Abstract: | This study analyses the effectiveness of the European Community's Environmental Assessment Directive of 1985 in its application in the U.K. forestry sector. It assesses the applicability of the regulations in the provision of the public and private outputs of forestry. The environmental assessment regulation may contribute to the provision of the optimal amount of these public and private goods in theory, but it is concluded that, in common with initial results of the environmental assessment process in other sectors, the regulations do not make this contribution in practice in the forestry sector. The main deficiencies of the environmental statements examined were the failure to identify the significant potential impacts; to present alternative project sites and design features; and the erroneous measure of particular externalities. The environmental assessment process was also found to be unsatisfactory in the lack of public accessibility and consultation. The need for revision of the process in the forestry sector is highlighted. |