Rural Environment Protection Scheme Research Articles

Farm technical and environmental efficiency and subsidy redistribution in Ireland: A simulation approach of possible performance and equity effects

AbstractWe investigate the relationship between EU Common Agricultural Policy environmental payments, and dairy and beef farm level competitiveness and environmental performance. We use an Irish panel of farm level financial data for the years 2000–2017 and apply stochastic frontier analysis. Our estimates identify a positive relationship between technical efficiency and the Green, Low‐Carbon, Agri‐Environment Scheme for dairy farms, in contrast with the negative relation identified for previous payments of this kind such as the Rural Environment Protection Scheme for both beef and dairy. We then simulate increases in the first type of environmental payments financed through reductions in decoupled payments. We use alternative scenarios for payment redistribution such as flat allocation, allocation to farms with low stocking rates or proportional reallocation of payments. We find that under the second scenario, marginal environmental gains can potentially be achieved for dairy farms. For beef farms, the proportional allocation performs best regarding environmental gains. We also find that under this scenario, the impacts on income inequality can be smoothed for both farm types.

An investigation into the type of farmer who chose to participate in Rural Environment Protection Scheme (REPS) and the role of institutional change in influencing scheme effectiveness

This paper examines the voluntary aspect of the Rural Environment Protection Scheme (REPS) in Ireland by modelling the type of farmer who chose to participate in the agri-environment programme from 1995 to 2010. The impact of changing scheme payment rates and organic nitrogen restrictions on scheme uptake are also examined. In order to examine some of the heterogeneity of variable influence on participation across the different phases of REPS, separate models for each of the four phases were ran (one for a reference year in each phase). Results from the random effects model show that the type of farmer who was most likely to participate in REPS over time had an extensive farm system, low income and spent more hours working on-farm than their non-REPS counterparts. Single year logit model results were compared to the random effects panel logit model for the entire sample period. The results suggest that the individual year models do a better job in demonstrating how farmers responded to contractual changes in the scheme over time (in terms of their participation decision) compared to the panel model.

87th AES Annual ConferenceProgramme, University of Warwick, 2013

87th <scp>AES</scp> Annual ConferenceProgramme, University of Warwick, 2013

A review of evidence on the environmental impact of Ireland's Rural Environment Protection Scheme (REPS)

Received 19 October 2009. Accepted 28 February 2011. Published 29 March 2012. Since its inception in 1994, there has been strong demand for evidence of the environmental effectiveness of the Rural Environment Protection Scheme (REPS), which has paid farmers in the Republic of Ireland over €3 billion up to 2010. A variety of research projects have been undertaken that investigate the environmental effects of REPS through an examination of either specific environmental measures or specific geographical areas. A review of available publications has confirmed the absence of a comprehensive, national-scale study of the environmental impacts of REPS. For this reason, there is insufficient evidence with which to judge the environmental effectiveness of the national-scale implementation of the whole scheme. For some specific meas ures, however, sufficient evidence is available to inform an objective assessment in some cases, and to help learn how to improve environmental effectiveness in most cases. The majority of the REPS payments are now dedicated to biodiversity objectives. Thus, biodiversity measures and options should be a priority for any national-scale environmental assessment of the scheme. Such a study would help identify the environmental benefits of REPS, the specific elements of REPS that are performing adequately, and those elements that are in need of improvement. Given the considerable overlap between REPS measures and options and those included in the 2010 Agri Environment Options Scheme (AEOS), the assessment of REPS measures could also be used to inform the likely environmental performance of the AEOS.

A REVIEW OF EVIDENCE ON THE ENVIRONMENTAL IMPACT OF IRELAND'S RURAL ENVIRONMENT PROTECTION SCHEME (REPS)

Since its inception in 1994, there has been strong demand for evidence of the environmental effectiveness of the Rural Environment Protection Scheme (REPS), which has paid farmers in the Republic of Ireland over €3 billion up to 2010. A variety of research projects have been undertaken that investigate the environmental effects of REPS through an examination of either specific environmental measures or specific geographical areas. A review of available publications has confirmed the absence of a comprehensive, national-scale study of the environmental impacts of REPS. For this reason, there is insufficient evidence with which to judge the environmental effectiveness of the national-scale implementation of the whole scheme. For some specific measures, however, sufficient evidence is available to inform an objective assessment in some cases, and to help learn how to improve environmental effectiveness in most cases. The majority of the REPS payments are now dedicated to biodiversity objectives. Thus, biodiversity measures and options should be a priority for any national-scale environmental assessment of the scheme. Such a study would help identify the environmental benefits of REPS, the specific elements of REPS that are performing adequately, and those elements that are in need of improvement. Given the considerable overlap between REPS measures and options and those included in the 2010 Agri-Environment Options Scheme (AEOS), the assessment of REPS measures could also be used to inform the likely environmental performance of the AEOS.

