Valuation and production possibilities on a working forest using multi-objective programming, Woodstock, timber NPV, and carbon storage and sequestration

Abstract

ABSTRACTThis study analyzes the trade-off between net present value (NPV) of timber resources, and carbon sequestration and storage for a working forest, the Hofmann Forest in North Carolina, USA. Multi-objective optimization is used to determine the production possibility curves showing the relationship between NPV and carbon. We then perform a sensitivity analysis to explore alternative management strategies. For carbon yields we used aboveground pools: branches, leaves, tops and bole as estimated by the Forest Vegetation Simulator (FVS) and LOBDSS using the California Carbon Market Protocols, including product carbon. Timber yields of sawtimber, chip-n-saw and pulpwood were estimated by LOBDSS for planted stands less than 49 years of age, and FVS was used for all natural stands and planted stands 49 years and over. Our results reveal that NPV opportunity costs associated with increasing carbon sequestration at Hofmann Forest are less than the current California carbon market price.