Environmental economic valuation and its application in environmental assessment: An evaluation of the status quo with reference to South Africa

Abstract

The development of economic valuation techniques and their potential applications to environmental assessment (EA) has evolved to the point where it is no longer necessary to question the purpose of conducting such a study, nor to wonder at the potential methods available and how they should be applied. In spite of these developments, and an increased emphasis on integrating environment, economic and social aspects into environmental management systems at a policy level, there have been few attempts to include economic valuation into EA. This is especially evident in South Africa, one of the leading proponents of EIAs. This paper evaluates the use of economic valuation as a tool for integration within EAs. It considers why this integration has not occurred to a greater extent, evaluates successes and failures, and makes recommendations on the way forward.