A Feasibility Analysis of Applying Water Quality Trading

Water quality trading is a policy tool that could improve the cost-effectiveness of achieving environmental goals, but it is not currently used in the state of Georgia. This paper evaluates the feasibility of applying water quality trading in Georgia watersheds. The criteria used for this evaluation include environmental suitability, regulatory incentive, economic incentive, availability of participants, and stakeholder response. The evaluation concludes that the Georgia watersheds where WQT appears to be most feasible include the Chattahoochee, Coosa, Savannah, and Ocmulgee basins. Feasibility is also likely to be high in the Flint and Oconee basins. However, it is important to note that WQT could develop in any watershed where a pollution source has an economic interest in trading. The evaluation concludes that the opportunity for WQT in Georgia is somewhat limited by present regulatory conditions, but offers alterative WQT models that should be considered. Working Paper Number 2005-002

Water Quality Trading: Legal Analysis for Georgia Watersheds

Water quality trading is a policy tool that could improve the cost effectiveness of achieving environmental goals, but it is not currently used in the state of Georgia. This paper seeks to evaluate the applicability of water quality trading in Georgia watersheds with a specific focus on legal issues. This paper reviews Georgia law and regulations to evaluate barriers to and support for water quality trading. It also reviews water quality trading policies from other states and explores the value of adopting a state water quality trading policy in Georgia. The paper concludes that while existing law provides implicit authority to implement water quality trading in Georgia, inadequate regulatory pressure in most Georgia watersheds and possible legal challenges could be significant impediments to implementing water quality trading in the state at this time. The paper also suggests that successful pilot trades should precede the development of statewide water quality trading policy. Working Paper Number 2005-002

An Evaluation of Water Quality Trading for Georgia Watersheds

Water quality trading is a policy tool that could improve the cost effectiveness of achieving environmental goals, but it is not currently used in the state of Georgia. This research seeks to evaluate the applicability of water quality trading in Georgia watersheds. This report provides an update on the status of current research on water quality trading conducted through a collaboration of the Georgia Water Policy and Planning Center, the Georgia State University Andrew Young School of Public Policy, and the University of Georgia Warnell School of Forest Resources. Working Paper Number 2005-00

Estimation of Costs of Phosphorus Removal In Wastewater Treatment Facilities: Adaptation of Existing Facilities

As part of a wider enquiry into the feasibility of offset banking schemes as a means to implement pollutant trading within Georgia watersheds, this is the second of two reports addressing the issue of estimating costs for upgrades in the performance of phosphorus removal in point-source wastewater treatment facilities. Earlier, preliminary results are presented in Jiang et al (2004) (Working Paper # 2004-010 of the Georgia Water Planning and Policy Center). The present study is much more detailed and employs an advanced software package (WEST®, Hemmis nv, Kortrijk, Belgium) for simulating a variety of treatment plant designs operating under typical Georgia conditions. Specifically, upgrades in performance, in a single step, from a plant working at an effluent limit of less than 2.0 mg/l phosphorus to one working with limits variously ranging between less than 1.0 mg/l to less than 0.05 mg/l phosphorus are simulated and the resulting costs of the upgrade estimated.Five capacities of plant are considered, from 1 MGD to 100 MGD. Three strategic, alternative designs for the facility are considered: the basic activated sludge (AS) process with chemical addition, the Anoxic/Oxic (A/O) arrangement of the AS process, and the Anaerobic/Aerobic/Oxic (A/A/O) arrangement of the AS process. Upgrades in performance are consistent with the logical alternatives for adapting these options. Cost comparisons are made primarily on the basis of the incremental cost of the upgrade, i.e., from the base-case, reference plant to that performing at the higher level, as expressed through the incremental Total Annual Economic Cost (TAEC; in $) and the marginal unit cost of phosphorus removal, expressed in ($/kg).For the most stringent upgrade, for example, to a plant generating an effluent with less than 0.05 mg/l phosphorus, these marginal costs -- the cost of the additional phosphorus removed as a result of the upgrade -- amount to something of the order of 150-425 $/kg, with the upper bound being associated with the smallest plant configuration (1 MGD). Working Paper Number 2005-001

Assessing the Market for Poultry Litter in Georgia: Are Subsidies Needed to Protect Water Quality?

