Should there be drought relief payments?

Should there be drought relief payments?

When it’s been dry for months, the last two crops have failed, and it’s still 40 degrees in the shade, you’d have to be a sociopath not to have empathy for the farmer.

No matter how courageous and resilient farmers might be, there are limits to what any human being can handle, physically, financially and emotionally. And drought is tough, really tough.

Even the most closeted city dweller should feel something and want to help. Donate maybe. Perhaps lobby for governments to assist in what is an obvious emergency. And that is what has happened in the current drought in NSW.

Public donations have come from all around the country and state and federal government have allocated drought relief funding because, more often than not, the human response to a crisis is to help.

Emergency assistance when drought is at its worst helps to alleviate the worst of this for those most affected. It is a natural and proper response. What is known about the effects of drought on rural communities is that not everyone is affected the same way, some really struggle and others ride it out.

Some farmers suffer acute or prolonged hardship. Other survive, some relatively unscathed. Typically the survivors have prepared their stock, kept fodder on their paddocks by resting them, closed down their crop production early and planted a cover crop, or have cash in hand from a financial plan that anticipated lean times. Some or all of these tactics make it possible to sit out dry times. These landholders are also in great shape to benefit when the drought breaks as it always does.

The thing is it was the same in the previous drought and will be the same in the next one. And there will be a next one. Some farmers need emergency help and others do not.

But Jacki Schirmer and her colleagues suggest that multiple inquiries and research studies have concluded that this approach is not enough and we need to support farmers in good times as well as bad. Perhaps get a little ahead of the emergency and promote some of the actions that the survivors knew about.

When water supplies dwindle we panic and forget about it when it’s been raining. The Australian federal government did the same with energy supply. Forget about it until the lights go out.

This is poor planning and terrible leadership.

There is great irony in a Minister handing out drought relief and making it a photo op for his leadership. If he was a true leader he would ask if there was anything that could be done about a drought in advance of it happening. For example, is there insurance that can reduce some of the pain? There is a solution for most farmers and, although this is a contentious suggestion, most farms can be drought-proofed to some degree. However, it requires planning, a long game and as Schirmer et al, support in the good times.

What should drought relief look like?

If the idea is not to need the emergency response, then ‘relief’ should happen before the drought, embedded in the production system.

This would include actions that are

  • more conservative to production
  • that promote retention of soil moisture (most actions that retain ground cover and reduce tillage),
  • that encourage soil carbon (because this helps retain soil moisture)
  • keep water on the farm by slowing down water movements (as Peter Andrews advocates)
  • production system change

Suppose you take the drought relief money, several billion at the last count, and use it as incentive payments to undertake actions that are consistent with this list.

It might just help.

Alternatively, incentivise commodity prices from drought-resistant production systems

Perhaps force landholders to pay back drought relief payments during the years of plenty.

Whatever the carrot or stick policy approach you’d prefer, they can all result in fewer landholders in strife.

So the answer culd be no, we shouldn’t have drought relief payments. Perhaps drought mitigation payments and restructuringturing instead.

What to do about drought

What to do about drought

If you live in Australia long enough there are a few things that you will experience first hand.

You will witness the removal of a sitting prime minister by his or her best mates.

There will be storms and floods that will drown livestock, wet low lying carpet and put an array of dents in the bonnet of your Holden Commodore.

Hang around some more and you will come close to a bushfire because many of the native plants are highly flammable, especially when they dry out, the wind gets up and it’s 40 degrees Celcius in the shade, and they burn with terrible ferocity.

And there will be drought.

At some point, probably several, there will be weeks and months when it is so dry even the bones are thirsty. Likely this will coincide with temperatures that basking lizards find challenging. This is the truth and it always has been the truth.

Australia is not called the land of drought and flooding rain for nothing.

What to do about drought?

Well, it will happen. No amount of rain dancing, prayers and speeches from aged ministers can change this fact. There will be drought and it will be hard, harsh and intense for everyone who lives off the land.

So here is what we should do

  • Accept
  • Prepare
  • Let things go

Accept

The first thing is, do not to treat drought as a natural disaster or blame it on climate change, even if the frequency and intensity of drought might be changing for the worse.

Drought is an inevitable, unstoppable reality of life on a large dry continent, accept it.

Prepare

If anything is as inevitable as death and taxes, then it makes a lot of sense to do the boy scout thing and be prepared.

This means drought proofing water supplies, food production systems and the wider economy.

The many specifics would bloat this post but we are talking about investment in water infrastructure, grazing practices that retain groundcover, rural insurance subsidised by city folk through realistic food prices, choosing the local supply chains that are sustainable… the list is long.

Then, and this may be that hardest of the three, let things go.

Let some things go

It may not be possible for Joe to rear livestock on a property that has poor soils, no reliable water and was infested with rabbits for 50 years since the 1920’s. That landholding might just have to rest.

It may not be that the cod in the Murray can survive a drought if we choose to put the water onto the crops. Should we choose the cod, then we have to let go at least some of the irrigation.

In drought, there are zero-sum games everywhere that require specific choices.

Accept, prepare, let go

Accept, prepare, let go is very different to do nothing, act surprised and prop up poor preparation with drought relief payments.

We should give it a try.