Aiming at a moving target: economic evaluation of adaptation strategies under the uncertainty of climate change and CO2 fertilization of European beech (Fagus sylvatica L.) and Silver fir (Abies alba Mill.)

Drought severely worsened till 2100 and eventually outplayed growth-enhancing CO2 fertilization turning productivity gains into losses for beech and fir. Most scenarios generated notable losses in profitability but economic tipping points were later than for productivity due to lag effects related to discounting. Time mixture of fir and shortening rotation can counteract economic risks under climate change, but requires early admixture and moderate establishment costs. Adaptation strategies to climate change (CC) such as establishing mixed forests are often based on ecological understanding while economic rationale is often disregarded. This paper studies CC uncertainty on productivity and profitability of European beech (Fagus sylvatica L.) and Silver fir (Abies alba Mill.). Besides, the economic consequences to actively adapt beech forests by admixing Silver fir are investigated. We used the process-based forest growth model GOTILWA + to simulate RCP2.6, RCP4.5 and RCP8.5 climatic projection by the MPI-ESM-LR global circulation model (MPI-ESM-LR) with the CO2 fertilization effect (eCO2) switched on and off. We analysed the sensitivity of the land expectation value (LEV) on CC and economic parameters. CC initially increased productivity, but declined after a tipping point (2040–2070) and later also profitability (2045–2100). RCP8.5 had positive, RCP2.6 negative and RCP4.5 neutral effects on LEV. Switching off eCO2 turned RCP8.5 from the most profitable to the least profitable scenario and the opposite for RCP2.6. CC generally reduced optimal rotation (Ropt) being scenario dependant, but comparatively more for fir than beech. Admixing fir created an economic benefit when implemented before stand age 50 of beech. This benefit was nullified with protection costs for browsing control (fencing or tree shelters). Economic parameters (not CC) were the major source of uncertainty stemming from discounting factors and establishment costs. Admixture of fir and shortening rotation can provide a solution to tackle economic and climate uncertainties, but requires early admixture and browsing control.