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Agri‐environmental Schemes Require Improved Design for Better Outcomes

Author: Nguyen, Chi,Latacz‐Lohmann, Uwe,Hanley, Nick
Publisher: Hoboken, NJ: Wiley Periodicals, Inc.,Hoboken, NJ: Wiley Periodicals, Inc.
Year: 2024
DOI: 10.1111/1746-692X.12441
Source: https://www.econstor.eu/bitstream/10419/313806/1/EUCH_EUCH12441.pdf
Nguyen, Chi; La acz‐Lohmann, Uwe; Hanley, Nick
A icle — Published Ve sion
Ag i‐en i onmen al Schemes Requi e Imp o ed Design o
Be e Ou comes
Eu oChoices
P o ided in Coope a ion wi h:
John Wiley & Sons
Sugges ed Ci a ion: Nguyen, Chi; La acz‐Lohmann, Uwe; Hanley, Nick (2024) : Ag i‐en i onmen al
Schemes Requi e Imp o ed Design o Be e Ou comes, Eu oChoices, ISSN 1746-692X, Wiley
Pe iodicals, Inc., Hoboken, NJ, Vol. 23, Iss. 3, pp. 14-21,
h ps://doi.o g/10.1111/1746-692X.12441
This Ve sion is a ailable a :
h ps://hdl.handle.ne /10419/313806
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14 ★ Eu oChoices 23(3)
DOI: 10.1111/1746-692X.12441
Ag i- en i onmen al Schemes Requi e Imp o ed
Design o Be e Ou comes
La concep ion des p og ammes ag o- en i onnemen aux doi ê e
amélio ée pou ob eni de meilleu s ésul a s
Ag a umwel p og amme e o de n eine e besse e Konzep ion, um
besse e E gebnisse zu e zielen
Chi Nguyen, Uwe La acz- Lohmann and Nick Hanley
Ag i- en i onmen al schemes (AES) a e
a key ins umen o he Common
Ag icul u al Policy, aiming o incen i ise
landholde s o p o ide en i onmen al
public goods on p i a e a mland. The
EU has a long his o y o implemen ing
AES since he ea ly 1990s. Howe e ,
en i onmen al deg ada ion, biodi e si y
loss and ag icul u al emissions con inue
o ise a an ala ming a e wi h no signs
o aba ing ac oss Membe S a es (Ai
Sidhoum e al.,2022; Dup az and
Guyoma d,2019). This aises he
ques ion o wha inhibi s AES om
gene a ing signi ican en i onmen al
imp o emen s and achie ing he
highes po en ial e ec i eness o
public spending.
The poo pe o mance o AES has been
pa ly a ibu ed o he adop ion o an
indi idual- a m a ge ing app oach o
conse a ion (Limbach e al.,2023).
This app oach p io i ises conse a ion
ac ions a he indi idual a m le el.
Howe e , many en i onmen al public
goods and se ices, such as wildli e
co ido s, conse ed we lands, ipa ian
zones and wa e pu i ica ion se ices,
ope a e a a landscape le el. Thei
p o ision bene i s om spa ial
con igui y o conse a ion ac i i ies.
Aligning he scale o ecological
p ocesses and he scale o conse ed
a mland a ge ed by AES is c i ical o
achie ing signi ican en i onmen al
imp o emen s (Pe’e e al.,2020).
Ample e idence has shown ha
spa ially coo dina ed conse a ion
e o s a he landscape- le el can
gene a e highe ecological gains han
agmen ed e o s o many species
and o many en i onmen al bene i s
(Jones e al.,2023). The e o e, he
ecological scale a which en i onmen al
public goods can be e ec i ely
deli e ed will dic a e he p e e ed
scale o policy design and
implemen a ion. While conse a ion
agencies could spa ially a ge
conse a ion a eas wi h he highes
po en ial en i onmen al alues o
en olmen , such spa ial a ge ing does
no gua an ee he achie emen o
spa ially connec ed conse ed pa cels
o land, such as hose needed o
es ablishing wildli e co ido s. This
challenge a ises om he olun a y
pa icipa ion o landholde s in AES:
each a me makes hei own decision
o e whe he o no o pa icipa e and
which pa cels o o e .
Mo i a ing landholde s o coo dina e
hei conse a ion e o s using
economic incen i es is no a simple
ask. I equi es AES o be designed in
a way ha can add ess ba ie s o
coo dina ion, such as ansac ion cos s
incu ed in coo dina ing conse a ion
e o s, unce ain y abou he beha iou
o neighbou ing landholde s, and
landholde s’ lack o knowledge abou
he ecological gains om spa ial
coo dina ion (Niemiec e al.,2017).
