economic impact of heat stress

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Economic Impact of Heat Stress N. R. St-Pierre The Ohio State University

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Farm animals have well known zones of thermal comfort (ZTC). The range of ZTC is primarily dependent on the species, the physiological status of the animals, the relative humidity and velocity of ambient air, and the degree of solar radiation. Economic losses are incurred by the U.S. livestock industries because farm animals are raised in locations and/or seasons where temperature conditions venture outside the ZTC. The objective of this presentation is to provide current estimates of the economic losses sustained by major U.S. livestock industries from thermal stress and to outline future challenges as animal productivity is improved. Species (production) considered are: chicken (meat), chicken (eggs), turkey (meat), cattle (meat), cattle (milk), and pig (meat). http://www.extension.org/pages/67799/current-and-future-economic-impact-of-heat-stress-in-the-us-livestock-and-poultry-sectors

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Page 1: Economic Impact of Heat Stress

Economic Impact of Heat Stress

N. R. St-PierreThe Ohio State University

Page 2: Economic Impact of Heat Stress

Copyright 2013, N. St-Pierre, The Ohio State University

Page 3: Economic Impact of Heat Stress

Objectives

• To present a simple model for quantifying financial losses due to heat stress across all major commercial livestock industries in the U.S.,

• To peek into the future: Global warming Increase in animal productivity

Copyright 2013, N. St-Pierre, The Ohio State University

Page 4: Economic Impact of Heat Stress

Model Overview

• Used historical weather data to quantify the multivariate distribution of temperature and relative humidity for each of the 48 lower States.

• Summarized research data to quantify the relationships between magnitude of heat stress, duration of heat stress, and expected performance across 10 livestock classes.

Copyright 2013, N. St-Pierre, The Ohio State University

Page 5: Economic Impact of Heat Stress

Weather

• Number of reporting stations: 257• Earliest reports start between 1871 and 1932• Data include daily:

Minimum and maximum temperature (T) Minimum and maximum relative humidity (H) Rain and snow precipitation Snow cover

Copyright 2013, N. St-Pierre, The Ohio State University

Page 6: Economic Impact of Heat Stress

Weather

• Data were summarized by State and by month: Mean, variance and covariances of:

o Minimum temperature (Tl)

o Maximum temperature Tu)

o Minimum relative humidity (Hl)

o Maximum relative humidity (Hu)

Copyright 2013, N. St-Pierre, The Ohio State University

Page 7: Economic Impact of Heat Stress

Weather

• Within day changes in T and H modeled as sine functions with simultaneity of Tl and Hu, and of Tu ans Hl.

• T and H integrated into a Temperature-Humidity Index (65% dry-bulb temperature, 35% wet-bulb temperature).

Copyright 2013, N. St-Pierre, The Ohio State University

Page 8: Economic Impact of Heat Stress

WeatherTwo Integrative Variables

Copyright 2013, N. St-Pierre, The Ohio State University

Page 9: Economic Impact of Heat Stress

Livestock Classes

Copyright 2013, N. St-Pierre, The Ohio State University

Page 10: Economic Impact of Heat Stress

Economic Losses

• For each livestock class: DMI loss (economic gain) Production loss Days open loss Reproductive culling loss Mortality loss

Copyright 2013, N. St-Pierre, The Ohio State University

Page 11: Economic Impact of Heat Stress

Economic LossesDairy Cows

• Threshold at 70o THI (e.g., 75o F, 50% H)• DMI loss = 0.0760 x (THIMax-70)2 x D• Milk loss = 0.1532 x (THIMax-70)2 x D

where D = Proportion of a day above threshold

• PR = 0.20 - 0.0009 x Heatload• DO loss = 164.5 - 184.5 PR + 29.38 PR2 - 128.75• RCullRate = 100 - 102.7(1-1.10109 EXP(10.1874 x PR)• Pmonthlydeath = 0.000855 EXP(0.00981 x Heatload)

