Full report - Global Forest Coalition
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Full report - Global Forest Coalition
1 Final Report (Draft) National Workshop on Underlying Causes of Deforestation and Forest Degradation in India 26th – 28th January 2008 Nabakrushna Choudhary Center for Development Studies, Bhubaneswar, Orissa Organized By: Kalpavriksh5 (Pune/Delhi) and Vasundhara6 (Bubhaneswar) In collaboration with Global Forest Coalition (Underlying Causes Initiative) (Contract regarding the organization of a national workshop on the Underlying causes of Deforestation and Forest Degradation in India) 5 6 A Pune /Delhi based Environment Action Group. A Bhubaneswar based research and advocacy organization working in the field of environment and forest. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 2 Table Of Content 1. 2. 3. 4. Page No. Summary Report……………………………………………………………………………………4 Detailed Report………………………………………………………………………………………8 Processes Followed……………………………………………………………………....................22. Workshop Recommendations……………………………………………………………………….24. Annexure(s): Annexure I: (Thematic Research Papers). Annexure I (a): Globalization and the ecological crisis (Towards a new conceptual framework for an effective politics). Authored7 by Aseem Shrivastavaa………………29 Annexure I (b): License to Destroy (Environmental Regulatory Framework in the Era of Economic Growth). Co-authored8 by Manju Menon and Kanchi Kohli………………..45 Annexure I (c): Economic Liberalization, Decentralized Governance & the Adivasis. Authored9 by Bhabani Das…………………………………………………………..….52 Annexure I (d): Liberalization, Deforestation and Dependence on Forest (A case study of the most forested district of Orissa, Keonjhar). Authored10 by Prof. Kishor C Samal………74 Annexure I (e): Economic Growth and Deforestation: A study of Orissa Economy. Authored11 by Sushanta Kumar Nayak Samir Ranjan Samantra and Pradeep Kumar Mishra………89 Annexure II: (Case Studies) Annexure II (a): Globalization and Deforestation: A Case Study of Lapanga. Authored by Pradeep Kumar Mishra…………………………………………………………………101 Annexure II (b): Community Struggle for Forest Conservation: A Case Study of Banadurga Jungle Surakshya Committee, Khedapada, Nayagarh. Authored by Mr. Sankar Prasad Pani12…………………………………………………………………………...119 Annexure II (c): Khandadhar, life line of northern Orissa (The impact of the mining and related policies/ programmes were the underlying causes of deforestation and forest degradation). Co-authored13 by Mr. Kumar Abhishek Pratap and Ms. Tanushree Das. Field level collaboration was provided by Banai Forestry Federation, Banai Mandal, Banai….142 Annexure III: (Participant Lists) 7 8 9 10 11 12 13 The author is an independent writer and researcher. The authors are members of Kalpavriksh. The author is a campaign coordinator with Swiss Aid India. The author is a Professor of Economics, N C Centre for Development Studies, Orissa. The paper has been co-uthored by Prof. Sushanta Kumar Nayak who is a Reader with the department of economics, Rajib Gandhi University, Itanagar, Arunachal Pradesh, Mr. Pradeep Kumar Mishra is working as a Senior Programme Officer with Vasundhara, and Samir Ranjan Samantra is with NABARD, Raipur. Mr. Sankar Prasad Pani is presently working as the Programme Officer in Vasundhara Mr. Abhishek Pratap works with Greenpeace and Ms. TanushreeDas is with Vasundhara th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 3 Annexure III (a): Civil Society Representation…………………………………………………………...185 Annexure III (b): Media Representation…………………………………………………………………..187 Annexure IV: (Outreach) Annexure IV (a): Pirnt media - press release……………………………………………………………...188 Annexure IV (b): Other media - web release ………………………………………………….. ………...189 Annexure V: (Workshop Proceedings)…………………………………………………………190 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 4 1. Summary Report A national workshop to study causes of deforestation and forest degradation was recently organized in Bhubaneswar by Kalpavriksh (a Pune/Delhi) and Vasundhara (Bhubaneshwar), under the aegis of Global Forest Coalition. These are issues of serious concern in Orissa in the post market liberalization era. Case studies that brought into relief the current situation were presented and discussed at the workshop. The case of the Rasol Khesra Jungle, a predominantly Sal forest with two adjoining reservoirs, an example of a regenerated forest and wildlife - through community initiatives, is a case in point. The area is a pathway for elephants, and also a habitat for pangolin, wild dog, mouse, deer, hyena, flying squirrel, etc. Four villages depend on this forest for various forest produce. Earlier, village forest committees (VFC) managed the forest of about 860 acres by following the thengapalli system (see page 7 for details) of guarding the forest. Around 1984, some land was leased to Industrial Development Corporation of Orissa for a sugar industry (Dharini Sugar Mill). This included 119 acres of the Rasol Khesra forest. In 1989, a Memorandam Of Understanding (MoU) for the continued protection of the forest inside the mill’s land was signed between the factory and 4 neighboring villages. No tree was felled between 1990 and 1998(In 1994 the villagers even got the Prakruti Mitra14 award). In 2004 the factory was sold to ECP Industries Ltd. In 2005 the new owner started felling forest trees that fell within the bought area. It took strong protests by villagers for the Forest Department to take cognizance of the offense and book the culprit industry. The Centrally Empowered Committee (CEC) has taken cognizance of this case on a complaint by Orissa Jungle Manch15. Strangely, the state government feigned ignorance of Forest Conservation Act’s requirements regarding tree felling! The matter, now taken up to the level of Supreme Court, is still pending judgment. Communities were prohibited from collecting fuel, grasses, etc. from the forest even for domestic consumption. Meanwhile, about 1000 Sal trees were felled in Feb. 2007, apparently to make a road, at the behest of the District Collector, to pave the way for a godown for Food Corporation of India. The factory owner and local politicians are mounting pressure on the villagers through fair and foul means. The Lapanga (Sambalpur) case - a Village Community Forestry initiative- shows effects of the current trend of industrialization and mining. This area once constituted a dense forest with a proud history of over a hundred years of forest protection and management by community (Dalki Praja Rakshit Jungle16).Situated in the vicinity of the Hirakud water reservoir, its forest is rich in Sal trees. Two projects are posing threats to the forest as well as to Lapanga’s socio-economic survival, as a consequence of the industrial policies of the state. Hindalco converted a grazing path into a pucca road of 2 kms in length and 50 meter width for the purpose of transporting coal mined from an open cast mine. Bhushan Steel is also laying a water pipeline through this forest. Powerless to do anything, 14 Oriya for “Friends of Nature” Hindi/Oriya word for forum 16 Dalki Community protected forest 15 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 5 there is growing cynicism and passivity amongst the local community towards the forests despite rampant breaches of law and because of the non-compliance of the Supreme Court’s orders banning tree felling. Human-Wild Life conflicts have increased. The village forest, a host to avian migrations from Siberia, is now showing traces of degradation. Coal dust and constant movement of trucks through forest, are destroying biodiversity. Some flora has already disappeared as indicated by the reduced availability of Non Timber Forest Produce (esp. beedi leaf). The negative impacts of small and large industries (local sponge iron units, POSCO etc.), on the forests around Kandadhar (Sundergarh) are also due to the state policies (mining etc.) of Orissa. .The area is characterized by dense forests, waterfalls, an elephant corridor (connecting Saranda in Jharkhand state to Bhamragarh in Chhattisgarh state), limbless lizard (recently discovered, Sepsophis) etc.. It is also is the origin of 8 major perennial streams. 66% of the overall population of the area belongs to Scheduled Tribes17. The POSCO iron ore mining project, proposed over 6204 ha, could affect more than 10000 ha of forest cover. A total sum of Rs. 51,000 crore worth of investment that has been earmarked for the entire project includes a mine at Kandadhar, a steel plant at Jagatsinghpur, and a captive port at Paradeep. Despite being components of one and the same project, a separate clearance for each of the above was sought by POSCO; allegedly as a ruse to avoid obstacles that the company might otherwise have to face in its efforts towards getting environmental clearances for the entire project. As matters stand, this has resulted in the granting of total mining leases of over 100 sq km. Of serious concern is the pollution caused by the 48 sponge iron plants and many small mines, etc. in the area. Coal mining in Sundergarh has devastated forests and villages. This will only get worse and will eventually have severe impacts on the survival and livelihood of the people. This might potentially entail a direct displacement of about 30000 people. At all these sites, communities have protested against the deforestation. The government however has bent over backwards to provide subsidies and facilities to the corporate companies, often even overlooking their violation of environmental laws and policies. Though schemes like JFM have also created spaces for disprivileged/ vulnerable sections of the community to participate, these are often only on paper. Besides, the governance framework of Joint Forest Management (JFM) is not conducive to democratic participation and decision-making. The inherent advantages provided by the Community Forest Management (CFM) model (site-specificity, flexibility) have been lost due to the ‘one size fits all’ approach of the JFM model. However, a simple uniform system cannot maintain bio-diversity and will inevitably result in forest degradation. There is a close link between processes of globalization and the ecological crisis that we witness today. The logic of the current phase of globalization, dominated by the profit interests is based on externalization of environmental and social costs of development and inevitably leads to ecological degradation, loss in biodiversity, socio-cultural loss etc. Rarely do business interests bear the responsibility of the damage they cause to environment. Globalization promotes trade and corporate driven conversion of Indian forest resources to meet the fuel needs of the first world. For e.g. iron ore, coal and other primary minerals are being remorselessly exploited from Orissa without concern for 17 These are indigenous tribes listed in the Schedule V of the Constitution of India th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 6 sustainability of natural habitat. Global processes get translated into an environmental regulatory framework that is hostile to the interests of ecological sustainability and social justice. Recent environmental laws & notifications have played a nefarious role in creating a space for environmentally destructive development trends in India. For e.g., 4016 projects have been given clearance under EIA between 1986 and 2006. States like Orissa provide uncritical support in facilitating easy environmental/forest clearance to their corporate clients. This is leading to a destruction of the environment at a hitherto unheard of scale. Changes in decision-making mechanisms have lead to a greater access to resources for exploitative purposes at the cost of reduced public participation while resulting in an unbridled spurt of forest and environment clearances without concern for environmental sustainability. Under the Biodiversity Act, over 90 clearances for access to bio-resources had been given while almost no work on conservation or empowering communities was undertaken. This has lead to a weakening of environmental impact monitoring and compliance processes. Redressal is almost non-existent. The link between the role played by International Monetary Fund (IMF) loans of the early 90’s and the state of forests in India also needs stress. These loans were based on conditions of compulsory liberalization, devaluation of currency and privatization in India. The IMF, while extending loan to India had stipulated 160 conditions; one of which was devaluation of the rupee. This automatically works in favor of richer countries like the USA as they can then buy more of India’s outputs and primary mineral resources at cheaper price. It is often argued that this leads to higher earnings as this automatically results in an increase in demand for India’s natural resources. However, even if export earnings increase this way, so does resource extraction. This usually happens at the cost of an irreversible damage to the ecosystem of the country. Most of the development being promoted by the Orissa government is also in the primary mineral sector with profits being made by outsiders like POSCO, Sterlite etc. Local people hardly benefit and yet they have to bear the brunt of the damage to the environment. Untrammeled resource extraction ensures that ecosystems that got built over centuries get irreparably damaged/destroyed within a few years. The loss this entails thus far outweighs the gains that increased earnings due to export of resources promise. Earlier, core areas like steel, coal etc. were largely under the nationalized control of the government. Opening up of core areas like steel, coal, electricity and mining to private sector has resulted in rapid deforestation. For e.g., in Orissa, forest diversion doubled in the postliberalization era: (1982-91: 9800 ha; 1992-2004: 19257 ha). One immediately observable indicator of deforestations impact is the distance that is required to be traveled to collect a shoulder load of fuel wood (1995: 4.09 km 2000: 7.30 km). This is happening across India. Over half of the total forest diverted in the last 25 years has happened only in the last 6-7 years. To reverse the alarming trend of deforestation/displacement we need to stop fossil-fuel based unsustainable development process and adopt alternative sustainable processes that provide basic livelihood and social security to all people; stop leasing remaining forest areas, to mines, industries, and other large-scale commercial or ‘development’ projects; recognize and legally back gram sabhas for community forest management initiatives ((using Panchayats (Extension to the Scheduled Areas) Act, 1996 (PESA), The Scheduled Tribes And Other Forest-Dwellers (Recognition of Forest Rights) Act 2006 (TFRA).) while th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 7 safeguarding against the misuse of such laws by vested interests to take control of forest lands; stop taking over community forest management initiatives through JFM etc. that ignore or undermine existing community institutions and ensure that partnerships between government and communities are on the basis of sharing decision-making powers; help communities sustain on forest based livelihoods, and provide other sources of employment and livelihood including through the NREGA (National Rural Employment Guarantee Act). identify alternatives which provide livelihood, health, education, etc. to people without destroying the forest. recognize public hearings as a mandatory tool for democratic decision-making, giving full responsibility to gram sabhas to organize such hearings. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 8 2. Detailed Report 2.1 Background 2.1.1 India’s economic policy and its implications for natural resource systems Around 1991, India, in its effort/bid to catch up with the rest of the developed world, decided to liberalize its economic policy. In its attempt towards assimilation with the global economy and to reap the benefit of globalization, market reforms & economic policy changes were made in order to deregulate a number of sectors. Hitherto existing license raj was significantly reduced, private enterprise was encouraged, and government investment in public sector enterprise were sought to be curtailed with an eventual goal of disinvestment. In 1995, India became a member of the World Trade Organization (WTO). Trade barriers were lifted and foreign direct investment (FDI) was sought and became the norm. Paralleling the liberalization of the Indian economy and also because of it, there has been a rise in the culture of consumerism across the nation. Factors in this include the increase in the urban middle class and an exponential increase in the spending capacity of the same, a dynamically evolving consumer pattern, an economy geared towards producing products and commodities with high obsolescence rate, and fast-track life-styles. Unfortunately the brunt of the pressure of globalization and consumerism is being experienced by natural systems and indigenous or other traditional communities that are located in geographically remote areas which are separated from the centers of consumption (mainly the urban and semi-urban landscape). Natural resource systems are being remorselessly exploited for raw material and energy sources, to create and feed into lifestyles that are based on needs that are often artificially created and sustained (often through media campaigns, intellectual discourses etc.) and are based on a blissful ignorance of the cost to Mother Nature. Secondly, the above-mentioned raw material and energy sources are used to fuel the growth of a carbon-based (fossil fuel) industrial economy which is based on the principles of free market competition (amongst multiple producers of similar commodities and creation of surplus goods (for e.g. luxury cars, cosmetics etc.) and services (for e.g. tourism) without due consideration to the actual necessity of such outputs or the potential ill effects (for e.g. climate change) that they may have on the world at large. As a market based economy assumes potentially infinite consumers (6 billion on last count!!), it also needs sources of raw material and energy that are infinitely inexhaustible. Unfortunately there is a limit to how much can be extracted from nature without potentially threatening the balance of the ecosystem. Impact of State policies on natural resource systems Given the above scenario, it is little wonder that state governments increasingly competed with each other to attract foreign investment. Those rich in natural and mineral resources (which probably is the case with most of the states in India) found preferences with Indian as also trans- and multi-national th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 9 companies. State governments also tailored their development plans (and hence economic policies) to meet the needs of such companies. Little heed was paid to the fact that these policies may be bringing industrial forces directly in conflict with the conservation concerns and thus pose a threat to forest cover, plant and animal biodiversity and community survival. They also completely ignore the possibility of local resource based economic development. Non-recognition of customary rights, state takeover of common property resources, and other such factors, have limited the extent to which people living within these areas can have a stake in protecting these forests from degradation. National and international markets are increasingly impinging on the most ‘remote’ of communities and forest resource bases. Fast moving industrialization processes are threatening forests in one or all of the following way: 1. Directly through deforestation. 2. Indirectly through ecological damage such as pollution thereby causing slow death of forest and forest dwellers. 3. By disrupting the value system of the community, shrinking spaces of negotiation and thus leading to increased conflicts. 