PFE status Broader socio-economic and political causes

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3.2.2 Poverty

Despite its wealth of natural resources, Myanmar remains a poor country with a Human Development Index ranking of 149 out of 187 countries. Myanmar’s population lives below the poverty line and the rural poor account for 87 percent of total poverty. Poverty, forest and land degradation, and human-induced climate change are associated in a vicious cycle. Heavy dependence on forests due to poverty results in deforestation, land degradation and self-destruction of the microenvironment as well as erratic climatic conditions. Again, severe environmental and climatic conditions cause greater poverty and more destruction.

3.2.3 Weak law enforcement

The new Myanmar Forest Law has been enacted since 1992 followed by the Forest Rules in 1995. Both were prepared in harmony with the Forest Policy, 1995. In addition, the Protection of Wildlife and Wild Plants and Conservation of Natural Areas Law, 1994 was ratified in 1994. The Community Forestry Instructions CFI was also issued by the Forest Department in 1995. One of the basic principles of the Forest Law is: •฀ To safeguard against degradation and depletion of natural forests and to conduct afforestation in areas where natural forests are depleted. However, in reality the provisions of all forestry-related forest laws, rules and instructions cannot be fully enforced due to: •฀ Conflict of interests between forest sustainability and income from the forestry sector for national development; •฀ Policy inconsistency between the forestry sector and other economic sectors including agriculture, livestock and mining; •฀ Demand on forest products is still increasing and there are very few measures to replace them with alternatives e.g. natural gas instead of woodfuel and steel, brick and cement instead of timber; •฀ Poverty forces local communities to defy the forest laws to make additional income from forests; •฀ Inadequate salaries and facilities encourage authorities to become involved in corruption. The same phenomenon can also be observed in all other interrelated sectors, providing room for all illegal or inappropriate activities that lead to destruction of forests and the natural environment.

3.2.4 Conventional forest administration and lack of people’s participation

Following the British annexation of lower Myanmar, systematic forest administration began in 1856 under police-style control and surveillance of forest areas, aiming at long-term commercial timber production from reserved forests. The forest reservation process severely constrained local communities from continuing their traditional free access to forests. Although rights and privileges for forest dependents and forest dwellers were mentioned in forest working plans, all of these management plans and regulations were conducted in a top-down fashion, without any negotiations and consensus with local communities. Police-style forest management continued after independence in 1948, and during almost half a century of authoritarian rule 1962-2011, conditions deteriorated. Government policy favoured exploitation of forests for economic growth that was not in consonance with both scientific management and local requirements. This separation of local people from the forest administration led the former to become defiant and undertake activities labeled as illegal. Misunderstanding and mistrust between authorities and communities over time led to strife and resulted in the failure of forest administration; this further exacerbated forest degradation and deforestation.

3.2.5 Insufficient budget

Myanmar’s current national accounting system does not report environmental-related expenditure as a separate element. Financial resources for environment and natural resource management are allocated to sectoral ministries or agencies. According to the national budget’s sectoral breakdown in 2013-2014, out of total expenditure of US7 864.5 million, only US519 million about 6.6 percent was allocated to institutions most closely linked to the management of natural resources agriculture, forestry, livestock, fisheries. Under MOECAF, the highest expenditure nearly 97 percent in 2012- 2013 went to the MTE, which deals with timber extraction and export. However the MTE does not expend its resources for rehabilitation and conservation. The combined expenditure of the departments FD+DZGD+ECD which are responsible for forest conservation and reforestation efforts is only about 3 percent of the total expenditure of the whole ministry. Moreover, average Overseas Development Assistance ODA received by Myanmar is only about US2.00 per capita per annum. Under the circumstances, the amount allocated to the environment, forestry etc. is practically non-existent. Under such financial limitations, MOECAF can barely fulfill its ambitious targets on forest conservation and rehabilitation through the FD, DZGD and ECD.

3.2.6 No proper all-inclusive land-use policy

One policy-related issue which apparently hinders forest conservation and rehabilitation efforts is arbitrary land use. The absence of clear land-use policy and planning has several impacts on forest management including loss of forest cover and low productivity.