Methodology and results Directory UMM :Data Elmu:jurnal:E:Ecological Economics:Vol30.Issue1.Jul1999:

beef production are faced with an industry char- acterized by distortions such as the availability of land subsidies that reduce producer costs and labour not valued in the market economy. Efforts are under way to seek to limit some of the distor- tions that have led to the underpricing of an environmentally costly form of protein. Ideas for reducing livestock production have centred in the United States on proposals for limiting grazing rights on public lands Repetto, 1992. Controls on related organic pollution are better established than land-use restrictions. In the UK, farmers are provided financial incentives to curb nitrogen runoff MAFF, 1996. Farm effluent in the United States is controlled as a ‘non-point’ source under national Clean Water legislation US EPA, 1972. In the Netherlands, farmers are fined if they do not use approved practices for disposing of livestock wastes Wilkins, 1997 Concern over the threats posed by long-term climate change has led to an interest in controlling emissions of the greenhouse gas methane, gener- ated as a by-product of the digestive processes of livestock. Livestock are believed to be the most important source of anthropogenic methane inter- nationally Watson et al., 1992. Strategies to reduce greenhouse gas emissions from livestock production have centred largely upon increasing animal productivity, in part through higher-qual- ity feeding US EPA, 1994. These policies do not usually include consideration of indirect emissions related to energy used to produce stockfeed and changes in carbon fixation on land. In this paper, several measures of the global environmental impacts of beef production are as- sessed for two contrasting production modes. Greenhouse gas emissions from beef production are assessed stepwise considering several boundaries of analysis for each of two systems — American feedlot and Sahelian pastoral beef pro- duction. A comprehensive approach to under- standing greenhouse gas emissions from beef production is presented. This approach considers indirect emissions from livestock production and related land use. The approach includes the as- sessment of indirect sources — carbon dioxide flux related to embodied energy in on-farm use and stockfeed production, and the carbon storage po- tential foregone on land appropriated for raising livestock — in addition to direct sources — methane emissions from enteric fermentation and animal wastes. The greenhouse gas emissions related to both pastoral and feedlot production modes are com- pared with other environmental impact indicators for these modes — both quantitatively and qualita- tively with reference to their potential usefulness in assessing livestock systems generally. Green- house gas emissions are compared with a com- posite indicator of sustainability in agro- ecosystems, called biophysical capital alteration. Greenhouse gas emissions from each system are summarized for three boundaries of analysis: 1 direct methane emissions, 2 direct emissions plus embodied fuel combustion, and 3 direct methane and embodied fuel plus the carbon offset opportu- nity foregone in addition to the other emissions. The difference in estimated biophysical capital alteration and greenhouse gas emissions for the two systems are compared to reveal whether the environmental impacts as determined by each ap- proach are similar. These greenhouse gas emissions indices, when compared with market values per unit of beef, can be used to estimate a shadow price of an expected global warming impact as a proportion of the market value of the good. The comprehensive greenhouse gas approach can be expressed in climate change costs, taking the form kg CO 2 equivalent. Measured as a proportion of the mar- ket value of beef, this measure can be used to determine the value of a tax on beef that would, in theory, be comparable with projected environ- mental impacts. The approaches compared are summarized in Table 1.

