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5. CONCLUSION

A strive towards sustainable Ghana by the year 2020 should be promoted with maximum care as this paper comes to demonstrate. Historically, forest management planning has always recognized the multiple functions of forests, but with coming into force of equity in the environmental space, the political significance of forest management objectives other than sustained or increasing timber yield per hectare may have greatly increased. To ensure, "good forest management", under the Sustainable Ghana, it requires that:

Adverse environmental impacts associated with forest use must be minimized

Sustained yields of removed forest products must be secured

Legal and customary rights to land and forest products must be secured

Cultural and religious traditions related to forest areas must be respected

The economic net that benefits from forest use must be subject to a "reasonable" distribution

Appendix 1

Box 2 Log Requirement For Domestic Processing

The study on the Supply of Sawn timber for local processing has indicated that there are about 104 active sawmills and 26 bush mills throughout the country. Their combined capacity totals 1,320,404 m³ in terms of log input, with most of the sawmills running on a - two (2) eight-hour shifts per day- system.

Veneer and ply mills have capacities total 390,000 m3 on a - two (2) eight-hour shifts- per day base (TEDB). Their log requirements could go up by an additional 20% - 30% if they were to run on three (3) shifts per day, which hopefully would be the situation in the immediate future as the economy improves.

Therefore, the industry's current annual requirement may be estimated at 1,710,400 m3 but has the potential to reach 2 million m3 if all primary/secondary processing mills (sawmills, veneer mills and ply mills) run on three (3) eight-hour shift per day.

It is also estimated that illegal chainsaw operators are responsible for an additional 803,350 m3 annually, which are Sawn timber requirements.

Thus, the total industrial log requirement for the local processing may be estimated at least 2.5 million m³ annually. This is 150% more than the prescribed Annual Allowance Cut of 1 million m3.

The above scenario indicates clearly that the timber industry is presently characterized by excess capacity in terms of log requirement vis-à-vis the Annual Allowance Cut that will ensure the sustainable utilization of the timber resource.

How much of Ghana’s forest will remain in the year 2020 assuming there are no great changes in present policy?

In order to give a quantitative description of the deforestation process in Ghana, Anderson and Ortsin (1996) developed a regression model to estimate the future size of the intact forest area. Using this model as a proxy, the future size of the intact forest is estimated under this study.

Box 3 Multiple regression model for predicting future size of intact forest cover in Ghana

The model assumed that the relationship is linear and the equation is defined as:

Y = b0 + b1X1 + b2X2 + b3X3 + b4X4 + b5X5 + b6X6 + b7X7 + b8X8 + b9X9 + b10X10 + b11X11 + b12X12 + ei

Where Y is the level of intact forest cover,

b0 a constant value;

X1 Administrative efficiency of the Forest Services Division, which is measured by the ratio of the total stumpage collected against the potential stumpage that ought to have been collected over the period under review.

X2 Net forest revenue collected. This is the difference between revenue collected by the Forest Services Division and the expenditure they incurred during each financial year for the period under review.

X3 Total national population. As the population increases, pressure is put on the forest resources as people struggle to make ends meet.

X4 Literacy level. This is based on the axiom that the higher the level of education, the lesser is the degree of deforestation since the elite are always aware of the consequences of deforestation.

X5 Reforested lands. This relates to the total area that has been successfully put under afforestation either through enrichment planting or artificial regeneration.

X6 Forest offences: During each year people are arrested for the violation of forest laws and regulations. The level of forest offences is a direct measure of the efficiency of government policies in dealing with the problem of deforestation.

X7 Timber production. This measures the extent to which logging operations contribute to deforestation.

X8 Fuel and charcoal production. Demand for fuel wood puts a stress on the forest and is considered as one of the contributory factors of deforestation.

X9 Net national per capita income is a measure of the relative poverty of the population. It is said that the level of income determines how people utilize the natural resource.

