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Sustainability Assessment Tool Dr Harpinder Sandhu Flinders University, Australia [email protected] The True Cost of American Food, San Francisco 15-16, Aril 2016

Harpinder Sandhu - Methods and metrics

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Page 1: Harpinder Sandhu - Methods and metrics

Sustainability Assessment Tool

Dr Harpinder SandhuFlinders University, Australia

[email protected]

The True Cost of American Food, San Francisco 15-16, Aril 2016

Page 2: Harpinder Sandhu - Methods and metrics

Key challenges of global agriculture

Declining natural resources

  

Climate change

Consumption patterns

 

Market volatility

 

Page 3: Harpinder Sandhu - Methods and metrics

Two research/policy gaps1. Why we need to measure all externalities in

agriculture? • To reflect true cost of food production

2. Why we need to estimate economic value of externalities? • To influence economic and policy environment; to

improve sustainable farm practices; and to raise consumer awareness.

Page 4: Harpinder Sandhu - Methods and metrics

YIELDINPUTS OUTPUTS

Labour laws

Health and safety laws

Agriculture production systems

Page 5: Harpinder Sandhu - Methods and metrics

Soil protection

Biological control of pests/diseases

Improved biodiversity

Soil microbial activity

Reduce greenhouse gases

Nutrient cycling

Water regulationAesthetics

Eco tourism

Food

Shelter Firewood

Global estimates of two farmland ES values $34 billion annually

The largest industry on the planet1.3 billion people involved directly, $4 trillion in global GDP (6 %)

Sandhu, Wratten, Costanza, Pretty, Reganold, Porter 2015 PEER J

Page 6: Harpinder Sandhu - Methods and metrics

Farm Sustainability Assessment Tool

Production

DistributionConsumption

Production

Page 7: Harpinder Sandhu - Methods and metrics

Ecological and Economic Methods

Page 8: Harpinder Sandhu - Methods and metrics

Categories of externalities• Production value: • Environmental benefits: Water regulation, Carbon

sequestration by soil and vegetation, Nitrogen fixation, Nutrient cycling, Soil erosion control, Biological control of pests/diseases.

• Environmental costs: Green house gas emissions, External costs of pesticides and fertilser • Social benefits: Farm employment, Recreation,

Education.

Page 9: Harpinder Sandhu - Methods and metrics

Types Ecosystem services and disservices

Description Method used for valuation

Production benefits

Crop, livestock, milk etc. Provisioning services: These include food and services for human consumption,ranging from raw materials and fuelwood to the conservation of species and geneticmaterial

Market value

Environmental benefits

Water regulation: magnitude of water runoff, flooding, and aquifer recharge, water storage potential

Regulating services: Ecosystems regulate essential ecological processesand life-support systems through bio-geochemicalcycles and other biospheric processes

Avoided cost

Local climate regulation by carbon sequestration: Regulation of atmospheric chemical composition

Avoided cost

Soil erosion control: Role vegetative cover plays in soil retention

Avoided cost

Page 10: Harpinder Sandhu - Methods and metrics

Environmental benefits

Nitrogen fixation: Biological nitrogen fixation by legumes in crops and pastures

Supporting services: These are the services that are required to supportthe production of other ecosystem goods andservices

Avoided cost

Nutrient cycling: Organic matter breakdown to release stored nutrients for crop use

Avoided cost

Biological control of pests/diseases: Predators and parasites that control insect pests and diseases

Avoided cost

Page 11: Harpinder Sandhu - Methods and metrics

Environmental costs Greenhouse gas emissions Carbon-di-oxide equivalent emissions from inputs, tillage, fuel use, livestock on farm

Direct cost

Damage to water resources Infrastructure to treat pesticide and nitrate in water sources

Direct cost

Damage to soil resources Soil losses due to management practices

Replacement cost

Damage to ecosystems and biodiversity

Loss of biodiversity and impacts on other species

Replacement cost

Damage to human health Pathogens and agrochemical that can enter food chain

Replacement cost

Page 12: Harpinder Sandhu - Methods and metrics

Social benefits Employment: Employment generated on farm leads to benefits to wider community: Farm workers, families

Cultural services: Cultural services contribute to the maintenance ofhuman health and well-being by providing recreation,aesthetics and education

Market value

Recreation: Recreational pleasure in agriculture, Farm tours, visits

Market value

Education: Knowledge generated on farm can be disseminated to wider community through books, presentations at conferences etc

Market value

Page 13: Harpinder Sandhu - Methods and metrics

Way forward• to adopt technologies that have less detrimental

impacts on the human health and the environment. • consumers can make informed decisions to choose

products that have higher environmental and social benefits and less environmental costs.

• to develop a uniform metric system that can be used by food and agriculture industry as a label or a standard.

• to develop long term sustainable food and agriculture production systems.