Marginal damage cost functions for particulate organic carbon loading from open-net pen salmon farms in British Columbia, Canada

Increasing production of salmon open-net pen culture has raised concerns about the negative impact of this aquaculture technology on the marine environment. In British Columbia (BC), Canada, benthic deposition of organic nutrients (faeces and waste feed) is identified as a potential source of localized environmental degradation from salmon farming. In this paper, we develop a marginal damage cost function to provide a quantitative monetary measure for potential environmental impacts of simulated salmon farms, representative of typical BC net pen sites. The development of the functions is done by integrating the outputs of a discrete choice experiment (DCE) with the results of an organic deposition model (NewDEPOMOD). The resulting relationships can be used to find efficient policies and sustainable operation strategies that balance salmon production with the external cost to the marine environment.