GREENHOUSE ISSUES IN THE GRAZING INDUSTRIES Workshop Notes Tullamarine Airport Motor Inn Melbourne Wednesday 15th November 2000 Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 1 of 29 Greenhouse issues in the grazing industries Digby Room, Tullamarine Airport Motor Inn 265 Mickleham Rd Tullamarine 3043, Melbourne Wednesday 15th November 2000 @ 9:45 am Purpose 1. To inform grazing industry investors of the issues, threats and opportunities of greenhouse emission reduction targets and carbon credits, as agreed under the Kyoto protocol and its likely implementation, as they may apply to the grazing industries in SE Australia. 2. To inform participants of current applicable activities in greenhouse. 3. To facilitate discussion on specific priority areas for collaboration, investment and development, as well as a timescale and process forward. Agenda 9:30 Arrival, Registration and Coffee 10:00 Welcome and Introduction – Richard Habgood & Tim Orton 10:10 Information Session The Greenhouse challenge and implications for the Grazing Industries – Prof Snow Barlow, ILFR, The University of Melbourne and CRC for Greenhouse Accounting Brief report on recent reviews and studies conducted in Dairy, Beef and Sheep – Dawn Dalley, Richard Eckard, Bruce Knee 11:00 Listing by participants of specific greenhouse research issues – Tim Orton 11:30 Tea break 11:45 Existing and Planned Research, and Potential Gaps (a representative from each organization should be prepared to give a brief overview of where there organization is at in dealing with the greenhouse issue) Listing of known projects and discussion regarding their applicability to greenhouse issues – Tim Orton Brief presentation of the Goulburn-Broken CMA proposal (10 min) - Prof Snow Barlow 13:00 Lunch 13.45 Facilitated workshop – Tim Orton Identifying key priority areas for attention - Win-win opportunities - Imminent threats Consolidation of key issues and clear identification of areas for joint collaboration Agreement on a process, development and time-scale team for the development of identified areas of work. Identification of a project development team. 3:30 pm Afternoon Tea and Close Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 2 of 29 Invited delegates: Surname Anderson Balint First Rod Carolyn Barlow Snow Location NRE Greenhouse Unit CAW Kroker ILFR, The University of Melbourne ILFR, The University of Deli Melbourne Michael AV Rutherglen Julie Agribusiness, East Melbourne Dawn AV Ellinbank Tom DRDC ILFR, The University of Richard Melbourne Cameron AV Ellinbank Richard Agricultural Industries, NRE Phil CAW, East Melbourne Joe NRE Bruce AV Hamilton Agricultural Industries, Geoff Bendigo Lowe Marland Kim David Mason Orton Pattinson Russell Slattery Taylor Wang Boomsma Warren Tim Russell Ben William Rodney QJ John Chen Crawford Currie Dalley Davison Eckard Gourley Habgood Heaphy Jacobs Knee Div. of Parks, Flora & Fauna East Melbourne Attend Y N Y Role Policy Analyst, Greenhouse Salinity Project Officer Head, Department of Resource Management and Horticulture CRC for Greenhouse Accounting Y Senior Research Fellow Senior Research Scientist Food Industry Development Team Leader Feedbase Production & Utilis Farm Portfolio Manager Senior Research Fellow Key Project Manager – SWaN Industry Co-Ordinator Dairy Policy Integration Feedbase Key Project Manager Industry Program Leader – Meat Y Y Y Y Y N Y N N Y Y Industry Co-Ordinator Beef N Principal Policy Analyst Agricultural Industries, Ararat Wool Industry Co-Ordinator Natural Resources DRDC & MLA National Program Coordinator Nous group Facilitator Woolmark Co Group Manager On-farm Technology MLA Manager Southern Production Systems AV Rutherglen Natural Resources Manager CAW Irrigation Project Officer AV Tatura, ISIA Key Project Manager – SWaN NRE Ellinbank Target 10 Coordinator Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Y Y Y Y N Y N Y Y Page 3 of 29 Greenhouse Priorities in the Grazing Industries Workshop Conclusions and Outputs Tim Orton, Facilitator, The Nous Group A. Research Priorities in Time Framed Order 1. Desk top research of beef and sheep to a similar level to dairy (relevant to all states) To identify critical assumptions that need to be tested further Critical sources and drivers of greenhouse emissions Opportunities to make major changes 2a. Complete field based assessment of emissions of grazing animals – dairy, sheep, beef, (and also cropping and horticulture) to confirm or amend desk top research of Step 