Ghana’s Cabinet on Tuesday granted approval for the conversion of 156 timber concessions and permits into timber utilisation contracts (TUCs). This is to be ratified by Parliament, in accordance with Article 268(1) of the Constitution and Section 9 of the Timber Resources Management Act, 1997 (Act 547). The introduction of TUC is a major policy reform in the forestry sector to provide for a competitive system of allocating timber resources. The Timber Resources Management Act, 1997 (Act 547), which came into force on March 18, 1998, prohibits the harvesting of timber without a TUC. Prior to this Act, timber rights were granted in the nature of timber concessions, leases and permits under the Concessions Act, 1962 (Act 124). Under Section 19 of Act 547, all existing timber rights prior to Act 547 are to be valid for only six months, and holders of those timber rights are to apply for TUCs within six months of the coming into force of the Act. However, for almost 25 years after the coming into force of the Act, these concessions and leases have not been converted into TUCs. A statement issued by the Public Relations Unit of the Ministry of Lands and Natural Resources said by this approval, Ghana has made significant progress in the legal trade of timber and would become the first African country to meet the European Union’s (EU) requirement to trade in legal timber and the second in the world next to Indonesia. It explained that this approval also affirms government’s commitment to ensure the legal and sustainable management of Ghana’s forest resources, adding, the conversion of these extant leases and permits into TUCs to be ratified by Parliament would provide government with the legal backing to fight illegal trade in timber, both on the domestic and international markets. It will also enable the country to derive appropriate revenue from holders of these contracts through the payment of timber right fees and other statutory charges. In addition, it will put Ghana on track in discharging its obligations under the Voluntary Partnership Agreement (VPA) with the EU to issue Forest Law Enforcement Governance and Trade (FLEGT) licences by the end of 2022 to cover all timber exports to the EU market. The statement said, the decision would support the fight against deforestation and forest degradation arising out of illegal harvesting of timber. It noted that, it would enhance environmental and natural resources governance and contribute to the attainment of Sustainable Development Goals (SDGs) 1, 2, 13 and 15 regarding no poverty, zero hunger, climate action and life on land respectively. According to the statement, government, through the Ministry of Lands and Natural Resources, is confident that Parliament would ratify these long-overdue TUCs to ensure the sustainable management of Ghana’s forest resources. “The Ministry of Lands and Natural Resources is committed to the efficient and sustainable management and utilisation of the natural resources of our country in general and our forest resources in particular,” it added. Good news for forest management in Ghana Speaking to Gh Environment in an exclusive interview, the Managing Campaigner of ECOCARE Ghana, a Non-Governmental Organization (NGO), Mr Obed Owusu Addai, described the approval as good news for forest management in Ghana, after many years of advocacy campaign. He said, the approval has a lot of implication for how forest is managed in Ghana, as timber permit should now go through a competitive bidding, with the approval by Parliament. “It means that, the Ministry of Lands and Natural Resources and Forestry Commission cannot just give permits to their friends and families and it has to go through the competitive process and have to be ratified by Parliament and that is very good news”, he said. He added, “It also means that, we will get value for money and friends and cronies of politicians will not get concessions at a cheap price and would have to compete with other interested parties to be able to get the concession or the timber utilisation contract that they want”. According to Mr Addai, farmers and other fringe communities stand to benefit from five percent royalty for social responsibility and agreement activities in their communities.
Mr Obed Owusu Addai
“Farmers and other fringe communities will get bigger benefits because, the process will be competitive and there would be more money to the state and the communities get five percent of the royalties, thereby getting money to do social responsibility agreement and activities in their communities. He noted that, by approving this competitive process, it means that, all prospective contractors or concession holders would have to pay a one-off timber right fee and that is a good thing for forest management in Ghana.
Advocacy gets results
Another NGO, Tropenbos Ghana, after a relentless campaign to also get government approves the competitive system of allocating timber resources wrote on its website that, advocacy gets results. It wrote “In November 2009, Ghana signed the Voluntary Partnership Agreement (VPA) with the European Union Forest Law Enforcement, Governance and Trade (FLEGT) Action Plan to address illegal logging. The VPA sought to ensure that timber and timber products exported to the EU come from legal sources. The agreement also helps timber exporting countries like Ghana to stop illegal logging by improving regulation and governance of the forest sector. “Nonetheless, Ghana was unable to fulfill the requirements of the VPA. The approval of the conversion which is expected to be ratified by parliament puts Ghana on the path of sustainable harvesting and trade of timber, especially with the European Union (EU). If ratified, Ghana will become the first African country to meet the European Union’s requirement to trade in legal timber and the second in the world, next to Indonesia” the NGO said on its website.