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Friday 31 March 2017

An Analysis of Wood Market Balance Modeling in Germany

Author
Marcus Knauf
Forest Policy and Economics, 2015, vol. 50, issue C, pages 319-326
Abstract: A Wood Market Balance model provides a method for generating a highly aggregated summary of wood availability and use. It is an important source of information for the forestry and wood industry sectors. This paper compares the Wood Balance and Wood Resource Balance modeling tools widely used in Germany today, lists the differences between the two and shows why the Wood Resource Balance in its current form is susceptible to misinterpretation. To avoid possible misinterpretation, a proposal is presented for an enhanced Wood Resource Balance. The term Wood Market Balance is proposed for the enhanced model to differentiate it from the already existing models. The Wood Market Balance presents an analysis of wood use at the place of consumption (material and energy uses) in contrast to the Wood Resource Balance which looks at wood input into the industry. Based on the current Wood Resource Balance, the proportion of wood used for energy has been substantially underestimated. The figure derived for Germany for 2010 and commonly referred to in public debate was approximately 50%. The proposed Wood Market Balance, however, indicates that the proportion of wood used for energy purposes is actually higher at roughly 61%.
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