Conse a ion auc ions as an
incen i e mechanism
AES a y in hei design and
implemen a ion. They can be ixed-
a e paymen p og ammes o auc ion
p og ammes. Conse a ion auc ions
ha e long been ad oca ed as a
cos - e ec i e mechanism o
alloca ing conse a ion con ac s o
landholde s. Compe i i e bidding
could wo k as a p ice disco e y
mechanism, mo i a ing landholde s o
u h ully e eal hei compliance
cos s o he p o ision o
en i onmen al public goods. This, in
u n, educes he isk o
o e compensa ing landholde s o
conse a ion e o s ha only gene a e
low en i onmen al bene i s. The
auc ion mechanism has been p o en
o achie e signi ican cos sa ings
ela i e o con en ional ixed- a e
paymen mechanisms (Schilizzi and
La acz- Lohmann,2007). The cos
sa ing o conse a ion auc ions o e
ixed- a e paymen s becomes mo e
“Il n’exis e pas de
mécanisme unique
capable de p omou oi
e icacemen des
mesu es de
conse a ion
spa ialemen
coo données pou
ou es les con igu a ions
paysagè es
es ées.”
© 2024 The Au ho (s). Eu oChoices published by John Wiley & Sons L d on behal o Ag icul u al
Economics Socie y and Eu opean Associa ion o Ag icul u al Economis s.
This is an open access a icle unde he e ms o he C ea i e Commons A ibu ion-NonComme cial-
NoDe i s License, which pe mi s use and dis ibu ion in any medium, p o ided he o iginal wo k is
p ope ly ci ed, he use is non-comme cial and no modi ica ions o adap a ions a e made.
Eu oChoices 23(3) ★ 15
© 2024 The Au ho (s). Eu oChoices published by John Wiley & Sons L d on behal o Ag icul u al Economics
Socie y and Eu opean Associa ion o Ag icul u al Economis s.
p onounced in con ex s whe e a la ge
numbe o po en ial landholde s
pa icipa e, he e is he e ogenei y in
landholde s’ compliance cos s, and
policymake s ha e limi ed
in o ma ion abou hese cos s.
Auc ions ha e been he p ima y
mechanism o conse a ion
con ac s in he US and Aus alia,
such as he Conse a ion Rese e
P og am and he Bush Tende
(La acz- Lohmann and
Schilizzi,2007). They ha e also been
p oposed as one o he design
op ions unde he EU egula o y
amewo k o AES (Ve gamini
e al.,2015). Howe e , he e has
been limi ed applica ion o
conse a ion auc ions in Eu ope so
a . This is pa ly due o ins i u ional
cons ain s in implemen ing an
auc ion mechanism (P imme ,2017).
Eu opean policymake s ha e ended
o p omo e a coope a i e
en i onmen , a he han a
compe i i e bidding en i onmen
among landholde s. Mo eo e , he
cos - e ec i eness o AES (i.e.
achie ed en i onmen al bene i s pe
Eu o spen , also known as ‘ alue-
o - money’) has no been he cen al
ocus in AES design and
implemen a ion in Eu ope. Howe e ,
conside ing he limi ed public
budge o CAP Pilla 2 and he
inc easing public demand o
en i onmen al goods (e.g.
biodi e si y and clean wa e ),
applica ion o auc ions o na u e
conse a ion should ecei e mo e
a ou able a en ion in Eu ope.
Imp o ing he knowledge on
designing auc ions ha p omo e
spa ially coo dina ed conse a ion
ac ions among landholde s is
impo an , pa icula ly o achie ing
landscape- scale en i onmen al
ou comes, such as es ablishing
wildli e co ido s and/o s epping
s ones, (Nguyen e al.,2022). In his
pape , we ocus on he pe o mance
o h ee al e na i e coo dina ion-
imp o ing mechanisms ha could be
inco po a ed in o auc ion design.
The p os and cons o
al e na i e coo dina ion-
imp o ing mechanisms
I is use ul o classi y mechanisms o
imp o ing spa ial coo dina ion in o
bo om- up and op- down app oaches.
The bo om- up app oach, such as
landholde - o- landholde
communica ion, elies on he powe
o pee in luence wi hin a ming
communi ies o encou age
coo dina ion. In con as , he op-
down app oach elies on egula o y
au ho i ies o implemen incen i e
mechanisms o p omo e coo dina ion
beha iou . Examples include
in o ma ion disclosu e policies
ega ding spa ial en i onmen al
sco ing ules, and he
Agglome a ion Bonus.
Landholde - o- landholde
communica ion. Coo dina ion
can be achie ed h ough social
in e ac ions. Communica ion among
landholde s is expec ed o os e
in o ma ion sha ing abou he
po en ial ecological and economic
bene i s o coo dina ed conse a ion.
