Net Social Benefit of Developing Energy from Biomass in Argentina: An input-output analysis for the province of Misiones.

LORENZO PERROTTA; MARIA PRISCILA RAMOS; CARLOS ADRIAN ROMERO

Conferencia; 24th ICABR Conference "ACCELERATING THE BIOECONOMY"; 2020

Given that current patterns of energy consumption and production are severely stressing natural and social systems, it is required not only an improvement in %an efficient use of energyenergy efficiency but also an environmentally sustainable production of energy. In this context, the use of biomass as a renewable source of energy generation could allow a clean energy production, particularly in regions where there is a natural comparative advantage and where the access of other sources of energy is expensive. This is the case of Misiones, a province of Argentina, which displays a high potential for energy production through biomass from its forestry activity. The main objective of this thesis %articleis to evaluate the net social benefit of the development and the investment (technology, infrastructure, etc.) on bioenergy from biomass in this province. For that, a regional input-output model for Misiones has been developed,that allows analyzing the impact of different scenarios on the level of employment and provincial production.Three scenarios have been simulated: one in which energy production is increased%doubles, another in which the existing production capacity is expanded through investments and finally the production and investment costs needed to expand production to potential levels are valued. Results show great effects both in the production and job creation in all the scenarios, reaching the greatest impacts in those in which investments are made with local components, managing to capture the positive effects within the province.The conclusions provide some policy recommendations for boosting the development of the biomass as source of energy generation in Argentina given that current regulations and programs in the sector are not regionally oriented.