13 - 14 January 2010, Kaunas, Lithuania
Training course: How to use Environmental Economic Analyses in River Basin Planning
The training course aims to provide river basin planners with insights and hands-on training in how economic analyses regarding costs and benefits can be used in water resource planning, especially related to the implementation of the Water Framework Directive (WFD). Representatives of local and regional stakeholders, governmental as well as non-governmental institutions, researches and educators that are lacking knowledge and require competence in the field of economical studies are invited to join the course. Prior knowledge of environmental economics or economics is not required.
The contents of the course are an overview of the economic requirements in the WFD, an introduction to fundamentals of environmental economic assessments of costs and benefits and examples of applied cost-benefit studies and cost-effectiveness studies. Economic analysis is central to several parts of the WFD and the implementation of the river basin management plans. The course is building on the existing WFD Guidance Documents (e.g. WATECO) and will provide information of the economic methods and analyses required.
The economics of the WFD consist of three types of economic analysis. The first is analysis of the costs of providing water for consumers and of water pricing. Assessments of which instruments can be used and of the distribution of the costs should be part of this assessment. Secondly, cost-effectiveness analysis is required to ensure that the selected measures achieve the environmental targets at the lowest cost. Thirdly, cost-benefit analysis can be used to examine whether it will be too costly to reach some targets compared with the benefits which will be obtained.
During the course the most emphasis will be paid to the principles of cost-effectiveness and cost-benefit analyses and examples of the use of these analyses for the river basin management plans required by the WFD will be provided. The training will combine lectures as well as hands-on exercises related to the implementation of WFD. At the same time it will analyse additional values connected to the action plans, i.e. improved recreational possibilities, alternate possibilities for tourism and others.
Lecture 1: The economic requirements in the WFD
Lecture 2: Fundamentals of environmental economics
Lecture 3: Principles of cost-effectiveness. Examples of cost-studies, cost-effectiveness and cost-minimisation
Lecture 4: Benefits and valuation studies – principles and examples
Lecture 5: Cost-benefit analysis – principles and examples
Exercise 1: Description of the economic problems of a water body related to the requirements of the WFD (cases can be delivered to the students who do not have a case - discussions in groups).
Exercise 2: Estimation of costs for different measures and improvements using combinations of measures (Excel tables to be handed out).
Exercise 3: Estimation of aggregated benefits for the effects of the water body improvement using benefit estimates handed out. Exercise 4: Aggregating costs and benefits for the area and see how different assumptions, aggregation rules etc will influence the benefit cost ratio.
The course will be delivered by senior researcher Berit Hasler and research assistant Sisse Liv Brodersen from Danish National Environmental Research Institute (NERI) at Aarhus University. Both are environmental economists experienced in water resource economic assessments. The case studies on cost-efficiency analysis methods and tools will be presented by Sairi Vaisanen from Finnish Environmental Institute (SYKE).The course will be held in English language.
The training course is free of charge. However, the participants have to cover their travel and accommodation costs by themselves. The registration should be done before December 1, 2009.
For the registration please contact
Kaunas University of Technology, Department for Environmental Engineering
Radvilenu pl 19, 50254 Kaunas, Lithuania