Dieter Helm's lecture series on farming.

2. THEMES
• Defining public goods
• Alternative delivery mechanisms
• Providing the data and accreditation
• Scale of the opportunities

3. DEFINING PUBLIC GOODS
• Technically: non-excludable & non-rival
• Public goods = public interest
• Food and carbon are private goods
• Agricultural public goods are largely environmental
• Food security has public good elements, but value is low
• Water services, flood prevention, biodiversity, amenity and health benefits all count

4. ALTERNATIVE DELIVERY
MECHANISMS
HLS
Countryside schemes
Farm agents
Building in enhancements
Reverse auction allocations
CSO model
Incorporates carbon
Regulation and farm agreements
Auctions & trading platforms

5. AUCTION MODEL
• Water services (pollution reduction measures)
• Biodiversity gains
• Acess & recreation
• Trees
• Recreation
• Etc etc etc
Cost and value of
enhancement flows
Multiple natural capital
revenue flows
Carbon offset priceCarbon offsets

6. DATA & ACCREDITATION
Baseline NATCAP
Hypothetical enhancements
Re-estimated baseline NATCAP
Cost of provision
Bid into auction
Accreditation of assets

7. DATA SOURCES
• Satellite: 20 sq. metre resolution
• + drones = high level resolution
• + soil data
• + biodiversity data sets (plants, birds, invertebrates, mammals)
• + drill bit data
• +++ greater + greater resolution

8. SCALE OF OPPORTUNITY
• £3 billion fixed budget for allocation in short term
• Most efficient enhancements first
• Carbon offset market augments public goods payments – mixed revenue flows
• New future for marginal land, especially in the uplands.