Estimating Stand-Level Carbon Supply Curves for Loblolly Pine and Douglas-Fir Plantations

Abstract

AbstractWe estimate the carbon sequestration supply curve at the stand level based on the optimal rotation decision and conduct a marginal analysis for payments necessary for postponing harvest for additional 1-year increments of two commercially important species in the United States, loblolly pine and Douglas-fir. Under certain costs, production and timber prices assumptions, payments ranged from $62.23 ($26.97–$105.87) ac/yr. for loblolly pine plantations and $399.17 ($189.80–$628.72) ac/yr. for Douglas-fir plantations. Our results indicate that higher carbon sequestration occurs with higher site index, higher trees per acre, and in unthinned stands. Significant variability within and between species was heavily dependent on the number of years that final harvest was postponed. In addition, we show the effect of prices on the quantity supplied under multiple silvicultural treatments. The study should assist willing forest landowners and potential partners to determine initial reservation prices for carbon sequestration and temporary provision for a 1-year period in line with programs offering this contracting mechanism.