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Assessing Forestry's Carbon Sink Potential in Bulgaria: A Comparative Study under Different Carbon Pricing Scenarios

Author

Listed:
  • Lora Stoeva
  • Gabriella Szajko
  • Viktor Racz

Abstract

The land sector plays a crucial role in achieving a climate-neutral economy. Various carbon farming initiatives are under development to incentivise the adoption of climate-friendly practices in forest management. The current study aims to quantify the economic benefits of the carbon sequestration of the forestry sector in Bulgaria, considering the carbon pricing development. The authors adapt a previously developed computable bio-economic model (FOX) to the Bulgarian context. Forest carbon sinking of the Bulgarian forestry sector is optimised with and without carbon pricing. We quantify the economic characteristics of the carbon sequestration supply curve within the forestry sector and estimate the additional potential for carbon sequestration in Bulgaria's forestry sector based on different carbon price signals.

Suggested Citation

  • Lora Stoeva & Gabriella Szajko & Viktor Racz, 2026. "Assessing Forestry's Carbon Sink Potential in Bulgaria: A Comparative Study under Different Carbon Pricing Scenarios," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 1, pages 152-168.
    • Handle: RePEc:bas:econst:y:2026:i:1:p:152-168
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    File URL: http://archive.econ-studies.iki.bas.bg/2026/2026_01/2026_01_09.pdf
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    More about this item

    JEL classification:

    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics

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