EPA Science Inventory

APPLICATION OF MARKET MECHANISMS AND INCENTIVES TO REDUCE STORMWATER RUNOFF. AN INTEGRATED HYDROLOGIC, ECONOMIC AND LEGAL APPROACH.

Citation:

Parikh**, P, M A. Taylor**, N. T. Hoagland*, H. W. Thurston*, AND W. Shuster**. APPLICATION OF MARKET MECHANISMS AND INCENTIVES TO REDUCE STORMWATER RUNOFF. AN INTEGRATED HYDROLOGIC, ECONOMIC AND LEGAL APPROACH. . J. C. Briden (ed.), ENVIRONMENTAL SCIENCE AND POLICY. Elsevier Science Ltd, New York, NY, 8(2):133-144, (2005).

Description:

Increased stormwater flows are a direct result of urbanization and the consequent increase in the proportion of land area under impervious surface. Due to its contribution to abnormally high stream flows and its role as a carrier of pollutants that degrade water quality, excess stormwater runoff has negative impacts on both terrestrial and aquatic ecosystems. In response to the increased magnitude and frequency of stormwater runoff events, municipalities and local governments seek cost-effective strategies to mange the risks associated with these stormwater flows. The goal of a proposed interdisciplinary approach involves providing incentives for the construction of small-scale best management practices throughout a small urban watershed, leading to a cost-effective means to control stormwater runoff, and partially restoring a more natural hydrologic regime to a watershed area. Market mechanisms and other incentives have been suggested as plausible approaches to the reduction of stormwater runoff. Development and implementation of market mechanisms and incentives to reduce stormwater runoff, however, involves interdisciplinary considerations and issues. This paper develops an interdisciplinary view of the stormwater runoff issue, beginning with a brief description of stormwater runoff management from a hydrologic perspective. We then present a background on types of market instruments and their related incentives as a possible approach to reducing the risks associated with both the magnitude and frequency of recurrence for excess stormwater runoff flows. This is followed by an analysis of how the federal Clean Water Act and state water laws have dealt with stormwater issues. These perspectives and methods are synthesized to develop several stormwater management scenarios that include stormwater user fees, stormwater runoff charges, allowance markets, and voluntary offset programs. Each of these programs would likely incorporate stormwater best management practices at the watershed level, yet in different ways, and we discuss the opportunities and limitations borne out of our analysis of the legal, economic, and hydrologic considerations.

Record Details:

Record Type: DOCUMENT (JOURNAL/PEER REVIEWED JOURNAL)
Start Date: 04/01/2005
Completion Date: 04/01/2005
Record Last Revised: 01/30/2007
Record Created: 12/08/2004
Record Released: 12/08/2004
OMB Category: Other
Record ID: 104866

Organization:

U.S. ENVIRONMENTAL PROTECTION AGENCY

OFFICE OF RESEARCH AND DEVELOPMENT

NATIONAL RISK MANAGEMENT RESEARCH LABORATORY

SUSTAINABLE TECHNOLOGY DIVISION

SUSTAINABLE ENVIRONMENTS BRANCH