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Nutrient Trading in Lake Rotorua: Overview of a Prototype System

  • Kelly Lock


    (Motu Economic and Public Policy Research)

  • Suzi Kerr


    (Motu Economic and Public Policy Research)

Water quality in Lake Rotorua has been declining for at least the last 30 years as increased levels of nutrients have entered the lake. Despite significant effort and expenditure, the level of nutrients entering the lake still exceeds sustainable levels. A nutrient trading system would help the catchment achieve this goal at least cost. Nutrient sources would bear the cost of their impact on water quality and hence take these costs into account in their decision-making. This paper presents a prototype nutrient trading system for achieving cost effective nutrient loss reductions for the Lake Rotorua catchment.

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Paper provided by Motu Economic and Public Policy Research in its series Working Papers with number 08_02.

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Length: 26 pages
Date of creation: May 2008
Date of revision:
Handle: RePEc:mtu:wpaper:08_02
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  1. Suzi Kerr & Kit Rutherford & Kelly Lock, 2007. "Nutrient Trading in Lake Rotorua: Goals and Trading Caps," Working Papers 07_08, Motu Economic and Public Policy Research.
  2. Kelly Lock & Suzi Kerr, 2007. "Nutrient Trading in Lake Rotorua: Where are we Now?," Working Papers 07_06, Motu Economic and Public Policy Research.
  3. Suzi Kerr & Kelly Lock, 2008. "Nutrient Trading in Lake Rotorua: Cost Sharing and Allowance Allocation. Abstract: This paper clarifies how the benefits and costs of water quality improvements in Lake Rotorua are likely to be shared," Working Papers 09_09, Motu Economic and Public Policy Research.
  4. Kelly Lock & Suzi Kerr, 2008. "Nutrient Trading in Lake Rotorua: Choosing the Scope of a Nutrient Trading System," Working Papers 08_05, Motu Economic and Public Policy Research.
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