Policy incentives and investment barriers to fuelwood plantation development in the Philippines

Woodfuels sush as firewood and charcoal continue to be used by households for cooking and by commercial establishments such as bakeries, restaurants/eateries, barbecue/grilled food vendors, and food processing, industries. Woodfuels are more affordable than electricity, liquefied petroleum gas (LPG), and kerosene are among other energy resources. Likewise, rural households, get fuelwood from the trees in the backyards, farms or nearby forest using damaged wood, branches, trees tops, and other logging wastes and agricultural residues. Estimated average annual per capita consumption is 400-700 kg/capita/year. The 2016 forestry master plan estimates a total of planting area of 372,228 ha is required to supply total consumption by 2031. There are many policies and incentives for investments in to supply total consumption by 2031. There are many policies and incentives for investments in fuelwood and biomass plantation development. Among the barriers to increased or sustained investments are unstable policy environment (conflicting, fragmented, changing different interpretations at field level, etc.), lack of database, lack of information on available areas for plantation development, difficult to access incentives and financing programs, fuelwood prices lower than those of development, difficult to access incentives and financing programs, fuelwood prices lower than those of round wood products, and lack of national strategy for fuelwood development. Recommendations to address these barriers include development of database on fuelwood/biomass plantations, identification of available areas for plantation development, information campaign on available areas and incentives for investors, streaming and harmonization of regulatory policies, deregulation, and strengthening of forest protection thru incentivizing local initiatives.