Use of Optimization Modeling to Assess the Effect of Timber and Carbon Pricing on Harvest Scheduling, Carbon Sequestration, and Net Present Value of Eucalyptus Plantations

Quantifying the impact of carbon (C) and timber prices on harvest scheduling economic returns is essential to define strategies for sustainable management short-rotation plantations so that they can provide products contribute C sequestration. In this paper, we present a mixed-integer linear programming model optimizes at forest level, sequestration, Net Present Value (NPV) over planning period up 15 years. The included revenue from sale (pulplogs) credits net sequestered during life stands. addition, plantation establishment, management, harvesting, transportation costs were in analysis. study area comprised 88 Eucalyptus grandis W. Hill dunnii Maiden stands located Uruguay, totaling nearly 1882 ha. investigated NPV, schedules, stands’ age, flows customers, per period. maximum NPV among all scenarios evaluated (USD 7.53 M) was calculated price 30 USD t−1, an interest rate 6%, 75 m−3. This 2.14 M higher than scenario with same parameters but only timber. also impacted delivered end customers. On average, prices, sequestration increased by 15.4 12.1%, respectively, when 5 t−1. These results demonstrate scheduling, are very sensitive timber, best obtained managed maximize production