LEAST COST SOLUTIONS TO THE PROBLEM OF EFFLUENT ABATEMENT IN URBAN SYSTEMS1

ABSTRACT: There is a significant misallocation of resources in the construction and operation of municipal sewage treatment systems in North America. Central to this misallocation is the inadequate evaluation of alternative treatment technologies, alternative distributions of responsibility for waste treatment, and alternative mechanisms for inducing compliance with treatment system requirements. Perverse incentives in the current institutional structure limit the scope of alternatives examined by decisionmakers. Determination of the least cost solution to the problem of urban effluent abatement requires mathematical modeling for the delineation of optimal treatment strategies on a system wide basis. The adoption of modern methods of systems analysis can identify significant opportunities for the reduction of economic waste in the treatment of municipal sewage.     

RESULTS OF ACIDIZING WATER WELLS IN ARIZONA1

Two wellfields have been developed to provide water for a coal fired electric generating station in Arizona. Wellfield No. 1 penetrates the unconfined Coconino Sandstone aquifer, and wellfield No. 2 penetrates the composite Kaibab Limestone-Coconino Sandstone aquifer where ground water occurs under confined conditions. A well in each wellfield was pumped and water level drawdown data were collected before and after acidizing. The drawdown data at the various pumping rates were analyzed to determine the potential benefits of acidizing production water wells in both wellfields. After acidizing, the specific capacity of the well in wellfield No. 1 was improved about 50 percent at water production rates ranging from about 200 to 500 gallons per minute (gpm) (13 to 32 liters per second (lps)). After acidizing, the specific capacity of the well completed in wellfield No. 2 was improved about 100 percent at pumping rates ranging from about 1,250 to 2,200 gpm (79 to 139 lps). An annual saving of approximately 11 percent in pumping costs can be realized in wellfield No. 2, and savings are approximately four percent in wellfield No. 1. Acidization is beneficial for wells that can produce more than 500 gpm (32 lps), and is of marginal value for those that produce less than that amount.     

CAPITAL COST OF RURAL WATER DISTRIBUTION SYSTEMS1

ABSTRACT: The cost of water service to rural residents is very high compared to urban areas. This is true even after subsidization by Farmers Home Administration (FmHA) loans and grants. Capital cost data on 44 projects financed by the Ohio office of the FmHA during the period August 1968 to January 1977 are used to derive cost equations for 26 components of rural water distribution systems. These components represent 92 percent of the capital cost of the pipeline distribution systems studied. The data can be used to economically design rural water supply systems from a capital cost viewpoint. More data are needed on operation and maintenance costs as well as central and cluster well costs before totally economic system designs can be undertaken.     

EFFICIENCY PROBLEMS FROM USER FEES IN MUNICIPAL WASTEWATER TREATMENT1

ABSTRACT: The Environmental Protection Agency administers a construction grant program to encourage abatement of wastewater pollution by sharing with municipalities the costs of wastewater treatment facilities. The enabling legislation (P.L. 92–500) specifies that EPA's cost share will be 75% of construction costs. It further requires municipalities to collect user fees from industrial users of the facilities to repay that part of the federal grant allocable to the treatment of industrial wastewater. The municipality must return half of the user fees collected to the U.S. Treasury; the municipality is allowed to retain the remaining half. Retention by municipalities of these user fees lowers their effective cost shares and results in the following consequences: (1) a bias for municipalities to select certain kinds of abatement techniques regardless of whether or not they are the least-cost techniques from the national perspective; (2) a bias for municipalities to select larger-than-optimal scales of abatement facilities; (3) a hidden federal subsidy to industry; and (4) grants that favor industrial communities. This article examines the legislative and regulatory requirements for user charges, derives the algebraic expressions for calculating the real federal, municipal, and industrial cost shares with user fees; computes municipal cost shares for selected values of the determinant factors; evaluates efficiency and other consequences of current user fee arrangements; and concludes that the efficiency distortions brought about by the impacts of user fees on cost sharing could be eliminated by requiring that all user fees collected from industry against the federal cost share be returned to the U.S. Treasury.     

