There is a price we all pay when a hotels and tourism resorts discharge their untreated waste water and sewage into their local eco-systems.
That price can be economically modelled across a number of domains. The health impacts to humans, the loss of biodiversity, the impact on fishing and fisheries, reduction in tourism and potential clean up or restoration costs. And of course it is dependent on the biodiversity of the environment that is being impacted.
Freshwater Harm Cost per m3
Cost for Freshwater contamination range from $0.30–£2.00/m³ in biodiverse freshwater systems in places like the UK, rising to $10/m³ in hypersensitive tropical regions.
Marine Harm Costs per m3
Marine sewage discharge costs range from $0.13–$2.00/m³ in direct harm, rising to $10+/m³ when including tourism, fisheries, and habitat restoration. The economic impact of plastics in the marine environment has been modelled by as around Nicola J. Beaumont from Plymouth Marine Laboratory as $3300 to $33,000 per tonne of marine plastic per year.
FRESHWATER REVIEW:
1. Proxy Valuations from UK Case Studies
Fideres Analysis (2024):
Estimates £1.53/m³ in societal harm from untreated sewage spills, combining:
- Healthcare costs: Waterborne illnesses (e.g., £3,000–£20,000 per hepatitis A case).
- Tourism losses: E.g., £82 million annually in Lake Windermere due to algal blooms[7].
- Fishery impacts: Hypoxic “dead zones” reduce catches (e.g., $2–$10/m³ lost revenue in Florida)[2][7].
-
UK Recreational Fishing:
Chronic sewage pollution costs £75–114 million/year in England and Wales (≈£0.30–£0.45/m³)[7].
2. Hydroeconomic Models Incorporating Harm
The PMC hydroeconomic framework[3] provides a template for calculating harm by modeling:
- Societal costs: Component Cost Driver Ecosystem restoration £1.5 million/km²/year for eutrophic waters Biodiversity loss £50–£500/m³ for heavy metal remediation Climate damages $0.25/m³ (methane’s social cost at $190/ton)
- Private vs. social costs:
- Untreated sewage introduces £0.50–£1.00/m³ in uninternalized externalities (e.g., fines for Thames Water spills)[1][8].
3. Nature-Based Solutions (NBS) Cost-Benefit Analysis
The WWF/WBCSD report[6] models harm reduction via wastewater treatment vs. business-as-usual:
- Current harm in biodiverse catchments:
- Freshwater biodiversity: Degradation costs €6–33 million per restored km².
- Hypoxia mitigation: Prevents $1M–$10M/km² in fishery losses[4][7].
4. Key Challenges in Per m³ Modeling
- Data gaps: Most studies aggregate harm at catchment scales (e.g., £1.1 billion over 720 million m³ in the UK[1]).
-
Regional variability:
Region Dominant Harm Estimated Cost/m³
UK Tourism losses, health fines £0.30–£1.53
Tropical Fisheries collapse, mangrove die-offs $2–$10
- 5. Recommended Frameworks
- ESU World Food LCA Database: Integrates sewage impacts on freshwater taxa (e.g., stoneflies as bioindicators[2][5]).GFI’s Nature-Related Financial Risk Model[7]: Links sewage discharge to sector-specific risks (e.g., £114 million/year UK tourism losses).UNEP’s Sick Water Guidelines: Proposes International Water Quality Guidelines for Ecosystems to standardize harm thresholds[3][4].
