Abstract: A better understanding of the drivers of the economic, environmental, and social sustainability of emerging (biobased) technologies and products in early development phases can help decision-makers to identify sustainability hurdles and opportunities. Furthermore, it guides additional research and development efforts and investment decisions, that will, ultimately, lead to more sustainable products and technologies entering a market. To this end, this study developed a novel techno-sustainability assessment (TSA) framework with a demonstration on a biobased chemical application. The integrated TSA compares the potential sustainability performance of different (technology) scenarios and helps to make better-informed decisions by evaluating and trading-off sustainability impacts in one holistic framework. The TSA combines methods for comprehensive indicator selection and integration of technological and country-specific data with environmental, economic, and social data. Multi-criteria decision analysis (MCDA) is used to address data uncertainty and to enable scenario comparison if indicators are expressed in different units. A hierarchical, stochastic outranking approach is followed that compares different weighting schemes and preference structures to check for the robustness of the results. The integrated TSA framework is demonstrated on an application for which the sustainability of a production and harvesting plant of microalgae-based food colorants is assessed. For a set of scenarios that vary with regard to the algae feedstock, production technology, and location, the sustainability performance is quantified and compared, and the underlying reasons for this performance are explored.

Abstract: A major objective of European agricultural policy is to have a sustainable and efficient farming sector that is applying environmentally-friendly production methods. Policy makers aim to combine a strong economic performance and a sustainable use of natural resources. Therefore, it is important to measure and to assess farm sustainability. For a large dataset of Flemish dairy farms, a valuation method that is based on the concept of opportunity costs is used to calculate and analyze differences among the sample farms with respect to the creation of sustainable value. But more important than measuring the creation of sustainable value is to analyze differences in sustainable efficiency. Therefore, sustainable efficiency measures are calculated and differences in sustainable efficiency are explained. Using panel data, an effect model captures the determinants of sustainable efficiency of the studied farms. The empirical model shows that, in general, larger farms have a higher sustainable efficiency. Also farmer's age and dependency on support payments proved to be determining characteristics for observed differences in sustainable efficiency.

Abstract: A new reductive catalytic fractionation biorefinery process (RCF) is currently being developed transforming wood into high-value end-products. RCF is considered to be in the pilot stage with a technology readiness level of 5–6. Apart from the RCF-process characteristics, the economic feasibility also depends on the investment decisions that are made upstream and downstream within the wood value chain, increasing the level of uncertainty. Two investment options within the value chain are considered: an option to invest in harvesting equipment and an option to invest in the RCF. To understand the impact of multiple sources of uncertainty on the decision to invest in an innovative RCF-driven wood value chain, an analytical two-factor real options model is presented, accounting for correlated cost and price uncertainties. Two different scenarios, separated and united investments in harvesting equipment and RCF, are analyzed. In both scenarios, market uncertainty postpones investment in comparison to the traditional NPV approach. When both investments are considered separately, the investment in RCF is expected to be earlier than the investment in harvesting equipment. When both investment decisions are united, the probability of investment increases. The study reveals that RCF has the potential to stimulate investments from different investors, –upstream and midstream–, within the wood value chain. Besides, the introduced real options model proofs its ability to assess the economic feasibility of innovative technologies (e.g RCF) individually or within the value chain, taking into account multiple sources of uncertainty.

Abstract: Agricultural adaptation to climate change is indispensable. However, the degree of adaptation depends on adaptive capacity levels and it only takes place if the appropriate resources are present. Cross-sectional climate response models ignore this requirement. This paper adapts the Ricardian method to control for a generic territorial adaptive capacity index. The results for a sample of over 60.000 European farms show a significant non-linear positive relationship between adaptive capacity and climate responsiveness and that some regions in Europe can increase their climate responsiveness significantly. This confirms that improvement of adaptive capacity is an important policy tool to enhance adaptation.

Abstract: Air pollutants from fossil fuel fired power plants harm the environment and human health. More than 91% of Irans electricity production is from thermal power plants that use natural gas, diesel, and fuel oil. We apply the impact pathway approach to estimate the health impacts arising from Iranian fossil-based electricity generation emission, and in a next step, we calculate monetary costs of the estimated damages, for a one-year period starting from 20 March 2016 through 2017. We use the new version of SIMPACTS (International Atomic Energy Agency, Vienna, Austria) to investigate the health effects from 61 major Iran fossil-based power plants separately. The selected plants represent 95.6% of total Iran fossil-based power generation. Using the individual and different power plant estimates, we avoid extrapolation and our results can be considered more reliable, taking into account spatial differences. The total damage cost is 723.42 million USD (2000). The damage cost per generated electricity varies from 0.06 to 22.41 USD/MWh and average plant damage cost is 2.85 USD/MWh. Accounting for these external costs indicates the actual costs of fossil energy. The results are useful for policy makers to compare the health costs from these plants and to decide on cleaner energy sources and to take measures to increase benefits for society.

