Farmers’ Willingness to Grow Switchgrass as a Cellulosic Bioenergy Crop: A Stated Choice Approach

Farmers’ Willingness to Grow Switchgrass as a Cellulosic Bioenergy Crop: A Stated Choice Approach Agriculture’s role as a source of feedstocks in a potential lignocellulosic-based biofuel industry is a critical economic issue. Several studies have assessed the technical feasibility of producing bioenergy crops on agricultural lands. However, few of these studies have assessed farmers’ willingness to produce or supply bioenergy crops or crop residues. Biomass markets for bioenergy crops do not exist, and developing these markets may take several years. Therefore, an important, yet unaddressed question is under what contractual or pricing arrangements farmers will grow biomass for bioenergy in these nascent markets. The purpose of this paper is to examine farmers’ willingness to produce switchgrass under alternative contractual, pricing, and harvesting arrangements. Contracts are likely to be the preferred method to bring together producers and processors of biomass for bioenergy. Contract design may vary across farmers and crop type, and may include attributes specific to annual crops, contract length, quantity or acreage requirements, quality specifications, payment dates, and other important features. A stated choice survey was administered in three, six-county areas of Kansas by Kansas State University and the USDA, National Agricultural Statistics Service from November 2010 to January 2011 to assess farmers’ willingness to produce cellulosic biomass under different contractual arrangements. This paper focuses on the switchgrass stated choice experiment from the survey. The stated choice experiment asked farmers to rank their preferred contractual arrangement from two contract options and one “do not adopt” option. Contractual attributes included percentage net returns above the next best alternative (e.g. CRP or hay production), contract length, a custom harvest option, insurance availability, and a seed-cost share option. Respondents then ranked their preferred contract option. The survey also collected data on farm characteristics, bioenergy crop preferences, socio-economic demographics, risk preferences, and marketing behavior. The survey used a stratified sample of farmers who farm more than 260 acres and grow corn. A total of 460 surveys were administered with a 65 percent completion rate. The underlying theoretical model uses the random utility model (RUM) approach to assess farmers’ willingness to grow switchgrass for bioenergy and determine the contractual attributes most likely to increase the likelihood of adoption. This framework allows us to define the “price,” or farmers’ mean willingness to accept, for harvested biomass sold to an intermediate processor. The estimated choice models follow the approach of Boxall and Adamowicz (2002) to capture heterogeneity across farmers and geographic regions due to management differences, conservation practices, and risk preferences. Using the percentage net return above CRP or hay production allows prices to float to levels that will entice farmers to adopt switchgrass. This will help determine a market price for bioenergy crops based on current market and production conditions without specifying an exact monetary value for the biomass. In addition, the survey results will facilitate contract designs between biorefineries and farmers while informing policymakers and the biofuel industry about farmers’ willingness to supply biomass for bioenergy production. Reference: Boxall, P.C. and W.L. Adamowicz, “Understanding Heterogeneous Preferences in Random Utility Models: A Latent Class Approach,” Environmental and Resource Economics 23(2002): 421 – 446.Biofuels, Cellulosic, Biomass, Switchgrass, Farmers, Willingness to Pay, Crop Production/Industries, Production Economics, Resource /Energy Economics and Policy,

Farmers’ Willingness to Produce Alternative Cellulosic Biofuel Feedstocks Under Contract in Kansas Using Stated Choice Experiments

Many studies have assessed the technical feasibility of producing bioenergy crops on agricultural lands. However, while it is possible to produce large quantities of agricultural biomass for bioenergy from lignocellulosic feedstocks, very few of these studies have assessed farmers’ willingness to produce these crops under different contracting arrangements. The purpose of this paper is to examine farmers’ willingness to produce alternative cellulosic biofuel feedstocks under different contractual, market, and harvesting arrangements. This is accomplished by using enumerated field surveys in Kansas with stated choice experiments eliciting farmers’ willingness to produce corn stover, sweet sorghum, and switchgrass under different contractual conditions. Using a random utility framework to model the farmers’ decisions, the paper examines the contractual attributes that will most likely increase the likelihood of feedstock enterprise adoption. Results indicate that net returns above the next best alternative use of the land, contract length, cost share, financial incentives, insurance, and custom harvest options are all important contract attributes. Farmers’ willingness to adopt and their willingness-to-pay for alternative contract attributes vary by region and choice of feedstock

Farmers' willingness to contract switchgrass as a cellulosic bioenergy crop in Kansas

