Preliminary study paves the way for new funding models to reduce diffuse pollution in agriculture and forestry
Akordi has conducted a preliminary study to the Ministry of Agriculture and Forestry of Finland on results-based funding models for reducing diffuse pollution in agriculture and forestry. The preliminary study published today provides guidelines for the preparation of possible pilot projects for results-based schemes.
Economic compensation based on measured environmental impacts is difficult but possible in agriculture and forestry. The prerequisite is that the measured results are indicative of both the state of the environment and the choices made by the landowner.
The preliminary study describes different models and indicators for reducing nutrient loads to water, enhancing biodiversity and mitigating climate change. The preliminary study, prepared for the Ministry of Agriculture and Forestry by Akordi and Antti Iho, Research Director at University of Eastern Finland, examines the potential of indicators and models for results-based management of diffuse pollution.
“Until now, we have encouraged landowners and farmers to carry out certain environmental measures and compensated them for the costs of doing so. A results-based incentive, on the other hand, sets a target and compensation is based at least partly on the environmental benefits generated. At the same time, the landowner has greater freedom to choose the most effective means of achieving the target on his farm.”
Heini Lehtosalo, Ministerial Adviser at the Ministry of Agriculture and Forestry
“In the green transition, reconciling a viable environment, food security and the livelihoods of landowners is a key issue.”
Irina Niinivaara, Chief Operating Officer at Akordi
Results-based support is one answer the question.
Piloting results is a possible next step
In water protection, combating eutrophication is a key objective. In the preliminary study, the most promising concrete indicator for results-based models is the P value of phosphorus levels in arable land.
“Phosphorus levels affect the nutrient load of water bodies and are controllable by the farmer. Based on the results, a well-prepared pilot with P value could be the next step towards results-based systems.”
Antti Iho, Research Director at University of Eastern Finland
The results of the preliminary study were developed in collaboration with scientists and administrators and are based on international literature. The introduction of results-based compensation requires piloting.
Antti Iho was in charge of the research work for the preliminary study commissioned by the Ministry of Agriculture and Forestry. Irina Niinivaara and Emma Luoma were responsible for the design and implementation of the workshops that gathered the views of researchers and administrators.
- Preliminary study (in Finnish) Kohti tulosperusteisten jarjestelmien soveltamista maa- ja metsätaloudessa
- News release on Ministry’s webpages
For more information:
Heini Lehtosalo
Ministerial Adviser, Ministry of Agriculture and Forestry of Finland
+358 29 5162057
Antti Iho
Research Director, University of Eastern Finland
+358 50 4629721
Irina Niinivaara
Chief Operating Officer, Akordi oy
+358 40 6520744
