- Title:
-
Costs and Benefits of Regulating Fire Safety Performance of Upholstered Furniture in New Zealand
- Date:
- March 2003
- Organisations
- NZFS
- Authors:
- C A Wade, M Duncanson, D O’Dea, C R Duncan
- Location:
- New Zealand, New Zealand
Overview
The aim of the research was to provide an independent assessment of the likely costs and benefits associated with introducing new regulations to improve the fire safety of upholstered furniture in New Zealand. The focus of this report was on upholstered sofas, chairs, mattresses and bed bases used in private residential dwellings.
Costs and benefits of regulating the flammability of upholstered furniture for domestic use in New Zealand were assessed using a conventional economic model. Results have been expressed in terms of cost per life saved and compared to other recent studies concerned with domestic fire safety.
The introduction of mandatory standards for the ignition resistance of upholstered furniture and mattresses in New Zealand is unlikely to be cost-effective in terms of the currently adopted value of a statistical life in New Zealand ($2.6 million) and commonly accepted public-sector discount rates.
Assuming a medium rate of furniture replacement (6 percent), an annual additional cost per household of the order of $30, and a discount rate of 5 percent, the expected cost of life saved is calculated to be around $9.8 million dollars.
Related documents
Peer Review Costs and Benefits of Regulating Fire Safety Performance of Upholstered Furniture in New Zealand
In August 2003 a peer review was conducted for the above document
