Abstract: The imposition of a carbon tax in the economy will have indirect impacts on dairy farmers in Australia. Although there is a great deal of information available regarding mitigation strategies both in Australia and internationally, there seems to be a lack of research investigating the variable prices of carbon-based emissions on dairy farm operating profits in Australia. In this study, a stochastic analysis comparing the uncertainty in income in response to different prices on carbon-based emissions was conducted. The impact of variability in pasture consumption and variable prices of concentrates and hay on farm profitability was also investigated. The two different feeding systems examined were a ryegrass pasture-based system (RM) and a complementary forage-based system (CF). Imposing a carbon price ($20-$60) and not changing the systems reduced the farm operating profits by 28.4% and 25.6% in the RM and CF systems, respectively compared to a scenario where no carbon price was imposed. Different farming businesses will respond to variability in the rapidly changing operating environment such as fluctuations in pasture availability, price of purchased feeds and price of milk or carbon emissions differently. Further, in case there is a carbon price imposed for GHG emissions emanated from dairy farming systems, changing from pasture-based to more complex feeding systems incorporating home-grown double crops may reduce the reductions in farm operating profits. There is opportunity for future studies to focus on the impacts of different mitigation strategies and policy applications on farm operating profits. (C) 2015 Elsevier Ltd. All rights reserved.

Abstract: The land-use sector can contribute to climate change mitigation not only by reducing greenhouse gas (GHG) emissions, but also by increasing carbon uptake from the atmosphere and thereby creating negative CO2 emissions. In this paper, we investigate two land-based climate change mitigation strategies for carbon removal: (1) afforestation and (2) bioenergy in combination with carbon capture and storage technology (bioenergy CCS). In our approach, a global tax on GHG emissions aimed at ambitious climate change mitigation incentivizes land-based mitigation by penalizing positive and rewarding negative CO2 emissions from the land-use system. We analyze afforestation and bioenergy CCS as standalone and combined mitigation strategies. We find that afforestation is a cost-efficient strategy for carbon removal at relatively low carbon prices, while bioenergy CCS becomes competitive only at higher prices. According to our results, cumulative carbon removal due to afforestation and bioenergy CCS is similar at the end of 21st century (600-700 GtCO(2)), while land-demand for afforestation is much higher compared to bioenergy CCS. In the combined setting, we identify competition for land, but the impact on the mitigation potential (1000 GtCO(2)) is partially alleviated by productivity increases in the agricultural sector. Moreover, our results indicate that early-century afforestation presumably will not negatively impact carbon removal due to bioenergy CCS in the second half of the 21st century. A sensitivity analysis shows that land-based mitigation is very sensitive to different levels of GHG taxes. Besides that, the mitigation potential of bioenergy CCS highly depends on the development of future bioenergy yields and the availability of geological carbon storage, while for afforestation projects the length of the crediting period is crucial.

Abstract: Predicting regional and global carbon (C) and water dynamics on grasslands has become of major interest, as grasslands are one of the most widespread vegetation types worldwide, providing a number of ecosystem services (such as forage production and C storage). The present study is a contribution to a regional-scale analysis of the C and water cycles on managed grasslands. The mechanistic biogeochemical model PaSim (Pasture Simulation model) was evaluated at 12 grassland sites in Europe. A new parameterization was obtained on a common set of eco-physiological parameters, which represented an improvement of previous parameterization schemes (essentially obtained via calibration at specific sites). We found that C and water fluxes estimated with the parameter set are in good agreement with observations. The model with the new parameters estimated that European grassland are a sink of C with 213 g C m(-2) yr(-1), which is close to the observed net ecosystem exchange (NEE) flux of the studied sites (185 g C m(-2) yr(-1) on average). The estimated yearly average gross primary productivity (GPP) and ecosystem respiration (RECO) for all of the study sites are 1220 and 1006 g C m(-2) yr(-1), respectively, in agreement with observed average GPP (1230 g C m(-2) yr(-1)) and RECO (1046 g C m(-2) yr(-1)). For both variables aggregated on a weekly basis, the root mean square error (RMSE) was similar to 5-16 g C week(-1) across the study sites, while the goodness of fit (R-2) was similar to 0.4-0.9. For evapotranspiration (ET), the average value of simulated ET (415 mmyr(-1)) for all sites and years is close to the average value of the observed ET (451 mm yr(-1)) by flux towers (on a weekly basis, RMSE similar to 2-8 mm week(-1); R-2 = 0.3-0.9). However, further model development is needed to better represent soil water dynamics under dry conditions and soil temperature in winter. A quantification of the uncertainties introduced by spatially generalized parameter values in C and water exchange estimates is also necessary. In addition, some uncertainties in the input management data call for the need to improve the quality of the observational system.