Legal, institutional and economic framework for forest conservation and sustainable management

The five indicators in this criterion report on the extent to which the legal, institutional and economic framework supports sustainable forest management, as well as the capacity to monitor change and to conduct and apply research and development.

Key findings for the legal, institutional and economic frameworks

• A comprehensive legal, institutional and economic framework designed to achieve the conservation and sustainable management of forests is in place at the state, territory and national levels. Over the reporting period, jurisdictions strengthened this framework through the continued implementation of regional forest agreements (RFAs) and new measures governing vegetation clearing and the allocation of water to land uses such as forestry. Several jurisdictions also passed legislation to provide property rights for carbon sequestered by forests and other vegetation.
• There has been rapid growth in forest certification as a means of verifying the quality of forest management and maintaining access to markets, with more than 9 million hectares of native forest and plantations certified under the Australian Forest Certification Scheme and the Forest Stewardship Council at September 2007. In addition, most multiple-use public forests and some private forests are now managed in accordance with codes of forest practice and externally accredited environmental management systems, which provide a structured approach to the planning and implementation of measures to protect the environment.
• Tariffs on imported forest products are in the range from zero to 5% goods imported from all least-developed countries have been tariff- and quota-free since July 2003.
• Several billion dollars of private investment in wood processing infrastructure was announced by investors between 2001-02 and 2005-06, including proposals for two new pulp mills. National taxation arrangements for plantation-based managed investment schemes contributed to significant increases in Australia's plantation base.
• Governments are developing market-based mechanisms and incentives to promote reforestation and improved forest management as a way of protecting catchment values, particularly in agricultural landscapes.
• Six environmental assets have been added to national and sector balance sheets, including native standing timber available for harvest and plantation timber. The value of those two assets grew at average annual rates of 5.6% and 3.8%, respectively, over the period from 1997 to 2005.

Key findings for capacity to measure and monitor changes

• The capacity to report trends, while still variable, is generally much improved since 2003. Data are comprehensive in coverage, currency and frequency for 13 indicators and more limited for 28 indicators. Case studies and other narrative material provide a large part of the information for three indicators. Jurisdictions have improved the coordination of forest reporting, including through the Montreal Process Implementation Group for Australia.
• The ability to report on forest change varies considerably by tenure. The best information is available for multipleuse public forests, for which governments require forest management reporting. The biggest data gaps remain for leasehold and private forests.

Key findings for the capacity to conduct and implement research and development

• Australian, state and territory forest agencies have developed the following national critical research priorities: the impact of climate change on forest management; the role of forests in managing Australia's water resources; managing Australia's forests for multiple objectives; forest health and biosecurity; and forest products.
• Forest and Wood Products Australia provides a nationally coordinated investment approach to forestry industry research and development and has been given a stronger role in marketing and promotional services. It works with national, state and territory research providers. Governments are also investing in research and development through a variety of specific-purpose packages.

Full report for Criterion 7 - Legal, institutional and economic framework for forest conservation and sustainable management [pdf 535KB]