Carbon-Financed Drip Irrigation: Contract Design Simulator

Evaluate cost-effectiveness of drip irrigation upgrades under different contract designs from both farmer and program implementer perspectives.

Contract & Program Parameters
Farm & Irrigation
Contract Design
Practice Changes Required
Risk Mitigation
Farmer NPV
--
USD per hectare
Implementer NPV
--
USD per hectare
Abatement Cost
--
USD per tCO2e
Farmer Payback Period
--
years
Break-Even Carbon Price
--
USD per tCO2e
Estimated Adoption Rate
--
of enrolled farmers
Total Program Impact (all farms, full contract)
--
tCO2e abated
--
m3 water saved
--
total program cost
Farmer Cumulative Net Benefit (per hectare)
Annual Cost & Revenue Breakdown (per hectare)
Year-by-Year Cashflow (per hectare, USD)
Sensitivity Analysis: Farmer NPV

Shows how farmer NPV changes when each parameter varies ±30% from current value, holding all others constant.

Contract Design Comparison

Compares 5, 10, and 20-year contracts across all three payment models at current carbon price.

Model Assumptions & Methodology

This interactive model implements a simplified cost-benefit analysis framework as outlined in the RQ2 research plan. Key assumptions are calibrated to Turkish agricultural conditions and literature values:

  • Drip irrigation cost: $1,500–3,500/ha installed (varies by crop type), with 15-year system lifespan
  • Water savings: 25–50% vs. baseline, depending on current irrigation method
  • Carbon sequestration: 0.3–1.2 tCO2e/ha/yr from irrigation efficiency + practice changes (IPCC ranges)
  • N2O reduction: 10–25% from optimized water and fertilizer management
  • Yield effects: 5–20% improvement under drip irrigation (crop-dependent)
  • MRV costs: $3–8/ha/yr for monitoring, reporting, and verification
  • Adoption model: Based on farmer NPV relative to opportunity cost, adjusted for risk perception and yield guarantee effects (per preliminary RQ1 findings)
  • All values in constant 2024 USD. Carbon credits per Verra VM0042 methodology.