4. Pressure of external market forces, and so on. Justification Given the above situation, it becomes necessary to understand the short and long-term ramifications of these policy changes at the state and the national level vis-avis the conservation of the forests and biodiversity of the nation. A Workshops to facilitate a common understanding of the “Underlying Causes of Deforestation and Forest Degradation” between stake holders, policy makers, NGOs etc. was held in Bubaneswar at the Nabakrushna Choudhary center for Development Studies, Bhubaneswar, Orissa between 26th – 28th January 2008. The primary aim of the workshop was to open up space for: i. ii. iii. Sharing of ideas through paper/case-study presentations and group discussion on the impact of certain acts, policies and notification on the forest situation in India. Building awareness among the policy makers and citizenry regarding the role of communities’ efforts in conservation and about the threats faced by them. Creation of the platform where communities involved in biodiversity conservation interact; share their ideas and experiences and find the collective solutions to the threats faced by them, so that they can further refine their efforts of conservation and protect forest cover. 2.1.4 Objective The objectives of the workshop were: • To gain a deeper understanding of the underlying causes of deforestation and forest degradation in India, using site-specific case studies. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 10 • • To raise public awareness, especially amongst policy-makers and the media, especially on specific activities that can help address the issue of underlying causes of deforestation and forest degradation To help build capacity of community based organizations and other stakeholders to develop responses to these causes. 2.2 The Workshop 2.2.1 Direction Setting As mentioned above, as national level workshop on Underlying Causes of Deforestation and Forest Degradation in India was held in Bhubaneshwar between 26-28th January 2008. The workshop was organized by Kalpavriksh (a Pune/Delhi based NGO) and Vasundhara (a Bhubaneshwar based NGO) under the aegis of the Global Forest Coalition, a network of civil society organizations working to halt deforestation across the world. Specifically, the participation of the following was sought: a. Indigenous organizations and local community groups b. National NGOs c. Media representatives d. Government official and policymakers e. Lawyers, Social Activists( Environmental and human rights based) f. Embassies of the Netherlands and Finland. Participants at the workshop included civil society representatives from Orissa, Maharashtra, and Delhi, community representatives from Nayagarh, Sundergarh, Deogarh, Dhenkanal, Angul, and Koraput districts of Orissa, academics from various universities, and other institutions such as NCDC. The participants were introduced to the theme and the end objectives of the workshop by Mr. Milind Wani of Kalpavriksh. The workshop was inaugurated by Prof. Radhamohan, Commisioner - State Information Commission. In his inaugural speech, Prof. Radhamohan, said that the developmental model that India adapted historically has played a vital role in inducing processes that have led to the massive deforestation that we witness today. India’s forest policies, experiments in social forestry and protective forestry etc., have also played a crucial role in this and were among the major causes behind degradation of natural forests. Over all, India lost 47 million hectare of forest during the period between1950 and 1980. Forests are thus “too important a matter to be left to the Forest Department (FD)”. 2.2.2 The reality of Deforestation and Forest degradation 2.2.2.1 Case- Study Presentations th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 11 Five case studies that brought into relief the seriousness of the issue of deforestation in Orissa were presented and discussed at the workshop. These include: 1. Banadurga Jungle Surakshya Committee, Khedapada, Nayagarh. (community protected forest threatened by sugarcane mill) – Mr. Sankar Prasad Pani 2. Lapanga, Sambalpur dist (forest conserved by community for over 100 years, threatened by Hindalco mining, Bhushan Steel pipeline, and other industries) - Mr. Pradeep Mishra 3. Khandadhar (lifeline of northern Orissa and homeland of Paudi Bhuyans, threatened by mining and related activities proposed by POSCO) – Kumar Abhishek Pratap & Tanushree Das 4. Gadabanikilo village, Nayagarh district (Joint Forest Management destroying self-organized community forest management) – Prateep K. Nayak 5. Winners and Losers of Forest Resources (An Understanding on Causal Connections) – Dr. Premananda Panda In what follows, a detailed summary of the presentations made by field based researchers is provided. 1. The first case-study entitled “Banadurga Jungle Surakshya Committee, Khedapada, and Nayagarh. (a community protected forest threatened by sugarcane mill)” as presented by Shankar Prasad Pani (Vasundhara) spoke about the struggle those local communities had to face to conserve about 800 acres of Rasol Khesra Jungle near Khedapada in Nayagarh District in Orissa. The Rasol Khesra Jungle is predominantly a regenerated Sal forest, an elephant corridor, and home to various animals like the pangolin, wild dog, mouse, deer, hyena and the flying squirrel. In 1979, a Village Forest Committees (VFC) was formed to conserve and manage the forest by 7 people from the surrounding four villages dependent on this forest for various forest produce. The method of forest conservation and protection involved the traditional thengapalli system, where a member of the committee patrolled the forest everyday along with the Jaguali (guard) to protect the forest of about 860 acres. Thengapali (Thenga – baton, Pali- free/volunteer labor for community), also interpreted as “turn of baton”, is an ancient forest management practice ( now being studied at the Andrews’ Endowed Church of England Primary School and Glasllwch Primary School as a geography subject ) that has attracted forest management gurus all over the world. In the thengapali system, baton(s) left outside the door of one or more households in a village (or a hamlet) identify the household(s) from which one member will volunteer for patrolling a forest patch for the following day. With batons in their hand, these volunteers ensure that the forests are protected from illegal tree cutting and forest produce collection. If anybody is caught stealing forest produce then they are produced before the forest committee for punitive measures. The committee is obviously empowered to deal with such cases. One thing to be noted is that even those hamlets that have hired a Jaguali (guard) to watch and ward the forest follow this practice where a volunteer accompanies the guard. Around 1984, 119 acres of this forest protected by the VFC was leased to Industrial Development Corporation of Orissa (IDCO) to set up the Dharini Sugar Mill (a co-operative). In 1989, the VFC members representing the 4 villages signed a MOU with the managing board of the sugar mill which stated that the villagers would continue to protect the forest inside the leased land. As a result, no tree was felled by the sugar mill between 1990 and 1998. In 1994 the villagers received the Prakruti Mitra award in recognition th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 12 of their forest conservation efforts. However, in 2004 the factory was sold to ECP Industries Ltd (a Private company) and in 2005 the new owner started felling trees that fell within the community protected forest area. No cognizance of this large scale felling was taken by the FD till strong protests were lodged by villagers and only then did the FD book a case against the culprit industry. The Centrally Empowered Committee (CEC) took cognizance of this case on a complaint by Orissa Jungle Manch.. The matter is currently in the Supreme Court and is still pending judgment. In the mean time more than 1000 Sal trees were felled in February 2007, apparently at the behest of the collector to make a road to a Food Corporation of India godown. Moreover after the case went to court, communities were prohibited from collecting fuel, grasses, etc. from the forest even for domestic consumption and the factory owner, who is alleged to be hand in glove with politicians has been harassing the local protectors of the forest by incriminating them in false cases and by other foul means in an attempt to strangle the resistance against the deforestation of the Rasol Khesra Jungle. These recent occurrences have had a huge negative impact on both the forest vegetation as well as on community efforts 2. The second case-study entitled “Lapanga, Sambalpur dist (forest conserved by community for over 100 years, threatened by Hindalco mining, Bhushan Steel pipeline, and other industries)” as presented by Pradeep Mishra’s (Vasundhara) spoke of the Lapanga Village Community Forestry initiative in Sambalpur District of Orissa, and the effect of the current trend of industrialization and mining on the same. This area once constituted a dense forest and has a proud history of over a hundred years of forest protection and management by community (Dalki Praja Rakshit Jungle) .The village is situated in the vicinity of the Hirakud water reservoir and its forest is rich in Sal trees. This village had been earlier displaced during the construction of the Hirakud reservoir and people had been given patches of land as ex-gratia compensation for the productive land mass that they had lost. Some people in this village had donated even this patch of land for forest regeneration. Over the years the village has developed its own innovative and unique system of forest protection and this has also created a positive impact on neighboring villages that have started similar forest protection practices. However, the village now faces challenges from the industrial policy of the state which has led to deforestation and which in turn threatens the socio-economic survival, of this village community. The initial threat came from Hindalco when it converted a grazing path into a road of 2 kms in length and 50 meter in width for the purpose of transporting coal mined from an open cast mine. Bhushan Steel added to the woes of this forest protecting village by laying a pipeline right through this forest. The coal dust in the air and the constant movement of trucks through the forest, are causing huge losses in the biodiversity of the area and women now get less NTFP (esp. beedi leaf) from the forest and feel less secure economically. The forest department continues to be hostile towards the community forestry efforts and has often acted in ways that undermine the community effort to protect the forest. In the nearby villages, the industries have also succeeded in dividing resident communities And human-wildlife conflicts have been increasing. In the light of all this, there is growing cynicism and passivity amongst the local community towards the forests and this has in turn led to unchecked intense forest resource extraction, rampant breaches of law, and non-compliance of SC’s orders banning tree felling. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 13 3. The third case-study entitled “Khandadhar (lifeline of northern Orissa and homeland of Paudi Bhuyans, threatened by mining and related activities proposed by POSCO) ” presented by Mr. Abhishek Pratap (Greenpeace) and Tanushree Das (Vasundhara) spoke about the impacts that mining and related state policies have had on the forests around Kandadhar in Sundergarh District of Orissa. The area is characterized by dense forests, waterfalls and an elephant corridor (connecting Saranda in Jharkhand state to Bhamragarh in Chhattisgarh state). The limbless lizard (Sepsophis) has recently been discovered here and eight major perennial streams originate in these forests. Comprised of the Primitive Tribal Group (PTG) called Paudi Bhuyan (3000 people), 66% of the overall population of the area belongs to Scheduled Tribes. In this area, the setting up of small and large industries (local sponge iron units, POSCO etc.)will have huge impacts on the environment as well as on the social, cultural and economic well being of people. The POSCO (a south Korean multinational with mining interests) iron ore mining project, proposed over 6204 ha, could affect more than 10000 ha of forest cover including that on a plateau from where Orissa’s highest waterfall (244 meters) originates. Rs. 51,000 crore worth of investment has been envisaged for this entire project, which includes a mine at Kandadhar, a steel plant at Jagatsinghpur, and a captive port at Paradeep. It seems that despite the fact that these are all components of one and the same project, a separate clearance for each of the above components has been sought by POSCO. It is alleged that breaking up the project into different component (as if they were three different and unconnected projects) and making a separate appeal for permission for each of these components is just a ruse to avoid obstacles that the company might otherwise have to face in its efforts towards getting environmental clearances for the entire project. Two major concerns of this mining policy that is friendly towards private industrial interests are: • • effects of pollution caused by the 48 sponge iron plants, many small mines, etc. in Sundergarh possibility of serious loss of forest, wildlife, underground water which will eventually also have severe impacts on the survival and livelihood of the people that might potentially entail a direct displacement of about 30000 people. Some of the key role players in the making of this potential tragedy are: • • • • • • • international loan/funding agencies, weaknesses of the political governance system, the mineral and industrial policies of the state government and its aggressive drive towards industrialization, some conservation policies (e.g. FCA) that facilitate commercial exploitation, JFM and other aid driven programmes that seek to replace CFM initiatives, weakness in the public hearing process and a lack of mandate to gram sabhas to conduct the same, and non-participation of communities in EIA and forest clearance. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 14 4. The fourth case-study entitled “Gadabanikilo village, Nayagarh district (Joint Forest Management destroying self-organized community forest management)” presented by Prateep K. Nayak18 discussed at length the impacts of conversion of a CFM initiative into a government sponsored JFM programme. The impacts have been seen in many areas like changes in the level of community participation, community rights and intra-community dynamics. In particular he presented the case study of Gadabanikilo village of Nayagarh District in Orissa. This village had a history of CFM of over 50 years. This was converted after much resistance to a JFM in 2001. The old system was dismantled and standardized modern institutional systems were set up for forest protection, management and distribution of benefits. (For e.g. mahua collection and other benefits) under the changed system of forest management. This changeover led to a number of problems. Earlier, decision making at the village level involved all adults, however under the new system it was limited to only 11 members of the JFM committee – reducing the level of people’s participation in the matter of forest conservation and management. A village fund which was earlier used for village development and loan disbursement collapsed by 2004. Earlier the edge of the, forest was left wild and dense with naturally overgrown thorny bushes - this deterred outsiders from entering the forests and protected the forests but under the new system where there was money to be made through afforestation – the dense thorny forest made way for neat plantations , which made access to the forest easy. Earlier the CFM institution managed the landscape consisting of grazing lands, water bodies and forests in a holistic manner but the JFM institution that replaced had a compartmentalized approach to resource and forest management. There was a considerable weakening of rights of various kinds under the new system. In earlier times, inter-village reciprocity and links were strong ( for e.g. availability of forest resources such as bamboo in one village and amla in another would have led to the creation of mechanisms of exchange and reciprocity, and also reduced threats to each others’ forests). However the JFM model is village specific and has led to the erosion of inter village links and reciprocity. Now, only linkages between JFM committees are allowed whereas under the CFM, cross-linkages with NGOs, forest federation, and neighboring villages were the norm. The only redeeming feature of the JFM seems to lie in the fact that while the CFM institutions had no role for women or Scheduled Castes (SCs); JFM has brought these groups within its purview. However this feature too has not been able to realize its potential as in practice the JFM is still dominated by men and non-scheduled caste19 members. Overall, as the CFM system was converted into a JFM system, the inherent advantages provided by the CFM model (site-specificity, flexibility) have been lost due to the uniformity (‘one size fits all’) of approach of the JFM model. This has lead to various problems like rigidity, disintegration of various land uses due to compartmentalized management etc. Little attention is paid to the fact that a simple uniform system cannot maintain bio-diversity and will inevitably result in forest degradation. Fortunately, traditional institutions are resilient and it is hoped that the CFM institutions which are people driven might see resurgence once the JFM money runs out. In fact the speaker made a strong case for legally recognizing Community Forest Management (CFM) initiatives. As of now there is a manifest threat to the biodiversity of the area due to the conversion of CFM to JFM in the area. 18 19 Prateep K Nayak is a PhD scholar with the University of Manitova, Canada. People belonging to scheduled castes have historically belonged to the lower rungs of social hierarchy and have traditionally been disempowered and marginalized people. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 15 5. The fifth case-study entitled “Winners and Losers of Forest Resources (An Understanding on Causal Connections)”presented by Dr.. Premananda Panda (Anthropology, Sambalpur University) spoke about how coal mining in Sundergarh has not only devastated forests but also harmed the equitable culture of the villages. Earlier the rich biodiversity of the wetlands was maintained by the village, for diverse purposes. There was a community system for equitable irrigation, food distribution, etc. There had been regular sightings of elephants and tigers within the living history of the place. All this has changed for the worse under development related interventions like the mining that has been going on in this area for the last 15 years leading to immense damage to the sociocultural life of the villagers, the social support system that existed within the village-community earlier as well as to the symbiotic relationship that earlier existed between the forest and people. This loss of linkages and relationships due to forest degradation has led to both further deforestation and further socio-cultural losses, setting up a never ending downward spiral of ever increasing loss of forest and disempowerment of forest dwelling communities. 