1. Environmental and resource costs Lessons learned from ECO2
WG2B April 22-23, 2004

2. ECO2 mandate from WG2B Clarify concept of environmental and resource
costs in the EU Water Framework Directive

3. Role environmental and resource costs in the WFD
Art. 9: (full) cost-recovery assessment
Art. 9: Pricing/tariff setting
Annex III/Art.4: Cost-benefit analysis (CBA)

4. Questions identified in ECO2
What
What are we talking about?
How
How do we measure them?
Why
What do we use them for?

5. ECO2 Mission What are we talking about? How do we measure them?
What do we use them for?
WE NEED A CONCEPTUAL FRAMEWORK
WE NEED TO ADVISE WHEN TO USE WHICH APPROACH
WE NEED TO ADVISE HOW TO USE OUTCOMES FOR DIFFERENT PURPOSES

6. or Significant pressure Impact on (a)biotic water environment
Damage to water environment
Damage to other water uses
Measures taken to
prevent/avoid/mitigate?
Costs of these measures
Effect of these measures:
standards met?
yes no
Costs of additional
measures
Direct or indirect
valuation method or
Estimation of external
environmental costs

7. Main messages from ECO2 Different costs for different purposes
Different non-contradictory methods to estimate ERC:
based on cost estimates
based on benefit estimates
Choice for either approach depends on:
use or purpose
(required) reliability and accuracy estimates
data availability
Estimation depends on physical chars water system; hence link to IMPRESS vital

8. Results Draft paper dealing with:
Clear framework, definitions and terminology
Which approach for which purpose?
Practical illustrations
Links with IMPRESS
ECO2 paper available end of May
Workshop (proceedings) Amsterdam, 26 March 2004
Dissemination knowledge and experiences
Sharing information from ECO2
Illustration European case study examples
Workshop proceedings available end of April

9. How to proceed? Knowledge and data gaps
Data: get to work gaining more experiences through
practical applications in MS
Knowledge gaps coordinated (EU) research regarding
validity & reliability estimation methods
Later: coordinated efforts with IMPRESS
At present difference in phase and abstraction level both groups
For now: further activities of ECO2 less urgent
To be reconsidered after an analysis of the Art.5 reports in 2005