Valuation Methods of Environmental Effects of Mining

Mining projects have important effects on environmental assets. Monetary valuation of changes in environmental quality has a great importance in evaluation of mining projects. The benefit or avoided damage cost from a project to change environmental quality is captured by individualsʹ willingness to pay (WTP). Valuation methods based on WTP can mainly be categorized two groups as ʹproduction approachʹ and ʹdemand approachʹ. In this study, concepts of willingness to pay and demand and valuation methods are investigated with an application of a mine project.