Copyright 2013, N. St-Pierre, The Ohio State University

Page 12: Economic Impact of Heat Stress

WeatherTwo Integrative Variables

(THIMAX – 70)2

Copyright 2013, N. St-Pierre, The Ohio State University

Page 13: Economic Impact of Heat Stress

Economic LossesDairy Cows

• Threshold at 70o THI (e.g., 75o F, 50% H)• DMI loss = 0.0760 x (THIMax-70)2 x D• Milk loss = 0.1532 x (THIMax-70)2 x D

where D = Proportion of a day above threshold

• PR = 0.20 - 0.0009 x Heatload• DO loss = 164.5 - 184.5 PR + 29.38 PR2 - 128.75• RCullRate = 100 - 102.7(1-1.10109 EXP(10.1874 x PR)• Pmonthlydeath = 0.000855 EXP(0.00981 x Heatload)

Copyright 2013, N. St-Pierre, The Ohio State University

Page 14: Economic Impact of Heat Stress

Unit Costs for Five Loss Categories

Copyright 2013, N. St-Pierre, The Ohio State University

Page 15: Economic Impact of Heat Stress

Description of Cooling Systems

Minimal (Fans)

Moderate (Sprinklers)

Aggressive (Evaporative)

Beef Cows Fans +Sprinklers Evaporative

Beef Finish Fans +Sprinklers Evaporative

Dairy Calves Fans +Sprinklers Evaporative

Dairy Cows Fans +Sprinklers Evaporative

Dairy Yearlings Fans +Sprinklers Evaporative

Poultry Broilers Fans Tunnel Evaporative

Poultry Layers Fans Tunnel Evaporative

Poultry Turkey Fans Tunnel Evaporative

Swine Feeders Fans +Sprinklers Cool Cells

Swine Sows Fans +Sprinklers Cool Cells

Copyright 2013, N. St-Pierre, The Ohio State University

Page 16: Economic Impact of Heat Stress

Reduction in THI from Fan Cooling

Copyright 2013, N. St-Pierre, The Ohio State University

Page 17: Economic Impact of Heat Stress

Reduction in THI from Sprinkler Cooling

Copyright 2013, N. St-Pierre, The Ohio State University

Page 18: Economic Impact of Heat Stress

Reduction in THI from Evaporative Cooling

Copyright 2013, N. St-Pierre, The Ohio State University

Page 19: Economic Impact of Heat Stress

Cooling Costs

• Capital Cost 10 year depreciation 8% interest 2-5%/year for maintenance

• Operating Cost $0.09/kWh $0.01/h per unit for water 0.65 kW/h for fans (92 cm), 2.55 kW/h for

