Industrial pollution control in Peru: Assessment of priorities and proposal for public policy.

摘要

The absence of reliable and comprehensive systems of monitoring industrial pollution has been an obstacle for better environmental management in developing countries. Peru is not an exception. While there is some progress in environmental protection, industrial pollution control is lagging behind. This research assesses priorities in industrial pollution control in Peru, identifies sectors deserving most attention by the policy-maker to better allocate scarce resources, and proposes cost-effective industrial pollution policies.; Priority sectors are identified based on their contribution to total industrial pollution. This is achieved by applying the World Bank's Industrial Pollution Projection System (IPPS) with original firm-level data from the Peruvian Ministry of Industry. Among the priority sectors, which are essentially the same for Lima and Callao and the Provinces, two are selected: cement and chemicals.; To estimate an industrial pollution baseline in Peru is virtually impossible due to the absence of monitoring. This research uses unpublished results from the only scientific survey of effluents and emissions for Peruvian industries (1997) to estimate a baseline for the cement and chemicals sectors. The difference between the targets and the observed levels of pollution is significant, but concentrated on key pollutants. Three policies are proposed for priority sectors and key pollutants: (1) current standards for the cement sector; (2) modified standards for the cement sector and new standards for the chemicals sector; and (3) a combination of standards and pollution charges. These policies were evaluated using a cost-savings framework, estimating potential savings of applying market-based instruments vs. command and control mechanisms. Sectoral abatement costs are calculated using World Bank estimates and Peruvian plant-level data from the Ministry of Industry. The policy that includes a market-based instrument is considered the least-cost option for both sectors.; Empirically, this research provides projected industrial pollution intensities and sectoral pollution data for Peru, which will aid future research. In addition to providing unique data on industrial abatement costs, it calculates cost-savings for market-based instruments vs. command and control mechanisms. This dissertation also identifies opportunities for future industrial pollution control in Peru.