at a better price, given relative equal quality. PRINCIPLE #5: BENEFITS FROM THE FOREST Forest management operations encourage the efficient use of the forest’s multiple products and services to ensure economic viability and a wide range of environmental and social benefits. C5.1. Forest management should strive toward economic viability, while taking into account the full environmental, social, and operational costs of production, and ensuring the investments necessary to maintain the ecological productivity of the forest. Indicators Verifiers, Examples, and Notes Evaluation Team Notes Conformance (C, NC or NA) 5.1.1. The FME shall have Verifiers: sufficient financial capital Financial planning and human resources to documents and implement the projections management plan, over Business plans the long run (at least one Accounting system rotation in the case of plantations). 5.1.2. The FME shall conduct a long-term financial projection (e.g., budget) that includes income and environmental, social, and operational costs. The assumptions included in the budget or financial model must be duly substantiated. 5.1.3. The FME make Verifiers: adequate investments of Annual budgets for capital, machinery and planning and programs human resources so as to Field observation maintain or restore the productive capacity, ecological integrity and socio-economic profile of the FMU. 5.1.4. Commercial (income Verifiers: Annual or generating) activities are annual balance sheets or financially viable, given other records that show the short and medium-term costs of management market conditions and activities conducted, as well costs. as the income received. 5.1.5. If the FME has Note: External funding received external funding includes, but is not limited to,
at a better price, given relative equal quality. PRINCIPLE #5: BENEFITS FROM THE FOREST Forest management operations encourage the efficient use of the forest’s multiple products and services to ensure economic viability and a wide range of environmental and social benefits. C5.1. Forest management should strive toward economic viability, while taking into account the full environmental, social, and operational costs of production, and ensuring the investments necessary to maintain the ecological productivity of the forest. Indicators Verifiers, Examples, and Notes Evaluation Team Notes Conformance (C, NC or NA) 5.1.1. The FME shall have sufficient financial capital and human resources to implement the management plan, over the long run (at least one rotation in the case of plantations). Verifiers: Financial planning documents and projections Business plans Accounting system 5.1.2. The FME shall conduct a long-term financial projection (e.g., budget) that includes income and environmental, social, and operational costs. The assumptions included in the budget or financial model must be duly substantiated. 5.1.3. The FME make adequate investments of capital, machinery and human resources so as to maintain or restore the productive capacity, ecological integrity and socio-economic profile of the FMU. Verifiers: Annual budgets for planning and programs Field observation 5.1.4. Commercial (income generating) activities are financially viable, given short and medium-term market conditions and costs. Verifiers: Annual or balance sheets or other records that show the costs of management activities conducted, as well as the income received. 5.1.5. If the FME has received external funding Note: External funding includes, but is not limited to, annual
DRAFT_FM_STN_SCS_InterimStandard_Fiji_V1-0_051712.docx