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The International Tropical Timber Organization INTERNATIONAL TROPICAL TIMBER ORGANIZATION ITTO PROJECT DOCUMENT TITLE SUSTAINABLE MANAGEMENT OF TROPICAL FOREST RESOURCES THROUGH STAKEHOLDER AGREEMENTS IN TRADITIONALLY OWNED AREAS OF PAPUA NEW GUINEA SERIAL NUMBER PD 324/04 Rev.3 (F) COMMITTEE REFORESTATION AND FOREST MANAGEMENT SUBMITTED BY GOVERNMENT OF P APUA NEW GUINEA ORIGINAL LANGUAGE ENGLISH SUMMARY Strengthened local level governance and investment in sustainable livelihoods is critical to sustainable forest management and the protection of the high value biodiversity throughout Papua New Guinea. Consultations with landowners, Local Level Government (LLG), forestry officials and conservation partners in the Adelbert Range since 1997, have led to the use of a new form of stakeholder agreement between traditional resource owners and the Almami LLG. These agreements, along with the use of pioneering legal tools and participatory conservation planning, monitoring and implementation, are designed to protect and conserve the rich forest biodiversity of the Adelbert Ranges and also facilitate sustainable forest management and compatible economic growth in the area. The development and use of these stakeholder agreements and management tools can provide valuable lessons for strengthening local governance and provide the basis for mainstrearning successful approaches in priority sites across PNG. This project will therefore work with the Almarni clans, with support from the LLG, to successfully implement enforceable stakeholder agreements. It will engage key partners in Madang Province, other NGOs, the private sector. It will consolidate lessons learned, identify policy implications of these lessons and responses to them, and promote opportunities to spread the approach to other high priority areas in PNG, thereby mainstreaming the use of stakeholder agreements. EXECUTING PNG FOREST AUTHORITY IN COLLABORATION WITH THE AGENCY NATURE CONSERVANCY (TNC) COOPERATING GOVERNMENTS DURATION 36 MONTHS APPROXIMATE TO BE DETERMINED STARTING DATE BUDGET AND PROPOSED Contribution Local Currency SOURCES OF FINANCE Source in US$ Equivalent ITTO 452,196 TNC 505,538 Gov'tofPNG 75,000 TOTAL 1,032,734 Table of Contents Page Number ACRONYMS iv PART I: CONTEXT 1 1. ORIGIN 2 2. SECTORAL POLICIES 2 3. PROGRAMS AND OPERATIONAL ACTIVITIES 3 PART 11: THE PROJECT 4 1. PROJECT OBJECTIVES 4 1. 1 Development Objective 4 1.2 Specific Objective 4 2. JUSTIFICATION 4 2. 1 Problem to be addressed 4 2.2 Intended situation after project completion 7 2.3 Project strategy 7 2.4 Target beneficiaries 10 2.5 Technical and scientific aspects 11 2.6 Economic aspects 13 2. 7 Environmental aspects 14 2.8 Social aspects 15 2.9 Risks 16 3. OUTPUTS 16 3.1 Specific Objective 16 - Output 1.1 16 - Output 1.2 16 4. ACTIVITIES 16 4.1 Output 1.1 16 - Activity 1. 1. 1 16 - Activity 1.1.2 16 - Activity 1.1.3 16 - Activity 1. 1 .4 16 - Activity 1.1.5 16 - Activity 1.1.6 16 4.2 Output 1.2 17 - Activity 1.2.1 17 - Activity 1.2.2 17 - Activity 1.2.3 17 - Activity 1.2.4 17 - Activity 1.2.5 17 - Activity 1.2.6 17 5. LOGICAL FRAMEWORK WORKSHEETS 18 6. WORKPLAN 22 7. BUDGET 23 7.1 Overall Project Budget by Activity (not including GoPNG) 23 7.2 Yearly project budgets by source -ITTO 25 Yearly project budget by source -TNC 26 7.3 Consolidated Yearly Project Budget 27 ii PART 11/: OPERATIONAL ARRANGEMENTS 30 1. MANAGEMENT STRUCTURE 30 2. MONITORING, REPORTING AND EVALUATION 30 3. FUTURE OPERATION AND MAINTENANCE 30 PART IV: THE TROPICAL TIMBER FRAMEWORK 32 1. Compliance with ITTA, 1994 Objectives 32 2. Compliance with ITTO Yokohama Action Plan 32 Annex A. Executing Agency Profile 34 Annex B. PNG ITTO Committee Comments 35 Annex C. Terms of Reference 36 Annex D. Summary of Studies on the Biodiversity Value of the Project Site 42 Annex E. Project Viability Analysis 45 Annex F. Recommendations of the 30th Expert Panel and respective modifications 47 iii ACRONYMS ALLG Almami Local Level Government CNA Conservation Needs Assessment CDF Community Development Facilitators DEC Department of Environment and Conservation EDF European Development Fund FMA Forest Management Agreements FMU Forest Management Unit FPCD Foundation for People in Conservation and Development GEF Global Environment Fund GoPNG Government of Papua New Guinea ITTA International Tropical Timber Agreement ITTO International Tropical Timber Organisation PNGFA PNG Forest Authority NGO Non Government Organisation LDOU Landowner Decision and Organisation Units LLG Local Level Government PNG Papua New Guinea TNC The Nature Conservancy TRP Timber Rights Purchase UNDP United Nations Development Program WMA Wildlife Management Area WWF World Wildlife Fund iv PART I. CONTEXT 1. ORIGIN The Adelbert Mountain Range is located in Madang Province on the northern coast of Papua New Guinea (PNG). It spans an area of approximately 400,000 hectares and ranges in altitude from sea level along the coast to 1600 meters above sea level. It is located lietween 145 degrees 0 minutes East and 145 degrees 30 minutes East and between 4 degrees 25 minutes