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The ecological and economic potential of carbon sequestration in forests: Examples from South America

Abstract:

Costs of reforestation projects determine their competitiveness with alternative measures to mitigate rising atmospheric CO2 concentrations. We quantify carbon sequestration in above-ground biomass and soils of plantation forests and secondary forests in two countries in South America-Ecuador and Argentina-and calculate costs of temporary carbon sequestration. Costs per temporary certified emission reduction unit vary between 0.1 and 2.7 USD Mg-1 CO2 and mainly depend on opportunity costs, site suitability, discount rates, and certification costs. In Ecuador, secondary forests are a feasible and cost-efficient alternative, whereas in Argentina reforestation on highly suitable land is relatively cheap. Our results can be used to design cost-effective sink projects and to negotiate fair carbon prices for landowners. © Royal Swedish Academy of Sciences 2005.