On he one hand, i helps ackle he
p oblem o incomple e in o ma ion
ega ding he beha iou o
neighbou s and acili a es
coo dina ion. In pa icula ,
communica ion enables landholde s
o discuss hei in e es s in
coo dina ing conse a ion e o s
and de ise co esponding bidding
s a egies ega ding which land
pa cels o o e and a wha p ices,
aiming o op imise hei likelihood
o winning a con ac . On he o he
hand, communica ion could p omo e
collusion among landholde s,
encou aging o e bidding beha iou .
Howe e , when landholde s
inc ease hei bids, hey encoun e a
ade- o be ween po en ially gaining
mo e AES paymen s and acing a
highe isk o no winning a
con ac . Engaging in
communica ion is cos ly o
landholde s. Thei willingness o do
so e lec s hei willingness o incu
p i a e ex- an e ansac ion cos s o
spa ial coo dina ion.
Disclosu e o spa ial
en i onmen al sco ing ule.
The en i onmen al agency
inco po a es he inc ease in
en i onmen al bene i s when
adjacen pa cels o land om
neighbou ing landholde s a e
conse ed in o he sco ing ule o
e alua ing and selec ing bids. This
e lec s he agency’s p e e ence o
spa ially con iguous conse a ion
e o s. Disclosing his in o ma ion
would help landholde s o o mula e
and submi hei bids o be e align
“Es gib keinen
pauschalen
Mechanismus, de
äumlich koo dinie e
E hal ungsmaßnahmen
ü alle ge es e en
Landscha skon igu a-
ionen wi ksam ö de n
kann.”
Coun yside in u al Romania (T ansil ania).
16 ★ Eu oChoices 23(3)
© 2024 The Au ho (s). Eu oChoices published by John Wiley & Sons L d on behal o Ag icul u al Economics
Socie y and Eu opean Associa ion o Ag icul u al Economis s.
wi h he agency’s p e e ences o
landscape managemen . Wi h his
in o ma ion, landholde s a e
expec ed o be mo e likely o
coo dina e wi h hei neighbou s on
conse a ion ac ions, in o de o
inc ease he likelihood o hei bids
being selec ed. Howe e , disclosing
he sco ing ule migh also in ensi y
o e bidding beha iou , since bidde s
ende highe bids knowing ha
hey a e o e ing a ‘high
quali y’ se ice.
Agglome a ion Bonus. The
Agglome a ion Bonus (AB) is a
inancial incen i e explici ly designed
o ewa d spa ial coo dina ion o
conse a ion e o s among
landholde s. The AB is paid o
landholde s on op o he winning
bid amoun s i o he landholde s a e
con ac ed o unde ake conse a ion
ac ions on hei neighbou ing land.
This mechanism p o ides incen i es
o landholde s o coo dina e hei
conse a ion e o s, esul ing in
inc eased connec i i y in conse ed
land. Landholde s end o lowe hei
bids wi h he expec a ion o ea ning a
bonus in e u n. Howe e , i is also
possible ha unce ain y abou
neighbou s’ conse a ion decisions,
and hus he isk o no ecei ing an
AB, migh de e landholde s om
coo dina ing conse a ion ac ions
ac oss holdings.
Landscape con igu a ion is
impo an o he e ec i eness
o coo dina ion mechanisms
By landscape con igu a ion we mean
he co ela ion o oppo uni y cos s
(OC) and en i onmen al alues (EV).
While oppo uni y cos s e lec income
o gone om educed ag icul u al
p oduc ion, en i onmen al alues
ep esen he en i onmen al bene i s
gene a ed when lands a e managed
o conse a ion. The oppo uni y cos
is he minimum p ice he landholde
needs o o e ing hei land o
conse a ion, and he minimum cos s
o he agency. The en i onmen al
alue is he gain o socie y in which
he agency is in e es ed. The ques ion
is now which o he h ee mechanisms
desc ibed abo e p o ides he bes
solu ion o bo h pa ies.
AES a ge ing he p o ision o
biodi e si y conse a ion o en ope a e
in landscapes whe e oppo uni y cos s
and en i onmen al alues a e
nega i ely co ela ed, so ha he
highes po en ial ecological bene i
ends o be associa ed wi h he lowes
oppo uni y cos s. Fo Cen al
Sco land, i was shown ha
oppo uni y cos s o c ea ing
conse a ion o se s on a mland and
wo di e en indica o s o a mland
biodi e si y a e nega i ely co ela ed,
which means ha biodi e si y gains
we e highe on land pa cels wi h low
oppo uni y cos s (Simpson
e al.,2022). Simila ly, o Eas e n US
o es si es, oppo uni y cos s o o es
conse a ion and a ange o ecological
quali y indica o s a e p edominan ly
nega i ely spa ially co ela ed, i.e.
highe ecological gains we e ound on
low- oppo uni y cos pa cels
(A mswo h e al.,2017). In con as ,
posi i e co ela ions a e o en ound
whe e AES a ge ecosys em se ices,
such as wa e shed p o ec ion o local
pollu ion (Lundbe g e al.,2018).
