International Review of Waste Management Policy - Department of ...

Transport externalities were incorporated into the assessment of externalities
(through use of typical distances). It is somewhat debatable whether consideration of
externalities related to waste management facilities should consider transport
externalities as part of the ‘process related’ externality (implying that, in some way, a
particular facility always has associated with it a more or less well understood
transport externality). To the extent that transport externalities can be altered through
changed transportation modes as well as distances, such an analysis appears to
obscure the possibilities for improvement, or indeed, for their being addressed by
transport policies. Indeed, a number of instruments, notably, in the UK, the fuel duty
escalator, have been introduced since the CSERGE work was undertaken. These
effectively internalise transport related externalities to some extent. Consequently,
their inclusion in ‘process-specific’ estimates of externalities is somewhat
problematic. Several authors have opined that the UK fuel duty escalator internalises
either completely, or to a significant degree, the external costs. This is an issue which
we return to later. It is worth pointing out that since 1993, emissions of some of the
key pollutants on a per tonne per kilometre basis, notably NOx, have diminished
significantly.
The study made no attempt to consider the fact that emissions from landfill occur
over an extended period of time. Methane is not emitted from landfills
instantaneously, whereas the greenhouse gases from incinerators are. It would seem
to be appropriate to apply a discount factor (or at least, to justify not applying one)
where landfills are concerned. If it is deemed to be important to consider a non-zero
discount rate, then making a simple distinction between biogenic and non-biogenic
carbon, and assuming carbon dioxide from non-biogenic carbon is unimportant,
cannot be justified. This is because the emissions of biogenic carbon dioxide occur at
different rates from landfills and incinerators (and waste management facilities more
generally). 1165
61.3.2 HM Customs & Excise
Just as the CSERGE et al study was used to inform the discussions concerning a
landfill tax, so the work which culminated in the paper by HM Customs & Excise was
important in informing the debate concerning an incineration tax. 1166 The final output
– the HM Customs & Excise Report – is interesting for a number of reasons. These
are discussed below.
1165 D. Hogg et al (2002) Economic Assessment of Options for Dealing with Biodegradable Waste,
Report to DG Environment, European Commission, by Eunomia, Scuola Agraria del Parco di Monza,
HDRA Consultants, ZREU and LDK.
1166 Enviros, University of Birmingham, RPA Ltd., Open University and Maggie Thurgood (2004) Review
of Environmental and Health Effects of Waste Management: Municipal Solid Waste and Similar
Wastes, Final Report to Defra, March 2004); Enviros and EFTEC (2004) Valuation Of The External
Costs And Benefits To Health And Environment Of Waste Management Options Final Report for Defra,
December 2004.
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International Review of Waste Policy: Annexes