THE NORMATIVE FRAMEWORK OF EFFECTIVE FISCAL-BUDGETARY INSTRUMENTS FOR THE REPAIR OF THE DAMAGES CAUSED TO THE ENVIROMENT

Economic activity and behavior generates a significant impact on the environment, often the influence is negative and causes pollution, exaggerated use of raw materials and destruction of natural areas.
In order to protect the environment and limit eventual environmental imbalances, any negative impact must be attenuated, and any damage - recovered. In order to achieve this goal, environmental policies emphasize the use of mechanisms / economic instruments such as authorizations, taxes, penalties, budget expenditure, subsidies, etc. Worldwide, the variety of economic instruments that support the implementation of environmental policies have diversified significantly as the world’s states have been concerned about the critical level of environmental pollution and the exhaustion of natural resources. Therefore, the basic purpose of environmental economic instruments is to determine responsible behavior by the population and economic agents vis-à-vis the environment, including by accumulating budgetary financial resources for adequate management of natural resources and to prevent environmental pollution.
The Republic of Moldova aligns in this international practice and applies various economic levers to promote environmental policies. As a result, this chapter assesses aggregate fiscal-budgetary instruments that support the implementation of environmental policies and if they are adequately set to help solve the problems in the sector.