Sa ke e al.(2008) ound ha he
oppo uni y cos s o se ing aside
c opping land o ipa ian ege a ion
a e posi i ely co ela ed wi h
indica o s o wa e quali y in he
Lockye ca chmen in Sou heas
Queensland, Aus alia. This means ha
high wa e quali y imp o emen s we e
ound on plo s which we e cos ly o
se aside.
We conduc ed a se ies o lab
expe imen s o e alua e he
pe o mance o al e na i e
coo dina ion- imp o ing mechanisms
in an auc ion- ype AES in enhancing
spa ial coo dina ion ac oss di e en
landscape con igu a ions. These
include landscapes whe e oppo uni y
cos s and en i onmen al alues a e
nega i ely co ela ed, posi i ely
co ela ed, and unco ela ed. Resul s
can be used o guide policymake s in
choosing he design o e ec i e
coo dina ion incen i es o achie ing
landscape- scale en i onmen al
a ge s. Ou wo k is a p omp
esponse o a ecen call o mo e
expe imen al esea ch o imp o e he
design o he Common Ag icul u al
Policy (Cu zi e al.,2022).
Economic expe imen s o
in o m policy design
Economic expe imen s we e ca ied
ou wi h 360 ag icul u e s uden s a
Kiel Uni e si y, Ge many. The
s uden s pa icipa ed in a s ylised
conse a ion auc ion whe e he
en i onmen al agency, wi h a limi ed
budge , selec ed o e s o land
e i emen om landholde s. The
en i onmen al objec i e was o
es ablish wildli e co ido s and/o
s epping- s ones be ween wo
agmen ed conse a ion habi a s.
Box1 shows he expe imen
ea men s. Fo he de ails o he
expe imen al se - up, esul s, and
discussions o each coo dina ion-
imp o ing mechanism, he eade s can
e e o ou pape s: Nguyen
e al.(2024); and Nguyen e al.(2023)
o which his a icle is a summa y.
Box 1: Expe imen al ea men s
T ea men s (Be ween- subjec design)
Spa ial co ela ion o oppo uni y
cos s and en i onmen al bene i s
Unco ela ed Nega i e Posi i e
No communica ion (Concealing spa ial
sco ing ule + No communica ion)
5 sessions 5 sessions 5 sessions
Communica ion (Concealing spa ial
sco ing ule + Communica ion)
5 sessions 5 sessions 5 sessions
Disclosing spa ial sco ing ule
(Disclosing spa ial sco ing ule +
Communica ion)
5 sessions 5 sessions 5 sessions
Agglome a ion Bonus (Concealing
spa ial sco ing ule + Communica ion +
Agglome a ion Bonus)
5 sessions 5 sessions 5 sessions
No e: De ails o he expe imen al design a e p o ided in Nguyen e al.(2024) and Nguyen
e al.(2023).
Eu oChoices 23(3) ★ 17
© 2024 The Au ho (s). Eu oChoices published by John Wiley & Sons L d on behal o Ag icul u al Economics
Socie y and Eu opean Associa ion o Ag icul u al Economis s.
How policy pe o mance
was measu ed
• The Ma k- up a e indica es how
much bidde s in la e hei bids
ela i e o hei oppo uni y cos s.
A highe ma k- up a e leads o
highe cos s o he agency and
p o ides landholde s wi h a
wind all p o i , which is seen as
undesi able.
• Spa ial coo dina ion is measu ed
by he numbe o connec ed
pa cels selec ed by he agency.
Ou expe imen was calib a ed
such ha a highe numbe o
connec ed pa cels lead o highe
en i onmen al gains o socie y.
• Cos - e ec i eness is compu ed as
a e age quan i y o en i onmen al
bene i s p ocu ed pe Eu o spen .
The agency endea ou s o achie e
a high en i onmen al bene i wi h
i s expendi u e. The highe he
le el o cos - e ec i eness, he
mo e en i onmen al bene i can
be p ocu ed wi h a gi en budge .
Resul s summa y
1. The pe o mance o
coo dina ion mechanisms is
sensi i e o landscape
con igu a ion. Fo each
coo dina ion- imp o ing mechanism,
Table1 shows he colou - coded
anking o each pe o mance c i e ion
ac oss landscape ypes, anging om
ligh b own o da k b own, which
ep esen low o high alues,
espec i ely. The esul s sugges ha
landscape ype in luences he
pe o mance o coo dina ion-
imp o ing mechanisms. Rega ding
bidding beha iou , landholde s end
o o e bid he mos in he landscape
whe e oppo uni y cos s and
en i onmen al alues a e nega i ely
co ela ed (hence o h nega i e
landscape ype) when communica ion
o he Agglome a ion Bonus (AB) is
used o enhance coo dina ion. This
could be explained by landholde s
demanding highe ma k- ups on
pa cels in high- alue zones han
hose in low- alue zones. Such
beha iou is ein o ced in nega i e
landscapes whe e high- EV pa cels
end o be o low oppo uni y cos .