2.2.2.2 Summing up the Orissa experience As can be seen from the above presentations, Orissa is facing severe deforestation, loss of wildlife, loss of cultural traditions and the displacement of adivasis. This is due to: • • • • • • • unsustainable development activities, including mines, industries, and roads, which the government is promoting aggressively without taking into consideration the environmental impacts of these. (e.g. mining leases alone cover over 100,000 hectares of forest land); lack of recognition of and support to the initiatives of communities to protect forests, especially self-initiated community forest management which is widespread in Orissa; attempts by the Forest Department to take control over community forests by converting CFM initiatives into Joint Forest Management (JFM); creation of rifts within the hitherto existing symbiotic relationship between communities, communities and forests and a failure to provide adequate inputs to forest based livelihoods thereby forcing desperately poor people to unsustainably exploit forest resources or act as agents for forest mafia; lack of any attention to forests in central or state government planning and financial allocations; weak regulatory mechanisms, which are unable to deal with rampant violations by forest mafia, industrialists, and others; weakened and distorted mandate of official agencies like Ministry of Environment and Forests, and state Forest Departments. At each of these sites, it was revealed that community conservation of forests was threatened by the government allowing private and public sector companies to set up industries, mines, roads, and other projects. At all these sites, communities have protested against the deforestation, but the government has generally overlooked and undermined the benefits of these community initiatives and it has more th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 16 often than not, bent over backwards to provide subsidies and facilities to corporate companies, often even overlooking their violation of environmental laws and policies. Additionally schemes like the standardized JFM have replaced highly evolved, flexible, site specific and nuanced CFMs bringing in a load of new problems that have added to deforestation, forest degradation and disempowerment of forest dwelling communities. 2.2.3 Making Connections 2.2.3.1 Thematic Paper Presentation To put the above case studies in perspective, a number of thematic papers were also presented at the workshop. These include: 1. Globalization and the Ecological Crisis – Dr. Aseem Shrivastav; 2. The Environmental Regulatory Framework in the Era of Globalization – Kanchi Kohli and Manju Menon; 3. Economic Growth and Deforestation: A study of Orissa Economy – Prof Sushant Nayak; 4. Liberalization, Deforestation and Dependence on Forest – (A case study of the most forested district of Orissa, Keonjhar) – Prof. K.C. Samal; 5. Economic Liberalization, Decentralized Governance & the Adivasis of Orissa – Prof. Bhabani Das; In what follows, a brief summary of the presentations made by the thematic paper authors is provided. 1. The first thematic paper entitled “Globalization and the Ecological Crisis” as presented by independent writer Aseem Shrivastav spoke about the close link between the processes of globalization/ economic liberalization and the ecological crisis that we are witnessing today. He spoke about the inverse relationship between the logic of the current phase of globalization that is dominated by the profit interests of private corporations and the logic and reasoning of an environment and social justice based paradigm which would require an internalization of environmental and social costs. The speaker drove home the fact that the real cost of unsustainable industry and development in terms of ecological degradation, loss in biodiversity, socio-cultural loss, livelihood loss and the like are not measured and business interests do not bear the responsibility of the damage they cause to environment in this whole process. Globalization by and large has promoted vested interests trade and corporate entities which has led to the en masse conversion of Indian forest resources to meet the fuel needs of the first world. The current phase of globalization is subject to dominance of financial transactions while being environmentally insensitive. Climate change is a direct result of the market’s failure to absorb the costs it incurs. Within India too more and more people are getting trapped into environmentally destructive lifestyles without realizing the fact that sustaining such lifestyles means rampant exploitation of natural resources in nearby states. Such life styles then lead to a situation where the whole arena of economy focuses on commercialization, which in turn leads to consumerism th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 17 and creation of false needs leading to a further pressure for an untrammeled exploitation of the earth’s resources. 2. The second thematic paper entitled “The Environmental Regulatory Framework in the Era of Globalization “ as presented by Ms. Kanchi Kohli and Ms. Manju Menon (both from Kalpavriksh) showed how global processes leading to the adaptation of neo-liberal paradigm of development as propounded by international institutions like World bank(WB), International Monetary Fund(IMF) and World Trade organization (WTO) by third world nation states like India get translated into environmental regulatory frameworks that are hostile to the interests of ecological sustainability and social justice. The nefarious role played by recent environmental laws & notifications in creating spaces for environmentally destructive development trends in India were discussed. States like Orissa are ready to provide all kinds of uncritical support including the facilitating of easy environmental clearance, forest clearance etc. to their corporate clients. This has led and continues to lead to the destruction of the environment at a hitherto unheard of scale. Recent changes in environmental laws & notifications have played a nefarious role in creating a space for environmentally destructive development trends in India. Take the instance of the issuance of the EIA notification(1994) under the Environment (Protection) Act., that made it mandatory for development and industrial projects to go through a process of Environment Impact Assessment (EIA) and public hearing (from 1997) and obtain an environment clearance before they could begin construction. This was meant to be a precautionary approach to be implemented in the spirit of environment protection. But what happened in the course of the implementation? Statistics indicate that from 1986 to 2006, 4016 projects were granted environment clearance by the Ministry Of Environment and Forest (MoEF). A much larger number operate without the mandatory permissions. In March 2005, the Supreme Court of India ordered the closure of all units which were operating without environmental clearance. This was in response to a writ petition filed by Goa Foundation. Soon after in July 2005, MoEF set into motion a process of seeking temporary working permissions (TWPs) and post facto clearances through an amendment to the EIA notification. The EIA procedures for decision-making on environment clearance were overhauled in 2006. None of the suggestions made over a decade to improve the regulatory process, the quality of information for decision making or enhance transparency were included. Instead, the reforms focused on speedy clearances. The public hearing procedures were diluted too. Potentially, this is the only process which can challenge the otherwise routine administrative procedures as diversity of opinions/positions are introduced at this stage. However, there was an emphasis to regulate this process too by allowing only people with ‘direct stake’ in the project or its impacts to participate. In keeping with this reductionist trend, public hearings have been robbed of any capacity to function as spaces for decision making; they have been reduced to but a step in finalizing a draft EIA report. Thus significant changes in environmental decision-making mechanisms (from prevention to ‘management’ (including mitigation and ‘benefit-sharing’)) have lead to a greater access to resources for exploitative purposes, and reduced public participation. This has also fostered an unbridled spurt of forest and environment clearances without concern for environmental sustainability. This has rapidly contributed to deforestation and forest degradation. Similarly, a look into the implementation of the Biological Diversity (BD) Act, 2002 reveals that while over 250 applications for various purposes have been approved, there has been little push to th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 18 implement the clauses for the declaration of Biodiversity Heritage Sites, mechanisms for the protection of traditional knowledge, or realizing local control over biodiversity and governance through Biodiversity Management Committees (BMCs). In the BD Act, the provisions for allowing access to biodiversity for commercial use, research, and Intellectual Property Rights (IPRs) have been set in place. Formats for agreements are ready; applications are being processed and permissions being granted to access hair and blood samples of the Wild Ass or brinjal seed germplasm. But without the Biodiversity Management Committee (BMCs) established at panchayat/municipality level, there is no cross checking with local communities about the consequences of such projects. The stage is therefore set for speedy clearances despite local opposition by this act too. This has lead to a weakening of environmental impact monitoring and compliance processes. Redressal is almost nonexistent. Lastly, they brought to the notice of everybody how in recent years there has been a massive up-scaling of legal forest clearance for dams, mines, industries or infrastructure projects like roads. Out of the 11, 40,176.86 ha approximately 3, 11,220.38 hectares has been cleared by the MoEF since 2003. Thus a quarter of the total clearances in 26 years of implementation of the Forest (Conservation) Act (1980) have happened in the last 4 years. 3. The third thematic paper, entitled “Economic Growth and Deforestation: A study of Orissa Economy “, authored by Prof. Sushant Nayak’s (Arunachl University), focused on the nexus between deforestation and economic growth within Orissa. According to him, economic growth connotes the growth of National Income. An economy that grows proportionately in all sectors is supposed to display a healthy growth. When one or some of its sectors grow disproportionately as compared to other sectors, this indicates a healthy growth. This second type of growth is known as a growth with inequity. When the growth is coupled with inequity, different types of distortions occur in the economy. The distortion can be reflected, both in the outcome variable as well as in the input use-patterns particularly of the natural resource like forest, water, mineral etc. He highlighted the fact that the use-pattern of forest products as inputs for the production of different goods gets distorted when the growth-pattern of the economy is distorted and this results in deforestation.. He briefly sketched the theories of deforestations as according to different schools of thoughts like the impoverishment school, the Neo-classical school and the political-ecological school. His study was aimed at articulating the validity of the political-ecological school that argued that capital driven investment as the main agent of deforestation. While highlighting the famous Kuznet curve hypothesis which postulates that as income goes up there is an increasing environmental degradation up-to a point after which environmental quality improves, he stressed that if deforestation is an indicator of environmental quality, then the Kuznet theory is applicable to the nexus between forest degradation and economic growth. Here the nexus is quite clear- when the GNP increases the input demand also increases. As the forest sector is an important input to the different sub-components of the National Income, the input demand of different sectors differ and the forest input that goes into a particular sector is an indicator of deforestation caused by that sector. When different sectors of the economy grow, the demands for inputs also grow. Forest resources are also inputs for all sectors of the economy. Thus economic growth leads to a rise in the demand of forestry output. With the above understanding of the concept of deforestation, the study focused on the following issues: th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 19 • • • the growth of GSDP and its sectors in Orissa in the post reform period and to compare the same with that of India; whether the present trend in the growth in Orissa’s economy is equitable or not; to quantify the demand of forest inputs used by different sectors and to identify the sectors that uses the maximum forest resources and cause deforestation. Finally his study also suggested some remedial measures. 4. The fourth thematic paper entitled “Liberalization, Deforestation and Dependence on Forest – (A case study of the most forested district of Orissa, Keonjhar)” authored and presented by Prof. K.C. Samal (Nabakrushna Choudhary Center for Development Studies, Bhubaneswar, Orissa) showed the link between the role played by International Monetary Funds (IMF) loans of the early 90’s and the state of forests in India. The IMF loans were based on conditions of compulsory liberalization, devaluation of currency and privatization in India. These in effect dictated India’s economic policy. For e.g., the IMF, while extending loan to India had stipulated 160 conditions; one of which was the devaluation of the rupee. This automatically worked in favor of richer countries like the USA as this allowed them to buy more of India’s outputs and primary mineral resources at cheaper prices. The professor pointed out that though it is often argued that such devaluations lead to increase in demand for natural resources and higher earnings for the country - this is a specious argument. For even if export earnings increase, so does resource extraction and this usually happens at the cost of an irreversible damage to the ecosystem of the country. A country’s true wealth is its natural resource systems. Most of the development being promoted by the Orissa government is also in the primary mineral sector with profits being made by non locals (like POSCO, Sterlite etc).Local people hardly benefit from the process and yet the damage has to be borne by local communities and the environment. Untrammeled resource extraction ensures that ecosystems that got built over centuries get irreparably damaged or destroyed within a few years. The loss this entails to forests and local communities is thus in no way comparable to the gain that increased earnings (due to export of resources) promise. Previously there was some control due to the fact that the private sector was not allowed into core areas like steel, coal, electricity and mining but the scenario has changed now. In Orissa, forest diversion doubled in the post-liberalization era: (1982-91: 9800 ha; 1992-2004: 19257 ha). One immediately observable indicator of deforestations is the distance that is required to be traveled to collect a shoulder load of fuel wood (1995: 4.09 km 2000: 7.30 km). This is similar to what is happening across India. 5. Dr. Bhabani Das20 in his presentation raised serious doubts about forests being a national priority as there were no provisions within the mandate of the national finance commission to protect forests. At the state level- the forest department is severely understaffed and under-resourced yet local communities who have often been known to have protect and manage forests are not being empowered to do so. This leaves forests open to exploitation and damage. There is thus an urgent 20 Dr. Bhabhani Das has also contributed a thematic paper entitled “Economic Liberalization, Decentralized Governance & the Adivasis of Orissa “. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 20 need to bring forests into the national agenda and this urgency can only be evidenced through the importance forest protection is given by the national finance commission. The role of the 73rd constitutional amendment (PESA etc.) vis-à-vis protection of forest and checking forest degradation also needs to be looked into. Unless this is done, no changes in the present apathy can be expected. 2.2.4 Recommendations If the alarming trend of deforestation and displacement has to be reversed, governments must take the following steps, with or through citizens’ groups: • • • • • • • • move away from a fossil-fuel based unsustainable development process, and adopt alternative sustainable processes that actually provide basic livelihood and social security to all people; stop giving remaining leases in forest areas, to mines, industries, and other large-scale commercial or ‘development’ projects; provide recognition and legal backing to gram sabhas for community forest management initiatives, through Panchayats (Extension to the Scheduled Areas) Act, 1996 (PESA)_, The Scheduled Tribes And Other Forest-Dwellers (Recognition of Forest Rights) Act 2006 (TFRA), and other laws, while safeguarding against the misuse of such laws by vested interests to take control of forest lands; stop trying to take over community forest management initiatives through JFM or other schemes which ignore or undermine existing community institutions, and ensure that partnerships between government and communities are on the basis of sharing decisionmaking powers; the Finance Commission and Planning Commission (or bodies at both central levels) should add the performance of states in conserving forests, as a key criterion for deciding on their financial allocations. ; help communities enhance their agricultural production, sustain forest based livelihoods, and provide other sources of employment and livelihood including through the NREGA (National Rural Employment Guarantee Act) with locally developed participatory plans; explore alternative development in forest areas, which provide livelihood, health, education, and communication options to people without destroying the forest, and which are consistent with their socio-economic and cultural ethos; recognize public hearings as a mandatory tool for democratic decision-making, giving full responsibility to gram sabhas to organize such hearings, and ensuring independent civil society participation in these to provide a check against the misuse of hearings by powerful local elites. 2.2.5 Conclusions Deforestation in Orissa and other parts of India is a direct result of the wrong path of ‘development’ being promoted under policies of globalization, and the disempowerment of forest-dwelling communities. This can only be halted if the government stops giving forest land for mines, industries, th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 21 roads, and other such projects, and empowers communities to protect and manage forests. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 22 3. Processes Followed 3.1 Preparatory process The preparatory processes for planning the workshop were as follows: 1. 2. 3. 4. Identifying national and regional collaborators/advisors for the research and the workshop. Though initially both, the National Centre for Advocacy Studies (NCAS) from Pune and Vasundhara from Bubhaneshwar were considered as potential collaborators/advisors, finally Vasundhara was short-listed.; In consultation with the collaborating partner (Vasundhara) we identified a list of potential participants from government agencies, policymakers, academic institutions, civil society organizations, communities and other rights holders or stakeholders for attending the workshop; In consultation with Vasundhara we identified a list of potential thematic authors who would contribute theoretical papers on various aspects of the theme of the workshop. On getting confirmations from some of them, we commissioned research and analytical papers on socio-political governance processes (especially economic liberalization, laws and policies and decentralization), development projects and their impacts on the forests. The list of papers that were finally commissioned ( along with the author names) is as follows: i. Globalization and the Ecological Crisis – Dr. Aseem Shrivastav; ii. The Environmental Regulatory Framework in the Era of Globalization – Kanchi Kohli and Manju Menon; iii. Economic Growth and Deforestation: A study of Orissa Economy – Prof Sushant Nayak; iv. Liberalization, Deforestation and Dependence on Forest – (A case study of the most forested district of Orissa, Keonjhar) – Prof. K.C. Samal; v. Economic Liberalization, Decentralized Governance & the Adivasis of Orissa – Prof. Bhabani Das. In consultation with Vasundhara, it was decided that it was necessary to undertake field work in Orissa, to gain an in-depth understanding of the underlying causes of deforestation and forest degradation. It was decided that Vasundhara researcher and other researchers based in Orissa would be responsible for doing in-depth studies. The list of case-studies research areas that were finally commissioned (along with the name of the field investigators) is provided below: i. Banadurga Jungle Surakshya Committee, Khedapada, Nayagarh. (community protected forest threatened by sugarcane mill) – Mr. Sankar Prasad Pani (Vasundhara); th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 23 ii. 5. 