Permit Trading as an Instrument for Water Pollution Control.A practically oriented analysis considering the European Water Framework Directive

Keudel Marianne ()
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Keudel Marianne: University of Cologne, Wirtschaftspolitisches Seminar, Robert-Koch-Str. 41, D–50931 Köln, Germany

Zeitschrift für Wirtschaftspolitik, 2005, vol. 54, issue 3, 280-304

Abstract: The European Water Framework Directive (WFD) (2000/60/EC) requires a water pollution control for whole (transnational) river basins. This new approach offers the possibility to think about new types of environmental instruments for water pollution control in the European Union. This paper focusses on one special instrument: permit trading. In a first step, existing permit trading systems in the U.S. and in Australia will be presented shortly in order to elaborate, in a second step, a decision scheme which structures the decisions becoming relevant when developing an ecologically effective permit trading system for river basins. In the European context the question becomes relevant to which extent the WFD already provides decisions and whether these set the correct framework for an ecologically effective permit trading. A corresponding approach is used for the economic efficiency of such systems.

Date: 2005
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DOI: 10.1515/zfwp-2005-0303

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