Developing flood and coastal erosion risk management appraisal (Testing the Sugden approach)
A project to develop an improved appraisal framework for FCERM that provides greater transparency in establishing the costs and benefits of investment options.
Documents
If you use assistive technology (such as a screen reader) and need a version of this document in a more accessible format, please email: [email protected]. Please tell us what format you need. It will help us if you say what assistive technology you use.
Details
The aim of the project is to develop an appraisal framework for flood and coastal erosion risk management (FCERM) that provides greater transparency in establishing the costs and benefits of investment options. It investigates the improved appraisal framework proposed by Professor Sugden. This looks at the merits and drawbacks of moving from a methodology of Social Cost Benefit (SCB) to that of Willingness to Pay (WTP). The WTP approach differs from SCB in that it measures the net welfare change brought about by the project for each individual interest group.
Specific work areas of this project includes:
- assessing the implications of the WTP approach on existing arrangements
- the development of methodologies
- the testing of methodologies through case studies
- a gap analysis to aid a wider review of the implications for Defra policy resources
- final reporting
Outcomes
The project produces an appropriate table of monetised costs and benefits and a consistent Appraisal Summary Table that brings together the material for a final multi-criteria analysis. Several templates are developed and tested for use in appraisal and suggestions are made for improvements to appraisal methods.
This project ran from 2005 to 2006 at a cost of £84,643.