An Economic Analysis of the UK Landfill Permits Scheme

Michael Barrow

Fiscal Studies, 2003, vol. 24, issue 3, 361-381

Abstract: The UK will introduce in 2004 a system of tradable permits for the landfill of municipal waste, in response to an EU directive setting limits on such activity. Tradable permits are becoming an increasingly popular method of dealing with some environmental issues — for example, sulphur dioxide (SO2) emissions in the USA. This paper describes the background to the landfill proposals and provides an analysis of how the permit system might work. Estimates are made of the possible savings in compliance costs of a permit system compared with a conventional ‘command-and-control’ approach. These estimates are subject to a considerable degree of uncertainty, related to factors discussed in the paper.

JEL-codes: D00 H23 Q20 (search for similar items in EconPapers)
Date: 2003
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