What can we learn from New Zealand’s experience in introducing a scheme to price agricultural emissions?

The European Union is pondering the possible introduction of a pricing scheme for agricultural emissions as a way to accelerate the reduction in agricultural emissions on the way to net zero emissions by 2050. In the wake of criticism from the European Court of Auditors in its 2021 report on the climate performance of the CAP, and in light of the Court’s recommendation that the Commission should “assess the potential to apply the polluter-pays principle to emissions from agricultural activities, and reward farmers for long-term carbon removals”, the Commission has commissioned an exploratory study on pricing agricultural emissions and rewarding climate action in the land sector.… Read the rest

Mitigation potential in EU agriculture

In my previous post on this blog, I noted that the Commission’s impact assessment (IA) accompanying its presentation of the new Effort Sharing Regulation (ESR) proposal concluded that very little additional agricultural mitigation is expected in the period 2021-2030, over and above what is projected to occur under current policies.

Two possible conclusions might be drawn from this finding. One is that the agricultural sector lobby organisations have used their political clout to ensure that the sector is required to do as little as possible to contribute to the EU’s 2030 climate targets. This reaction was advanced by some NGO activists in response to the post.… Read the rest