Costs and benefits of noise abatement measures

H. A. Nijland, E. E. M. M. Van Kempen, G. P. Van Wee and J. Jabben

Transport Policy, 2003, vol. 10, issue 2, 131-140

Abstract: Environmental effects of traffic like noise are typically external and typically unpriced. This makes monetisation of these effects difficult. Much work has been spent the last few years on developing methods for monetising these (external) environmental effects. However, the application of these methods does fall short. This paper describes a cost-benefit analysis of a number of (possible) noise abatement measures in the Netherlands. Benefits are calculated according to consumer's preferences for dwellings, and values applied are derived from two different methodologies (hedonic pricing and contingent valuation). Costs are shown to be surpassed by benefits. Some weaknesses are also demonstrated in valuing noise, particularly where issues of equity, benefit transfer and embedding are concerned. Further research on these issues is recommended.

Date: 2003
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