Application Of Probabilistic Cost Risk Analysis In Economic Decision Making For Hazardous Waste Site Remediation

The cost of remediation often drives the selection of the preferred remedial alternative at hazardous waste sites. The use of probabilistic cost/risk analyses can aid in predicting costs of remedial alternatives. Three types of information are discussed in performing cost/risk analyses: (1) data on the quantity of contamination versus the contaminant concentration; (2) unit costs of remediation for the remedial alternatives; and (3) risk to contaminant concentration relationships. Cost/risk evaluations are performed on a site-by-site basis, to account for combined risks of different contaminants and differences in quantity to be remediated versus contaminant concentration. The cost/risk analysis produces a graph of risk versus cost for each of the remedial alternatives. These costs are then compared to facilitate selection of a preferred alternative. An example of comparison of alternatives is illustrated for a historic coal gasification site.