In this paper we consider two important aspects in the complex problem of transboundary air pollution in Europe, namely (i) the interdependence of the problems of tropospheric ozone and acidification and (ii) the dynamic processes related to soil acidification. We develop an optimal control model to analyse the interaction between acidification as a stock pollutant and tropospheric ozone as a flow pollutant for several countries. Using a cost-benefit framework an analysis is performed to determine efficient emission paths for nitrogen oxides, sulphur dioxide and volatile organic compounds. The model jointly analyses acidification and ozone. The current European reduction plans do not fully take into account the multi-pollutants multi-targets nature of the problem. In addition, the plans allow for temporary exceedance of critical loads without considering the consequences for the temporal development of the soil quality. This paper shows the complex relations and interactions which one should deal with while designing policies that are efficient with respect to the cross-effects between the different environmental problems. It also shows how dynamic efficient abatement strategies would look if the cross effects and the dynamic processes in soil acidification are explicitly incorporated in the analysis.
Schmieman, E. C., van Ierland, E. C., & Hordijk, L. (2002). Dynamic Efficiency with Multi-Pollutants and Multi-Targets : The case of Acidification and Tropospheric Ozone Formation in Europe. Environmental and Resource Economics, 23, 133-148. https://doi.org/10.1023/A:1021234423189