6. Lapanga, Sambalpur dist (forest conserved by community for over 100 years, threatened by Hindalco mining, Bhushan Steel pipeline, and other industries) Mr. Pradeep Mishra(Vasundhara); iii. Khandadhar (lifeline of northern Orissa and homeland of Paudi Bhuyans, threatened by mining and related activities proposed by POSCO) – Kumar Abhishek Pratap (Greenpeace) & Tanushree Das(Vasundhara); iv. Gadabanikilo village, Nayagarh district (Joint Forest Management destroying self-organized community forest management) – Prateep K. Nayak(Research Scholar, Columbia University USA); v. Winners and Losers of Forest Resources (An Understanding on Causal Connections) – Dr. Premananda Panda (Dept. of Anthropology, Sambalpur University); In consultation with Vasundhara the date, venue and location of workshop was identified and communicated to all concerned. Reservations were also made accordingly. Communicating the theme, methodology and the agenda of the workshop to participants well in advance (see annexure) 3.2 Processes during Workshop 3.2.1 Administrative Proceses This primarily involved: 1. 2. 3. 4. 5. 6. Ensuring all infrastructure related arrangements were in place. Arranging for Participant accommodation, travel and pickup where needed. Identifying Rappertuer, Chairperson, Panel, Session-wise plan etc. and communicating responsibilities accordingly. Ensuring participants and media representatives were informed well in advance and the event was advertised through press release in the local media. Ensuring that workshop proceeded as planned and proceedings were documented. Ensuring that media related activities (press meet, press statements etc) happened as scheduled. 3.2.2 Evolving and Finalising Recomendations 1. 2. Formation of themewise groups, identifying group coordinator and ensure first draft of themewise recommendations were worked out and submitted on evening prior to the final session. Ensure recommendations emanating out of the workshop were arrived at in a participative and consensual manner and were recorded. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 24 4. Workshop Recommendations Broad recommendations were developed on the basisi of following categories: 1. 2. 3. On development planning, processes and projects On governance and protection of forests On securing livelihoods of forest-dwellers Details of each of the above categories have been elaborated below. 1. On development planning, processes and projects • Rethink and radically alter the models and processes of development, in order to ensure that local communities, forests, biodiversity and wildlife are put at the centre of the government’s planning process. • Legally disallow any further large-scale diversion of forests for the purpose of ‘development’ projects from being permitted; ensure that the sighting of such projects is away from forest lands. • Clearance of industrial and other ‘development’ projects should be at the same pace as the ability to carry out environmental impact assessments and work plans, so that these are not rushed and incomplete. • Infuse all government functioning with mandatory suo moto information disclosure and transparency mechanisms. • Start conceiving of bioregional or eco-regional political constituencies, in which the political boundaries of decision-making are more aligned with ecological boundaries (e.g. of river basins and watersheds, lakes and their catchments, or hill ranges). • Take punitive action on companies and government agencies that violate environmental laws and procedures, including fraudulent and distorted environment impact assessments, and improper clearances. • Ensure that the principles of intergenerational equity is established within development planning and relevant laws and policies, and widely disseminated. These should be used as th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 25 guidelines to determine which ‘development’ projects are socially justified and ecologically sustainable. • Ensure that EIA and clearance become mandatory for the full cluster of projects which are inter-linked or which are present in the same region (e.g. in a river valley hydro-electricity project), including on their cumulative impacts. Piecemeal EIA and clearance for each individual component of a project (as for instance being attempted for the POSCO and Vedanta projects) should be prohibited by law. • In order to ensure transparency and accountability in the processes of governance, the relevant laws should give the mandate of organizing public hearings to affected communities and gram sabhas. • Ensure the presence of independent civil society & media during all public hearing processes. • Overhaul the EIA and clearance procedures to ensure that: o Independent experts with credible track record, affected communities and other civil society representatives are brought into it as central participants. o EIA and clearance is done by or through communities, and are funded independently of the project proponent. o EIA and clearance procedures also include a component of social impact assessment (SIA). o The clearance or approval agency is a separate and autonomous authority and not the MoEF. o They provide for an adequate and predefined public scrutiny period • No relaxation of environmental impact assessment norms should be allowed for any kind of industrial and other ‘development’ projects. • The practice of having a heavy concentration of industries in a geographically contiguous patch should be discontinued with immediate effect. Proper laws and legislations should be drafted and implemented to discourage such practices in the future. • Do not give/release degraded forest land to industry, and do not promote conversion of agriculture into farm forestry (as the World Bank and other agencies are promoting), including into commercial agro-fuel plantations such as jatropha, palm oil, and others. • Ensure that free prior informed consent of communities (meaning all adults of the relevant communities) is made mandatory, by law, for all ‘development’ projects that affect them. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 26 • Ensure that public hearings (jan sunwais) at local level are made mandatory before any development policy/law or scheme is decided on, at both central & state levels. • Enhance awareness programmes amongst political leaders, senior bureaucrats, other decisionmakers, and the general public, regarding the root causes behind deforestation (and its connection with global warming and climate change, and the impacts on society and nature), and of alternative ways of conserving forests while meeting livelihood needs and aspirations. 2. On governance and protection of forests • Forests should not be seen in isolation, but in a holistic manner that views other aspects of land & resource use of the community (including agriculture, water use, and so on) as being integrated with and impacting upon forest conservation efforts. • Ensure that the decision making power with respect to forest conservation is equally devolved amongst all the rights holders and stakeholders in order to guarantee an equal partnership and responsibility between communities and government agencies, with involvement of NGOs and independent experts (“forests are too important a matter to be left to the Forest Department”) • Promote participatory, rather than the current representative form of democracy, in which local populations are involved in all decisions that affect them, and in which decisions are based on indigenous knowledge and traditions along with modern knowledge and practices; this will lead to environmental democracy. • Evolve methods and mechanisms to give access and forest conservation related powers to communities that are closest to a resource, through available laws including the Forest Rights Act. These should be based on : o Formulating appropriate institutions, and mechanisms. o Clear recognition of the fact that that there can be many pitfalls in this (local inequities, cultural changes, institutional erosion, etc.) and hence provide for appropriate counter mechanisms to check abuse, especially to ensure conservation and equity in decision-making and sharing of benefits. o The recognition that such a system is a subset located within a larger nested system of institutions that have mandates that are larger and more comprehensive than the local village, and which provides for appropriate mechanisms of checks and balances (with larger institutions to deal with issues of regional/national/international nature such as climate change). • Encroachment by vested interests should be driven out (and criminal proceedings should be th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 27 initiated against such people), while encroachments by the poor and marginal people for subsistence/livelihood needs up to a reasonable cut-off date which discourages any fresh encroachment, should be given security on their lands, with full involvement of the relevant village assembly in the decision. • Stop undermining self-initiated forest conservation such as CFM in Orissa, by government dominated schemes such as JFM; respect the complexity, institutional diversity, and sitespecific nature of CFM through provision of legal space and legal recognition of CFM initiatives, without any dominance of quasi-managerial structure within it. • Recognize the significant role of financial measures in forest conservation. Finance and Planning Commission criterion or guidelines should include extent and quality of forests. So when deciding financial allocations for states, those performing well in forest conservation could be given higher priority. Simultaneously, panchayats and other decentralized bodies should be given the power to generate and control funds related to natural resources. However, we stress that money is not the most crucial component of conservation; most CFM has been initiated with other motivations such as securing livelihoods, water, or other livelihood resources, or out of concern for the environment and wildlife. • Devise different strategies for the diversity of situations of villages in Orissa, ranging from those within or adjacent to forests already doing CFM or JFM, others preparing for these, some villages nowhere close to forests, and so on. • Facilitate the setting up of Biodiversity Management Committees under the Biodiversity Act in all villages, provided the relevant Rules at the national and state levels are modified to provide for full empowerment with authority and powers and responsibilities, to perform conservation and sustainable use functions. The nature of such BMCs should be decided by the village assemblies after taking into consideration existing institutions that may be able to perform the same functions, as is provided for in the Madhya Pradesh and Sikkim biodiversity rules. • Operationalize the conservation provisions of the Biodiversity Act (such as Biodiversity Heritage Sites, or mandatory impact assessment of projects likely to adversely impact biodiversity) through Rules or guidelines, which even after 5 years of the Act, are still not in operation. • Facilitate workshops on underlying causes of deforestation and consequent impact in other parts of Orissa, and across India, especially with local communities, government staff, and NGOs. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 28 • Empower village assemblies and village level forest committees to monitor the Forest Department, in order to achieve the same checks and balances that are available in the Forest Department’s mandate to monitor what villagers are doing. 3. On securing livelihoods of forest-dwellers • Stress the importance of the subsistence economy by carrying out an assessment of how it gets destroyed (and thereby livelihoods get displaced) in the move towards commercialization and industrialization, and take appropriate action for safeguarding the same. • Explore different ways in which the NREGA can be used to stimulate the local subsistence based economy, help regenerate natural resources, and reduce rural-urban migration. • Recognize the crucial role community initiatives play in forest conservation and protection, and in livelihood security, and legally empower these initiatives especially against external ‘development’ threats and take-over by the government. • Recognize the need to integrate livelihood options (both forest based and non-forest based livelihood options, keeping in mind that forest produces, especially NTFP, forms the primary and bonafide livelihood of the forest dependent community) within CFM initiatives or JFM schemes, especially to stop distress deforestation, or hidden deforestation (e.g. when CFM/JFM communities ‘steal’ wood from neighboring forests). • Evolve mechanisms to make CFM more inclusive, so that all the sections of communities (and especially the traditionally disempowered such as women, landless, and so on) can participate. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 29 Annexure I: (Thematic Research Papers) Annexure I (a) Title: Globalization and the ecological crisis (Towards a new conceptual framework for an effective politics) Author: Aseem Shrivastava “The problem of climate change involves a fundamental failure of markets: those who damage others by emitting greenhouse gases generally do not pay…Climate change is a result of the greatest market failure the world has seen. The evidence on the seriousness of the risks from inaction or delayed action is now overwhelming. We risk damages on a scale larger than the two world wars of the last century. The problem is global and the response must be collaboration on a global scale.” - Nicholas Stern, Author of the Official Review on the Economics of Climate Change, quoted in The Guardian, November 29, 2007 1. phenomenon of migration and ecological refugees 2. social irrationalities of market capitalism, which expends resources to move goods to spots on the earth where they are already abundant (importing wheat into India), or transplants species to places to which they are not biologically native (leading to umpteen problems for the local population), or ships water across oceans Introductory remarks What has led the world to the edge of the environmental abyss is a triumphalist global capitalism in which aggressive corporations have been gouging out the earth’s resources on a scale unprecedented in history, leading on the one hand to massive resource depletion and on the other to the destabilization of ecosystems, whose long-held natural balance has been disturbed by unfettered, competitive, economic growth in the era of globalization. The chief institutional mechanism which has been facilitating this organized predation is the market, whose “liberalization” in favour of global corporate elites has been enabled by cooperative governments the world over. Assuredly, one has to be sceptical of any “solution” to the environmental crisis which leans predominantly on the market. This paper attempts to clarify the ways in which normal marketsignalling has actually led to the unhindered plunder of nature. It also suggests an alternative way of looking at the environmental problems that besiege us. Discussion along these new lines might actually enable a new ecological vision to evolve, also enabling in the process endangered indigenous communities to not just survive the corporate onslaught but perhaps serve as pioneers for the future. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 30 But first some clarification of key concepts like globalization is needed to lay down the foundations of a potentially new understanding of the environmental crises and approaches to address them. What is (corporate) globalization? As a point of departure it should be clear that the inescapable goal of capitalists in a capitalist system is the endless accumulation of capital. That this expansion should happen across space and time and should disturb the balance of far-flung communities living in relative harmony with nature is equally obvious. Illusion as it might ultimately turn out to be, the “conquest of nature” is defended as a human right. The institutions that have been set up to enable unimpeded capital accumulation ensure that capitalist values take priority over every other. For instance, even the goal of conservation has come to be looked upon through the lens of the profit-motive, not just by right-wing think-tanks, but also by mainstream economists. A necessary by-product of such an ideological commitment is the growing commodification of every bit of earthly nature, facilitating its remorseless exploitation. Globalization is the latest, most developed form which triumphalist capitalism has acquired since the end of the Cold War and the exit of the Soviet Union as a contending superpower from the world stage. We may think of globalization as a term used to describe greater economic interconnectedness and interdependence across the globe, a phenomenon that has accelerated dramatically over the past two decades. This is happening at least three different levels. There is more trade in goods and services between economic units and corporations located in different countries. This doesn’t imply that trade is necessarily free: while poor countries have been forced to prise open their markets to products from the rich countries, the latter have been reluctant to return the favour, as the experience with agricultural products indicates. Historically, countries have rarely, if ever, industrialized under a regime of free trade. In almost every case, protection against imported goods and services has been the norm at least until the time that the country is sufficiently industrialized. Secondly, since this phase of globalization began in the 1980s, there is far more direct investment in physical capital (FDI) across national boundaries. Corporations are locating their production units across the globe according to advantages related to favourable investment opportunities, marketaccess, and the availability of resources, cheap skilled labour, fiscal, environmental and other incentives. This is leading, from the environmental angle, to the globalization of supply-chains, resulting in rising energy costs involved in the transport of components, raw materials, and for that matter, finished goods. The same company may be selling French water in California and Californian water in France, making handsome profits on both sets of transactions. If the private, corporate cost of energy does not reflect all the indirect costs of generating it (from the social and environmental point of view), as is the norm, this environmentally destructive state of affairs can continue for a long time and lead to precipitous changes in the climate, among other effects for which there is now plenty of scientific evidence. Such ecological and social irrationality is not a coincidental but a predictable outcome of global corporate expansion with unfettered markets. