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Article

Wun Jern Ng, Keke Xiao, Vinay Kumar Tyagi, Chaozhi Pan, and Leong Soon Poh

Agriculture waste can be a significant issue in waste management as its impact can be felt far from its place of origin. Post-harvest crop residues require clearance prior to the next planting and a common practice is burning on the field. The uncontrolled burning results in air pollution and can adversely impact the environment far from the burn site. Agriculture waste can also include animal husbandry waste such as from cattle, swine, and poultry. Animal manure not only causes odors but also pollutes water if discharged untreated. However, agricultural activities, particularly on a large scale, are typically at some distance from urban centers. The environmental impacts associated with production may not be well recognized by the consumers. As the consumption terminal of agricultural produce, urban areas in turn generate food waste, which can contribute significantly to municipal solid wastes. There is a correlation between the quantity of food waste generated and a community’s economic progress. Managing waste carries a cost, which may illustrate cost transfer from waste generators to the public. However, waste need not be seen only as an unwanted material that requires costly treatment before disposal. The waste may instead be perceived as a raw material for resource recovery. For example, the material may have substantial quantities of organic carbon, which can be recovered for energy generation. This offers opportunity for producing and using renewable and environment-friendly fuels. The “waste” may also include quantities of recoverable nutrients such as nitrogen and phosphorus.

Article

Economics conceptualizes harmful effects to the environment as negative externalities that can be internalized through implementation of policies involving regulatory and market-based mechanisms, and behavioral economic interventions. However, effective policy will require knowledge and understanding of intended and unintended stakeholder behaviors and consequences and the context in which the policy will be implemented. This mandate is nontrivial since policies once implemented can be hard to reverse and often have irreversible consequences in the short and/or long run, leading to high social costs. Experimental economics (often in combination with other empirical evaluation methods) can help by testing policies and their impacts prior to modification of current policies, and design and implementation of new ones. Such experimental evaluation can include lab and field experiments, and choice experiments. Additionally, experimental policy evaluation should pay attention to scaling up problems and the ethical ramifications of the treatment. This would ensure that the experimental findings will remain relevant when rolled out to bigger populations (hence retaining policy makers’ interest in the method and evidence generated by it), and the treatment to internalize the externality will not create or exacerbate societal disparities and ethical challenges.

Article

Hazardous waste management involves treatment, disposal, or recycling of a wide range of different waste streams from industry, households, and others. The diversity of wastes and management methods means that many choices affect its environmental harms, which result from possible contamination of groundwater, surface water, soil, and air. Efficient public policies that would fully reflect such varied external costs are unlikely to be feasible. In practice, governments principally apply three policy approaches to hazardous waste: taxes on hazardous waste, liability for environmental damages, and standards-based regulation of waste management facilities. Hazardous waste taxes may help internalize environmental costs but do not reflect all the variability in these costs. By contrast, liability for environmental damage can make waste generators and managers confront environmental costs that vary with their particular choices. However, environmental liability is often linked to programs for cleanup of contaminated sites and may not create efficient incentives for active waste management because this liability does not reflect the social costs of the contamination. Regulation usually takes the form of technology and performance standards applied to treatment, storage, and disposal facilities (TSDFs) and affects generation decisions only indirectly. Research finds that public policies that raise costs of hazardous waste management, such as taxes and regulation, encourage less waste generation, but may also provoke detrimental responses. First, facilities may substitute illegal waste dumping for legal management and thus exacerbate environmental damage. Second, generators may ship waste to jurisdictions with weaker environmental protections, especially developing countries, giving rise to a “waste haven” effect. This effect may create offsetting environmental damage, facilitate destructive policy competition among jurisdictions, and worsen inequities in exposure to environmental harm from hazardous waste.

Article

A number of challenges are faced by practitioners seeking to elicit values associated with water in a world of global change. These values are needed to assist in decision-making around the use of water as a country’s key asset. Five different pathways show the complexity of the relationship between global change and environmental valuation of water: a climate change pathway, ecosystem infrastructure pathway, population/demographics pathway, income pathway, and technological change/innovation pathway. The challenges are most acute for water when it is related to ecosystem services since values need to be elicited through the use of non-market survey-based valuation techniques. In addition, environmental valuation will be important to inform the determination of water quality standards associated with different uses of water (drinking, recreation, etc.) and the allocation of resources to provide these different services. Several case studies illustrate issues and solutions. The article concludes with an appreciation of future challenges and opportunities.