1. © FSC All rights reserved Forest Stewardship Council ® 04 September 2013 1 Consultation on procedure for National Risk Assessment development Webinar 04 th September 2013

2. Forest Stewardship Council ® © FSC All rights reserved 2 Background: Revision of the procedure for National Risk Assessments development is a part of the Controlled Wood (CW) revision process The Controlled Wood revision aims to strengthen CW requirements as per Membership Motion 51 Read more …

3. Forest Stewardship Council ® © FSC All rights reserved 3 Main issues related to implementation of Motion 51: National Risk Assessment development Revision of standards related to CW system Analysis of Risk Assessments developed by certificate holders (company - Risk Assessments) Phase out of company - RAs until 31 Dec 2014

4. Forest Stewardship Council ® © FSC All rights reserved 4 General timeline for the process Read more …

5. Forest Stewardship Council ® © FSC All rights reserved 5 Document July 13Aug 13Sep 13Oct 13Nov 13Dec 13Jan 14Feb 14Mar14Apr 14 Advice notes FSC-PRO-60-002 &NRA framework FSC-STD-40-005 FSC-STD-30-010 Planned and current consultation ongoing planned

6. Forest Stewardship Council ® © FSC All rights reserved 6 Where is the National Risk Assessment in the current system? requirements not met requirements met If unspecified risk If low risk Material is controlled Material CANNOT be used Buy FSC CW from supplier certified according to FSC- STD-40-005 Buy FSC CW from supplier certified under FSC-STD- 30-010 Verify if material is controlled on one's own Already controlled Check National Risk Assessment OR develop Risk Assessment* Material is controlled Field audit of the forest where material is sourced from Steps for verification of material according to the current requirements of the standard FSC-STD-40-005 Company Evaluation of Controlled Wood (V 2-1) by certificate holder * Only until 31 December 2014

7. Forest Stewardship Council ® © FSC All rights reserved 7 After 31 December 2014 NRAs will become the only source of risk determination

8. Forest Stewardship Council ® © FSC All rights reserved 8 Why the normative documents are being revised? NRA development is limited in many important countries in terms of CW sourcing due to the lack of FSC Network Partners Current indicators in NRAs contents do not address all elements necessary for robust risk determination District concept is difficult to apply Requirements are not consistent enough and difficult to interpret

9. Forest Stewardship Council ® © FSC All rights reserved 9 Main changes proposed in FSC-PRO-60-002 The Development and Approval of Controlled Wood National Risk Assessments New option for the development of National Risk Assessments in countries without FSC Network Partners Elimination of the Annex 2 of FSC-STD-40-005 by introduction of the addendum FSC-PRO-60-002b – the NRA Framework (shift from Company RAs to NRAs) Clarification that NRAs must provide risk specification for all 5 categories of Controlled Wood Standardization of National Risk Assessments

10. Forest Stewardship Council ® © FSC All rights reserved 10 The goals of FSC-PRO-60-002b - The National Risk Assessment Framework Establishing a globally-consistent, chamber-balanced, and credible approach for assessment and designation of risk associated with the five controlled wood categories Providing stakeholders a transparent process for contributing input to risk designations in areas where they live and work Providing National Offices and stakeholders mechanisms for appropriate and effective control measures to mitigate the risk Eliminating redundant efforts of each certificate holder assessing risk conditions for the same districts of origin Where risk not be mitigated by agreed controlled measures the only option to source wood from such an area is if it FSC certified.

11. Forest Stewardship Council ® © FSC All rights reserved 11 Risk assessment in practice (1): To assess the risk, the following steps should be taken for each CW category: 1.Baseline assessment 2.Research 3.Spatial scale determination 4.Evaluation of conformance 5.Risk specification 6.Establishment of control measures

12. Forest Stewardship Council ® © FSC All rights reserved 12 Risk assessment in practice (2): New category of SPECIFIED RISK SCALE of assessment adjusted to indicators (not only geographical approach) CONTROL MEASURES CONCEPT Control measures are the actions that an Organization sourcing wood from an area with specified risk shall take in order to mitigate the risk of sourcing material from unacceptable sources.

