IDEAS home Printed from https://ideas.repec.org/p/zbw/ufzdps/52019.html
   My bibliography  Save this paper

Implementing result-based agri-environmental payments by means of modelling

Author

Listed:
  • Bartkowski, Bartosz
  • Droste, Nils
  • Ließ, Mareike
  • Sidemo-Holm, William
  • Weller, Ulrich
  • Brady, Mark V.

Abstract

From a theoretical point of view, result-based agri-environmental payments are clearly preferable to action-based payments. However, they suffer from two major practical disadvantages: costs of measuring the results and payment uncertainty for the participating farmers. In this paper, we propose an alternative design to overcome these two disadvantages by means of modelling (instead of measuring) the results. We describe the concept of model-informed result-based agri-environmental payments (MIRBAP), including a hypothetical example of payments for the protection and enhancement of soil functions. We offer a comprehensive discussion of the relative advantages and disadvantages of MIRBAP, showing that it not only unites most of the advantages of result-based and action-based schemes, but also adds two new advantages: the potential to address trade-offs among multiple policy objectives and management for long-term environmental effects. We argue that MIRBAP would be a valuable addition to the agri-environmental policy toolbox and a reflection of recent advancements in agri-environmental modelling.

Suggested Citation

  • Bartkowski, Bartosz & Droste, Nils & Ließ, Mareike & Sidemo-Holm, William & Weller, Ulrich & Brady, Mark V., 2019. "Implementing result-based agri-environmental payments by means of modelling," UFZ Discussion Papers 5/2019, Helmholtz Centre for Environmental Research (UFZ), Division of Social Sciences (ÖKUS).
    • Handle: RePEc:zbw:ufzdps:52019
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/203156/1/167566093X.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Dirk Vrebos & Francesca Bampa & Rachel E. Creamer & Ciro Gardi & Bhim Bahadur Ghaley & Arwyn Jones & Michiel Rutgers & Taru Sandén & Jan Staes & Patrick Meire, 2017. "The Impact of Policy Instruments on Soil Multifunctionality in the European Union," Sustainability, MDPI, vol. 9(3), pages 1-18, March.
    2. Rode, Julian & Gómez-Baggethun, Erik & Krause, Torsten, 2015. "Motivation crowding by economic incentives in conservation policy: A review of the empirical evidence," Ecological Economics, Elsevier, vol. 117(C), pages 270-282.
    3. Bartosz Bartkowski & Bernd Hansjürgens & Stefan Möckel & Stephan Bartke, 2018. "Institutional Economics of Agricultural Soil Ecosystem Services," Sustainability, MDPI, vol. 10(7), pages 1-14, July.
    4. Bartkowski, Bartosz & Lienhoop, Nele & Hansjürgens, Bernd, 2015. "Capturing the complexity of biodiversity: A critical review of economic valuation studies of biological diversity," Ecological Economics, Elsevier, vol. 113(C), pages 1-14.
    5. Stupak, Nataliya & Sanders, Jürn & Heinrich, Barbara, 2019. "The Role of Farmers' Understanding of Nature in Shaping their Uptake of Nature Protection Measures," Ecological Economics, Elsevier, vol. 157(C), pages 301-311.
    6. Martin J Wassen & Hens Runhaar & Aat Barendregt & Tomasz Okruszko, 2011. "Evaluating the Role of Participation in Modeling Studies for Environmental Planning," Environment and Planning B, , vol. 38(2), pages 338-358, April.
    7. Robert Finger & Scott M. Swinton & Nadja El Benni & Achim Walter, 2019. "Precision Farming at the Nexus of Agricultural Production and the Environment," Annual Review of Resource Economics, Annual Reviews, vol. 11(1), pages 313-335, October.
    8. Alfons Weersink & Evan Fraser & David Pannell & Emily Duncan & Sarah Rotz, 2018. "Opportunities and Challenges for Big Data in Agricultural and Environmental Analysis," Annual Review of Resource Economics, Annual Reviews, vol. 10(1), pages 19-37, October.
