Effect of Existing and Novel Policy Options on the Sustainable Development of Regional Bioenergy Systems: Lessons and Future Directions

Abstract

What are the most appropriate policies to facilitate regional bioenergy systems in furtherance of environmental, social, and economic objectives? A multi-year research project funded by the U.S. Department of Agriculture’s National Institute of Food and Agriculture has attempted to answer that question for the southeastern United States. Project analyses found few policies targeted to the upstream portions of the supply chain in the region, suggesting that efforts to encourage sustainable bioenergy markets should be cognizant of the dynamics of feedstock production and use. Investigation of bioenergy market participation identified non-production objectives, structural and social constraints, and market-related attributes that could influence market participation decision making. It also suggested that policies specific to individual markets might be more effective than uniform national initiatives in encouraging participation. Modeling of potential policies to facilitate development of regional bioenergy systems suggested that feedstock dynamics play a critical role in outcomes. A region-wide renewable portfolio standard—a policy characterized by few restrictions on the location of feedstock production and use—led to increases in forest carbon and decreases in greenhouse gas emissions at multiple scales. Forcing feedstock production and use to occur in particular locations might have the opposite outcome. The effectiveness of regional bioenergy systems will depend on the responsiveness of policy to social, economic, and resource conditions.