evaporative cooling

Copyright 2013, N. St-Pierre, The Ohio State University

Page 20: Economic Impact of Heat Stress

Average Minimum Temperature - July

71.7

72.1

68.2

67.1

69.8

53.6

51.4

59.0

60.6

Copyright 2013, N. St-Pierre, The Ohio State University

Page 21: Economic Impact of Heat Stress

Average Maximum Temperature - July

94.8

100.1

77.4

80.8

92.592.5

90.9

91.2

Copyright 2013, N. St-Pierre, The Ohio State University

Page 22: Economic Impact of Heat Stress

Average Minimum Relative Humidity - July

56

22

14

6684

55

40

68

58

Copyright 2013, N. St-Pierre, The Ohio State University

Page 23: Economic Impact of Heat Stress

Average Maximum Relative Humidity - July

94

74

47

94

81

8289

Copyright 2013, N. St-Pierre, The Ohio State University

Page 24: Economic Impact of Heat Stress

Average Minimum THI - July

68.9

65.3

51.6

60.7

72.6

58.3

66.2

65.8

Copyright 2013, N. St-Pierre, The Ohio State University

Page 25: Economic Impact of Heat Stress

Average Maximum THI - July

86.0

81.5

76.2

75.2

81.1

73.7

81.1

Copyright 2013, N. St-Pierre, The Ohio State University

91.6

Page 26: Economic Impact of Heat Stress

Milk Production Losses - Dairy CowsNo Cooling - JULY

12351086

90

251

194

Loss in lbs/month Copyright 2013, N. St-Pierre, The Ohio State University

Page 27: Economic Impact of Heat Stress

Gain Losses - Poultry BroilersNo Cooling - JULY

18.3

Loss in lbs/month per 1000 birds

7.5

3.1

1.3

12.1

12.8

Page 28: Economic Impact of Heat Stress

Total Cost per Animal - Dairy CowsMinimum Cooling - Annual Basis

1356

213

112140

1310

Copyright 2013, N. St-Pierre, The Ohio State University

Page 29: Economic Impact of Heat Stress

Total Cost - Dairy CowsMinimum Cooling- Annual Basis, in million $

199

Cost in million $Cost in million $

137

47

2053

69

Copyright 2013, N. St-Pierre, The Ohio State University

Page 30: Economic Impact of Heat Stress

Total Cost - Dairy CowsSprinklers - Annual Basis, in million $

34

47

199

104

35 12

Copyright 2013, N. St-Pierre, The Ohio State University

Page 31: Economic Impact of Heat Stress

Optimal System - Dairy Calves No Cooling Fans Sprinklers Evaporative Cooling

Copyright 2013, N. St-Pierre, The Ohio State University

Page 32: Economic Impact of Heat Stress

Optimal System - Dairy Cows No Cooling Fans Sprinklers Evaporative Cooling

Copyright 2013, N. St-Pierre, The Ohio State University

Page 33: Economic Impact of Heat Stress

Optimal System - Poultry Layers No Cooling Fans Tunnel Evaporative Cooling

Copyright 2013, N. St-Pierre, The Ohio State University

Page 34: Economic Impact of Heat Stress

Optimal System - Poultry Turkeys No Cooling Fans Tunnel Evaporative Cooling

Copyright 2013, N. St-Pierre, The Ohio State University

Page 35: Economic Impact of Heat Stress

Optimal System - Swine Sows No Cooling Fans Sprinklers Evaporative Cooling

Copyright 2013, N. St-Pierre, The Ohio State University

Page 36: Economic Impact of Heat Stress

Optimal System - Swine Feeder Pigs No Cooling Fans Sprinklers Evaporative Cooling

Copyright 2013, N. St-Pierre, The Ohio State University

Page 37: Economic Impact of Heat Stress

Economic Efficiency of Heat Abatement SystemsCost of Optimal System Cost of No Cooling

0.46

0.71

0.75

0.62

0.61

0.73

0.870.87

0.900.79

0.86

0.82 0.73

0.770.69

0.64

0.710.91

0.67

0.59 0.79

0.74

0.70

0.610.66

0.75 0.62

0.64

0.72

0.65

0.630.67

0.650.760.71

0.79

0.590.52

0.75

Copyright 2013, N. St-Pierre, The Ohio State University

Page 38: Economic Impact of Heat Stress

TX MO NE OK SD

Optimal System None None None None NoneDMI Loss 0 0 0 0 0

Gain Loss 0 0 0 0 0

DO Loss 15.5 2.2 1.5 3.6 1.0

Repro Cull Loss 0 0 0 0 0

Death Loss 17.7 2.9 2.0 4.4 1.3

Capital Cost 0 0 0 0 0

Operating Cost 0 0 0 0 0

Total Cost 33.2 5.1 3.4 8.0 2.2

Beef CowsEconomic Losses (Million $)Five Largest Producing States

Copyright 2013, N. St-Pierre, The Ohio State University

Page 39: Economic Impact of Heat Stress

TX KS NE CO OK

Optimal System None None None None NoneDMI Loss (34.8) (12.2) (10.8) (1.9) (3.8)

