First published by Essex Chambers Barristers on 25 July 2024. The entire article is available at https://essexcourt.com/publication/quantification-of-environmental-damages-in-large-scale-environmental-disasters/.
This co-authored paper examines the complex task of quantifying environmental damage in large-scale environmental disasters. In the first part, barristers Angeline Wells KC and Grace Freer of Essex Courtroom examine what can be learned from the limited case law on the approach that courts may take to assessing environmental damage. In the second part, expert economists Ravi Kanabar and Dr. Meluria Meschi from FTI Consulting introduce the basic concepts, frameworks and techniques used by economists to determine the monetary value of environmental assets and explain their merits and limitations.
We discuss the total economic value (“TEV”) framework, which includes both use and non-use values of environmental assets, and the ecosystem services approach, which focuses on the benefits provided by ecosystems. It is focused for humans. We describe the components of calculating compensatory damages, and then examine various techniques used to quantify these components, including revealed preference analysis, stated preference analysis, and value transfer methods. We emphasize the need for a multidisciplinary approach, combining legal and economic expertise, to develop robust and specific assessments that address the unique complexities of each disaster.
Authors: Dr. Meloria Meschi, Ravi Kanabar, Angeline Welch KC, Grace Freer
Reprinted with permission from Essex Chambers Barristers. © 2024