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https://hdl.handle.net/2440/74609
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Type: | Journal article |
Title: | Food-carbon trade-offs between agriculture and reforestation land uses under alternate market-based policies |
Author: | Paterson, Stacey Eliza Bryan, Brett Anthony |
Citation: | Ecology and Society, 2012; 17(3):Art. 21 |
Publisher: | Resilience Alliance Publications |
Issue Date: | 2012 |
ISSN: | 1708-3087 |
School/Discipline: | School of Economics |
Statement of Responsibility: | Stacey Paterson and Brett Anthony Bryan |
Abstract: | Understanding the effects of payments on the adoption of reforestation in agricultural areas and the associated food-carbon trade-offs is necessary to inform climate change policy. Economic viability of reforestation under payment per hectare and payment per tonne schemes for carbon sequestration was assessed in a region in southern Australia supporting 6.1 Mha of rain-fed agriculture. The results show that under the median scenario, a carbon price of 27 A$/tCO2-e could make one-third of the study area (nearly 2 Mha) more profitable for reforestation than agriculture, and at 58 A$/tCO2-e all of the study area could become more profitable. The results were sensitive to variation in carbon risk factor, establishment costs, and discount rates. Pareto-optimal land allocation could realize one-third of the potential carbon sequestration from reforestation (16.35 MtCO2-e/yr at a carbon risk factor of 0.8) with a loss of less than one-tenth (107.89 A$M/yr) of the agricultural production. Both payment schemes resulted in efficiencies within 1% of the Pareto-optimum. Understanding food-carbon trade-offs and policy efficiencies can inform carbon policy design. |
Keywords: | Agriculture; agroecosystem; carbon sequestration; ecosystem services; food security; land use; payment; policy; reforestation |
Rights: | Copyright © 2012 by the author(s) |
DOI: | 10.5751/ES-04959-170321 |
Appears in Collections: | Economics publications Environment Institute publications |
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