Gain Loss 162.0 57.1 50.5 8.9 17.6

DO Loss 0 0 0 0 0

Repro Cull Loss 0 0 0 0 0

Death Loss 19.0 5.0 4.5 0.6 1.9

Capital Cost 0 0 0 0 0

Operating Cost 0 0 0 0 0

Total Cost 146.6 49.8 44.2 7.6 15.7

Beef FinishEconomic Losses (Million $)Five Largest Producing States

Copyright 2013, N. St-Pierre, The Ohio State University

Page 40: Economic Impact of Heat Stress

CA WI NY PA MN

Optimal System Sprinkler Sprinkler Sprinkler Sprinkler Sprinkler

DMI Loss (31.6) (10.8) (3.6) (10.0) (6.2)

Gain Loss 103.2 35.3 11.6 32.7 20.4

DO Loss 23.3 11.4 4.5 8.9 5.7

Repro Cull Loss 7.4 3.2 1.2 2.8 1.7

Death Loss 2.3 1.0 0.4 0.9 0.5

Capital Cost 13.7 11.6 5.9 5.3 4.6

Operating Cost 18.3 11.6 5.4 7.3 4.8

Total Cost 136.6 63.3 25.4 47.9 31.5

Dairy CowsEconomic Losses (Million $)

Five Largest Producing States (2002)

Copyright 2013, N. St-Pierre, The Ohio State University

Page 41: Economic Impact of Heat Stress

NC IA MN IL MO

Optimal System Sprinkler Sprinkler None Sprinkler Sprinkler

DMI Loss 0 0 0 0 0

Gain Loss 0 0 0 0 0

DO Loss 10.2 6.8 4.0 3.5 5.3

Repro Cull Loss 0 0 0 0 0

Death Loss 0.1 0.1 0 0 0.1

Capital Cost 3.7 3.2 0 1.4 1.2

Operating Cost 5.4 3.3 0 1.7 2.0

Total Cost 19.3 13.4 4.1 6.7 8.5

Swine SowsEconomic Losses (Million $)Five Largest Producing States

Copyright 2013, N. St-Pierre, The Ohio State University

Page 42: Economic Impact of Heat Stress

NC IA MN IL MO

Optimal System None None None None NoneDMI Loss (12.0) (7.5) (2.2) (3.9) (4.9)

Gain Loss 54.0 33.8 10.0 17.4 22.1

DO Loss 0 0 0 0 0

Repro Cull Loss 0 0 0 0 0

Death Loss 0.9 0.5 0.1 0.3 0.4

Capital Cost 0 0 0 0 0

Operating Cost 0 0 0 0 0

Total Cost 42.9 26.8 7.9 13.8 17.6

Swine FeederEconomic Losses (Million $)Five Largest Producing States

Copyright 2013, N. St-Pierre, The Ohio State University

Page 43: Economic Impact of Heat Stress

Total Cost of Heat Stressto U.S. Livestock Industries

W/o Heat Abatement Systems: 2.7 billion $/yr

W Optimal Systems: 1.9 billion $/yr

Copyright 2013, N. St-Pierre, The Ohio State University

Page 44: Economic Impact of Heat Stress

Impact of Climate Change on Future Costs

An honest discussion on the difficulties

of forecasting weather and temperatures

Copyright 2013, N. St-Pierre, The Ohio State University

Page 45: Economic Impact of Heat Stress

Temperature Forecasting Issues

• IPCC forecasts failed to abide by seventy-two of eighty-nine forecasting principles1: Agreement among forecasters is not related to

accuracy The complexity of the global warming problem

make’s forecasting a fool’s errand – The more complex you make the model the worse the forecast gets.

The forecasts do not adequately account for the uncertainty intrinsic to the global warming problem.

Kester C. Green and J. Scott Armstrong. 2007. Global warming: Forecast by scientists verses scientific forecasts. Energy and the Environment 18:718.

