Advanced Search
MyIDEAS: Login

Costs of Creating Carbon Offset Credits via Forestry Activities: A Meta-Regression Analysis

Contents:

Author Info

  • G. Cornelis van Kooten
  • Susanna Laaksonen-Craig
  • Yichuan Wang

Abstract

The main focus of efforts to mitigate climate change is on the avoidance of fossil fuel emissions. However, the Kyoto rules permit the use of forestry activities that create carbon offset credits. These could obviate the need for lifestyle-changing reductions in fossil fuel use. It is necessary for policy purposes, therefore, to determine the cost effectiveness of creating forest sink carbon credits. In this study, meta-regression analyses with 1047 observations from 68 studies are used to determine factors that affect carbon sequestration costs. Results indicate that soil carbon is not very important, but that forest plantations and use of biomass for energy make forestry activities more attractive. It also turns out that forestry activities are competitive with emissions reduction in tropical regions and, perhaps, boreal regions, but certainly not in Europe. Finally, the regression estimates are used to project the potential costs of carbon uptake for various forest management scenarios.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: https://web.uvic.ca/~repa/publications/REPA%20working%20papers/WorkingPaper2007-03.pdf
File Function: Final version, 2007
Download Restriction: no

Bibliographic Info

Paper provided by University of Victoria, Department of Economics, Resource Economics and Policy Analysis Research Group in its series Working Papers with number 2007-03.

as in new window
Length: 35 pages
Date of creation: Jul 2007
Date of revision:
Handle: RePEc:rep:wpaper:2007-03

Contact details of provider:
Postal: P.O. Box 1700, STN CSC, Victoria, B.C., V8W 2Y2
Phone: (250) 721-8532
Fax: (250) 721-6214
Web page: http://web.uvic.ca/~repa/
More information through EDIRC

Related research

Keywords: climate mitigation; forest carbon offset credits; meta-regression analysis;

