Agricultural Non-Point Source Pollution Control – Synergies between Spatial Targeting and Precision Agriculture

Lioba Wendling, Ashar Aftab, Sim Reaney and Jonathan Cummings

No 355334, Agricultural Economics Society (AES) 98th Annual Conference, The University of Edinburgh, Edinburgh, UK, March 18-20, 2024 from Agricultural Economics Society (AES)

Abstract: This paper investigates the cost-effectiveness of agricultural non-point source (NPS) pollution control policies through a biophysical-economic model for the Eden catchment (N-W England). In the context of current UK agricultural reforms and recent technological progress in agricultural technology, policy recommendations are drawn from a purpose-built biophysical-economic model covering six key NPS pollutants (nitrogen and phosphorus to both the river and groundwater, sediment, and carbon emissions). The model is characterised by a novel level of biophysical detail in the literature, including six farm types, six livestock types, 10 hydrological connectivity levels, five soil types, four slope types, 45 years of observed weather data, and 25 crops selected from 24 crop rotations. Incentive-based fertiliser input taxes are found to be the most cost-effective policy mechanism. Notably, the presented results confirm previous findings in the literature of inelastic fertiliser demand. Consequently, high levels of taxation are required to achieve NPS pollution abatement. The novel assessment of Precision Agricutlure (PA) in the context of a catchment-scale biophysical-economic model highlights the synergies in necessary preconditions for PA and spatial targeting to be cost-effective. Policymakers should ensure sufficient heterogeneity in biophysical characteristics and land cover to safeguard successful spatial targeting and PA.

Keywords: Agribusiness; Agricultural Finance (search for similar items in EconPapers)
Pages: 20
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Persistent link: https://EconPapers.repec.org/RePEc:ags:aes024:355334

DOI: 10.22004/ag.econ.355334

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