Water Quality Trading

James Shortle, Markku Ollikainen () and Antti Iho ()
Additional contact information
Markku Ollikainen: University of Helsinki
Antti Iho: Natural Resources Institute Finland

Chapter Chapter 6 in Water Quality and Agriculture, 2021, pp 269-317 from Palgrave Macmillan

Abstract: Abstract Chapters 6, 7 , and 8 examine three specific policy approaches that are drawing substantial interest as innovations for agricultural nonpoint pollution control. These are water quality trading (Chap. 6), water quality auctions (Chap. 7 ), and credit stacking (Chap. 8 ). Both have potentials for addressing many of the limitations of conventional approaches including consideration local conditions. Water quality trading refers to emissions trading in water pollution. The mechanism has not had wide application but is an interesting candidate for water pollution policy innovation. It is a performance based economic incentive and can be implemented to integrated management of point and nonpoint sources. Water quality trading is receiving considerable interest as a mechanism to improve the effectiveness and cost-efficiency of water quality protection. This chapter presents the theory of trading, significant challenges that must be addressed when using trading to manage agricultural nonpoint pollution, and a review and assessment of the practice of water quality trading, and lessons for future application. The overall conclusion is that trading has significant merit provided policy makers have the technical capacity and resources to implement performance-based trading programs.

Date: 2021
References: Add references at CitEc
Citations: View citations in EconPapers (1)

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:psachp:978-3-030-47087-6_6

Ordering information: This item can be ordered from
http://www.palgrave.com/9783030470876

DOI: 10.1007/978-3-030-47087-6_6

Access Statistics for this chapter

More chapters in Palgrave Studies in Agricultural Economics and Food Policy from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().