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Wildfire damages and the cost-effective role of forest fuel treatments
Frederik Strabo1, Calvin Bryan2, Matthew N Reimer1
1Department of Agricultural and Resource Economics, University of California, Davis, Davis, CA, USA.
Abstract:
Wildfires are among the most pressing environmental challenges of the 21st century, intensified by the accumulation of forest fuels after a century of fire suppression policies. Although fuel-reduction treatments ("fuel treatments") are a primary tool for reducing wildfire risk, they remain underutilized, partly owing to limited evidence of their economic value. In this study, we integrated high-resolution data on wildfires, fuel treatments, suppression effort, and damages across the Western United States to assess their cost-effectiveness. Using a quasi-experimental design, we found that fuel treatments reduced wildfire spread and severity, avoiding an estimated $2.8 billion in damages by limiting structure loss, cutting carbon dioxide emissions, and lowering fine particulate matter (PM2.5) exposure. Each dollar invested yielded $3.73 in expected benefits. Our findings demonstrate the value of fuel treatment investments and offer guidance for maximizing their effectiveness.
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