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Alternative agricultures under the Kyoto Protocol. Assessing greenhouse gas abatement policies on the predominantly grazing systems of south-western Australia

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  • Petersen, Elizabeth H.
  • Schilizzi, Steven
  • Bennett, David

Abstract

Three policy options for greenhouse gas abatement in the predominantly grazing systems of Western Australia are analysed. The two taxation policies (a tax on total emissions, and a tax on methane emissions only) are only effective at extreme tax rates ($85/t CO2 equivalents) where the farming systems are economically unviable. The third policy option, emission restrictions, allows the farm to remain profitable at approximately four times greater abatement levels than the taxation policies, and is found to be the most effective and efficient policy option studied. However, it is concluded that the introduction of any farm-level policy for greenhouse gas abatement would be politically unpopular and, in the absence of swift and innovative technological change, would cause the current farming systems to fail and be replaced by alternative land-uses.

Suggested Citation

  • Petersen, Elizabeth H. & Schilizzi, Steven & Bennett, David, 2001. "Alternative agricultures under the Kyoto Protocol. Assessing greenhouse gas abatement policies on the predominantly grazing systems of south-western Australia," 2001 Conference (45th), January 23-25, 2001, Adelaide, Australia 125831, Australian Agricultural and Resource Economics Society.
    • Handle: RePEc:ags:aare01:125831
    DOI: 10.22004/ag.econ.125831
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