Cost-effective analysis of local policy measure to improve air quality in Stockholm: an exploratory study

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Chuan-Zhong Li

This report is a result of the research undertaken in the project TESS - Traffic Emissions, Socioeconomic valuation and Socioeconomic measures. In this report, we have studied the cost-effectiveness of particulate matter (PM) reductions from local emission sources in the Stockholm area. The input in the analysis is cost and effectiveness data collected from other studies and reports on reductions in emissions from traffic and residential heating. Contrary to other cost-effectiveness studies we have also included abatement measures where the effect is mainly due to adaptations in behavior. One example is congestion charging that we have assumed have a zero cost. We have also investigated the effect of different targeting strategies. Either the focus is on achieving air quality limit values for PM10 or the focus is on improvement in human health. In the first case we have assumed that the aim is to reduce emissions of PM10. In the second case the aim has been formulated as a reduction of the number of years of life lost (YOLL) in the population that would result if we reduce the concentrations of particulate matter in the city. The cost-effective analysis is done with a simple linear programming model. According to our results, congestion charging, a change to low-emission vehicles and installation of accumulator tanks are the least cost abatement measures irrespective of the target used in the analysis. For congestion charging and low-emission vehicles this is due to the assumption made that the abatement cost is zero. Thereafter however, the choice of measures depends on the choice of target. While less use of studded tires is efficient in order to reduce PM10 emissions, this is not a measure that has a large impact on the reduction of YOLL. This result relies on the assumptions made regarding the mortality impact of non-exhaust PM versus combustion PM.

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