1 ENVIRONMENTAL VALUATION DATABASES Koenraad Van Landeghem Principal Economist NSW Department of Environment and Climate Change.

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ENVIRONMENTAL

VALUATION DATABASES

Koenraad Van Landeghem

Principal Economist

NSW Department of Environment and Climate Change

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“Don’t you just have those numbers that you can pull out of a drawer?”

Waste Policy Officer

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Overview

1. Valuation databases

2. Envalue

3. EVRI

4. Evaluation of EVRI

5. Challenges for EVRI

6. Challenges for DECC

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VALUATION DATABASES

Usefulness & Purpose:

Consistent reporting of environmental valuation studies

Broadening access to environmental valuations (data

poor field)

Identifying studies relevant to user’s policy area

Facilitating benefits transfer

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Desirable criteria for Valuation Databases

Contains “local” estimates Ease of use (useability and access) Comprehensive

Details about the change being valued, including the characteristics of the natural resource and the base level of environmental quality

Information about the socio-demographics of the population at the site and their environmental preferences

Details about the extent of the market: how far away from the site were respondents identified who still valued the natural resource?

Detailed reporting of the study results

A thorough assessment and reporting of the validity of the study, including discussion of any methodological issues

Details about the precision of value estimates so that reliability can be assessed

Information that can be used to ascertain whether a conservative value estimate was produced for the study.

Allows transfer of functional relationships additional to values

[Adapted from Morrison, 2001 & Lantz & Slaney, 2005, etc.]

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Environmental Valuation Databases - OverviewName of Database

Web Host Purpose of the Database Regions Covered

Search function

Topic areas No of studies

Ecosystem Services Database

Gund Institute for Ecological Economics, USA

Economic values of ecosystem services

International Both free text and guided search options

300 +

Review of Externality Data

European Commission

Externalities produced from policies that have sustainable development at their core

International Both free text and guided search options

Industry; location; pollutant; receptor; quality of study; valuation method.

1200+

New Zealand Non-market Valuation Database

Lincoln University (New Zealand)

Non-market valuation studies that have been undertaken in New Zealand

New Zealand Multiple guided search options

Valuation Method; date of study; environmental theme; author; type of paper.

100 +

ValuebaseSwe Beijer International Institute of Ecological Economics, and the Swedish EPA

Survey of empirical economic valuation studies on environmental change in Sweden

Sweden Microsoft Excel

Built environment; water & air quality; forests; fish; natural lands; agriculture.

171

Beneficial use Values database

University of California, Davis

Economic values for beneficial uses of water resources

North America

Microsoft Access

Beneficial uses of water by the Californian State Water Board, USA.

131

Envalue NSW Department of Environment & Climate Change

Promote greater access to and use of environmental values in decision-making

International Guided search only

Air, Water & Land quality; Noise; radiation; natural areas; amenity.

400+

Environmental Valuation Reference Inventory EVRI

Environment Canada Assist economists to use benefits transfer to value environmental services

International Both free text and guided search

Environmental service, asset or stressor; location; development status; economic measure

1900+

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Name of Database

Web Host Purpose of the Database Regions Covered

Search function

Topic areas No of studies

Review of Externality

Data

European Commission

To assist capturing the effect of externalities produced from new policies that have

sustainable development as their core concern.

International Both free text and guided

search options

Industry; location; pollutant; receptor;

quality of study; valuation method.

1200+

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Name of Database Web Host Purpose of the Database Regions Covered

Search functions

Topic areas No of studies

New Zealand Non-market Valuation Database

Lincoln University (New Zealand)

To help researchers identify non-market valuation studies that have been undertaken in New Zealand.

New Zealand

Multiple guided search options

Valuation Method; date of study; environmental theme; author; type of paper.

100 +

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Name of Database

Web Host Purpose of the Database Regions Covered

Search functions

Topic areas No of studies

ValuebaseSwe Beijer International Institute of Ecological Economics, and the Swedish EPA

To provide a survey of empirical economic valuation studies on environmental change in Sweden.

Sweden Microsoft Excel

Built environment; water quality; forests; air quality; fish; natural lands; agriculture.