By con as , o e bidding in high- EV
pa cels ends o be lowe in posi i e
landscapes since hese pa cels would
likely ha e high oppo uni y cos s.
Landholde s a e likely o ex ac less
gain due o he ade- o s be ween a
highe ma k- up and educed
p obabili y o winning he auc ion.
Disclosing he sco ing ule esul ed in
he highes ma k- up a es in he
posi i e landscape, ollowed by he
nega i e and unco ela ed landscapes.
S ipc opping in Lowe Saxony, Ge many © Uwe Hols .
Table 1: The pe o mance o coo dina ion mechanisms is sensi i e o
landscape con igu a ion
Pe o mance
c i e ia
Landscape
ype
Coo dina ion- imp o ing mechanism
Communica ion
Disclosu e o
spa ial
en i onmen al
sco ing ule
Agglome a ion
Bonus
Ma k- up a e Unco ela ed
Nega i e
Posi i e
Spa ial
coo dina ion
Unco ela ed
Nega i e
Posi i e
Cos -
e ec i eness
Unco ela ed
Nega i e
Posi i e
No e: Colou - coded anking o pe o mance c i e ia ac oss landscape ypes in each
coo dina ion- imp o ing mechanism, anging om ligh b own o da k b own, which
ep esen low o high alues .

18 ★ Eu oChoices 23(3)
© 2024 The Au ho (s). Eu oChoices published by John Wiley & Sons L d on behal o Ag icul u al Economics
Socie y and Eu opean Associa ion o Ag icul u al Economis s.
In e ms o spa ial coo dina ion,
ou esul s indica e ha in
landscapes whe e cos s and
bene i s a e nega i ely co ela ed,
he le el o spa ial coo dina ion o
conse a ion e o s is likely o be
lowe han in he o he landscape
ypes. This is because landholde s
end o be eluc an o o e hei
low- EV pa cels ha a e c i ical
loca ions o he es ablishmen o
co ido s, as hese pa cels a e also
high- cos pa cels in he nega i e
landscape ype.
Compa ed o he wo o he landscape
ypes, achie ing cos - e ec i e
conse a ion ou comes is mo e
challenging in he nega i e landscape
con igu a ion. Fo he wo
coo dina ion mechanisms,
communica ion and AB, cos -
e ec i eness was ound o be lowes
in he nega i e landscape ype. The
mechanism o in o ma ion disclosu e
esul ed in he lowes cos -
e ec i eness in he unco ela ed
landscape. This is pa ly d i en by
he highes ma k- up a es and he
lowes le el o spa ial coo dina ion,
making his ype o coo dina ion-
imp o ing mechanism pa icula ly
unsui able o use in landscapes
whe e en i onmen al alues and
oppo uni y cos s a e
nega i ely co ela ed.
2. Communica ion enhances
spa ial coo dina ion and
cos - e ec i eness in all
landscape ypes. This can be seen
om Table2, mapping ou how each
coo dina ion mechanism a ec s
policy pe o mance in each landscape
ype. G een boxes indica e he
landscape ypes whe e he
co esponding coo dina ion
mechanisms wo k, while yellow
boxes signal po en ially coun e ac i e
e ec s. The posi i e e ec o
communica ion (compa ed o no
communica ion) is especially
p onounced in he nega i e and
posi i e landscape ypes. Resul s a e
less clea in he unco ela ed
landscape, whe e communica ion
esul ed in highe ma k- ups.
Howe e , cos - e ec i eness was
highe when communica ion was
pe mi ed because he highe ma k-
ups we e mo e han o se by he
highe en i onmen al gain gene a ed.
3. Disclosu e o he spa ial
en i onmen al sco ing ule
wo ks well in he unco ela ed
and nega i e landscape ypes
bu is coun e p oduc i e in
landscapes whe e
en i onmen al alues and cos s
a e posi i ely co ela ed. Ou
esul s lend expe imen al suppo o
he posi i e e ec o disclosing he
spa ial sco ing ule pa icula ly in he
unco ela ed landscape: i educes
en seeking, enhances spa ial
coo dina ion and imp o es cos -
e ec i eness. We ound he same
e ec in he nega i e landscape ype,
bu i was no as salien as in he
unco ela ed landscape. Speci ically,
we obse ed a sligh ly educed
ma k- up a e and inc eased spa ial
coo dina ion bu no imp o emen in
cos - e ec i eness. Unexpec edly,
e ealing he spa ial sco ing ule
accele a ed o e bidding in he
posi i e landscape ype, educed
spa ial coo dina ion, and had an
insigni ican e ec
on cos - e ec i eness.
