Optimality of continuous cover vs. clear-cut regimes in managing forest resources

Abstract

Optimization models on continuous cover forestry are complicated and typically incompatible with rotation models. This dichotomy is theoretically unsatisfactory and makes the choice between clearcuts and continuous cover forestry vague. We present a theoretically sound and empirically detailed generalized setup with an optimal clear-cut regime (or even-aged management) and optimal continuous cover regime (or uneven-aged management) as special cases. It includes a size-structured growth model, variable and fixed harvesting costs, and allows for the completely flexible optimization of harvest timing in both regimes. Flexible harvest timing becomes essential when optimizing the transition from clear-cut regimes toward continuous cover forestry. The model is applied to Norway spruce (Picea abies (L.) Karst.) and solved as a dynamic mixed-integer problem. Low or moderate site productivity, an interest rate above 2%, and a high artificial regeneration cost support the optimality of continuous cover forestry. In its most general form, the optimal clear-cut regime does not exist when the continuous cover regime is globally optimal, and when it exists, the rotation period lengthens with interest rate. The optimal choice between forest management regimes may depend on the initial stand state and whether the naturally regenerated seedlings are utilized in solutions with clearcuts. Maximizing sustainable yield favors clearcuts.