Concerns about nutrient loads into our waters have focused attention on poultry litter applications. Like many states with a large poultry industry, Georgia recently designed a subsidy program to facilitate the transportation of poultry litter out of vulnerable watersheds. This paper uses a transportation model to examine the necessity of a poultry litter subsidy to achieve water protection goals in Georgia. We also demonstrate the relationship between diesel and synthetic fertilizer prices and the value of poultry litter. Results suggest that a well functioning market would be able to remove excess litter from vulnerable watersheds in the absence of a subsidy.fertilizer, phosphorous, poultry litter, subsidy, transportation model, water quality, Environmental Economics and Policy, Marketing, Q12, Q13, Q25, Q53,

Industry Analysis: Apple Processors in the Northeastern U.S.

Apple processors are an important link in the marketing chain from apple growers to consumers, and their perspective is critical in understanding the industry’s situation and projecting the industry’s future. This paper reports the results of a survey of Northeastern U.S. apple processors. The survey was conducted to provide a snapshot of current strategic issues in the industry, to assess the industry’s strengths and weaknesses, to identify opportunities and threats, to forecast future trends, and to provide background data for additional research in this industry. The survey results provide an overview of trends, issues, and processor perspectives in the Northeastern apple processing industry. The outlook of many processors for future of the industry is negative or uncertain. Processors’ concerns reflect many of those held by the industry’s apple growers. The processing sector faces a number of challenges in a rapidly changing and globalizing market. Looking forward, the industry must consider how to make its products relevant in current and future markets and how to compete effectively with global rivals. Although the outlook of many respondents was negative or uncertain, the survey responses also reveal several industry strengths and opportunities. This survey was completed as a part of a larger research project focused on the Northeastern apple processing industry. The final project results will identify and analyze marketing strategies and opportunities in the industry. The research will convey important data about consumer trends relevant to the processed apple industry, and this data will be interpreted in the context of the industry’s current situation. The information collected should be useful to growers and processors in assessing future opportunities and enhancing competitive capabilities in their efforts to strengthen this important sector of the regional apple industry

Thinking Afresh About Processing: An Exploration of New Market Opportunities for Apple Products

This report compiles the results of several studies focused on the markets for processed apple products. These studies were conducted as part of a multidisciplinary project examining the processing apple industry in the Northeastern United States. The purpose of the studies was to explore the potential for new products and new marketing strategies that might bring innovation to the apple industry. In the global and highly competitive markets in which apple products fight for shelf space and consumer attention, innovation is a critical strategy to ensure success. This report focuses on the collection of data and analysis of market information that might help identify opportunities for innovation

An evaluation of water quality trading for Georgia watersheds

Water quality trading is a policy tool that can improve the cost-effectiveness of achieving environmental goals and provide options for environmental compliance. It is not currently used in the state of Georgia, but it has been established in other watersheds in the U.S., and the U.S. Environmental Protection Agency (EPA) is actively promoting its implementation. In trading programs elsewhere, the primary barrier to trading activity is a lack of adequate financial incentives, which are closely tied to the level of environmental regulation. If the state of Georgia implements nutrient standards in response to EPA guidelines, interest in water quality trading in Georgia is likely to increase. This research seeks to evaluate the applicability of water quality trading in Georgia watersheds.Sponsored by: Georgia Environmental Protection Division U.S. Geological Survey, Georgia Water Science Center U.S. Department of Agriculture, Natural Resources Conservation Service Georgia Institute of Technology, Georgia Water Resources Institute The University of Georgia, Water Resources Facult

An evaluation of water quality trading for Georgia watersheds

Water quality trading is a policy tool that can improve the cost-effectiveness of achieving environmental goals and provide options for environmental compliance. It is not currently used in the state of Georgia, but it has been established in other watersheds in the U.S., and the U.S. Environmental Protection Agency (EPA) is actively promoting its implementation. In trading programs elsewhere, the primary barrier to trading activity is a lack of adequate financial incentives, which are closely tied to the level of environmental regulation. If the state of Georgia implements nutrient standards in response to EPA guidelines, interest in water quality trading in Georgia is likely to increase. This research seeks to evaluate the applicability of water quality trading in Georgia watersheds.Sponsored by: Georgia Environmental Protection Division U.S. Geological Survey, Georgia Water Science Center U.S. Department of Agriculture, Natural Resources Conservation Service Georgia Institute of Technology, Georgia Water Resources Institute The University of Georgia, Water Resources Facult