This document summarizes concepts and lessons learned from timber legality assurance systems. It discusses the origins of the EU's Forest Law Enforcement, Governance and Trade (FLEGT) Action Plan, which aims to curb illegal logging by strengthening timber legality assurance and licensing for exports. Key elements of legality assurance systems include a legality definition, supply chain controls, verification systems, and independent auditing. Lessons learned include maintaining stakeholder involvement, managing complexity, prioritizing implementation after negotiations, building capacity, and addressing evolving issues over time. FLEGT licensing of legal timber is the goal, but governance reforms along the way also benefit producer countries.

1. Approaches to Timber Legality
Assurance
Concepts and
Lessons Learnt
4th Sub-regional TLAS Workshop
Andy Roby
Vientiane, October 2014

2. The Presentation
1.The Origins of FLEGT
2.Legality Assurance
3.VPAs – some basics
4.Lessons learnt

3. Who am I?
 Andy Roby
 Tropical forester (Bangor,
Oxford), Henley MBA, 30
years working in international
development (Africa, Latin
America, Asia) including 5
years in the UK timber trade
 Current work: since 2008 on
the Indonesian timber
licensing scheme to ensure
only legal timber is exported
to Europe – the so-called
“FLEGT VPA process”

4. 1. Illegal Logging:
The nature of the challenge
 Multiple forms – illegal logging can involve forestry, environmental,
economic and social infractions
 No single definition – legality is defined in accordance with national
legislation
 Many scales – from small to industrial or large scale
 Many perpetrators – from local communities to highest level of
government
 Many agencies contribute to enforcement – police, customs, forest
rangers, border guards, etc.
 Interaction between illegal timber and other trafficking
 Consumers remain largely unaware that what they are buying may
be illegal

5. Where FLEGT really started

6. Timber legality – a personal
journey
• Pre-1998: See No Evil, Hear No Evil, Speak No Evil
• G8 Birmingham meeting: “illegal logging, corruption”
brought the G8 Action Plan on Forests
• Danish and UK 2000 timber procurement policy
established the market factor as a driver
• Bali 2001 Declaration - the partnership between
consumers and producers
• In 2003 Indonesian Forestry Minister Prakosa’s
challenge - “stop buying our illegal timber”

7. February 2003

8. The story continued….
• Greenpeace “Partners in Crime” campaign 2003
• targeted the UK government
• hit the trade
• the trade responded
• And then we started to understand the power of the market
• In 2003 the EU took the East Asia FLEG process, added the “T” and
the FLEGT Action Plan started up
• In Indonesia civil society started work on a legality definition
• UK, NL and Belgium traders joined together to do the Timber Trade
Action Plan; cleaning up supply chains in response to the Greenpeace
campaign
• FLEGT Regulation in 2005 gave us the VPA and in 2007 the first
countries agreed to start negotiations

9. FLEGT Concepts
• Timber legality definitions;
• Timber legality systems;
• Independent Monitoring
• Credibility
• Something for everyone
• The importance of the market driving the process
• If one constituency doesn’t want it, it won’t work
• Legality assurance….

10. 2. Legality Assurance
• The confidence that what you are buying is legal and will
not
• ruin your reputation
• keep you up at night
• cost you a fine or
• put you in jail
• But what is legal timber?
and
• How do you know if the timber is legal?

11. VPAs require a Timber Legality Assurance
System or TLAS
1. Timber Legality definition (country specific). – what does
legal timber look like
2. Supply chain control system (traceability system) – making
sure no illegal timber gets into your products
3. Verification System (both supply chain & legality). – making
sure the systems are working properly
4. Timber Licensing (Issuance of FLEGT Licenses) – the bit
that EU customs will check when the shipments come in
5. Independent Audit of the entire TLAS – for credibility and to
make sure the whole VPA is working well.

12. 1a) Key Elements of the Legality
Definition
• Key bits of national legislation – these tell
you the timber is legal
• Derived from a multi-stakeholder process
with wide consensus

13. 1b) Legality Definition
Every legality definition should cover:
i. rights to harvest;
ii. forest management including -
 community rights and welfare;
 environmental legislation;
 labour, health & safety policies;
iii. taxes, import–export duties, royalties and fees;
iv. respect for tenure and use rights;
v. trade and export procedures.

