Analysis of the Environmental Situation in Kosovo by the World Bank
12 June 2012
12.06.2012 - The World Bank has published an analysis of the environmental situation in Kosovo. This analysis focuses on the assessment of the cost of environmental degradation, institutional review, and review of public spending on the environment. The objective of this analysis is to report on the state of the environment and key environmental issues, and to calculate their health and economic costs. The analysis uses evidence from international epidemiological research on the relationships between the population exposed to environmental pollution and the increased risk of health impacts, to the diseases arising from environmental issues in Kosovo and their economic impact.
The cost is measured, for example, as the impact on health (morbidity and early mortality), and the cost is expressed as the annual cost of economic damage in euros and as a percentage of gross domestic product (GDP). By assigning a monetary value to environmental degradation, results have been achieved through the analysis. This analysis presents a useful mechanism for ranking the social costs of different forms of degradation and provides a tool for setting priorities regarding environmental issues. It offers policymakers an instrument to integrate the environment into economic decision-making. The assessment emphasizes the cost of damage as a percentage of GDP, thus enabling comparisons with other economic indicators, and gives various actors a tool for discussion regarding the importance of environmental protection in economic terms, which is useful for making decisions about the allocation of scarce resources and for raising
raise awareness about the cost of inaction regarding major environmental problems. The annual cost of environmental degradation in Kosovo was estimated at 123 million - 323 million in 2010, with an average calculation of 222 million. This cost is equivalent to 2.9-7.7% of GDP, with an average of 5.3%. The cost represents only an indication, not exact figures, due to a significant lack of data.
The report highlights that with annual environmental degradation expenses of 221 million euros, Kosovo is facing very serious social and economic impacts from polluting activities and would benefit greatly from corrective actions to protect and restore environmental quality. Air quality could be significantly improved and health impacts mitigated if the main polluters comply with laws and standards for air emissions, particularly from stationary pollution sources.
The cost of air pollution in urban areas, with the most severe health impact caused by particles that are responsible for mortality from cardiopulmonary diseases and lung cancer, as well as for chronic bronchitis and respiratory diseases, which have the greatest impact in relation to the cost ranging from 37 million to 158 million per year (0.89-3.76% of GDP). Air pollution is estimated to cause 835 premature deaths, 310 new cases of chronic bronchitis, 600 hospital admissions, and 11,600 emergency visits each year.