2. Legal and technical aspects

#### 2.1 Legal aspects

#### 2.1.1 Public interest on forest ecosystems

Forests provide a large spectrum of ecosystem services that produce wellbeing to the humanity. Consequently, many institutions currently put silvicultural management under laws and regulations discipline. The target of institutions and administrative proceedings is to safeguard the public interest on forest ecosystems [11].

The following are the two main consequences:


#### 2.1.2 Entrustment of the silvicultural intervention

Utilization intervention can take place under the regime of the following:

Operative Machinery Costs Analysis within Forest Management Implementation Frame DOI: http://dx.doi.org/10.5772/intechopen.87572


Regardless of the regime, the entrustment can be done in terms of the following:


### 2.2 Technical aspects

Evaluation processes require relevant technical information such as: (a) the forest areas in which the stand involved in the management activity is located; (b) the timber volume that should be felled; and (c) the type of marketable products that could be obtained.

### 2.2.1 Entity of the volume removal

If the stand of volume, silvicultural intervention, and felled timber are expressed in cubic meter, among them, the following relation subsists:

Regardless of how stand management is entrusted to LCs, one of the mandatory steps is to determine the related costs. In dedicated literature [4–6], this topic is solved considering the operative cost only. However, differences exist between the type of costs and the calculation method, while transaction and overhead costs and

In the 1990s, the reducing impact logging (RIL) technique [7, 8] was introduced

in the tropical region. It was defined as an "Intensively planned and carefully controlled implementation of harvesting operations to minimise the impact on forest stands and soils, usually in individual tree selection cutting" [9, 10]. The main idea was to adopt a more rational and structured method for forest exploitation. So far, new transaction and overhead cost were introduced in the forest management. More recently, according to the social and environmental relevance of forests, in many countries, forest management is strongly influenced by decisions of forest institution. The main institutions concern the: (a) introduction of forestry and environmental laws and rules; (b) introduction of administrative procedures for safeguarding forest public interest; (c) definition of roles and responsibilities for the economic subjects involved in the transformation process; and (d) redaction of the

accidental risks and promotion of high health standards to forest workers.

in Table 1, a glossary of the main controversial terms has been developed.

Forests provide a large spectrum of ecosystem services that produce wellbeing to the humanity. Consequently, many institutions currently put silvicultural management under laws and regulations discipline. The target of institutions and administrative proceedings is to safeguard the public interest on forest

• Introduction of administrative procedures, at the end of which the FLOs obtain

• Introduction of transaction costs to prepare the technical documentation

Utilization intervention can take place under the regime of the following:

The main assumptions adopted in the contribution concern economic subjects, operators, and capitals (workers, machines, material, etc.) involved in the transformation processes. Each of them must be paid for the performances provided. Technical and legal aspects are presented as background, while the core is based on the introduction of transformation steps, from being trees of the forest ecosystem to becoming market products. Timber production is one of the ecosystem services of forest ecosystems. Using the analytical approach, costs and revenue have been identified for each technical centrum of expenditure. Dedicated presentation and information have been provided on calculation method and data sources; however,

revenues are not considered at all.

Timber Buildings and Sustainability

2. Legal and technical aspects

2.1.1 Public interest on forest ecosystems

The following are the two main consequences:

the right to perform the silvicultural intervention

necessary to satisfy the administrative process

2.1.2 Entrustment of the silvicultural intervention

2.1 Legal aspects

ecosystems [11].

72

$$\mathbf{S}\mathbf{\bullet}\mathbf{V} = \mathbf{S}\mathbf{I} + \mathbf{T}\mathbf{H}$$

And solved for SI, it becomes

SI ¼ SoV � TH

where [SoV] is the volume of stand invested in the ground until cutting intervention starts; [SI] is the volume of trees left in the ground at the end of the harvesting process; and [TH] is the volume of the trees felled and transformed in market goods from the LCs. Silvicultural intervention is indirectly obtained by felling wood volume in excess, given the adopted forest management system. In other words, it is the result of the forest left in the ground after the trees cut by LCs are already in the market. The function is always verified at the time that felling activity starts.

Silviculture proposes different management methods, in relation to the autoecology of the species and forest community, as well as the land characteristics, forest state and type of the previous management, objectives pursued, and infrastructures. The characteristics of each intervention are defined in terms of the following:


Given the total volume that insists in the area just before felling activity starts, the magnitude of the intervention can be quantified in terms of volume to be withdrawn <sup>π</sup> <sup>¼</sup> TH STM or to be released <sup>ρ</sup> <sup>¼</sup> SI STM .


