The Impact of Uncertainty on Banking Behavior: Evidence from the US Sulfur Dioxide Emissions Allowance Trading Program

In this paper, we study empirically whether uncertainty has an influence on trade in the US sulfur dioxide allowances market. In particular, we investigate the role of uncertainty on banking behavior. To do this, we introduce a tractable, structural model of trading permits under uncertainty. The model establishes a relation between banking behavior and risk preferences, especially prudence in the Kimball (1990) sense. We then test this model using data on allowances, for utilities submitted to the US Environmental Protection Agency’s Acid Rain Program, carried over from one year to the next. Evidence is found of imprudence, namely, utilities bank permits in order to favor higher profits. Another finding is that larger utilities do not adopt behavior significantly different from that of smaller ones. This paper was presented at the “International Workshop on Uncertainty in Greenhouse Gas Inventories: Verification, Compliance & Trading” in Warsaw, Poland, September 2004, under the title “Portfolio Management of Emissions Permits and Prudence Behavior.”     

Passive drainage and biofiltration of landfill gas: Australian field trial

In Australia a significant number of landfill waste disposal sites do not incorporate measures for the collection and treatment of landfill gas. This includes many old/former landfill sites, rural landfill sites, non-putrescible solid waste and inert waste landfill sites, where landfill gas generation is low and it is not commercially viable to extract and beneficially utilize the landfill gas. Previous research has demonstrated that biofiltration has the potential to degrade methane in landfill gas, however, the microbial processes can be affected by many local conditions and factors including moisture content, temperature, nutrient supply, including the availability of oxygen and methane, and the movement of gas (oxygen and methane) to/from the micro-organisms. A field scale trial is being undertaken at a landfill site in Sydney, Australia, to investigate passive drainage and biofiltration of landfill gas as a means of managing landfill gas emissions at low to moderate gas generation landfill sites. The design and construction of the trial is described and the experimental results will provide in-depth knowledge on the application of passive gas drainage and landfill gas biofiltration under Sydney (Australian) conditions, including the performance of recycled materials for the management of landfill gas emissions.     

Pilot installation for the thermo-chemical characterisation of solid wastes

The increasing production and the large variety of wastes require operators of thermal treatment units to continuously adapt the installations or the functioning parameters to the different physical and chemical properties of the wastes. Usually, the treated waste is encountered in the form of heterogeneous mixtures. The classical tests such as thermogravimetry and calorimetric bomb operate component by component, separately. In addition to this, they can analyse only small quantities of waste at a time (a few grams). These common tests are necessary but insufficient in the global waste analysis in the view further thermal treatment. This paper presents an experimental installation, which was designed and built at the CNRS Science Division, Department of Industrial Methods, Compiègne University of Technology, France. It allows the determination of waste thermal and chemical properties by means of thermal treatment. Also, it is capable of continuously analysing significant quantities of waste (up to 50kg/h) as compared to the classical tests and it can work under various conditions: The installation reproduces the process conditions from incinerators or pyrolysis reactors. It also provides complete information on the kinetics of the waste thermal degradation and on the pollutant emissions. Using different mixtures of components present in the municipal solid waste and also in the reconstituted MSW samples, we defined a series of criteria for characterising waste behaviour during the stages of the main treatment process such as: feeding, devolatilisation/oxidation, advancement, solid residue evacuation, and pollutants emission.     

Use of inert C&D materials for seawall foundation: quality control measures

The technical viability of using inert construction and demolition (C&D) materials for the construction of seawall and breakwater foundations has been established by laboratory testing of the materials, numerical analysis of foundation stability, and a pilot field-scale engineering performance evaluation. However, quality control measures are still required so that only suitable materials are used for seawall and breakwater foundation construction. The development of different quality control measures for different site conditions is presented in this paper. The rationale, practicality, and implementation of these quality control measures are also discussed.     

Composition of a Spanish sewage sludge and effects on treated soil and olive trees

The effects of sewage sludge (SL) application on the soil and olive trees (Olea europaea L., cultivar: cornicabra) were studied. The plants were grown in 8.5L pots and subjected to the following treatments: 0, 3.66, 7.32, 14.65, 29.3, 58.6, and 117.2 g SL kg(-1) soil that corresponded, respectively, to 0, 4, 8, 16, 32, 64 and 128 M g ha(-1) dry weight of sewage sludge. The application of SL at the rates 64 and 128 M g ha(-1) produced leaf tip burning and leaf drop after 120 days, although cumulative metal pollutant loading rates was below USEPA and European regulations. This toxicity symptom could be caused by the high sodium levels in the leaves (over 0.19%), which can damage olive tree development. The Na contents of leaves were well correlated with soil Na content (r2: 0.91). In general, SL rates significantly increased the level of Cr, Ni, Cu, Zn, Cd and Pb in soil and plants, but these concentrations were in the normal ranges, except for the Zn concentration, which was over the critical soil content for the rates of 32, 64, 128 Mg ha(-1) but not in the leaves. Results suggested that regulations about the utilization of sewage sludge on agricultural land should consider the limit values for salt, and not only metals, that may be added to soil, in order to minimize the risk of negative effects to plant health.     

