Abstract

The article outlines the challenges in the practical application of the market-based instruments (MBI) for the protection of water resources; formulates a definition for "activating MBIs" and deduces the concept of an "MBI-standard" as a possibility to bridge the gap between environmental economics theory and practice.
The experience of different EU-member states in applying MBI for waste water has been analysed and a number of good practices has been identified. These practices have been systematized and grouped in four groups in the context of the integrated water resources management concept, and the content of the "MBI-standard" has been grounded on them. A methodology has been proposed for the evaluation of MBIs in a given country through a comparison with the "MBI-standard".