Support a new way of doing sustainable forestry at Pack Forest: ecosystem services.

Pack Example

Details

Summary: University of Washington's 4,300 acre working forest seeks revenue to continue the tradition of training students & demonstrating sustainable forestry in the face of budget cuts.

Open: 6:15 AM on 5/1/2010 to 8:30 PM on 6/30/2020 Pacific Daylight Time
Location: Eatonville, WA
Type of Auction: Public

Notes: 
  • 1 Withdrawls are allowed and bids are not final until the auction is closed.
  • 2 Communication between bidders is facilitated.
  • 3 Reserve prices for management portfolios ("bundles") are disclosed.

Latest Activity

  • lwrogers bid $50 on Bundle 2 at 11:34 AM on 7/29/2014
  • sandor bid $10 on Bundle 28 at 5:23 PM on 12/3/2013
  • lwrogers bid $100 on Bundle 2 at 7:26 PM on 7/18/2011

Campaign Details

Summary

ECOSEL is an auction mechanism that allows individuals or organizations to bid for forest ecosystem services that could be produced on a discrete piece of forestland over a specific period of time.

HOW DOES ECOSEL WORK?

I. ECOSEL uses optimization to indentify the most cost-efficient management plans that can lead to bundles of forest ecosystem services such as carbon sequestration, viewshed or old-forest habitat preservation. The desired services are defined by the potential buyers in agreement with the seller (the forest landowner).

As an example, Figure 1 shows the tradeoffs that are associated with producing various combinations of old-forest habitat and carbon sequestration. Each bundle is associated with a spatially-explicit management plan, such as the one shown on Figure 2.

II. Once a set of optimal bundles are identified, ECOSEL calculates the opportunity costs that the landowner must incur if s/he wants to implement the associated management plan. These opportunity costs, which are calculated based on forgone timber revenues and development rights, are then used as reserve prices to solicit bids. The management plan with bids whose aggregate value exceeds the associated reserve price the most would be implemented (Figure 3). Successful bidders can therefore influence how a piece of forestland is managed (or not managed) over a period of time.

THE AUCTION

ECOSEL auctions will be administered on-line where potential buyers of forest ecosystem services can set up accounts, analyze available options and observe how others bid before they place their own offers (collusion may be advantageous). The bids are sealed during the final stage of the auction to maximize final participation.

Once a winning bundle is identified, the associated management plan serves as a contract for the sellers and the buyers.

Option Comparisons

PlanSummaryReserve PriceAll Bids
Bundle 1Maximum timber revenue$7.00$43.00
Bundle 2Balanced with an emphasis on revenue$0.00$53.00
Bundle 28Balanced with an emphasis on timber$26.00$20.00
Bundle 3Create old forest while maximizing timber revenue$8.00$29.00
Bundle 31Balanced with an emphasis on old forest$29.00$32.00
Bundle 43Mazimizes carbon sequestration and old forest$41.00$13.00
TDRForegone Development Rights$7.00$0.00
 

This Auction is Open for Bidding