How cost-effective are result-oriented agri-environmental measures?

An empirical analysis in Germany

authored by

Bettina Matzdorf, Jana Lorenz

Abstract

Agri-environmental measures (AEM) are the central area-based measures of the second pillar of the Common European Agricultural Policy. Cost-effectiveness of AEMs has to be improved. In this paper a newly designed AEM called result-oriented incentive is empirically analysed for the first time concerning its impacts on environmental effects and cost. Result-oriented financial incentives are linked directly to the desired environmental objectives and allow farmers to choose the most efficient way of management to reach them on their own. In this paper, we present the results of 90 interviews with farmers who have participated in a result-oriented AEM in Baden-Wuerttemberg (Germany). We investigated potential advantages (flexibility, innovation, higher intrinsic motivation and improved continuous adaptation). In addition, we researched disadvantages (transaction costs involved in control efforts, risk for farmers). Our results show that such kind of AEM has a positive impact on cost-effectiveness. However, the concrete design and the implementation process of these AEMs play a crucial role for their successful application.

External Organisation(s)

Leibniz Centre for Agricultural Landscape Research (ZALF)

Type

Article

Journal

LAND USE POLICY

Volume

27

Pages

535-544

No. of pages

10

ISSN

0264-8377

Publication date

04.2010

Publication status

Published

Peer reviewed

Yes

ASJC Scopus subject areas

Forestry, Geography, Planning and Development, Nature and Landscape Conservation, Management, Monitoring, Policy and Law

Electronic version(s)

https://doi.org/10.1016/j.landusepol.2009.07.011 (Access: Closed)