Copyright 2013, N. St-Pierre, The Ohio State University

Page 46: Economic Impact of Heat Stress

Temperature Forecasting Issues

“You cannot assume that a model with millions

and millions lines of code, literally millions

of instructions, that there isn’t a mistake in there”

K. Emmanuel, M.I.T.

Copyright 2013, N. St-Pierre, The Ohio State University

Page 47: Economic Impact of Heat Stress

Predictions and Forecasts

Data driven predictions can succeed – and they can fail. It is when we deny our role in the process that the odds of failure rises.

Copyright 2013, N. St-Pierre, The Ohio State University

Nate Silver.

Page 48: Economic Impact of Heat Stress

Predictions and Forecasts

We have a prediction problem. We love to predict things – and we aren’t very good at it.

Nate Silver.

Copyright 2013, N. St-Pierre, The Ohio State University

Page 49: Economic Impact of Heat Stress

I am a DENIER!

Copyright 2013, N. St-Pierre, The Ohio State University

Page 50: Economic Impact of Heat Stress

I am a DENIER!

I can live with doubt and uncertainty and not knowing. I think it is much more interesting to live not knowing than to have answers which might be wrong.

Richard P. Feynman

Copyright 2013, N. St-Pierre, The Ohio State University

Page 51: Economic Impact of Heat Stress

The Essence of Science

When a scientist doesn’t know the answer to a problem, he is ignorant. When he has a hunch as to what the result is, he is uncertain. And when he is pretty darn sure of what the result is going to be, he is in some doubt.

Richard P. Feynman

Copyright 2013, N. St-Pierre, The Ohio State University

Page 52: Economic Impact of Heat Stress

A responsibility

If we suppress all discussion, all criticism, saying, “This is it boys!”… and thus we doom man for a long time to the chains of authority, confined to the limits of our present imagination.

Richard P. Feynman

Copyright 2013, N. St-Pierre, The Ohio State University

Page 53: Economic Impact of Heat Stress

A Principled Scientist

It’s a kind of scientific integrity, a principle of scientific thought that corresponds to a kind of utterly honesty – a kind of leaning over backwards.

Richard P. Feynman

Copyright 2013, N. St-Pierre, The Ohio State University

Page 54: Economic Impact of Heat Stress

U.S. Temperature Data

Copyright 2013, N. St-Pierre, The Ohio State University

Page 55: Economic Impact of Heat Stress

U.S. Temperature Data

Copyright 2013, N. St-Pierre, The Ohio State University

Page 56: Economic Impact of Heat Stress

Copyright 2013, N. St-Pierre, The Ohio State University

Page 57: Economic Impact of Heat Stress

Copyright 2013, N. St-Pierre, The Ohio State University

Page 58: Economic Impact of Heat Stress

Trends in Hurricane Intensity

Copyright 2013, N. St-Pierre, The Ohio State University

Page 59: Economic Impact of Heat Stress

Trends in Hurricane Intensity

Copyright 2013, N. St-Pierre, The Ohio State University

Page 60: Economic Impact of Heat Stress

Copyright 2013, N. St-Pierre, The Ohio State University

Page 61: Economic Impact of Heat Stress

Great Lakes Ice Coverage

Copyright 2013, N. St-Pierre, The Ohio State University

Page 62: Economic Impact of Heat Stress

Great Lakes Ice Coverage

Copyright 2013, N. St-Pierre, The Ohio State University

Page 63: Economic Impact of Heat Stress

Arctic Ice Extent in September

Page 64: Economic Impact of Heat Stress

Arctic Ice Extent in September

Page 65: Economic Impact of Heat Stress

Arctic Ice Extent in September

Page 66: Economic Impact of Heat Stress

Oceans Acidification

Copyright 2013, N. St-Pierre, The Ohio State University

Page 67: Economic Impact of Heat Stress

Pteropods

Seawater with pH and carbonate projected for the year 2100

Copyright 2013, N. St-Pierre, The Ohio State University

Page 68: Economic Impact of Heat Stress

Oceans Acidification

Copyright 2013, N. St-Pierre, The Ohio State University

Page 69: Economic Impact of Heat Stress

Pteropods

Seawater with pH and carbonate projected for the year 2100

Copyright 2013, N. St-Pierre, The Ohio State University

Page 70: Economic Impact of Heat Stress

Predictions and Forecasts

The conditions of the universe are knowable only with some degree of certainty.

