2021-01-18 GC - Item 3 - Attachment 3 - Cost Benefit Analysis for Coastal Erosion Options

1.          Introduction

1.1.        Background
Climate change is leading to sea-level rise and an increase in the frequency of coastal erosion events
relative to the present day. Coastal erosion and shoreline recession pose a significant risk to the
social, economic and environmental values present along Noosa Shire Council’s (Council) coastline.
As part of the QCoast2100 program, Council has begun developing a Coastal Hazard Adaptation
Plan (CHAP). The CHAP includes an assessment of appropriate adaptation options to maintain the
significant tangible and intangible coastal zone assets in the Local Government Area, and the
associated benefits and costs to the local community. Typical options available to protect these
values include seawalls, revegetation, beach nourishment, as well as early warning disaster systems
and land use planning. As part of the CHAP, technical investigations into potential adaptation options
have been undertaken by coastal engineers (BMT), including high-level cost estimates. These options
consider a range of measures in isolation and combination, including both hard protection (e.g.
seawall) and soft protection (e.g. beach nourishment activities).

Aither was engaged by Council to undertake a socio-economic analysis of the shortlisted adaptation
options developed by BMT. This report outlines the approach and results of the socio-economic
appraisal of adaptation options at two locations; Eastern Beaches which includes Peregian, Marcus,
Castaways, Sunrise and Sunshine Beach suburbs, and Teewah. The focus of this stage of the project
was to undertake a cost-benefit analysis (CBA) of a set of technically feasible coastal adaptation
options based on the findings of a prior multi-criteria analysis of options. At this stage of investigation,
the intent of the socio-economic analysis is to:

•    support Council’s understanding of the merit of different options

•    assist Council to communicate the benefits and costs of options to stakeholders

•    determine if more detailed investigation is required.

This report provides findings for Phase 7 of the CHAP: Socio-economic appraisal of adaptation
options of the Noosa CHAP in line with the QCoast2100 CHAP minimum standards and guidelines.



1.2.        Approach
The socio-economic analysis is based on industry best practice and uses a cost benefit analysis
approach. It follows the QCoast2100 minimum standards (QCoast2100,2016) and Queensland
Treasury Project Assessment Framework (PAF) (Queensland Treasury, 2015). Aither’s approach
specifically included:

•    discussing the coastal adaptation options with Council

•    identifying, with Council and BMT, the costs and benefits expected to result from the different
     adaptation options

•    undertaking a data gathering exercise including desktop review, and consultation with key
     stakeholders to ensure best available evidence was used

•    quantifying the costs and benefits and developing a CBA model




AITHER | Final Report                                                                                      5
Noosa Shire Council – Coastal Hazard Adaptation Plan