A global climate-economy model including the REDD option

Area of Science:

• Environmental Economics
• Climate Change Mitigation
• Forestry Management

Background:

• Conventional climate change abatement measures face challenges with cost-effectiveness and implementation.
• Reducing Emissions from Deforestation and Forest Degradation (REDD) presents a potentially cost-effective alternative.
• Optimal REDD strategy selection is complex due to risks and varying costs across nations.

Purpose of the Study:

• To develop an integrated assessment model for carbon mitigation that includes the REDD option.
• To determine the optimal timing and scale of REDD participation for countries with REDD potential.
• To analyze the impact of REDD on overall abatement costs and atmospheric carbon stock.

Main Methods:

• Integrated assessment modeling of carbon mitigation.
• Dynamic optimization framework to derive optimal REDD participation levels.
• Analysis of opportunity costs, risks, and non-linear climate damages.

Main Results:

• REDD is identified as an attractive climate mitigation option despite impermanence risks.
• Incorporating REDD lowers overall abatement costs, stimulating increased conventional abatement.
• Optimal REDD implementation in five key countries could avoid approximately 80 billion tonnes of carbon release in 50 years.

Conclusions:

• REDD programs are a valuable tool for climate change mitigation, offering significant cost savings.
• The inclusion of REDD enhances the effectiveness and economic efficiency of global carbon abatement strategies.
• REDD contributes to stabilizing long-term atmospheric carbon concentrations, mitigating climate change impacts.