Fuelwood Market Research Articles

Marketing efficiency and sales outlet choice among fuelwood harvesters in the Bono Region of Ghana

Fuelwood continues to be the leading energy source for rural and urban dwellers, creating competition between domestic and commercial fuelwood users in Ghana. This competition has carved a market niche for people to engage in the fuelwood trade as a source of livelihood. The study aimed to describe the marketing outlets of fuelwood, determine the most efficient fuelwood marketing channel outlets, and examine the factors influencing the choice of fuelwood marketing outlets in the Dormaa Municipality of Ghana. Primary data was collected using a structured questionnaire administered to a sample of 200 fuelwood harvesters drawn from eight communities that harvest fuelwood for sale using the multistage sampling method. Descriptive statistics and multinomial logit regression were used in analysing the data. The study revealed that open forest is the main source of fuelwood for trade. Further, selling fuelwood directly to the end-users (outlet I) is the most efficient marketing outlet among the four marketing outlets identified in the study. The significant variables influencing the choice of fuelwood marketing outlets were level of education, processing of fuelwood before sales, cost of transporting fuelwood, the quantity of fuelwood harvested weekly, and the nature of the road. These findings provide immense guidance to fuelwood market actors in terms of market outlet selection decisions and the need for rural infrastructure improvement. It is recommended that fuelwood traders should endeavour to own the splitting and cutting tools to minimise processing costs and maximise profit since splitting and cutting costs constitute the highest marketing cost. The marketing of fuelwood should be formalised by the Forest Service Division (FSD) in collaboration with the Municipal Assembly and encouraged to establish woodlots for fuelwood. This will forestall any future invasion of the forest reserves for fuelwood for marketing.

The Impacts of the Energy Potential of Forest Biomass on the Local Market: An Example of South-Eastern Poland

Forest biomass is and will remain a primary source of renewable energy in many EU countries in the coming years. The aim of this study was to determine the energy potential of forest biomass on a regional scale with regard to the needs of its inhabitants in terms of electricity and heat consumption. The study was carried out in south-eastern Poland. Energy potential was calculated based on the determined wood mass and calorific value of wood. The current level of forest biomass acquisition satisfies 4.2% of the needs of the local market in terms of electricity and heat consumption. Taking into account high forest cover of the region (40%), the 60% annual increment of total harvesting, and obtaining biomass at the level of 30% of the total harvesting, waste wood from the forest can meet 58.1% of the needs of the local market in terms of electricity consumption and 14.4% of the need for thermal energy consumption. There is a certain niche in the fuel wood market that is currently unused, presenting the opportunity to develop this sector and generate additional jobs in local markets. However, the increase in obtained forest biomass must be in accordance with the principles of sustainable development.

Renewable energy and wood fuel productions in the Nordic region: Can it be changed?

Along the last decades, carbon-free energy production has been a priority in the Nordic countries. The present study analyses the interactions between renewable energy (RE, entailing solar, wind, wave, hydro and municipal waste), and wood fuel (WF) production in Denmark, Finland, Norway and Sweden during the period 1960–2017. The method is based on a 2-lag vector error correction model, VECM (2), which is also used to simulate future developments. The main hypothesis assumes that a shock in RE will translate into direct and measurable effects on the WF production, and that both can be modelled co-integrated. The results of the study represent the four responses between renewable and wood fuel energy productions owing to exogenous impulses or shocks. In response to its own (renewable to renewable and wood fuel to wood fuel) positive shocks (i.e., unexpected increases), RE production decreases about 40% and stabilises. In contrast, WF production reduces by nearly 133%. In a mutual analysis of a positive shock on both RE and WF productions, the WF production decreases about 75% whereas RE production increases by about 83%. The results indicate that any unexpected shock in the WF market will result in an increase in RE production and possibly a decrease in WF production. The findings of this study expand current econometric analyses and help policymakers plan for future renewable energy requirements.