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 31 Thirdly, thanks to the deregulation of finance in Western countries since the 1970s, and to the telecommunications/internet boom of the 1990s, there has been a dramatic explosion in purely financial transactions across the globe. If in the early 1970s, 90% of foreign exchange transactions involved real goods and services, today only 5% does. The rest of the transactions do not involve any new production: there is only a transfer of ownership of assets. This aspect of globalization is leading to the rapid financialization of economies like India’s, leading to new, more destabilizing forms of speculation with potentially deadly consequences for the real economy. From the environmental point of view, if an instrumental, utilitarian view of nature facilitated capital accumulation and prosperity for elite minorities across the world for so many decades and centuries, a perilous stage has now been reached when every patch of earth has now become a mere means for finance capital to expand its quantitative scale, not caring for long-run ecological, let alone intrinsic, values. Futures markets abound in every kind of primary commodities. Just how inexorable is globalization? Great power invites interpretations of inevitability: it is easy for intellectuals to see reason in it. Driven by powerful technologies, the expansion of globalization over the past few decades under American auspices has been so fast, and its penetration into far-flung corners of the earth so close to completion, that it has come to be seen as inexorable, like gravity, according to some savants. And yet, given the rapidly closing scissors-movement of peak oil and climate change in which humanity is slowly but surely getting caught, it would be foolish to assume that it is here to stay. Even before serious environmental alarms began to go off, the first two experiments with globalization (1870-1914 and 1945-1973) failed, ended by war and stagflation respectively. The latest project of globalization is up against much more formidable limits, not merely those imposed by nature, but also those of human society. Protest and resistance are growing sharply across the globe, including under totalitarian regimes like China’s, even as experts worry about where they will find the oil, and how they will limit its effluents, to keep the show going. Financially, in keeping with John Maynard Keynes’ warnings three-quarters of a century ago, globalization of markets has led the world to the brink of catastrophe. Crises occur from month to month. One or another is constantly occupying the minds of regulators and policy-makers. If it isn’t the sub-prime mortgage crisis, it is the uncertainty over the oil market. We have to prepare for the end of globalization. It is far easier to foresee its end than to imagine how the almost insurmountable ecological, financial and other problems it is generating with each passing day will ever be tackled successfully, especially given the inertia of powerful governments who are most responsible for taking timely action. It is thus far from unlikely that at some point of time in the near or not-so-distant future, globalization will collapse under the weight of its own contradictions. This is not idle nay-saying and dooms-daying, but informed opinion being generated by emerging environmental and other facts. The question is whether we will be ready for a crisis of unimaginable th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 32 proportions when it reaches the surface of human events. In the absence of “ecologically responsible citizenship”, we are likely to fall victim to the possibly still preventable events which may unfold in the future. Failing this, we may well suffer the consequences of “inconvenient” truths. The cultivated failure of cognition Most people, including experts, are so caught up executing the commands of the globalized market economy that they either fail to see the significance and scope of the gathering environmental crises, or are unable to make the necessary connections and see it as a direct consequence of global capitalist expansion. Perhaps there is no greater obstacle to facing environmental crises than the propaganda-driven beliefs which dominate the consciousness of the educated public, not merely in India but around the world, especially in the West. The media, increasingly owned by large corporations and working in their interests, manages to hide the burning end of the noose as it shines the light on the bright, luminous end of it. In India, the established facts – of, for instance, fast-melting glaciers, dying rivers, tigers becoming extinct – fade into manipulated, cultivated oblivion (even if they re-emerge from time to time) because the media ensures that public attention is fragmented, and fastened on the glories of economic growth and prosperity and on passing, shallow events which generate saleable sensations. Thus is corporate hegemony ensured by not allowing ordinary human intelligence, busy with the tasks of everyday life, to “join the dots”! Corporate think-tanks, government intellectuals and mainstream economists, keen to justify a predatory style of growth, sometimes offer the fatalistic argument that species have long been going extinct, as though the dramatically faster rate of extinction during the past century is not a relevant, man-made fact. Environmental ignorance is also a false, if frequently used, plea. The Rio conference on the environment in 1992 had enunciated the Precautionary Principle which disallows governments from using absence of scientific certainty as an excuse to plunder resources or reduce biodiversity, whenever there is a perceived threat to them. Languages are dying, leaving American English as the lone tongue of (An)globalization. But economists and other observers don’t seem to be alarmed by such trends either. Environmental ignorance is thus fostered in a multitude of ways to sustain the corporate vision of “development” for the country. The need of the hour is relentless environmental education of the public, which establishes and acknowledges facts and has the courage to draw the right conclusions, regardless of which interests are offended by such intellectual rigour. Only then can a sustainable vision of collective survival be hoped for. This is the best antidote against the “cultivation of the fog”, which can only worsen matters in times like ours. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 33 The growth fetish In poor developing countries like India, the obsession with economic growth among the policymaking elite, the corporate technocracy and the media (increasingly in the hands of a limited number of corporations in each region of the country) has acquired demonic proportions, as if growth per se will enable poverty to be eliminated and development to be facilitated over time. This follows the growth fetish that has been the norm in the West for many, many decades. Indian economic policies since 1991 have been made under the aegis of the IMF and the World Bank, whose primary goal is to maximize the bottom-line for investors, largely based in Western countries, as the experience with IMF-led policies in dozens of countries since the 1980s indicates. The truth is that high growth numbers are being touted in order to attract financial investment from abroad. This not only inflates the value of Indian financial paper but offers viable parking lots for global finance, whose fortunes are increasingly uncertain in markets in the west, symbolized by such disasters as the sub-prime mortgage crisis since August, 2007. If the Indian economy can be shown to be growing at 8 or 10% every year, much higher returns can be guaranteed from financial investments in the stock, bond and derivative markets. Foreign investment is coming, but much more in the form of institutional investment by various powerful global funds in financial paper than in the form of direct investment in physical capital. The numbers have become all-important. They take the place of careful thinking and scepticism. Crude numerical data and superficial analysis based on it have taken the place of intellectual rigour. The quality, ecological character and spread of growth are not considered. Waterfalls, mangrove forests and rivers are disappearing under the smokescreen of impressive growth data. But it matters little. The facile assumption is made that a 10% rate of growth is necessarily better for the country than, say, a 9% rate of growth. It is also casually argued by many economists that a richer India will have more resources to tackle the environmental challenges like climate change, taking little cognizance of the fact that the latter may just be growing much faster than the former (we have no simple way of knowing yet whether such is the case or not). What is crucial to note is that since this phase of globalization was launched after the end of the Cold War in 1990, what has been called a “race to the bottom” has begun across the world. This is a direct consequence of the celebration of “survival-of-the-biggest” capitalism. Countries eager to attract investments by transnational corporations are outdoing each other in lowering labor and environmental standards, offering generous fiscal incentives and terms of market-access. The process continues to be stimulated and facilitated by the so-called multilateral institutions – the IMF, the World Bank, the WTO and the ADB. Globalization has unleashed the enormous dangers of a herd effect operating on a world scale. Since other countries (like China) are clearing their lands for industry, or running down water reserves, we are told that it is imperative for us to do so too. Otherwise our survival in a competitive world is not assured. However, this is a specious logic that cannot be sustained in the light of emerging ecological th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 34 facts. It has to be challenged through global, regional and local dialogue, to better ensure that baseline environmental standards are sustained. In the absence of such dialogue we might well be invited to a race with other countries on a sinking ship. The same applies to standards within a country. There is competition for investment not just between countries but between states within a country; in both cases governments vying with each other to attract the largest investment to their own regions. What is happening between India and Indonesia is happening as much between Kerala and Karnataka or, for that matter, between Nebraska and Nevada. Such ruthless competition for investment on the most favourable terms (from the angle of corporations only) is new in economic history. And the fact that enormously powerful technologies are being deployed to achieve narrow corporate goals makes the whole enterprise fraught with unprecedented environmental peril. Each lowering of standards and norms means weakening of local communities in order to give advantages to Transnational Corporations (TNCs). TNCs have no loyalty to communities even in their own countries. They escape all obligations to communities by having the facility to fly their capital to far-off places if not given the most favourable terms. It is then easy to see how potentially catastrophic environmental consequences, like climate change and vanishing biodiversity, are being precipitated by globalization. International regulatory bodies like the WTO are headed not by ecologists, but by economists who are convinced of the fundamental rightness of markets. The more the consensus around globalization and market-fundamentalism grows, the graver are going to be its long-lasting environmental effects for humanity and other species. In the near term, the losses, costs and risks for vulnerable communities are already noticeable. It should be no cause for surprise that the challenge to the corporate consensus is coming from places where working people, and those excluded by the process of globalized economic growth, are having to shoulder a disproportionate burden of the costs of globalization. All this does not imply that there is no alternative to the form of corporate globalization that meets our eyes today. On the contrary, there is a growing literature re-examining the premises of so-called “development”. More and more, people are beginning to recognize that desired development rarely follows automatically from economic growth. Trickle-down effects are almost non-existent in a context of jobless growth. Moreover, what might be development for some is displacement and loss of livelihood to many. Instead of a quantitative fixation on numerical measures of growth, attention has to move to the qualitative content, social spread and ecological character of growth. It is easily forgotten that, thanks to growing automation across the industrialized world, the employment-elasticity of growth has fallen dramatically in recent times. While the Indian economy has been growing above 8% every year for the past five years or more, the rate of growth of employment has fallen to a mere 1%. In the 1980s, when the growth rate was far more modest (5-6% p.a.), the rate of growth of employment was 2.3%. The micro-level data corroborates the macro th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 35 picture. For example, Tata’s steel plant at Jamshedpur today produces more than 5 times as much steel as in 1990, with half the labour. The model of development being aggressively pursued by Indian policy-making elites pushes for a form of industrialization in imitation of the Western model which makes intensive use of energy, water and other resources, and which makes it quite unsustainable in the long run. A different model of industrialization, absorbing more labour and more in line with Indian traditions – relying on village industries and handicrafts – may be called for. The work of Daniel and Alice Thorner is forgotten today: before British colonialism India was among the more industrialized countries in the world. It was systematically “de-industrialized” by Britain for its own imperial interests. However, after independence it has continued to follow the same predatory model which today is bearing bitter ecological fruit. Little wonder that some people have seen the process of capitalist expansion in India as little better than a form of “internal colonialism.” The environmental failure of the global market In a competitive capitalist economy there are two ways to make things cheaper and enlarge your market share. You can either increase efficiency in production (by using less labour and/or more productive machinery) or you externalize costs and pass them on to society, to residents of another country, to the world at large, or to future generations of humanity. Within countries there are laws and institutions which regulate (cost-cutting) environmental harm. Across countries there are no binding laws, only conventions, like the Biodiversity or the Toxic Trade (Basel) Convention which, as we know, are routinely violated. Hence it is no accident that some of the fallouts of globalization have predictably been the outsourcing of “dirty” industries and the growth of the trade in toxics. And if climate change has accelerated since the dawn of this phase of globalization, much of the blame has to be shouldered by transnational forces of capital which have the power to shift external costs, losses and risks to regions where environmental laws are weaker or non-existent, making the cumulative situation of the global environment – a de facto commons – ever more precarious. The externalities generated globally through the working of the “free market” (which in reality is free only for big capital) can indeed have tragic consequences. Some years ago the then Chief Economist of the World Bank (and later, Clinton’s Chief Economic Advisor and President of Harvard University) Larry Summers, in an internal memo, made a case for the export of externalities (from the affluent nations). He argued that there were at least three good reasons to believe that “dirty” (polluting) industries should migrate to poor countries. Firstly, the foregone earnings from the greater mortality (and morbidity) that would follow in the poor countries would be lower because they are poorer. Secondly, some countries (Africa came to Summers’ mind) were “vastly under-polluted” as compared with industrialized ones. Finally, the rich were in a position to demand a cleaner environment not merely because they had more money, but because of “greater aesthetic sensitivity.” A clean and beautified environment is a cultural privilege of the elite. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 36 Summers concluded: "I think the economic logic behind dumping a load of toxic waste in the lowestwage country is impeccable and we should face up to that." The poor must be poisoned in the larger interests of economic wisdom. This is the message. Call it the near-sighted prejudice of the privileged. Summers noted that though there were moral and technical counter- arguments to his prescription, these applied equally to “every Bank proposal for liberalization" as if that was justification enough for his arguments. He left it at that, thereby implying that prevailing, even banal, flaws in the thinking and policies prescribed for poor countries by the World Bank were worth compounding in order to increase the efficiency and “welfare” of the world economy. The Economist, which was the first to publish Summers’ memo under the mocking title “Let them eat pollution”, proceeded in its next issue to approve of Summers’ approach: "If clean growth means slower growth, as it sometimes will, its human cost will be lives blighted by a poverty that would otherwise have been mitigated." Environmentalists who questioned Summers' logic, the magazine argued, were to be blamed for "causing great, if well-intentioned harm to the world's poorest people." The argument assumes that growth will of course lead to development, reducing the scale and depth of poverty in Third World countries. Trickle-down is not just a promise but a guarantee. Never mind that in countries like ours hundreds of millions have been waiting decade upon decade for the crumbs to fall from the tables of the wealthy. It is not growth of every kind that benefits the poor! Such an approach to poverty as Summers takes is not only ethically repugnant; it is also logically inadequate, empirically flawed and ecologically myopic. The poor have no health insurance and thus have nothing to fall back upon should they suffer disabilities on account of the health effects of pollution. This should provide us with good reason to locate polluting industries near the rich neighborhoods of the world (since the wealthy can more readily redress the health effects of pollution). Further, Summers assumes that polluting large-scale industrialization is the only way to enhance the economic welfare of the world. What if it turns out that such a path (especially in the era of peak oil and climate change) is simply unsustainable and that a slower and lower growth path, involving small-scale rural industries and handicrafts which offer work to many more people, apart from significantly reducing the global pollution load, is the only viable alternative before humanity, especially in countries like India? If so, then again Summers’ argument about evening out the pollution burden of our imperiled planet holds little water. If one follows Summers (as The Economist does) the life of an Orissa tribal is worth less than that of a New York financier, African countries must repeat the industrial follies and excesses of the West, and of course they are not in a position to care either for their health or for the environment around them as the rich are. The business of environmental conservation is best left in the hands of the rich. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 37 Is this true? Is the world’s environment safe in the hands of global finance and big business? They acquire land and its resources to make quick, high profits. As long as resources can be lucratively exploited and resulting externalities either exported (as instanced by the growing global trade in toxic waste) or kept far from their world headquarters, why would they have any desire to protect and conserve nature? On the contrary, the pressures of competition in the global marketplace may well drive them to move Third World governments to relax environmental standards, clear-fell forests, drain down or pollute to extinction surface or groundwater reserves, and contaminate the soil. Such has in fact been the fate of many a ravaged rainforest in the Indonesian archipelago or the Oil Delta in Nigeria. Indeed, in keeping with Summers’ logic corporations from rich countries are ever so likely to export their dirty industries to the South. Why not site iron and steel and aluminum plants near their mines in Orissa rather than importing the ore to the West and dirty the skies and waters in Pennsylvania? And doesn’t his logic also effectively support the export of hazardous wastes to poor countries in Africa and Asia? Following Summers, governments of the Third World will commit ecological hara-kiri in the end. Moreover, the rich will continue to have environmentally destructive lifestyles since they will be exempt from bearing the external costs of their consumption. This, in the end, will affect everyone, including the rich. On the other hand, communities whose histories and destinies are linked closely with forest, pastures, rivers and waterholes, and whose long-term interests are thus inextricably bound up with nature in this way, are so much less likely to mine their ecological capital. Such deeply flawed thinking as Summers represents has taken hold of policy-making across the world today, shifting control over resources towards those with the capital to drive development choices and away from communities that have traditionally lived closest to them. This means that global finance has become lord and master of the earth, determining the pace and pattern of resource-use according to its short-term profit-maximizing calculus. The earth itself has turned into a global casino with every piece of nature a number on the roulette-wheel of investors and speculators. Not only do indigenous peoples and communities lose, in the long run, such irresponsible thinking and policy choices contribute significantly to problems like the concentrated accumulation of toxic wastes, climate change and loss of biodiversity, ultimately imperiling one and all. Tragedies of the global commons are precipitated by poor overall cost-accounting, either because environmental costs are ignored altogether by TNCs, or because they are transferred to poor countries, or because of subsidized production in countries far from the point of consumption raising the energy costs of transport. If India is forced to import food from Australia, US and Canada, thanks to agricultural policies conceived to serve narrow corporate interests since the early 1990s, the energy cost of shipping the food may be of short-run benefit to freight companies. But from the point of view of humanity taken as a whole, who will fail to see the social irrationality and ecological myopia of such a trading arrangement (which in any case has nothing whatsoever to do with free trade)? th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 38 Importing food into areas hitherto abundant and self-sufficient in it is not just ecologically irrational, it violates basic principles of comparative advantage on which free trade theory rests! What is surprising is that mainstream, free-market economic theory is the first to acknowledge the three fundamental shortcomings of even a smoothly functioning free market economy. Even in theory, it has been rigorously established, competitive free markets will not allocate resources efficiently when it comes to situations in which there are significant externalities (consequences to third parties from an economic transaction between two others), or where the provision of public goods (whose supply cannot prevent non-paying users from accessing them) is concerned, or where there is significant market power (such as monopoly or oligopolies) prevailing in a certain context. The truth is that as far as the real world is concerned, all these three “exceptions” increasingly constitute the norm, making traditional economic theory of utterly limited relevance, certainly since this phase of globalization commenced in the early 1990s. Ironically, the rationalizing role of neoclassical theory becomes much clearer in triumphalist capitalism at war with the planet. Its wellknown theorems of optimality of resource allocation, if taken seriously and applied to real world situations (as for instance the IMF routinely does), is fraught with severe environmental dangers. The real world occupies a universe altogether alien to mainstream economic theory. If the polluting petrochemical plants which produce the polymers used in plastic products consumed by affluent residents of Greenwich, Connecticut, had to be located in their neighbourhood, urgent measures would be taken to ensure that transitional alternatives were found as consumption was reduced. But in the real world the plant may be located on the southeast coast of China, or near a poor neighbourhood in Mexico, causing grave damage to air quality and public health for people who may be politically helpless to stem the rot. The products would be shipped by sea, using oil drilled from Middle-Eastern lands, suffering from imperial wars. When environmental effects of industrial expansion are indirect and happen at a distance, it is easy for the people causing the problem (and benefiting from it in the short-term) to become blind to it. The situation is diametrically different for those who are on the receiving end of the damage. As Nicholas Stern has recently observed, when one set of people reap the benefits and another set of people pay the costs, the environment necessarily suffers, because the former have the power to change the situation, but no incentive whatsoever to do so. The latter have every incentive, but little or no power to take decisions of collective significance. The North can, in effect, go on dumping its waste on the South, or extracting its resources at throwaway prices which fail to reflect ecological costs altogether almost indefinitely. Things are fine, from the perspective of those who cause the damage, as long as the negative effects of their lifestyles and actions transpire at a safe distance from them and are localized in the region where the plant is located. Things are also under control as long the effects are relatively small in the scale of global ecology. But after half a millennium of world capitalist expansion, such is very far from being the case. The environmental damage in question is serious, even if seemingly remote: global climate th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 39 change is happening as a direct cumulative consequence of economic growth. It starts becoming clear that only those who are closer to the receiving ends of the damage in the short-run (rather than the long-run) are in a position to know to some extent what the true costs are. It is they who “know the real score” and can keep society alert to the environmental costs of generating its measured GDP, unequally and unjustly distributed as it is. Because affluent nations and capitalists are getting away without paying their ecological bills, under the nose of governments desperate to offer concessional terms on investments, the self-interest of the vulnerable communities is the only basis on which the long-term interest of society as a whole can be served. Paradoxically, such people belong to typically poor, often disenfranchised, communities, with little economic voice to express their costs or benefits in the marketplace. There is no more obvious way to see how the market will send just the wrong signals as far as the “efficient” level of production and pollution are concerned. Both the producer and the consumer of paper, for instance, have an interest in ignoring the (external) environmental costs of water pollution (what economists refer to as externalities). This will keep the price of paper low. The only people who are in a position to know the external cost of paper production are those people, living in proximity to the polluted water, who are adversely affected by the pollution. Also, they are the ones in a position to see clearly the costs to future generations from such environmental damage. The market mechanism of price-signalling will be routinely blind to “tipping-points” that may be actually crossed in various ecosystems on account of market transactions – as long as those who are the first to feel the losses, costs and risks are priced out of the opportunity of expressing their economic voice in the market. How are we to know about these tipping-points if the people who experience their effects are in no position to express their increased ecological distress? It is for this reason that a legally backed participatory environmental democracy is essential to register environmental signals, which the market mechanism is ill-equipped to do, especially in the absence of a government not alert to ecological losses. Corporate market rationality, driven by considerations of competitive cost-cutting efficiency, is conceptually very distinct from ecologically rationality. If relied on to tackle serious environmental challenges, as the experience of climate change is making clear, it will inevitably lead to unmitigated catastrophes. Markets will fail to register approaching environmental upheavals. This is what has put the market economy at odds with so much of environmental and climate science today. The intellectual and political hegemony of the market today makes it appear permanent, which it obviously isn’t. Thus, most of the Economics profession finds itself on the wrong foot today, insofar as an appropriate response to the environmental challenge is concerned. By relying on such nostrums of economic theory as carbon-trading, the day of environmental judgment is merely postponed. A sub-market is created to allow the polluter to carry on polluting and the illusion that the problem is being tackled is sustained by the economic gains of those who make money in the short-term from carbon credits. One innovation to the carbon trade which may actually make a positive dent in the problem is if indigenous communities who are non-emitters are given carbon-credits by companies who exceed th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 40 their quota. This would create a regional incentive to conserve in areas threatened by loss of forests. Unlike companies, interested in maximizing profits, communities are more concerned with survival. If rewarded for conservation efforts they would be less inclined to cut trees. And the money they earn for their conservation efforts would serve as a safety valve for necessary consumption, saving trees in the process. It is no surprise that climate change has come about precisely as a result of the logic of the marketplace, dominated as it is in the real world by the expanding oligopolistic power of transnational corporations and the affluent consumers who buy the products they produce, the state increasingly blind to environmental concerns and imperatives. To make peace with the market is to make an ultimately losing war with the planet. “Free” markets and liberal democracy: a symbiotic isomorphism? Of a vintage even older and more distinguished than the idea of a free market (whose earliest intellectual advocate was the 18th century Scottish thinker Adam Smith) is the idea of democracy. In Western thought it can be traced to the Greek city-states and Roman senates, which practiced a form of direct democracy by entitled citizens for several centuries. Slaves and women were left out of the sphere of political recognition. This was quite distinct from the kind of representative democracy which came to be the norm in the mass societies of the Western world after the American and French revolutions and the European upheavals of the 19th century. The latter was a popular compromise that emerged between the bourgeois and working classes in Western countries. Bringing the ancient notion of democracy as rule by the people together with the political liberalism of European enlightenment thought, “liberal democracy”, as it came to be called, gave the economic liberty of retaining private property and control over the means of production to the bourgeois classes, while accommodating the political rights of the working classes. Thus was formal political equality achieved, though economic equality and democracy remain a dream to this day. From our vantage point of concerns of environmental justice and sustainability at the dawn of the 21st century one may note the remarkable isomorphism that has emerged between the idea of a “free” market and the idea of representative democracy. In mathematics the word isomorphism is used to draw analogies between two complex structures, the internal relations between parts of each structure being very similar to each other. In the unipolar world that has emerged after the end of the Cold War, the most powerful entities on earth are giant transnational corporations. They are driven by capitalist imperatives of expansion and accumulation. They need markets, and a suitable ideology of “free” markets, to transact their business. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 41 As such, the idea of a market merely denotes an arrangement for voluntary buying and selling. (In the real world, of course, some exercise enormous market muscle because of the wealth and privilege at their disposal, while others are priced out of the system due to the absence of such historically cumulative advantages.) In order to succeed in the marketplace a company needs to be able to gain popularity for their brand of products and win over the competition. This is very similar to the manner in which a political candidate tries to gain the edge over his opponents by fighting under the banner of a party. In each case a race is on, involving rival competitors. Just as in a free and voluntary marketplace an individual is understood to exercise her economic voice, in a “free and fair election” she is able to make heard her political voice. She is a “sovereign” consumer in the first case and a citizen of a free state in the second. Importantly, she has little power (in a world shaped so profoundly by disproportionate distribution of wealth and privilege) to write the menu in either case. She is a citizen for one day and a subject for four or five years. In the former, she has to choose from the products which corporations (with bulging advertising budgets) make available to her. In the latter case, she expresses her vote for a wealthy candidate out of a list over which she has little or no influence. In this way economic and political passivity and insularity is generated even as the ideology of “free choice” is maintained in society – in both economic and political matters. Choice is always between alternatives which are pre-determined by others and given to an individual, not of alternatives that she forges in league with members of her community. This is the reigning understanding of freedom in the modern world. Free and fair elections and free markets together have a resoundingly persuasive echo in our ears, the media contributing to effective elite propaganda through its daily repetition of appropriate mantras. The economic and political notions of “freedom” have become mutually reinforcing concepts. With greater American domination in the age of unfettered globalization the entire exercise has acquired deep ideological overtones, as though with “the end of history” the perfection of justice has itself been reached in the Western world. Other countries are thus obligated to follow the example of the “free” world. Countries are required to be “free” in both senses: they must want to have “free” markets (which practically speaking implies transnational corporate access to the markets, resources and investment opportunities of every country) and they must want to have “free and fair elections” (but only if the winner is a votary of the West) periodically to legitimize the whole exercise. If either or both of these conditions are not met, the country risks an invasion by the hyper-power and its affluent, well-armed allies. Crucial to note is that human collectivities and communities have no rights in the Western liberal tradition. The focus is entirely on individuals and their rights. Crucially, corporations have the legal status of being “persons”. We shall see later how this failure to ensure the rights of human communities has implications for the failure of environmental protection. The survival imperative of participatory environmental democracy th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 42 It is crucial to understand that a merely more representative democracy is typically quite inadequate to meet the environmental challenge. The reason has to do with the fact that the official representatives of the people typically do not bear the costs of environmental losses and risks themselves. They are in a position to escape them because of their privileges. And the privileges are greater; the greater is their distance from the site of loss. For long it has been true that the representatives of the people typically live in an urban setting, far from the countryside which subsidizes and underwrites the industrial lifestyles of city-dwellers. In India at the moment there appears to have emerged an unwritten cross-party consensus which favours industrial and infrastructural “development” which is intensive in the use of energy, water and other resources and has a conscious bias towards cities. The SEZ route to “growth at any cost” is just one instance of what might turn out to be a harbinger of a full-fledged city-state model of capital accumulation. Virtually every political leader is forsworn to such a vision of India’s emerging greatness as a nation. This vision of globalizing India is of necessity inviting radical changes in landuse patterns in favour of industry, infrastructure and real estate, even as agriculture, forests and nature reserves languish as a consequence. For such reasons, representative democracy along the lines of the modern West is not adequate to meet environmental challenges. For sound decision-making in the environmental realm it is essential not only that people at the receiving end of the losses are regularly consulted, but that they in fact participate in the process of making decisions. Only then will accurate information about environmental costs and risks be reflected in decisions taken. Markets located at a safe distance from vanishing resources are most unlikely to value them accurately. The same is true of bureaucracies trained to think of urbanization as progress. Moreover, given that environmental losses are experienced collectively, democracy (with the widest participation) becomes an essential prerequisite of good decision-making. Signalling through markets impacts upon individual costs and benefits only and we know from “the tragedy of the commons” kind of situation that any single individual will have little incentive to conserve, under the assumption that every other individual is disinclined to do so. The logic applies even more powerfully to corporations competing for the same resources. The defence of endangered nature can only be undertaken by equally imperilled communities. The above situation is only made worse by the fact of “short-termism”, the fast-reducing time horizons over which corporations carry out resource-planning. In the age of high finance, where every inch of the earth is being price-tagged and bar-coded for both spot and futures markets, everything from rainforests to coral reefs are bought to be sold. There is little incentive to invest for conservation purposes when you know in advance that the resource may not be yours forever, given the uncertainties that reign in financial markets. So the Hardin solution to the tragedy of the commons – privatization – is not going to work. This fact in effect converts every bit of the earth into a commons which you buy cheap in order to sell dear. And you need invest in the long-term ecological quality of the resource only to the extent of convincing your next buyer. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 43 The situation is altogether different for communities with a long-term stake in the resource in question. Therefore, environmental decision-making – involving the use of resources, the damage to ecosystems and pollution control – cannot be left in the hands of markets. It must be undertaken by democratically empowered communities with a long-term stake in the natural environment. There is plenty of evidence for the success of community institutions for the successful management of natural resources. All this requires the setting up of legalized community institutions, as opposed to forest bureaucracies and distant corporations, to manage forests and other resources by which they live. Decentralization has to be effective, not token. Power must be devolved to local institutions like panchayats and gram sabhas, keeping in view the danger of the hijack of local institutions by powerful groups. Are legalized community institutions an adequate environmental safeguard? The above is not to suggest that problems like deforestation can be prevented or reduced with guaranteed success if decision-making authority is adequately decentralized under a set of legally established community institutions. Urbanized, industrial growth is not the only source of deforestation and other environmental ills. One has to note that the entire ethos of privatization and impatient greed unleashed by the forces of corporate globalization have not always left intact those institutions and norms which often sustained ecosystems in a state of balance and saved forests and water-sources from loss in the past. Examples are available from states like Chhatisgarh and Orissa. There are at least three ways in which accelerated globalization has impacted the decision-making context in different regional and local contexts. Firstly, powerful globally mobile institutions, like TNCs and multilateral banks, are in a position today to influence and insinuate local bodies to take “democratic” decisions which suit corporate interests. This is especially the case in countries like India, where institutions like the World Bank have been exercising their influence on policy-making at every level of the state structure for several decades. If this is true, there is little to prevent local bodies from voting for the siting of mines, dams or industries on land where their village stands, provided enough monetary “compensation” is given. For similar reasons, patterns of land-use or choice of crops (for instance towards bio-fuel) could be shaped by corporate considerations. In this manner, ecologically myopic and socially irrational decisions can easily get taken by an ignorant cash-based consensus. Secondly, in the name of decentralization, as recent experience in places like Chhatisgarh and Andhra have made clear, local elites have garnered not merely resources but decision-making authority. They have made handsome monetary gains by betraying the larger interests of local communities in environmental preservation and striking lucrative deals with contractors and companies. Thirdly, one has to recognize that the forces of corporate globalization have unleashed a new anxiety in so many communities which have lived in sustainable coexistence with nature in the past. Fear of th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 44 approaching loss of the natural resource base can easily make people act greedily and precipitate a “tragedy of the commons” which is neither in anyone’s long-term interest, nor in the interests of ecological health. Again, social and ecological irrationality can come about as a consequence of the change in the “motivational matrix” of people’s actions. They may have come to expect to live the ecologically destructive lifestyles of city-dwellers. In an age of aggressive advertising in the electronic and print media such possibilities cannot be discounted. The furtherance of an impatient greed may be one of the more perilous and long-lasting psychological results of accelerated globalization. These possibilities have to be contended with and appropriate safeguards built into policies for environmental protection and human survival. For instance, neutral environmental observers from outside can be considered for a veto voice in local decision-making if the latter is proceeding in the direction of irrational resource destruction. Such dangers can be prevented only through active participation and audit by local communities, supported by external observers, citizens’ bodies and public accountability and transparency that legislation like the Right to Information Act provide for. Much more discussion and clarity is needed on such issues. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 45 Annexure I (b) Title : Licence to Destroy (Evironmental Regulatory Framework in the Era of Economic Growth) Author: Manju Menon and Kanchi Kohli21 India is presently witness to scores of development projects being planned and implemented. These projects- some of them the biggest, highest, fastest ones to ever come up are touted to be the harbingers of overall development. They are to be our means to gallop towards double digit growth rates. But stories pouring in from different parts of the country, especially the economically poorest ones reveal that the benefits from these projects are for a small section of society that has economic and political clout. For the environment as well as for those living on the margins of society and who face impoverishment due to loss of livelihoods, ill health and decreasing access to essential services, a very bleak future lies ahead unless the present trends are reversed. This poses the greatest challenge to all environmental and human rights movements in the country today. New actors, ‘big’ problems It is not that the problems related to industrial growth did not exist earlier, but the era of globalization has changed its scale. A large number of Multinational Corporations (MNCs) are into making profits from natural resources, armed with technologically advanced machinery that displaces human labor, reduces time and produces more. They source money from burgeoning share markets, which has no environmental or social consciousness. Tie-ups, mergers and acquisitions bring large and powerful corporations together. Core sectors such as mining are being increasingly deregulated to allow for large –scale operations and greater inflow of foreign capital and technology to support these operations. The justification for this form of development comes from the acceptance of the Kuznet’s curve, the favorite econometric toy of neo-liberal establishments from the World Bank downwards. Simon Kuznet originally developed his theory in the 1960s to explain why inequalities increase when a country begins to develop economically, but later incomes begin to equalize as the wealth begins to 'trickle down'. Later the Kuznets' Curve was somewhat arbitrarily applied to environmental situations. It is claimed that many environmental health indicators, such as water and air pollution, show the inverted U-shape: in the beginning of economic development, little weight is given to environmental concerns, raising pollution along with industrialization. After a threshold, when basic physical needs are met, interest in a clean environment rises, reversing the trend. This theoretical understanding has been woven into the regulatory law and policy framework including on the subject of the environment. The environment law regime has been reworked upon and what has unfolded before us 21 The authors are members of Kalpavriksh Environmental Action Group th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 46 is ‘regulatory capture’ – a form of corruption that legalizes all past injustices. Lele and Menon have noted this about the NEP, “... instead of mainstreaming environmental concerns into all development activities and sectors (its stated goal), it ‘mainstreams’ the current notion of unbridled development into even the limited environmental regulation we have.” This is true of all environment regulations today as we will demonstrate in this paper. International Finance Institutions and corporate bodies have increasingly influenced environment law and policy formation, through ‘best practices’ and conditional lending. This has occurred at local, national and international levels. The Mining, Minerals and Sustainable Development (MMSD)22, the formulation of the National Environment Policy and amendments to the environment clearance procedures carried out in 2006 are cases in point. Using law to legalize destruction A close look at the series of amendments made to the EIA and CRZ notifications under the Environment (Protection) Act since the time they were brought into force in 1994 and 1991 respectively reveals that in the recent times there are several mechanisms and ways that have been adopted to push for changes in law in such a way that destructive development is part of a legally defined framework. How does this happen? a) Use of reductionist scien The new regulatory procedures deploy science to foresee, understand and fix environmental challenges. But this science is a very reductionist kind of science that breaks down complex environmental and ecosystem functions or interrelationships into a set of services. This kind of science is also dishonest about the ‘unknown’. Environmental Impact Studies mostly identify only the impacts that can be quantified and those that can be mitigated. Areas about which cause and effect relationships cannot be established by modern science are left out altogether or superficially described. For example; cultural impacts of projects are almost never studied and therefore not recognized as impacts. Cost-benefit studies are done, but they are at best, arbitrary valuations of environment services and goods. b) Mitigation and not prevention Conservation of ecological spaces has been made vulnerable to a mitigation based approach. Impacts are assumed as a necessary evil and the best environmental solution available is to adopt techno fixes to minimize the impact to the extent possible. Market instruments such as monetary compensation of resources lost based on arbitrary valuation of their environmental services and compensatory offsets are used to justify decisions that result in large scale and irreversible environmental impacts. Mitigation measures such as the ones to curb pollution or forest losses have the potential to have their own impacts as they come in the form of restricting access to land and changing land use by restricting access to them by those whose livelihoods depend on them. 22 The Global Mining Initiative (GMI) created the two-year Mining, Minerals and Sustainable Development (MMSD) project. The GMI is a coalition of ten multinational mining companies with the aim of promoting the development of corporate social responsibility in the mining sector. (http://www.globalmining.com) th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 47 Ironically these never find mention in the quantification of impacts. In the entire process of impact assessment, developers and bureaucracy, those with the money and power decide what are acceptable impacts and if mitigation is adequate. c) Rule by experts A paper by researchers Menon et al23 studying the proposed changes to the coastal regulation norms state that while critical issues how the law will be operationalised are left completely unaddressed, “there is extended hair splitting over terms such as ‘professional’ and ‘expert’” in the proposed draft.” The entire process of impact assessment of infrastructure projects is out of any control of local communities. It is made out to be a ‘scientific process’ which values only formal technical and administrative expertise. The regulatory agencies and the expert advisory committees are filled with technocrats and ex-bureaucrats most of who have close affiliations with project developers or have spent their professional life planning these projects that they now have to assess. The specialized grievance redressal authorities are also dominated by individuals with similar professional profiles. This makes it impossible to make arguments to them while petitioning against environmental impacts of projects and expect them to be moved by the fact that impacts fall more heavily on marginalized and economically powerless and politically underrepresented constituencies. Debates on procedures and not the spirit of law in the framework of constitutional rights, hold. d) Violence to validate state decision The escalation of violence connected with decision making for development projects is an illustration of the inherent nature of the state. Force is certainly not the only means of the state, but force is a means specific to the state. The state claims the monopoly of the legitimate use of physical force within a given territory.24 In almost all the resource rich areas in the country today project affected communities and activists are faced with the gun, lathis and loss of personal freedoms of movement and speech. The state of environment regulations Environment concerns and regulations for environment protection have been repeatedly seen as ‘bottlenecks’ to speedy implementation of projects. In order to overcome these, there has been a decade long action by central and state governments (pushed by investor and industry lobbies) to reduce these regulations to mere administrative formalities. A string of amendments to these have ensured that they are designed to fail their own statements of objects and purpose. The entire environmental governance framework today rests on a mitigation based, ‘polluter pays’ model. As a result, more and more areas that are wildlife habitats, agricultural lands, critical 23 Menon, M., S. Rodriguez and A. Sridhar. 2007. Coastal Zone Management Notification '07 - Better or bitter fare? Produced for the Post-Tsunami Environment Initiative Project, ATREE, Bangalore. 24 See the extracts from Max Weber, “Politics as a Vocation”, available at: http://www.ne.jp/asahi/moriyuki/abukuma/weber/lecture/politics_vocation.html th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 48 watersheds, sensitive coastal and marine areas are being freed of ‘legal and administrative encumbrances. These areas are to be developed and the environmental and social impacts of this process are to be managed through market based solutions. The 1980’s and the early 90’s brought in some legislations for the protection of the environment and the people who directly depend on the natural resources around them for their survival. Important among these are the Environment Impact Assessment (EIA) Notification (1994) and the Coastal Regulation Zone (CRZ) Notification, 1991, both under the Environment (Protection) Act, 1986. a) Environment Clearance From 1994, with the issuance of the EIA notification under the Environment (Protection) Act, it became mandatory for development and industrial projects to go through a process of Environment Impact Assessment (EIA) and public hearing (from 1997) and obtain an environment clearance before they could begin construction. This was meant to be a precautionary approach to be implemented with the spirit of environment protection. But what happened in the course of the implementation? Statistics indicate that from 1986 to 2006, 4016 projects were granted environment clearance by the MoEF. A much larger number operate without the mandatory permissions. In March 2005, the Supreme Court of India ordered the closure of all units which were operating without environmental clearance. This was in response to a writ petition filed by Goa Foundation. Soon after in July 2005, MoEF set into motion a process of seeking temporary working permissions (TWPs) and post facto clearances through an amendment to the EIA notification. The EIA procedures for decision-making on environment clearance were overhauled in 2006. None of the suggestions made over a decade; to improve the regulatory process, the quality of information for decision making and enhancing transparency were included. Instead, the reforms focused on speedy clearances. The public hearing procedures were changed too. This is the only process which challenges the otherwise routine administrative procedures as diversity of opinions/positions are introduced at this stage. There was an emphasis to regulate this process too by allowing only people with ‘direct stake’ in the project or its impacts to participate. In keeping with the reductionist trend, public hearings are robbed of any capacity to function as spaces for decision making. They have simply been reduced to but a step in finalizing a draft EIA report. b) Forest Clearance Since 1980, with the promulgation of the Forest (Conservation) Act, the Ministry of Environment and Forests (MoEF) has allowed for the diversion of 11, 40,176.86 ha of forest land for non-forest use. Permissions for forest clearance have been granted to developers of roads, industries, dams, mines and other such activities. Illegal forest encroachments and activities being undertaken without stipulated clearances are also a bitter reality. There is significant evidence for this in the large number of damage reports and challans generated by State Forest Departments; and the growing litigation on this matter. In recent years there has been a massive up-scaling of legal forest clearance for dams, mines, industries or infrastructure projects like roads. Out of the 11, 40,176.86 ha approximately 3, 11,220.38 hectares has been th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 49 cleared by the MoEF since 2003, i.e. a quarter of the total clearances in the last 4 of the 26 years of implementation of the Act. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 50 Monitoring and Compliance of Environment and Forest Clearance conditions The critical issue of monitoring and compliance once a project is cleared was given no attention whatsoever. The MoEF is responsible for long term monitoring projects cleared by it. These include projects such as dams and mines where work may go on for more than a decade. While the number of projects to be monitored grows exponentially since the rates of clearance are only increasing, the task of regular monitoring has become a logistical impossibility. A study done in 1994, when the number of projects to be monitored was fewer, indicated that upto 94% dam projects that were granted environment clearance were not complying with the conditions imposed on them25. There have been no instances despite this, of the Ministry withdrawing clearance to the violating projects or penalizing defaulters. The Northern Region office (NRO) of the MoEF at Chandigarh in response to a Right to Information (RTI) application categorically stated that they visit projects barely once a year, when they are supposed to monitor them on a half yearly basis. They also stated that that there are no norms and protocols of the MoEF for monitoring and no surprise inspections are carried out. There are habitual violators in mining and river valley projects, charge-sheeted and imposed fines by state governments or courts. Yet the new projects proposed by these truant developers continue to be awarded environment clearances. If precautionary or protective clauses are not being implemented, then is it wrong to conclude that the Ministry is working merely as’ clearance granting machinery’? c) The Biological Diversity Act The Biological Diversity (BD) Act, 2002 is a legislation that was brought into force with the objectives of conservation of biodiversity, its sustainable use and equitable sharing of benefits arising out of such use. Under this Act, foreign entities have no access to biological resources in India without the approval of the National Biodiversity Authority (NBA) and even Indians needs to intimate the respective State Biodiversity Board (SBB). India had stepped into the era of economic reforms by the time the BD Act was finalized. The process was initiated soon after India became a signatory to the Convention on Biological Diversity (CBD in 1992), and agreed to its objectives. The ten years of drafting (of the act) that paralleled India’s growing commitment to the agenda of economic liberalization; and the next five of its implementation within the 9% growth paradigm fetish has taken its toll on legislation. Signs of facilitating access to biodiversity and not restricting it are evident. A look into the implementation of this Act reveals that while over 250 applications for various purposes have been approved, there has been little push to implement the clauses for the declaration of Biodiversity Heritage Sites, mechanisms for the protection of traditional knowledge, or realizing local control over biodiversity and governance through Biodiversity Management Committees (BMCs). In the BD Act, the provisions for allowing access to biodiversity for commercial use, research, and Intellectual Property Rights (IPRs) have been set in place. Formats for agreements are ready; applications are being 25 Kothari, A. 2003. We Should Have Gone to Court, Ecologist Asia, 11:1. