Economics, Trade and Incentive Measures

 
Submission
ID 5470
Submitting Entity UNEP
Submitted for Seventh Meeting of the Subsidiary Body on Scientific, Technical and Technological Advice (SBSTTA 7)
 
Main Information
Title Water Abstraction Fee in Hungary
Description The study analyses the use of the water abtraction fee in Hungary. In 1992, the system was revised to inlcude differentiated fee rates in accordance with the type of use. The charge has been increased for reserved but unused water abstraction and there have also been several changes in the granting of exemptions. The study concludes that fee rates were set to allocate the overall revenue target largely on the basis of the buirden-sharing capacity of the different sectors affected by the charge. It notes that economic valuation of the freshwater resource has not happened, and calls for such a valuation exercise in order to calibrate the unit fee to reflect the absolute scarcity of warer resources.
 
Additional Information
Authors Ferenc Burger and Zsusza Lehoczki
Source Study is taken from: Rietbergen-McCracken, J; H. Abaza (2000): Economic Instruments for Environmental Management. United Nations Environment Programme, Earthscan Publications, London.
Countries Hungary
Ecosystems Inland Waters Biodiversity
Regions Central and Eastern Europe
Incentive Measures Negative Incentives (taxes, levies,...)
Keywords Extraction levies/pricing