Environmental costs as an indicator of sustainable development

¹ Pskov State University, Pskov, Russian Federation
² Peter the Great St. Petersburg Polytechnic University, St. Petersburg, Russian Federation

^* Corresponding author: es1403@bk.ru

Abstract

One of the priorities of the modern economy is the optimal use of natural resources in economic activity. This is because the organization and management of production impacts the environment, which in turn affects both the well-being of society and the indicators of economic development. Which is why methodology and practice of public non-financial reporting reflecting indicators related to the conservation and assessment of natural resources, pollution control, waste management and recycling, and creating emission standards are actively developing. Environmental costs are becoming an important tool for making informed management decisions aimed at harmonizing the economy and the environment. At present, despite a large number of methodical developments, there is no solid theoretical basis for the formation of environmental indicators that adequately characterize the interaction of the economy and the environment and economic decision-making at all levels. The article clarifies the content, classification, performance evaluation system, environmental cost assessment methods for their application in management activities for deeper analysis, modelling and predicting economic phenomena and processes within the framework of the concept of sustainable development. The authors show approaches to the valuation of anthropogenic damage to nature, determined by the disproportionateness of natural and value indicators; the lack of prices of non-market goods, great uncertainty about the true value; the duration of the effects of man-made impacts and the long-term investment in environmental protection. Modern approaches to modelling and interpretation of results are generalized, as well as the possibilities of developing new (or improving existing) models for optimizing environmental costs. The direction of analysis of environmental indicators in the existing management system has been defined, in particular, through the study of non-financial reporting, which acts as a basis for calculating resource utilization, environmental quality and sustainability.