A new approach to water quality trading: Applying lessons from the Acid Rain Program to the Lower Boise River watershed

Environmental Practice

Volumn 6, Issue 4, 2004, Pages 281-295

  Schary, Claire ^a   Fisher Vanden, Karen ^b  

^a U S ENVIRONMENTAL PROTECTION AGENCY   (United States)

^b DARTMOUTH COLLEGE   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

ACID RAIN; ECONOMIC INSTRUMENT; EMISSIONS TRADING; NONPOINT SOURCE POLLUTION; SULFUR EMISSION; WATER QUALITY;

BOISE RIVER; IDAHO; NORTH AMERICA; UNITED STATES; WESTERN HEMISPHERE; WORLD;

EID: 24644481828     PISSN: 14660466     EISSN: None     Source Type: Journal    
DOI: 10.1017/S1466046604000468     Document Type: Review

References (27)

1. For a specific discussion of how water quality trading aligns with the Clean Water Act, see USEPA's Water Quality Trading Policy's Section III (F), http://www.epa.gov/owow/watershed/trading/tradingpolicy.html.
2. For example, see L. Shabman, K. Stephenson, and W. Shobe, 2002, "Trading Programs for Environmental Management: Reflections on the Air and Water Experiences," Environmental Practice 4(3):153-162;
3. D. M. King and P. Kuch, 2003, "Will Nutrient Credit Trading Ever Work? An Assessment of Supply and Demand Problems and Institutional Obstacles," Environmental Law and Review 33:10352-10368.
4. For example, see P. Faeth, 2000, Fertile Ground: Nutrient Trading's Potential to Cost-Effectively Improve Water Quality, World Resources Institute, Washington, DC, available at http://pubs.wri.org/pubs_ description.cfm?PubID=2690.
5. United States Environmental Protection Agency, 2003, Final Water Quality Trading Policy, http://www.epa.gov/owow/watershed/trading/finalpolicy2003.html.
6. D. L. Hoag and J. S. Hughes-Popp, 1997, "Theory and Practice of Pollution Credit Trading in Water Quality Management," Review of Agricultural Economics 19(Fall/Winter):252-262.
7. King and Kuch, 2003, "Will Nutrient Credit Trading Ever Work?"
8. J. H. Dales, 1968, Pollution, Property, and Prices, University of Toronto Press.
9. R. N. Stavins, 2000, "Market-Based Environmental Policies," in Public Policies for Environmental Protection, M. A. Toman, ed., Resources for the Future, Washington, DC.
10. For example, see S. Benkovic and J. Kruger, 2001, "To Trade or Not to Trade? Criteria for Applying Cap and Trade," in Optimizing Nitrogen Management in Food and Energy Production and Environmental Protection: Proceedings of the 2nd International Nitrogen Conference on Science and Policy, The Scientific World 1;
11. 2 Allowance Trading," Journal of Economic Perspectives 12(3):69-88.
12. For example, see Hoag and Hughes-Popp, 1997, "Theory and Practice of Pollution Credit Trading in Water Quality Management";
13. King and Kuch, 2003, "Will Nutrient Credit Trading Ever Work?";
14. Shabman, Stephenson, and Shobe, 2002, "Trading Programs for Environmental Management."
15. For more information about the Acid Rain Program, see USEPA's Clean Markets Division Web site, http://www.epa.gov/airmarkets/arp/index.html.
16. For an explanation of the penalty amounts, see http://www.epa.gov/airmarkets/arp/reconcil/index.html#out. The penalty amount was $2,000 per ton and indexed to the Consumer Price Index when the rules were issued in 1990; as of 2001 the penalty had increased to $2,774.
17. A. D. Ellerman, 2003, Lessons from Phase 2 Compliance with the US Acid Rain Program Working Paper #WP-2003-009, MIT Center for Energy and Environmental Policy Research, Cambridge, MA.
18. For more information about the opt-in program, see the Acid Rain Program Web site, http://www.epa.gov/airmarkets/arp/optin/index.html.
19. For more explanation, see the USEPA TMDL Web site, http://www.epa.gov/owow/tmdl/intro.html.
20. For a full description of the trading system and the collaborative process used, see the Idaho Department of Environmental Quality's Web site, http://www.deq.state.id.us/water/tmdls/lowerboise_effluent/ lowerboiseriver_effluent.htm.
21. For the most current report on the status of the Snake River/Hells Canyon TMDL for phosphorus and the Lower Boise River TMDL for phosphorus, check the Idaho Department of Environmental Quality's Web site, http://www.deq.state.id.us/water/surface_water/TMDLs_Main.htm.
22. For examples of state programs, see New Jersey's Open Market Emissions Trading Program Web site at http://www.state.nj.us/dep/aqm/omet and Michigan's Air Emissions Trading Program Web site at http://www.michigan.gov/deq/0,1607,7-135-3310_4103_4194-10617-,00.html.
23. For links to information about these programs, see USEPA's water quality trading Web site, http://www.epa.gov/owow/watershed/trading/tradelinks.html.
24. The draft Lower Boise River Water Quality Trading BMP List was available for public comment through February 2004; check the Idaho Department of Environmental Quality's Web site at http://www.deq.state.id.us/water/wastewater/pollutant_trading.main/htm for its most current version.
25. See http://www.michigan.gov/deq/0,1607,7-135-3313_3682_3719-,00.html.
26. See http://www.cherrycreekbasin.org.
27. These factors are also discussed in the USEPA document Water Quality Trading Assessment Handbook: Region 10's Guide to Analyzing Your Watershed, available on the USEPA Region 10 Web site, http://www.epa.gov/rhr10earth.