CONTENTS
Introduction 1
1.Key Economic and Financial Considerations for Effective 4
2.Management of the Urban Environment

Economic Considerations 4
Financial Considerations 6
Some Key Economic and Financial Analyses Related Concepts 6
Defined and Distinguished
3.Economics and Public Policy Instruments 10
Environmental Management Measures: Derived from the 15
Insight of Environmental Economics
Economists' Articulation of Environmental Problems 15
Externalities, Open-Access Resources and Public Goods: 16
Elaborative Notes
Environmental Management Measures (EMM) 18
Prerequisites for EMM Applications 21
Status on Application of EMM in Asia 23
4.Economic and Financial Considerations in the Urban 25
Environmental Infrastructure and Service Provisions
Making Use of Economic and Market Logics in the Urban 25
Land, Labour, Capital and Housing Markets
Scope and Limitation of Using Market Norms (Price and 26
Competitive Systems) in UEI&S Provisions
Pricing of Urban Infrastructure and Services 27
Traditional Methods of Financing Urban Infrastructure and 29
Services
Municipal Service Financing 31
New Direction in Financing Urban Infrastructure » 35
5.Cases on EMM Applications to the UEM Subsectors 37
A Design of Using Economic Instruments for Reducing 37 Vehicular Air Pollution in Bangkok through Reduction of Car
Use and Promoting Mass Transit
A Holistic Approach (Application of EMM) in Controlling 39 Vehicular Air Pollution in Hanoi
Managing the Hazardous Industrial Wastes in the Bangkok Region 41
Use of Economic Instruments in Wastewater Management in Thailand 43
Application of Regulatory and Economic Instruments in Solid Waste Management in Hanoi 44
6.Cases on Economic and Financial Analyses for Improving Urban 47
Environmental Infrastructure and Service Provisions
An Analysis of Household Affordability and Willingness to Pay for Improved Water Supply in Two Towns of Lao PDR 47
Promoting Mass Transit for Improving Urban Environmental Management: A Focus on Pricing and Financing of Bus 49
Service in Hanoi
Cost Comparisons of Composting Options by Using Material Flow Analysis (MFA) for Solid Waste Management in Dhaka 51
Improving the Cost Recovery for Water Supply in Dhaka 53
Urban Agriculture as a Municipal Waste Reduction Strategy: A Study of Commercial Farms in Suan Luang District, Bangkok Metropolis 55
Economic Analysis of Composting as Municipal Waste Recycling and Reuse Strategy for Lahore 59
Financial Analysis of the Vacutug Service for Collecting and Disposal of Faecal Sludge in Dhaka 62
Financial Viability of Duckweed Production-Based Waste Water Treatment System (as a Model of DWWM) in Khulna, Bangladesh 65
Financing and Cost Recovery of Decentralized Wastewater Management in Two Urban Districts in Hanoi 71
6.10. Potential of Attracting FDI for UEI&S Provision 74
7.Dialogue with the High-Level Policymakers on the Use of EMM and
Attracting FDI for Improving UEM: The Case of Bangladesh 76
The Bangladesh Status on Making Use of EMM 77
Comments on Enforcement, Compliance and Capacity Building 78
Some Observations from the Dialogue with the High-Level Policymakers 79
8.Concluding Remarks 83
References 86
Appendix 1: AIT Masters' and Doctoral Theses Completed under Author's Supervision 90

List of UMP Asia Occasional Papers 96