Informal urban fuelwood markets in South Africa in the context of socio-economic change

In developing countries, fuelwood is important to livelihoods and energy security because it is used for heating, cooking and can provide additional income to households through trade. The global trade in fuelwood is valued between USD 4–26 billion per annum. In South Africa, fuelwood is a widely used domestic energy source; but how that has changed with rapid urbanisation and socio-economic development over the last two decades is unknown. This study examined the presence and nature of urban fuelwood markets in 39 urban areas of the Eastern Cape and Limpopo provinces. Data were collected from 170 informal fuelwood sellers regarding the prevalence, structure, characteristics, and changes over time of the informal fuelwood markets. Over 80% of the sampled towns had an informal fuelwood market and there was a positive relationship between the number of sellers and town population size. For most sellers, the fuelwood trade was their primary occupation and the income earned was supplemented by government social grants. Sellers earned, on average, over US$9 per day. These results show that despite rapid urbanisation and socio-economic development, fuelwood remains an important domestic fuel in towns and cities of South Africa, and an income source for the urban poor.

Mathematical optimization models for fuelwood production

Forests are among the most sensitive systems in nature. This is attributed to the fact that, forests are directly affected by fluctuations in price of fossil fuels. Wood products and especially forest fuel products are accessible by anyone, without any prior processing. As forest fuel is a subsidy for fossil fuels (oil) for heating purposes, households turn to forest fuel especially in countries that are heavily impacted by economic recession. The over-exploitation of this natural resource leads the forest to abnormal situation and eventually to deforestation. The exhaust of the natural resource capital has negative impact not only on the local economy, where fuelwood market contributes especially in mountainous regions, but also on the environmental stability of ecosystems. In this paper, two multi-period Linear Programming models are proposed for management of coppice forests. The aim of these models is to maximize the Net Present Value, which is constructed as a function of the revenue from trading fuelwood (price times the logged quantities) minus the transportation cost from the forest to merchants. Two aspects have been investigated in this paper; sustainability and maximum yield. The sustainability aspect is guaranteed by imposing constraints for equalization of non-logged areas at the end of the planning horizon. With maximum yield aspect, the maximization of the logged quantities (and therefore the maximization of the objective function) is guaranteed. The model is solved for various scenarios regarding transportation cost. The applicability of the model is demonstrated through a real-world case study of an even coppice forest in Achladochori–Aggistro–Sidirokastro. The proposed model is easy to be implemented, since it uses only the initial conditions of the forest (area) and can be applied to even and uneven aged forests.

Beer, Wood, and Welfare--The Impact of Improved Stove Use Among Dolo-Beer Breweries.

Local beer breweries in Burkina Faso absorb a considerable amount of urban woodfuel demand. We assess the woodfuel savings caused by the adoption of improved brewing stoves by these micro-breweries and estimate the implied welfare effects through the woodfuel market on private households as well as the environmental effect. We find substantial wood savings among the breweries, 36% to 38% if they fully switch to an improved stove. In absolute amounts, they save about 0.176 kg of fuelwood per litre of dolo brewed. These savings imply huge reductions in CO2-emissions and reduce the overall demand for woodfuel, which is predominantly used by the poorer strata for cooking purposes. We provide estimates for the price decrease that might result from this and show that the urban poor are likely to benefit. Thus, the intervention under study is an example for a green growth intervention with pro-poor welfare gains – something green growth strategies should look for.

Forest cover increase in India: The role of policy and markets

Contrary to trends in many countries, forest cover in India has increased in recent times. Using a step wise time series cross section regression analysis on state–level panel data over 1990–2008, we examine two hypotheses to explain this increase: Forest cover is influenced by policies as well as the timber market. While appropriately controlling for economic and structural influences, we find that implementation of joint forest management is positively correlated with forest cover, implying that community participation is key to effective afforestation; and the timber and fuel wood market demands are positively correlated with forest cover, implying that demand-driven growth is conducive to forest growth, especially in presence of complementary policies. Our results suggest that policies, by supporting individual interests, can increase forest cover more effectively.

Beer, Wood, and Welfare

Local beer breweries in Burkina Faso absorb a considerable amount of urban woodfuel demand. We assess the woodfuel savings caused by the adoption of improved brewing stoves by these, mostly female owned, small enterprises and estimate the implied welfare effects through the woodfuel market on private households. We find substantial wood savings among the breweries and, subsequently, huge welfare gains for households. Since woodfuel is predominantly used for cooking by the poorer strata, the intervention under study is an example for a green growth intervention with pro-poor welfare gains – something green growth strategies should look for.

