Economic Evaluation Principles for Sustainable Management of Environmental Projects

Abstract

This paper x-rays the basic economic principles employed in evaluating environmental projects. It viewed economic evaluation as a crucial component of capital budgeting used for allocating the financial resources of private and public organizations of a nation in order to achieve sustainable development. It opined that projects development/management strategies must embody full dose of green/sustainability
strategies whose private/social costs and benefits cashflows are estimated, strategically projected and discounted to enable projects with highest net social benefits to be
implemented. It identifies CBA as a versatile evaluation technique suited for public and major private projects and recommended the bridging of private and social rates of
return to serve as a catalyst for private-sector-led social and economic development activities that would ensure sustainability of development.