Table 2: How he h ee coo dina ion- imp o ing mechanisms achie ed hei goals
Coo dina ion-
imp o ing
mechanism
Benchma k
T ea men
Pe o mance
c i e ia
Unco ela ed
Landscape
Nega i e
Landscape Posi i e Landscape
Communica ion
(Concealing spa ial
sco ing ule,
bu allowing
communica ion)
No- communica ion
(Concealing spa ial
sco ing ule, no
communica ion)
Ma k- up a e Inc ease Dec ease Insigni icance
Spa ial
Coo dina ion
Insigni icance Inc ease Inc ease
Cos - e ec i eness Imp o e Imp o e Imp o e
Disclosu e
o spa ial
en i onmen al
sco ing ule
(Disclosing spa ial
sco ing ule +
Communica ion)
Communica ion
(Concealing spa ial
sco ing ule,
bu allowing
communica ion)
Ma k- up a e Dec ease Dec ease Inc ease
Spa ial
Coo dina ion
Inc ease Inc ease Dec ease
Cos - e ec i eness Imp o e Insigni icance Insigni icance
Agglome a ion
Bonus
(Concealing spa ial
sco ing ule +
Communica ion
+ Agglome a ion
Bonus)
Communica ion
(Concealing spa ial
sco ing ule,
bu allowing
communica ion)
Ma k- up a e Dec ease Dec ease Dec ease
Spa ial
Coo dina ion
Dec ease Insigni icance Inc ease
Cos - e ec i eness De e io a e De e io a e Insigni icance
“The e is no
one- size- i s- all
mechanism ha can
e ec i ely p omo e
spa ially coo dina ed
conse a ion ac ions o
all landscape
con igu a ions
es ed.”
Eu oChoices 23(3) ★ 19
© 2024 The Au ho (s). Eu oChoices published by John Wiley & Sons L d on behal o Ag icul u al Economics
Socie y and Eu opean Associa ion o Ag icul u al Economis s.
4. The Agglome a ion Bonus is
an expensi e and la gely
ine ec i e coo dina ion
mechanism when applied in
he con ex o an auc ion. Ou
expe imen al esul s sugges ha he
AB is likely o do he opposi e o
wha i is designed o do: i
de e io a es spa ial coo dina ion in
he unco ela ed and nega i e
landscapes. The likely cause o his
inding is ha , wi h a ixed budge ,
he AB paymen means ewe
con ac s can be awa ded, ce e is
pa ibus. In addi ion o he
coun e p oduc i e e ec on
coo dina ion, he AB was ound o
be an expensi e incen i e
mechanism in all h ee landscape
ypes. Gi en a igh budge
cons ain , policymake s should
he e o e conside adop ing he AB
wi h g ea cau ion, especially in he
unco ela ed and nega i e landscape
ype. I is only in he posi i e
landscape ha he AB seems o hold
po en ial o p omo ing
spa ial coo dina ion.
Take- home messages o AES
design
In eg a ing a landscape- le el
en i onmen al app oach in o he
design o AES has been iden i ied as
an impo an s ep o wa d in
achie ing mo e e ec i e deli e y o
en i onmen al goods and se ices
on Eu opean a mland (Ba al and
De ang- Dessend e,2023). Landscape
con igu a ions (spa ial co ela ions
be ween oppo uni y cos s and
en i onmen al alues) in luence
how coo dina ion- imp o ing
mechanisms should be designed.
Un o una ely, he e is no one- size-
i s- all mechanism ha can
e ec i ely p omo e spa ially
coo dina ed conse a ion ac ions o
all landscape con igu a ions es ed.
The use o a bo om- up app oach
(i.e. landholde - o- landholde
communica ion o pee in luence) is
likely o imp o e AES pe o mance
a landscape scale. Howe e , he
low willingness o landholde s o
incu communica ion cos s migh be
a signi ican hu dle ha challenges
he e ec i eness o he bo om- up
app oach. Speci ically, he
likelihood o no ha ing a su icien
c i ical mass o landholde s who
ake ini ia i e o in e ac wi h hei
neighbou s ends o be highe in
landscapes whe e oppo uni y cos s
and en i onmen al alues a e
nega i ely co ela ed. I no
ins i u ions (such as he Du ch
conse a ion collec i es) exis ha
can ake on he ole o coo dina o ,
employing an ex e nal acili a o
may be a emedy o he p oblem.
