IDEAS home Printed from https://ideas.repec.org/a/eee/ecolec/v68y2009i4p1257-1267.html
   My bibliography  Save this article

The social value of carbon sequestered in Great Britain's woodlands

Author

Listed:
  • Brainard, Julii
  • Bateman, Ian J.
  • Lovett, Andrew A.

Abstract

The economic value of carbon storage associated with British woodland is calculated. Models were developed to estimate C flux associated with live trees, forest floor litter, soils, wood products, harvest, fossil fuel used in manufacturing and C displacement from biofuels and products for representative British plantation species: Sitka spruce (Picea sitchensis) and beech (Fagus sylvatica). Map databases of publicly and privately owned woodlands were compiled for Great Britain. Carbon flux was determined for individual woodland sites, and monetised using candidate parameters for the social discount rate (1, 3, 3.5 or 5%) and social value of carbon (US$109.5, $1, $10 or $17.10/t). A conventional discount function was applied. Final results are expressed as Net Present Values, for the base year 2001, with discounting commencing in 2002. The minimum suggested NPV (discount rate = 3% and social value of carbon = $1) of GB woodlands already existing in 2001 is $82 million, with a further $72 million that might be added by future afforestation. These figures rise dramatically if a discount rate of 1% and social value of sequestered carbon = $109.5/t are assumed. The calculated total value of C stored in British woodland depends significantly on parameter assumptions, especially about appropriate discount rate and social value of sequestered carbon.