Farmers' adoption of cellulosic biofuel feedstock enterprises plays an important role in the future of agriculture and the renewable fuels \industry. However, no set markets currently exist for bioenergy feedstocks outside of very localized geographic locations and farmers may be reluctant to produce the feedstocks without contracts that help mitigate uncertainty and risk. This study examines farmers' willingness to grow switchgrass under contract using a stated choice approach. Data were collected using an enumerated survey of Kansas farmers and analyzed using latent class logistic regression models. Farmers whose primary enterprise is livestock are less inclined to grow switchgrass. Shorter contracts, greater harvest flexibility, crop insurance, and cost-share assistance increase the likelihood that farmers will grow switchgrass for bioenergy production

Annual bioenergy crops for biofuels production: Farmers' contractual preferences for producing sweet sorghum

Dedicated annual sorghum crops, such as sweet sorghum or energy sorghum, may provide an option for farmers to supply cellulosic feedstocks for biofuel production and help the industry meet government mandates. Kansas farmers are poised to be major producers of sweet sorghum for biofuels due to favorable agro-ecological conditions. The purpose of this paper is to assess Kansas farmers' willingness to grow sweet sorghum under contract as a feedstock for biofuel production. The paper examines farmers' willingness-to-pay for contract attributes and the impact of socio-economic factors on their willingness-to-pay for these attributes. A stated choice survey was administered to Kansas farmers to assess their willingness to grow sweet sorghum for biofuels under various contracting scenarios. Results show that farmers may be willing to grow biomass for bioenergy under contract, but may have varying preferences for the importance of contract attributes such as net returns, contract length, insurance availability, government incentives, and potential for biorefinery harvest options based on socio-economic characteristics of growers

Willingness of Kansas farm managers to produce alternative cellulosic biofuel feedstocks: An analysis of adoption and initial acreage allocation

This paper examines the likelihood that farm managers would be willing to harvest crop residue, or grow a dedicated annual or perennial bioenergy crop. In addition, factors affecting how many initial acres adopters would be willing to plant of a dedicated annual or perennial bioenergy crop are assessed. The study finds several factors affect farm managers' decisions to harvest crop residue, or grow annual or perennial bioenergy crops, as well as their potential initial acreage allocation decisions. These factors lead to several policy implications that should be tailored to the specific type of cellulosic bioenergy crop

A Research and Practice Brief: Measuring Compliance with the Indian Child Welfare Act

This research and practice brief by Casey Family Programs is a useful resource for states that seek to document compliance with ICWA. We document different approaches for measuring compliance and make some recommendations including increased resources to support and to develop training mechanisms for child protective services and judicial staff. Standard measures for compliance across jurisdictions would be beneficial

The Spectral Types of White Dwarfs in Messier 4

We present the spectra of 24 white dwarfs in the direction of the globular cluster Messier 4 obtained with the Keck/LRIS and Gemini/GMOS spectrographs. Determining the spectral types of the stars in this sample, we find 24 type DA and 0 type DB (i.e., atmospheres dominated by hydrogen and helium respectively). Assuming the ratio of DA/DB observed in the field with effective temperature between 15,000 - 25,000 K, i.e., 4.2:1, holds for the cluster environment, the chance of finding no DBs in our sample due simply to statistical fluctuations is only 6 X 10^(-3). The spectral types of the ~100 white dwarfs previously identified in open clusters indicate that DB formation is strongly suppressed in that environment. Furthermore, all the ~10 white dwarfs previously identified in other globular clusters are exclusively type DA. In the context of these two facts, this finding suggests that DB formation is suppressed in the cluster environment in general. Though no satisfactory explanation for this phenomenon exists, we discuss several possibilities.Comment: Accepted for Publication in Astrophys. J. 11 pages including 4 figures and 2 tables (journal format

International Space Station Environmental Control and Life Support System Status: 2011-2012

The International Space Station (ISS) Environmental Control and Life Support (ECLS) system includes regenerative and non-regenerative technologies that provide the basic life support functions to support the crew, while maintaining a safe and habitable shirtsleeve environment. This paper provides a summary of the U.S. ECLS system activities over the past year and the impacts of the international partners activities on them, covering the period of time between March 2011 and February 2012. The ISS continued permanent crew operations including the continuation of six crew members being on ISS. Work continues on the commercial cargo resupply vehicles, and work to try and extend ISS service life from 2015 to no later than 2028.