- Title
- Investigating the value of keeping options open for water infrastructure in the Lower Hunter, New South Wales
- Creator
- Rust, Steven; Silberberg, Ben; Turner, Emma; Sharp, Basil
- Relation
- Utilities Policy Vol. 62, Issue February 2020, no. 100980
- Publisher Link
- http://dx.doi.org/10.1016/j.jup.2019.100980
- Publisher
- Elsevier
- Resource Type
- journal article
- Date
- 2020
- Description
- Policy discussions around the world have increasingly focused on the need for resilient water and wastewater systems. The use of small-scale, ‘incremental’, measures that maintain substitutability in investment choices can improve a system's adaptability. Using past shifts/shocks, we estimate an option value for unforeseen events that can change the yield-demand balance for potable supply. For a hypothetical dam, we find avoided costs ranging from $11.1 m to $78.1 m for amounts of extra time ranging from one to ten years; and for a permanent desalination plant, the avoided costs ranged from $33.6 m up to $234.7 m for the same amounts of extra time.
- Subject
- hunter water corporation; option value; water resilience; SDG 6; SDG 9; Sustainable Development Goals
- Identifier
- http://hdl.handle.net/1959.13/1454190
- Identifier
- uon:44866
- Identifier
- ISSN:0957-1787
- Language
- eng
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