Economics of integrated harvests with biomass for energy in non-industrial forests in the northeastern US forest

Thomas Buchholz, William S. Keeton and John S. Gunn

Forest Policy and Economics, 2019, vol. 109, issue C

Abstract: Economic drivers explaining the harvest of biomass for energy use in northeastern forests in the United States are not well understood. However, knowledge of these drivers is essential for bioenergy policy development, biomass supply estimates, and assessments of harvesting impacts on forest ecosystems and carbon stocks. Using empirical data from 35 integrated harvest sites in northeastern US non-industrial forests, we analyzed the economics of mixed wood product logging operations that included biomass for energetic use from both landowner and logging contractor perspectives. Results were highly variable but indicate that biomass harvest removal intensities were not explained by primary forest management objectives, harvest area, or harvested wood product quantity. Rather than harvest area or choice of machinery, we identified biomass harvest intensity as a main driver of profits for a harvest operation, as measured in hourly and total net income to the logging contractor. While biomass stumpage payments to the landowner were marginal, tree bole biomass constituted more than half (54%) of the extracted volume by weight, far outweighing biomass derived from tops and limbs only. Biomass harvests, therefore, might encourage logging contractors to intensify harvest removals rather than increase harvest area or choose a specific harvest type or method. Such intensification could have beneficial or detrimental impacts on a stand and needs to be addressed through further studies of potential consequences for biodiversity and various ecosystem services.

Keywords: Forest biomass; Bioenergy; Economics; Logging costs; Wood energy; Northern hardwood forests (search for similar items in EconPapers)
Date: 2019
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Persistent link: https://EconPapers.repec.org/RePEc:eee:forpol:v:109:y:2019:i:c:s1389934119303284

DOI: 10.1016/j.forpol.2019.102023

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