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Robert N. Stavins, 1999. "The Costs of Carbon Sequestration: A Revealed-Preference Approach," American Economic Review, American Economic Association, vol. 89(4), pages 994-1009, September.
  2. Stavins, Robert & Newell, Richard, 1999. "Climate Change and Forest Sinks: Factors Affecting the Costs of Carbon Sequestration," Discussion Papers dp-99-31-rev, Resources For the Future.
  3. G. Cornelis van Kooten & Grant Hauer, 2001. "Global Climate Change: Canadian Policy and the Role of Terrestrial Ecosystems," Canadian Public Policy, University of Toronto Press, vol. 27(3), pages 267-278, September.
  4. Weichselbaumer, Doris & Winter-Ebmer, Rudolf, 2003. "A Meta-Analysis of the International Gender Wage Gap," Economics Series 143, Institute for Advanced Studies.
  5. Peter J. Parks & Ian W. Hardie, 1995. "Least-Cost Forest Carbon Reserves: Cost-Effective Subsidies to Convert Marginal Agricultural Land to Forests," Land Economics, University of Wisconsin Press, vol. 71(1), pages 122-136.
  6. Boscolo, Marco & Buongiorno, Joseph & Panayotou, Theodore, 1997. "Simulating options for carbon sequestration through improved management of a lowland tropical rainforest," Environment and Development Economics, Cambridge University Press, vol. 2(03), pages 241-263, July.
  7. Douglas J. Miller, 1999. "An Econometric Analysis of the Costs of Sequestering Carbon in Forests," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 81(4), pages 812-824.
  8. Cacho, Oscar J. & Hean, Robyn L. & Wise, Russell M., 2003. "Carbon-accounting methods and reforestation incentives," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 47(2), June.
  9. G. Cornelis van Kooten & Louise M. Arthur & W. R. Wilson, 1992. "Potential to Sequester Carbon in Canadian Forests: Some Economic Considerations," Canadian Public Policy, University of Toronto Press, vol. 18(2), pages 127-138, June.
  10. J. Callaway & Bruce McCarl, 1996. "The economic consequences of substituting carbon payments for crop subsidies in U.S. agriculture," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 7(1), pages 15-43, January.
  11. Olschewski, Roland & Benitez, Pablo C., 2005. "Secondary forests as temporary carbon sinks? The economic impact of accounting methods on reforestation projects in the tropics," Ecological Economics, Elsevier, vol. 55(3), pages 380-394, November.
  12. Raymond J. G. M. Florax & Chiara M. Travisi & Peter Nijkamp, 2005. "A meta-analysis of the willingness to pay for reductions in pesticide risk exposure," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 32(4), pages 441-467, December.
  13. McCarney, Geoffrey R. & Armstrong, Glen W. & Adamowicz, Wiktor L., 2006. "Implications Of A Market For Carbon On Timber And Non-Timber Values In An Uncertain World," Annual Meeting, May 25-28, 2006, Montreal, Quebec 34175, Canadian Agricultural Economics Society.
  14. Benitez, Pablo C. & McCallum, Ian & Obersteiner, Michael & Yamagata, Yoshiki, 2007. "Global potential for carbon sequestration: Geographical distribution, country risk and policy implications," Ecological Economics, Elsevier, vol. 60(3), pages 572-583, January.
  15. RICHARD M. Adams & DARIUS M. Adams & JOHN M. Callaway & CHING-CHENG Chang & BRUCE A. Mccarl, 1993. "Sequestering Carbon On Agricultural Land: Social Cost And Impacts On Timber Markets," Contemporary Economic Policy, Western Economic Association International, vol. 11(1), pages 76-87, 01.
  16. Emina Krcmar & G. Cornelis van Kooten, 2005. "Boreal Forest Carbon Sequestration Strategies: A Case Study of the Little Red River Cree First Nation Land Tenures," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 53(4), pages 325-341, December.
  17. Charles A. Zelek & Gerald E. Shively, 2003. "Measuring the Opportunity Cost of Carbon Sequestration in Tropical Agriculture," Land Economics, University of Wisconsin Press, vol. 79(3), pages 342-354.
  18. Andrew K. Rose & T. D. Stanley, 2005. "A Meta-Analysis of the Effect of Common Currencies on International Trade ," Journal of Economic Surveys, Wiley Blackwell, vol. 19(3), pages 347-365, 07.
  19. Henk Folmer & G. Cornelis van Kooten, 2006. "Deforestation," Working Papers 2006-06, University of Victoria, Department of Economics, Resource Economics and Policy Analysis Research Group.
  20. Darius M. Adams & Ralph J. Alig & DBruce A. McCarl & John M. Callaway & Steven M. Winnett, 1999. "Minimum Cost Strategies for Sequestering Carbon in Forests," Land Economics, University of Wisconsin Press, vol. 75(3), pages 360-374.
  21. T. D. Stanley, 2005. "Beyond Publication Bias," Journal of Economic Surveys, Wiley Blackwell, vol. 19(3), pages 309-345, 07.
  22. Stoker, Thomas M, 1993. "Empirical Approaches to the Problem of Aggregation Over Individuals," Journal of Economic Literature, American Economic Association, vol. 31(4), pages 1827-74, December.
  23. Mark J. Koetse & Raymond J.G.M. Florax & Henri L.F. de Groot, 2005. "Correcting for Primary Study Misspecifications in Meta-Analysis," Tinbergen Institute Discussion Papers 05-029/3, Tinbergen Institute, revised 31 Jan 2013.
  24. Colin J. Roberts, 2005. "Issues in Meta-Regression Analysis: An Overview," Journal of Economic Surveys, Wiley Blackwell, vol. 19(3), pages 295-298, 07.
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 in new window

Cited by:
  1. Melania Michetti & Ramiro Parrado, 2012. "Improving Land-use Modelling within CGE to Assess Forest-based Mitigation Potential and Costs," Working Papers 2012.19, Fondazione Eni Enrico Mattei.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:rep:wpaper:2007-03. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (G.C. van Kooten).

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 references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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