Assessments of Landowners’ Willingness to Accept Compensation for Participating in Forest Certification in Shandong, China

Abstract

Achieving sustainable management of forests in China is becoming increasingly important with more awareness and realization of the importance of forests in environmental protection. Forest certification, a market-based instrument to promote sustainable forest management, has been recognized by many countries including China. While landowners’ perception and perspective regarding this voluntary program have been well-documented in the literature, how to motivate and incentivize landowners to participate in forest certification remained understudied questions. With the face-to-face survey of landowners in Shandong, China, this study analyzed landowners’ willingness to accept compensation for participating in forest certification. Results indicated that the average accepted compensation in terms of increased timber price was about RMB 120 (~USD 17.6)/m3 to have their forests enrolled in certification programs. Results from multiple regression showed that the level of such compensation required for participation in certification was influenced by forestland size, owner demographics, certification-program requirements, and importance placed on timber production. These findings would inform policy-makers in designing compensation-related policies and establish incentive-based mechanisms to motivate forest landowners to participate in forest certification programs in China.