Kragt ME, Pannell DJ, Robertson MJ & Thamo T (2011), Easy winnings? The economics of carbon sequestration in agricultural soils, Working Paper 1111 School of Agricultural and Resource Economics, University of Western Australia, July 2011
We estimate the biophysical and socio-economic consequences of climate change mitigation by farmers.
The Australian ‘Carbon Farming Initiative’ (CFI) aims to encourage new farming practices that can store carbon, or reduce greenhouse gas emissions.
Example practices that may be funded under the CFI include:
It is unclear how changing practices will affect farm businesses. Private landholders, as well as the general public, may have different preferences for different carbon farming practices.
We do research into socio-economic questions related to carbon farming in Australia.
Period: August 2010 to June 2015
This is a bioeconomic modelling project. We use the APSIM model to predict the impacts of farming practices on soil carbon sequestration. The results are combined with results from whole-farm economic modelling in MIDAS.
Combining these models allows us to analyse the trade-offs between farm profits and soil carbon sequestration. Such information is needed to predict what compensation farmers would need to encourage soil carbon sequestration.
This project uses socio-economic surveys, to investigate the public’s preferences for different carbon farming practices. Public benefits from carbon farming could include
We use a choice experiment survey to estimate the public welfare impacts of carbon farming. This information can help determine whether some practices have higher social values than others.