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Social cost of air-pollution due to opencast coal mine

A
DISSERTATION WORK SUBMITTED IN PARTIAL FULFILLMENT
OF THE RQUIREMENTS FOR THE AWARD OF THE DEGREE OF
MASTER OF TECHNOLOGY
UNDER INTEGRATED DUAL DEGREE PROGRAM


Supervisor:
Dr. B.K.Srivastava,
Department of Electrical Engineering
Submitted By:
Pooja Purohit


Department of Mining engineering
Indian Institute of Technology
(Banaras Hindu University)
Varanasi-221005

Enrolment no: 313958 Year 2014 Roll no: 09408EN002




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DECLARATION

Title: Social cost of air-pollution due to opencast coal mine

Name: Pooja Purohit

Student No: 09408EN002

Department: Mining Engineering Department, IIT (B.H.U.), Varanasi

Supervisor: Dr. B.K.Srivastava

Award Title: MASTER OF TECHNOLOGY (UNDER INTEGRATED
DUAL DEGREE PROGRAM)


Presented in partial fulfilment of the assessment requirements for the above award. I confirm
that the intellectual contents of the work are the result of my own efforts and of no other
person. Save for any express acknowledgements, references and/or bibliographies cited in the
work.

Signature: ... Date:





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CERTIFICATE
This is to certify that the thesis entitled Social cost of air-pollution due to
opencast coal mine submitted by Pooja Purohit , roll no- 09408EN002 for
partial fulfilment of the requirements for the award of Integrated Dual Degree in
Mining Engineering, IIT-BHU (Varanasi) is an authentic work carried out by
her under my supervision and guidance. To the best of my knowledge, the
matter embodied in the thesis has not been submitted to any other
university/institute for the award of degree or diploma.




Date: (DR.B.K.Srivastava)







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ACKNOWLEDGEMENTS
It is my great pleasure to express my sincere gratitude to all persons and
organizations that extended their cordial support during this work. The thesis is
the culmination of their kind support and able supervision, my sincere thanks to
their generous assistance and guidance.
At the outset, I express my deep sense of gratitude to my supervisor Dr. B. K.
Srivastava, Professor, Department of Mining Engineering, Institute of
Technology, Banaras Hindu University for his enlightened guidance, precious
suggestions, constructive criticism and untiring cooperation throughout the
course of my research work. He took all pains to ease out the difficulties during
the entire phase of my research work. It has been a pleasant and rewarding
experience for me to work under his guidance.
I wish to put on record my sincere thanks to Dr. Aarif Jamal, Head, Department
of Mining Engineering, Institute of Technology, Banaras Hindu University for
extending departmental facilities, financial assistance and encouragement
during the entire course of this investigation.
I am also grateful to Mr Ashok Jaiswal, Assistant Professor of Mining
Engineering and Mr Rajesh Rai, Assistant Professor of Mining Engineering,
Institute of Technology, Banaras Hindu University for advising me from time to
time during the entire period of my work.
An assemblage of this nature could never have been attempted without
reference to and inspiration from the works of others whose details are
mentioned in reference section. I acknowledge my indebtedness to all of them.
My sincere thanks to all my friends who have patiently extended all sorts of
help for accomplishing this undertaking. Above all, I am immensely indebted to
my parents for their help, perennial affection, patience, faith and constant
encouragement throughout my study and this investigation also.

Date: (Pooja Purohit)
Place: Dept. of Mining Engineering
IIT-BHU


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ABSTRACT
Mining operation is associated with several costs. These costs are borne by
mine operators and society in general and the persons living in nearby areas in
particular. The sale of coal leads to benefits. A mine operator tries to maximize
the benefits and reduce the costs applicable to him. However, the society has to
bear many costs which could be termed as externalities.
Setting up an opencast coal mine is associated with several externalities.
Economically, we are just concerned with the direct costs (i.e. cost incurred in
design and development of the mine, mine machinery and instruments, workers
employed and other facilities). Here we do not consider other indirect costs
which are associated with the degradation of environment due to mine
development and which generally go unmeasured due to limited attention.
Environmental damage due to mining activities is one of the most important
externalities. Cost of air pollution due to opencast mining is very critical in
terms of cost evaluation to society.
The aim of this thesis is to give, to the extent possible, robust estimates of the
total amount of the future health costs associated with air pollution from a
proposed opencast coal mine.
The development of an opencast coal mine has several impacts on the
surrounding environment due to pollution generated (air pollution, water
pollution, noise pollution). Among these, the air pollution has major impacts on
the health of the people in the vicinity of mine area due to generation of several
pollutants like particulates, SO
2
, NOx, CO
2
etc. Under several studies
worldwide, it has been found that particulates are major air pollutant having
major impact.
In our study, we had calculated the estimates of mortality and morbidity in the
proposed mine area through exposure response functions generated through
the air quality data for major polluted urban areas of India. Through these data,
we had quantified the impacts into Disability Adjusted Life Years (DALYs)
.Due to non-availability of relevant survey data; we have pooled the cost of
DALYs from US data calculated through Willingness To Pay (WTP) and HCA
(Human Capital Approach) and used it here for estimating the range of total
health costs associated with the proposed coal mine.