1. Priorities listed in table below. Irrigated High rainfall Sheep / cereal country total Dairy H H Beef Sheep H 15% 50% H H 30% 2b. In parallel with 2a, hypothesise opportunities to improve net emissions 3. Create model of emissions across landscape 4. Confirm opportunities to improve net emissions based on steps 2a and 2 b. Potentially worth pursuing in parallel 5. How significant are energy inputs into Ag. production? Are there energy efficiency opportunities Is use of bio-fuel a significant option? – Dairy / feedlot? Could methane be collected? (from feed lots?) B. Integrated environmental management systems The following priorities are all related to the range of policy and regulatory issues that are currently being pursued by NRE (and others) that relate to greenhouse and other critical NRM issues. 1. Investigate greenhouse impact of removing land from production 2. Is the potential synergy between policy and regulatory instruments fully realised? Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 4 of 29 3. Do the evolving policy mechanisms (eg. Auction mechanisms) create opportunities for greenhouse? 4. Are greenhouse and other environmental issues (water quality, biodiversity, salinity etc.) complementary? 5. How would greenhouse action improve other environmental outcomes? 6. Would landscape / catchment approaches yield different solutions from an enterprise view? C. Communication and Marketing This work will require more information from the research priorities and the work on integrated environmental management systems. 1. How do we inform / educate government/policy makers, industry and farmers/enterprises? – and for the entire industry chain / and whole of product emission control 2. What are the broader communication requirements on behalf of agriculture industries Relative performance of agriculture industries Should include carbon trading / credits etc. D. Who will carry this forward? Broadly, AFFA, NRE, AGO From this specific meeting: Richard Habgood Julie Currie Rod Anderson E. Other Notes from the Workshop a. Greenhouse Impact Scoping 1. What are relative opportunities to improve net emissions (panel of experts) By relative contribution today By relative growth By opportunity to make changes 2. What are the opportunities for growth without increasing emissions? 3. Do we have solutions for methane and N2O less well developed than for CO2 4. What assumptions have been made in the existing desk top research? And which assumptions need to be tested in field research? – because they are significant, and because they can be positively influenced. Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 5 of 29 b. Audit of Existing Systems 1. Determine with greater certainty emissions of agriculture with respect to other industries of different ag. Industries by region by production system 2. Create model of emission by land type / catchment and matching with GIS data 3. Question: what level of certainty is required? To influence policy To provide useful input to enterprises c. Adaptation of Agriculture 1. How will agriculture need to adapt to climate change? This is a long term challenge, and greenhouse adaptation should be factored into existing research programs aimed at improving productivity or environmental outcomes. d. International The following are important issues that all interested in greenhouse should watch, but none are the direct responsibility of workshop attendees. 1. How is carbon trading to be enacted – international, national, state, industry, enterprise o Appears to be international rules, and enterprise based trading 2. How are other countries dealing with C-trading 3. How are other countries dealing with emission reduction initiatives in agriculture. e. Potential Enterprise Level Solutions 1. Move from beef to kangaroos / alternative animals – gene technology 2. Development of alternative systems 3. How significant are energy inputs into Ag. Production? Are there energy efficiency opportunities Is use of bio-fuel a significant option? – Dairy / feedlot? Could methane be collected (from feed lots?) 4. Are there solutions for different sized enterprises? 5. Develop enterprise based accounting system f. Cross Enterprise Solutions 1. Will some greenhouse solutions require aggregation of enterprise activity? 2. What are the implications for downstream industries? Simply be aware at this stage. Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 6 of 29 Insert Powerpoint Slides Here Snow_Barlow.ppt Eckard_Dalley_Crawford.ppt Webb_Audit.ppt Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 7 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 8 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 9 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 10 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 11 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 12 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 13 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 14 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 15 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 16 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 17 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 18 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 19 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 20 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 21 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 22 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 23 of 29 Insert Powerpoint Slides Here Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 24 of 29 Summary of exiting activities in Greenhouse – Notes handed out prior to workshop Project/activity** Eckard, Dalley & Crawford CRC review Ind’y Dairy Details Identification of key emission sources Identification of future research needs Potential win-win opportunities identified i.e. trees/biodiversity, management efficiency McCrabb desktop study/review Dairy Webb carbon audit desktop study Beef/ Sheep Potential magnitude of greenhouse impact quantified (25% reduction in methane required) Potential financial threat quantified and identified (potential non-compliance cost of $12 – $48 M pa) Potential win-win opportunities identified Identification of key emission sources Potential management change opportunities identified Low confidence in estimates from current methodologies and assumptions Indicative results only – based on a theoretical farm Greenhouse Gaps Identified Relevance of Methane methodologies under normal grazing Relevance of Methane estimates to temperate, pasture-based production systems The impact of grazing management change and strategic supplementation on methane emission Efficacy of identified methanogens, defaunating agents, feed additives and rumen modifiers. Nitrous oxide emissions under flood irrigation, and compared to spray irrigation. Reducing nitrous oxide due to N excretion in dung and urine Grazing and fertiliser management change for improved soil carbon storage Greater understanding of soil carbon dynamics under grazing A more detailed carbon audit of a range of production systems required Research required on feeding systems for methane reduction Reducing nitrous oxide due to N excretion in dung and urine (20% abatement potential) Improved methodologies and estimates required for temperate grazing based systems A more detailed carbon audit of a range of production systems required ** For further details of the projects or references listed see “Summary of current activities in Greenhouse” on pages 5 –7. Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 25 of 29 Summary of exiting activities in Greenhouse – Notes handed out prior to workshop (cont) Project/activity** Research: Best Management Practice for nitrogen – R Eckard Research: Temperate Pastures Sustainable Key Program – RE White Research: A Vaccine for Methane mitigation in ruminants – Sue Baker Research: Dr Keith Joblin, AgResearch, NZ and Dr Gerard Fonty, NIAR, France Ind’y Dairy Beef/ Sheep ? Beef/ sheep Details Guidelines and best management practices for improving efficiency and reducing loss Greenhouse Gaps Identified Denitrification loss under summer flood irrigation systems Improving N efficiency and reducing N loss due to N excretion in dung and urine Denitrification rates from extensive legumebased pasture Changes in soil carbon All Positive results in vitro – no evidence in vivo as yet. Unknown Sheep (all?) 5% of grazing sheep produce much less methane than expected, indicates that there are natural mechanisms that affect methane emissions. The potential of reductive methanogens (i.e. acetogenic bacteric) to lower rumen methane emissions ** For further details of the projects or references listed see “Summary of current activities in Greenhouse” on pages 5 –7. Greenhouse issues in the grazing industries - Workshop Notes – 15th November 2000 Richard Eckard – The University of Melbourne & AV Ellinbank Page 26 of 29 Summary of potentially applicable activities in Greenhouse: Notes handed out prior to workshop (cont) Recent Reviews and desktop studies 1. Eckard R.J., Dalley D., Crawford M. (2000). Greenhouse Gas Sources and Sinks, and Impacts of Potential Management Changes on Greenhouse Gas Emissions and Sequestration from Dairy Production Systems in Australia. In: "Management Options for Carbon Sequestration in Agricultural, Rangeland & Forestry Ecosystems" Keenan R. (ed), Workshop Proceedings CRC for Greenhouse Accounting, 25 May 2000, ANU, Canberra. pp. 58 – 77. 