X10 Volume of log exports. This is a measure of the extent to which the forest resources are being creamed for export.

X11 Forest area destroyed by bush fire. Bush fire has become an annual ritual and its effect is detrimental to the forest resources.

X12 Log price index. This is an external factor, which directly exert pressure on the forest resources.

ei Represents the effects of other variables excluded from the relationship.

From the regression analysis, the model was defined as:

Y = 971.2 + 0.194X1 – 0.28X2 + 511.8X3 + 0.052X4 + 0.299X5 + 0.236X6 + 0.136X7 + 1.39X8 + 0.577X9 – 23.1X10 – 2.824X11 – 0.559X12ei

 

 

 

TUC System Key Features -1

Objectives

"Whereas the Minister acting on behalf of the President is responsible for the nation’s forest and timber resources and holds all right to timber trees on all other land in trust for the stools, families or individuals concerned with the objective of maintaining environmental quality and perpetual flow of benefits to all segments of society; and to assist with continuity of timber supply for the Contractor and to facilitate the development of an efficient timber industry, the Minister wishes to grant and the Contractor wishes to acquire the Timber Rights as hereinafter defined as subject to the terms, stipulations and conditions set out in this Agreement."

Rationale:

The above objectives cannot be achieved through the system of concession leases as it operates in Ghana (1900-1998). A contract based system will allow the government to set terms and conditions for timber harvesting in accord with the Forest Policy and to demand performance.

Rights:

" The sole and exclusive right to fell, cut and remove all timber trees in the Contract Area subject to possession of a valid Felling Permit issued by the Forest Services Division."

" No timber rights shall be granted in respect of land with forest plantations or land with timber grown or owned by an individual or group.

"The Contractor has NO right to fell, cut or remove any timber tree standing within farms or cultivations without the prior permission of the farmer or cultivator except in accordance with the Logging Manual and the Social Responsibility Agreement."

The TUC does not devolve resource management to the Contractor nor does it grant the right to harvest non-timber forest products – these remain the customary rights of the resource owners.

Payments:

An annual Contract Area Rent per hectare

A stumpage fee for every timber tree cut or felled in the Contract Area (a portion is paid to the stool as royalty, the remainder is retained by the government to fund resource management).

Awards:

Under the concessions system this was discretionary. The 1994 Policy advocated a move to award of timber rights on the basis of competitive (financial) bidding, following pre-qualification. This principle was discarded by Cabinet following intense lobbying by the indigenous timber companies who argued that financial bidding would allow foreign (essentially Lebanese) companies to obtain access to "their" resources. The new Act provides for award through a hazy (non financial) competitive procedure based on the applicant proposals for provision of social amenities and reforestation.

 

 

TUC System Key Features - 2

Identification of TUC areas:

Inside forest reserves, the Forest Services Division identifies TUC areas. Areas suitable for timber production are the residual areas of healthy forest remaining after protection has been provided for. The areas are identified in the forest reserve management plans. Outside reserves, the FD identifies well-stocked potential TUC areas in consultation with landowners who have right of veto.

Limitations on end use:

Earlier insistence on processing capacity has been dropped. Contracts will be awarded to both loggers and logger/millers. The Minister has the right to direct TUC holders to supply the domestic market

Assignment:

Transfer of rights in timber granted under a TUC is forbidden without the written consent of the Minister (to put an end to informal third party arrangements which allow concession holders to sit back and collect substantial rents from bonafide processors who didn’t have access to a resource).

Conditions:

-Prompt payment of fees

-Periodic review of operations by the Forest Services Division

-Adherence to the Forest Services Division’s Logging Manual and other prescriptions

-Preparation of a 5 year plan of operations and an annual logging plan

-Reforestation – 10 ha for every square km of contract area

-Provision of social amenities for local communities

-Payment of a deposit – 30% of estimated annual stumpage in advance of harvesting

Social Responsibility Agreements:

The Social Responsibility Agreement is attached to the TUC as an Annex. It allows the local resource owning communities to negotiate some of the conditions under which the contractor will operate, specifically a code of conduct and provision of social obligations. It is long overdue off reserve, where logging is often obstructed by farmers, who are angered by the destruction of crops and village infrastructure.

