VICTORY
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PAPUA
NEW GUINEA RAINFOREST CAMPAIGN NEWS
World
Bank Gets Its Way on Forests, to the Benefit of PNG
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Forest
Networking a Project of Ecological Enterprises
10/14/96
OVERVIEW
& SOURCE by EE
Following
are two items which relate the resolution of the conflict between PNG
forest
policy and World Bank loan guarantees.
PNG forest policy came into
compliance
with past promises through the introduction by the Prime Minister of
a
Forestry Amendment bill. Specifically,
concerns over the forestry board
composition
were resolved. This is the third time
in four years that PNG NGOs
and
international NGOs have worked together with other interested parties to
defeat
timber industry sponsored attempts to weaken PNG forestry legislation.
All
that wrote letters, lobbied officials and otherwise took a conservation
stand
deserve congratulations. Following are
two items from PNG newspapers
posted
at the new UPNG Journalism web site (which includes other PNG news) at:
http://pactok.net.au:80/docs/nius/
g.b.
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TEXT STARTS HERE:
Title
-- 248 ECONOMY: World Bank gets its way on forests
Date --
9 October 1996
Byline
--Neville Togarewa
Origin
-- Niuswire
Source
-- Post-Courier (PNG), 9 October 1996
Copyright
-- Post-Courier
Status
-- Unabridged
--------------------------------------
WORLD
BANK GETS ITS WAY ON FORESTS
By
Neville Togarewa
Parliament
yesterday passed the controversial Forestry (Amendment) Bill 1996,
paving
the way for the World Bank to release the second tranche of US$25
million
to fund the Government's economic recovery program (ERP).
The
Bill, introduced by Prime Minister Sir Julius Chan, was passed on the
voices
after the Government defeated proposed amendments by Milne Bay
Governor
Tim Neville by 38 to 24.
All the
Opposition MPs and Governors present - except the Southern
Highlands
Governor Dick Mune - who occupy the middle benches separating the
government
side from the Opposition benches, voted against the Bill.
The
program included a loan from the World Bank of US$50 million for 1995/96
and a
standby facility from the International Monetary Fund for balance of
payment
support. The loan's first tranche of US$25 million was fully drawn
down at
the end of 1995 after the Government had met all the bank's conditions.
Sir
Julius said there had been "a long, hard tussle" between the
Government
and the
World Bank.
"There
has been a considerable strain between us and the bank .... The whole
structural
adjustment program with the World Bank and the IMF has resolved
around
the forestry issue," he said.
While
the government was determined to protect Parliament's integrity and the
nation's
sovereignty from being compromised, he said, Cabinet had decided to
maintain
the structural reform program by passing the amendments to the Forest
Act as
proposed by the World Bank.
"A
number of the bank's requirements impinge on legislative matters and the
process
of decision-making of this Parliament. At times I have wondered
whether
our international donors always appreciate the roles we have been
elected
to fulfill. I have wondered if they fully understand the way our
democracy
functions," he said.
He
said, however, that the release of the second tranche was not the central
issue,
adding he was convinced that the government's actions had been
"impeccably
correct".
"I
am sure Members will agree that the release and use of the US$25 million
- the
equivalent of a fornight's wages bill for our public service - could
now be
easily accommodated within our new revenue measures," the Prime Minister
said.
"But
it can no longer be a matter of protecting our pride at the risk of
continuing
aggravation of an influential international donor. We have come
to
terms with a somewhat unpleasant fact - failure to accede to the bank's
demands
would place our long-standing credibility and standing at risk. In an
independent
world where economic reputation and international standing are
valuable
commodities, it is now time to accept."
Changes
to the compositons of the forestry board means there will now be
eight
members who will elect among themselves a chairman and his deputy. The Act
has
been further amended to increase the quorum for a board meeting from four
members
to six.
The
board will include the managing director of the Forest Authority,
secretaries
of Finance and Environment and Conservation, president of the
Forest
Industry Association, president of the Association of Forests, a
provincial
administrator representing provincial governments and one
representative
each for NGOs and landowners. All members will be appointed
by the
NEC.
+++ends
ITEM #2
Title
-- S73 FORESTRY: PNG govt repeals forestry bill
Date --
9 October 1996
Byline
-- Kevin Pamba
Origin
-- Niuswire
Source
-- The National (PNG), 9 October 1996
Copyright
-- The National
Status
-- Unabridged
--------------------------------------
GOVT
REPEALS FORESTRY BILL UNDER PRESSURE
By
Kevin Rali Pamba
PORT
MORESBY: The Papua New Guinea government yesterday finally succumbed to
World
Bank pressure by repealing the Forestry (Amendment) Bill after stubbornly
standing
by it since its passage in July.
The
World Bank had told the Government that the release of the second tranche of
the
economic recovery loan worth US$25 million (K33m) was subject to the repeal
of the
legislation.
Prime
Minister Sir Julius Chan, who presented the new amendment instead of
Forest
Minister Andrew Baing, said the US$25 million was equivalent to a
fortnight's
wage of the public service and was not necessarily needed. But
it was
a case of protecting the image of the country and its standing in
the
eyes of international lending agencies and the world community.
Although
former Forest Minister and Milne Bay Governor Tim Neville suggested
changes
to certain aspects of the new amendment, the government used its
numerical
strength to quash that. The formality of the third reading of the
amendment
will be done today.
Opposition
Leader Roy Yaki said the Forest Minister had stubbornly stood by
the
amendment as if it was "really necessary."
"If
the Government swallowed its ego and faced up to realities, we would not
have
been going around in a vicious circle," he said.
However,
he clarified that the opposition supported the right to defend national
sovereignty
and integrity.
The
Prime Minister revealed upon questioning from Mr Yaki that the July bill
had not
yet been certified as a law because the minister "had not given
notification
for its gazettal."
Therefore,
he said, yesterday's amendment superseded the July bill.
Mr Yaki
said the non-notification of the bill in the gazette was done purposely
by Mr
Baing, knowing that it would be repealed soon.
Manus
Governor Stephen Pokawin pleaded to the ministers to "let this be the
first
and last such incident."
He said
it shows that Parliament was not used for its intended purpose where
ministers
brought legislations only to be thrown out in the next session. This,
he
said, undermined and questioned the integrity of Parliament.
Papua
Niugini Niuswire
http://www.pactok.net.au/docs/nius
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