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Marginal abatement costs of greenhouse gas emissions: broadacre farming in the Great Southern Region of Western Australia

Author

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  • Tang, Kai
  • Hailu, Atakelty
  • Kragt, Marit E.
  • Ma, Chunbo

Abstract

Broadacre agriculture is a major emitter of greenhouse gases (GHG). To improve efficiency of climate change policies, we need to know the marginal abatement costs of agricultural GHG. This article combines calculations of on-farm GHG emissions with an input-based distance function approach to estimate the marginal abatement costs for a broadacre farming system in the Great Southern Region of Western Australia. The results show that, in the study region, the average marginal abatement cost for the 1998–2005 periods was $29.3 per tonne CO2-e. Farms with higher crop output shares were found to have higher marginal abatement costs. Overall, our results indicate that broadacre agriculture is among the lowest cost sources of GHG mitigation.

Suggested Citation

  • Tang, Kai & Hailu, Atakelty & Kragt, Marit E. & Ma, Chunbo, 2016. "Marginal abatement costs of greenhouse gas emissions: broadacre farming in the Great Southern Region of Western Australia," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 60(3), July.
    • Handle: RePEc:ags:aareaj:292459
    DOI: 10.22004/ag.econ.292459
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    Cited by:

    1. Wei Huang & Bernhard Bruemmer, 2017. "Balancing economic revenue and grazing pressure of livestock grazing on the Qinghai–Tibetan–Plateau," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 61(4), pages 645-662, October.
    2. Tang, Kai & He, Chuantian & Ma, Chunbo & Wang, Dong, 2019. "Does carbon farming provide a cost-effective option to mitigate GHG emissions? Evidence from China," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 63(3), July.
    3. Wu, Jianxin & Ma, Chunbo & Tang, Kai, 2019. "The static and dynamic heterogeneity and determinants of marginal abatement cost of CO2 emissions in Chinese cities," Energy, Elsevier, vol. 178(C), pages 685-694.
    4. Tang, Kai & Hailu, Atakelty & Kragt, Marit E. & Ma, Chunbo, 2018. "The response of broadacre mixed crop-livestock farmers to agricultural greenhouse gas abatement incentives," Agricultural Systems, Elsevier, vol. 160(C), pages 11-20.
    5. Powell, J.W. & Welsh, J.M. & Eckard, R.J., 2017. "An irrigated cotton farm emissions case study in NSW, Australia," Agricultural Systems, Elsevier, vol. 158(C), pages 61-67.
    6. Kai Tang, 2022. "The Effect of Left-Behind Women on Fertilizer Use: Evidence from China’s Rural Households Engaging in Rural-Urban Migration," IJERPH, MDPI, vol. 20(1), pages 1-12, December.
    7. Twecan, Dalson & Wang, Weiguang & Xu, Junzeng & Mohmmed, Alnail, 2022. "Climate change vulnerability, adaptation measures, and risk perceptions at households level in Acholi sub-region, Northern Uganda," Land Use Policy, Elsevier, vol. 115(C).
    8. Yang, Lin & Yang, Yuantao & Zhang, Xian & Tang, Kai, 2018. "Whether China's industrial sectors make efforts to reduce CO2 emissions from production? - A decomposed decoupling analysis," Energy, Elsevier, vol. 160(C), pages 796-809.
    9. Tang, Kai & Hailu, Atakelty, 2020. "Smallholder farms’ adaptation to the impacts of climate change: Evidence from China’s Loess Plateau," Land Use Policy, Elsevier, vol. 91(C).
    10. Wang, Yue & Kim, John & Poletti, Stephen & Sharp, Basil, 2018. "Endogenous carbon price in New Zealand: A forest-CGE analysis," Conference papers 330185, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    11. Tang, Kai & Yang, Lin & Zhang, Jianwu, 2016. "Estimating the regional total factor efficiency and pollutants’ marginal abatement costs in China: A parametric approach," Applied Energy, Elsevier, vol. 184(C), pages 230-240.

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