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Regional socio-economic impacts of decentralised bioeconomy: a case of Suutela wooden village, Finland

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  • Olli Lehtonen
  • Lasse Okkonen

Abstract

The regional bioeconomy has a high importance for generating socio-economic impacts, especially in sparsely populated resource peripheries. The benefits include increased employment and income and improved security of supply. In this study, the modified regional input–output model is applied for analysing the socio-economic impacts of Suutela wooden village construction in North Karelia, Finland. The main objective of this article is to provide an illustrative example on the regional input–output modelling, applied to the investigation of the socio-economic impacts of a conventional, decentralised bioeconomy. Based on this Finnish case of a wooden village with bioenergy district heating, we demonstrate both the employment and income potentials of a decentralised bioeconomy. The results indicate good socio-economic potential of local wood construction, resulting in about 250 personnel working years and a total economic impact of 43.7 million euros on the regional economy. To maintain the sensitivity of the input–output modelling, it is considered more suitable for overall regional impact estimations, rather than pointing out differences between the subsystems. When modified for research purposes, the regional input–output model is well capable to efficiently describe the socio-economic impacts and providing information for local decision-makers to support new projects of a bioeconomy. Copyright Springer Science+Business Media B.V. 2013

Suggested Citation

  • Olli Lehtonen & Lasse Okkonen, 2013. "Regional socio-economic impacts of decentralised bioeconomy: a case of Suutela wooden village, Finland," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 15(1), pages 245-256, February.
    • Handle: RePEc:spr:endesu:v:15:y:2013:i:1:p:245-256
    DOI: 10.1007/s10668-012-9372-6
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    2. Lasse Okkonen, 2008. "From exogenous to endogenous development in Scottish forestry: the feasibility of small-scale wood energy enterprise," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 51(2), pages 221-232.
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    Cited by:

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    6. Luke Kelleher & Maeve Henchion & Eoin O’Neill, 2019. "Policy Coherence and the Transition to a Bioeconomy: The Case of Ireland," Sustainability, MDPI, vol. 11(24), pages 1-25, December.
    7. Hermans, Frans, 2018. "The potential contribution of transition theory to the analysis of bioclusters and their role in the transition to a bioeconomy," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 12(2), pages 265-276.
    8. Swinda F. Pfau & Janneke E. Hagens & Ben Dankbaar & Antoine J. M. Smits, 2014. "Visions of Sustainability in Bioeconomy Research," Sustainability, MDPI, vol. 6(3), pages 1-28, March.
    9. Valeria Ferreira Gregorio & Laia Pié & Antonio Terceño, 2018. "A Systematic Literature Review of Bio, Green and Circular Economy Trends in Publications in the Field of Economics and Business Management," Sustainability, MDPI, vol. 10(11), pages 1-39, November.
    10. Zhu, Xinqi & Vrachioli, Maria & Edoardo, Baldoni & M'barek, Robert & Sauer, Johannes, 2021. "Bio-Refineries – a Solution to the EU Sustainable Development Challenges," 2021 Conference, August 17-31, 2021, Virtual 315164, International Association of Agricultural Economists.
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