Iran Suffers $30 Billion Loss Due to Air Pollution

Air pollution has been one of the most significant environmental damages in the world and Iran, posing a major threat to sustainable economic growth and a constant danger to the health and well-being of citizens. The destructive consequences of air pollution on the health and well-being of citizens, which are experienced daily, are numerous. Increased mortality rates, reduced average life expectancy, shorter periods of productive economic activity, increased visits to health care facilities and their costs, and changes in physiological functions of the body, especially respiratory and cardiovascular functions, are among these negative consequences that have been the subject of various international studies. Such damages have substantial socio-economic costs and negatively affect economic growth. Under such conditions, the overall efficiency of production resources, particularly the workforce, decreases, and with reduced added value, economic growth also declines. The risks of such conditions are greater for countries where oil exports are the main source of government revenue, and where increased income in the short term is accompanied by environmental degradation, while fossil fuels are relatively cheap for consumers. Air pollution means the presence of one or a combination of several pollutants in the open air to the extent that it threatens individual health and is harmful to other living beings, plants, or the environment. Suspended particles in the air are considered the most important air pollutant in major cities worldwide. According to a study by the World Health Organization, for every 10 micrograms of suspended particles in the air, the likelihood of mortality increases by 1 to 3 percent. Suspended particles in the air are among the very dangerous pollutants that have serious and irreparable damages to the human body. Acids, metals, dust, volcanic ash, smoke and ash from fires, heating systems of residential and commercial sources, and incinerators are among the most important sources of suspended particles in the air. Air pollution is considered one of the relatively longstanding environmental damages in Iran, and now in many cities, including Tehran, Ahvaz, Sanandaj, Mashhad, and Isfahan, pollution levels have reached dangerous levels. Among these, the situation in Ahvaz has reached a very dangerous stage. In 2011, the World Health Organization published a report on air pollution in cities worldwide, which determined the minimum dangerous pollution level to be 20 micrograms per cubic meter per year. The annual air pollution level in Ahvaz in the same year was announced to be 372 micrograms per cubic meter, making it the most polluted city among 1,100 cities. The latest findings on the consequences of air pollution in Iran, based on a report recently published by the World Bank and the Institute for Health Metrics and Evaluation titled 'The Cost of Air Pollution', indicate that air pollution in 2013 led to the deaths of more than 5.5 million people worldwide and cost the global economy over $5 trillion. According to this report, air pollution is evaluated as the fourth leading cause of premature death in the world after smoking, diet, and obesity. The mortality rate due to air pollution in Iran was 17,000 people per year in 1990, which significantly increased to over 21,000 people per year by 2013. The findings related to Iran in this report are also noteworthy. In 1990, the annual air pollution level was reported to be 28.64 micrograms per cubic meter, but it increased to 31.89 in 2013. The consequences of this increase in pollution can be observed in the rising mortality statistics. In this context, in 1990, the economic losses due to air pollution for Iran were estimated at approximately $13.9 billion (equivalent to 2.44% of GDP at constant prices based on purchasing power parity), which increased to over double that amount, $30.599 billion (equivalent to 2.48% of GDP at constant prices based on purchasing power parity) in 2013. The ratio of pollution-related costs to Iran's GDP is higher than the average of countries in the Middle East and North Africa. A comparison of Iran's labor productivity losses shows that between the years mentioned (1990-2013), this indicator improved and was lower than the average of countries in the Middle East and North Africa. Overall, three out of four indicators measuring the impacts of air pollution on the economy were negative and did not show satisfactory performance. Globally, according to the same report, during the period under review (2011-2013), the level of air pollution, especially in developing countries, has increased, and its negative consequences, such as premature mortality rates, have also risen. Furthermore, according to this report, air pollution in developing countries is greater than in developed and advanced countries. Based on accepted principles of environmental economics, there is a close relationship between the economic system and the environment, and sustainable economic growth is conditional on optimal use of environmental resources such as air. Environmental resources are limited, their recycling process is very long, and the expansion of production activities reduces the quality of such resources. Therefore, economic growth cannot be sustainable if it is not accompanied by appropriate methods and environmental considerations. For this reason, the problem of air pollution is now considered one of the main challenges for countries. Countries around the world are simultaneously pursuing air pollution issues and problems on the international stage while striving within their borders. Within the framework of Iran's oil-dependent and rent-seeking economy, various factors are actively involved in environmental pollution, especially air pollution. First, the increase in government revenue, which relies on exploiting and profiting from nature, provides the necessary incentive for environmental destruction and air pollution. Additionally, fuel consumers also play an active role in air pollution due to its relative cheapness, albeit unintentionally. In this context, in the absence of management and long-term planning, natural and climatic factors also contribute to air pollution. The government can help reduce air pollution by formulating regulations and optimizing the functioning of administrative systems. Experience has shown that the efforts of civil society organizations and the civil community are much broader and more sustainable than government actions.