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Emergy evaluation for decision-making in complex multifunctional farming systems.

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This study compares economic and emergy accounting for montado farms. Emergy accounting better values natural resources, revealing economic methods undervalue environmental contributions to farming systems.

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Area of Science:

  • Agroecology
  • Environmental Accounting
  • Resource Management

Background:

  • Montado farms in Southern Portugal rely on renewable resources.
  • Traditional economic evaluations may not fully capture environmental contributions.

Purpose of the Study:

  • Compare traditional economic and emergy evaluations for montado farms.
  • Assess how each method values natural resources and purchased inputs.
  • Propose a combined approach for comprehensive resource accounting.

Main Methods:

  • Applied economic and emergy evaluations to a case study montado farm.
  • Analyzed the valuation of local natural resources and purchased factors.
  • Compared the results of both accounting methods.

Main Results:

  • The montado farm's renewable component represents 27% of total social costs.
  • Economic accounting undervalues the contribution of natural resources.
  • Purchased factors and services are valued 3.5 times higher in economic terms than in emergy terms.

Conclusions:

  • Complementing economic accounting with emergy accounting offers a benchmark for evaluating environmental contributions in agriculture.
  • Emergy accounting incorporates external factors and the biophysical system's contributions, enhancing total economic value.
  • This integrated approach supports informed sustainable economic decisions and public policies.