1. Working Lunch! NACAA: July 17, 2007 Grand Rapids, MI Dave Beede Dept. Animal Science Michigan State University

2. Environmental Opportunities for Animal Agriculture: Extensions Critical Role Dave Beede

3. Two Questions ? What are current and future environmental opportunities for animal agriculture? What should be and/or are Extensions roles? http://www.mdr.msu.edu

4. Overview Working Lunch Two Questions (handout) Systems Thinking in farms? Criteria for Evaluation of Agriculture Systems Potential Climate Revenue Centers, Market Opportunities Applied Research? Extensions Current and Future Role

5. Animal Farm ?

6. ?

7. Animal Farm……..

8. Dairy Farm (System)

9. MSU Extension Dairy Team, 2006 Dairy Production System http://www.mdr.msu.edu

10. Production Systems Industry: –Straight line production process Raw materials product replacement over time Highly efficient operations Little waste material resulting from process Agriculture: –Circular flow of nutrients (cycle) –Products and wastes leave cycle May re-enter cycle –Human/societal waste, food residues, etc. –Raindrops collect gases and particulates from air Sustainable (systemic), but not perpetual Industry vs. Agriculture Hoshiba, S. 2002. In: Greenhouse Gases and Animal Agriculture

11. Production Systems Industrial Agriculture Industrial Agriculture –Straight line production Import of some raw materials (feed, fertilizer, bedding) Raw materials product exported Quite inefficient (25 to 35% for animal products) Large amounts of waste; e.g., dairy……. (240 lb intake – 90 lb milk) = 150 lb out as manure Accumulation of nutrients (risk)? Not sustainableNot sustainable - Paradigm of industry is not directly transferable to agriculture Industry vs. Agriculture Hoshiba, S. 2002. In: Greenhouse Gases and Animal Agriculture

12. MSU Extension Dairy Team, 2006 Dairy Production System http://www.mdr.msu.edu methane, ammonia methane, ammonia methane, ammonia methane, ammonia

13. NRC (2003) Committee: Scientific Evaluation Commissioned by USDA and US EPA

14. Percent of Total US Air Emissions NRC (2003) & Van Aardenne et al (2001) NH 3 -NN 2 O-NNO x -NCH 4 -CVOCs Source - - - - - - - - - - - - Percent of Total - - - - - - - - - - - - - - - Ag & natural land362551NA~? Ag Animals5025118NA~? Fossil/ biofuel burning725885342 Industrial processes0251049 Ag burning40325 Landfills403240 Total, Tg2.80.47.630.924.3 1 Tg = 1 teragram = 1 million metric tonnes ammonia, nitrous oxide, nitric oxide, methane, VOCs

15. The (single) farm as a system Crops Animals Manure Feeds FARM Farm boundary Environment Environment

16. In- and outflow of nutrients CropsAnimals ManureFeeds The farm as a systemEnvironment Environment Inorganic P Meat & Milk Emissions, runoff Emissions, dust Imports Exports

17. The farm as a sub-system The farm (F-x) as a sub-system F-4 F-1 F-6 F-8 F-7 F-3 F-5 F-9…. F-2 Environment Environment U.S. farms Outflows Inflows

18. Systems are: Artificial – imposed by humans Hierarchical structure –Systems of lower levels are sub-systems of higher levels –Higher systems create new entities e.g., trade organizations, cooperatives, markets –Systems are embedded in an environment Material and energy flows amongst each other Interact with each other The farm as a sub-system

19. If the System is all livestock and crop farms, where does the Phosphorus in corn distillers grains come from?! F-4 F-1 F-6 F-8 F-7 F-3 F-5 F-9… F-2 Specific example of systems-approach

20. Answer: Origin of P accumulating in U.S.-Agricultural System

21. Net phosphorus flow NotNot added to the system by corn distillers grains –Just not re-distributed evenly Inflow of P to the system –Mined inorganic P (feed, fertilizer) –May not (does not!) counterbalance P outflow U.S.-agricultural system

22. P in Distillers Grains Dairy industry takes on an industrial waste product (DGs) and transforms (part of) it into a valuable product (milk).Dairy industry takes on an industrial waste product (DGs) and transforms (part of) it into a valuable product (milk). Who is the polluter?Who is the polluter? Who is the (re)mediator?Who is the (re)mediator? Question: Environmental cost?!Question: Environmental cost?! Who is and should be responsible?Who is and should be responsible?

23. Criteria of evaluation? 1. Profitability, economic efficiency Bottom line for farms (sub-systems) 2. Input of fossil fuel (energy) 3. Environmental load Ecological sustainability or stewardship 4. Animal welfare 5. Human welfare (social benefit) Kawakami et al., 2000. Agricultural production systems

24. Criteria of evaluation? 1.Profitability, economic efficiency –Bottom line for farms (sub-systems) 2.Input of fossil fuel (energy) –Net addition of CO 2 3.Environmental load (P, C, N; chem. species?) 4.Animal welfare 5.Human welfare ( social benefit) Agricultural production systems Kawakami et al., 2000. How to assess these? They may not affect bottom line directly.