2. Methodology and results

Greenhouse gas emissions from two livestock production systems at opposite ends of the spec- trum as regards energy inputs, are assessed ac- cording to a range of indicators — biophysical capital loss, topsoil loss, and greenhouse gas emis- sions. These systems have already been evaluated for topsoil loss and biophysical capital loss parameters by Giampietro et al. 1992. In this analysis, a comprehensive greenhouse gas emis- sions analysis of these systems is summarized based on the same specific livestock management practices assumed by Giampietro and colleagues. Details of the assumptions involved in assessing greenhouse gases from these particular feedlot and pastoral beef production modes can be found in Subak 1999. Other assessments of greenhouse gas intensity of livestock production involving embodied fossil fuel inputs have also been com- pleted by Loethe et al. 1997, Ward et al. 1993 and Jarvis and Pain 1994. Beef production systems vary greatly in their use of resources and labour and, spatially, the resource boundaries of intensive systems tend to be much greater than the immediate farm. Most feedlot systems rely on crops grown outside the cattle farm. Cattle diet and management differs in most respects between the feedlot and pastoral modes. The key assumptions for both beef pro- duction modes are presented in Table 2. In the pastoral example used here, stocking rates are assumed to be 18 ha per animal unit and forage grass is the only feed source in the African nomadic system. Details of daily gains are derived from Bremen and de Wit 1983 and de Leeuw and de Haan 1983. The US feedlot system in- cludes a foraging phase for the young animals followed by a feedlot phase where animals con- sume a variety of crops grown on arable land. In the US feedlot system, all feed is produced on or in an area near a farm operating in New York State, displacing New York State’s natural ecosys- tems. Diet composition and weight gain are based on data from Ensminger 1987 and the National Research Council 1989. Greenhouse gases are emitted in the US system through fossil fuel con- sumption embodied in the beef production pro- cess through on-farm energy use, and through energy use outside the farm for fertilizer manufac- ture and irrigation. In both the Sahelian and US systems, methane is released directly from the animals through enteric fermentation in the cattle rumen. Loss of carbon storage on land is also assessed for both systems. For the feedlot system, the opportunity cost of carbon uptake potential on cultivable land through foregone afforestation is considered. In the Sahel, periodic burning re- duces the average standing biomass stock on pas- tureland and this is also calculated. Greenhouse gas emissions are calculated on a common unit of measure — emissions per kg of beef on a carbon dioxide equivalent basis see Table 1 Costing production for 1 kg of beef Approach Practitioner Indicator Expenditures of labour, capital Production costs: inputs of Agricultural economics Farmer Jones labour, capital, resources and resources are assessed Conventional pollution National and state Nitrogen pollution from wastes Nitrogen, sulphur, potassium, environmental and agricultural etc. environmental analysis and fertilizers, conventional agencies and toxic airborne pollutants from fuel combustion and pesticide applications; topsoil loss All factors of production are Biophysical capital alteration Wm 2 kgm 2 Giampietro from Odum assessed as energy inputs with reference to biomass stock and displacement Ecological economics The total costs of production Wm 2 or Wkg e.g. Costanza, 1980 expressed in energy terms e.g. Cline, 1992 Climate change costs tonne CO 2 equivalent Discounted expected impacts from global warming Greenhouse gas emissions Greenhouse gas emissions Ward et al., 1993; Jarvis and CH 4 , CO 2 , N 2 O emissionskg Pain, 1994; Subak, 1997, 1999 from production processes analysis animal product Table 2 Diet and management assumptions for Sahelian pastoral and US feedlot beef production Pastoralsubsis- Feedlotforage tence Lifetime days 394 1000 Time in forage days 1000 144 250 Time in feedlot days 270 Final weight kg 550 165 Beef yield kg 297 Diet kgheadday Corn 7.1 11.5 Corn silage Soya 0.45 Pasture 4.3 Crop yield kghayr Corn 6500 Corn silage 26 000 2500 Soya 1000 Pasture Area required haheadlife 0.41 Fodder crops Pasture 21 1000 Opportunity cost of fodder in net carbon uptake kg Chayr Burning frequency of pasture land year 10 430 409 Carbon storage opportunity lost kgheadlife Fertilizers for fodder kgNha 206 195 forage N 2 O emission factor kg N 2 Okg N fertilizer 2 Greenhouse gas embodied in fossil fuel for on-farm use, irrigation, fertilizer manufacture, 24 167 fuel extraction MJhead 463 CO 2 kghead CH 4 kghead 2.9 N 2 Okghead 0.1 4.5 7.5 Methane conversion 40 Digestability of feed 75 65 forage Enteric fermentation emissions factors kg CH 4 headyear 50 29 1 CH 4 from manure kg CH 4 headyear 2 Table 3. The results indicate that methane emis- sions from the pastoralist system are nearly twice that of the feedlot system. This is because the African cattle have a higher methane conversion rate from lower quality feed, live longer than feedlot animals, expend more energy eating over a larger range, and produce less meat. These factors compensate for the fact that the animals are eat- ing less than the feedlot animals. However, when carbon dioxide embodied in fuel is considered as well, higher emissions are found in the feedlot system. In fact, the estimated level for the feedlot system is more than double that of the pastoralist system when carbon sinkstock losses are also considered. It has been proposed that sustainability in agri- culture can be evaluated according to changes in ‘biophysical capital’ in a system. Biophysical capi- tal alteration describes an ecosystem’s ability to use solar energy to maintain the biosphere’s struc- ture and function Giampietro and Pimentel, 1991; Giampietro et al., 1992. Sustainability of human activities as proposed by Giampietro and colleagues is indicated by the stability of the Table 3 Greenhouse gas emissions kg CO 2 equivalentkg beef a 1+embodied fuels 2 2+sinkstock loss Enteric fermentation and wastes 1 Feedlot 9.1 3.6 14.8 6.9 8.4 6.8 Pastoralist a Global warming potentials for methane of 24.5 and 320 for nitrous oxide, integrated over a 100-year time horizon, are used to derive CO 2 equivalence IPCC, 1995. dynamic equilibrium between biophysical and hu- man – technological capitals. High levels of bio- physical capital represent relatively high stocks of biomass, but significant alteration involves a di- minishment in biomass stock, and loss of a flow of solar energy at a given density. Unsustainable alteration of biophysical capital may be seen as human exploitation of natural processes such that the flow of energy in the ecosystem is insufficient to maintain the original structuresfunctions. It has also been suggested that this indicator can be used to evaluate depletion of resources and spe- cies richness. Biophysical capital alteration, according to this definition, can be quantified. Specifically, biophys- ical capital is determined by the quantity of solar energy, i.e. watts of solar energy W, that is used in the work of self-organization Wm 2 within a given biomass structure kgm 2 , thereby indicat- ing the level of energy dissipated to maintain 1 kg of biomass structure Wkg. Emissions analysis can be compared with biophysical capital loss Wkg, which has already been evaluated for the African and American beef production systems Giampietro et al., 1992. Giampietro et al. 1992 concluded that the biophysical capital alteration Wkg for the US feedlot system is about twice that of the Sahelian pastoral system. The results of the most comprehensive greenhouse gas emis- sions analysis provide relative values that are similar to the sustainability value Wkg, where the impact of the feedlot system is about double that of the pastoral mode see Table 4. A comparison of the relative environmental impact of the two beef production modes in top- soil loss, methane, biophysical capital alteration and total greenhouse gas emissions, appears in Table 5. Results of the comprehensive greenhouse gas emissions analysis and the biophysical capital alteration approach are similar, with environmen- tal impacts of the feedlot system greater than that of the pastoral system in both approaches. Under the biophysical capital alteration measure, envi- ronmental impacts are 1.7 times greater for the feedlot mode, and considering comprehensive greenhouse gas emissions, the impact of the feed- lot system is about 1.8 times greater than the pastoral mode. Further research would be needed to demonstrate whether these results would hold more generally.

3. Evaluating the environmental impacts