Disclosu e o he spa ial
en i onmen al sco ing ule can play
a pi o al ole in p omo ing spa ial
coo dina ion. Gi en he knowledge
abou how auc ion ou comes in
di e en landscape con igu a ions
a e highly sensi i e o he choice o
coo dina ion- imp o ing mechanisms,
policymake s should be cau ious in
hei adop ion o a oid undesi able
ou comes. Pa icula ly, he disclosu e
o spa ial en i onmen al sco ing ules
could be an e ec i e solu ion o
enhance spa ial coo dina ion in he
unco ela ed and nega i e landscape
ypes. Howe e , such an in o ma ion
disclosu e policy could back i e on
landscape- le el managemen goals in
landscapes whe e oppo uni y cos s
and en i onmen al alues a e
posi i ely co ela ed. Ou esul s
wa n agains he use o he
Agglome a ion Bonus in he con ex
o a conse a ion auc ion. Al hough
i may encou age coo dina ion in he
posi i e landscape, i is likely o ha e
coun e p oduc i e e ec s in he
unco ela ed and nega i e landscape.
In all landscape ypes he AB lowe s
Flowe ing plo , Lowe Saxony, Ge many © Tania Runge.
20 ★ Eu oChoices 23(3)
© 2024 The Au ho (s). Eu oChoices published by John Wiley & Sons L d on behal o Ag icul u al Economics
Socie y and Eu opean Associa ion o Ag icul u al Economis s.
he cos - e ec i eness o
conse a ion. Whe he hese indings
also hold o an AB o e ed as pa o
a ixed- a e scheme ( a he han an
auc ion) is he subjec o u he
in es iga ion. A inal conclusion om
his wo k is ha i may be
wo hwhile o policy designe s o
in es ime and esou ces in o
acquain ing hemsel es wi h he
speci ic ype o landscape hey
a edealing wi h, such as a
nega i elandscape ype in Cen al
Sco land. Equipped wi h such
knowledge, hey would be in a
be e posi ion o make in o med
decisions abou which coo dina ion
mechanism would e ec i ely
p omo e landscape- scale
en i onmen al ou comes.
Acknowledgmen s
This esea ch was unded by he
Eu opean Commission ia he
EFFECT p ojec (En i onmen al
public goods F om Fa ming h ough
E ec i e Con ac Ta ge ing) unde
g an ag eemen No817903. Open
Access unding enabled and
o ganized by P ojek DEAL.
Chi Nguyen, Pos doc o al esea che ,Depa men o Ag icul u al Economics,Kiel Uni e si y, Ge many.
Email: [email p o ec ed]. Resea ch ellow, Cen e o En i onmen al Economics and Policy, The Uni e si y o Wes e n
Aus alia, Aus alia. Email: [email p o ec ed]
Uwe La acz- Lohmann, P o esso , Depa men o Ag icul u al Economics, Kiel Uni e si y, Ge many; Adjunc P o esso ,Depa men o
Ag icul u al and Resou ce Economics,The Uni e si y o Wes e n Aus alia, Aus alia.
Email: [email p o ec ed]
Nick Hanley, Chai in En i onmen al and One Heal h Economics (Ecology & En i onmen al Change),Uni e si y o Glasgow.
Email: [email p o ec ed]
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summa y
© 2024 The Au ho (s). Eu oChoices published by John Wiley & Sons L d on behal o Ag icul u al Economics
Socie y and Eu opean Associa ion o Ag icul u al Economis s. Eu oChoices 23(3) ★ 21
Summa y
Ag i- en i onmen al
Schemes Requi e
Imp o ed Design o
Be e Ou comes
Ad ocacy o a shi om an
indi idual a m-le el o a landscape-
le el app oach in ag i- en i onmen al
policy is a ocal poin in he e o m o he
Common Ag icul u al Policy. Such a shi
aims o add ess spa ial misma ches
be ween ecological p ocesses and
a ge ed en i onmen al ou comes, and o
ha ness po en ial ecological gains om
spa ial coo dina ion. Howe e , he e
emains limi ed unde s anding o how o
design e ec i e mechanisms aimed a
encou aging coo dina ion among
landholde s. Do landscape con i gu a ions
in l uence he e ec i eness o coo dina ion
mechanisms? This a icle aims o assess
he e ec i eness o al e na i e
coo dina ion mechanisms inco po a ed in
he design o a conse a ion auc ion
ac oss al e na i e landscape
con i gu a ions, ha is, in e ms o he
spa ial ela ionship be ween some
measu e o en i onmen al bene i – such
as wild bi d species di e si y – and he
p o i abili y o a mland. These
mechanisms include landholde - o-
landholde communica ion, disclosu e o
spa ial en i onmen al sco ing ules, and
he Agglome a ion Bonus. We used lab
expe imen s o e alua e hese op ions.
Ou esul s sugges ha he e is no
panacea o p omo ing landscape- le el
en i onmen al ou comes. Communica ion
p o es capable o signi i can ly acili a ing
coo dina ion, whils in o ma ion
disclosu e policies can se e as an
e ec i e coo dina ion mechanism in
mul iple landscape ypes. By con as , he
Agglome a ion Bonus was only ound o
e ec i ely p omo e coo dina ion in a
posi i ely co ela ed landscape ype. I
leads o lowe cos - e ec i eness in all
landscape ypes.
