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Project Description

Auctions of Agri-environmental programmes - The grassland extensification programme in North-Rhine Westphalia

Problem definition and objective target
You can determine that the Grassland-Extensification-Program in North-Rhine Westphalia in altitude and weak yield locations is well accepted, but in regions with higher yields has only a small-scale integration. It has been searched in these regions, in which the opportunity cost of the extensification lie naturally over those weaker yield locations, to reach a higher participation and the associated positive ecological effects. Auctions could be a way, in order to reach this, without causing higher-than-average taking along effects in disfavour.
The main focus of the project is to examine if auctions are able to dilate the group of participations of the Grassland-Extensification-Program to justifiable costs. First of all a model project should tests this in the culture landscape program of North-Rhine Westphalia to make it more attractive and to compare the acceptance of the Grassland-Extensification for farmers in high-yields productive locations. At the same time this procedure brings new consulting need with itself. The best ways to the covering of this need are to be likewise determined in the context of the project.

Theoretical background and methodology
The project based of a micro-economic auction model with the assumptions that there are no special transaction costs, the absence of Common Knowledge and a competition under the bidder. How far the positive simulation results are transferable into the practice depends strongly on whether the assumptions are given by extensification-programs in the reality. Therefore three auction rounds are accomplished in two model circles and interviews of the relevant farmers and concerned authorities. The results will be evaluated and interpreted according to the aim association.

Provisional results
On the basis of the theoretical model and simulation results, which forecast efficiency paste run gene for an auction, were examined which are the accepted on the basis of the first of the three planned auction rounds for their validity. The second auction round already started. First evaluations show a strong reaction of the offers to the information from the first round, which let a stronger support assume to the actual opportunity cost.

Beginn: 01.02.2003 Ende: 30.09.2005
Dauer: 33 months Status: execution
Betreuer: Frau Dr. Prof. Karin Holm-Müller
Finanzierung: Ministerium für Umwelt und Naturschutz, Landwirtschaft und Verbraucherschutz NRW (MUNLV-NRW)
Kooperationen: MUNLV-NRW, Landwirtschaftskammern


  • Hilden (2003): Mehr Geld für extensives Grünland, Landwirtschaftliches Wochenblatt Westfalen-Lippe, 8/2003, S. 22

  • Hilden (2003): Höhere Grünlandextensivierungsprämie im Kreis Wesel möglich, Landwirtschaftliche Zeitschrift Rheinland, 11-2003, S. 15

Last Updated: Tuesday, August 01, 2017