Life cycle assessment of a national policy proposal - the case of a Swedish waste incineration tax

At the core of EU and Swedish waste policy is the so-called waste hierarchy, according to which waste should first be prevented, but should otherwise be treated in the following order of prioritisation: reuse, recycling when environmentally motivated, energy recovery, and last landfilling. Some recent policy decisions in Sweden aim to influence waste management in the direction of the waste hierarchy. In 2001 a governmental commission assessed the economic and environmental impacts of introducing a weight-based tax on waste incineration, the purpose of which would be to encourage waste reduction and increase materials recycling and biological treatment. This paper presents the results of a life cycle assessment (LCA) of the waste incineration tax proposal. It was done in the context of a larger research project concerning the development and testing of a framework for Strategic Environmental Assessment (SEA). The aim of this paper is to assess the life cycle environmental impacts of the waste incineration tax proposal, and to investigate whether there are any possibilities of more optimal design of such a tax. The proposed design of the waste incineration tax results in increased recycling, but only in small environmental improvements. A more elaborate tax design is suggested, in which the tax level would partly be related to the fossil carbon content of the waste.     

Performance results from the Tucumán solid waste bioreactor

Performance results obtained from a 6200 ton demonstration-scale anaerobic bioreactor, constructed on the Pacara Pintada Landfill in Tucumán, Argentina, are described. The operational aspects over a 30-month period for the Tucumán bioreactor demonstrate the ability to maintain the bioreactor in the mesophilic range, with the result that the generation and collection of the biogas has been maintained at accelerated rates with a rate constant of approximately 0.5 year(-1). Field measurements of metal concentrations in leachate indicated significant attenuation over time. Refuse subsidence, measured over a 28-month period, ranged from 4% to 19%, with an average of 11% subsidence across the Tucumán cell.     

Flexible and robust strategies for waste management in Sweden

Treatment of solid waste continues to be on the political agenda. Waste disposal issues are often viewed from an environmental perspective, but economic and social aspects also need to be considered when deciding on waste strategies and policy instruments. The aim of this paper is to suggest flexible and robust strategies for waste management in Sweden, and to discuss different policy instruments. Emphasis is on environmental aspects, but social and economic aspects are also considered. The results show that most waste treatment methods have a role to play in a robust and flexible integrated waste management system, and that the waste hierarchy is valid as a rule of thumb from an environmental perspective. A review of social aspects shows that there is a general willingness among people to source separate wastes. A package of policy instruments can include landfill tax, an incineration tax which is differentiated with respect to the content of fossil fuels and a weight based incineration tax, as well as support to the use of biogas and recycled materials.     

Operation of a 27‐m3 biopile for the treatment of petroleum‐contaminated soil

Soil and groundwater contamination due to petroleum hydrocarbon spills is a frequent problem worldwide. In Mexico, even when programs oriented to the diminution of these undesirable events exist, in 2000, a total of 1,518 petroleum spills were reported. Exploration zones, refineries, and oil distribution and storage stations frequently are contaminated with total petroleum hydrocarbons (TPH); diesel fraction; gasoline fraction; benzene, toluene, ethyl benzene, and xylenes (BTEX); and polycyclic aromatic hydrocarbons (PAHs). Among the many methodologies available for the treatment of this kind of contaminated soil, bioremediation is the most favorable, because it is an efficient/low‐cost option that is environmentally friendly. This article discusses the capability of using a biopile to treat soils contaminated with about 40,000 mg/kg of TPH. Design and operation of a 27‐m³ biopile is described in this work, including microbiological and respirometric aspects. Parameters such as TPH, diesel fraction, BTEX, and PAHs considered by the U.S. Environmental Protection Agency were measured in biopile samples at 0, 2, 4, 6, 8, 10, and 22 weeks. A final average TPH concentration of 7,300 mg/kg was achieved in 22 weeks, a removal efficiency of 80 percent. © 2007 Wiley Periodicals, Inc.