Nevertheless, this calculation provides a rough indication of the relative magnitudes of environmental externalities and cost savings.
When economic values are assigned to the mortality and morbidity outcomes as described above, the environmental externalities averted through increased insulation amount to approximately $1.3 billion per year.
What is needed is a planned transition to a resource-based economy where each resource is correctly priced, waste is punished and all environmental externalities are internalised.
Government may compel utilities to internalize the cost of environmental externalities in all planning and decision-making.
It may delay regulatory process, undervalue the true cost benefit of environmental externalities, and may reduce market incentives to developing advanced treatment technologies.
Since the early 1970s, Hydro-Québec has been aware of the environmental externalities of its operations.
Grazi et al. (2007) have performed a systematic comparison of the ecological footprint method with spatial welfare analysis that includes environmental externalities, agglomeration effects and trade advantages.
I therefore propose that the issue must hinge on the production of energy from renewable sources, because this is the sector that requires the fewest environmental externalities.
One of the most important objectives of any sustainable development policy is to internalise environmental externalities into the economy.
The concept of ecoflation focuses on having environmental externalities of business be the burden of the organization/business responsible, rather than costs being allocated to the public in general.