Factsheet: Sustainable forestry funding for fixed-period

Sustainable forestry funding for fixed-period

Key Information
Full name of Instrument & Measure (English): 
Sustainable forestry funding for fixed-period: support for thinning of young stands
Full name of Instrument & Measure (native language): 
Kestävän metsätalouden määräaikainen rahoituslaki, Valtionneuvoston asetus
Description: 
Act (34/2015) and decree (594/2015) support for young stands (34/2015) is targeted for thinning, if thinning is commercially not profitable. The objective of the measures is to guarantee healthy and well-growing young forests. The aim is also to promote ecological and recreational functions and to protect forests against damages caused by insects or plant diseases. A condition for granting the aid is that no immediate need for tending remains on the site after the treatment. The Act and Government Decree lay down the conditions for eligible sites (sections 8-9 of the Government Decree). Commercially profitable first thinning sites are not eligible. By definition, commercially non-profitable young stands are stands where the average height after the treatment is over 3 m and maximum diameter at breast height after the treatment is less than 16 cm (section 9 of the Government Decree). Young stands which are composed of taller or bigger trees are commercially profitable to harvest. In certain tending sites the collection of forest residue (includes small-sized trees, logging residue and stumps), in this case residual small-sized trees, may also be justified. If residue is collected in connection with these works, the aid intensity may be higher (section 10 of the Government Decree). Aid is paid on the grounds of the surface area covered by the tending work as a fixed amount based on standard costs (€/hectare) (594/2015). a) The amount of aid in the tending of young stands is 230 €/hectare. b) If also residual small-sized trees are collected from the tending site, the aid may be raised by a supplement of 200 €/hectare and the aid amount can be in maximum 430 €/hectare. Aid is granted to private landowners only. A particular tending site may be eligible for aid for young stand tending only once per rotation cycle.
Goal/Aim: 
Stimulate sustainable forest management.

Sector/Topic targeted:

Responsible Authority: 
Ministry of Agriculture and Forestry

Status:

Trade Relevance: 
Policies ensuring sustainable production of biomass
Year Instrument & Measure Started: 
2015
Year Instrument & Measure Ended: 
2020