The paper discusses policies aimed at reducing the eutrophication of the Baltic Sea. Discharges of two nutrients can be mitigated by measures ranging from sewage treatment to creating or enhancing natural such as coastal wetlands. The latter have been identified as low-cost alternatives to removing nitrogen through traditional, end-of-pipe technologies. Implementation of such projects yields additional benefits through enhancing biological diversity by recovering valuable habitats typical of wetland ecosystems. The paper offers several recommendations regarding policy instruments likely to enhance the cost-effectiveness of the Baltic-wide environmental recovery programme now under way.
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