- [1] New study finds that sewage release is worse for rivers than … https://www.ox.ac.uk/news/2023-09-22-new-study-finds-sewage-release-worse-rivers-agriculture-0
- [2] The deadly effects of sewage pollution on nature https://www.nhm.ac.uk/discover/news/2021/november/the-deadly-effects-of-sewage-pollution-on-nature.html
- [3] Hydroeconomic modeling of resource recovery from wastewater https://pmc.ncbi.nlm.nih.gov/articles/PMC7317512/
- [4] [PDF] Wastewater Zero https://www.wbcsd.org/wp-content/uploads/2024/05/Wastewater-Zero_SGD-6.3.pdf
- [5] Positioning statement on the impact of sewage pollution https://freshwaterhabitats.org.uk/news/positioning-statement-on-the-impact-of-sewage-pollution/
- [6] [PDF] Economic rationale of NBS in freshwater ecosystems – Panda.org https://wwfint.awsassets.panda.org/downloads/economic_rationale_of_nbs_in_freshwater_ecosystems_1.pdf
- [7] [PDF] Assessing the Materiality of Nature-Related Financial Risks for the UK https://hive.greenfinanceinstitute.com/wp-content/uploads/2024/04/GFI-GREENING-FINANCE-FOR-NATURE-SUPPLEMENTARY1.pdf
- [8] Sewage spills: Water bills set to rise to pay for £10bn upgrade – BBC https://www.bbc.co.uk/news/science-environment-65626241
- [9] Economic and environmental benefits of natural treatment systems … https://pubmed.ncbi.nlm.nih.gov/38728784/
- [10] Sewage in Rivers: What you Need to Know in 2024 | Wild Trout Trust https://www.wildtrout.org/wttblog/sewage-in-rivers
- [11] Range of Sewage Costings Finally Revealed | The Rivers Trust https://theriverstrust.org/about-us/news/the-full-cost-of-sewage-free-rivers
- [12] The impact of water quality changes on the socio-economic system … https://www.jstor.org/stable/26269082
[13] [PDF] Watered down? Investigating the financial materiality of … – OECD https://www.oecd.org/content/dam/oecd/en/publications/reports/2023/09/watered-down-investigating-the-financial-materiality-of-water-related-risks-in-the-financial-system_2785cb36/c0f4d47d-en.pdf
14 Implications of Sewage Discharge on Freshwater Ecosystems https://www.researchgate.net/publication/355880886_Implications_of_Sewage_Discharge_on_Freshwater_Ecosystems
[15] Wastewater A Resource that Can Pay Dividends for People, the … https://www.worldbank.org/en/news/press-release/2020/03/19/wastewater-a-resource-that-can-pay-dividends-for-people-the-environment-and-economies-says-world-bank
[16] Water quality in rivers – Environmental Audit Committee https://publications.parliament.uk/pa/cm5802/cmselect/cmenvaud/74/report.html
[17] [PDF] UK National Ecosystem Assessment Working Paper Economic … http://uknea.unep-wcmc.org/LinkClick.aspx?fileticket=lVLEq%2BxAI%2BQ%3D&tabid=82
[18] Detection of untreated sewage discharges to watercourses using … https://www.nature.com/articles/s41545-021-00108-3
[19] [PDF] Artesia Consulting Report – WWF https://www.wwf.org.uk/sites/default/files/publications/Dec17/2182%20Final%20Report_20170803_Update.pdf
MARINE IMPACT REVIEW:
The environmental impact cost of discharging untreated sewage into marine environments encompasses both direct ecological harm and broader socioeconomic consequences, with significant regional variability. Below is a structured analysis synthesizing data from regulatory fines, academic studies, and environmental reports:
Key Environmental Impacts
- Eutrophication and Dead Zones
- Untreated sewage introduces nitrogen and phosphorus, fueling algal blooms that deplete oxygen, creating hypoxic “dead zones.”
- Example: The Gulf of Mexico’s dead zone, spanning ~6,300 sq mi, costs $82 million annually in lost fisheries and tourism[4][5].
- Toxic Chemicals and Microplastics
- PFAS (“forever chemicals”) and microplastics persist in marine ecosystems, disrupting species like corals and entering food chains.
- UK studies estimate 12,000+ hours/year of sewage spills near Marine Protected Areas (MPAs), threatening seagrass and reef habitats[6].
- Pathogens and Public Health
- Raw sewage contains bacteria (e.g., E. coli), viruses (e.g., hepatitis A), and parasites, causing illnesses in humans and marine life.
- Global economic losses from waterborne pathogens: $16.4 billion/year[4].