2. McCrabb G. (2000). Review of Greenhouse Gas Emissions from Australian Dairy Farms DRDC Project Code: CSA006 11 August 2000, CSIRO Livestock Industries, Rockhampton. 3. Webb R.M. (2000). Audit of the carbon balance on a mixed enterprise, grazing farm in south-west Victoria. Agriculture Victoria, Pastoral and Veterinary Research Institute, Hamilton. Proposed Projects: Goulburn Broken Catchment Regional Greenhouse Gas Abatement and Sustainability Program – Project Proposal Submitted to Australian Greenhouse Office in September 2000. Current research potentially applicable to SE Australia: Nitrous oxide/denitrification 1. Best management practices for nitrogen in intensive pasture production systems (DRDC DAV413) – Richard Eckard 2. Soil, water and nitrogen dynamics under perennial and annual pastures: TPSKP southern site M.417 (LWRRDC MRC3) - Prof RE (Robert) White, The University of Melbourne Methane: 1. A Vaccine for Methane mitigation in ruminants – Dr Sue Baker, CSIRO Livestock Industries, Perth. 2. Improve the nutritive value of Mediterranean pastures - Dr DB Purser, CSIRO Animal Production, Blacktown. 3. Joint project between Dr Keith Joblin, AgResearch Grasslands, Palmerston North and Dr Gerard Fonty, National Institute for Agricultural Research, France studying methane producing microbes in cows and sheep. “…five percent of grazing sheep produce much less methane than expected, indicates that there are natural mechanisms in play that affect methane emissions.” Completed Research potentially applicable to SE Australia: 1. To quantify the rate of emission of the greenhouse gas, nitrous oxide (N2O) from legume-based pastures in south-eastern Australia - Ian Galbally, CSIRO Atmospheric Research. 2. Evaluating the opportunities and costs of reducing greenhouse gas emissions from Australian beef cattle, sheep and wheat cropping industries – Dr Mark Howden, Greenhouse Issues in the Grazing Industries Workshop Notes 15th November 2000 – Richard Eckard Page 27 of 29 Other recent Australian and New Zealand References: Notes handed out prior to workshop (cont) Barson, M.M. (1998). Carbon sinks and carbon budgets for Soil and Vegetation Resources. A paper for the National Land and Water Resources Audit, Canberra. Crawford, M.C. (1997). Quantification of the belowground inputs of organic carbon by the annual pasture legume barrel medic (Medicago truncatula Gaertn.). Ph.D. thesis. The University of Adelaide, South Australia. 192 pp. Howden S.M. and Reyenga P.J. (1998). Methane emissions from Australian livestock. In: Meeting the Kyoto Target. Implications for the Australian Livestock Industries. P.J Reyenga. and S.M. Howden (Eds). Bureau of Rural Sciences, 55-61. Joblin K.N. (1998). Acetogens – opportunities and constraints to use in the rumen. In Meeting the Kyoto Target. Implications for the Australian Livestock Industries. P.J Reyenga. and S.M. Howden (Eds). Bureau of Rural Sciences, 39-44. Judd M.J., Kellier F.M., Ulyatt M.J., Lassey K.R., Tate K.R., Shelton D.I., Harveys M.J. and Walker, C.F. (1999). Net methane emissions from grazing sheep. Global Change Biology 5, 647-57. Lassey K.R., Lowe D.C., Manning M.R. and Waghorn G.C. (1992). A source inventory for atmospheric methane in New Zealand and its global perspective. Journal of Geophysical Research 97, 3751-3765. Lassey K.R., Ulyatt M.J., Martin R.J., Walker C.F. and Shelton D.I. (1997). Methane emissions measured directly from grazing livestock in New Zealand. Atmospheric Environment 31, 2905-2914. Skjemstad, J.O. (1996). Climate change. Determining the potential for carbon sequestration in Australian soils. CSIRO Soils Division. RIRDC Final Report - CSO-5A. 66pp. Australian Journal of Agricultural Research Volume 50 Number 8 1999 Meeting the Kyoto target: implications for the Australian livestock industries Baker S. K. (1999). Rumen methanogens, and inhibition of methanogenesis. Australian Journal of Agricultural Research, 50, 8. 