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J. Grames, R. Brouwer, K. Van Meter, N. Basu, A. Fürnkranz-Prskawetz:
"Optimal abatement of phosphorus eutrophication within a general equilibrium framework";
Vortrag: 4th Water Research Conference, Waterloo, Kanada; 10.09.2017 - 14.09.2017; in: "4th Water Research Conference: The Role of Water Technology Innovation in the Blue Economy", (2017).

Eutrophication is the most important and most `wicked´ water quality problem in the Grand River Watershed draining into Lake Erie. The proposed model describes phosphorus loads and possible wastewater treatment technologies embedded in an economic modelling framework. The optimal level of pollution abatement is found based on the economic trade-off between the costs of pollution abatement from the implementation of new wastewater treatment technology and the avoided environmental damage costs caused by phosphorus loading in the water bodies and consequent eutrophication. The wastewater treatment technologies considered in this study include direct application of sewage sludge, the Ostara Pearl Reactor®, the Stuttgart process, and the application of EcoPhos®. To support economically optimal policy and decision-making, we run an economic general equilibrium model and investigate the impact of the implementation of new wastewater treatment technology on market prices and quantities. In addition to wastewater treatment, we distinguish between crop farming and animal husbandry in the watershed. Farmers sell their food products to residential households living in the watershed, who optimize their utility from food consumption but also attach value to environmental water quality, or as fodder from crop production to the animal husbandry sector. Farmers can choose to receive phosphorus fertilizer from the wastewater treatment plant or buy mineral fertilizer from the fertilizer industry.
The choice of abatement technology does not only influence the environmental water quality directly, but also indirectly via the farmers fertilizer choice based on market prices and household consumption behaviour. Based on the developed modelling framework we obtain strategies to reduce phosphorus loads in the water bodies considering the complex feedback dynamics between polluting economic activities, the built-up of nutrient legacies in agricultural soils and environmental water quality.

phosphorus, general equilibrium, recycling, eutrophication, fertilizer

http://publik.tuwien.ac.at/files/publik_263375.pdf