Calculating the economic cost of mitigating GHG emissions from UK dairy farms by anaerobic digestion of slurry

Abstract

This study analyses anaerobic digestion (AD) as a renewable energy technology by quantifying the emissions avoided and the cost incurred in the process. The quantitative model developed and demonstrated uses basic farm information to evaluate dairy farms from an environmental and economic perspective. Based on the cost of installing and operating an anaerobic digester and the emissions avoided using this technology, the marginal carbon abatement cost (MAC) is calculated. The MAC thus obtained is used to analyse current policy incentives thereby bridging the gap between the environmental impacts, the economic (dis)incentives and sustainable farming practices