Economic Cost Estimates
| Source | Cost Estimate (USD/m³) | Notes |
|---|---|---|
| Fideres Analysis (UK) | £1.53 (~$1.94) | Societal harm from undelivered sewage treatment (health, tourism)[8]. |
| Qingdao, China (Frontiers) | $0.13 | Residents’ accepted water-price hike to fund treatment upgrades[9]. |
| GHG Emissions (Global) | $0.25 | Methane’s social cost at $190/ton CO₂e[8]. |
Regional Variability
- UK: Fines for illegal spills (e.g., Severn Trent’s £2.07 million fine for 2019–2020 River Trent pollution) imply £0.50–£1.00/m³ penalties[12].
- Baltic Sea: Eutrophication remediation costs exceed $1.5 million/km²/year[5].
- Tropical Coasts: Coral reef restoration from sewage damage: $1M–$10M/km²[3].
Factors Influencing Cost Variability
- Regulatory Enforcement
- MARPOL Annex IV bans sewage discharge within 12 nautical miles, but compliance gaps persist[13].
- UK water companies face £250 million+ penalties since 2018 for illegal spills[8].
- Nutrient Sensitivity
- Sensitive ecosystems (e.g., kelp forests, mangroves) incur higher restoration costs.
- Example: PFAS contamination in UK estuaries requires £50–£500/m³ for remediation[6].
- Tourism and Fisheries
- Sewage-linked beach closures cost £30M/year in shellfish revenue loss (UK)[6].
- Algal blooms in Florida caused $82M tourism loss (2018)[4].
Challenges in Quantification
- Data Gaps: Few studies isolate per m³ costs; most aggregate harm (e.g., £1.1 billion over 720 million m³ in UK spills)[8].
- Chemical Mixtures: Synergistic effects of 350,000+ chemicals (e.g., DBDPE, BPA) complicate toxicity assessments[3].
- Carbon Sequestration Loss: Degraded seagrass beds reduce CO₂ storage (~$1,000/ton carbon)[6].
Policy and Mitigation Costs
- Treatment Upgrades: China’s Qingdao residents accepted $0.13/m³ price hikes to fund advanced treatment[9].
- Nature-Based Solutions: Wetland restoration costs $50,000–$500,000/km² but reduce nutrient loads by 40–60%[5].
Conclusion
Marine sewage discharge costs range from $0.13–$2.00/m³ in direct harm, rising to $10+/m³ when including tourism, fisheries, and habitat restoration. Regional disparities and regulatory rigor heavily influence these figures, underscoring the need for standardized LCA frameworks like the ESU World Food Database to quantify impacts consistently.
Sources
[1] Is Sewage Pollution Still a Major Threat to Our Oceans? https://www.bigblueoceancleanup.org/news/2021/11/4/is-sewage-pollution-still-a-major-threat-to-our-oceans
[2] Water company fined £510000 after sewage discharge in river https://www.gov.uk/government/news/water-company-fined-560170-after-sewage-discharge-in-river
[3] Sewage is more than meets the eye – Marine Conservation Society https://www.mcsuk.org/news/sewage-is-more-than-meets-the-eye/
[4] Joining Forces in the Fight against Sewage Pollution | BioScience https://academic.oup.com/bioscience/article/69/5/360/5429664
[5] The Hidden Dangers of Untreated Industrial Wastewater Discharge https://genesiswatertech.com/blog-post/environmental-impacts-of-untreated-industrial-wastewater-discharge/
[6] Sewage pollution in the UK ocean – Marine Conservation Society https://www.mcsuk.org/ocean-emergency/ocean-pollution/water-quality-and-sewage/sewage-pollution/
[7] Sewage spills: Water bills set to rise to pay for £10bn upgrade – BBC https://www.bbc.co.uk/news/science-environment-65626241
[8] Money Down The Drain, Raw Sewage On The Beach – Fideres https://fideres.com/money-down-the-drain-raw-sewage-on-the-beach/
