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Cost-effective strategies to mitigate multiple pollutants in an agricultural catchment in North Central Victoria, Australia

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  • Graeme J. Doole
  • Olga Vigiak
  • David J. Pannell
  • Anna M. Roberts

Abstract

Strategies to reduce phosphorus and sediment yields are identified for two Australian catchments using a nonlinear optimisation model. This provides novel insight into the cost-effective management of dual pollutants of water courses in Australia. A strong degree of complementarity between the two pollutants is highlighted, given the adsorption of phosphorus to sediment that augments the value of gully and streambank management for mitigation. However, the relationship between the two pollutants is asymmetric. A 30 per cent reduction in phosphorus yield achieves a 75 per cent reduction in sediment yield in one catchment, while a 30 per cent reduction in sediment yield achieves only a 12 per cent reduction in phosphorus yield. Sediment abatement costs are low given the efficiency of gully and streambank management. A 30 per cent phosphorus reduction lowers profit by 3–7 per cent, while a 30 per cent sediment reduction lowers profit by around 1 per cent. Land-use optimisation requires spatial heterogeneity in land-use and gully/streambank management responses. Overall, this research demonstrates the need to determine whether one pollutant is more important than another, while recognising the potential that mitigation practices possess for the reduction of multiple emissions during their evaluation.
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Suggested Citation

  • Graeme J. Doole & Olga Vigiak & David J. Pannell & Anna M. Roberts, 2013. "Cost-effective strategies to mitigate multiple pollutants in an agricultural catchment in North Central Victoria, Australia," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 57(3), pages 441-460, July.
  • Handle: RePEc:bla:ajarec:v:57:y:2013:i:3:p:441-460
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    File URL: http://hdl.handle.net/10.1111/1467-8489.12003
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    1. Balana, Bedru Babulo & Vinten, Andy & Slee, Bill, 2011. "A review on cost-effectiveness analysis of agri-environmental measures related to the EU WFD: Key issues, methods, and applications," Ecological Economics, Elsevier, vol. 70(6), pages 1021-1031, April.
    2. Bathgate, Andrew & Pannell, David J., 2002. "Economics of deep-rooted perennials in western Australia," Agricultural Water Management, Elsevier, vol. 53(1-3), pages 117-132, February.
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    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. 261 – Agricultural water pollution
      by David Pannell in Pannell Discussions on 2014-01-27 21:00:37

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    Cited by:

    1. Jo Hendy & Levente Timar & Dominic White, 2018. "Land-use modelling in New Zealand: current practice and future needs," Working Papers 18_16, Motu Economic and Public Policy Research.
    2. Rolfe, John & Windle, Jill, 2016. "Estimating supply functions for agri-environmental schemes: Water quality and the Great Barrier Reef," 2016 Conference (60th), February 2-5, 2016, Canberra, Australia 235510, Australian Agricultural and Resource Economics Society.
    3. Bermeo, Santiago & Austin, Darran & Doole, Graeme & Fenemor, Andrew, 2016. "Waimea Plains: Economics of freshwater quantity management," 2016 Conference (60th), February 2-5, 2016, Canberra, Australia 235247, Australian Agricultural and Resource Economics Society.
    4. repec:ags:aareaj:260071 is not listed on IDEAS
    5. Bermeo, Santiago & Doole, Graeme & Austin, Darran & Fenemor, Andrew, 2016. "Waimea Plains: economics of freshwater quantity management," 2016 Conference (60th), February 2-5, 2016, Canberra, Australia 235246, Australian Agricultural and Resource Economics Society.

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