Risk management / remediation is directed towards an environmental benefit (e.g. protection of water resources). However, the route taken to achieve this benefit can have wider economic effects.
In terms of the economic element of sustainable development, a remediation project’s overall economic performance is the sum of the economic elements of the core and non-core aims of a remediation project. The core aims are those fixed by the primary drivers and constraints of the project. Non-core performance is related to wider economic impacts and benefits. Wider economic effects might include a variety of components within categories of effects that do not necessarily constitute added cost or value to the remediation project, but can have positive or negative economic impacts for the wider community.
For any consideration of wider economic effects to be a useful tool in refining a shortlist of potential remedial options, it must have a well defined scope agreed by all stakeholders. Three issues are important:
· Components: the individual economic effects that may be combined into a single assessment of wider economic value.
· Boundaries: the limits set on the assessment, for example in terms of time periods, geographical extent or the scope of the project; and
· Method of determination.
Possible economic effects that could be considered within an assessment are; impact of remediation on the value of neighbouring land and property; impact on road transport infrastructure of landfill haulage vehicles; tax revenue foregone, or public sector incentives contributed; ripple effect of redevelopment-linked remediation on the regeneration of surrounding environs.
Defining the goals of a wider economic effects assessment …
Contaminated land sustainability assessment tools or appraisal tools are instruments to assess the economic, environmental and/or social effects of contaminated land problems and their management. Typically cost benefit tools are used (see the link under “see also in EUGRIS”.