25. Cost of environmental load Time lag Partially exported into environment (the community) –Who is responsible for cost of environmental clean up? e.g., from EtOH production? –Up-front cost (prevention) cheaper? –How is farmer paid for compliance? –Cheap food policy vs. environmental protection?? –Climate/ environmental market potential for farmers? Agricultural production systems

26. Dynamic over time The farm as a subsystemEnvironment Environment

27. Exploring the Environment: N-S-P-E-C-T System Technological Energy Military Information and Media Mech., Transport & Manufact. Cultural Lifestyle, Leisure & Entertmt Religion & Spirituality Literature and Art Fashion Ethics Economic Taxation Global Trade Income Distribution Inflation & Interest Rates Political Prevailing Ideologies Forms of Government Political Leadership Constitution Social Social Organizations Laws, Order & Regulations Health, Safety & Security Pop. Dynmcs & Employ Natural Biodiversity Resources Climate Adapted from R. Bawden, MSU

28. System evolves over time System embedded in environment Forces from environment –System affects environment –N-S-P-E-C-T perspectives Actions within the system Strategy: Actively affect environmentStrategy: Actively affect environment (vs. passively being affected)

29. Predicting the Future Anticipate changes and developments in the system and its environment –Goal: Prepare farm (sub-system) for future success CHALLENGE: Try to avoid getting the future wrong vs. the impossible task of getting it absolutely right. R. Bawden: Scenario Planning as an Experiential Exercise in Social, Reflexive and Transformational Learning

30. Prediction is very difficult, especially about the future – Niels Bohr 1.Heavier-than-air machines are impossible. – Lord Kelvin, 1895, British mathematician, physicist, and President of the Royal Society 2.I think that there is a world market for about 5 computers. – Thomas Watson, 1943, Chairman of IBM 3.We dont like their sound. Groups with guitars are on their way out. – Decca Recording executive, 1962, on turning down the Beatles for a recording contract Cerf and Navasky, 1984. The Experts Speak. Pantheon Books. Predicting the future??

31. Factors of future scenarios Predicting the future using N-S-P-E-C-T Impact Uncertainty Low High Critical cohort of influences R. Bawden: Scenario Planning as an Experiential Exercise in Social, Reflexive and Transformational Learning

32. Examples for dairy farming Predicting the future using N-S-P-E-C-T DomainImpactUncertainty Emission regulations Land prices (biofuels influence) Animal welfare (confinement) Availability of feeds Nutrient management Use of hormones Antibiotics Climate profit centers, exchanges

33. Role of THE Extension Educator? 1.Recognizes changes progressive 2.Imagine into existence future scenarios potential climate/environmental profit centers 3.Anticipates ( N-S-P-E-C-T ): social benefits, potential climate/environmental profit centers, exchanges, etc., etc.? ~ Initiates proactive change 4.Anticipates regulations ~ Initiates pro-active change ~ Mediator between farmers & scientific community

34. Chicago Climate Exchange (CCX) Richard Sandor 2003

35. New source of revenue?

36. CCX: monitoring, reporting, verification

41. ENVIRONMENTAL CREDIT CORP. SUPPLYING ENVIRONMENTAL CREDITS TO GLOBAL FINANCIAL MARKETS

44. Cows Produce Credits for Coal a American Electric Power Co., (AEP) Columbus, OH Coal Burning: produces 145 million tons CO 2 / year Dairy and Swine Farms Dairy cow Produces 365 m 3 CH 4 /year; (potency: CH 4 = 21x CO 2 ) 5 tons of CO 2 equivalent; or 5 CO 2 credits/year Via Anaerobic Digestion farms capture and destroy 5 CO 2 credits/year per cow; burn methane for power - - - a Wall Street Journal, June 14, 2007

45. Cows Produce Credits for Coal a American Electric Power Co., (AEP) Columbus, OH Coal Burning: produces 145 million tons CO 2 / year AEP to buy 600,000 CO 2 credits/year from ~ 200 dairy and hog farms 0.4% of AEPs annual global-warming emissions Real reductions (1 to 5%/year) mandated Dairy and Swine Farms Dairy cow Produces 365 m 3 CH 4 /year; (potency: CH 4 = 21x CO 2 ) 5 tons of CO 2 equivalent; or 5 CO 2 credits/year Via Anaerobic Digestion farms capture and destroy 5 CO 2 credits/year per cow; burn methane for power - - - a Wall Street Journal, June 14, 2007

46. Michigan Conservation & Climate Initiative MCCI provides access to US market for C offset credits for producers & landowners (CCX) Joint Project: MI Assoc. Conservation Districts, MDA, Delta Insitute Conservation tillage, permanent grass plantings, tree planting, anaerobic manure digesters Supported by: MI Corn Marketing & Growers Assoc., MDEQ, MFB, MNLA, PF, USDA Farmer Service Agency, USDA NRCS --------------------------------------------------------------------------------------------------------------------

47. Percent of Total US Air Emissions a NRC (2003) & Van Aardenne et al (2001) NH 3 -NN 2 O-NNO x -NCH 4 -CVOCs Source - - - - - - - - - - - - Percent of Total - - - - - - - - - - - - - - - Ag & natural land362551NA~? Ag Animals5025118NA~? Fossil/ biofuel burning725885342 Industrial processes0251049 Ag burning40325 Landfills403240 Total, Tg2.80.47.630.924.3 1 Tg = 1 teragram = 1 million metric tonnes ammonia, nitrous oxide, nitric oxide, methane, VOCs

48. Emissions measurements Newly established MSU Animal Air Quality Research Facilities Strategies to reduce CH 4 and NH 3 pre- and post- excretion Climate Credits Experimental Approach

49. Discussion! ----------------------------------

50. Two Questions ? What are current and future environmental opportunities for animal agriculture? What should be and/or are Extensions roles? http://www.mdr.msu.edu beede@msu.edu

51. Thanks!