Non-market values and benefit transfer tool (IRP2-WP2)
This work package will update the collation of existing non-market valuation information and develop a benefit transfer tool. It is not always possible or appropriate to conduct original non-market valuation studies. Benefit transfer is the systematic extrapolation of existing non-market valuation results to new contexts. Its main attraction is that it saves on cost, relative to conducting original studies for every case where a decision is needed. Using benefit transfer methods, findings (values, functions) from the original study site are transferred to the site where benefits need to be calculated. If carefully conducted, benefit transfers have the potential to provide a reasonable approximation of the value for situations that lack an original non-market valuation study. There are different methods to conduct benefit transfer: meta-analysis, function transfer and unit value (means) transfer. Each of these methods have their strengths and weaknesses.
The following two tasks will be carried out to develop an efficient and rigorous system for transferring or extrapolating values to new contexts.
- Updated comprehensive database of existing non-market values of water sensitive practices:
We will take the collation of studies and results from WP1.1 and include them in a database that allows them to be easily and efficiently accessed. We will add relevant studies to the database that have been conducted outside the CRC since we reviewed the literature in Tranche 1. The processed data will be used to underpin various benefit-transfer methods. The database will be designed in a way that is easy to update to allow the system to be maintained into the future (preferably as an online system), beyond the life of the CRC. Moreover, a number of original nonmarket valuation studies will be conducted as part of the case studies to test the tools and framework (see WP5 for further details). The database will be continuously updated as new information is generated.
- Development of benefit-transfer guidelines:
There is growing literature on benefit transfer. The UWA team has existing close links and collaborations with some of the world experts in these methods: Prof Rob Johnston from Clark University, USA; Prof Peter Boxall from University of Alberta; and Prof John Rolfe from Central Queensland University (Johnston et al. 2015). We will work with these experts to develop accessible guidelines for end users on how to conduct benefit transfer for water sensitive practices, including choosing appropriate methods for the particular context. The guidelines will be tested with the stakeholders and adapted accordingly.