Development of indicators for assessment of the environmental impact of livestock farming in Ireland using the Agri-environmental Footprint Index

The Agri-environment Footprint Index (AFI) was developed as a generic methodology to assess farm-scale changes in the environmental impacts of agriculture and to assist the assessment of European agri-environment schemes. Using the AFI method, context-specific indicators were developed for relatively extensive dry-stock, and relatively intensive dairy farming in the northwest and south of Ireland, respectively. Both these farming contexts are subject to the same multi-objective Irish Rural Environment Protection Scheme. The rationale and detailed structure of four indicators are presented; these relate to: organic nutrient application, organic nutrient storage, the biodiversity value of intensive grass husbandry, and the aesthetic landscape value of grass husbandry practice. Sixteen other indicators are detailed in Supplementary material. The majority of the indicators developed involved risk assessment of farm management practices, as a proxy (surrogate) means to assess environmental state. In this sense, they provide an indirect measure or estimate of likely environmental quality, or relative environmental risk. In many cases, the complexities of environmental concerns required the development of integrative multi-metric indicators with corresponding transformation functions. Wherever possible, these functions were based on known (evidence-based) regional or national impact models. Such models (including quantification of relevant environmental quality levels) were frequently unavailable, in which case a participatory process of stakeholder and expert engagement was essential to fill knowledge gaps. Links between the developed indicators and the European Commission's Common Evaluation and Monitoring Framework (CMEF) that was developed around the same time, are presented. In this sense, the context-specific and policy-relevant indicators (and the method to generate them) provide a useful addition to the CMEF common indicators, especially to reflect the specific objectives of national/regional agri-environmental policies. Despite their customisation to the farming contexts studied, the basic structure and underlying logic of many of the developed indicators may be of much wider use in similar livestock-based agro-ecosystems. A common, geo-referenced spatial framework built on contextual indicators that takes into account climate and farming type, would represent a significant advance in the harmonised development of indicators relevant to analysis of agri-environmental policy.

Pastoral farmland habitat diversity in south-east Ireland

In this study, habitat surveys were undertaken on 50 grass-based farms in SE Ireland and data digitised onto aerial photography. Additional data i.e. stocking rates, and participation (or otherwise) in the Irish Rural Environment Protection Scheme (REPS) were collected and analysed as possible explanatory variables for farm habitat composition. Results indicated that approximately 14.3% of the land area of sampled farms comprised of semi-natural habitat types, a proportion substantially greater than has been reported for many other European countries. The most frequently recorded semi-natural habitats included, field boundaries, scrub, and deciduous and riparian woodlands. Multivariate analysis of farm habitat configuration showed a strong dichotomy between dairy and non-dairy farming systems. Habitats such as intensively managed grassland and built ground were closely associated with dairy-based enterprises. In contrast, the incidence of other habitat types was associated with non-dairy and/or REPS participating enterprises. The ecological quality of field boundaries as assessed by the Field Boundary Evaluation and Grading System (FBEGS) Index was significantly greater on dairy, compared with dry-stock farms. This dichotomy in farm habitat composition is not reflected within current Agri-Environment (AE) policy. Integration of locally important drivers of habitat diversity into the design and implementation of AE policy, is integral to the successful performance of AE schemes.

Assessing the compatibility of farmland biodiversity and habitats to the specifications of agri-environmental schemes using a multinomial logit approach

Farmers participating in agri-environmental schemes (AESs) that are aimed at protecting biodiversity should ideally make decisions relating to the ecological management of their farms based on the habitat types found on their farms. In reality, a variety of economic, demographic, farm and farmer characteristics influence all the management decisions made by farmers, including those relating to AESs. In Ireland, the Rural Environment Protection Scheme (REPS) requires that farmers choose at least 2 biodiversity undertakings (BUs) from a menu as part of their AES contract. Using a multinomial logit model, the likelihood of farmers choosing different BUs was estimated using data from the 2007 National Farm Survey as a function of georeferenced habitat data. A comparison was then made between the probable selection of BUs with what would be considered the optimal selection from an ecological perspective. The results indicate that farmers' most likely choices of BUs only sometimes equates with the optimal ecological choices. This highlights deficiencies in the design of REPS, knowledge of which is very timely, given the imminent replacement of REPS by a new AES.