    9. Böcker, Thomas & Möhring, Niklas & Finger, Robert, 2019. "Herbicide free agriculture? A bio-economic modelling application to Swiss wheat production," Agricultural Systems, Elsevier, vol. 173(C), pages 378-392.
    10. Frank Wätzold & Martin Drechsler & Karin Johst & Melanie Mewes & Astrid Sturm, 2016. "A Novel, Spatiotemporally Explicit Ecological-economic Modeling Procedure for the Design of Cost-effective Agri-environment Schemes to Conserve Biodiversity," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 98(2), pages 489-512.
    11. Engel, Stefanie & Pagiola, Stefano & Wunder, Sven, 2008. "Designing payments for environmental services in theory and practice: An overview of the issues," Ecological Economics, Elsevier, vol. 65(4), pages 663-674, May.
    12. Bartosz Bartkowski & Stephan Bartke, 2018. "Leverage Points for Governing Agricultural Soils: A Review of Empirical Studies of European Farmers’ Decision-Making," Sustainability, MDPI, vol. 10(9), pages 1-27, September.
    13. Herzon, I. & Birge, T. & Allen, B. & Povellato, A. & Vanni, F. & Hart, K. & Radley, G. & Tucker, G. & Keenleyside, C. & Oppermann, R. & Underwood, E. & Poux, X. & Beaufoy, G. & Pražan, J., 2018. "Time to look for evidence: Results-based approach to biodiversity conservation on farmland in Europe," Land Use Policy, Elsevier, vol. 71(C), pages 347-354.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Canessa, Carolin & Venus, Terese E. & Wiesmeier, Miriam & Mennig, Philipp & Sauer, Johannes, 2023. "Incentives, Rewards or Both in Payments for Ecosystem Services: Drawing a Link Between Farmers' Preferences and Biodiversity Levels," Ecological Economics, Elsevier, vol. 213(C).
    2. Canessa, Carolin & Ait-Sidhoum, Amer & Wunder, Sven & Sauer, Johannes, 2024. "What matters most in determining European farmers’ participation in agri-environmental measures? A systematic review of the quantitative literature," Land Use Policy, Elsevier, vol. 140(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Bartkowski, Bartosz & Droste, Nils & Ließ, Mareike & Sidemo-Holm, William & Weller, Ulrich & Brady, Mark V., 2021. "Payments by modelled results: A novel design for agri-environmental schemes," Land Use Policy, Elsevier, vol. 102(C).
    2. Ehlers, Melf-Hinrich & Huber, Robert & Finger, Robert, 2021. "Agricultural policy in the era of digitalisation," Food Policy, Elsevier, vol. 100(C).
    3. Granado-Díaz, Rubén & Colombo, Sergio & Romero-Varo, Marina & Villanueva, Anastasio J., 2024. "Farmers' attitudes toward the use of digital technologies in the context of agri-environmental policies," Agricultural Systems, Elsevier, vol. 221(C).
    4. Braito, Michael & Leonhardt, Heidi & Penker, Marianne & Schauppenlehner-Kloyber, Elisabeth & Thaler, Georg & Flint, Courtney G., 2020. "The plurality of farmers’ views on soil management calls for a policy mix," Land Use Policy, Elsevier, vol. 99(C).
    5. Drechsler, Martin, 2021. "Impacts of human behaviour in agri-environmental policies: How adequate is homo oeconomicus in the design of market-based conservation instruments?," Ecological Economics, Elsevier, vol. 184(C).
    6. Markova-Nenova, Nonka & Engler, Jan O. & Cord, Anna F. & Wätzold, Frank, 2023. "A Cost Comparison Analysis of Bird-Monitoring Techniques for Result-Based Payments in Agriculture," MPRA Paper 116311, University Library of Munich, Germany.
    7. Josset, Clement & Shanafelt, David W. & Abildtrup, Jens & Stenger, Anne, 2023. "Probabilistic typology of private forest owners: A tool to target the development of new market for ecosystem services," Land Use Policy, Elsevier, vol. 134(C).
    8. Gerling, Charlotte & Drechsler, Martin & Keuler, Klaus & Sturm, Astrid & Wätzold, Frank, 2022. "Time to consider the timing of conservation measures: designing cost-effective agri-environment schemes under climate change," MPRA Paper 113877, University Library of Munich, Germany.
