Farmer participation behaviour in the Rural

Environment Protection Scheme (REPS)

Agricultural Economics Society of Ireland5nd of November, 2009

Geraldine MurphyStephen HynesEithne Murphy

Cathal O’Donoghue

Rural Environment Protection Scheme (REPS)

Agri-environmental scheme since 1994

5-Year contract

Fourth phase since August 200711 basic measures2 additional biodiversity undertakingsoptional supplementary measures

Closure of REPS 4 to new applicants July 2009

Research questions: farmer participation decisions

Why do farmers participate in REPS?

farmer participation is voluntary and universalfarmers are primary environmental agents

Why do farmers participate in REPS?

Economic Factorsfarm sizefarm systemproductivity of farm

Demographic Factorsfarmers’ agepresence of a successor

Othersfarmers’ level of education/environmental awarenessfarmers’ previous experience with agri-environmental schemes

Research questions: farmer participation decisions

Why do farmers participate in REPS?farmer participation is voluntary and universalfarmers are primary environmental agents

Why are certain biodiversity undertakings more appealing to farmers than others?

National Farm Survey (NFS)

Farming and farm household activitiesData collected since 19721,200 farms representing 115,0002007 NFS data set

economic demographicfarm characteristic

Biodiversity undertakings

Why are certain biodiversity undertakings more appealing to farmers than others?

Requirements of the undertakingsize or environmental requirements

Farmers’ opinionslevel of effort, aesthetic pleasure

Planners’ opinions“a lot of the decision-making is down to the planner”

Utility maximisation theoryEffort required

changing management practicestime spent at each task

Other farm and farmer characteristics

appreciation of aesthetic beautyconcern for particular species

ModelMultinomial logit model using maximum likelihood estimationAll outcomes are compared to a base case scenario

Management groupings for biodiversity undertaking options

Table 2: List of 26 biodiversity undertaking options grouped according to management changes expected of farmers

Code REPS name Code REPS name Code REPS name2A Traditional Hay Meadows 3A Increased Watercourse Margin 3C Use of Planted Buffer Zones2B Species Rich Grassland 4A Creation of a New Habitat 4B Broad Leaved Tree Planting2C Use of Clover in Grassland Swards 4C Nature Corridors 4D Farm Woodland Establishment2D Use of Trailing Shoe Technology 7A 5A Hedgerow Coppicing2E Control of Invasive Species 5B Hedgerow Laying3B 9B 5C

9A Green Cover Establishment 9C Increased Arable Margins 5D Additional Stonewall Maintenance9D Low Input Spring Cereals 7B 8A Traditional Irish Orchard9E Minimum-tillage 8B Install Bird and or Bat boxes

8A

New Hedgerow Establishment orRejuvenation

Category 2: Farmers fence off part oftheir land

Category 1: Land being used for samepurpose, management changes

Category 3: Planting or recreating newhabitats

Management of PubliclyAccessible Archaeological Sites

Provide Landscaping Around theFarm

Increase in Archaeological BufferMarginsEnvironmental Management of Set-aside

Exclude all Bovine Access toWatercourses

Table 3: Results from a multinomial logit, which looks at the likelihood of farmers participating in biodiversity undertaking management categories

1 and 2 in comparison with category 3 (n = 1,101)

***significant at 1%

Variable Coeff. S.E. Variable Coeff. S.E.Farm Income -0.0059 0.0006*** Farm Income -0.0074 0.0005***Off Farm Job -0.4161 0.0224*** Off Farm Job -0.3115 0.0192***Farmers' Age -0.0043 0.0006*** Farmers' Age -0.0039 0.0006***Children -0.0129 0.0244 Children -0.0053 0.0215Married -0.2087 0.0276*** Married -0.332 0.0239***Dairy Other -0.9714 0.0494*** Dairy Other -0.4131 0.0435***Cattle -0.3759 0.0355*** Cattle 0.1255 0.0326***Cattle Other -0.6631 0.0358*** Cattle Other -0.3705 0.0337***Tillage -0.9092 0.0517*** Tillage 0.3317 0.0398***Sheep -0.9259 0.0370*** Sheep -0.3392 0.0335***Soiltype 1 0.2887 0.0257*** Soiltype 1 0.1981 0.0232***

Category 3: Planting or recreating new habitats

Category 1: Land being used for samepurpose, management changes

Category 2: Farmers fence off part of their land

Preliminary results

Set aside: Environmental value?

Farmland: Economic value?

Thank you for listening.Any suggestions or questions?