Environmental issues:

The TUC grants the holder the right of access to the Contract Area only – protected areas of reserves are off-limits. Within the TUC area the contractor is required to operate in an environmentally sound manner in accordance with the Forest Services Division’s prescriptions for fine-grained protection.

Administration:

The Lands Commission previously administered concessions; this is an agency with no responsibility for the resource in future, award will be the task of a Timber Rights Evaluation Committee led by the Chief Conservator of Forests. The Committee will make recommendations to the Forestry Commission, the final award will be granted by the Minister. Within the new Forest Service the Operations Division (specifically the Contracts Manager) will be responsible for preparing contracts. At the resource level, the DFO and RFO will oversee implementation of the contracts.

Since 1995 resource owning communities have been encouraged to monitor timber operations on farms. Through the social responsibility agreements and dissemination of general information on the new TUC system and improved revenue flows it is expected that the stool communities will be increasingly vigilant of illegal operations.

Suspension or termination:

For breach of any terms or conditions if the area is no longer suitable for operation under a TUC or/and if the TUC holder is convicted of an offence under this Act

Legal issues:

Timber Resource Management Act provides for TUCs and the Logging Manual (binding on the TUC holder) and Social Responsibility Agreements. Regulations to accompany the parent acts cover detailed terms and conditions. Contract assigns rights to a particular individual. Logging Manual specifies detailed code of conduct & felling procedures for logging operations. SRA specifies relationship with local people.

 

 

TUC System Key Features - 3

Social Responsibility Agreements (SRA) for Timber Utilisation Contracts

A working group defined the basic objectives and principles of Social Responsibility Agreements, established by the Forest Services Division comprising timber contractors, stool chiefs, community representatives and farmers. The terms are negotiated locally and included as Annex 4.

Objective:

The SRA is a mechanism for ensuring that all TUC operations are carried out in a socially responsible manner with respect for the rights of the resource owning communities. Its secondary purpose is to ensure the contractor can operate without hindrance or obstruction as long as the terms are kept.

Negotiation:

The terms of the SRA are negotiated between the Forest Services Division and the resource owning communities prior to the advertisement of the TUC area. The actual agreement is entered between the successful TUC applicant and the stool chiefs concerned.

Code of Conduct:

Each SRA will vary depending on local conditions, however all are expected to contain a code of conduct for operations. The code of conduct ensures that operations are conducted with respect for local customs, beliefs, infrastructure and livelihoods. On reserve it is recognised that timber production is the primary objective in the TUC area and the code may be limited to issues concerning respect for:

-Cultural norms such as taboo days

-Rights of access to forest products for domestic use

-Timely consultation concerning location of logging roads etc

-Timely payments

-Local infrastructure

Outside reserves, the primary land use is agriculture, the code of conduct may be concerned with a wider range of issues such as respect for:

-Farming operations

-Cultural norms

-Local rights to NTFPs

-Consultation during planning of operations

-Local infrastructure

-Compensation for crop damage

-Right of farmers to receive a payment for tree tending

Social Obligations:

Traditionally contractors have often been expected to make goodwill gestures locally, the social obligations will specify the agreed direct support the contract will provide to local development initiatives. This requirement will be reviewe d in the future if other returns to communities (i.e. revenue flows) are deemed to have substantially increased.

The social obligations are negotiated between the Forest Services Division and the communities. The DFO ensures the requests are reasonable and for the benefit of the community at large. The law limits the assistance required to not more than 5% of the annual royalty accruing from operations in the area. Likely forms of support are:

-Materials or cash for development projects e.g. new schools

-Provision of lumber for community projects

-Employment of local labour

 

 

 

 

 

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