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6. INSTITUTIONAL AND LEGAL FRAMEWORK

6.1 General background

Forest administration is going through a reform and the process will be in line with Albania's overall social and economic development. The Directorate General of Forests and Pastures (DGFP) is the institution responsible for the management and development of the forests and pastures sector. DGFP is under direct control of the Minister of Agriculture and Food. In addition to its budget, the DGFP uses the revenues generated through the sale of timber and other forest-related activities, to fund the management of forests and pastures, afforestation efforts and actions against erosion, building of forest infrastructure, etc. In 2002, a pilot regional directorate was established and a few more regional directorates over the District Forest Service will be established in the near future.

There are two laws, namely the Forest act and the protected areas act, which are used to enforce sustainable management of the country’s forest genetic resources. Forest species are managed according to the forest law of 1992. However, the forest and pasture strategy indicates that about 40 percent of Albanian forests should be transferred to local communities. Oaks cover about 80 percent of these areas. Some non-governmental organizations (NGOs) are actively involved in forest matters and they also lobby the government to put conducive policy framework in place. In cooperation with the Ministry of the Environment, FAO, and various NGOs, DGFP has set up working groups to revise the forest legislation and the strategy for the development of the forestry sector.

A strategy for the development of forests and pastures sector has been developed by the General Directorate of Forests and Pastures (DGFP, 1998). It was designed to guide the development of activities in the forests and pastures sector in order to obtain an optimal contribution of this sector in the overall growth of the country’s socioeconomic level and sustainable development. Now DGFP is trying to implement the new strategy to visualize forests as having more of a public function than an economic one and to protect the environment.

Given the rather specific transition of Albania, which is characterized by a number of developments, challenges and opportunities, the strategy is expected to have a substantial impact on administration, growth, development, management, protection and investments in the sector.

The on-going Forestry project of the World Bank (1996) has three main objectives in Albania:

• restore degraded state-owned forest and pasture areas and promote their sustainable use;

• promote conservation of natural forest ecosystems;

• take the initial steps in the transition of the forestry and pasture sector to a market economy, separating commercial from regulatory functions and establishing mechanisms for self-financing of the commercial activities.

6.2 Decentralisation and devolution

Approximatively 50 percent of the country’s population is living in rural settlements (ten years ago this figure was 70 percent). This has created very strong relations between the community and forests. For several years, forests have been the main source of their employment and income. But at the same time, this has put a very high pressure on forests that in many cases have suffered unlimited use and degradation. Also, the difficult socio-economic conditions of populations in these areas are another factor that has contributed to such degradation.

All of the forests and pastures of the past were state property before the 1992 decentralization period in Albania. There are now state forests, communal forests and private forests. According to the Directorate General of forestry and pastures data, at the end of 2001 the country had 1 050 000 ha of forests split into 845 650 ha of state forests, 193 860 ha of community forests and 11 540 private (DGFP, 2001).

The process of restitution of forests and pastures to previous owners began after 1996. During 1996, several additions and amendments were approved for the recognition of private ownership and restitution of private forests and pastures according to the law
No. 7699, dated 21.04.1993 "on the compensation in value or in kind of agricultural land, pastures, meadows and forestland ex-owners".

These amendments and additions have completed the necessary legal framework. The above law does not provide for the physical restitution of forests, forestland, pastures and meadows within the priority areas for the development of tourism and in the protected areas, as specified in the law, and limits up to 100 ha the forest area that can be returned to ex-owners. According to information from DGFP, ex-owners have received 10 000 ha of forests and 28 537 ha of pastures, up until the year 2001.

During the transition to the market economy, forest harvesting and wood processing industries went though a number of fundamental changes. State forest harvesting enterprises and almost all wood processing industries were privatized and are now operating in their respective fields of activity. Also, the marketing of wood has been liberalized. Under the DGFP, a commission has been set up to be in charge of issuing licenses to private companies undertaking activities in the sector of forests and pastures. Most of the licensed companies employ a small number of people and possess some equipment that used to belong to state forest harvesting enterprises. Because the vast majority of private companies own minimal equipment, and it is of an obsolete technology, they are producing negative impacts on the forest environment.

The decentralization of forest and pasture management aims at accomplishing the transfer of forests and pastures in use to 256 communities and municipalities by the year 2004. Of the approximately 1 million ha of forests and 400 000 ha of pastures, approximately 400 000 ha of forests and 240 000 ha of pastures, will be transferred to the communities and municipalities. The goal of the decentralization of forest and pasture management is to:

• curb further degradation and ensure the overall development of forests and pastures through the participation of communities, municipalities and villages in their protection, improvement and sustainable development and consequently in environmental protection;

• increase the benefits to communities and villages from the management of these natural resources.

Until 2002, the transfer of forests and pastures involved 56 communities with a total area of 250 000 ha forests and 40 000 ha of pastures. Respective management plans have been worked out for all communities that have received forests and pastures under their management. The process of transferring forests and pastures to the rest of the communities, along with the development of respective management plans, is expected to be completed by the end of 2004. Transfer of forests and pastures, financed by the Forestry project and USAID, has been completed for 115 communities.

Information on policy and institutional aspects of forest policy changes in Albania is available at http://www.albania-agroweb.net/al-fornet/default.htm.

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