Method of assessing additional costs for enterprise at transition to EU environmental standards in field of air protection

Mariya Yu. Zanizdra

Abstract


The ratification of the Association Agreement between Ukraine and the European Union leads to tightening the environmental requirements for pollutant emissions. The correction of environmental and industrial investment policy is appropriate. This causes the relevance of the establishment of appropriate mechanisms and tools. Therefore, the method of estimating the incremental costs of the enterprise during the transition to the environmental standards of the European Union in the field of air protection has been developed. The proposed method of calculation allows determining the lower limit of the additional investment needed to meet environmental emission standards of the EU.The method proposed includes three main phases of calculations. The first is to determine the conditional "superfluous" masses of air pollution in tons of specific substances at the enterprise taking into account the following two conditions: maintaining the current outgoing gas emissions from stationary sources due to the level of technology development and production volumes; tightening the standards for maximum allowable emissions for the substances in the transition to European standards of production. The second stage is to establish regression dependence (exponential function) between the total emission of pollutants into the atmosphere and the level of environmental financing in the framework of direction "Protection of ambient air and climate change" at the target enterprise. The third stage is assessment of the amount of additional costs (capital and operational) needed to comply with environmental standards for maximum permissible emissions of the substances according to EU environmental requirements.

Keywords


association agreement; Ukraine; European Union; pollutants; maximum permissible emission; enterprise; air; method of assessing; capital investment; operational costs

Full Text:

PDF

References


Government portal (2015). European integration. Ukraine-European Union Association Agreement. Retrieved from http://www.kmu.gov.ua/kmu/control/ru/publish/article?art_id=246581344 [in Ukrainian].

Government portal (2015). Association agreement between the European Union and its member states, of the one part, and Ukraine, of the other part. Retrieved from http://www.kmu.gov.ua/kmu/control/uk/publish/article?art_id=246581344&cat_id=223223535 [in Ukrainian].

State Statistics Service of Ukraine (2015). Emissions of pollutants and carbon dioxide into the atmosphere by region. Retrieved from http://www.ukrstat.gov.ua.

Movchan, V. & Giucci, R. (2011) Ukraine’s trade policy choice: pros and cons of different regional integration options. Analytical report. “Quantitative Assessment of Ukraine’s Regional Integration Options: DCFTA with European Union vs. Customs Union with Russia, Belarus and Kazakhstan”, Policy Paper, PP/05/2011, November. Retrieved from www.ier.com.ua.

Muravyov, V. (2013). Association of Ukraine with the European Union: progress, problems, prospects. Retrieved from http://ns.iir.edu.ua/ [in Ukrainian].

Kopiyka, V. & Shnyrkov, O. (2014). External factors of a deep and comprehensive free trade area with the EU, Ukraine. Retrieved from http://social-science.com.ua/article/1231.

Nikiforova V. A. (2013) On some consequences of signing of Association Agreement with EU for metallurgy of Ukraine. Ekonom. promisl., 3(63), 137-148 [in Russian].

Polovyan, O.V. & Kazaova, M. G. (2014). Main directions of forming State of sustainable regional development in Ukraine: realities and perspectives. Ekonom. promisl., 1(65), 32-56 [in Russian].

Verkhovna Rada of Ukraine (1992). Law of Ukraine “About the guard of atmospheric air” 16.10.1992 No.2707-XII. Vidomosti Verkhovnoi Rady Ukrainy, 50, 678 [in Ukrainian].

Council of the European Commission (2010). Council of the European Commission Council Directive 2010/75/ЄС of 24 November 2010 on industrial emissions (integrated pollution prevention and control). Official Journal of the European Union, 17 Desember, 17-119 [in Ukrainian].

Ershova, N. M. & Skrypnyk, N. M. (2011). Economic-mathematical methods and models of decision-making under conditions of certainty, uncertainty and risk. Dnipropetrovsk, PGASA [in Russian].

State Statistics Service of Ukraine (2012). Statistical Yearbook of Ukraine for 2011. Kyiv, Avgust Treid [in Ukraine].

Lopatnikov, L. I. (2003). Economic and mathematical dictionary: Dictionary of modern economic science, 5th ed. Moscow, Delo [in Russian].

Verkhovna Rada of Ukraine (2014). Order of the Ministry of ecology and natural resours of Ukraine "On approval of maximum permissible emissions of pollutants from stationary sources» 27.06.2006 No.309. Retrieved from http://zakon3.rada.gov.ua/laws/show/z0912-06 [in Ukrainian].




DOI: https://doi.org/10.15407/econindustry2015.02.108

Refbacks

  • There are currently no refbacks.