171

http://www.beijer.kva.se/valuebase.htm

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Name of Database

Web Host Purpose of the Database Regions Covered

Search functions

Topic areas No of studies

Beneficial use Values database

University of California, Davis

To provide an educational and informational tool to those interested in documenting the economic values for beneficial uses of water resources

North America

Microsoft Access

Beneficial uses of water by the Californian State Water Board, USA.

131

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Valuation Databases - alternatives

Name of Database

Web Host Purpose of the Database

Regions Covered

Search function Topic areas No of studies

EconLit American Economics Association

Compiled to display abstracts from 30 years of economic literature (not valuation specific)

International Free text Studies relevant to Economics (including valuation of environment)

400,000+ (general) 1600+ (environment)

EconPapers Department of Business, Economics, Statistics and Informatics (Örebro University)

Data provided by RePEc (Research Papers in Economics) to enhance the dissemination of research in economics

International Free text & guided search by author and type of paper.

General Economics articles (including environmental & resource economics)

545,000+ (general economics)

Biodiversity Economics

International Union for the Conservation of Nature (IUCN) & World Wildlife Fund (WWF)

To encourage and assist the use of economics in support of biodiversity conservation and sustainable development.

International Free text & Guided search option

Concepts in valuing biodiversity; actual valuations; valuation methods; indicators; EIA & SEA.

276 +

Environmental Valuation & Cost Benefit News

The Cost Benefit Group LLC (private consultants)

To promote the incorporation of environmental values into decision-making

International (mainly USA)

Free-text and guided (environmental medium, location, contaminant, and type of study)

Environmental and Natural Resource economics

12,000

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What is Envalue?

Internet database of valuation studies on environment and health: http://www.environment.nsw.gov.au/envalue/

Currently, ~ 400 study records or study summaries that can be easily searched

Envalue design facilitates benefits transfer, which is the transfer of values from “study site” to policy site”.

- Design of records facilitates matching; quality checks; selecting values

- Structured search allows for quick location of studies

Free site – no subscription required

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Envalue Records

Records are broken into categories and sub-categories called fields where data and information is entered:

- Basic scope of the study

- Key Results: currency, year, values

- Annotated Bibliography:

Reference

Valuation technique

Socio-economic characteristics

Environmental Good / Service measured

Comments / summary

Evaluation of the study

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Envalue

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Envalue - Information Reported

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Envalue Information Reported (continued)

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Envalue - Problems encountered

• Cost of software upgrades

• Cost of uploading additional studies

• Last update (3 articles) in 2006

• Studies becoming out-dated as a result of the above

DECC was looking for an alternative way to provide a similar service to Australians…

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Environmental Valuation Reference Inventory (EVRI)

EVRI Sponsors:

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What is EVRI?

Internet Infobase of valuation studies on environment and health: http//www.evri.ca

Currently, ~ 1,900 study records or study summaries that can be easily searched

EVRI design facilitates benefits transfer, which is the transfer of values from “study site” to policy site”.

- Design of records facilitates matching; quality checks; selecting values

- Search engines allows for quick location of studies

Free site to U.S., U.K., France, Canada and Australia

Bilingual site

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DECC external promotion of EVRI

Promote greater Australian use of EVRI

- DECC Media Release

- Advertisements in various e-newsletters, AARES, DECC etc

- Group e-mails to distribution list

- Links to EVRI from websites, e.g. libraries, Govt Departments

- Conferences: distribute EVRI posters and flyers

- Link from ‘Envalue’ entry-page

Increase Australian content:

- Encouraging Australian authors to up-load their articles to EVRI

- List of relevant Australian literature sent to Environment Canada for consideration

- DECC evaluation will identify potential for increased relevance to Australian users

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EVRI Records

Records are broken into categories and sub-categories called fields where data and information is entered:

- Study Reference

- Study Area and Population

- Environmental Focus of Study

- Study Methods

- Estimated Values

- Abstract

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EVRI records by category

Environmental Asset Number of Records

Water (general) 943

Animals (general) 939

Land (general) 692

Plants 425

Human (health or capital) 335

Air 268

Infrastructure/Produced 203

Micro-organisms 9

*More than one category may have been identified for each record.

