Publication Date

1997

Description

Policy instruments for reducing nutrient losses include extension and education, research, financial incentives such as subsidies and levies, and regulations. The potential of these instruments for reducing nitrogen (N), phosphate (P2O5), and ammonia (NH3) losses is examined for Dutch specialized dairy farms on sandy soils. A linear programming model is used to estimate policy impacts. Results indicate that efficiency improvements through extension, education, and research alone have the potential to decrease total N losses to government target levels in 2005 and to erase 92% of the gap between base and target P2O5 losses, but only 24% of the corresponding NH3 gap. Such efficiency gains in mineral use are accompanied by a 40% increase in farm income. In order to reach all mineral loss targets, the introduction of levies would eliminate two-thirds of these income gains.

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Policy Options for Decreasing N and P2O5 Losses from Grassland Based Dairy Farms

Policy instruments for reducing nutrient losses include extension and education, research, financial incentives such as subsidies and levies, and regulations. The potential of these instruments for reducing nitrogen (N), phosphate (P2O5), and ammonia (NH3) losses is examined for Dutch specialized dairy farms on sandy soils. A linear programming model is used to estimate policy impacts. Results indicate that efficiency improvements through extension, education, and research alone have the potential to decrease total N losses to government target levels in 2005 and to erase 92% of the gap between base and target P2O5 losses, but only 24% of the corresponding NH3 gap. Such efficiency gains in mineral use are accompanied by a 40% increase in farm income. In order to reach all mineral loss targets, the introduction of levies would eliminate two-thirds of these income gains.