Fuelwood stumpage: financing renewable energy for the world's other half

Keith Openshaw and Charles Feinstein

No 270, Policy Research Working Paper Series from The World Bank

Abstract: In many developing countries, households rely heavily on woodfuels (firewood and charcoal) as their main source of energy for cooking and heating. The internal trade in woodfuels is often sizable. African governments now collect stumpage fees of $30 million a year for fuelwood and charcoalwood, or only about 2 % of the selling price of the finished products. By charging an adequate fee for these wood resources, the authors argue woodfuels production and consumption can be made more efficient. In addition, governments would be better able to finance the investments in their forest sector that are needed to maintain a regular fuelwood supply and to prevent long term environmental damage. The authors outline the methods energy planners can use to estimate fuelwood values and discuss several problems that arise in assessing and collecting fuelwood stumpage fees.

Keywords: Silviculture; Environmental Economics&Policies; Forestry; Economic Theory&Research; Markets and Market Access (search for similar items in EconPapers)
Date: 1989-09-30
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