CRAWFORD SCHOOL of Economics and Government

Choice Modelling in the development of natural resources management strategies

in NSW

Kasia Mazur

CRAWFORD SCHOOL of Economics and Government Outline

Issue Objectives Methodological issues Conclusion

CRAWFORD SCHOOL of Economics and Government

Issues

No consistent methodology for the assessments of NRM investments

Previous methods: MCA, CUA, CEA Non-market values and community preferences for

resource allocation ignored Net welfare changes- difficult to identify Complexity of the interactions between

environmental, social and economic systems

CRAWFORD SCHOOL of Economics and Government

Objectives

Estimate the welfare changes using BCA

Determine readily transferable environmental estimates using CM

Integrate environmental values into a optimisation tool (MOSAIC)

CRAWFORD SCHOOL of Economics and Government

Methodological issues

Scope effect Incentive compatibility issues

CRAWFORD SCHOOL of Economics and Government Case studies Hawkesbury – Nepean Lachlan Namoi

CRAWFORD SCHOOL of Economics and Government

Conclusion

The study will: identify socially–optimal NRM investments identify easily transferable environmental values Develop a decision making tool that can provide

future cost and time savings for similar assessments Investigate new approaches for dealing with scope

and incentive compatibility issues