Improving agricultural pollution abatement through result-based payment schemes
Sidemo Holm, William LU ; Smith, Henrik G. LU and Brady, Mark LU
(2018)
In Land Use Policy
77.
p.209-219
- Abstract
- Action-based payments that compensate farmers for adopting land-management measures to preserve and en- hance the environment have been criticized for being ineffective. The root of the problem is that farmers are not paid for achieving a desired environmental benefit, but compensated for their costs of management. There is growing interest in formulating result-based economic incentives. By paying for an environmental benefit and allowing flexibility in how to achieve it, farmers are given an incentive to exploit their comparative advantages for achieving a desired environmental benefit cost-effectively. However, the feasibility and relative effectiveness of result-based payments for reducing agricultural pollution is contentious. In this... (More)
- Action-based payments that compensate farmers for adopting land-management measures to preserve and en- hance the environment have been criticized for being ineffective. The root of the problem is that farmers are not paid for achieving a desired environmental benefit, but compensated for their costs of management. There is growing interest in formulating result-based economic incentives. By paying for an environmental benefit and allowing flexibility in how to achieve it, farmers are given an incentive to exploit their comparative advantages for achieving a desired environmental benefit cost-effectively. However, the feasibility and relative effectiveness of result-based payments for reducing agricultural pollution is contentious. In this study, we designed and evaluated a result-based payment scheme for nonpoint-source pollution abatement from arable land. In a case study in southern Sweden, the cost-effectiveness of the new scheme was compared with that of an existing action-based scheme for vegetated buffer strips to prevent the pollutant, particulate phosphorus, from reaching water resources. The results suggest that result-based payment schemes based on modeled outcomes of pollution abatement are feasible and will considerably improve cost-effectiveness compared to action-based schemes, by relocating buffer strips to where they are more effective and not simply where they have the lowest costs for farmers. (Less)
Please use this url to cite or link to this publication:
https://lup.lub.lu.se/record/d40d067b-fdd0-4562-b6be-3a150a80072a
- author
- Sidemo Holm, William
LU
; Smith, Henrik G.
LU
and Brady, Mark
LU
- organization
- publishing date
- 2018-05-08
- type
- Contribution to journal
- publication status
- published
- subject
- keywords
- Performance based policy, Nonpoint source pollution, Nutrient runoff, Buffer strip, Agri-environmental scheme, Cost-effective
- in
- Land Use Policy
- volume
- 77
- pages
- 209 - 219
- publisher
- Elsevier
- external identifiers
-
- scopus:85054294833
- ISSN
- 0264-8377
- DOI
- 10.1016/j.landusepol.2018.05.017
- project
- Cost-effective strategies to benefit biodiversity and ecosystem services in farmland
- language
- English
- LU publication?
- yes
- id
- d40d067b-fdd0-4562-b6be-3a150a80072a
- date added to LUP
- 2018-09-05 11:46:12
- date last changed
- 2024-04-01 08:13:48
@article{d40d067b-fdd0-4562-b6be-3a150a80072a,
abstract = {{Action-based payments that compensate farmers for adopting land-management measures to preserve and en- hance the environment have been criticized for being ineffective. The root of the problem is that farmers are not paid for achieving a desired environmental benefit, but compensated for their costs of management. There is growing interest in formulating result-based economic incentives. By paying for an environmental benefit and allowing flexibility in how to achieve it, farmers are given an incentive to exploit their comparative advantages for achieving a desired environmental benefit cost-effectively. However, the feasibility and relative effectiveness of result-based payments for reducing agricultural pollution is contentious. In this study, we designed and evaluated a result-based payment scheme for nonpoint-source pollution abatement from arable land. In a case study in southern Sweden, the cost-effectiveness of the new scheme was compared with that of an existing action-based scheme for vegetated buffer strips to prevent the pollutant, particulate phosphorus, from reaching water resources. The results suggest that result-based payment schemes based on modeled outcomes of pollution abatement are feasible and will considerably improve cost-effectiveness compared to action-based schemes, by relocating buffer strips to where they are more effective and not simply where they have the lowest costs for farmers.}},
author = {{Sidemo Holm, William and Smith, Henrik G. and Brady, Mark}},
issn = {{0264-8377}},
keywords = {{Performance based policy; Nonpoint source pollution; Nutrient runoff; Buffer strip; Agri-environmental scheme; Cost-effective}},
language = {{eng}},
month = {{05}},
pages = {{209--219}},
publisher = {{Elsevier}},
series = {{Land Use Policy}},
title = {{Improving agricultural pollution abatement through result-based payment schemes}},
url = {{http://dx.doi.org/10.1016/j.landusepol.2018.05.017}},
doi = {{10.1016/j.landusepol.2018.05.017}},
volume = {{77}},
year = {{2018}},
}