Approaches to environmental valuation

A2.5 For initial estimates of environmental impacts, or valuing secondary impacts, Defra's Environmental Valuation Look-up Tool provides access to environmental valuation evidence. These indicative values should be combined with changes in the physical quantity of the environmental good or impact under consideration.

A2.6 The Look-up Tool provides a starting point for scoping the requirements for more robust valuation, such as appropriate Value Transfer methods or commissioning bespoke economic valuation studies. Value Transfer refers to the use of existing economic valuation evidence in a new appraisal context.23 Other sources for Value Transfer include:

the international Environmental Valuation Reference Inventory which contains over 400 UK environmental valuation studies

the Forestry Commission's searchable Woodland Valuation Tool which collates all valuation studies relevant to the various services provided by woodland

A2.7 The following sections summarise valuation approaches and provide indicative estimates for specific environmental services and effects. A primary valuation study may be justified where there is no relevant valuation evidence and environmental benefits are critical to decision making.

_________________________________________________________________________________

23 Further information on Value Transfer methods is available on the DEFRA web pages.