BRINGING MONETARISATION INTO ENVIRONMENTAL ASSESSMENT: THE OECD APPROACH

Abstract

Although OECD member governments have resisted international standardisation of the valuation of environmental impacts, they partly agree on what constitutes good practice. In April 1997, transport ministers considered an ECMT (European Conference of Ministers of Transport) report on strategic environmental appraisal, with recommendations on having strategic appraisal inserted early in the planning process, applying it to policies as well as projects and programmes, and sharing experience in developing methodologies. The Task Force on the Social Costs of Transport was set up in 1995, composed of government and private sector economists from across Europe. Its report will soon be published, and summarise the theoretical and practical dimensions of internalisation, review recent estimates of the external costs of transport, explore the mix of policies that might be used to promote successful internalisation, and estimate the size of incentives needed in monetary terms. This work sheds light on approaches to monetarisation in environmental assessment. This paper discusses the following aspects: (1) good practice; (2) validation and divergence of estimates; (3) marginal cost estimates; (4) data and results; and (5) shadow prices for externalities, noise, local air pollution, and climate change. For the covering abstract, see IRRD E100071.

Cite this work

No public copy is stored for this record, so only the metadata is cited.

Stored only when both papers are in the corpus — 3 citations exist upstream.