Copyright 2013, N. St-Pierre, The Ohio State University

Page 71: Economic Impact of Heat Stress

Predictions and Forecasts

Two strikes in weather forecasting:• The systems are dynamic

The behavior of the system at one point in time influences its behavior in the future.

• The systems are nonlinear They abide by exponential rather than additive

relationships.

Copyright 2013, N. St-Pierre, The Ohio State University

Page 72: Economic Impact of Heat Stress

Climate Forecasts

• How much uncertainty is in the forecast?• How right or wrong have the predictions been so

far?• How much have politics and other perverse

incentives undermined the search for scientific proof?

Healthy skepticism toward climate predictions!

Copyright 2013, N. St-Pierre, The Ohio State University

Page 73: Economic Impact of Heat Stress

How Cows Dissipate Heat

• Conduction• Convection• Radiation• Evaporative cooling

Copyright 2013, N. St-Pierre, The Ohio State University

Page 74: Economic Impact of Heat Stress

Flow of Energy (Mcal/day)

40 lbs 120 lbs

Gross Energy 73.4 135.7

Feces 25.7 40.7

Digestible Energy 47.7 95.0

Urine 5.6 11.0

Gas 3.4 6.1

Metabolizable Energy 39.0 77.9

Heat 26.2 39.5

Milk Energy 12.8 38.4

Copyright 2013, N. St-Pierre, The Ohio State University

Page 75: Economic Impact of Heat Stress

A Simplified Cow...

Ta Te

Eg

>

Ed

The cow The environment

kd

kd α Δ T

Δ T

Copyright 2013, N. St-Pierre, The Ohio State University

Page 76: Economic Impact of Heat Stress

Increased Productivity vs. Global Warming

• The current IPCC forecasts predict that the temperatures might increase by 1.2 °F by 2050.

• Dairy productivity has increased at a rate of 318 lbs/cow per year since 1980.

Copyright 2013, N. St-Pierre, The Ohio State University

Page 77: Economic Impact of Heat Stress

Increased Productivity vs. Global Warming

• Current animal productivity averages ~ 70 lbs/cow per day nationally. Results in 30.1 Mcal/cow per day in heat energy.

• Assuming that improvement in productivity will be maintained at 300 lbs/cow per year, the average U.S. dairy will be producing 102 lbs/cow per day in 2050 Results in 35.7 Mcal/cow per day in heat energy

• The projected improvement in potential productivity will lower the THI-threshold from 70 to 64.

Copyright 2013, N. St-Pierre, The Ohio State University

Page 78: Economic Impact of Heat Stress

Increased Productivity vs. Global Warming

• The current IPCC forecasts predict that the temperatures might increase by 1.2 °F by 2050.

• The increased projected productivity has a net “warming effect” equivalent to 6 °F by 2050.

Increased potential productivity will have about 5 times more impact on heat stress in dairy cattle than global warming.

Copyright 2013, N. St-Pierre, The Ohio State University

Page 79: Economic Impact of Heat Stress

The Real Issue

• Current cooling systems are not very energy efficient and they all rely on significant amounts of water being used.

Copyright 2013, N. St-Pierre, The Ohio State University

Page 80: Economic Impact of Heat Stress

The Real Issue

• Current cooling systems are not very energy efficient and they all rely on significant amounts of water. Will energy costs outpace our ability to cool animals? Will water availability restrict our ability to cool

animals?

Copyright 2013, N. St-Pierre, The Ohio State University

Page 81: Economic Impact of Heat Stress

Closing Comments

Copyright 2013, N. St-Pierre, The Ohio State University

Page 82: Economic Impact of Heat Stress
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The End

Page 84: Economic Impact of Heat Stress