Guide to 'Costs and financing environmental management' section

The implementation of environment policy comes with a price tag. This applies to the government, which for example uses subsidies to attempt to encourage environmentally-acceptable behaviour from companies and households, but also gives tax breaks to businesses which, for example, have to invest in measures to meet environmental quality standards imposed by the government. Environment policy also has financial implications for households, for example as a result of increases in the charges they must pay for services or environmentally acceptable products.

Index Environmental costs

• Environmental costs and Dutch GDP, 1985-2002
• Environmental costs in the Netherlands by target sector and theme, 1985 - 2002
• Dutch environmental costs by target sector, 1985-2002
• Dutch environmental costs by theme, 1985-2002
• Costs of landfill and waste incineration in the Netherlands, 1985-2002

Index Environmental expenditure

• Dutch environmental expenditure as a proportion of total government expenditure
• Dutch national environmental expenditure by environmental theme, 1985-2002
• Environmental expenditure in the Netherlands and other countries, 1990-1997
• Dutch government expenditure to reduce traffic noise, 1985-2001

Index Environmental costs

• Net environmental costs in industry

Index Environmental investments

• Environmental investments by sector in the Netherlands, 1980-2000
• Environmental investments in Industry and Energy Supply in the Netherlands, 1975-2002

Definitions

The table below defines a few common concepts. Not all the tables and figures in this section follow the definitions used in 'Costs and financing environmental management'. Indicators based on other definitions are highlighted in the text.

Environmental measures	Measures of which the primary objective is to reduce the burden on the environment.
Environmental costs	The annual costs (both capital investment and operating costs) of environmental control measures. The costs of measures which have a positive impact on the environment but which pay for themselves within three years are not included under environmental costs. Neither are the costs related to the economic impact of the introduction of environmental measures, for example changes in sales volumes.
Environmental investment	Purchase of goods or means of production with a product life longer than one-year, the purpose of which is to reduce the burden on the environment.
Environmental levy	Levies introduced to finance specific environmental measures carried out by the government.
Cost of the environment	The environmental costs plus the environmental levies, less environmental subsidies.
Gross tangible fixed assets	Purchases and sales of accommodation and buildings, civil engineering works, transport resources, machines, installations and computers and assets under management (trees and livestock).
Environmental expenditure	All specific expenditure related to the application of environmental measures.

References

• VROM (1998). Methodiek milieukosten, herziene uitgave. Ministry of Housing, Spatial Planning and the Environment, The Hague.