This paper examines energy use and environmental deterioration in Haiti. It applies linear programming to the national energy balance to analyze whether or not the substitution of kerosene or other petroleum fuels for charcoal is economically beneficial and whether it will result in a reduction of pressure for deforestation. It concludes that because of the inefficiencies in the production of charcoal, the substitution of kerosene for charcoal is an economically beneficial option. However, if stimulated through price incentives alone, it is unlikely to lead to an overall reduction in the quantity of wood used for fuel. Energy and environmental policy, therefore, must focus on interfuel substitution, improved efficiency and rural afforestation, in addition to "getting the prices right".

INTRODUCTION

National energy systems in poorer developing countries rely heavily upon woody biomass as their primary energy resource. In fact, they face a continuing "energy crisis" built upon the shortage of wood energy for domestic fuel. Authors have noted that for Kenya (O'Keefe et al., 1984), Tanzania (Hosier et al., 1990), Ethiopia (Newcombe, 1987), Malawi (French, 1986) Zimbabwe (Hosier, 1988b) Sri Lanka (Meier and Munasinghe, 1987), and a large number of other countries (WRI, 1985), the shortage of firewood for domestic fuel presents an environmental as well as an economic obstacle for development. A large number of solutions to this problem have been suggested: interfuel substitution (Foley, 1985); rural afforestation (Newcombe, 1987; Bradley et al., 1985); improving the efficiency of wood-burning stoves (Jones et al., 1989) and correcting the price of energy resources through stumpage fees and price corrections (Openshaw and Feinstein, 1989; Pearce, 1988). This paper is designed to test the potential role for interfuel substitution and price correction to correct the woodfuel shortage and reduce environmental degradation for one developing country: Haiti.

For reasons of geology, topography, and history, Haiti presents an example of one of the most degraded physical environments in the tropics. Eckholm (1976) wrote about large areas of exposed bedrock throughout much of Haiti. The Tropical Forest Action Plan (WRI, 1985) noted that Haiti has faced an extremely rapid deforestation over the past 50 years. Rapid population growth, deforestation, and intensive permanent cultivation of the land have led to a situation where Haiti's physical environment holds little promise to supply more than a meager existence to its inhabitants.

Haitian environmental degradation has many components (Ehrlich et al., 1985). Deforestation is seen to play an important role in encouraging soil erosion, which reduces agricultural productivity. The cutting of wood for fuel is frequently cited as an important contribution to Haitian deforestation. To the extent that woodfuel harvesting contributes to deforestation, it reduces tree cover, leaving more soil exposed, and therefore vulnerable to erosion. Thus, woodfuel use can serve to exacerbate soil erosion and environmental degradation.

In response to this chain of reasoning, energy planners have recently begun to examine altenatives to woodfuel. Stevenson et al. (1986) found that projects to substitute lignite or coal briquettes for woodfuel in urban areas had a potentially attractive econoniic rate of retum....