Intense

75

Harvester + Forwarder

Labor career Productivity Market price (VAT excluding)

Operative cost

Sources Cable yarder + processor + chipper on forwarder

Labor career

Productivity Market price (VAT excluding)

10 years

6.2–9.95 m3/h bunching, extraction, and processing by cable yarding and processor

150,000–295,000.00

 € Cable yarder and processor

10 years

 8.0–55.5 m3/h bunching, extraction, and chipping by forwarder with chipper

180,000–420,000

 € per forwarder with chipper

10 years

25–80 m3/h felling and processing

360,000–600,000

Harvester 2.2–8.5 €/t

[13–15]

 € per harvester

10 years

20–90 m3/h 130,000–380,000

Forwarder 15.0–42.0 €/t

[13–16]

 € per forwarder

Operative Machinery Costs Analysis within Forest Management Implementation Frame

DOI: http://dx.doi.org/10.5772/intechopen.87572

extraction-transport

High-tech advanced machines, developed for forest works, capable of performing combined operations (e g.,

or

bunching-extraction-transport)

 for the final assortment production.

felling-processing,

 or

extraction-processing

#### Table 2.

Orienting economic results for treatment magnitude types.


#### Operative Machinery Costs Analysis within Forest Management Implementation Frame DOI: http://dx.doi.org/10.5772/intechopen.87572

SoV ¼ SI þ TH

SI ¼ SoV � TH

where [SoV] is the volume of stand invested in the ground until cutting inter-

Silviculture proposes different management methods, in relation to the autoecology of the species and forest community, as well as the land characteristics, forest state and type of the previous management, objectives pursued, and infrastructures. The characteristics of each intervention are defined in terms of the

• Characteristics of the trees to be released with respect to the horizontal (territorial distribution) and vertical (stand stratigraphy) plane

Given the total volume that insists in the area just before felling activity starts,

STM .

Productiveness Monetary results

—high

—high

—low

Moderate Medium good

Costs Revenue Budget

Variable results

good

performance

Positive

Variable

Variable

Low Negative variable

Substantial Positive

• Characteristics of the trees to be released for environmental needs,

the magnitude of the intervention can be quantified in terms of volume to be

Slight Low Low skill Low High Low Negative

high

Intense High skill High Moderate Medium—

Intensive Intense High skill Very high Low Substantial Positive

Intermediate Medium skill Moderate Moderate

Advanced Skill High Moderate

vention starts; [SI] is the volume of trees left in the ground at the end of the harvesting process; and [TH] is the volume of the trees felled and transformed in market goods from the LCs. Silvicultural intervention is indirectly obtained by felling wood volume in excess, given the adopted forest management system. In other words, it is the result of the forest left in the ground after the trees cut by LCs are already in the market. The function is always verified at the time that felling

And solved for SI, it becomes

Timber Buildings and Sustainability

• Volume of the stems that must be released

biodiversity, and other nonproductive functions

or to be released <sup>ρ</sup> <sup>¼</sup> SI

Workers' qualification

Effective Advanced Skill Very high Moderate

Moderate Intermediate Medium skill Moderate—

Orienting economic results for treatment magnitude types.

activity starts.

following:

withdrawn <sup>π</sup> <sup>¼</sup> TH

Source: our elaboration [12, 15].

Table 2.

74

Magnitude of treatment

STM

Mechanization level


Table 3.

Level of mechanization applied in the forest yard: intense. Chainsaw is the machine common in all the levels, but reported only in this table, in order to limit the repetition.

Basing on the size of the withdrawal, it is possible to have a qualitative indication of the intervention and consequently an estimation of expected revenue (Table 2). Minor interventions, refereed to particularly small volume withdrawals, don

–5.5 t/h 15.0

€ cable yarder 80,000

€/t Chipper 3.0

–65.5 m 3

–260,000

–15.5 €/t

chipping

–17]

/h movement, load, and

€ per chipper

Description Technologically advanced machines, developed for forest works, capable of

Operative Machinery Costs Analysis within Forest Management Implementation Frame

Productivity Skidder equipped with dual arch grapple or winch 3.5

–330,000.00

Labor career 10 years 10 years

–19.50

–16] [13

–180,000

performing single operations (e g., felling or extraction or processing)

€ skidder with forestry equipment

–18.50 €/t –8.5 t/h)

high mechanization level, which determines the growing employment of workers and a modest productivity. The unit costs of the intervention are high, if compared to constant revenues, with a negative balance. Interventions with higher withdrawals allow the use of higher levels of mechanization, lower use of labor, and consequently

There are different types of forestry yard. The first classification is based on 4

6). The former is characterized by high

greater productivity. These conditions lead to a growing budget balance.