13. Forest Stewardship Council ® © FSC All rights reserved 13 Risk assessment in practice (3): Area 3.III (Regionally and nationally significant large landscape-scale forests are present; available sources point out a threat to integrity of this forests: for example threat from road construction plans and industrial scale logging Exemplary control measures for specified risk: Evidence that forest managers are not sourcing from these areas or FSC certified material only n suppliers Area 3.II (Regionally and nationally significant large landscape-scale forest effectively protected by national regulation; note: assessment of law enforcement required) Area 3.I (No globally, regionally or nationally significant large landscape-scale forest) Area 3.I (Appropriate inventory of threatened ecosystems confirming no presence of threatened ecosystems and habitats outside of effective protected areas in the CW supply area) Area 3.II (Appropriate inventory of threatened ecosystems and habitats has been made and forestry posing threat to their survival refuges) Spatial and functional scale within the area under assessment, for example: Wood sourced from outside of identified ecosystems and their protection zones– low risk Wood sourced from identified ecosystems and their protection zones (if logging is not forbidden) – specified risk; Exemplary control measures for specified risk: Surveys identifying areas where threatened ecosystems and habitats are found and not found have been considered in forest management plans and e.g. set aside areas have been identified which ensure that no additional threat to the ecosystem and habitat survival will occur as confirmed by stakeholder and experts (who have been accepted by stakeholders). Low Risk Specified Risk

14. Forest Stewardship Council ® © FSC All rights reserved 14 Risk assessment in practice (4): Template table to document steps RequirementsGuidanceSources of informationThresholdsRisk assessmentControl measures Information provided by the NRAF E.g. Indicator 1.1.NRAF guidance: Legislation covering land tenure rights, including customary rights (...) NRAF examples: www.(....)gov.com www.(...).org info.fsc.org....... NRAF thresholds (e. g.) 1-international sources confirm law enforcement (?); 2-National/regional sources confirm law enforcement (?); To be determined NRAF examples: Stakeholder consultation required when sourcing from area (requirements for consultation specified) Process steps Baseline assessment Research Baseline assessment Research Spatial/functional scale Baseline assessment Research Spatial/functional scale Baseline assessment Research Spatial/functional scale Evaluation of conformance Evaluation of Conformance Risk assessment Control measures Final NRA table (outcomes) Indicator 1.1.Act of law No ……. Ministry Decree ….. Local Law Decree ……. www.(....)gov.com www.(...).org info.fsc.org Stakeholder consultation 1- International sources confirm law enforcement; 2- National/regional sources DO NOT confirm law enforcement SPECIFIED RISK E. g.: Sources confirm that customary rights are not respected in the private forest sector Stakeholder consultation according to FSC-STD-30-010 Engagement of local experts knowledgeable about customary rights

15. Forest Stewardship Council ® © FSC All rights reserved 15 General changes in Controlled Wood requirements: Current - focus on regional level and general sources for risk assessment Global reference indices for all categories Regional/national criteria for risk determinations for all categories Proposed – focus on local level and alignment with P&C V 5-0 Risk assessment on scale appropriate for each category Gathering of detailed data for each category Change of the system: MAJOR

16. Forest Stewardship Council ® © FSC All rights reserved 16 Risk assessment in practice: CATEGORY 1 – Illegally harvested wood Full implementation of FSC legal framework (references to Voluntary Partnership Agreements) Alignment with FSC Principle 1 (P&C V 5-0) As an effect - 19 indicators instead of 4;

17. Forest Stewardship Council ® © FSC All rights reserved 17 Risk assessment in practice: CATEGORY 2 – Traditional and human rights Concept of Free, Prior and Informed Consent Reformulation of the indicators Alignment with Principles 2, 3 and 4 of revised P&C Elaboration of importance of stakeholder and expert consultation Read more…

