Boody ppt

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Published on December 28, 2007

Author: Alexan


Paying Farmers for Ecosystem Services:  George Boody The Land Stewardship Project Paying Farmers for Ecosystem Services ….a diversified agricultural landscape with more family farms and viable rural communities provides multiple benefits and the public is willing to pay for services… Slide2:  “I used to take my four-wheeler, now I leave it in the barn because I might miss something.” On-Farm Observation in a Team setting Slide3:  A Guide to the Art and Science of On-Farm Monitoring The Monitoring Tool Box One Storm Two Outcomes June 26th, 1998 2.9” fell in <2 hr, 5” total Same Lester, LeSueur, Webster soils :  One Storm Two Outcomes June 26th, 1998 2.9” fell in <2 hr, 5” total Same Lester, LeSueur, Webster soils Farm system Slope Soil erosion (%) (lb/acre) Organic pasture w/ contours1 18 53 Conventional corn/soybean field2 Chisel plow 8 5,000 Moldboard plow 8 10,000 1Digiacomo, G. C. J. Iremonger, L. Kemp, C. van Schaik, and H. Murray. 2001. “Sustainable Farming Systems: Demonstrating Environmental and Economic Performance.” A Minnesota Institute for Sustainable Agriculture publication. University of Minnesota. St. Paul, MN. 2 Hansen, N.C., 1999 Slide5:  Chippewa River Wells Creek Multiple Benefits of Agriculture Initiative --Two Watersheds Study Slide6:  Scenarios A. Extension of current trends Increased field size, focus on annual crop production B. Adoption of best management practices Shift to conservation tillage, use recommended nutrient application rates, 30 m riparian buffers C. Expanded diversity Five year crop rotation, more grazing and wetland restoration D. Managed year-round vegetative cover Cover crops, 90 m buffers, grass on higher slopes for energy, seed, increased managed grazing --cattle numbers up by: Chippewa Wells Creek Dairy +640 (252%) +6785 (125%) Beef +515 (90%) +1710 (125%) Slide7:  Base A B C D Chippewa River Study Area Slide8:  Sediment and Nutrient Loading Coupled to GIS - provides field locations Modeled using ADAPT (Agricultural Drainage and Pesticide Transport) - field scale to watershed scale - 50-yr simulations - sediment, nutrient-load, run-off - based on farmer interviews Watershed-level aggregation (Gowda 1996) - calibrated to >10 Minnesota watersheds Increased Conservation Reduces Loads in the Water:  Percent Change from Baseline Sediment Sediment P N N P Wells Creek Chippewa River Increased Conservation Reduces Loads in the Water Slide10:  Change in Environmental Benefits Compared to Baseline Data Minnesotans Willing to Pay $201/ Household for the Following Public Benefits from Farming:  Minnesotans Willing to Pay $201/ Household for the Following Public Benefits from Farming Cut soil erosion by 50% Reduce pollutant runoff to water by 50% Reduce the amount of small to moderate flooding from farm land by 25% Increase bird and wildlife habitat by 50% Reduce greenhouse gases by 10 to 20% Slide12:  A new type of conservation program, that points toward how to pay for ecosystem services Conservation Security Program Annual payments to any farmer who produces environmental benefits (outcomes, practices, foregone $, bonuses for special reasons) Rewards desired behavior and changed practices Designed for sustainable economic use e.g., with buffers Graduated participation– a resource of concern on selected fields, a resource on all fields, or for multiple resource concerns on whole farms Enhanced payments for resource conserving practices, monitoring and on-farm research, watershed participation Additional Principle:  Additional Principle Involve farmers, agency staff and other professionals to agree on services and basis for payments Fair to farmers and taxpayers Encourage continuous progress on farms and participation in markets by taxpayers Scale for Measurement :  Scale for Measurement Field (edge of field or in-field ) Farm (profits, % cover, species) If a stream then enter and exit differences Surface Watershed (or landscape, ground watershed) Changes take longer One or a few individuals can alter impacts Sub-basin or larger Slide15:  Figure: Developed at the USFWS, Winona MN. Modeling watershed level effects of farm practices based on desired goals Tools to show changes in ecosystem services Economic analysis to predict acceptable payments to farmers Recruit farmers to help create payment approaches Implement