This presentation by the Forest Stewardship Council given during the Forests Asia summit in the discussion forum "Governance: Moving certification to the landscape level with ecosystem services" introduces the FSC as an organization and why it's so important to address ecosystem services, how their PES scheme works and how FSC fits within the framework.

1. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
ForCES – Forest Certification for
Ecosystem Services
A groundbreaking pilot project to expand
FSC‘s scope and relevance

2. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Forest Stewardship Council
• Global, independent, non-governmental, not for profit organization
dedicated to the promotion of responsible forest management
• Founded in 1993 after the 1992 UN Conference on Sustainable
Development, by business representatives, social groups, and
environmental organizations
• Enables businesses, consumers and investors to make informed
choices about the forest products they buy, and companies they
engage with, to create positive change by engaging the market

3. • Setting standards for
responsible forest
management and valuing
ecosystem services
• An accreditation/certification
system to monitor adherence
to FSC standards
• A product labeling system
that rewards responsible
forest managers
What does FSC provide?

5. 0
5,000
10,000
15,000
20,000
25,000
30,000
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Worldwide 27,543 Chain of
Custody Certificates
Asia Pacific : 7,439 (27%)
(as of 17 March 2014)

6. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Because the (hidden)
socio-economic value
of services exceeds
that of goods many
times over
Why is it so important to address ecosystem services?

7. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Values per hectare and year
estimated for various tropical forests
Source: TEEB (2010) The Economics of Ecosystems and
Biodiversity: Mainstreaming the Economics of Nature: A
synthesis of the approach, conclusions and recommendations
of TEEB.
Timber 560 $
Fuelwood 60 $
Non-timber 40-70 $
Climate regulation 800 – 2,200 $
Flood regulation 25 $
Water supply 1,000 $
Pollination 50 $
The untapped value of ecosystem services

8. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Ecosystem Services Certification provides business
value for ‘Payment of Ecosystem Services’ (PES)
1. Value to the buyer:
ES Certification verifies the provision of the
service
2. Value to the buyer and to third parties:
ES Certification confirms that application of
safeguards of social and environmental values

9. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Principles & Criteria, Preamble:
“The FSC Principles and Criteria cover
the production of wood and non-timber
forest products, conservation, protection,
ecosystem services and other uses.
Principle 6: Environmental Values and Impacts
The Organization shall maintain, conserve and/or
restore ecosystem services and environmental
values of the Management Unit, and shall avoid,
repair or mitigate negative environmental impacts.
!!
FSC certification of well-managed forests
is a strong foundation for ES certification

10. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Direct
benefits
Indirect
benefits! set-aside areas
! dead wood
" logging damage
" fire prevention
" illegal activities
+
Biodiversity benefits
! species protection
" pesticides
! natural regeneration
for
example…
Biodiversity conservation
= intrinsic component of responsible forestry

11. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Direct
benefits
Indirect
benefits
Carbon retention
= intrinsic component of responsible forestry
" harvest levels
" logging damage
! conservation area
! dead wood
! forest inventories
! fire management
! impact
assessment.
" illegal activities
+
Carbon benefits
or…

12. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
FSC does currently not provide…
BUT…
● ES specific management guidelines
● a methodology for quantifying ecosystem
services or evaluating impact of activities
● a market-based reward mechanism for ES

13. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Project Objective To pilot test expanded and enhanced
global and national environmental standards applied to
emerging markets for biodiversity conservation and eco-
systems services as an initial step for upgrading of successful
models of FSC certification
This will be achieved through establishing FSC certification as
a market tool for a wide range of ecosystem services which are
currently not adequately covered for sustainable forest
management. It thereby seeks to fill a gap in the market.
ForCES – An International Collaboration
Funded by UNEP

14. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
320,000 ha
3 pilot sites
Lead: FSC Chile
• Astorga Consultants
• Bosques Cautin
• Fundación Pumalin
• GFA
• INFOR
Chile
• Standard
development
• Market Analysis &
Business models
• Scaling up
Lead: FSC IC
• CIFOR
• RECOFTC
• UNEP
GLOBAL
57,000 ha
2 pilot sites
Lead: ANSAB
• FECOFUN
• National Trust for
Nature Conservation
• Relief International
Nepal
45,000 ha
2 pilot sites
Lead: SNV
• MARD
• RECOFTC
Vietnam
290,000 ha
3 pilot sites
Lead: WWF Indonesia
• LEI
• Ministry of Forestry
• CIFOR
Indonesia
Project locations
FSC ForCES

15. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Certification Model 1: Single Certification – FSC standards and
systems are adapted to verify the provision of ecosystem
services, the meeting of social and environmental safeguards
and make associated promotional claims.
• Biodiversity
• Water
• Soil
• Eco-tourism
Certification Model 2: Dual Certification – FSC standards are
adapted to verify the meeting of social and environmental
safeguards, but the provision of the ecosystem service is verified
by an external scheme.
• Forest carbon projects
FSC ES Certification Models

16. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
# Standards / indicators developed for ES certification
# Additional verification requirements
# New promotional claims regarding ES certification
# Viable business model(s) defined for marketing ES
# System pilot tested at 10 areas in 4 target countries
# M+E methodology for assessing long term impact
# Market sensitization for ES certification through the global
FSC Network
ForCES Expected results

17. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Indonesia:
• Harmonized certification body standards
• LEI applying for FSC standards development group
• Completed market analysis (CIFOR)
• 3 pilot sites (Lombok, East and West Kalimantan)
• PT Ratah pilot site has become FSC-certified
Vietnam:
• Standard Development Group established, chaired by the
Ministry of Forests (VN Forests)
• Controlled wood certificate is in its final stages for Houng
Sung, one of the VN pilot sites
Highlights
FSC ForCES

18. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Nepal
• Working Group established for development of FSC Indicators
• Working with more than 50 communities to identify ecosystem
services and develop benefit sharing mechanisms
Chile
• Identifying ES indicators and revising national standard
• Developing business models with communities
• Piloting Free Prior and Informed Consent (FPIC) approaches with
communities
Asia Pacific
• National standards development processes in 11 countries
• Increase in supply and demand of FSC certified products
• Support and capacity building (train the trainers, smallholder fund)
FSC ForCES

19. FSC®%F000100%%(%FSC®%Interna/onal%All%rights%reserved%%
Forest Stewardship Council®
FSC International
Charles-de-Gaulle-Str. 5
53113 Bonn, Germany
T +49 (0) 228 367 66-0
FSC Asia Pacific Regional Office
15/F, Manhattan Centre, 8 Kwai Cheong Road,
Kwai Chung, Hong Kong
T: +852 2161-9682
FSC Indonesia
Level 3A, World Trade Centre 5 (Wisma Metropolitan I)
Jl. Jend. Sudirman Kav. 29, Jakarta 12920
T: +62 21 2598 5065
asiapacific@fsc.org www.fsc.org www.forces.fsc.org