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Show CEA Report Economics Economics THERE ARE MANY economic costs and benefits associated with Glen Canyon Dam and Powell reservoir- both in terms of traditional economics and ecological economics. Traditional economic measures ( dollars and cents) are much easier to quantify and compare in terms of costs and benefits but these methods do not consider the long- term costs to future generations. Traditional accounting measures do not include the value of environmental and natural resources. In addition to examination based on traditional economics, we must ask- what are the true " costs" of the dam, and what are the benefits of a restored, sustainable environment and ecosystem? COSTS OF GLEN CANYON DAM • The total cost of building Glen Canyon Dam and the surrounding infrastructure was $ 272 million in 1963 dollars. • Legislation which authorized Glen Canyon Dam required that initial construction costs owed to the US Treasury should be paid off within 50 years ( by 2013). • Total operating and maintenance costs are $ 11- 29 million per year. • The Final Record of Decision of the 1996 EIS established a federal advisory committee- the Glen Canyon Adaptive Management Work Group. This work group makes recommendations to the BOR regarding dam operations, at a cost of $ 8 million per year. • Modified dam operation procedures, which resulted from the 1996 Environmental Impact Statement on the operations of Glen Canyon Dam, have limited the pow- erplant's ability to generate revenues. • Flooding during the 1983 spring snowmelt season severely damaged the spillways of Glen Canyon Dam. Repairs cost $ 130 million. IMPACTS OF DRAINING RESERVOIR • Current recreational options on Powell reservoir will decline during the 15- 20 year time span it would take to drain the reservoir. • While lake- related activities will eventually cease, the restored river through Glen Canyon will provide many more sustainable activities such as hiking, rafting and sightseeing. • The citizens of the surrounding towns, who currently depend upon income generated from the reservoir, will transition into other enterprises. • Other towns in the region, such as Escalante and Moab, have successfully refocused their economies and adapted to new recreational opportunities. • Economic implications of the proposal to decommission Glen Canyon Dam are complex, and should be carefully studied as part of an EIS conducted by the BOR. Figure 14 Glen Canyon Dam Under Constriction ( BOR). page 17 |
