Low Emission Farming Systems: A whole-farm analysis of the potential impacts of greenhouse policy

The Australian government is introducing a Carbon Pollution Reduction Scheme in 2010, as part of its climate change policy. After 2015 agriculture may be covered by this scheme. This paper examines how different broadacre farming systems may be affected by the policy settings of this scheme. Using the bio-economic farming systems model MIDAS (Model of an Integrated Dryland Agricultural System) the impacts of the Carbon Pollution Reduction Scheme on the profitability of different broadacre farming systems in the southwest of Australia are investigated. Results show a range of profit and enterprise impacts across the various farm types. In a scenario where agriculture is not covered by the scheme, reductions in profit range from 7 to 12 percent, attributable to more expensive ‘covered’ inputs such as fuel and fertiliser; and farmers reduce their use of expensive energy inputs such as chemicals and fertilisers. In a covered scenario profits decline by 15 to 25 percent of ‘business-as-usual’ profit and optimal farm plans involve a combination of reduced livestock numbers, the introduction of permanent woody perennial plantations on marginal lands and other changes to the farm enterprise mix to reduce emissions.agriculture, greenhouse gases, economic modelling, abatement,

Bio-economic evaluation of pasture-cropping, a novel system of integrating perennial pastures and crops on crop-livestock farms

Pasture-cropping is a novel approach to increase the area of perennial crops in mixed sheep and cropping systems. It involves planting annual cereals directly into a living perennial pasture. There is interest in subtropical grasses as they are winter dormant and their growth profile is potentially well suited to pasture-cropping. However, a wide range of factors can affect the uptake of such systems. This paper assesses the relative importance of factors that can influence decisions to introduce pasture-cropping. In this paper the research question is: what factors predispose a farm to take up a new technology such as (1) subtropical grass and (2) subtropical grass that is pasture-cropped. The analysis uses the MIDAS model of a central wheatbelt farm in Western Australia. The results suggest the adoption of subtropical grasses is likely to be strongly influenced by soil mix; feed quality; and whether the farm is predominantly grazing or cropping and by the presence of meat versus wool producing animals. The same factors are relevant for subtropical grass that is pasture-cropped but in addition yield penalties due to competition between the host perennial and the companion cereal become important. The results suggest the level of forage production by subtropical grass is less important but this factor is likely to become more important if feed quality can be improved.Environmental Economics and Policy,

Low Emission Farming Systems: A whole-farm analysis of the potential impacts of greenhouse policy

The Australian government is introducing a Carbon Pollution Reduction Scheme in 2010, as part of its climate change policy. After 2015 agriculture may be covered by this scheme. This paper examines how different broadacre farming systems may be affected by the policy settings of this scheme. Using the bio-economic farming systems model MIDAS (Model of an Integrated Dryland Agricultural System) the impacts of the Carbon Pollution Reduction Scheme on the profitability of different broadacre farming systems in the southwest of Australia are investigated. Results show a range of profit and enterprise impacts across the various farm types. In a scenario where agriculture is not covered by the scheme, reductions in profit range from 7 to 12 percent, attributable to more expensive ‘covered’ inputs such as fuel and fertiliser; and farmers reduce their use of expensive energy inputs such as chemicals and fertilisers. In a covered scenario profits decline by 15 to 25 percent of ‘business-as-usual’ profit and optimal farm plans involve a combination of reduced livestock numbers, the introduction of permanent woody perennial plantations on marginal lands and other changes to the farm enterprise mix to reduce emissions

Bio-economic evaluation of pasture-cropping, a novel system of integrating perennial pastures and crops on crop-livestock farms

Pasture-cropping is a novel approach to increase the area of perennial crops in mixed sheep and cropping systems. It involves planting annual cereals directly into a living perennial pasture. There is interest in subtropical grasses as they are winter dormant and their growth profile is potentially well suited to pasture-cropping. However, a wide range of factors can affect the uptake of such systems. This paper assesses the relative importance of factors that can influence decisions to introduce pasture-cropping. In this paper the research question is: what factors predispose a farm to take up a new technology such as (1) subtropical grass and (2) subtropical grass that is pasture-cropped. The analysis uses the MIDAS model of a central wheatbelt farm in Western Australia. The results suggest the adoption of subtropical grasses is likely to be strongly influenced by soil mix; feed quality; and whether the farm is predominantly grazing or cropping and by the presence of meat versus wool producing animals. The same factors are relevant for subtropical grass that is pasture-cropped but in addition yield penalties due to competition between the host perennial and the companion cereal become important. The results suggest the level of forage production by subtropical grass is less important but this factor is likely to become more important if feed quality can be improved