Abstract: Although grazing of dairy cows is an integral part of dairy farming in many European countries, farmers today more often choose for zero-grazing systems, where cows are housed throughout the year. Some studies already compared grazing and zero-grazing systems for specific issues such as labor efficiency, environmental impact, or animal welfare. In our study, we perform a more integrated evaluation, considering relevant ecological, economic, and social aspects. This allows for a balanced and more complete comparison of the sustainability performance of the two production methods. We evaluated ten intensive grazing and ten zero-grazing specialized Flemish dairy farms on the use of nutrients and energy, productivity and profitability, labor input, and animal welfare. In addition, we put special effort in formulating useful management advice for farmers. Therefore, we combined a detailed analysis of the sustainability indicators with an intensive interaction and discussion with farmers and farm advisors. Results show that, on average, the zero-grazing farms performed significantly worse from an ecological and economic point of view. This fact is explained mainly due to a less efficient use of concentrates and byproducts. Social sustainability performance did not differ significantly between the two groups. As a result, the integrated sustainability performance was significantly lower for the zero-grazing group. This finding shows that a further shift from intensive grazing to zero-grazing can move dairy farming in Flanders further away from sustainability. An important advice to improve the ecological and economic performance of zero-grazing farms is to optimize cows' rations to include more forages and optimize forage production and use. More detailed site- and case-specific management advice for farmers of both groups was provided during a discussion meeting. We consider this an essential additional step to any sustainability evaluation, since progress can only be made when monitoring results are translated into practical measures.

Abstract: An important issue in biodiversity valuation is gaining a better understanding of how biodiversity conservation affects economic activities and human welfare. Quantifying the economic benefits of biodiversity for human well-being is not straightforward. Here, we expand the ecosystem service cascade by (i) attributing a methodology to the different steps of the cascade to assess the effects of changes in functional group diversity on economic activities; (ii) including multiple attributes for defining functional diversity and (iii) integrating a dynamic ecological model simulating complex interactions and feedbacks between species with an economic model assessing the effects of changes in functional group diversity for gross revenues. The stepwise methodological framework integrates a production function approach with a market price-based approach in order to investigate the indirect use value of functional group diversity based on the ecological role of species in the ecosystem. The methodology is applied to estimate the relationship between the gross economic value of Chinook salmon (Pacific Northwest, United States) and the diversity of freshwater macroinvertebrates. The results of our analysis emphasize the importance of biological diversity for sustaining ecosystem goods and services. The analysis provides a tractable framework for quantitatively exploring the economic consequences of changes in functional group diversity.

Abstract: Appropriate use of agricultural technologies and diversifying the farming activities is critical to addressing food security problems in Africa, including Ethiopia. The country is experimenting with the new Agricultural Innovation System (AIS) approach alongside the well-established Transfer of Technology (ToT) approach. This paper analyzes the gaps between policy discourses (as reflected in policy documents and strategic orientation documents) and extension practices (as reflected in the daily exchanges between farmers and the frontline staff of the Ethiopian extension system). It provides insights into the challenges faced and emphasizes the need for better coordination between policy formulation and implementation to enhance extension services. Policymakers, practitioners, and researchers can benefit from the valuable perspectives the findings offer. The study contributes to understanding the relationship between policy discourses and extension practices, and its implications can inform policy design and implementation in similar contexts. A qualitative research approach was deployed to analyze policy discourse and practice. Data were collected in Fogera, a district in Northwest Ethiopia, between August 2018 and February 2019. The data for the paper were obtained from 23 Focus Group Discussions conducted with men and women. 13 Informant Interviews (KIIs) were also carried out with personnel at different levels of government agricultural services and departments. Transcripts of recordings of the Focus Group Discussions (FGDs) and Key Informant Interviews (KIIs) were analyzed using a deductive approach. The study focuses on rice crops in the Fogera district, which are crucial for food security and reducing poverty. Although the geographic area is limited, the results can be used to improve the extension system in other areas facing similar challenges. Specifically, the study suggests switching from the traditional transfer of technology approach to the agricultural innovation system approach. Furthermore, the study's techniques, such as qualitative interviews, may have limitations and not fully capture the intricacies of policy and extension practices. The findings demonstrate that, although the policy documents strongly adhere to agricultural innovation system principles, top-down transfer of technology approaches continues to dominate in practice. Moreover, we have found potential discrepancies between the training content delivered and the specific needs of smallholder farmers. Practically, prescriptive systems are still used because agricultural innovation system approaches are not well understood by the Extension Agents. To realize a genuine agricultural innovation system, Ethiopia's extension apparatus should move forward with building committed and robust relationships between farmers, extension agents, researchers, private sectors, and non-governmental organizations. To this end, more research, enhanced training, and improved institutions are needed on what genuine agricultural innovation system could look like at the grass-roots level. This also includes understanding the roles that different actors within Ethiopia's development army should assume how a multi-actor policy dialogue can be organized.

