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Dutch environmental costs by target sector, 1985-2002

Between 1995 and 2002, overall environmental costs rose by approximately EUR 2 billion. This rise was due mainly to extra environmental expenditure by central government and waste disposal companies.

Environmental costs by target sector


Between 1995 and 2002, overall environmental costs rose by approximately EUR 2 billion. This rise was due mainly to extra environmental expenditure by central government and by increases in the capacity of waste incineration plants.

From 1985 onwards, environmental costs were incurred mainly by the following target sectors: Waste disposal, Actors in the water chain (for sewage and wastewater treatment plants), Industry and Government. However, from 1990 onwards, the proportion of environmental costs incurred by other target sectors increased. With the exception of the Energy sector, the environmental costs paid by all target sectors were higher in 2002 than in 1995.

Technical note


In accordance with the Environmental Costs Methodology, the interest rate (that is used to calculate the annual cost of capital for investment) is determined on the basis of the actual capital market rate (Hanemaaijer and Dirkx, 2001). The interest rate therefore varies in time with the capital market rate. High inflation in 2001 meant that the actual capital market rate was low compared to other years. As a result, the calculated interest costs of investments in 2001 were clearly lower than in preceding and subsequent years. That is the reason for the dip in overall environmental costs in 2001.

References


  • Hanemaaijer, A.H. and M.C.A.P. Dirkx (2001). MONNIE 2000: Milieukostenmodel RIVM. RIVM (report no. 773 401 003), Bilthoven.

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This page was last changed on November 18, 2005  (version 01).