Aligning GHG emission reduction with economic resilience - the case of Science-Based Targets in the dairy sector

Farmers view both the climate change and economic concerns as their main long-term challenges. This project investigates opportunities to align science-based greenhouse gas (GHG) emission reduction with resilience to economic short-term shocks and long-term pressures in the Swedish dairy sector. Specifically, we study the emerging practice of firms in the food and agricultural sector setting science-based targets (SBTs) for GHG
emission reduction, meaning they align with the objective of the Paris Agreement, including abatement plans and implementing them by 2030. Combining the disciplines of management control, accounting and agricultural economics, we examine decision-making and reporting tools and frameworks, practices of processors and preferences of the farmers to discern how synergies between SBT implementation and economic resilience can be achieved. Using qualitative and experimental research methods to analyse the implementation of the SBTs in the dairy sector, we contribute by identifying economically and administratively feasible management controls suitable for GHG reduction, such as SBT implementation. C onceptually, we improve the understanding of private governance instruments towards climate change mitigation that are aligned with economic resilience, as well as the farmers’ individual and social norm-based preferences towards them.