CALCULATING RESULT-BASED AGRI-ENVIRONMENT PAYMENTS – LEARNING FROM THE FRONT-RUNNERS
Result-based agri-environment payments (RBAPs) represent an innovative approach to incentivizing sustainable farming by linking payments to measurable environmental outcomes, such as biodiversity enhancement, water quality, and soil health. This paper explores the mechanisms used to calculate th...
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| Main Author: | |
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| Format: | Article |
| Language: | English |
| Published: |
Academica Brâncuşi
2024-10-01
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| Series: | Analele Universităţii Constantin Brâncuşi din Târgu Jiu : Seria Economie |
| Subjects: | |
| Online Access: | https://www.utgjiu.ro/revista/ec/pdf/2024-05/39_Stanimira.pdf |
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| Summary: | Result-based agri-environment payments (RBAPs) represent an innovative approach to incentivizing
sustainable farming by linking payments to measurable environmental outcomes, such as biodiversity enhancement,
water quality, and soil health. This paper explores the mechanisms used to calculate these payments across different
countries, including Germany and Ireland, where result-based schemes are well-established. Drawing on design
process analyses and case studies, the aim of the research is to investigates how payments are structured to reflect
costs such as opportunity costs, management expenses, income forgone and transaction costs. Results indicate that
while RBAPs offer flexibility and encourage farmer innovation, they also introduce complexity in payment calculation,
requiring detailed cost assessments and robust monitoring systems. Despite these challenges, the schemes in these
countries demonstrate the potential of result-based approaches to deliver targeted environmental benefits. The study
concludes that successful RBAPs must balance fair compensation for farmers with effective incentive structures, while
addressing risks and uncertainties associated with achieving ecological outcomes. This research provides valuable
insights into the design and calculation of result-based payments. |
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| ISSN: | 1844-7007 2344-3685 |