NGO opposes higher logging quota policy<\/p>\n
The Jakarta Post, Jakarta<\/p>\n
As the forestry-based industry has yet to perform efficiently,
\nthe government should review its policy to increase next year's
\nnatural forest logging quota, an environmental organization says.<\/p>\n
\"Currently, the forestry-based industry can only absorb 20
\npercent of the given quota. Why should it be increased?\"
\nGreenomics Indonesia executive director Elfian Effendi said on
\nMonday.<\/p>\n
Minister of Forestry M.S. Kaban said previously that his
\nministry would increase next year's annual logging quota to 8.1
\nmillion cubic meters from 5.6 million m3 in 2005.<\/p>\n
He said the ministry aimed to increase state revenue from the
\nsector to US$8 billion in 2006 from the current $5 billion.<\/p>\n
A Greenomics study shows that between 2002 and 2004, only some
\n20 percent of 264 companies holding natural forest concessions
\nwere active.<\/p>\n
\"Most of them experienced financial difficulties because they
\nhave to pay the reforestation fund up front before utilizing the
\nforests,\" Elfian said.<\/p>\n
The 264 companies held permits to utilize 27.79 million
\nhectares of natural forest with a logging quota of 5.6 million
\nm3.<\/p>\n
At present, the timber processing industry has an estimated
\ncapacity of about 42 million cubic meters per year, but the
\nindustry is flooded with illegal timber from already depleted
\nnatural forests.<\/p>\n
The forestry ministry had planned in January to increase its
\npresent logging quota to 30 million m3 this year to meet domestic
\ndemand and help create employment.<\/p>\n
Aside from the supply from the natural forests, there were
\nsome 15 million m3 additional annual supply from other forest
\nconcessions, including from illegal logging, Elfian said.<\/p>\n
\"Our timber industry is also inefficient. They could only use
\nup to 50 percent of the logs they received due to aging
\ntechnology,\" he added. \"The rest became unprocessed waste.\"<\/p>\n
Elfian said with an investment of less than $10 million on new
\nwood processing equipment, the industry could in fact use up to
\n80 percent of the raw materials.<\/p>\n
\"The government needs to first revitalize the forestry
\nindustry before increasing the logging quota,\" he said.<\/p>\n
Revitalizing could mean reviewing the concessions already
\ngiven to companies as well as helping improve the current
\nfinancial management of the companies.<\/p>\n
\"But that does not mean that the government should provide
\nloans. The forestry sector still has Rp 54 billion (US$5.37
\nmillion) of unpaid debt owing since 2001,\" he said.<\/p>\n
Elfian highlighted that the forestry ministry should be
\nconsistent in gradually decreasing the natural forest logging
\nquota in the next 10 to 15 years in a bid to maximize its
\nrehabilitation efforts.<\/p>\n
Indonesia has set aside Rp 2.8 trillion (US$278.61 million)
\nthis year from the state budget to rehabilitate natural forests.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/ngo-opposes-higher-logging-quota-policy-1447893297",
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