Beer, Wood, and Welfare

Local beer breweries in Burkina Faso absorb a considerable amount of urban woodfuel demand. We assess the woodfuel savings caused by the adoption of improved brewing stoves by these micro-breweries and estimate the implied welfare effects through the woodfuel market on private households as well as the environmental effect. We find substantial wood savings among the breweries and, subsequently, huge welfare gains for households and reductions in CO2-emissions. Since woodfuel is predominantly used for cooking by the poorer strata, the intervention under study is an example for a green growth intervention with pro-poor welfare gains - something green growth strategies should look for.

Economic Study of Fuel wood Market Performance in Enugu State, Nigiera

Economic Study of Fuel wood Market Performance in Enugu State, Nigiera

The use of fuelwood market segmentation and product differentiation to assess opportunities and value: A Nicaraguan case study

Fuelwood is generally assumed to be a commodity in the development literature, thus overlooking the possibility of catering to niche markets that could potentially be served more efficiently. Identifying and better catering to niche market segments through product differentiation can play an important role in increasing the income of those involved in the fuelwood supply chain. The objective of this paper was to evaluate the role of market segmentation and product differentiation within the fuelwood industry and how it affects both market opportunities and value. This is illustrated using a case study of the largest fuelwood consuming cottage industry in the department of Madríz, Nicaragua. Semi-structured interviews were conducted with 21 fuelwood consuming business owners to obtain information on 1) the business itself and their fuelwood purchasing preferences; and 2) questions relating to fuelwood demand and prices. This information was complimented with the measurement of fuelwood purchasing units and logs in order to calculate solid wood volumes and product segment characteristics. We found that bakeries consumed four differentiated fuelwood products, mostly defined by the small-end diameter of the logs, each of which was valued differently. Differences in fuelwood product preferences were found when the market was segmented by municipality and by the number of wood-fired ovens operated by individual bakeries. This study highlights the existence of product differentiation within the fuelwood market and the potential of identifying niche markets to help fuelwood producers increase their income. Although traditionally assumed to be a commodity, different fuelwood consumers value different characteristics and attributes in fuelwood and are willing to pay different prices based on this differentiation. Taking this into account was important for determining market value. Such considerations should be taken into account when evaluating market opportunities and value within fuelwood markets, particularly in a developing country context.

Patterns and drivers of fuelwood collection and tree planting in a Middle Hill watershed of Nepal

Abstract The majority of residents in the rural Middle Hills of Nepal use fuelwood from public and private sources as their primary energy source. This study investigated fuelwood availability in accessed forests, amount of fuelwood collected, preferred tree species for fuelwood, contribution of public and private sources to total fuelwood consumption, and investment in tree planting on agricultural land. Fuelwood availability declined in the decades prior to 1990, but stabilized by 1990. Fuelwood from fifty-three species was collected from forests. Median annual per capita collection was 683 kg and predicted only by family size. Occupational castes (‘low castes’) did not show different harvesting rates than non-occupational castes and non-caste ethnic groups. Wealth was not associated with total fuelwood collection, probably because there was no fuelwood market. Most households collected fuelwood from a private source, namely trees planted on sloping, rain-fed agricultural land (bari), but this accounted for only a small portion of most households’ requirement. Bari landholding area and livestock holdings–typical measures of wealth–drove the decision to plant trees on bari land, and the number of trees that were planted. Bari-poor and landless households were consequently the most vulnerable to forest degradation, so the promotion of private fuelwood planting by large bari landholders could reduce pressure on forests and promote greater fuelwood availability for landless households. Support of community forestry emphasizing access for bari-poor and landless families could further decrease fuelwood vulnerability of poorer households.

Dinamiche naturali in formazioni forestali a prevalenza di leccio nel Parco Regionale della Maremma

Mediterranean sclerophyllous forests are coenoses worthy of great care because of their inherent bio-ecological value. The suspension of harvesting following the crisis of fuel wood market ruled the evolutive pattern of maquis over the last decades. In this phase, site quality seems to be the major driver of the holm oak-dominated forest recovery as well as of the lasting permanence of the sclerophyllous shrub forest. In this connection, stand dynamics has been monitored in three plots located in the strictly protected area of the “Parco Regionale della Maremma” (Grosseto - Tuscany), where natural evolution is in progress since at least five decades. The monitored stands are representative of different evolutive phases from the holm oak-dominated coppices to the typical maquis, as a function of the original stand structure and composition but also of the intensity and length of the applied coppice management system. The analysis was carried out by permanent transects; two inventories were undertaken in 1991 and 2006 to evaluate both compositional and structural variability and the dynamics in progress. Results at now highlight the role played by the residual site quality and specific composition in driving the evolutive pattern of tree species community. Under the absence of any silvicultural practice and better site conditions, the progress and specific incidence of regular mortality and the related aboveground biomass redistribution, supported the vegetation of holm oak and the other subsidiary species typical of more mature stages. The overall forest dynamics seemed anyway to proceed slowly and resulted in a steady physiognomy over a long time since the suspension of the historical disturbance made of repeated harvesting on short rotations.

