GC43B-1193
Greenhouse Gas Emission Mitigation And Agriculture, Trade-off Or Win-win Situation: Bioeconomic Farm Modelling In The Sudanian Area of Burkina Faso

Thursday, 17 December 2015
Poster Hall (Moscone South)
Tiertou Edwige Some1, Bruno Barbier1 and Bruno B. Barbier, (1)WASCAL, Climate change Economics, Ouagadougou, Burkina Faso
Abstract:
Climate changes talks regularly underline that developing countries’ agriculture could play a stronger role in GHGs mitigation strategies and benefit from the Kyoto Protocol program of subsidies. Scientists explain that agriculture can contribute to carbon mitigation by storing more carbon in the soil through greener cropping systems. In this context, a growing number of research projects have started to investigate how developing countries agriculture can contribute to these objectives.

The clean development mechanism (CDM) proposed in the Kyoto protocol is one particular policy instrument that can incite farmers to mitigate the GHG balance towards more sequestration and less emission. Some economists such as Michael Porter think that environmental regulation lead to a win-win outcome, in which case subsidies are not necessary. If it is a trade-off between incomes and the environment, subsidies are required. CDM can be mobilized to support the mitigation strategy.

Agriculture implies the use of inputs. Reducing the emission implies the reduction of those inputs which will in turn imply a yield decrease. The study aims to assess whether this measure will imply a trade-off between environmental and economic objectives or a win-win situation. I apply this study to the case of small farmers in Burkina Faso through environmental instruments such as the emissions limits and agroforestry using a bioeconomic model, in which the farmers maximize their utility subject to constraints.

The study finds that the limitation of emissions in annual crops production involves a trade-off. by impacting negatively their net cash come. By integrating perennial crops in the farming system, the farmers’ utility increases. Around 6,118 kg are sequestrated individually. By computing the value on this carbon balance, farmers’ net cash incomes go better. Then practicing agroforestry is a win-win situation, as they reach a higher level of income, and reduce emissions.

Policymakers must encourage small farmers to integrate perennial crops in their annual crops system. Most of small farmers are living below the poverty line. Limiting emissions will get worse their life conditions. To reach the emission reduction objective in the annual crops system, subsidies are needed in order to compensate the income lost through the CDM.