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Economic impacts of setting reference levels for the forest carbon sinks in the EU on the European forest sector

A. Maarit I. Kallio, Birger Solberg, Liisa Käär and Risto Päivinen

Forest Policy and Economics, 2018, vol. 92, issue C, 193-201

Abstract: In order to meet the requirements of the Paris climate agreement, the EU plans to set new goals for forest carbon sinks. This may affect the future development potential in the wood using sectors in Europe and their contribution in the new circular bio-economy. We explore the potential consequences mainly on the forest sector in the region consisting of EU and Norway (EU + N), but also globally, that would arise if the countries in the EU + N constrained economic utilization of their forest resources. For the analysis, we use the global forest sector model EFI-GTM, which also incorporates the trade in wood and wood products.

Keywords: Forest sector; Harvest leakage; Carbon sink; Climate policy; Modelling (search for similar items in EconPapers)
Date: 2018
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DOI: 10.1016/j.forpol.2018.04.010

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Handle: RePEc:eee:forpol:v:92:y:2018:i:c:p:193-201