Title: A statistical–analytical methodology for the construction of abatement cost curves

Authors: Walter Radermacher, Wolfgang Riege-Wcislo, Angela Heinze

Addresses: Federal Statistical Office, German Environmental-Economic Accounting (GEEA) Section, Wiesbaden, Germany. ' Federal Statistical Office, German Environmental-Economic Accounting (GEEA) Section, Wiesbaden, Germany. ' Federal Statistical Office, German Environmental-Economic Accounting (GEEA) Section, Wiesbaden, Germany

Abstract: This paper outlines a procedure for the construction of pollution abatement cost curves in the perspective of cost-effectiveness analysis for meeting environmental performance standards. After a conceptual exposition, it gives detailed practical guidelines for statistical and analytical conventions for building up an abatement cost curve for a specific type of environmental pressure or pollution, for example CO₂ or SO₂, by implementing additional technical environmental measures in polluting production and consumption processes in enterprises, branches and private households. Definitional and empirical difficulties in the calculation of cost curves are discussed, including interactions and incompatibilities between pollution abatement techniques, possible interactions between pollutants, and data deficiencies. An example of the method is given for NO_x emissions in the sector of energy production.

Keywords: abatement cost curves; cost-effectiveness; environmental standards; national accounts; NO_x emissions; pollution; statistical methods.

DOI: 10.1504/IJSD.1999.004309

International Journal of Sustainable Development, 1999 Vol.2 No.1, pp.59 - 94

Published online: 10 May 2004 *

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