The browser you are using is not supported by this website. All versions of Internet Explorer are no longer supported, either by us or Microsoft (read more here: https://www.microsoft.com/en-us/microsoft-365/windows/end-of-ie-support).

Please use a modern browser to fully experience our website, such as the newest versions of Edge, Chrome, Firefox or Safari etc.

Mark Brady. Photo.

Mark Brady

Policy officer

Mark Brady. Photo.

Improving agricultural pollution abatement through result-based payment schemes

Author

  • William Sidemo Holm
  • Henrik G. Smith
  • Mark Brady

Summary, in English

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.

Department/s

  • Centre for Environmental and Climate Science (CEC)
  • BECC: Biodiversity and Ecosystem services in a Changing Climate
  • Biodiversity
  • AgriFood Economics Centre, SLU
  • Biodiversity and Conservation Science

Publishing year

2018-05-08

Language

English

Pages

209-219

Publication/Series

Land Use Policy

Volume

77

Document type

Journal article

Publisher

Elsevier

Topic

  • Agricultural Science
  • Environmental Sciences

Keywords

  • Performance based policy
  • Nonpoint source pollution
  • Nutrient runoff
  • Buffer strip
  • Agri-environmental scheme
  • Cost-effective

Status

Published

Research group

  • Biodiversity and Conservation Science

ISBN/ISSN/Other

  • ISSN: 0264-8377