Better wine, more lamb to eat. I like this idea.
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Not just thinking about environmental sustainability but also economic and operational sustainability. Many moving parts in this system, more than the typical vineyard and more than the typical sheep farm. It may work well for the first few years but who knows if the operator can keep maintaining that fine balance over many years? As much as I like the idea, the realist in me says to observe a few more years to see how practically sustainable that it. After all, there may be good/practical reasons why most farmers now chose not to do things as farmers did "50 years ago."
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It's a market-driven decision and boils down to a vineyard owner's priorities. Seems like these owners want to a) make a positive impact on the environment and b) they seem to think the quality of the wine is improved. I'm guessing these folks are looking for people who can afford to pay more for a better quality wine that is produced sustainably. If you have someone just out to make money by churning out tons of product more economincally then, sure, they won't go for this approach.
Will the idea spill over to the industry at large? Probably not, but that's OK, too.