South and 4 degrees 42 minutes South. Elevation ranges from 150 m above sea level along the Guam River Basin to 1,400 m above sea level along the ridges of the Adelbert Mountains. The site comprises the Western end of the Adelbert Mountains and is dominated by the Guam and Kumul River watersheds. The Guam River runs in a Westerly direction to the Ramu River and the Kumul runs East toward the Bismarck Sea. The site is bound on the Northern side by the coastal lowlands (See Maps 1 and 2 below). The site comprises the entire area of the Almami Local Level Government (ALLG) within the Bogia District, in the Province of Madang . .Map 1: Location of the Project Site in PNG. Map 2: Details of the project site location for Phase I (labelled as "Almami LLG Conservation Area" within the .1 D N Logging Concessions _ Forest Management Area I2EI Local Forest Area _ nmber Rights Purchase _ proposed Forest Development Map courtesy of WWF Major PNG vegetation zones are represented in the area, including six different forest types: flooded plain, strand, lowland rainforest, grassland, hill, and montane. This area has been long recognized as 1 Note that the pale orange logging concession denoted as a Forest Management Agreement in Map 2 is the Josephstaal Forest Management Unit (FMU). 1 an extremely important storehouse of biodiversity. It is one of the most biologically rich parts of the country's forests, especially in the mid-altitude habitats. The Papua New Guinea Conservation Needs Assessment (CNA) conducted in 1993 identified the area as a threatened lower montane forest region that is home to the Fire-Maned Bowerbird, PNG's rarest bird species with the narrowest geographic range known for mainland PNG. Several timber concessions surround the Adelbert Range. These include, three Timber Rights Purchases (TRPs) - Kumil (operated by Bismarck Timber Industries), Gogol (operated by Jant) and Sogeram (operated by Madang Timbers) - and one unallocated Forest Management Agreement (FMA) - Middle Ramu. The Nature Conservancy (see Annex A) has been working with local government and communities from this area since 1997 to find ways to protect the biodiversity of the area. During this time local communities have clearly identified the need to improve their livelihoods and find ways to achieve a higher standard of living while sustainably managing their natural resources. Based on consultations with landowners, Local Level Government (LLG), forestry officials and conservation partners since 1997, traditional resource owners and the Almami LLG have agreed to establish conservation agreements, use pioneering legal tools and participatory conservation planning, monitoring and implementation to protect and conserve the rich biodiversity of the Adelbert Ranges and also facilitate sustainable forest management and compatible economic growth in the area. The challenges faced by communities in the Adelbert Range are typical of those in many communities throughout PNG. This project will build on an increased awareness within local communities, the establishment of a legal framework, and the confidence of local government and communities to create a conservation and development model that can be applied widely throughout the country. TNC was encouraged to prepare an initial concept proposal by PNG's ITTO Committee. This was considered by the Committee and supported with specific amendments that have been taken into account in this submission. The concept proposal and comments are attached (Annex B) ,along with the cover letter of endorsement and submission from the PNG Forest Authority. 2. SECTORAL POLICIES The fourth goal of the constitution of Papua New Guinea states that: PNG's natural resources and environment [will] to be conserved and used for the collective benefit of us all, and be replenished for the benefit of future generations. The principle elements of the legal and policy framework at the national level in PNG that give effect to this goal and are relevant to this project include the following: • National Forest Policy (1991); • Fauna Protection and Control Act; • Organic Law on Provincial Governments and Local-level Governments; and, • Relevant sections of the Local-level Governments Administration Act of 1997. The PNG government's National Food Security Policy and evolving Eco-Forestry Policy provide important guidance concerning the management of forest resources for biodiversity and agricultural benefits. This national framework recognises the need for environmental protection and the conservation of biological diversity in balance with forest management to secure a range of timber and non-timber benefits for both local communities and the Government of PNG. While it provides support for the establishment of sustainable forest management practices and recognises the need for sustainable development of the forest industry at the provincial level, there has been little progress to develop mechanisms for this to occur. This is largely due to the fact that the legislation only applies to State owned land -less than 5% of all the land in PNG.
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