Abstract:

The goals of the economic valuation of air pollution are to identify the determinant of health cost, to estimate the benefit of reducing recorded measurement of air pollution to 10 percent and 25 percent, and to map the air pollution overlaying population density.

This study is using dose response method to estimated the impact of human health because of pollution and exposure response method to calculate the impact of population change toward pollution change. The methods are adopted by Ostro (1994) and Cesar (2002). It is also applying Geography Information System to map air pollution and density. The data for this study are Yogyakarta population and density, PM10 and lead ambient, and PM10 and lead emission. Economic valuation needs data of America’s health cost in 2003, America’s GNP per capita; Indonesia’s GNP per capita (for calculating purchasing power parity), and exchange rate (Rupiah to US Dollar). This study requires the data, obtained in 2003.

The increase of PM10 affects the health-care cost required, which will be Rp 2,573,540,396,643,- and by the increase of lead pollutant, the health cost will be Rp 1,264,768,013,751,-. By reducing 10 percent of PM10 in the air, the health cases will be reduced in the number of 48.430.645 cases and consequently it will save Rp 884,489,615,877,- and similarly by reducing 25 percent of PM10 will prevent 121,380,982 cases which means Rp 2,216,749,302,116,- will not be required. Reducing 10 percent of lead, will reduces 61,577 cases which means Rp. 34,334,486,510,- will be saved and reducing 25 percent lead may prevent 153,942 cases which means Rp. 85,836,216,275,- will be saved. The spatial analysis elaborates that the density does not influence much the air pollutant in Yogyakarta.

Full paper:

Economic Valuation of Emission Impact to Human Health in Yogyakarta [.doc, 164.3Kb]