Predicting fuelwood prices in Greece with the use of ARIMA models, artificial neural networks and a hybrid ARIMA–ANN model

Throughout history, energy resources have acquired a strategic significance for the economic growth and social welfare of any country. The large-scale oil crisis of 1973 coupled with various environmental protection issues, have led many countries to look for new, alternative energy sources. Biomass and fuelwood in particular, constitutes a major renewable energy source (RES) that can make a significant contribution, as a substitute for oil. This paper initially provides a description of the contribution of renewable energy sources to the production of electricity, and also examines the role of forests in the production of fuelwood in Greece. Following this, autoregressive integrated moving average (ARIMA) models, artificial neural networks (ANN) and a hybrid model are used to predict the future selling prices of the fuelwood (from broadleaved and coniferous species) produced by Greek state forest farms. The use of the ARIMA–ANN hybrid model provided the optimum prediction results, thus enabling decision-makers to proceed with a more rational planning for the production and fuelwood market.

Depletion of forest resources in Sudan: Intervention options for optimal control

Agricultural expansion and over-cutting of trees for fuelwood are important causes of deforestation in arid and semi-arid countries such as Sudan. The consequence is increased desertification and high erosion and loss of soil nutrients leading to declining agricultural productivity. However, the social costs of the deforestation externality are not taken into account in present forest management and land use planning in Sudan leading to under-pricing and over-exploitation of the country's forest resources. This study evaluated the suitability of approaches commonly used by most forest resource management agencies for prediction of the state and control of harvesting of forest resources against alternative empirical simulation models using relevant information about economic behaviour of trading agents in the fuelwood market. Results showed the clear superiority of models integrating market behaviour over current approaches in the ability to better simulate real trends of wood consumption and hence depletion rates. The study also adopted an optimal control model to derive socially optimal forest harvesting regimes. The results showed that current rates of forest resource rent recovery and reforestation efforts are very far from optimal. Results also suggest that, in addition to optimal pricing and higher reforestation efforts, promotion and availability of fuel substitutes and investment in wood energy conversion efficiencies have a strong potential for curbing the problem of deforestation in Sudan.

Community mobilisation for improved livelihoods through tree crop management in Niger

Effective natural resource management requires interrelated technical practices and social arrangements that are appropriate to a region’s biophysical characteristics and that address protection and sustainable management of resources. This is illustrated from our experience in the Republic of Niger, West Africa. In 1980 barren plains, infertile soils, drought, dust storms, severe fodder shortages, and agricultural pest outbreaks were normal occurrences in Niger’s rural regions. In general, despite large investments of time and funding, conventional reforestation efforts had little impact. However by 2008 over five million hectares of once barren land had been transformed through wide adoption of an agroforestry method known as ‘Farmer Managed Natural Regeneration’ (FMNR), introduced in 1983. In the Aguie Department, the practice of FMNR was formalized through the Desert Community Initiative (DCI), addressing interrelated technical and social issues in resource management. New governance structures, which include marginalized groups, implement monitoring and enforcement systems enabling communities to manage land and regenerating trees. These, together with technical solutions that build on local knowledge and skills and use previously undervalued indigenous tree species, have generated a sustainable fuel-wood market for the first time. Increased linkage and compatibility between institutions at local and national levels and strengthened social capital have been crucial to these impacts. Food security and community resilience to drought have been markedly enhanced and local incomes have increased. The experience provides important lessons for approaches to addressing environmental degradation and poverty in other semi arid areas and facilitating the spread and adoption of new agroforestry systems.

