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Result-based agri-environment measures: Market-based instruments,incentives or rewards? The case of Baden-Württemberg
Institution:1. Institute for European Environmental Policy (IEEP), 11 Belgrave Road, IEEP Offices, Floor 3, London SW1 V 1RB, United Kingdom;2. Institut für Agrarökologie und Biodiversität (IFAB), Böcklinstr. 27, D-68163 Mannheim, Germany;1. IFAPA - Institute of Agricultural Research and Training, Department of Agricultural Economics and Rural Studies, Centre Alameda del Obispo, Apdo. 3092, E-14080 Córdoba, Spain;2. Department of Agricultural Economics, University of Córdoba, Puerta Nueva s/n, 14071 Córdoba, Spain;1. University of Natural Resources and Life Sciences, Vienna, Feistmantelstr. 4, A-1180 Vienna, Austria;2. University of Innsbruck, Universitätsstraße 15, A-6020 Innsbruck, Austria;3. Alpine Ecology Laboratory, UMR 5553, BP 53, F-38041 Grenoble Cedex 9, France;4. Norwegian University of Science and Technology, NO-7491 Trondheim, Norway;1. Department of Economics, National University of Ireland, Galway, Ireland;2. Socio Economic and Marine Research Unit (SEMRU), National University of Ireland, Ireland;3. Rural Economy and Development Programme, Teagasc, Athenry, Co., Galway, Ireland;1. Nature Conservation and Plant Ecology Group, Department of Environmental Sciences, Wageningen University, PO Box 47, 6700AA Wageningen, The Netherlands;2. Institute of Biological and Environmental Sciences, School of Biological Sciences, University of Aberdeen, 23 St Machar Drive, Aberdeen AB24 3UU, UK;3. Strategic Communication group, Department of Social Sciences, Wageningen University, P.O. Box 8130, 6700 EW Wageningen, The Netherlands;4. Institute of Environmental Sciences, Leiden University, PO Box 9518, 2300 RA Leiden, The Netherlands;1. ISARA-Lyon, Social Sciences Department, Laboratory of Rural Studies, Agrapole, 23 rue Jean Baldassini, 69364 Lyon Cedex 07, France;2. SUACI Alpes du Nord, GIS Alpes Jura, 40 rue du Terraillet, 73190 Saint Baldoph, France;3. IRSTEA Center of Grenoble, Mountain Territories Development Research Unit, Domaine Universitaire, BP 76 – 38402 Saint-Martin d’Hères cedex, France
Abstract:Result-based agri-environment measures are increasingly seen as an interesting way to improve the conditionality and efficiency of the use of Common Agricultural Policy (CAP) funding for environmental land management. They differ from classical action-based measures in that they remunerate farmers to achieve a desired outcome, and not for complying with a set of rules. We have analysed MEKA-B4, the result-based agrienvironment measure in place in Baden-Württemberg (Germany) between 2000 and 2014, which aimed to preserve species-rich grassland. In order to do so, we carried out semi-structured face-to-face interviews with participating and non-participating farmers and key institutional actors. We argue that MEKA-B4 could be considered a Payment for Ecosystem Services (PES), but only if a broad definition is adopted, as the payment appeared to cover the opportunity costs of only some categories of farmers (e.g., part-time farmers, less productive fields, hay producers), but it was too low to cover those of intensive cattle raisers and biogas producers, partly due to the changing market conditions (e.g., fluctuating and decreasing price of hay; incentives to produce biogas). In fact, in general most farmers were motivated to join the scheme by a combination of extrinsic motivations (i.e., the monetary incentive) and intrinsic motivations (i.e., ethical reasons). Increasing the payment, as has been done in the new version of the scheme (FAKT-B3), may help to ensure a wider enrolment in the measure in the long term. However, the interaction with biogas subsidies and other measures of the FAKT programme may hamper the farmers’ enrolment. This shows the need to improve the integration and coherence of environmental policies that have different objectives.
Keywords:Result-based agri-environment measures  Payment for Ecosystem Services  Incentives  Rewards  Additionality  Opportunity costs  Motivations
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