The theme of EEPSEA‘s research program is the internalization of external costs. There is widespread interest in minimizing pollution and resource degradation by insuring that economic agents face the full costs of their activities. But many questions remain to be answered: What is the economic value of the environmental damage incurred by a given activity? What roles can sectoral, macroeconomic and trade policies play in achieving full-cost pricing? What roles do community management of resources, changes in property rights and other institutional factors play? What factors affect the political and administrative feasibility of price changes? Does full-cost pricing have negative effects on the poor and how might these be mitigated? What are the alternatives to pricing policy? What are the implications of full-cost pricing for economic growth and structural change?

Projects to date have tended to fall within four areas:
 a) management of forests and wetlands
 b) policy instruments for control of urban pollution 
 c) resource pricing
 d) economy-wide and global issues.

Most applicants attend one of EEPSEA's courses before or in conjunction with their research project. The budget ceiling for research projects is  CA $28,000. Researchers may be affiliated with a university, government or non-government organization and grants are normally made to that institution. Most projects are carried out by teams of researchers.

Proposals are sent to experts for written review. Those recommended for further consideration must then be revised and presented in a working group meeting at the next EEPSEA biannual meeting. Further revisions are usually called for, until the project is judged satisfactory and a grant approved. After approval, interim findings are presented and critiqued every six months until the project is completed. Researchers receive frequent technical assistance and literature from the Secretariat and resource persons. Final reports from successful projects are widely disseminated by EEPSEA and by the researchers themselves through publications, the media, and consultations with policy makers.

Proposals are reviewed in twice-yearly competitions.  The deadline for these are February 1 and August 1.  Those wishing to apply for research awards should consult the following documents: