Paper: "Agri-environmental policy valuation: Farmers’ contract design preferences for afforestation schemes"

Created by David Barton on 10/16/2014 5:47:45 AM

Journal article:  Land Use Policy

Agri-environmental policy valuation: Farmers’ contract designpreferences for afforestation schemes

by Nele Lienhoop and Roy Brouwer

Many regions in the EU aim to increase their forest cover in order to expand timber production, sequester CO2 or to provide more opportunities for recreation. Despite funding opportunities to support afforestation on private land, some of these regions do not succeed in enhancing their forest area. The objectiveof this study is to explore the institutional, economic and ecological conditions that would encouragefarmers to enrol in an agri-environmental scheme for afforestation in Saxony, Germany. Using choiceexperiments and qualitative interviews, farmers’ demand for varying contract designs is estimated. Thefindings show that farmers have a strong disutility for large forests and long contracts and would be will-ing to receive less subsidy if they receive technical forest management advice and have the opportunityto return to agricultural land-uses after the contract ends. Biodiversity and ecosystem service related fac-tors (species’ diversity, timber production and recreational access) do not significantly influence farmers’choices.