Efficient agri-environment schemes (AESs), the European Union’s main policy tool to improve the environmental performance of farms, address environmental concerns in a way which maximises the social benefit while minimising the cost. To design such schemes, policymakers are faced with a wide range of options. These include using voluntary or mandatory measures, top-down versus participatory approaches, collaborative versus coordinated participation, and whether to target the schemes or apply them horizontally. The efficiency of each of these options is dependent on the context and appropriateness of the application. Using Ireland as a case study, this paper assesses the evolving structure of AES design in the context of changing environmental targets, by creating an institutional framework to analyse past and current AESs and other measures. This is then compared to participation in AESs and the location of environmental public goods in order to determine the relative efficiency of policy.