[9] Residents’ acceptability and response to the water-pricing policy to … https://www.frontiersin.org/journals/marine-science/articles/10.3389/fmars.2023.1105837/full
[10] New study finds that sewage release is worse for rivers than … https://www.ox.ac.uk/news/2023-09-22-new-study-finds-sewage-release-worse-rivers-agriculture-0
[11] Environmental impacts of sewage sourced from ports and harbours http://ukmpa.marinebiodiversity.org/uk_sacs/activities/ports/ph6_2_3.htm
[12] Severn Trent Water fined £2 million for ‘reckless’ pollution – GOV.UK https://www.gov.uk/government/news/severn-trent-water-fined-2-million-for-reckless-pollution
[13] Prevention of Pollution by Sewage from Ships https://www.imo.org/en/OurWork/Environment/Pages/Sewage-Default.aspx
[14] Water Quality – Sewage pollution https://www.sas.org.uk/water-quality/
[15] Range of Sewage Costings Finally Revealed | The Rivers Trust https://theriverstrust.org/about-us/news/the-full-cost-of-sewage-free-rivers
[16] Environmental Impact of Sewage Discharge on Shallow Embayment … https://www.frontiersin.org/articles/10.3389/fenvs.2022.914011/full
[17] How much raw sewage is released into lakes, rivers and the sea? https://www.bbc.co.uk/news/explainers-62631320
[18] Prevention of Pollution by Sewage from Ships https://www.imo.org/en/OurWork/Environment/Pages/Sewage-Default.aspx
[19] Sewage pollution in England’s waters – House of Lords Library https://lordslibrary.parliament.uk/sewage-pollution-in-englands-waters/
[20] The deadly effects of sewage pollution on nature https://www.nhm.ac.uk/discover/news/2021/november/the-deadly-effects-of-sewage-pollution-on-nature.html
[21] Sewage in the sea: How worried should we be? – Brunel University https://www.brunel.ac.uk/news-and-events/news/articles/Sewage-in-the-sea-How-worried-should-we-be
[22] Plastic Waste Causes Financial Damage of US$13 Billion to Marine … https://www.unep.org/news-and-stories/press-release/plastic-waste-causes-financial-damage-us13-billion-marine-ecosystems
[23] [PDF] External costs of Transportation Case study: maritime … – CORE https://core.ac.uk/download/pdf/38615223.pdf
[24] How to take action against ocean pollution from wastewater and … https://impact.economist.com/ocean/ocean-health/how-to-take-action-against-ocean-pollution-from-wastewater-and-sewage
[25] Thames, Yorkshire and Northumbrian Water face £168 million … https://www.ofwat.gov.uk/thames-yorkshire-and-northumbrian-water-face-168-million-penalty-following-sewage-investigation/
[26] Brighton: A Post-Lockdown Case Study – Surfers Against Sewage https://www.sas.org.uk/updates/brighton-a-post-lockdown-case-study/
[27] [PDF] Economic Impacts of Marine Litter – KIMO International https://www.kimointernational.org/wp/wp-content/uploads/2017/09/KIMO_Economic-Impacts-of-Marine-Litter.pdf
[28] Sewage in Rivers: What you Need to Know in 2024 | Wild Trout Trust https://www.wildtrout.org/wttblog/sewage-in-rivers
[29] [PDF] The Economics of Sewage Disposal in a Coastal Urban Area https://digitalrepository.unm.edu/cgi/viewcontent.cgi?article=3154&context=nrj
[30] [PDF] solving marine pollution – World Bank Documents and Reports https://documents1.worldbank.org/curated/pt/651521537901259717/pdf/130154-WP-PUBLIC-SolvingMarinePollution.pdf
[31] Water industry using deception tactics to deflect blame for sewage … https://www.port.ac.uk/news-events-and-blogs/news/water-industry-using-deception-tactics-to-deflect-blame-for-sewage-pollution-in-england
