Taxes, fees and royalties in the forestry sector
Taxes, fees, royalties and other charges on the extraction, transport and/or use of forests and forestry activities. Following the user-pays principle (and polluter pays), these levies help to capture the benefits of production services from nature and internalize the true cost of ecosystem degradation by influencing the price of the "consumed" natural capital. Revenues may or may not be allocated to environmental purposes. The most used forms of taxation are stumpage fees, concessions fees, royalties based either on the volume or the value of the timber harvested and export levies (e.g. Ghana has applied rates from 1 to 2 per cent on timber exports).
Avoid
Any measure that can prevent or reduce future investment needs by eliminating/amending existing counter-productive policies and expenditures (e.g. taxes on sugar content or tobacco).
Avoid
Generate
Any existing or innovative mechanism that can generate and/or leverage financial resources for biodiversity.
Generate
Fiscal
Any solution that involves a fiscal reform, i.e. changes in taxation or the modification of a subsidy's regime.
Fiscal
Market
Any solution that involves a market transaction, e.g. ecosystem services and carbon markets.
Market
Regulatory
Any solution that involves a regulatory reform, i.e. the imposition of a certain behaviour through the law or a regulation.
Regulatory
Public
Private
Forests
Forests
Protected Areas
Protected Areas
Trade
Trade
Transport
Transport
Non-timber forest product harvesting licenses and fees
Licenses and other fees associated with the collection, transport and sale of Non-Timber Forest Products including mushrooms, latex (sap), honey, flowers, tubers, etc.
Avoid
Any measure that can prevent or reduce future investment needs by eliminating/amending existing counter-productive policies and expenditures (e.g. taxes on sugar content or tobacco).
Avoid
Deliver
Any measure or strategy that can enhance cost-effectiveness/efficiency, synergies and/or favour a more equitable distribution of resources.
Deliver
Generate
Any existing or innovative mechanism that can generate and/or leverage financial resources for biodiversity.
Generate
Fiscal
Any solution that involves a fiscal reform, i.e. changes in taxation or the modification of a subsidy's regime.
Fiscal
Regulatory
Any solution that involves a regulatory reform, i.e. the imposition of a certain behaviour through the law or a regulation.
Regulatory
Public
Agriculture
Agriculture
Forests
Forests
Other
Other
Protected Areas
Protected Areas
Transport
Transport
Forestry transportation fees
Forestry transportation fees can be used in addition to stumpage or other fees as either a cost recovery tool to pay for roads and other transport infrastructure, or as a means to improve regulation and control of the industry. It should be noted that any fee that raises cost of production or transport may influence the market price and trading volumes. For example, export levies capture forestry revenue and have been used to encourage increased domestic value-added wood industries by charging much higher levies on raw wood as compared to furniture.
Generate
Any existing or innovative mechanism that can generate and/or leverage financial resources for biodiversity.
Generate
Fiscal
Any solution that involves a fiscal reform, i.e. changes in taxation or the modification of a subsidy's regime.
Fiscal
Regulatory
Any solution that involves a regulatory reform, i.e. the imposition of a certain behaviour through the law or a regulation.
Regulatory
Public
Forests
Forests
Trade
Trade
Transport
Transport
Other forestry royalties
Other types of royalties can be paid for forests and forestry products including collection fees for Non Timber Forest Products (NTFP, see below) such as mushrooms, fruit, honey, etc. recreational exploitation (hotels, restaurants, etc.), access (pipelines, telephone towers, electricity, etc.), and real estate (e.g. home ownership).
Generate
Any existing or innovative mechanism that can generate and/or leverage financial resources for biodiversity.
Generate
Fiscal
Any solution that involves a fiscal reform, i.e. changes in taxation or the modification of a subsidy's regime.
Fiscal
Market
Any solution that involves a market transaction, e.g. ecosystem services and carbon markets.
Market
Regulatory
Any solution that involves a regulatory reform, i.e. the imposition of a certain behaviour through the law or a regulation.
Regulatory
Public
Forests
Forests
Protected Areas
Protected Areas
Tourism
Tourism
Forestry concession fees
Fees paid for access to exploit forestry areas usually under public ownership and government control. Often there is a requirement for the concessionaire (holder of the concession) to produce a management plan that is approved by the land owner. Concession fees and systems allow for private long term planning if the concessions are of adequate length to make a rotational forestry practice feasible. Concession fees are based on an economic assessment of the value of the timber or other forest resources (which can include non-use values such as recreation).
Deliver
Any measure or strategy that can enhance cost-effectiveness/efficiency, synergies and/or favour a more equitable distribution of resources.
Deliver
Generate
Any existing or innovative mechanism that can generate and/or leverage financial resources for biodiversity.
Generate
Fiscal
Any solution that involves a fiscal reform, i.e. changes in taxation or the modification of a subsidy's regime.
Fiscal
Market
Any solution that involves a market transaction, e.g. ecosystem services and carbon markets.
Market
Regulatory
Any solution that involves a regulatory reform, i.e. the imposition of a certain behaviour through the law or a regulation.
Regulatory
Public
Private
Forests
Forests
Protected Areas
Protected Areas
Tourism
Tourism
Forestry stumpage fees
A fee paid for the right to harvest timber from a given area. Typically paid to a private land owner or the government (if the land is public land). Stumpage fees are determined by a combination of fixed or market prices and the volume harvested (e.g. cubic metres, board feet, tons).
Avoid
Any measure that can prevent or reduce future investment needs by eliminating/amending existing counter-productive policies and expenditures (e.g. taxes on sugar content or tobacco).
Avoid
Generate
Any existing or innovative mechanism that can generate and/or leverage financial resources for biodiversity.
Generate
Fiscal
Any solution that involves a fiscal reform, i.e. changes in taxation or the modification of a subsidy's regime.
Fiscal
Market
Any solution that involves a market transaction, e.g. ecosystem services and carbon markets.
Market
Regulatory
Any solution that involves a regulatory reform, i.e. the imposition of a certain behaviour through the law or a regulation.