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Are the Costs of Cleaning Up Eastern Europe Exaggerated? Economic Reform and the Environment

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  • Hughes, Gordon

Abstract

Widespread concern has been expressed that the costs of reducing environmental pollution in Eastern Europe will divert resources that would otherwise be available for industrial modernization. In fact, apart from a number of severely damaged areas, the general level of exposure to major pollutants in Eastern Europe is not high by comparison with the OECD countries. Even without specific environmental policies the process of general economic reform, together with the energy conservation induced by higher energy prices, will reduce emissions by nearly 50%. A modest fraction of general investment in industrial modernization will deal with the remaining problems of current emissions provided that sensible systems of environmental charges are enforced. The countries will then be faced with the problem of cleaning up the aftermath of past industrial activity, but as in other countries, this can be tackled over an extended period.

Suggested Citation

  • Hughes, Gordon, 1990. "Are the Costs of Cleaning Up Eastern Europe Exaggerated? Economic Reform and the Environment," CEPR Discussion Papers 482, C.E.P.R. Discussion Papers.
  • Handle: RePEc:cpr:ceprdp:482
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    Cited by:

    1. Jorge H. García & Randy Bluffstone & Thomas Sterner, 2009. "Corporate Environmental Management in Transition Economies: The Case of Central and Eastern Europe," Czech Journal of Economics and Finance (Finance a uver), Charles University Prague, Faculty of Social Sciences, vol. 59(5), pages 410-425, December.
    2. P.G. Hare, 1996. "Privatization and Regulation of Public Utilities in Latvia," CERT Discussion Papers 9615, Centre for Economic Reform and Transformation, Heriot Watt University.
    3. Tokunaga, Masahiro, 2020. "Regime Change and Environmental Reform: A Systematic Review of Research on Central and Eastern Europe," CEI Working Paper Series 2019-10, Center for Economic Institutions, Institute of Economic Research, Hitotsubashi University.
    4. Poputoaia, Diana & Bouzarovski, Stefan, 2010. "Regulating district heating in Romania: Legislative challenges and energy efficiency barriers," Energy Policy, Elsevier, vol. 38(7), pages 3820-3829, July.
    5. Alan fnKrupnick & Kenneth fnHarrison & Eric fnNickell & Michael fnToman, 1996. "The value of health benefits from ambient air quality improvements in Central and Eastern Europe: An exercise in benefits transfer," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 7(4), pages 307-332, June.
    6. Adam Fagin, 2001. "Environmental Capacity Building in the Czech Republic," Environment and Planning A, , vol. 33(4), pages 589-606, April.
    7. Tomasz Żylicz, 1995. "Cost-effectiveness of air pollution abatement in Poland," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 5(2), pages 131-149, March.
    8. Grzegorz Peszko & Tomasz Żylicz*, 1998. "Environmental Financing in European Economies in Transition," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 11(3), pages 521-538, April.

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