Nitrate Non-Point Source Pollution and Economic Incentives

Pollution diffuse aux nitrates et incitations économiques

Marc Willinger, Alban Verchère, Sandrine Spaeter () and Francois Cochard
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Sandrine Spaeter: BETA - Bureau d'Économie Théorique et Appliquée - INRA - Institut National de la Recherche Agronomique - UNISTRA - Université de Strasbourg - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique

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Abstract: Despite the fact that up to now France has never used economic incentives to manage nitrate NPS pollution, this article reconsiders the potential of these instruments. The analysis is carried out on the basis of our European neighbours' experience —whenever possible—, or of theoretical advances and lab experiments. In particular, our analysis of several field experiments suggests that devices proposed to farmers must be the most efficient as possible, but also that they must be fair in order to mitigate social acceptability issues. However, the most ambitious devices have high costs of implementation, which can dissuade the regulator to use them. Hence, it becomes important to find means of reducing them. We tackle this question by describing two promising solutions: On the one hand, the introduction of retroactive audits, on the other hand, the use of ambient inspections.

Keywords: Incentives; Nitrate; Non-point source pollution; Water; Pollution diffuse; Nitrates; Incitations; Eau; Agriculture (search for similar items in EconPapers)
Date: 2009-07
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Published in Revue Française d'Economie, 2009, 24 (1), pp.71-119. ⟨10.3406/rfeco.2009.1722⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-00490293

DOI: 10.3406/rfeco.2009.1722

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