Application of benefit/cost analysis to insect pest control using the sterile insect technique

Abstract

Before embarking on area-wide integrated pest management (AW-IPM) programmes involving eradication, exclusion, or suppression of insect pests using the sterile insect technique (SIT), and/or other area-wide control measures, not only their technical but also their economic feasibility needs to be assessed. They may require significant initial capital investments to achieve long-term returns in subsequent periods, and may raise questions about the distribution of benefits or the justification of public or private pest control efforts. A consistent and transparent system is needed to analyse the benefits and costs of such programmes and to demonstrate their value, or in some cases to assess appropriate contributions to the costs by the various stakeholders who gain the benefits. Benefit/cost analysis (BCA) provides such a framework, and has been applied to many AW-IPM programmes that integrate the SIT, in which it has been used to demonstrate the expected value of area-wide eradication, exclusion or suppression. This chapter outlines the process of BCA in which itemized future costs and benefits are compared in terms of present values. It also provides a review and examples of the application of BCA to the SIT. A checklist of BCA inputs, and some examples of benefit/cost outputs, are also presented.