1 / 31

Social Impact Assessment of the Limestone Mining Industries in Local Communities of Korea

The 27 th Annual Conference International Association for Impact Assessment 6-9 June 2007, COEX Convention Center, Seoul, Korea. Social Impact Assessment of the Limestone Mining Industries in Local Communities of Korea. Daejin University Shin, Young Chul ycshin@daejin.ac.kr. Contents.

laraine
Download Presentation

Social Impact Assessment of the Limestone Mining Industries in Local Communities of Korea

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. The 27th Annual Conference International Association for Impact Assessment6-9 June 2007, COEX Convention Center, Seoul, Korea Social Impact Assessment of the Limestone Mining Industries in Local Communities of Korea Daejin University Shin, Young Chul ycshin@daejin.ac.kr

  2. Contents • Introduction☜ • Survey Method • Opinions about Strip Mining • Estimation of Damage Cost • WTP for Suggested Policies • Conclusion

  3. Introduction • Purpose • To reveal opinions about limestone mining(strip mining) • To quantify experiences of damage and damage cost • Use questionnaire survey method • Include non-use value as well as use value of natural resources

  4. Introduction • Fig. Strip mining of limestone in Korea

  5. Introduction • Limestone Mining in Kangwon Do • 92% of total limestone reserves • Over 95% of total cement product

  6. Introduction • Deforestation size due to limestone mining in Korea = 1,976 ha • Deforestation size of 3 cities (Donghae, Samcheok, Yeongwol) in Kangwon do = 1,274 ha (64.5% of total)

  7. Introduction • Damage types of limestone mining and cement industries • Deforestation due to strip mining • Health effects(mortality and morbidity) due to air pollution materials • Increases of disamenity and averting behavior cost • Damages of noise and shaking • Other damages

  8. Contents • Introduction • Survey Method☜ • Opinions about Strip Mining • Estimation of Damage Cost • WTP for Suggested Policies • Conclusion

  9. Survey Method • Survey #1: Inhabitants survey in limestone mining area • Population: Donghae city, Samcheok city, and Yeongwol gun in Kangwon Do • Sample size: 991 households • Survey method: person-to person interview • Principal questions: opinions about experience of damage due to limestone mining, minimum compensation

  10. Survey Method • Survey #2: Nationwide CVM(contingent valuation method) survey • Population: entire national households • Sample size: 1,000 households • Survey method: internet survey • Principal questions: opinions about limestone mining, willingness-to-pay(welfare measure) for suggested policies

  11. Survey Method • Contingent Valuation Method(CVM) • Economic Valuation Method of Non-maketed goods • Stated preference method( cf. revealed preference method, benefit transfer) • Direct questionnaire approach of asking a sample of individuals to state their maximum WTP for preserving an environmental asset or suggested policies

  12. Contents • Introduction • Survey Method • Opinions about Strip Mining☜ • Estimation of Damage Cost • WTP for Suggested Policies • Conclusion

  13. Opinions about Limestone Mining • Contribution or Damage of Limestone Mining to Local Communities

  14. Opinions about Limestone Mining • Damage Severity due to Limestone Mining

  15. Opinions about Limestone Mining • Most Serious Damage to Inhabitants

  16. Opinions about Limestone Mining • Minimum Compensation per Household

  17. Contents • Introduction • Survey Method • Opinions about Strip Mining • Damage Cost Estimation☜ • WTP for Suggested Policies • Conclusion

  18. Damage Cost Estimation • Deforestation with Mt. destruction • CVM to include use value & non-use value: 16,421 (10 thousand won)/ha • Total: 26,364 million won • Health effect1: cost of premature mortality • Benefit transfer: VSL(value of a statistical life) = 142,210 (10 thousand won) • Total: 3,857 million won

  19. Damage Cost Estimation • Health effect2: cost of illness • Unit costs of illnesses from inhabitants survey • Total: 4,289 million won • Cost of damages except health effects due to air pollution • Averting behavior cost, clearing cost, outdoor activity restriction, disamenity: inhabitants survey & benefit transfer • Total: 13,840 million won

  20. Damage Cost Estimation • Cost of noise and shaking • Benefit transfer: unit value of dB = 67,400 won • Total: 257 million won • Cost of other Damages • Unit costs from inhabitants survey • Total: 935 million won

  21. Damage Cost Estimation • Estimated Damage Costs per Year: 51,542M

  22. Contents • Introduction • Survey Method • Opinions about Strip Mining • Estimation of Damage Cost • WTPs for Suggested Policies☜ • Conclusion

  23. WTPs for Suggested Policies • Suggested Policies of CVM • Purchase the forest areas which have high value of preservation • Support systematic ecological restoration • Support alternative industrial development as a kind of restoration • Support damage mitigation and compensation

  24. WTPs for Suggested Policies • WTP Model for CV data • Random utility model (RUM) • Indirect utility function v(y, Z, q, ε) • v(y, Z, q1, ε) > v(y, Z, q0, ε) • V(y, Z, q1, ε) = v(y+CS, Z, q0, ε) • WTP =CS =CS(y, Z, q0, q1, ε) = X’β+ ε

  25. WTPs for Suggested Policies • Estimation method of WTP model

  26. WTPs for Suggested Policies • Allocation Ratios of WTP for Suggested Policies

  27. WTPs for Suggested Policies • WTP per year for suggested policies: 79,549M

  28. Contents • Introduction • Survey Method • Opinions about Strip Mining • Estimation of Damage Cost • WTP for Suggested Policies • Conclusion☜

  29. Conclusion • Questionnaire Survey Method: useful to assess social impact • Reveal opinions about specific issues • Estimate damage costs of a region using benefit transfer • Estimate WTPs for suggested policies or preserving natural asset using CVM • benefit cost analysis of specific issues

  30. Conclusion • Benefit Cost Analysis • Total damage cost of limestone mining in 3 cities = 51,542 million won per year • WTP for suggested policies = 79,549 million won per year • Implementing the suggested policies is needed to improve national welfare

  31. Thank you !

More Related