2.2.2 Types of forestry yard

Skidder + forest crane or winch

Market price (VAT excluding)

Cable

Labor career 10 years

Sources [13

Productivity Cable yarder 0.8

Operative cost Cable yarder 3.5

Sources [13

15,000

Level of mechanization applied in the forest yard: advanced.

yarder + chipper

Market price (VAT excluding)

Table 4.

77

150,000

DOI: http://dx.doi.org/10.5772/intechopen.87572

Operative cost Skidder with forestry equipment 5.6

–16]

mechanization levels (Tables 3, 4, 5, and

't need a

Operative Machinery Costs Analysis within Forest Management Implementation Frame DOI: http://dx.doi.org/10.5772/intechopen.87572


#### Table 4.

Level of mechanization applied in the forest yard: advanced.

Basing on the size of the withdrawal, it is possible to have a qualitative indication of the intervention and consequently an estimation of expected revenue (Table 2). Minor interventions, refereed to particularly small volume withdrawals, don't need a high mechanization level, which determines the growing employment of workers and a modest productivity. The unit costs of the intervention are high, if compared to constant revenues, with a negative balance. Interventions with higher withdrawals allow the use of higher levels of mechanization, lower use of labor, and consequently greater productivity. These conditions lead to a growing budget balance.

#### 2.2.2 Types of forestry yard

There are different types of forestry yard. The first classification is based on 4 mechanization levels (Tables 3, 4, 5, and 6). The former is characterized by high

Intense

76

Operative cost

Sources Chainsaw

Labor career Productivity Market price (VAT excluding)

Operative cost

Sources

Table 3. Level of

mechanization

 applied in the forest yard: intense. Chainsaw is the machine common in all the levels, but reported only in this table, in order to limit the repetition.

2.5 years

0.5–4.0 m3/h felling and processing

750–2000 € per chainsaw

Chainsaw 6.5–28.0 €/t

[13–16, 18, 20]

High-tech advanced machines, developed for forest works, capable of performing combined operations (e g.,

or Cable yarder and processor 19.00–57.00 €/t

[13–16]

bunching-extraction-transport)

 for the final assortment production. Forwarder with chipper 4.0–16.0 €/t

[13–17]

Timber Buildings and Sustainability

felling-processing,

 or

extraction-processing


Low-tech advanced machines, developed for rural works, with forestry equipment,

operations

12 years Rural tractor with bins 1.5–5.5 t/h

35,000–75,000 € rural tractor with bins

Rural tractor with bins 7.0–16.0 €/t

[13–16, 18]

Labor career

79

Productivity Market price (VAT excluding)

Operative cost

Sources

Table 5. Level of

mechanization

 applied in the forest yard:

intermediate.

 (e g., felling or extraction or processing)

 capable of performing

> 10 years

Rural tractor with chipper 1.0–15.0 t/h

55,000–145,000

Rural tractor with chipper 12.0–36.0 €/t

[13–15, 17, 19]

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Operative Machinery Costs Analysis within Forest Management Implementation Frame

 € rural tractor with chipper

 single


Table 5.

Level of mechanization applied in the forest yard: intermediate.

### Operative Machinery Costs Analysis within Forest Management Implementation Frame DOI: http://dx.doi.org/10.5772/intechopen.87572

Low-tech advanced machines, developed for rural works, with forestry equipment,

operations

Rural tractor with forest winch + forest trailer

78

Labor career Productivity Market price (VAT excluding)

Operative cost

Sources Rural tractor with bins + rural tractor with chipper

12 years Rural tractor with forest winch 1.5–5.0 t/h

40,000–100,000

Rural tractor with forest winch 10.5–26.5 €/t

[13–16, 18]

 € (rural tractor with forest winch)

12 years Rural tractor with forest trailer 2.2–7.0 t/h

50,000–120,000

Rural tractor with forest trailer 9.5–25.0 €/t

[13–17]

 € rural tractor with forest trailer

 (e g., felling or extraction or processing)

 capable of performing

 single

Timber Buildings and Sustainability


#### Table 6.

Level of mechanization applied in the forest yard: low.

investments and high productivity, with decreasing average costs by increasing processed volumes (intense – Table 3); the lower mechanization level is characterized by increasing operating costs by decreasing productivity of processes and work (low or based on animal power—Table 6). Other mechanization levels are advanced (Table 4) and intense (Table 5).

