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Economic evaluation of forest drainage and fertilization in northern Ontario peatlands with an investment decision model

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Abstract

Drainage and fertilization of an existing peatland black spruce (Picea mariana (Mill.) B.S.P.) stand and 24 possible methods of planting a clear-cut area near Cochrane, Ontario were evaluated by means of a recently developed forestry investment decision model, “FIDME”.

Results indicate that, on the basis of the cost estimates used and assumptions made, drainage of the existing stand is the most economical treatment if it can reduce the rotation age by 30 years or more. Drainage combined with fertilization is the second best alternative if this treatment can reduce the rotation age by 40 years or more. Fertilization of the undrained site ranks a distant third, and then only if it reduces the rotation age by 10 years; otherwise, it will be uneconomical to apply.

In the case of the clear-cut area, planting bare-root stock on a mechanically prepared but undrained site without weed control ranked first among the 24 alternatives considered; the same treatment, but with weed control included, ranked second. Planting containerized seedlings on a mechanically prepared but undrained site with weed control ranked third, followed by planting bare-root stock on a mechanically prepared and drained site with weed control. In contrast, planting containerized seedlings on an unprepared site and with no weed control ranked as the least cost-effective method considered.

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Payandeh, B. Economic evaluation of forest drainage and fertilization in northern Ontario peatlands with an investment decision model. New Forest 2, 145–160 (1988). https://doi.org/10.1007/BF00029985

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