    9. Ezzine-de-Blas, Driss & Corbera, Esteve & Lapeyre, Renaud, 2019. "Payments for Environmental Services and Motivation Crowding: Towards a Conceptual Framework," Ecological Economics, Elsevier, vol. 156(C), pages 434-443.
    10. Saint-Cyr, Legrand D.F. & Védrine, Lionel & Legras, Sophie & Le Gallo, Julie & Bellassen, Valentin, 2023. "Drivers of PES effectiveness: Some evidence from a quantitative meta-analysis," Ecological Economics, Elsevier, vol. 210(C).
    11. Lucas Bretschger & Karen Pittel, 2020. "Twenty Key Challenges in Environmental and Resource Economics," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 77(4), pages 725-750, December.
    12. Brown, Calum & Kovács, Eszter & Herzon, Irina & Villamayor-Tomas, Sergio & Albizua, Amaia & Galanaki, Antonia & Grammatikopoulou, Ioanna & McCracken, Davy & Olsson, Johanna Alkan & Zinngrebe, Yves, 2021. "Simplistic understandings of farmer motivations could undermine the environmental potential of the common agricultural policy," Land Use Policy, Elsevier, vol. 101(C).
    13. Sergei Schaub & Jaboury Ghazoul & Robert Huber & Wei Zhang & Adelaide Sander & Charles Rees & Simanti Banerjee & Robert Finger, 2023. "The role of behavioural factors and opportunity costs in farmers' participation in voluntary agri‐environmental schemes: A systematic review," Journal of Agricultural Economics, Wiley Blackwell, vol. 74(3), pages 617-660, September.
    14. Canessa, Carolin & Venus, Terese & Wiesmeier, Miriam & Mennig, Philipp & Sauer, Johannes, 2023. "Farmers’ preferences over alternative AECS designs. Do the ecological conditions influence the willingness to accept result-based contracts?," 97th Annual Conference, March 27-29, 2023, Warwick University, Coventry, UK 334508, Agricultural Economics Society - AES.
    15. Drechsler, Martin, 2023. "Ecological and economic trade-offs between amount and spatial aggregation of conservation and the cost-effective design of coordination incentives," Ecological Economics, Elsevier, vol. 213(C).
    16. Beatrice Garske & Antonia Bau & Felix Ekardt, 2021. "Digitalization and AI in European Agriculture: A Strategy for Achieving Climate and Biodiversity Targets?," Sustainability, MDPI, vol. 13(9), pages 1-21, April.
    17. Hayes, Tanya & Murtinho, Felipe & Wolff, Hendrik, 2017. "The Impact of Payments for Environmental Services on Communal Lands: An Analysis of the Factors Driving Household Land-Use Behavior in Ecuador," World Development, Elsevier, vol. 93(C), pages 427-446.
    18. Martin-Ortega, Julia & Waylen, Kerry A., 2018. "PES What a Mess? An Analysis of the Position of Environmental Professionals in the Conceptual Debate on Payments for Ecosystem Services," Ecological Economics, Elsevier, vol. 154(C), pages 218-237.
    19. Lucas Bretschger & Karen Pittel, 2019. "Twenty Key Questions in Environmental and Resource Economics," CER-ETH Economics working paper series 19/328, CER-ETH - Center of Economic Research (CER-ETH) at ETH Zurich.
    20. Moros, Lina & Vélez, María Alejandra & Corbera, Esteve, 2019. "Payments for Ecosystem Services and Motivational Crowding in Colombia's Amazon Piedmont," Ecological Economics, Elsevier, vol. 156(C), pages 468-488.

    More about this item

    Keywords

    agriculture; agri-environmental policy; governance; incentives;
    All these keywords.

    JEL classification:

    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy
    • Q24 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Land
    • Q52 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Pollution Control Adoption and Costs; Distributional Effects; Employment Effects
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:zbw:ufzdps:52019. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ZBW - Leibniz Information Centre for Economics (email available below). General contact details of provider: https://edirc.repec.org/data/doufzde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.