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Does Disclosure Reduce Pollution? Evidence from India's Green Rating Project

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Listed author(s):
  • Powers, Nicholas
  • Blackman, Allen

    ()

    (Resources for the Future)

  • Lyon, Thomas P.
  • Narain, Urvashi

Abstract

Public disclosure programs that collect and disseminate information about firms’ environmental performance are increasingly popular in both developed and developing countries. Yet little is known about whether they actually improve environmental performance, particularly in the latter setting. We use detailed plant-level survey data to evaluate the impact of India’s Green Rating Project (GRP) on the environmental performance of the country’s largest pulp and paper plants. We find that the GRP drove significant reductions in pollution loadings among dirty plants but not among cleaner ones. This result comports with statistical and anecdotal evaluations of similar disclosure programs. We also find that plants located in wealthier communities were more responsive to GRP ratings, as were single-plant firms.

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Paper provided by Resources For the Future in its series Discussion Papers with number dp-08-38.

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Date of creation: 15 Oct 2008
Handle: RePEc:rff:dpaper:dp-08-38
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Keywords: public disclosure; pollution control; India; pulp and paper;

Other versions of this item:

Find related papers by JEL classification:
  • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
  • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
  • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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  1. Allen Blackman, 2010. "Alternative Pollution Control Policies in Developing Countries," Review of Environmental Economics and Policy, Association of Environmental and Resource Economists, vol. 4(2), pages 234-253, Summer.
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  6. Khanna, Madhu & Quimio, Wilma Rose H. & Bojilova, Dora, 1998. "Toxics Release Information: A Policy Tool for Environmental Protection," Journal of Environmental Economics and Management, Elsevier, vol. 36(3), pages 243-266, November.
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  17. Tom Tietenberg, 1998. "Disclosure Strategies for Pollution Control," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 11(3), pages 587-602, April.
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  20. Blackman, Allen & Bannister, Geoffrey J., 1998. "Community Pressure and Clean Technology in the Informal Sector: An Econometric Analysis of the Adoption of Propane by Traditional Mexican Brickmakers," Journal of Environmental Economics and Management, Elsevier, vol. 35(1), pages 1-21, January.
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Cited by:

  1. Nicholas E. Powers, 2013. "Measuring The Impact Of The Toxics Release Inventory: Evidence From Manufacturing Plant Births," Working Papers 13-07, Center for Economic Studies, U.S. Census Bureau.
  2. Allen Blackman & Sarah Darley & Thomas P. Lyon & Kris Wernstedt, 2010. "What Drives Participation in State Voluntary Cleanup Programs? Evidence from Oregon," Land Economics, University of Wisconsin Press, vol. 86(4), pages 785-799.
  3. Kathleen Segerson, 2013. "Voluntary Approaches to Environmental Protection and Resource Management," Annual Review of Resource Economics, Annual Reviews, vol. 5(1), pages 161-180, June.
  4. Li, Yi, 2017. "Voluntary disclosure and investment in environmental technology," Journal of Economic Behavior & Organization, Elsevier, vol. 133(C), pages 331-341.
  5. Olmstead, Sheila & Richardson, Nathan, 2014. "Managing the Risks of Shale Gas Development Using Innovative Legal and Regulatory Approaches," Discussion Papers dp-14-15, Resources For the Future.

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