Suggested Citation

  • Brainard, Julii & Bateman, Ian J. & Lovett, Andrew A., 2009. "The social value of carbon sequestered in Great Britain's woodlands," Ecological Economics, Elsevier, vol. 68(4), pages 1257-1267, February.
    • Handle: RePEc:eee:ecolec:v:68:y:2009:i:4:p:1257-1267
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0921-8009(08)00414-X
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. David Pearce, 2003. "The Social Cost of Carbon and its Policy Implications," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 19(3), pages 362-384.
    2. Brainard, Julii & Lovett, Andrew & Bateman, Ian, 2006. "Sensitivity analysis in calculating the social value of carbon sequestered in British grown Sitka spruce," Journal of Forest Economics, Elsevier, vol. 12(3), pages 201-228, December.
    3. Richard S. J. Tol, 1999. "The Marginal Costs of Greenhouse Gas Emissions," The Energy Journal, , vol. 20(1), pages 61-81, January.
    4. Norman Henderson & Ian Bateman, 1995. "Empirical and public choice evidence for hyperbolic social discount rates and the implications for intergenerational discounting," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 5(4), pages 413-423, June.
    5. Creedy, John & Wurzbacher, Anke D., 2001. "The economic value of a forested catchment with timber, water and carbon sequestration benefits," Ecological Economics, Elsevier, vol. 38(1), pages 71-83, July.
    6. Oscar J. Cacho & Robyn L. Hean & Russell M. Wise, 2003. "Carbon‐accounting methods and reforestation incentives," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 47(2), pages 153-179, June.
    7. K. Pingoud & A. Lehtilä, 2002. "Fossil carbon emissions associated with carbon flowsof wood products," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 7(1), pages 63-83, March.
    8. Jeffrey E. Richey & John M. Melack & Anthony K. Aufdenkampe & Victoria M. Ballester & Laura L. Hess, 2002. "Outgassing from Amazonian rivers and wetlands as a large tropical source of atmospheric CO2," Nature, Nature, vol. 416(6881), pages 617-620, April.
    9. Andrew Stainback, G. & Alavalapati, Janaki R.R., 2002. "Economic analysis of slash pine forest carbon sequestration in the southern U. S," Journal of Forest Economics, Elsevier, vol. 8(2), pages 105-117.
    10. Weitzman, Martin L., 1998. "Why the Far-Distant Future Should Be Discounted at Its Lowest Possible Rate," Journal of Environmental Economics and Management, Elsevier, vol. 36(3), pages 201-208, November.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Anderson, Blake & M'Gonigle, Michael, 2012. "Does ecological economics have a future?," Ecological Economics, Elsevier, vol. 84(C), pages 37-48.
    2. Schägner, Jan Philipp & Brander, Luke & Maes, Joachim & Hartje, Volkmar, 2013. "Mapping ecosystem services' values: Current practice and future prospects," Ecosystem Services, Elsevier, vol. 4(C), pages 33-46.
    3. Maes, Joachim & Egoh, Benis & Willemen, Louise & Liquete, Camino & Vihervaara, Petteri & Schägner, Jan Philipp & Grizzetti, Bruna & Drakou, Evangelia G. & Notte, Alessandra La & Zulian, Grazia & Boura, 2012. "Mapping ecosystem services for policy support and decision making in the European Union," Ecosystem Services, Elsevier, vol. 1(1), pages 31-39.
    4. Nijnik, Maria & Pajot, Guillaume & Moffat, Andy J. & Slee, Bill, 2013. "An economic analysis of the establishment of forest plantations in the United Kingdom to mitigate climatic change," Forest Policy and Economics, Elsevier, vol. 26(C), pages 34-42.
    5. Jan Philipp Schägner & Luke Brander & Joachim Maes & Volkmar Hartje, 2012. "Mapping Ecosystem Services’ Values: Current Practice and Future Prospects," Working Papers 2012.59, Fondazione Eni Enrico Mattei.
    6. Hardaker, Ashley & Pagella, Tim & Rayment, Mark, 2020. "Integrated assessment, valuation and mapping of ecosystem services and dis-services from upland land use in Wales," Ecosystem Services, Elsevier, vol. 43(C).
    7. Sha Pei & Gaodi Xie & Chunlan Liu & Changshun Zhang & Shimei Li & Long Chen, 2015. "Dynamic Changes of Water Conservation Service of Typical Ecosystems in China within a Year Based on Data from CERN," Sustainability, MDPI, vol. 7(12), pages 1-19, December.
    8. Honkaniemi, Juha & Ahtikoski, Anssi & Piri, Tuula, 2019. "Financial incentives to perform stump treatment against Heterobasidion root rot in Norway spruce dominated forests, the case of Finland," Forest Policy and Economics, Elsevier, vol. 105(C), pages 1-9.
    9. Maria Nijnik & Guillaume Pajot, 2014. "Accounting for uncertainties and time preference in economic analysis of tackling climate change through forestry and selected policy implications for Scotland and Ukraine," Climatic Change, Springer, vol. 124(3), pages 677-690, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Brainard, Julii & Lovett, Andrew & Bateman, Ian, 2006. "Sensitivity analysis in calculating the social value of carbon sequestered in British grown Sitka spruce," Journal of Forest Economics, Elsevier, vol. 12(3), pages 201-228, December.
    2. Tol, Richard S. J., 2005. "The marginal damage costs of carbon dioxide emissions: an assessment of the uncertainties," Energy Policy, Elsevier, vol. 33(16), pages 2064-2074, November.
    3. David Pearce & Ben Groom & Cameron Hepburn & Phoebe Koundouri, 2003. "Valuing the Future: Recent advances in social discounting," DEOS Working Papers 0308, Athens University of Economics and Business.
    4. Köthke, Margret & Dieter, Matthias, 2010. "Effects of carbon sequestration rewards on forest management--An empirical application of adjusted Faustmann Formulae," Forest Policy and Economics, Elsevier, vol. 12(8), pages 589-597, October.
    5. Price, Colin & Willis, Rob, 2011. "The multiple effects of carbon values on optimal rotation," Journal of Forest Economics, Elsevier, vol. 17(3), pages 298-306, August.
    6. Tol, Richard S.J., 2013. "Targets for global climate policy: An overview," Journal of Economic Dynamics and Control, Elsevier, vol. 37(5), pages 911-928.
    7. Hansen, Anders Chr., 2006. "Do declining discount rates lead to time inconsistent economic advice?," Ecological Economics, Elsevier, vol. 60(1), pages 138-144, November.
    8. McArthur, David Philip & Thorsen, Inge & Ubøe, Jan, 2009. "Congested Interregional Infrastructure, Road Pricing and Regional Labour Markets," Discussion Papers 2009/3, Norwegian School of Economics, Department of Business and Management Science.
    9. Zhang, Hong & Jin, Gui & Zhang, Zhengyu, 2021. "Coupling system of carbon emission and social economy: A review," Technological Forecasting and Social Change, Elsevier, vol. 167(C).
    10. Winkler, Ralph, 2009. "Now or Never: Environmental Protection under Hyperbolic Discounting," Economics - The Open-Access, Open-Assessment E-Journal (2007-2020), Kiel Institute for the World Economy (IfW Kiel), vol. 3, pages 1-22.
    11. Dwivedi, Puneet & Bailis, Robert & Stainback, Andrew & Carter, Douglas R., 2012. "Impact of payments for carbon sequestered in wood products and avoided carbon emissions on the profitability of NIPF landowners in the US South," Ecological Economics, Elsevier, vol. 78(C), pages 63-69.
    12. Richard S.J. Tol, 2021. "Estimates of the social cost of carbon have not changed over time," Working Paper Series 0821, Department of Economics, University of Sussex Business School.
    13. Antonio Nesticò & Gabriella Maselli & Patrizia Ghisellini & Sergio Ulgiati, 2023. "A Dual Probabilistic Discounting Approach to Assess Economic and Environmental Impacts," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 85(1), pages 239-265, May.
    14. Voinov, Alexey & Farley, Joshua, 2007. "Reconciling sustainability, systems theory and discounting," Ecological Economics, Elsevier, vol. 63(1), pages 104-113, June.
    15. Havranek, Tomas & Irsova, Zuzana & Janda, Karel & Zilberman, David, 2015. "Selective reporting and the social cost of carbon," Energy Economics, Elsevier, vol. 51(C), pages 394-406.
    16. David Anthoff & Robert J. Nicholls & Richard S.J. Tol, 2007. "Sea Level Rise And Equity Weighting," Working Papers FNU-136, Research unit Sustainability and Global Change, Hamburg University, revised May 2007.
    17. Fleurbaey, Marc & Zuber, Stéphane, 2015. "Discounting, risk and inequality: A general approach," Journal of Public Economics, Elsevier, vol. 128(C), pages 34-49.
    18. Diego Nocetti & Elyès Jouini & Clotilde Napp, 2008. "Properties of the Social Discount Rate in a Benthamite Framework with Heterogeneous Degrees of Impatience," Management Science, INFORMS, vol. 54(10), pages 1822-1826, October.
    19. Parry, Ian W.H. & Fischer, Carolyn & Harrington, Winston, 2004. "Should Corporate Average Fuel Economy (CAFE) Standards Be Tightened?," Discussion Papers 10605, Resources for the Future.
    20. Colin, Price, 2011. "Optimal rotation with declining discount rate," Journal of Forest Economics, Elsevier, vol. 17(3), pages 307-318, August.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecolec:v:68:y:2009:i:4:p:1257-1267. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/ecolecon .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.