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Slides presented at the Ecosystems Knowledge Network Seminar in Bristol, 22 May 2013
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Charles CowapMBA MRICS FAAV
Applying PES in practice
Stimulating investment in C, H2O and Biodiversity benefits from peatland restorationEcosystems Knowledge Network
Bristol
22 May 2013
Charles Cowap, Chartered Surveyor Knowledge for Rural Professional Practice, and Harper Adams University
Dr David Smith, Mires in the Moors and Upstream Thinking, South West Water
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Learning points from this seminar
1. Legal and practical issues with land ownership and management for the implementation of PES
2. Building the business case for land managers
3. Key considerations and concerns for landowners, farmers and their professional advisers
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Peat’s Story
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Distribution of upland peatlands in the South West of England
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
The mires on Exmoor
Drainage for agricultural improvement
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Domestic and commercial peat cutting for fuel
Cutting carried on until the end of the c20th
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Exmoor peatlands have become largely dry and dominated by Molinia (sedge grass) as a result
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Exmoor Mires Project
• Initiated in 1998 by ENPA, EA and NE. First restoration work at Exe-head in 2001-4 aimed to benefit the River Exe.
• New Partnership for 2006-9 project with SWW - Wildlife restoration was the main funding aim of the partners.
• 2010-15 SWW customers funded project for water supply, quality and wildlife.
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
What has the project achieved?
• The blocking of 85km of ditches and the re-wetting of 735ha of mire at 22 sites
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Where?- the pink bits, the brown bits are possible future sites
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
How is restoration done?• Peat blocks, sometimes with wood and bales
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Peat and wooden blocks 6 weeks after restoration
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
What other equipment is used?
• Tracked dumper for logistics• Tractor with big tyres for cutting and bales
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
What is the end result• Most sites get a bit wetter and a some have got a lot wetter in
places
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Ditch blocks on a typical site with lots of small ditches
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Ditch blocks on big ditches = Pools
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Current Exmoor Project 2010- 15
• £2m budget for Exmoor• 2,000ha target restoration area • 3,400ha of peatland has now been surveyed, the ditches/peat-
cuttings measured and GPS mapped and the restoration potential assessed.
• 340 ha has been restored so far.• Another 300ha planned for this August
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Proof of Concept monitoring
Plant monitoring has found an increase in Sphagnum species and less Molinia
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Other Wildlife monitoring (Birds, dragonflies, amphibians, reptiles, etc)
Dragonflies example is typical of increases;
Black Darter- (rare on Exmoor as it needs bog pools) Blackpitts now has possibly the largest population in Somerset (100’s seen in 2011)
Common Hawker-(rare in southern England) x10 seen at Blackpitts and x2 at Squallacombe in 2012
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Agricultural Impact of Mire restoration monitoring
• base line survey started in 2012 by WRT, • post-restoration surveys in subsequent years.
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
• Monitoring Equipment per site:
54 dipwells, 18 temperature loggers, 60 capacitance probes, 30 mini conductivity loggers, 3 seepage meters.
Hydrological Monitoring:Water storage and quality changes
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Monitoring GHG flux and storage
Ground Collars
Fan to mix chamber air
Temperature and relative humidity logger
Internal balloon (to dampen pressure changes)
Sample Outlet
Vent Tube
Lid & chamber
Chamber, lid and collar are sealed using a water-filled groove
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Why Monitor?
• Need to prove to the Water Regulator that peatland restoration achieves its aims of improving water supply and quality.
• The outcome information is also needed for the set-up of a revenue payment for Mire restoration.
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Context: Exmoor example
Exmoor
R Barle
R Exe
Wimbleball Resr & R Haddeo
ExebridgePumping Station
Replenishment PumpingApprox 5 miles, lifting water from 120 to 240 m AODCO 2
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Pumping Costs
Treatment Costs
Future Storage/Abstraction
Costs
Incentive payments to landowners –
managers - occupiers
Savings for water buyers
Profit for reinvestment or distribution
CARBON
Economics+ OTHER ESS
PAYMENTS???
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Top Three Concerns
• Confidence
• Revenue/Cost
• Scheme Relationships
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Top Three Positives
• Environmental
• Revenue
• Asset Value and wider economic aspects
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Top Three Questions
• Legal/ownership concerns
• Revenue and cost
• Confidence
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Questions for consideration
• Contractual aspects• Land tenure• Effects on other
interested parties• Practical farming
considerations• Animal welfare and
health• Public liability
• Relationship other schemes
• Other business considerations
• Maintenance obligations
• Tax• Impact on value• Security/risk
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Decision Criteria and guidance
Site suitability• Peatland known mapped
damage• Detailed survey & mapping• Damage restorable?• Farming impact?• Drainage/wetness
implications for surrounding land
Land manager• All interests• New management
requirement?• Impact on other
opportunities (+/-)• Financial
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Financial evaluationExtra costs, eg• Access time to more difficult
ground• Vet and med bills• Insurance• Feed• Machinery costs (if
contracting to be offered)
Costs saved• Eg some livestock purchases
Lost Revenue• Eg some livestock LWG or
sales
Extra Revenue eg• PES income• Contracting opportunities for
SWW
+ Balance: financially worthwhile• Consider capital and tax
implications
Balance positive: not financially worthwhile
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Key Questions for PES developers
• Working with the positives
• Addressing the negatives
• Market infrastructure– Eg willing buyer– Trading terms
• Eg Peatland Carbon Code
• Contractual infrastructure– Eg Law Commission
Conservation Covenant Review
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
So to conclude:
• Legal and practical issues
• Building the business case
• Key considerations and concerns for landowners, farmers and their professional advisers
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Discussion and introduction of case study
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Red Earth Farm is a mixed tenure farm of total 500 hectares. Of this 400 ha is rented under the Agricultural Holdings Act 1986, and the remainder is owned (but subject to a mortgage with the Agricultural Mortgage Corporation). The main farmhouse and two workers’ cottages are located on the rented land along with the farm buildings. The owned land consists exclusively of bare land with no dwellings or buildings. The land abuts the west bank of the River Severn to the north of Tewkesbury (both the tenanted and owned land).
Food
Pollination Raw materials
Medicine
Biodiversity Local climate and air quality
Carbon
Mitigate extreme events
Water
Soil quality and stability
Disease Health
Waste treatment
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Contact Details
Charles Cowap
Translating new knowledge for rural professional practice
07947 706505
Twitter: @charlescowap
Blog: http://charlescowap.wordpress.com/
Slideshare: http://www.slideshare.net/cdcowap
Dr David Smith
South West Water
Mires Project Manager
056 0118 1600
http://www.exmoormires.org.uk/
http://www.southwestwater.co.uk