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Raise standards in resource management

I WELCOME the response from James Lau, the managing director of Rimbunan Hijau (PNG) Group (April 24) to my article on resource management.
Public discussion on the issue of resource management in Papua New Guinea, including forestry management, is needed.
When the new forest policy was prepared in 1990 and legislation introduced thereafter, there was a commitment for PNG to be at the forefront of sound tropical forestry, setting international standards for sustainable resource management, and making a clear break from the widespread malpractice prevailing when the Forest Inquiry occurred in the late 1980s.
Unfortunately, despite some positive achievements in the 1990s, the spate of last-minute approvals (largely LFAs), forestry conversion TAs (designed in many cases to circumvent the new Act) and a few questionable approvals undermined the initial optimism.
Standards in many of the projects are well below the level envisaged, with some major projects capable of sustainable harvesting failing to comply with that requirement.
Many projects failed to meet field standards which would enable early resource.
However, one should not unduly blame the industry.
In countries where high standards are required, forestry companies comply with those requirements, while in less-demanding countries, operators apply lower standards.
In my article, I basically stated that PNG must apply higher standards in natural resource management and not sell itself short.
Reforms worldwide in many industries, including health and safety standards, have occurred as a result of public pressure although there are many instances where innovators take a lead in this process partly because they see market potential.
I visited some forestry operations in the US some years ago and saw how one company was still harvesting the same forest resource which it had managed for more than a hundred years.
Its neighbours logged out their concessions within relatively short periods and either went bust – after some boom years – or shifted to other industries.
It is heartening that in PNG and Solomons Islands, there are a few operators showing a commitment to high standards of forestry management and sound plantation management, and some were commended by recent reviews.
The current forest tracking initiative of the industry in PNG may be a positive response to growing worldwide requirements to verify the legality and source of logs.
A further positive step has been the recent substantive appointment of a highly-respected managing director to the Forest Authority.
I will not go into the various specific points in Mr Lau’s letter, which can be discussed more constructively in some future workshop.
I will, however, reiterate the high calibre of members of the independent review teams.
The reports by RH’s consultants harp on about one member of one of the several review teams, notably the revenue review, who had done work for Greenpeace in the past.
This was a government-commissioned team and not the World Bank, as suggested.
The person was a natural resource economist in a six-man team, intended to balance other team members – another economist, a former International Tropical Timber Organisation marketing specialist (from South America), a former Forest Industries Association executive officer, a forestry processing specialist and a forester as team leader.
It would be disappointing if a team, dominated by industry people, cannot incorporate a member with a resource management perspective and it would have been entirely inappropriate to have excluded that skill and perspective.
Looking forward; of course forestry, including plantation management (where viable – in some cases with carbon trading support) should have a significant role in PNG.
As with the agricultural tree crops (including “new” crops, such as galip nut production) maintaining tree cover is ecologically more suitable for PNG’s conditions than most annual cropping, but only so long as standards are high, with harvesting impact minimised (notably ground compaction, residuals left standing, etc, appropriate harvest cycles applied, etc).
Likewise, ensuring adequate planning and implementation of community benefits and minimising negative impacts, requires considerable planning, consultation and monitoring, and the industry needs considerable assistance with this.
Unfortunately, despite negative views by some industry players towards the planned Forest and Conservation Project (FCP), which included a grant of over K50 million for conservation, this project was the means to reinforce the capacity of the Forest Authority, Environment Department and resource owners, including planning, overdue inventories and monitoring.
It would not have funded plantation forestry, but it would have facilitated it.
The Government, industry and the wider community need to work together to advance improved forestry management, and enable lasting benefits at the community level.
It particularly requires encouraging committed industry players to invest for the longer term.
We must not repeat the debacle of the teak industry, where international investors had established sound processing facilities and were committed to investing in the resource (replanting, etc), but found it all shipped overseas, unprocessed and without any export tax, despite an absolute prohibition under the Customs Act.

Paul Barker
Director
INA


       


 

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