The objective of this study is to examine the process of utilizing remotely sensed data for environmental assessment and management. This process is treated as a special case of information processing and a theory of information is developed that relates data requirements to information needs. The difficulties of measuring the value of information are considered and a 'post-facto' evaluation method is developed that compares the relative effectiveness of two or more planning systems. The method is illustrated for a road corridor design example.

Use of the information theory is illustrated by a case study of the application of Landsat visual and digital analysis to the identification of critical winter moose habitat in the foothills of west-central Alberta, Canada. The potential benefits of the study are considered in relation to the information needs of the client, Amoco Canada. These needs include a biophysical inventory and route and site location recommendations for natural gas field facilities development.

The remote sensing application development process is related to the objectives and criteria for effective technology transfer. A "user-driven" approach in which the application development follows from the changing information needs of the planning project is identified as one of the key elements of a successful transfer process. Specialists associated with organizations producing remotely sensed data products, in an effort to promote the use of the technology, can compromise the effectiveness of the environmental planning process. However an independent application scientist, freed of the transfer mission, may be more flexible.

The products of remote sensing are information products that, by their nature, can be a source of power. As a consequence, the availability of remote sensing products and analysis capability has important political implications. As an example, it is argued that an increase in the price of publicly available image data, such as Landsat data, tends to shift the balance of political power in favor of resource development. In view of their political nature, decisions affecting the price of image data in the public domain should be considered as public policy decisions and not simply as economic decisions.