Abstract: As decentralized electricity generation is supporting grid development into the prosumer era, this paper investigates the economic viability of adding batteries to residential microgrids powered by photovoltaic units, under various electricity pricing schemes. Batteries bring the benefits of grid-stabilization and congestion relief, and they are also becoming cheaper. The problem identified is that the main grid effectively acts as a lossless storage system, especially under the net-metering scheme, whereas using a battery involves investment costs and energy losses. This mismatch is addressed by analysing residential microgrid projects under seven tariff designs, each in seven countries of the European Union, and compare the economic viability of photovoltaic systems with and without batteries. The findings show that the conditions most favourable to batteries are given by a capacity tariff scheme allowing price arbitrage. Based on these findings, the paper discusses possibilities for further support in order to bring the economic viability of microgrids with batteries on par with that of microgrids without batteries.

Abstract: As of 2017, the sale and use of the refrigerants most commonly used in automotive cooling systems – hydrofluorocarbons – are entirely banned in all new vehicles placed on the market in the European Union. These refrigerants have been recognised as potent greenhouse gases and, therefore, direct contributors to climate change. It is within this regulation-driven market that the technologies for a sustainable solution have been developed. However, this paper argues that the market for automotive cooling systems has been 'locked-in', which means that competing technologies, operating under dynamic increasing returns, will allow for one – potentially inferior technology – to dominate the market. Whilst such a situation is not uncommon, this paper discusses the way that regulation has reinforced a patented monopoly in 'picking winners': to the advantage of a synthetic chemical, R-1234yf, as opposed to the natural solution, which is CO2. By developing a generic conceptual framework of path dependence and lock-in, the presented evidence seeks to show how a snowballing effect has led to the intensification of differences in market share. We also argue that the automotive industry is potentially promoting short-term fixes, rather than long-term, sustainable and economically viable solutions. (C) 2017 Elsevier Ltd. All rights reserved.

Abstract: Aside from potential environmental benefits, the implementation of circular economy principles in businesses can have merits for the labour market. The current unemployment in several regions of Europe and the qualitative mismatch between supply and demand could be countered by reskilling the labour force to adjust supply and demand to one another for increased reuse, repair, or recycling, among others. This study uses interviews to increase the focus of the research question and uses survey data to perform an ordered probit regression analysis to sketch the current and future landscape of startups’ skills in Flanders (Belgium), and to analyse the relationship between circular strategies and different types of skills. The results show that design to lower material use increases the need for transport and logistics skills, digitalisation increases the need for R&D and IT skills, and the recuperation of waste requires technical knowledge. Furthermore, gender, age, and experience of the entrepreneur influence the needed skills. The paper probed for policy recommendations for the uptake of circular strategies and recommendations for future research. The most asked policy measures by the respondents are innovation and collaboration support (subsidies), fiscal measures that support circular goods and services, and public procurement for circular goods and services. This research is of relevance for several stakeholders, such as startup ecosystems, sector organisations, policy makers in innovation policy and labour market policy, and educational institutions.

Abstract: Based on extensive field information, farmer-led small-scale irrigation systems along the dam-regulated Tekeze River is investigated and the likelihood of future irrigation expansion within the area with modelled potential is discussed, considering facilitating and hampering factors. Due to dam-induced hydrologic alterations, downstream socio-ecological systems have strongly transformed as the irrigated area has quadrupled and the post-dam potential for perennial crop cultivation has attracted numerous migrant investors to the area, inducing inequalities but also providing opportunities. Future dam construction should involve tailored policy interventions to facilitate irrigation expansion, while safeguarding equal and sustainable access to water and land.

Abstract: Belgian pork production has faced stagnating prices for decades. It remains unclear whether excessive market power from slaughterhouses or meat retailers has played a role in this trend. While market power studies can reveal some of the market dynamics in this setting, this type of research has not yet been applied to the Belgian pork market. The present paper investigates oligopolies and oligopsonies in the pork production sector. We build a new model that focuses on market power dynamics in the market for live pigs and distinguishes horizontal and vertical market power parameters, both for pig farmers and for slaughterhouses. The results follow from an empirical application using unique slaughterhouse data for 2001–2015. The results indicate that the farmers benefit from a significant power advantage in the live pig market, when very modest price demands are taken as a reference. The final market price of live pigs approaches the price requested by the farmers. On the other hand, the measured vertical market power also suggests that a pig farmer does not receive the (modest) full-wage-based salary. The market power of the slaughterhouses is also limited. Market power as a result of collusion—that is, horizontal market power—is present, but is not strong. However, there are significant differences between the slaughterhouses in terms of mark-up on the input prices. These differences reflect differences in company strategy, and this diversity further reduces the possibility to create sector-wide collusive behaviour.