La concep ion des
p og ammes ag o-
en i onnemen aux doi
ê e amélio ée pou
ob eni de meilleu s
ésul a s
Le plaidoye en a eu du passage
d ’ une app oche de l’échelle
indi iduelle à une app oche à l’échelle du
paysage dans la poli ique
ag oen i onnemen ale es un poin cen al
de la é o me de la poli ique ag icole
commune. Un el changemen ise à
emédie aux inadéqua ions spa iales
en e les p ocessus écologiques e les
ésul a s en i onnemen aux ciblés, e à
exploi e les gains écologiques po en iels
issus de la coo dina ion spa iale.
Cependan , la comp éhension de la
maniè e de conce oi des mécanismes
e i caces pou encou age la coo dina ion
en e les p op ié ai es oncie s es e
limi ée. Les con i gu a ions paysagè es
in l uencen - elles l ’ e i caci é des
mécanismes de coo dina ion? Ce a icle
ise à é alue l ’ e i caci é des mécanismes
de coo dina ion al e na i s inco po és
dans la concep ion d ’ une en e aux
enchè es de mesu es de conse a ion à
a e s des con i gu a ions paysagè es
al e na i es, dé i nies en e mes de
co éla ion spa iale en e les a an ages
en i onnemen aux e les coû s
d ’ oppo uni é. Ces mécanismes
comp ennen la communica ion en e
p op ié ai es oncie s, la di ulga ion des
ègles de no a ion en i onnemen ale
spa iale e un bonus d ’ agglomé a ion.
Nous a ons u ilisé des expé iences en
labo a oi e pou é alue ces op ions. Nos
ésul a s suggè en qu ’ il n ’ exis e pas de
panacée pou p omou oi des ésul a s
en i onnemen aux à l’échelle du paysage.
La communica ion s ’ a è e capable de
acili e considé ablemen la coo dina ion,
andis que les poli iques de di ulga ion
d ’ in o ma ions peu en se i de
mécanisme de coo dina ion e i cace dans
de mul iples ypes de paysages. En
e anche, le bonus d ’ agglomé a ion ne
a o ise e i cacemen la coo dina ion que
dans un seul ype de paysage e condui à
une en abili é moind e dans ous les
ypes de paysages.
Ag a umwel p og amme
e o de n eine
e besse e Konzep ion,
Ein Schwe punk de Re o m de
Gemeinsamen Ag a poli ik is das
Be ü wo en eine Ve lage ung on einem
indi iduellen zu einem
landscha sbezogenen Ansa z in de
Ag a umwel poli ik. Eine solche
Ve lage ung soll äumliche
Miss e häl nisse zwischen ökologischen
P ozessen und anges eb en
Umwel e gebnissen angehen und
po enzielle ökologische Vo eile eine
äumlichen Koo dinie ung nu zen. Es gib
jedoch kaum E kenn nisse da übe , wie
Mechanismen zu Fö de ung de
Koo dinie ung zwischen Landbesi zenden
wi ksam ges al e we den können.
Beein l uss die Kon i gu a ion de
Landscha die Wi ksamkei de
Koo dinie ungsmechanismen? Das Ziel
dieses A ikels is es, die Wi ksamkei
al e na i e Koo dina ionsmechanismen zu
bewe en, die in das Design eine
Na u schu zauk ion übe e schiedene
Landscha skon i gu a ionen hinweg
in eg ie wu den, de i nie hinsich lich
de äumlichen Ko ela ion zwischen
Umwel nu zen und Oppo uni ä skos en.
Diese Mechanismen um assen die
Kommunika ion zwischen den
Landbesi zenden, die O enlegung de
Bes immungen de äumlichen
Umwel bewe ung und den
Agglome a ionsbonus. Wi haben diese
Op ionen in Labo expe imen en bewe e .
Unse e E gebnisse deu en da au hin, dass
es kein Allheilmi el zu Fö de ung on
Umwel e gebnissen au Landscha sebene
gib . Kommunika ion e weis sich als
geeigne , die Koo dinie ung e heblich zu
e leich e n, wäh end eine Poli ik de
O enlegung on In o ma ionen als
wi ksame Koo dinie ungsmechanismus
bei e schiedenen Landscha s ypen
dienen kann. Im Gegensa z dazu wu de
es ges ell , dass de Agglome a ionsbonus
die Koo dinie ung nu bei einem einzigen
Landscha s yp wi ksam ö de . E üh
bei allen Landscha s ypen zu eine
ge inge en Kos ene i zienz.
um besse e E gebnisse
zu e zielen