Tackling market opportunities for the biomass production in Romania

Abstract

The European Green Deal sets out a detailed vision for Europe to become a climate-neutral continent by 2050 by providing clean, secure, and affordable energy. Thus, with the aim of providing a market-oriented perspective on the economic potential of biomass-related activities, several data were analyzed in this research paper. The positive impact of the green transition is necessary to be studied both at macroeconomic and microeconomic levels. In this context, the research question addressed was: What is the impact of the green transition on farms’ performance and national economy? A descriptive statistical analysis was carried out in order to prove the importance of specific crops, taking into consideration the movements in the energy market and the farmer’s constraints in the era of the European Green Deal. The main objective of this research was to determine if biomass is one of the optimal solutions able to gather all these European desiderates. This conference paper identifies the best scenario for an agricultural farm using diversification activities and the macroeconomic impact of the biomass crops. Currently, the European context is the most favorable for resorting to biomass crops, especially if considering the recent global energy market dynamics. Additionally, there is a need for activities diversification at the farm level in order for them to become greener and to boost their socio-economic and environmental performance. Results confirm that there is considerable economic potential for biomass production in Romania. The added value of the paper is provided by both microeconomic and macroeconomic approaches.