An economic analysis to inform the Air Quality Strategy Review consultation

Third report of the Interdepartmental Group on Costs and Benefits

"An economic analysis to inform the review of the Air Quality Strategy consultation" presents detailed assessments of the additional policy measures considered by the review of the Air Quality Strategy (AQS). These assessments include:

• monetary cost benefit analysis;
• quantified impacts on current air quality objectives and ecosystems; and
• qualitative assessments such as the effect on noise levels, distributional (socio-economic) outcomes and competition effects.

The report discusses both the underlying methodology and the results of the assessments. The analysis incorporates the monetary valuation of air pollution impacts on health, which represents a major development in the IGCB methodology.

It is the third report of the Defra-led Interdepartmental Group on Costs and Benefits (IGCB) and accompanies the consultation:

• Consultation on the review of the Air Quality Strategy – options for further improvements in air quality - April 2006

The IGCB consists of government economists and other experts from all relevant Departments including: Department for Environment, Food and Rural Affairs, Department for Transport, Department of Health, Department of Trade and Industry, Cabinet Office, Department of Environment for Northern Ireland, Environment Agency for England and Wales, HM Treasury, Scottish Environment Protection Agency, The National Assembly for Wales, The Scottish Executive.

An economic analysis to inform the review of the Air Quality Strategy consultation

Main report

• Executive summary (1,022 KB)
• Chapter 1 – Introduction (51 KB)
• Chapter 2 – Assessment methodology (322 KB)
• Chapter 3 – Costs and benefits of additional measures (313 KB)
• Chapter 4 – Non-monetary assessment of additional measures (116 KB)
• Chapter 5 – Uncertainties and sensitivity analysis (342 KB)
• Chapter 6 – Conclusions and further research (171 KB)
• List of abbreviations, bibliography (105 KB)
• Annexes (316 KB)

Additional documents

• Additional analysis – sensitivity analysis of the AQS review additional measures (58 KB)
• Damage costs for air pollution – Final report to Defra by AEA Technology (497 KB)

Contact details

Roald Dickens
Economic Advisor
Email: Roald.Dickens@defra.gsi.gov.uk

Paro Konar
Assistant Economist
Email: Paro.Konar@defra.gsi.gov.uk

Matthew Gilbert
Assistant Economist
Email: Matthew.Gilbert@defra.gsi.gov.uk

Environment Policy Economics
Department for Environment, Food and Rural Affairs (Defra)
Zone 4/F7 Ashdown House, 123 Victoria Street
London SW1E 6DE

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