• Intermediate (mix) logging system (Table 9)

Logging systems: Extraction of full trees (TLS) (branch and top).

Each type of forestry yard is characterized by different cost dynamics:

First timber products Final timber production

Operative Machinery Costs Analysis within Forest Management Implementation Frame

Chips

Firewood

Images Timber

DOI: http://dx.doi.org/10.5772/intechopen.87572

be bunched to achieve that volume to make extraction efficient and

• Cost for activity in forest: decreasing costs by reducing the work for each tree

• Cost for bunching-extraction: increasing costs by increasing number of logs to

• Short wood logging system (Table 10)

economically convenient

Table 7.

81

The second classification can be based on the type of productions in the forest (or productions at the felling site). There are four logging system classes (Tables 7, 8, 9, and 10), such as the following:


Operative Machinery Costs Analysis within Forest Management Implementation Frame DOI: http://dx.doi.org/10.5772/intechopen.87572


Firewood

Table 7. Logging systems: Extraction of full trees (TLS) (branch and top).


Each type of forestry yard is characterized by different cost dynamics:


investments and high productivity, with decreasing average costs by increasing processed volumes (intense – Table 3); the lower mechanization level is characterized by increasing operating costs by decreasing productivity of processes and work

The second classification can be based on the type of productions in the forest (or productions at the felling site). There are four logging system classes (Tables 7,

(low or based on animal power—Table 6). Other mechanization levels are

• Full tree logging system (Whole tree harvesting system) (Table 7)

advanced (Table 4) and intense (Table 5).

Description Low technologies and trained animals

Labor career 2.5 years 18 years

Sources [13–16, 18, 20] [13–15, 18, 19]

Productivity Skidding extraction with TPR horse 0.7–

Operative cost Skidding extraction with TPR horse 16.5–

1500–6000 € per TPR horse

3.5 t/h

22.5 €/t

Level of mechanization applied in the forest yard: low.

Sources [14, 20]

/h felling and processing Team of 5–7 mules 1.0–5.5 t/h

750–2000 € per chainsaw 8000–16,000 € team of 5–7 mules

Operative cost Chainsaw 6.5–28.0 €/t Team of 5–7 mules 15.0–35.0 €/t

Chainsaw + mules

Timber Buildings and Sustainability

Productivity 0.5–4.0 m<sup>3</sup>

Market price (VAT excluding)

Horses (TPRs)

Labor career

Market price (VAT excluding)

Table 6.

80

• Tree length logging system (Table 8)

8, 9, and 10), such as the following:


3. Costs and revenue in the transformation process

Short wood system (SWS): Wood processed in final assortment in forest.

This process includes all actions that should be done by

• the logging company, who develops the technological cycle.

consultant, as in majority of cases and

The term "transformation process" refers to the whole process to get stand transformed in row timber material and allocated in the landing, in order to be sold.

Fuelwood

Operative Machinery Costs Analysis within Forest Management Implementation Frame

Chips

• the forest owner, directly by it or indirectly through performance of forest

The starting point is the decision assumed by the forest owner to perform silvicultural intervention, while the end is when final monitoring of LCs' activity is done and certification of the results is presented. This process is articulated in four

• Preliminary: aimed to acquire the permit for the silvicultural intervention to be

• Preparatory: which includes (a) the operations to transpose in the forest, the planning, and the administrative provisions; (b) the assignment of the work to

an LC; and (c) the signing of the contract between FLO and LC.

3.1 Transformation process

Table 10.

Image

DOI: http://dx.doi.org/10.5772/intechopen.87572

steps, which are as follows:

executed.

83

Logs at landing site Timber for minor use

#### Table 8.

Logging system: Tree length (TLS). Extraction of full stem.

#### Table 9.

Logging system: Intermediate system: Tree length/short wood (cut to length CTL). Extraction full stand cross cutting to multiple market assortments.

Operative Machinery Costs Analysis within Forest Management Implementation Frame DOI: http://dx.doi.org/10.5772/intechopen.87572

Table 10. Short wood system (SWS): Wood processed in final assortment in forest.
