The Potential Environmental and Social Impacts of a Plantation Project in Uruguay

Draft The potential environmental and social impacts of a plantation project in Uruguay With tools for planning and monitoring A report for Stora Enso: June 24th 2007 1 Foreword To come from Stora Enso 2 Contents Acknowledgements Summary of key conclusions Introduction Aims of the study Section 1: Background Forestry in Uruguay Stora Enso company profile and activities in Latin America 9 Planned project activities 9 Stora Enso sustainability policy Plantations in a global context 9 History of tree plantations 9 Plantation debates and reforms Environmental impacts of plantations 9 Plantations and water quantity 9 Plantations and water quality 9 Plantations and agrochemicals 9 Plantations and biodiversity Plantations and society Key implications for Uruguay Section 2: Conditions in the plantation landscape Introduction Project location areas Physical environment 9 Geology 9 Hydrology 9 Soils Biological conditions 9 Ecological history of Uruguay 9 Protected Areas Network of Uruguay Flora Fauna 9 Mammals 9 Birds 9 Reptiles and amphibians 9 Insects Social and economic conditions 9 Local stakeholder opinions regarding the plantation development 9 National stakeholder opinions regarding the plantation development 9 The World Rainforest Movement Historical environment Policy, legal and administrtaive context Section 3: Issues relating to sites and landscapes Methods used in the study Planned activities Significant environment, social and economic context Landscape context Monitoring plan Section 4: Tools Rights-based approaches Toolkit for site selection and planning Methods for monitoring ecosystem integrity Forest suitability map Recommendations for sustainable landscape planning Advice on environmental management systems Landscape Outcome Assessment Methodology High Conservation Values Section 5: Conclusions 3 Section 6: Appendices Appendix 1: Consultants Appendix 2: Birds of the plantation landscape Appendix 3: Reptiles and amphibians of the plantation landscape Appendix 4: People interviewed for the local stakeholder analysis Appendix 5: People interviewed for the national stakeholder analysis Appendix 6: Interview guidelines for national stakeholder analysis Appendix 7: Forestry Codes of Practice References 4 Tables Area of forest priority soils by selected forest regions in Uruguay Some examples of of environmental impacts (positive and negative) of plantations Factors affecting changes in water availability as a result of plantation establishment Scales and hydrological indicators for the maintenance of catchment health, thus contributing for the protection of water values and for the search of sustainable management of planted forests Plantations and biodiversity Some of the impacts of intensification of plantations Preliminary notes on some likely influences on plantations in Uruguay Main soil types Critical issues for soils in the plantation landscape Protected areas in Uruguay Flora of key habitats in the plantation landscape Historical distribution of large mammals in the plantation landscape Habitat, origin and status of large terrestrial mammals in Uruguay Status of campos species found in the landscape Habitat preferences of birds in the proposed plantation landscape Trophic preferences of birds in the proposed plantation landscape Some possible Lepidopteron indicators Basic agricultural and livestock characteristics Number of holdings according to land tenure regime Surface area of holdings according to land tenure regime Education levels within the agricultural community Breakdown of land use in hectares Breakdown of land use as a percentage Relationship of plantations with the Law Promoting Forestry Summary of key socio-demographic indicators for the four provinces Opinions regarding development of the plantation sector Concerns about plantation certification in Uruguay from the World Rainforest Movement Private collections in the region that supplied information to the study Known battlefields in the plantation landscape Key articles of legislation relating to protection of wild animals Red List insect species in Brazil Current state of development in project planning Indicators for monitoring First suggestions for an indicator set to apply the LOAM Indicators for site selection drawing on existing information Indicators for site selection drawing on field information Details of proposed indicators for site selection and planning Indicators for monitoring Detailed proposals for monitoring and evaluation indicators Indicators to monitor HCVAs CIFOR Code of Practice for plantations in the tropics FAO Draft Code of Practice for Planted Forests Proposed contents for a set of guidelines for plantation management Key elements in the Uruguay Forestry Code Matrix of human rights approaches, key concerns and possible responses Main resident species in the plantation landscape Main migrant species in the plantation landscape Amphibians in the plantation landscape Reptiles in the plantation landscape 5 Figures Approximate location of the Stora Enso plantation landscape in Brazil A generalized model trend of catchment streamflow reduction as a result of the growth of the forest regenerated after the forest fire Example of differences in interception of water under different land management regimes Major impacts on a microbasin Current extent of the plantation landscape Geology of the plantation landscape Hydrology of the plantation landscape Map of the main soil types in the plantation landscape Main forest areas in Uruguay Main concentrations of woody species with restricted distribution (areas of endemism), plus high biodiversity of other species – which can be considered as hotspots Graphic representation of sampling effort through the number of grass species reported from different areas of Uruguay in herbarium samples Location of main woodland areas in Uruguay Distribution of deer species located using non-invasive indicators Key economic activities per Department Rate of forest establishment per Department GIS reference on archaeological and historical sites Level of engagement with human rights Some elements of landscape-scale planning Relative positioning of LOAM with respect to scale and some key features Implementation of a LOAM process 6 Acknowledgements We are grateful for the chance to carry out a study with this degree of freedom and acknowledge the lead taken by Stora Enso in investing in a detailed survey at a time when they could have got away with doing far less. If the study and accompanying tools work, we have an opportunity to help set best practice for fast wood plantations far beyond the current project and country. The tools being developed will hopefully be useful throughout the region – in some cases throughout the world. Many people have helped in the practical collection of information in Uruguay and elsewhere [a full acknowledgement list will be included in the final volume]. We are also grateful for expert comment from Dr Sadanandam Nambiar and Professor Walter de Paula Lima. Personal note from Nigel Dudley: Some background: I was involved in some of the earlier critiques of the pulp industry from the perspective of forest management (Dudley 1992, Dudley et al 1993 etc) and was later coordinator of WWF’s global forest strategy (Dudley et al 1995), which recognised that whilst the organisation had many questions about the way in which plantations were being developed, it believed that they did have a role within the landscape. Following that, I coordinated an Environmental and Social Impact assessment for Enso Oy – one of the precursor companies of Stora Enso – in Kalimantan, Indonesia in 1997. During the late 1990s and early 2000s I was involved in best management practices for plantations in association with WWF, IUCN and the Center for International Forestry Research. After a number of years when my main professional interests have focused on protected area management, the current project represents a return to earlier interests. Stora Eno is to be applauded for inviting a sceptic to look at the project and for the freedom they have given to research into and write what I and my fellow researchers thought was needed. 7 Summary of key conclusions NOTE: This is not a final summary. It includes the current draft of key points that the company might note in relation to further development – final draft will be completed when the Environmental Management System is prepared and a final assessment can be completed, by mid-August… The current study is a risk assessment of the Stora Enso plantation development in Uruguay, which has four main aims, to: 9 Provide a background analysis of likely risks – particularly from a social and environmental perspective – from the plantation project 9 Assess the current situation within the area being investigated for possible plantation sites with respect to physical, biological and social conditions and also to understand the attitude of local and national stakeholders 9 Suggest the main areas where Stora Enso should focus management efforts from environmental and social perspectives 9 Develop a series of tools that could help achieve these aims Plantations have been criticised from various perspectives: especially because of their environmental impacts, the social effects of large plantation projects and the political implications of large off-shore companies buying land and running major projects in poorer countries. Stora Enso can do nothing directly about the last of these, but we believe that it is in a strong position to provide leadership in designing

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