Fuelwood Consumption, Restrictions about Resource Availability and Public Policies: Impacts on the French Forest Sector

Abstract

In the context of climate change and of increasing energy prices, the share of fuelwood in primary energy consumption may increase, especially in countries with large forest endowments. However, larger fuelwood consumption may have non-negligible impacts on forest sectors. This paper assesses those impacts for France using a new model of the French forest sector, and comparing four different policy options to boost fuelwood demand. First, supply- and demand-side policies yield very different outcomes, with a trade-off between trade balance and harvest intensity. Second, even a modest increase in fuelwood consumption leads to tensions over forest stock over time under pessimistic views about resource availability.

Keywords: forest sector modeling, fuelwood, bioenergy, public incentives

JEL Classification: Q23, Q28