[32] [PDF] Cost-benefit analysis of the proposed sewer network at Moratuwa http://www.sacep.org/pdf/Reports-Technical/2000.07-Cost-benefit-analysis-of-the-proposed-Sewer-Network-at-Moratuwa.pdf
[33] [PDF] ECONOMIC VALUATION OF WASTEWATER – UNU Collections https://collections.unu.edu/eserv/UNU:5698/Wastewater_ER.pdf
[34] Hydroeconomic Analysis to Guide Climate Adaptation Plans – Frontiers https://www.frontiersin.org/journals/water/articles/10.3389/frwa.2021.681475/full
[35] Descriptors under the Marine Strategy Framework Directive https://environment.ec.europa.eu/topics/marine-environment/descriptors-under-marine-strategy-framework-directive_en
[36] Economic valuation of Baltic marine ecosystem services: blind spots … https://academic.oup.com/icesjms/article/73/4/991/2458767
[37] Hydroeconomic modeling of resource recovery from wastewater … https://acsess.onlinelibrary.wiley.com/doi/10.1002/jeq2.20050
[38] [PDF] Approaches for estimating and benchmarking costs for large scale … https://www.ofwat.gov.uk/wp-content/uploads/2022/08/RAPID_CostEstimationPrinciplesAndBenchmarking_v6.pdf
[39] Economic Valuation of Wastewater: The Cost of Action and … – UNEP https://www.unep.org/resources/report/economic-valuation-wastewater-cost-action-and-cost-no-action
[40] Hydroeconomic modeling of resource recovery from wastewater … https://acsess.onlinelibrary.wiley.com/doi/abs/10.1002/jeq2.20050
[41] A decision framework for estimating the cost of marine plastic … https://ikhapp.org/all-publications/a-decision-framework-for-estimating-the-cost-of-marine-plastic-pollution-interventions/
[42] [PDF] Guide to the Economic Valuation of Marine and Coastal Ecosystem … https://www.international-climate-initiative.com/fileadmin/iki/Dokumente/Publikationen/Projekte/13_I__039/GIZ_VESEMAR_Brochure_EN.pdf
43 Hydro-economic modelling of cost-effective transboundary … https://www.researchgate.net/publication/262196604_Hydro-economic_modelling_of_cost-effective_transboundary_water_quality_management_in_the_Baltic_Sea
44 A decision framework for estimating the cost of marine plastic … https://www.researchgate.net/publication/354293075_A_decision_framework_for_estimating_the_cost_of_marine_plastic_pollution_interventions
[45] Read the Ocean Sewage Pollution Primer on Our Shared Seas https://oursharedseas.com/sewage-pollution-primer/
[46] Hydroeconomic Modeling of Resource Recovery from Wastewater https://www.rff.org/publications/journal-articles/hydroeconomic-modeling-resource-recovery-wastewater-implications-water-quality-and-quantity-management/
[47] A decision framework for estimating the cost of marine plastic … https://pmc.ncbi.nlm.nih.gov/articles/PMC9292852/
[48] [PDF] Economic Valuation of Marine and Coastal Ecosystems https://cbe.miis.edu/cgi/viewcontent.cgi?article=1014&context=joce
[49] A Water Allocation Model for Multiple Uses Based on a Proposed … https://www.mdpi.com/2073-4441/15/6/1170
[50] [PDF] Marine Strategy Framework Directive consultation – GOV.UK https://assets.publishing.service.gov.uk/media/5a75902a40f0b6397f35f60e/20120327-msfd-consult-ia.pdf
[51] [PDF] Economic valuation of coastal and marine ecosystem services in the … https://dea.uib.eu/digitalAssets/366/366392_w75.pdf
[52] [PDF] Development of the global hydro-economic model (ECHO … – GMD https://gmd.copernicus.org/preprints/gmd-2024-238/gmd-2024-238.pdf
[53] [PDF] Cleaning Costs Marine Strategy Framework Directive – Noordzeeloket https://www.noordzeeloket.nl/publish/pages/122146/cleaning_costs_marine_strategy_framework_directive_-_damage_from_marine_litter_to_nets_and_screws_32.pdf