SOCIAL WELL-BEING AND WATER RESOURCES PLANNING1

ABSTRACT: For many years, Federal water resources projects have been subjected to benefit-cost analysis to establish their economic feasibility. Several years ago social well-being was added as a consideration. This paper discusses the state-of-the-art in analyzing and evaluating aspects of social well-being. It stresses current short-falls and advocates a direction for further efforts.     

ANALYZING THE IMPACT OF LAND USE ON SEWER SERVICE AREA PLANNING1

ABSTRACT: The density and distribution of land uses has important consequences for the planning of sewerage systems and for the costs of these systems. This paper examines these consequences using a simplified service area model. The model determines the area to be served by a central waste treatment plant, where alternative on-lot disposal systems are also available. The model is applied to various urban area configurations, which are summarized by their total populations and by their population density distributions. Both minimum regional cost and minimum local cost service area configurations are determined. In addition, the sensitivity of the model to the parameters of the cost and population density functions is assessed. It is found that the model is most sensitive to the parameters of the collection cost function.     

COST OF WASH HOUSES AND COMFORT STATIONS AT RECREATION AREAS1

ABSTRACT: The cost of sanitary facilities is a major cost item in recreation areas at water resources projects. Often planners wish to analyze the tradeoffs in providing different levels of service at these areas. Cost functions are presented in this paper to enable the planner to make quick comparisons between different types of buildings, sizes, exterior treatments, and number of fixtures.     

POLITICAL PARTICIPATION AND WATER RATES: A REPLY1

ABSTRACT: Mercer and Morgan provide several valid criticisms of a previous analysis on political influence and water rates. More sophisticated statistical analyses may be justified given the high degree of interdependence among regulated firm variables. Theoretically, there are numerous measures of political activity superior to the one employed in the original analysis; however, data unavailability precludes their use. A better (and yet practical) measure of consumer leverage may be relative dominance by a specific political party. Until relatively easy access is obtained to municipal election data, the possible political variables that can be employed in more elegant analyses are few in number, and each has theoretical limitations.     

The Role of Prices in Conserving Critical Natural Capital

Abstract: Until recent decades, economic decision makers have largely ignored the nonmarket benefits provided by nature, resulting in unprecedented threats to ecological life‐support functions. The economic challenge today is to decide how much ecosystem structure can be converted to economic production and how much must be conserved to provide essential ecosystem services. Many economists and a growing number of life scientists hope to address this challenge by estimating the marginal value of environmental benefits and then using this information to make economic decisions. I assessed this approach first by examining the role and effectiveness of the price mechanism in a well‐functioning market economy, second by identifying the issues that prevent markets from pricing many ecological benefits, and third by focusing on problems inherent to valuing services generated by complex and poorly understood ecosystems subject to irreversible change. I then focus on critical natural capital (CNC), which generates benefits that are essential to human welfare and have few if any substitutes. When imminent ecological thresholds threaten CNC, conservation is essential and marginal valuation becomes inappropriate. Once conservation needs have been met, remaining ecosystem structure is potentially available for economic production. Demand for this available supply will determine prices. In other words, conservation needs should be price determining, not price determined. Conservation science must help identify CNC and the quantity and quality of ecosystem structure required to ensure its sustained provision.     

Compromising sustainable mobility? The case of the Gothenburg congestion tax

Congestion charging is widely considered an effective policy measure to regulate and reduce car traffic demand and associated environmental and health problems in cities. However, introducing restrictive measures to constrain individual choice and behaviour for the common good has often proven difficult. Using a specific case, the Gothenburg congestion tax introduced in 2013, we study the policy process behind the introduction of the tax and assess to what extent green values were compromised along the way. The tax was made possible by co-financing infrastructure investments, including roads, which seemingly contradicts stated goals of reducing car traffic and emissions. We show how the tax was ‘muddled through’ in a top-down political compromise by a grand coalition where different interests could legitimate their support in relation to the achievement of partially conflicting objectives and projects. However, to declare the regulatory goals fully neutralised would be to underestimate the scheme's direct environmental effects and restrictive potential. Finding a compromise with powerful political and economic interests was necessary to get it off the ground. Once launched, however, it can over time regain its restrictive properties and lead to more profound long-term effects.