1293 Hegarty R. S. (1999). Mechanisms for competitively reducing ruminal methanogenesis. Australian Journal of Agricultural Research, 50, 8. 1299 Hegarty R. S. (1999). Reducing rumen methane emissions through elimination of rumen protozoa. Australian Journal of Agricultural Research, 50, 8. 1321 Howden S. M., Reyenga P. J. (1999). Methane emissions from Australian livestock: implications of the Kyoto Protocol. Australian Journal of Agricultural Research, 50, 8. 1285 Joblin K. N. (1999). Ruminal acetogens and their potential to lower ruminant methane emissions. Australian Journal of Agricultural Research, 50, 8. 1307 Klieve A. V., Hegarty R. S. (1999). Opportunities for biological control of ruminal methanogenesis. Australian Journal of Agricultural Research, 50, 8. 1315 McCrabb G. J., Hunter R. A. (1999). Prediction of methane emissions from beef cattle in tropical production systems. Australian Journal of Agricultural Research, 50, 8. 1335 Reyenga P.J. & Howden S.M. (1998). Meeting the Kyoto Target - Implications for the Australian Livestock Industries. Workshop proceedings Canberra, 4–5 November 1998, Bureau of Rural Sciences Greenhouse Issues in the Grazing Industries Workshop Notes 15th November 2000 – Richard Eckard Page 28 of 29 Ulyatt M. J., Baker S. K., McCrabb G. J., Lassey K. R. (1999). Accuracy of SF6 tracer technology and alternatives for field measurements. Australian Journal of Agricultural Research, 50, 8. 1329 Summary of conclusions Meeting the Kyoto Target - Implications for the Australian Livestock Industries. Workshop proceedings Canberra, 4–5 November 1998, Bureau of Rural Sciences: 1. Some feasible scenarios of emissions trading arising from the Kyoto Protocol could pose a threat to the livestock sector if these industries don’t actively participate in the development of policy guidelines and R&D. If, however, these industries are pro-active there could be significant opportunities. The establishment of explicit policies that guide the implementation of the Kyoto Protocol was seen as a priority as it will determine the nature of the response needed. 2. Industry’s efforts to improve animal productivity are already reducing methane emissions per unit of product. If this trend continues then it may be possible to achieve the Kyoto 108% target with current scenarios of industry growth. However, without research, development and adoption of new emission-reduction technologies, it is unlikely that there would be a substantial shrinkage in emissions without significant downsizing of this sector. 3. Significant emission reductions could be achieved through the development of new technologies. There are currently a number of research avenues that show potential to reduce emissions substantially while increasing animal productivity. At present most receive little research funding in Australia. 4. Australia should invest in the development and commercialisation of these technologies rather than wait to buy them from other countries. There are opportunities for green house ‘credits’ if Australia uses these technologies in Joint Implementation (JI) and Clean Development Mechanism (CDM) activities. There are also opportunities to enhance the image of Australian industries. 5. Funding for research and development should come from both industry and government as reducing emissions relates to both business advantage and the ‘national good’. The existing commitment is small. 6. Greater collaboration and consultation is needed between industry, scientists and both Commonwealth and State policy makers in the development of policy and research guidelines. Once established, continuity of both policies and funding is important. 7. There is a need to inform the farming sector and the community as a whole about why it is important to reduce emissions from the livestock sector and how it can be done at least cost. This will be partly addressed in the implementation plans for the National Greenhouse Strategy. 8. If Australia is to claim emission reductions from the livestock sector there is a need to maintain and improve the statistics and science used to calculate emissions. At the moment basic livestock statistics are deteriorating in detail and frequency of collection whilst other necessary information is not available. There is also a need to measure emissions experimentally to establish better or new relationships between emissions and management practices. Greenhouse Issues in the Grazing Industries Workshop Notes 15th November 2000 – Richard Eckard Page 29 of 29