Assessing the cost effectiveness of an environmental assessment scheme

This paper examines the key issues involved in evaluating cost and benefits of various accredited criteria of an environmental assessment scheme in Hong Kong. Economic benefit–cost ratios have been developed for various criteria to help the developers and designers to identify the economic impact and cost effectiveness of the accredited criteria. Results of this analysis reveal that the economic benefit–cost ratios vary among different credits, and 24 out of total 56 credits could provide potential economic benefit for the developers and designers. Accordingly, a decision strategy for prioritising the criteria selection has been developed for the developers and designers. Besides, the use of economic benefit–cost ratios for revising the weighting scale within the performance-specific criteria is discussed.