As of March 2007

EVRI Database Breakdown

Studies in EVRI by Country*

Country Percentage

United States 47%

United Kingdom 12%

Canada 11%

Nordic Countries 10%

France 3%

Australia 2%

Non-Member Countries 15%

As of March 31, 2007

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EVRI – information reported

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EVRI – information reported (cont’d)

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EVRI – information reported (cont’d)

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Evaluation of EVRI and Envalue

DECC’s activities:

1. Literature Review

2. Cost-Benefit Analysis

3. Web-statistics

4. Australian user survey

Monthly Visits to Envalue website minus Monthly visits to EVRI website [NB: visits to ‘EVRI’ just include Australian visitors, whereas visits to ‘Envalue’ also include international visitors]

Monthly Visits to EVRI

0

50

100

150

200

250

300

350

400

Jul-0

6

Aug

-06

Sep

-06

Oct

-06

Nov

-06

Dec

-06

Jan-

07

Feb

-07

Mar

-07

Apr

-07

May

-07

Jun-

07

Jul-0

7

Aug

-07

Sep

-07

Vis

its

Monthly visits to 'Envalue' minus monthly visits to 'EVRI'

-200

-100

0

100

200

300

400

Jul-0

6

Aug

-06

Sep

-06

Oct

-06

Nov

-06

Dec

-06

Jan-

07

Feb

-07

Mar

-07

Apr

-07

May

-07

Jun-

07

Jul-0

7

Aug

-07

Sep

-07

Monthly visits to EVRI website by Australians

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Evaluation of EVRI (cont’d)

Environment Canada’s activities:

1. Independent 3rd Party Review

2. Australian Representative on EC’s Evaluation Committee

3. User perception of EVRI & potential for improvementMember Country (excluding USA): EVRI visits per month

0

100

200

300

400

500

600

Sep-06

Oct-06

Nov-06

Dec-06

Jan-07

Feb-07

Mar-07

Apr-07

May-07

Jun-07

Jul-07

Aug-07

Sep-07

Vis

its

Canada

United Kingdom

France

Australia

US visits to EVRI average about 4000 per month

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Challenges for EVRI

Improved reporting

Access to original studies

Range of available studies

Member countries

Objectives of EC

- Facilitate benefits transfer

- Capture more valuation studies

- Keep database content current

- Market and distribute to promote benefits transfers in as many countries as possible.

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Challenges to DECC / Australia

More Australian studies

- Limitation to Australian Policy relevance

- Slow progress in uploading further studies

- International Benefits Transfer (limitation?)

Cumulative Australian studies in EVRI

05

101520253035404550

1999 2002 2003 2004 2005 2006 2007

Continued funding

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Articles Reviewing Valuation Databases

1. Navrud, S., Vagnes, M., (2000), Assessment of EVRI and the Expansion of its Coverage to the EU, Report to the European Comission, DG, XI.

2. Morrison 2001, Non-market Valuation Databases: How Useful Are They?, Economic Analysis and Policy, v. 31, Iss. 1, pp. 33-56

3. Van Lantz & Greg Slaney 2005, An Evaluation of Environmental Valuation Databases around the World, Presented at workshop in Washington entitled “Benefits Transfer and Valuation Databases: Are We Heading in the Right Direction?”

4. White, J., 2005, Envalue and Benefits Transfer in Australia, [Washington workshop].

5. McComb, Lantz, Nash & Rittmaster, 2006, International valuation databases: Overview, methods and operational issues, Ecological Economics, 60, pp. 461-472

6. Villa, Ceroni, & Krivov, 2007, Intelligent Databases Assist Transparent and Sound Economic Valuation of Ecosystem Services, Environmental Management, Vol. 39 Issue 6, p887-899

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Valuation Databases

• EVRI – http://www.evri.ca

• Envalue - http://www.environment.nsw.gov.au/envalue/

• Ecosystem Services Database (ESD) - http://esd.uvm.edu/

• Review of Externality Database (RED) - http://www.red-externalities.net/

• New Zealand Non Market Valuation Database - http://oldlearn.lincoln.ac.nz/markval/

• ValuebaseSwe - http://www.beijer.kva.se/valuebase.htm

• Beneficial Use Values Database - http://buvd.ucdavis.edu/buvd/index.htm

• EconPapers - http://econpapers.repec.org/

• Biodiversity Economics - http://www.biodiversityeconomics.org/

• Environmental & Cost Benefit Analysis News - http://envirovaluation.org/