Despite only covering ~3% of the land mass, peatlands store more carbon (C) per unit area than any other ecosystem. This is due to the discrepancy between C fixed by the plants (Gross primary productivity (GPP)) and decomposition. However, this C is vulnerable to frequent, severe droughts and changes in the peatland microclimate. Plants play a vital role in ecosystem C dynamics under drought by mediating water loss to the atmosphere (surface water vapour conductance) and GPP by the presence/absence of stomatal regulation. This is dependent on soil moisture, air temperature, and vapour pressure deficit (VPD). Although there is ample evidence of the role of VPD on stomatal regulation and GPP, the impact of soil moisture is still debated. We addressed this knowledge gap by investigating the role of bulk surface conductance of water vapour in shifts between climatic (Air temperature (Tair), incoming shortwave radiation (SWR) and VPD) and water limitation of GPP in a peat bog in Canada. A causal analysis process was used to investigate how environmental factors influenced GPP. The results suggested that stomatal regulation in response to increased VPD caused the reduction in GPP in 2016 (~2.5gCm-2day-1 as opposed to ~3gCm-2day-1 in 2018). In contrast, GPP was limited again in 2019 due to the dry surface. This was driven by the relaxed stomatal regulation adopted by the ecosystem following the initial drought to maximise C assimilation. We found the threshold at which surface water decline limited GPP was at about -8cm water table depth (82.5% soil moisture). The causal inference corroborated our findings. The temporal variations of water and energy limitation seen in this study could increasingly restrict GPP due to the projected climate warming.
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