18. Forest Stewardship Council ® © FSC All rights reserved 18 Risk assessment in practice: CATEGORY 3 – High Conservation Values Detailed scale of assessment Assessment for all HCV Categories Concept alignment with FSC Principles & Criteria

19. Forest Stewardship Council ® © FSC All rights reserved 19 Risk assessment in practice: CATEGORY 4 - Conversion Scale of conversion assessed at MU level Indicators addressing legality and economic drivers to conversion NRA will need to develop appropriate CM for conversion

20. Forest Stewardship Council ® © FSC All rights reserved 20 Risk assessment in practice: CATEGORY 5 – Genetically Modified Trees Concept taken from current Annex 2 Indicators and scope under discussion Discussion around forest / wood approach NOTE: requirements for this category are still discussed between the Technical Committee members

21. Forest Stewardship Council ® © FSC All rights reserved 21 How far is the proposed documentation final (1) In the documentation you can find several sections that are still being discussed: FSC-PRO-60-002 The Development and Approval of Controlled Wood National Risk Assessments: -Entity responsible for NRA development -Geographical scope of the NRA -Complaints mechanism in the NRA

22. Forest Stewardship Council ® © FSC All rights reserved 22 How far is the proposed documentation final (2) In the documentation you still can find several sections being discussed: FSC-PRO-60-002b The National Risk Assessment Framework: -Option for sourcing material from areas not covered by the NRAs -Set of conformance thresholds for Illegally harvested wood category -Contents of genetically modified trees category

23. Forest Stewardship Council ® © FSC All rights reserved 23 What do we expect from you? The main goal associated with the consultation is to seek stakeholder feedback, especially on questions or notes included in documents.consultation FSC Network Partners and working groups, as well as CoC- certified operations are especially encouraged to provide their comments.

24. Forest Stewardship Council ® © FSC All rights reserved 24 Deadlines The deadline for comments is 15 September 2013 – English version 15 September 2013 – Spanish version We are counting on your input!

25. Forest Stewardship Council ® © FSC All rights reserved 25 What will the next step be in terms of NRAs? Stakeholders feedback analysis 2 nd draft development and 2 nd round of consultation (planned to be launched in October 2013)

26. Forest Stewardship Council ® © FSC All rights reserved 26 What will the next step be in terms of CW revision? Consultation on CW standard for CoC/CW-certified Organizations: FSC-STD-40-005 Company evaluation of Controlled Wood Consultation on CW standard for FM/CW-certified Organizations: FSC-STD-30-010 CW Standard for Forest Management Enterprises Read more …

27. Forest Stewardship Council ® © FSC All rights reserved 27 Who is working on the revision? The chamber-balanced Controlled Wood Technical Committee: Social Chamber: Martha NunezMartha Nunez, Independent consultant Peter WoodPeter Wood, Independent consultant Dwi Rahmad MuhtamanDwi Rahmad Muhtaman, Socio-environmental consulting Economic Chamber: Anders HildemanAnders Hildeman, IKEA Steward BeggSteward Begg, SCA Kevin OGradyKevin OGrady, Pinnacle consulting Environmental Chamber: Judy RodriguesJudy Rodrigues, Greenpeace Sean CadmanSean Cadman, The Wilderness Society Miguel Pacheco GanozaMiguel Pacheco Ganoza, WWF Expert Advisors: Sarah McKaySarah McKay, SCS Peter FeilbergPeter Feilberg, NEPCon Gary DodgeGary Dodge, FSC US PSU Team

28. Forest Stewardship Council ® © FSC All rights reserved 28 For more information about Controlled Wood system and its revision see: Controlled Wood Controlled Wood revision

29. Forest Stewardship Council ® © FSC All rights reserved Forest Stewardship Council ® FSC International GmbH Charles-de-Gaulle-Str. 5 53113 Bonn, Germany T +49 (0) 228 367 66-0 F +49 (0) 228 367 66-30 www.fsc.org © FSC All rights reserved