14. 2a) Supply Chain Control System
Routinely ensures the integrity of
timber product flows from A) the stump
or the point of import to B) the point of
export by using traceability verification
methods.

15. 2b) Basic Supply Chain Control Systems
RECONCILIATION
Transport Forest Processing Export
Border entry
point
VALIDATION
Verification Verification Verification Verification
Trade
Verification

16. 3a) Verification System
1. Verification system ensures compliance with –
i. the elements of the Legality Definition, and
ii. the supply chain control system.
2. Verification is a systematic process based on
documented procedures and protocols defining
methodologies, frequencies and different
people/administrations involved for cross-checking and
verifying compliance.
3. Essentially defining the “who, what, when, where &
how”

17. 3b) Verification System
4. Extends beyond verification checklists & includes entire
administration, execution of the system, resources
needed, non-compliances as well as complaint
procedures (others).
5. Approaches to verification:
i. Shipment-based: Compliance verified per
consignment.
ii. Operator-based: Operator’s internal control systems
verified periodically to ensure compliance with LD.
iii. Hybrid systems: possibility exists.

18. 4) Licensing
1. Definition : licenses issued on the basis of evidence of legal
compliance provided by verification systems.
2. Under the FLEGT regime, one FLEGT License should be issued for
each shipment exported to the EU.
3. Issued by Licensing Authority (independent from verification
body/agency) established / assigned in VPA partner country.
4. Before “going live”, TLAS will be assessed independently against
preset criteria provided in a specific VPA annex.
5. Once FLEGT Licensing system is operational in a VPA country, EU
border control agencies will only allow shipments of timber products
(covered by the VPA) from that Country if they are covered by
FLEGT licenses.

19. Imported timber, FLEGT
licensing & EUTR
European Union
Member States
Operating VPA
country
Non VPA
country
Non VPA
country
Non VPA
country
Operating VPA
country
Non VPA
countries
Timber flows under FLEGT
Licensing (EUTR)
Timber flows under due
diligence requirements
(EUTR)
Timber flows under
recognised mechanism
determined in VPA country

20. 5) Independent Audit
1. Continuous monitoring TLAS & its implementation in order
to inter alia identify possible system weaknesses & suggest
improvements - irrespective of who carries out verification.
2. Reports the monitoring results to the Ministry in charge of
forests and the Joint Implementation Committee (JIC).
3. Report is published for the general public.
4. Clear independence from organisations and individuals
involved in management of LAS
 A transparent mechanism for appointment of the Third
Party Monitor.
5. Opportunity for civil society involvement and critique.

21. Interaction between the 5
elements of Timber Legality
Assurance Systems
(TLAS) 5. Independent Audit
3. Verification of
compliance for operators
and timber products
1. Legality
Definition
2. Timber
Supply chain
4. Issuing of
FLEGT Licenses
 

23. 4. Lessons Learnt (1)
1. Loss of Momentum
 “Negotiating is very exciting. Implementation not so exciting”
 Transition plan (clarification of roles, priorities, funding).
 Regular inter-agency (National) & inter-party meetings (JIC).
 Maintaining stakeholder involvement (Industry, civil society, etc).
2. Lost in Complexity
 “One size fits all, not all shoes fit”.
 Development can be complex – keep it realistic, practical and
implementable.
3. Maintaining Stakeholder involvement throughout
 Coordinated support, acceptance and balanced process (transparency
and accountability).

24. 4. Lessons Learnt (2)
4. Losing sight or focus
 Prioritising one aspect (i.e traceability) & neglecting adequate in
parallel processes needed for VPA implementation.
 Uneven capacities to address the different activities.
 Too much focus on tools and technology.
 Shifting attention and dividing resources to other sector initiatives.
5. Capacity Building & Resources
 More complexity means higher costs.
 Funding options (sustainability of implementation).
 Introduce new requirements : steep learning curve for all actors.
6. Dealing with contemporary issues
 Domestic markets, imports, timber in transit and more...

25. Concluding Remarks
FLEGT licensed timber is the goal but many useful governance reforms
come along the way
The market is key – without the private sector would not have got
interested…..
It takes time, so you need intermediate benefits to keep stakeholders
engaged
VPA’s may not be the only answer but they are a powerful tool
It’s a big job and it’s complicated but there are big rewards
Civil society inputs crucial for credibility and restoring trust/belief

26. Thank You