Changes in the management of British forests between 1945 and 2000 and possible future trends

The last half‐century has been an era of historically unprecedented expansion in British forests, which now cover over 12% of the land surface. In the immediate post‐War period, the forest composition was evenly divided between conifers and broadleaves. However, several decades of extensive afforestation in parts of the uplands have resulted in conifers comprising over 60% of the forest area and Sitka Spruce Picea sitchensis becoming the commonest species in British forests. Towards the end of the last century, forestry policies began to give prominence to sustainable forest management so that greater emphasis is now being given to aspects such as the restoration and enhancement of native woodlands and the diversification of plantation forests. Because of their age structure, at least 70% of both conifer and broadleaved high forest stands are now entering a closed‐canopy stage where the trees compete with each other for light, moisture and nutrients. This is different from the situation in the late 1940s when the appreciable area of young stands in both new woodlands or felled areas would have provided a more open woodland habitat. The prevailing silvicultural system used for many years in all high forest types has been ‘patch clear felling’ but this can be detrimental to visual amenity and cause a sudden change in forest microclimate. There is now increasing interest in the use of continuous cover forestry, which seeks to promote irregular stand structures with intimate species mixtures as a means of avoiding some of the negative impacts of clear felling. Timber production in British forests is increasingly concentrated in the conifer forests and the amount of broadleaved timber harvested has declined sharply in recent years. This decline is another consequence of the lack of active broadleaved management that has been reported in recent ecological surveys. The possible advent of a new woodfuel market may be an opportunity to renew the viability of under‐managed woodlands. The next decades are likely to see a greater range of silvicultural systems being practised in British woodlands and the development of more mixed woodland, which may also ensure greater resilience against climate change. Amongst the challenges for the future are the need to obtain a better understanding of the interactions between stand management, resulting forest habitat and the impacts on biodiversity so that foresters and other stakeholders can better predict the outcome from different silvicultural regimes.

Species, sources, seasonality, and sustainability of fuelwood commercialization in Masaya, Nicaragua

The structure of the fuelwood supply chain and the impacts of urban residential fuelwood consumption on forests in Nicaragua are little known. To characterize the nature of fuelwood movements toward residential centers, we examined the fuelwood inventories and movements in the largest fuelwood market, in Masaya, during the peak of the rainy season, in October 1999, and again at the peak of the dry season, in May 2000. We found a stressed fuelwood supply that depended greatly upon natural forests. There was a diverse (64 tree taxa from 28 families) and strongly seasonally variable taxonomic composition of the supply of fuelwood. Greater volumes concentrated in fewer taxa (63,648 kg per 5-day period, with 58.9% in three species) were sold to vendors in the dry season than in the rainy season (12,921 kg per 5-day period with 24.6% among the same three species). The proportion of fuelwood derived from natural forests increased from one-third of the market sales during the rainy season to one-half in the dry season; virtually none of the fuelwood was derived from plantation forestry. We recommend a fuelwood supply management strategy based on incentives to farm owners for supplying managed fuelwood and increased vigilance to limit forest destruction for fuelwood production.

Woodfuel procurement strategies of district heating plants

Woodfuel use in the Swedish district heating sector increased significantly from 1985 to 1999. This study analysed strategies and considerations concerning woodfuel procurement in district heating plants. Priorities and concerns in the industry involved an increased woodfuel share, ambitions to create an environmental image, cost minimisation, awareness about the role of energy policies for fuel choice, improvement of woodfuel quality and the ambition to maintain a competitive woodfuel market with several suppliers. Factor analysis yielded five dimensions in the woodfuel procurement strategies among the district heating companies: (1) increased woodfuel use; (2) import; (3) spot market woodfuel purchases; (4) focus on refined woodfuels; and (5) using price only when deciding whether to use woodfuels or other fuels. Five clusters were defined along the three strategy dimensions (1)–(3). The clusters differed concerning size, experiences from the introduction of woodfuels, perceptions about woodfuels and strategies employed to date. This paper describes different strategies that the district heating companies apply on the woodfuel market. The conclusion is that policies should consider this diversity in procurement strategies, mitigate their negative side-effects and assist to make them cost-effective.

Fuelwood production in agroforestry systems for sustainable land use and CO 2-mitigation

The existence of a fuelwood market is a basic precondition for attempts to develop sustainable land-use systems that integrate trees on arable or pasture land (agroforestry). The Kyoto protocol to the United Nations Framework Convention on Climate Change has opened new opportunities to finance wood energy and agroforestry projects by the instrument of joint implementation in the next year.