UVM Theses and Dissertations
Format:
Print
Author:
Valchuis, Laurel
Dept./Program:
Community Development and Applied Economics
Year:
2013
Degree:
MS
Abstract:
A movement towards re-Iocalizing communities' economic and social activities has been sparked to mitigate the adverse impacts associated with globalization. Alternatives therefore have been developed to mitigate these affects; two examples are the alternative food system and anaerobic methane digesters that produce electricity from cow manure. This thesis aims to explore the financial viability of anaerobic methane digesters on dairy farms as a viable local energy resource, as well as understand more deeply consumers' agency in participating in the alternative food system, using Vermont as an example.
Of the sixteen farms operating methane digesters in Vermont, all have received someform of public funds and/or a voluntary consumerpremium to boost development and financial viability of the technology, helping to achieve Vermont's energy goal of 90% renewables by 2050. Economic viability of these systems has not been proven however, especially on smaller farms of less than 500 milking cows. This study is conducted in two parts to examine both consumers' willingness to pay a premium for electricity generated by AD technology, and to determine the economic viability of AD systems across three different herd sizes typical in Vermont.
A representative survey of Vermont residents found consumers to show less support for AD technology as compared to solar and wind, showing that marketing may be necessary to boost support. An analysis of eight operating AD systems in Vermont found larger systems (>1,050 cows) and medium systems (375-500 cows) to have a positive cash flow after ten years in operation under the current premium and grant scenario. Small systems (<200 cows) however were found to have a negative cash flow after ten years, even when the consumer premium is doubled and grants are available. Small systems therefore appear to require continued public support to develop the technology to make it more accessible to smaller farmers, especially in Vermont where the average herd size is 130 cows.
Alternatives to the globalized food system are also being sought by consumers, in part, to mitigate the negative affects of globalization. Using interview data analyzed using grounded theory, themes identified included personal health and food production methods, voting with one's dollar, and provenance and food aesthetics. It was observed that those consumers who participated more consistently in alternative food systems discussed more of the aforementioned themes, such that having more beliefs around the alternative food system seems to drive agency towards participation in AFN's. This research points to the importance of having multiple angles of education around the benefits of alternative food systems, or regarding the negative impacts associated with globalized food systems, to create agency towards participating more consistently in AFNs.
Of the sixteen farms operating methane digesters in Vermont, all have received someform of public funds and/or a voluntary consumerpremium to boost development and financial viability of the technology, helping to achieve Vermont's energy goal of 90% renewables by 2050. Economic viability of these systems has not been proven however, especially on smaller farms of less than 500 milking cows. This study is conducted in two parts to examine both consumers' willingness to pay a premium for electricity generated by AD technology, and to determine the economic viability of AD systems across three different herd sizes typical in Vermont.
A representative survey of Vermont residents found consumers to show less support for AD technology as compared to solar and wind, showing that marketing may be necessary to boost support. An analysis of eight operating AD systems in Vermont found larger systems (>1,050 cows) and medium systems (375-500 cows) to have a positive cash flow after ten years in operation under the current premium and grant scenario. Small systems (<200 cows) however were found to have a negative cash flow after ten years, even when the consumer premium is doubled and grants are available. Small systems therefore appear to require continued public support to develop the technology to make it more accessible to smaller farmers, especially in Vermont where the average herd size is 130 cows.
Alternatives to the globalized food system are also being sought by consumers, in part, to mitigate the negative affects of globalization. Using interview data analyzed using grounded theory, themes identified included personal health and food production methods, voting with one's dollar, and provenance and food aesthetics. It was observed that those consumers who participated more consistently in alternative food systems discussed more of the aforementioned themes, such that having more beliefs around the alternative food system seems to drive agency towards participation in AFN's. This research points to the importance of having multiple angles of education around the benefits of alternative food systems, or regarding the negative impacts associated with globalized food systems, to create agency towards participating more consistently in AFNs.