Interactions between livestock systems and biodiversity in South-East Ireland

Botanical and arthropod surveys at field level, and bird counts within field boundaries were undertaken on the same random sample of 50 grass-based farms in SE Ireland. Additional data relating to farm system, farm-level nutrient inputs, stocking rates, and participation (or otherwise) in the Irish Rural Environment Protection Scheme (REPS) were collated. Generalized linear models (GLM) showed that farm system was a predominant influence explaining observed biological diversity. Both sward plant and arthropod diversity were greater on non-dairy (drystock) farms, but total arthropod abundance was greater on dairy farm swards. Both the breeding bird abundance and species richness were significantly greater in field boundaries on dairy, compared with non-dairy farms. These insights have relevance to the debate regarding the most effective use of public expenditure on agri-environment policy, and suggest that such incentive schemes need to become more clearly customised to realise the conservation potential of different farming systems.

Modelling Farmers’ Participation in an Agri‐environmental Scheme using Panel Data: An Application to the Rural Environment Protection Scheme in Ireland

AbstractPrevious studies that have attempted to model the participation decision of farmers in agri‐environmental schemes have used a static framework where it was not possible to examine changes in the participation decision of farmers over time. This is rectified in this paper by utilising an 11‐year panel that contains information on 300 farmers for each year. The structure of this dataset allows us to employ discrete time duration random effects panel data logit models to model the determinants of entering the Irish Rural Environment Protection Scheme (REPS). We introduce a dynamic element into a number of the models by using the random effects logit model estimator, with lagged dependent variables as additional explanatory variables. The results point to the fact that systems of farming that are more extensive and less environmentally degrading remain those most likely to participate in the REPS. In addition, the results highlight the fact that where no attempt is made to control for unobserved heterogeneity or path dependency the effects of the farm‐ and farmer‐specific characteristics may be overestimated.

A spatial micro-simulation analysis of methane emissions from Irish agriculture

Using micro-simulation modelling techniques this paper examines methane emissions across Irish farms. The effects of a carbon equivalent tax on average family farm income are analysed at both the farm and regional level. The spatial micro-simulation model developed uses a technique called simulated annealing to match the Irish Census of Agriculture data to a National Farm Survey. The main advantage of the spatial micro-simulation approach is the fact that it allows one to account for the heterogeneity in the farm population across space. The results of the modelling process are presented using GIS mapping techniques and highlight the fact that there would be significant regional variation in the burden of an agricultural tax that was based on a rate per unit of methane emissions. The results also demonstrate that if the methane tax revenue raised was redistributed in the form of an environmental subsidy to farmers participating in an agri-environmental scheme (the Rural Environment Protection Scheme (REPS)) it would encourage farmers to participate in the scheme and could also have the effect of moving low income farms up the earnings distribution ladder.

Commonage land and farmer uptake of the rural environment protection scheme in Ireland

This paper looks at some of the factors which may influence REPS participation among commonage farmers in the west of The Republic of Ireland and on the impact REPS has had on participating farmers’ income and on their environmental practices and attitudes. Commonage is land held in common ownership on which two or more farmers have grazing rights. There are about 4500 commonages in Ireland and they are important to Irish agriculture, to conservation of the uplands, in managing the environment and in sustaining rural livelihoods. The study reveals that sheep farmers are less likely to join REPS than cattle farmers and that being in receipt of other sources of State income acted as a deterrent to participation. REPS appears to have had a positive impact on participants’ income and seems to have been successful in changing farmer practices in a more environmentally benign direction, when doing so imposed no additional costs on the farmer. Environmental awareness among all farmers appears to be poor although REPS farmers display more appreciation of the degraded state of commonage than do non-REPS farmers. Farmers preference for a continuation of the status quo with respect to commonage management and a lack of discontent with respect to the distribution of past commonage rights points to the potential of building on a more co-operative approach to environmental management.

Benefit Estimates for Landscape Improvements: Sequential Bayesian Design and Respondents' Rationality in a Choice Experiment

<i>A multi-attribute, stated-preference approach is used to value low and high impact actions on four major landscape components addressed by the Rural Environment Protection Scheme in Ireland. Several methodological issues are addressed: the use of prior beliefs on the relative magnitudes of parameters, standardized description of different levels of landscape improvements via image manipulation software, adoption of efficiency-increasing sequential experimental design, and sensitivity of benefit estimates to inclusion of responses from ‘‘irrational’’ respondents. Results suggest that Bayesian design updating delivers significant efficiency gains without loss in respondent efficiency, and estimates are upward-biased when irrational respondents are included.</i> (JEL Q24, Q51)

Using Discrete Choice Experiments to Derive Individual-Specific WTP Estimates for Landscape Improvements under Agri-Environmental Schemes: Evidence from the Rural Environment Protection Scheme in Ireland

Reported in this paper are the findings from two discrete choice experiments that were carried out to address the value of a number of farm landscape improvement measures within the Rural Environment Protection (REP) Scheme in Ireland. Image manipulation software is used to prepare photorealistic simulations representing the landscape attributes across three levels to accurately represent what is achievable within the Scheme. Using a mixed logit specification willingness to pay (WTP) distributions based on the parameter estimates obtained from the individual conditional distributions are derived. These estimates are subsequently adjusted and combined to account for baselines and levels of improvement resulting from the implementation of the REP Scheme. Individual-specific WTP estimates are thus obtained for the contribution of the Scheme to rural landscapes and are subsequently contrasted with the average cost of the Scheme across the Irish adult population. Results indicate that the Scheme contributes substantial benefits to rural landscapes.