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INDEX

Declaration ..................................................................................................................... ii
Certificate..iii
ACKNOWLEDGEMENT ............................................................................................ iv
ABSTRACT ................................................................................................................... v

Chapter 1
Introduction and Outline
1.1 Introduction ......................................................................................................................... 1
1.2 Outline.................................................................................................................................. 2

Chapter 2
Impact due to coal mines
2.1 Impact on public health due to coal mining ......................................................................... 4
2.1.1 Respiratory Effects..4
2.1.2 Cardiovascular Effects5
2.1.3 Nervous System Effects..5
2.2 Impact on agriculture due to coal mines ............................................................................. 6
2.3 Impacts on forests and natural terrestrial ecosystems due to coal mines ............................. 7
2.4 Impacts on building materials due to coal mines ................................................................. 8
2.5 Impacts of coal mining on ground and surface water .......................................................... 8
2.6 Impacts due to noise pollution in coal mining areas9
Chapter 3
Methods to estimate health impacts
3.1 Intake Fraction Approach .................................................................................................. 10
3.2 Dose Response Relationships.11
3.3 Disability Adjusted Life Years (DALY)12
3.3.1 DALY concept .......................................................................................................... 13
3.3.2 The years of life lost dimension ............................................................................... 14
3.3.3 Quantifying time lived with disability ...................................................................... 16
3.3.4 Calculation of DALYs with discounting and age weighting18


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Chapter 4
Monetization of impacts
4.1 Human Capital Approach .................................................................................................. 21
4.2 WTP and value of statistical life (VSL) ............................................................................. 22
4.2.1Example of CVM questionnaire ................................................................................ 24
4.3 Transfer WTP approach ..................................................................................................... 25

Chapter 5
METHODOLOGY
5.1 Collection of air quality data and the estimates of its
health impacts for major polluted cities in India27
5.2 Formulating exposure response curves from the given data30
5.3 Collection of air pollutants dispersion data in ambient
atmosphere for mine area through air dispersion modeling and population data.32
5.4 Deducing the estimate cases from the previously made
exposure response curves extrapolated for the mine area33
5.5 Calculation of DALYs for the respective cases.34
5.6 Monetization of the total DALYs calculated.34

Chapter 6
Calculations
6.1 Premature Mortality36
6.2 Hospital admissions and sickness requiring medical treatment.36
6.3 Incidence of minor sickness37
6.4 Monetization of impacts.37

Chapter 7
Result, Discussion and Conclusion
7.1 Result..38
7.2 Assumptions38
7.3 Knowledge gaps..38
7.4 Conclusion...39
7.5 Future suggestions...39

Appendix40
References..48



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LIST OF FIGURES
Fig. 3.1: Graphical presentation of life in full health for male ................................................ 15
Fig. 3.2: Time lost due to premature death .............................................................................. 15
Fig. 3.3: Illustration of life of a man getting knee injury at 30 ................................................ 17
Fig. 5.1: Exposure response for premature mortality cases. .................................................... 31
Fig.5.2: Exposure response for incidence of minor sickness cases ......................................... 31
Fig. 5.3: Exposure response for hospital admissions and treatment of sickness. .. ................. 32
Fig. 5.4: Topography of Mine A .............................................................................................. 33

LIST OF TABLES
Table 3.1: Example of disability weights ................................................................................ 20
Table 3.2: Standard life expectancy table ................................................................................ 21
Table 5.1: Estimated data for premature mortality .................................................................. 28
Table 5.2: Estimated data for incidence of minor sickness ..................................................... 29
Table 5.3: Estimated data for hospital admissions and treatment of sickness ......................... 30
Table 6.1: DALYs for different health end points...37
Table 7.1: Result ...................................................................................................................... 38
Table A. Air quality data for Mine A...40
Table A1. Deduced mortality cases for Mine A...42
Table A2. Deduced morbidity cases for Mine A (a)44
Table A3. Deduced morbidity cases for Mine A (b)....46