WIT Press

Economic Aspects Of Modern Environmental Policy Issues: A Step Forward


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WIT Press


D. Damigos & D. Kaliampakos


This paper deals with the \“era of economics” in European environmental policy. Towards this direction, certain legislative requirements and strategies that promote economic issues within the EU are provided, through some illustrative examples. From the analysis, it becomes evident that there is a growing attempt in the EU to more systematically incorporate economic information in private and especially public decision-making. However, original valuation studies are both costly and time-consuming. Thus, in some cases, especially when there is limited experience, the Benefit Transfer technique may be adopted. Bearing in mind these remarks, this paper introduces an interactive benefit transfer tool, which is currently being developed. This tool, called GEVAD, will facilitate the valuation of environmental impacts in monetary terms, supporting decision-making processes in various levels within Europe. Keywords: environmental economics, policy, legislation, project appraisal, liability, benefit transfer. 1 Introduction The development of European Union (EU) environmental policy has a history of almost four decades. In 1972, at the Paris Summit, it was agreed that the Commission of the European Communities would develop an Environmental Action Programme, in order to outline the principles of EU policy towards the environment. However, the first explicit legal basis for EU environmental policy was provided, in 1987, under the Single European Act [1]. Within this Act, three major environmental priorities were identified, namely:


environmental economics, policy, legislation, project appraisal, liability, benefit transfer.