priorities for research to support this important policy area.     

Vulnerability of the South African farming sector to climate change and variability: An indicator approach

This paper analyses the vulnerability of South African agriculture to climate change and variability by developing a vulnerability index and comparing vulnerability indicators across the nine provinces of the country. Nineteen environmental and socio‐economic indicators are identified to reflect the three components of vulnerability: exposure, sensitivity, and adaptive capacity. The results of the study show that the regions most exposed to climate change and variability do not always overlap with those experiencing high sensitivity or low adaptive capacity. Furthermore, vulnerability to climate change and variability is intrinsically linked with social and economic development. The Western Cape and Gauteng provinces, which have high levels of infrastructure development, high literacy rates, and low shares of agriculture in total GDP, are relatively low on the vulnerability index. In contrast, the highly vulnerable regions of Limpopo, Kwazulu‐Natal and the Eastern Cape are characterised by densely populated rural areas, large numbers of small‐scale farmers, high dependency on rain‐fed agriculture and high land degradation. These large differences in the extent of vulnerability among provinces suggest that policymakers should develop region‐specific policies and address climate change at the local level.     

The transition from home to boarding school: a diary-style analysis of the problems and worries of boarding school pupils

The investigation concerns the impact of the new school environment on a group of 50 male and female children aged 11–16 years, who leave home to reside temporarily at boarding school, in terms of the characteristics of problems and worries reported and the incidence of spontaneous reports of homesickness. More problems relating to the school than to the home environment were reported but proportionally more worry units were reported associated with home problems for both males and females. There was no sex differences in this respect. The reported level of spontaneously reported homesickness was 16% and there were no sex differences. Factors such as age, geographical distance of move and decision to go away to school were not influential in determining the level of reported problems or incidence of spontaneous reports of homesickness. A relationship was found with level of problems reported and recent life history but the result proved difficult to interpret.