Assessment of the Economic Consequences of Riverbank Erosion: The Case of the South Morava River, Serbia

Landscape transformation, degradation and destruction are caused by fluvial processes as the predominant erosive processes in Serbia. The loss of arable land due to riverbank erosion is permanent, and the economic consequences are, therefore, especially pronounced. The primary aim of this study was to quantify the intensity of riverbank erosion in the lower part of the South Morava River (Serbia) during period 1924–2020, evaluate its economic consequences, and conduct a cost benefit analysis of revetment investments. The economic effects of riverbank erosion were analyzed by means of land loss and reduction in the quantity of agricultural production. An interdisciplinary research approach was applied using specific methodological procedures to calculate the riverbank erosion and soil (land) loss intensity (geographic information system-GIS), the economic consequences of riverbank erosion (ECRE), and the results of an investment decision-making model. The results showed that 202.6ha of arable land was lost during the observed period, the value of arable land loss was almost 622,000USD, and the loss in agricultural production was 7.5 million USD (discount rate 3.7%). The model is seen as the main research output and can be used for the assessment of long-term capital-intensive infrastructure projects in developing countries. The analysis identified the river segments that are economically viable for investments in riverbank revetments to preserve the largest area of fertile agricultural land. The results are especially valuable for river channel management, environmental planners and policy-makers, who deal with decisions regarding planning and the protection of bank erosion in areas of particular interest.