The Role of Liability, Regulation and Economic Incentives in Brownfield Remediation and Redevelopment: Evidence from Surveys of Developers

Abstract

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Conditional and random-coefficient logit models of the responses to the choice questions indicate that developers find sites with contamination problems less attractive than others, and that they value liability relief. This confirms our expectation that contaminated sites are less desirable because of the associated cleanup costs, but refutes earlier claims that liability does not matter. Our developers are not deterred by prior contamination, once it has been cleaned up, suggesting that "contamination stigma" is not very important, and appreciate fast-track review of development and remediation plans, direct financial incentives, and flexible (negotiable) cleanup standards. Developers with prior experience with contaminated sites are more responsive to the policies than are inexperienced developers, especially for subsidies. Inexperienced developers are more responsive to liability relief and regulatory relief than they are to subsidies. Similar considerations hold true for larger developers. Terms of use: Documents in

Econometric analysis of cleanup of illegal dumping sites in Japan: removal or remedial actions?

“…Sigman and Stafford (2010) reviewed the socioeconomic literature on regulation of hazardous waste and cleanup of contaminated sites, focusing on empirical analysis. Relatively more existing studies have examined property values before and after cleanup using stated preference approaches and hedonic price techniques (e.g., Alberini et al 2005;McCluskey and Rausser 2003;Greenstone and Gallagher 2008;US Environmental Protection Agency 2009). However, fewer studies show comprehensive empirical evidence for the decision-making process, costs, and periods regarding cleanup options.…”

“…The table shows that the incidents supported by the funds are larger than those without support, although the units of volume or weight are different. Recent average incomes in Japan are approximately 2950 thousand yen (a 3-year average of2000, 2005, and 2010, from Minryoku DVD 2014. Average incomes in the municipalities having contaminated sites supported by the funds are somewhat lower than the Japanese average.…”

Risk-based management of contaminated land in the UK: Lessons for China?

“…For example, sites in areas with high levels of stigma can deter volume house builders from focusing development on these areas (Dixon, 2006). Often the high rehabilitation costs of a site, weighed against low land values, may create an unacceptable level of risk for developers and investors, thus making development in these areas unattractive (Alberini et al, 2005). It is in cases like these that governmental support through financial incentives can help to stimulate development by reducing the overall potential risk of a project and providing benefits to the wider community.…”

“…Without state intervention, high rehabilitation costs, weighed against low land values, may create an unacceptable level of risk for developers and investors (Alberini et al, 2005). In the UK, a variety of economic and legal incentives are offered to encourage the cleanup and re-use of contaminated sites where there is little prospect of development.…”

Geographical location and key sensitivity issues of post-industrial regions in Europe

“…Brownfields are abandoned and underused industrial properties with real or perceived contamination problems (Simons 1998). The problem of brownfields results from two concurrent factors: high number of closed plants and the environmental legislation holding specified parties liable for the cost of cleanup at contaminated sites (Alberini et al 2005).…”