payment approaches Observe, monitor and model results (With Whitewater Watershed Board and other agency and academic partners) Logan Creek Project Desired Ecosystem Services:  Desired Ecosystem Services Reduced sediment delivery at Mouth of Whitewater River by 12% 100% of acres eroding at less than 5 tons/ac Reduced fecal coliform in streams by 62% Tight nutrient cycles within sub watershed Reduce in-stream nitrogen by N (30%) and P and K substantially COD by 32% Hydrologic cycle functioning to absorb and store more frequent storm events (reduced flow by 5%) Healthy populations of wild species Diversity of neo-tropical song and game birds Healthy populations of trout and benthic organisms Wild plant species diversity Desired Stream Quality:  Desired Stream Quality Maintain or improve stream base flows Reduce peak runoff volumes and peak flows from smaller drainages Reduce frequency and occurrence of dissolved oxygen “sags” in the stream Reduce in-stream temperatures in defined stream reaches Improve in stream channel stability Improve in-stream habitat quality ratings for fish Reduce impairments for stream benthic communities. Tools to assess performance:  Tools to assess performance Agro-ecosystem impacts On-farm Observation (Farmers will record observations of ecosystem impacts in a team setting) Selective Analytical measurement (expensive, spotty, more difficult in complex landscapes) Predictive modeling based on monitoring (can be expensive, models must be calibrated, better used to look ahead ) (Testing SWAT and CPT in Logan Creek ) Tools to assess performance:  Tools to assess performance Practices Landscape changes (e.g. increased perennial cover on 15% of landscape, connectivity, restoration of edges, margins and fragments) BMPs Farm family willingness Profitability Quality of Life Gov’t staff willingness Cost Enjoyment Current Landcover Conditions For Woodland And Grassland Nesting Birds In Logan Creek :  Current Landcover Conditions For Woodland And Grassland Nesting Birds In Logan Creek Net Incentives for Farm from Performance Payments:  Net Incentives for Farm from Performance Payments Participate IF Additions to Profit > Subtractions Increase in CSP Rev. + decrease in Prodn. Costs of Q program commodities + decrease in Prodn. Costs of Q non-program commodities > Decrease in P x Q program commodities + decrease in P x Q non-program commodities + decrease in Commodity Payments + increase in start-up CSP + increase in Var. CSP+ Risk Factor Economic Efficiency (Public) for Performance Payments:  Economic Efficiency (Public) for Performance Payments II. Net Benefit IF Public WTP* > CSP Payments III. Marginal Net Benefit for each unit of CSP Participation as long as Public’s marginal WTP > marginal CSP Payment *For environmental improvements from this performance-based payment Selected Payment Approaches:  Selected Payment Approaches Gov’t payments CRP/CREP CSP Marketplace incentives such as ecolabel products Organic market growing at 20% /year (meat and dairy products are 38% or more) and pays a premium (Organic Valley paid 25% more in 2004) Food Alliance seeks to more than double the number of farms to serve food service accounts Local food networks Niman Ranch provides a premium for hogs an other animals raised with animal welfare standards (and diversified crops) Growing grass finished beef market (Thousand Hills Cattle Company in MN) Other incentives Easements, special incentives, carbon markets Questions:  Questions What are most effective strategies for dealing with lag between ecosystem effects and annual payments? How should fluctuations in ecosystem services be related to annual payments? What mix between observation, measurement, predictive estimates and practices will be functional? Additional Information Phases of Environmental Management:  Additional Information Phases of Environmental Management Resistance--regulatory compliance is reduces profits (minimal compliance) Limited strategic approach—necessary to avoid future liabilities (begin relationships and review of total processes) Strategic –pollution prevention pays (system redesign for pollution prevention) * From Krol, Andre 1995. Environmental management issues and approaches for an organization pp 51-90 In Business and the Environment MacMillan Press Ltd as reported by Batie Slide27:  Additional Information Economic Impacts

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