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| Drăgoi, M.*, 2000. A new instrument as support for sustainable forest management - the tradable permits. Bucovina Forestieră (IX) 1-2: 3-21. | ||||
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The paper
describes and advocates
for a tradable permits system designed for forest logging wherever
uneven aged structures are needed to create
and/or preserve. The main reason for advocating
for tradable permits is the landowner's risk seeker behaviour
whenever the auction price exceeds too much the reservation price. The
main idea is to allocate a given number of ecological points per cubic
meter of timber, to each company operating within an area. According to
a simple formula, this number is recomputed at the end of the year, taking
into account all damages reported by the Environment Authority. Ideally,
a firm which makes no damages, keeps all its ecological points and it is able to
have additional revenue from selling logging rights to other competing
companies. Effectively, the winning firm is the one that has kept the
most ecological points and will set up the price for ecological points
required by other companies to operate in the forthcoming
year. The ecological company is able to get an additional income, which
is proportional to the gap between the two re-computed ecological points
assigned to each harvested cubic meter of timber and the difference between
the volume it harvested and the volume harvested by all other competitors. |
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| Author. * Dr. Marian Drăgoi - Faculty of Silviculture, University "Ștefan cel Mare" Suceava, str. Universității nr. 1 , 5800 Suceava, jud. Suceava.. Can be contacted through the editorial staff. |
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| Copyright Experiment Station for Spruce Silviculture Câmpulung Moldovenesc. All rights reserved. | ||||