HSE has published a report on the economic impact of accidents at major hazard sites to estimate the potential costs of such accidents occurring in Great Britain.
Report RR1055 was classified under regulations set out by the COMAH (Control of Major Accident Hazards) and examined approximately 1,700 major hazard sites in Great Britain. Offshore, nuclear and pipelines, also subject to major hazard regulations, were excluded.
The researchers implemented a ‘catastrophe-modelling’ approach based on three main components: hazard, vulnerability and economic cost. The mean cost of the impacts per site was estimated at £110,000,000. The median was £26,000,000.
The report also concluded that the main cost contributor (60.8%) was the non–financial, human costs. The table on page V of the summary below breaks down the costs per type of loss.
Red-on-line EHS Legalist
‘RR1055 Modelling the economic impacts of an accident at major hazard sites’, published on HSE.gov.uk on 11 August 2015.