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Income diversification among households living in forest margins helps to maintain a sustainable livelihood. Reducing forest dependency helps in-situ conservation of biodiversity thereby conserving forest resources. This paper presents evidence of income diversification and its effects on forest resource extraction by rural communities living in forest margins. Diversified income sources of typical households include crop farming, off-farm employment, animal husbandry, home gardening and extraction of non-timber forest products and fuelwood. The calculated mean indexes of diversification for the households in forest margins under investigation were 2.53, 2.57, 2.19 and 2.25. Results of the analysis show that the income diversification index had a negative and significant effect on dependency of rural households on forest resource extraction for three forest reserves. A positive relation between the index of income diversification and total income indicates an increase in household income due to increasing diversification income sources. However, given the complex nature of protecting natural forests, income diversification should be part of a broader integrated policy goal to protect natural forests.

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Biofuel can be a potential supplement to fossil fuel and help in meeting increasing energy demand of the USA as well as rest of the world. However, it is important for the biofuel to be economically competitive and energy efficient to be established as a promising energy source. There has always been an argument about energy efficiency of biofuel production. Some studies have claimed that it requires more energy to produce ethanol then it actually produces as an output. The objective of the study is to determine energy efficiency of growing two potential cellulosic feedstock; switchgrass and Miscanthus and conversion them in to cellulosic ethanol. Energy efficiency was determined by calculating Net Energy Value (NEV), the difference between output energy obtained by ethanol and input energy used in producing ethanol. Input energy consisted of energy required to produce the cellulosic biomass, transporting it to the ethanol processing facility and processing cellulosic biomass in to ethanol. The analysis showed positive The NEV for both switchgrass and Miscanthus. NEV for Miscanthus (12.41 MJ/L of ethanol) was higher in compared to the switchgrass (7.90 MJ/l of ethanol). Monitory benefits of energy savings were also estimated to determine the impact of energy saving on the society. Results from this research showed both switchgrass and Miscanthus as potential biomass feedstock for cellulosic ethanol production.