EEM1 (road infrastructure) Appendix 8 - External impacts

Introduction

This appendix deals with externalities (both monetised and non-monetised), and guidance is given on how these effects may be assessed, quantified and reported.

For some of the external effects, eg, noise, a standard monetary value is provided. These monetary values can be included in the benefit cost ratio as a useful way of comparing projects and project options. The inclusion of any other monetary values for external effects must be clearly set outin the project summary sheet and in any funding application to Land Transport NZ, and double counting of any benefits must be avoided.

Vehicle emissions impacts including CO₂ are contained in appendix A9.

Requirement to consider effects

There are requirements under both the Resource Management Act 1991 and the Land Transport Management Act 2003 to consider effects beyond those to the immediate users of transport facilities. The Resource Management Act requires a statement of effects of a project on the environment. All effects shall be fully described, including the scale and extent of the effects.

In respect to the Land Transport Management Act 2003, Land Transport NZ must be satisfied - when preparing its National Land Transport Programme - that the programme (and the activities within the programme) contribute in an efficient and effective manner to:

• assisting economic development
• assisting safety and personal security
• improving access and mobility
• protecting and promoting public health
• ensuring environmental sustainability

In order to assess the degree to which each project contributes to the above requirements, there are a number of evaluation factors against which project performance can be assessed. With respect to environmental sustainability, the evaluation factors can include the impact of a project on:

• air quality
• greenhouse gasses
• noise and vibration
• water environment (quality)
• landscape impacts, etc.

If there are significant effects that need to be taken into account in a project evaluation it is more appropriate for the analyst to use the full procedures rather than the simplified procedures.

The monetised and non-monetised impact summary sheet (worksheet A8.1) shall include all significant impacts identified in this statement of effects. Where there are no significant impacts this should be stated in the project summary sheet.

Extent of investigations required

The work required to describe and quantify monetised and non-monetised impacts will depend both on the likely severity of the effects and the difference between the effects of the existing situation and the effects of the various project options. It is possible that in some cases there will be no significant change to impacts resulting from a project. If this occurs, all that is required is a note to this effect.

If there is a significant difference between the monetised and non-monetised impacts of the project options, either in terms of their total effects or in the distribution of these effects, then these differences shall be described and where practicable quantified.

Where a project generates traffic the environmental effect of such induced traffic shall be assessed. An example may be a project to provide a shorter route. The fuel savings to existing traffic will provide environmental benefits (less emissions), but the shorter route may generate additional traffic, which in turn may have a negative environmental effect.

Wherever practicable, the scale of impact shall be measured in natural units, and the extent of the effects shall be quantified, eg, the number of persons affected.

In many cases, monetised and non-monetised impacts are not amenable to quantitative description. Accordingly, verbal qualitative descriptions shall also be presented, covering such issues as:

• historical background
• community attitudes
• characteristics of the area affected
• effects of the project.

Specialists in the appropriate disciplines may be required for the evaluation of significant monetised and non-monetised impacts. Public consultation and opinion surveys shall be undertaken for major projects.

Analysis of additional project costs

Analysis shall be undertaken to determine if the additional costs of higher cost options are justified by the additional benefits gained (refer to chapters 2 and 3). This approach shall be used to assess the cost effectiveness of any features of projects included to mitigate monetised and non-monetised impacts. It is not appropriate to arbitrarily include a range of mitigation features as part of the basic project if these features are not essential to the project.