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Nudging and subsidising farmers to foster smart water meter adoption

Author

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  • Benjamin Ouvrard

    (TSE-R - Toulouse School of Economics - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, GAEL - Laboratoire d'Economie Appliquée de Grenoble - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - UGA - Université Grenoble Alpes - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - UGA - Université Grenoble Alpes)

  • Raphaële Préget

    (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier)

  • Arnaud Reynaud

    (TSE-R - Toulouse School of Economics - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

  • Laetitia Tuffery

    (ESPI2R - Laboratoire ESPI2R Research in Real Estate [Lyon] - ESPI - Ecole Supérieure des Professions Immobilières, CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier)

Abstract

We use a discrete choice experiment with treatments to test if voluntary adoption of smart water meters by French farmers can be fostered by i) a collective conditional subsidy offered to farmers who adopt a smart meter only if the rate of adoption in their geographic area is sufficiently high, and ii) informational nudges. Using a sample of 1,272 farmers, we find contrasted results regarding our nudges, but we show that a conditional subsidy is an effective tool to foster adoption of smart meters. Interestingly, the willingness to pay for the conditional subsidy is equal to the subsidy amount and independent of the collective adoption threshold.

Suggested Citation

  • Benjamin Ouvrard & Raphaële Préget & Arnaud Reynaud & Laetitia Tuffery, 2023. "Nudging and subsidising farmers to foster smart water meter adoption," Post-Print hal-04043374, HAL.
    • Handle: RePEc:hal:journl:hal-04043374
    DOI: 10.1093/erae/jbad013
    Note: View the original document on HAL open archive server: https://hal.inrae.fr/hal-04043374v1
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    Cited by:

    1. SASAKI, Hiroki & HORIE, Shinya & HORIE, Tetsuya & TANAKA, Katsuya, 2024. "Assessing the Effects of Nudge and Boost for Methane Emission Reduction from Paddy Field- Cluster Randomized Controlled Trial in Japan," IAAE 2024 Conference, August 2-7, 2024, New Delhi, India 344318, International Association of Agricultural Economists (IAAE).
    2. Pauline Pedehour & Marianne Lefebvre, 2023. "Combining digital technologies and incentives for water conservation: A Q-method study to understand preferences of French irrigators," Post-Print hal-04626643, HAL.

    More about this item

    Keywords

    Choice experiment; Nudges; French farmers; Smart water meters; incentives;
    All these keywords.

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