Grassland arthropod species richness in a conventional suckler beef production system and one compatible with the Irish agri-environment scheme (REPS)

Grassland management practices, such as grazing, strongly affects the biodiversity of grassland arthropods; increasing grazing intensity causes a general decline in species richness (Morris, 2000). One of the aims of the Rural Environment Protection Scheme (REPS) is to conserve and enhance biodiversity within Irish agricultural land (Feehan et al., 2002). In order to determine the effectiveness of this aspect of REPS, one must compare the relative biodiversity of grassland under REPS with that of conventionally managed grassland. Aiming to determine whether species richness was higher in REPS-compatible compared with a standard system of management, we measured the species richness of grassland arthropods within two contrasting grassland treatments within an experimental study of suckler beef production.

Effects of an agri-environment scheme on farmland biodiversity in Ireland

Agri-environment measures cover at least 20% of the EU's farmland, a proportion rising to approximately 30% in Ireland. A study, investigating effects on biodiversity of Ireland's Rural Environment Protection Scheme (REPS) is described. Field margin flora and Carabidae (ground beetle) fauna were surveyed on 60 paired agreement and non-agreement farms. Greater variation was observed amongst surveyed non-agreement farms: the most species-rich and species-poor farms were all non-agreement. On surveyed grassland farms, average plant species richness was significantly higher on non-agreement than on agreement farms. Otherwise, few differences between average species richness and abundance on agreement and non-agreement farms were revealed. In ordination analysis of the flora and carabidae data factors largely independent of recent management, such as hedge age and gappiness, were most important in explaining observed variation. The study concluded that the scheme has not significantly benefited the groups surveyed, and suggests that the generic measures in such horizontal schemes may be better suited to addressing landscape-level issues such as water pollution, with biodiversity objectives for high nature value areas being more effectively achieved by targeted zonal schemes. Baseline data and long-term monitoring of measurable objectives are essential for effective evaluation, both to better tailor these innovative schemes to their aims, and to clearly demonstrate their benefits.

Connecting environmental management and farm household livelihoods: The Rural Environment Protection Scheme in Ireland

This paper presents the relationship between an environmental protection scheme, established in Ireland in 1994 under EU Regulation No. 2078/92, and the livelihoods of Irish farm households. It explores this relationship within the framework of the new policy environment for EU agriculture and rural areas as set out in Agenda 2000. At the centre of this new policy environment is the European model for agriculture, embodying the concept of multifunctionality, which recognizes the pivotal position of an evolving agricultural sector in enhancing the viability of rural areas through broadening the assets of farm families. Research undertaken with farm households in the west of Ireland indicates a positive relationship between the Rural Environmental Protection Scheme and the economic and natural assets upon which they build their livelihoods. The case of a small-scale dairy farm household is presented, showing clearly the positive impact of the scheme, while also highlighting the vulnerability of these improvements. A major challenge facing policy-makers is the extent to which acceptable levels of income and an enhanced natural environment on such farms can be sustained. The position of advisory and research institutions in strengthening human capacities on farms is highlighted and their enhanced role is suggested in order to give meaning to multifunctional and sustainable agriculture within the context of rural area viability. Copyright © 2001 John Wiley & Sons, Ltd.

Effects of extending the grazing season in beef production systems

The cost of grazed grass is less than half that of grass silage (O’Kiely, 1994) and incomes from beef production are low and largely dependent on EU support schemes. Thus the income from beef production could be incresed by reducing feed costs through increasing the proportion of grazed grass in the diet and optimising the use of the various support schemes. The objective of this two-year study was to examine the effects on the performance of yearling cattle of turnout to pasture three weeks earlier than normal. This was examined within two suckler beef production systems. One was a standard system similar to that outlined by Drennan (1993) and the second was compatible with the Rural Environment Protection Scheme (REPS).

The Rural Environment Protection Scheme of the Republic of Ireland

Agricultural modernisation has had an impact on the Irish environment but official policy to address this developed only slowly. The reform of the EU CAP provided the incentive for the formulation of the Rural Environment Protection Scheme (REPS). This is a wide-ranging scheme to promote environmentally friendly farming through application of 11 measures and six supplementary measures. Significant characteristics of the REPS include its: universal availability, voluntary nature, comprehensiveness, payment limitation, tailoring to individual farms and inclusion of training. There has been a high level of adoption, with participation being greatest in the small-farm west with its cattle and sheep enterprises.