1887

OECD Food, Agriculture and Fisheries Papers

Selected studies on various food, agriculture and fisheries issues from the OECD Trade and Agriculture Directorate.

NB. No. 1 to No. 58 were released under the previous series title OECD Food, Agriculture and Fisheries Working Papers.

English

Characterising agri-environmental policies

Towards measuring their progress

This report proposes a taxonomy of policy design features for agri-environmental payment schemes, with a focus on those features that are conducive to policy cost-effectiveness. An application of the taxonomy to all agri-environmental payment schemes in six countries (Argentina, Australia, Estonia, Finland, Korea, and Portugal) reveals that more than 70% of 85 agri-environmental payment schemes have some of these key design features, including establishment of baselines; rates based on estimated or actual implementation costs; inspections and penalties; contract flexibility; and technical assistance. That said, at least 80% of the schemes could be improved, including by: use of cost-effectiveness criteria for selecting recipients; moving from supporting the adoption of specific practices to focusing on achievement of environmental outcomes; more regular policy evaluations; and comprehensive collection of information on policy characteristics. An in-depth application of the taxonomy to Korea illustrates the potential of this taxonomy for country policy monitoring and evaluation purposes.

English

Keywords: Policy indicators, Cost-effectiveness, Agri-environmental payments, Monitoring and evaluation
JEL: Q18: Agricultural and Natural Resource Economics; Environmental and Ecological Economics / Agriculture / Agricultural Policy; Food Policy; Q58: Agricultural and Natural Resource Economics; Environmental and Ecological Economics / Environmental Economics / Environmental Economics: Government Policy; Q15: Agricultural and Natural Resource Economics; Environmental and Ecological Economics / Agriculture / Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment
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