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 51 processed and permissions being granted to access hair and blood samples of the Wild Ass or brinjal seed germplasm. But without the Biodiversity Management Committee (BMCs) established at panchayat/municipality level, there is no cross checking with local communities about the consequences of such projects. The stage is therefore set for speedy clearances despite local opposition by this Act too. Conclusion Enacting of appropriate legislations and procedures for the conservation of biodiversity and the environment and their implementation are the responsibility of the MoEF. But in reality, even the available regulatory processes, however inadequate, have been turned into access or ‘clearance’ legislations. By passive ignoring of progressive clauses or active amendments made to them, the regulations now only perform the role of legitimizing environmental losses occurring as a consequence of the development choices being made by governments. Although each of these laws does have the potential to restrict destruction and strengthen the conservation agenda, they are best being used to ‘manage’ some of the negative environmental impacts that a 9% growth rate leaves behind. This may be through monetary or material sharing of ‘benefits’ accruing out of access granted ; or attempting to compensate the losses of rich ecosystems and interrelationships through simplistic measures like plantations. Mitigation of impacts, to the extent that it does not trip economic growth, is emerging as the only prevalent conservation tool. And anyone who is skeptical of such growth is seen as both antidevelopment and anti- environment. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 52 Annexure I (c) Title : Economic Liberalization, Decentralized Governance & the Adivasis of Orissa. Author: Bhabani Das Background The last decade of the 20th century witnessed dramatic changes in the socio-economic trajectory of the Nation. In 1991, having faced with an unprecedented economic crisis, the Congress Government under the leadership of Mr. Narashima Rao and Mr. Manmohan Singh resorted to major reform program in July 1991 (in contrast to Rajiv Gandhi’s Piecemeal 1984 approach). With a view to improving the efficiency, productivity and global competitiveness, both macro and microeconomic reforms (liberalization) were introduced in industrial, trade and financial policies (Bhagwati and Srinivasan, 1993). They strongly reiterated in their theoretical expositions that in the absence of market failure and distortions, trade could bring about welfare-improving growth (Bhagwati, 1994; Srinivasan and Bhagawati, 1999). A shift away from the import substitution policies and liberalization of the trade and investment advocated on the lines of the works of Little, Scitovsky and Scot (1970), Balassa (1971) Bhagawati (1978) Kruger (1978) . The crucial base of this ‘optimistic’ neo-classical assumption was that markets reflect mutually beneficial voluntary exchange This paradigm shift in the economic policy of the nation received mixed response from different quarters of the society. For the last couple of decades, a lot of research has gone into the issue of growth- to- inequality causality in the tradition of Kaldor (1956) and Kuznets (1955), which discuss the hypotheses that growth could create or absorb inequality (Papanek and Kyn, 1986, Fields, 1991, Cogneau and Guenard, 2002). These studies have highlighted that growth of the economy can affect the poor and income distribution in some way or the other. Although economic liberalization covers a number of aspects of policy, the central issue is to define the relative role of the state and the market in the operation and management of the national economy. The contemporary movement in economic policy reform has involved the retreat of the state and the shedding of many of its economic functions in favor of the market. In the standard neo-classical model of the economy, market is a self-regulating mechanism and competition determines which economic actor will survive or flourish on the basis of their efficiency. The characteristic efficiency of the market system is believed to advance the absolute welfare of society. But liberalization is context dependent, not a neutral and deterministic process. The social structure within which liberalization occurs has a crucial impact on outcomes. The idea that liberalisation will remove politics from the economy and lead to a more rational and efficient allocation of resources is false. Markets are not politically neutral but are embedded in social structures. Just as government intervention can be distorted by an underlying political economy so too can markets. There is no neat dichotomy between th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 53 state-regulation and market; rather both are meshed into existing social (among others) caste, and gender. Legitimizing the Panchayti Raj System Soon in 1993, the government brought in the 73rd constitutional amendment widening and legitimizing the scope of panchayati raj system across the nation. A new schedule (schedule 11) was incorporated to the constitution enlisting the roles and responsibilities of the Panchayats. This was welcomed by every one as a major progressive step towards democratic governance but its applicability to the tribal areas, especially the scheduled areas was seen in suspension. The government then appointed a committee under the leadership of Dr. Dilip Singh Bhurai to look into the specific requirements of the tribal areas and based upon the Bhuria committee recommendations the Panchayati Raj Act was amended and extended to the tribal areas in 1996. This act is popularly known as PESA. Some of the salient features of PESA are: • • • • • First of all, PESA has extended the provisions of Part IX of the Indian Constitution relating to Panchayati Raj to Scheduled Areas of the country with necessary exceptions and modifications. Secondly, PESA has elaborated on those exceptions and modification which are to be kept in mind when a State legislature makes a law or act covering the Scheduled Areas of the State. Thirdly, PESA has directed the States which have got areas to make an Act on the basis of PESA within a year of the enactment of PESA. Fourthly, PESA is directive for the States and not a law by itself. Finally, PESA has asked the State legislatures to make laws for the Scheduled Areas “which shall be in consonance with the customary law, social and religious practices and traditional management practices of community resources”. One of the highlighting features of PESA is its suggestion that, “every Gram Sabha shall be competent to safeguard and preserve the traditions and customs of the people, their cultural identity, community resources and the customary mode of dispute resolution”. In addition to this, the Central Act of 1996 provides extensive powers to Gram Sabha in the Scheduled Areas in the following sectors: i. Approval of plans, programmes and projects for social and economic development prior to their implementation, ii. Identification of beneficiaries of anti poverty programmes, Certify utilization of fund spent by the Panchayat. PESA after giving the above exclusive powers to the lowest unit of grass root democracy has further provided that the Gram Sabha or Panchayats at appropriate level shall have the following powers: i. To be consulted on matters of land acquisition and resettlement, grant prospecting license for mining lease for minor minerals and concessions for such activities. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 54 ii. iii. iv. v. vi. vii. viii. ix. Planning and management of minor water bodies. The power to enforce prohibition or to regulate or restrict the sale and consumption of any intoxicant. The ownership of minor forest produces. The power to prevent alienation of land and to restore any unlawfully alienated land of a scheduled tribe. The power to manage village markets. The power to exercise control over money lending to scheduled tribes. The power to exercise controls over institutions and functionaries in all social sectors. The power to control local plans and resources. Liberalisation and decentralization: Are they competitive or complementary It is often thought that the liberalization process will kill the essence of decentralization process, as the withdrawal of national government from the welfare functions and the additional responsibility of the decentralized units to generate their own revenue will put pressure on the decentralized units, who in the process will compete amongst each other (often referred to as competitive federalism) and compromise on their natural resource sustainability. Competitive federalism is associated especially with the writings of Albert Breton (1987, 1996), and applies the insights of market competition to the government arena. Market-preserving federalism (MPF) is a term explicitly coined by Barry Weingast (1993), and has the most explicit structure associated with it. Specifically, MPF is defined by five conditions: (1) a hierarchy of governments with delineated authorities (the basis of federalism); (2) primary authority over local economies for sub-national governments; (3) a common national market enforced by the national government; (4) hard sub-national government budget constraints; and (5) institutionalized allocation of political authority. India's federal system has been characterized as 'quasi-federal', 'unitary with subsidiary federal features', and a 'federation with a strong centralizing tendency' (Wheare, 1963). Over the past few decades, this structure has given way to a more decentralized system in which vertical accountability relationships with state governments has replaced layered accountability to the centre. The result has been greater competition among states, a decrease in central government control of resources, and a shift towards more coercive tax bases. India’s constitutional and other legal and administrative structures with respect to center-state fiscal relations and general power-sharing have not changed significantly in the decades since the constitution was ratified, in 1950. The conduct of electoral politics did lead to ebbs and flows in the effective degree of political centralization in the 1960s and 1970s. However, economic decentralization did increase throughout the period, until the 1980s, including nationalization of banks and other financial sector institutions, as well as more extensive controls of private sector economic activity. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 55 Major changes occurred after 1991, when the removal of most national-level industrial licensing controls allowed states to more freely pursue independent economic policies (Singh and Srinivasan, 2005). However, this political decentralization has not been accompanied by any significant devolution of funds or authority over local-level economic decision-making (e.g., Rao and Singh, 2003; World Bank, 2004). But it is not a clear-cut case of fiscal decentralization. The states, starting from quite different initial conditions, have had varying responses to the 1990s decentralization policy, and the result has been greater regional inequality (e.g., Rao and Singh, 2005). These developments were accompanied by a broadening of the scope given by the national government to the Finance Commission, allowing it to make recommendations on a complete range of issues pertaining to the public finances (Rao and Singh, 2007). However, the essentials of the intergovernmental transfer system (including Planning Commission and central-ministry-mediated transfers) have remained relatively unchanged, reflecting both respect for precedent and bureaucratic inertia. In particular, the transfer system is still a contributory factor to soft budget constraints at the state level, because of the use of “gap-filling” grants based partly on ex post needs. To the extent that horizontal equalization considerations are built into the transfer formulas, center-state transfers in India involve lower effective “retention” of revenues generated by state tax bases (Singh and Srinivasan, 2006), which may reduce incentives for sub-national stimulation of private economic activity (Careaga and Weingast, 2001). Decentralization and Local governance Presently democratic decentralization and devolution is rapidly becoming a global trend. Decentralization, which is an integral part of local governance have been increasingly regarded as a crucial factor for sustainable natural resource management. The outcome of decentralization greatly varies as the policies for transferring the rights to local governance differs across the developing countries. Problems include local elite capture, poor coordination and planning, lack of local community skills and empowerment, inadequate funding and commitment from higher government officials, among other factors (Johnson, 2003; Capistrano and Colfer, 2005). The stability of governance systems largely depends on the distribution of benefits from cross-scale linkages (Adger et al., 2005). According to Berkes (2002), all resource management systems have some external linkages and drivers at different scales. He argues that failure to recognize these linkages is a central reason for some unsuccessful interventions in resource systems (cited in Adger et al., 2005). The same concern is echoed in a two-year study on decentralization processes at different levels - State, district and village in India and its influence on natural resources by Pari Baumann, Rajesh Ramakrishnan, Manish Dubey, Rajiv K. Raman, and John Farrington (2003) (a study in Andhra Pradesh, Madhya Pradesh and Karnataka) which pointed out that centralising political forces constrain both the political and ecological scope of the decentralization agenda. The study concluded that despite the 73rd CAA: • decentralized natural resource management has not significantly increased access by the rural poor to natural resources; th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 56 • the decentralization agenda has not challenged the basic distribution of rights and access to natural resources established in the colonial period and reinforced in the immediate postindependence period; • decentralized natural resource management programmes are mainly valued for wage labor by the rural poor, and, by rural elites, for the opportunity to invest in private property and dispense patronage; • decentralization programmes have however created a space for political negotiation at the district level, thus allowing more strategic local political mobilization; • in order to exploit these opportunities, decentralized natural resource management programmes should be more aware of their political and ecological limitations, and more strategic in resolving these. The 73rd Constitutional Amendment of 1993 institutionalizes three tiers of local government at district (usually called Zilla Parishad), block (various local names) and village levels (Gram Panchayat), collectively called Panchayati Institutions. Gram Panchayats have been vested inter alia with the responsibility of preparing plans for the management and development of natural resources within their boundaries. In addition to these formal institutional systems, informal and traditional natural resource user groups have for long been perceived as having particular local legitimacy for the management of natural resources. The extent to which such diverse informal groups and use patterns could be part of a formal system of decentralized management has been much debated, despite the obvious complexity of this process. The above institutional systems entail different types and processes of decentralization: deconcentration (the transfer of powers and responsibilities to local units of the public administration); devolution (transfer of powers and responsibilities to local government) and delegation (transfer to semi-autonomous groups). Each system has its advantages and disadvantages for decentralized natural resource management. Some of the advantages of PRIs include: their statutory mandate; their potential to ‘scale-up’ successful activities, (since they are vertically integrated into the political structure); their potential to raise local taxes; and their constitutional commitment towards affirmative action in favor of ‘weaker sections’. More generally it is argued that institutions for democratic decentralization constitute a human right and that local governments can provide an environment that is conducive to the growth of associational life. This potential is often contrasted to the overwhelming evidence that user groups for natural resource management created by the state under partnership models have only very marginally improved the livelihoods of the poorest. Proponents for the partnership model would argue that the system of user groups working in partnership with the government are a means of getting more benefits from the government; of creating a broader leadership base in which more people can be involved in decisionmaking; of directly targeting the poor and those actually using the natural resource; and generally developing ‘social capital’ which will stimulate demands for good governance. These two positions occupy polar extremes and most observers would probably agree that both natural resource specific user groups and a system of local governance are necessary. The preferred integration between various models of decentralization depends partly on the position taken on how the two systems function at present. In turn, ideological positions aside, these opinions are based on very practical th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 57 considerations concerning the capacity of different models to protect the vulnerable, manage natural resources and foster sustainable development. Liberalisation, decentralization and poverty reduction: Evidences from the past With the globalization, liberalization and privatization of the Indian economy the role of the state is undergoing a paradigm shift from being a producer to a regulator and facilitator. A constant removal of restrictions on economic activities and fostering private participation is becoming the order of the day. This thrust on market forces has both positive and negative aspects. The positive aspect is the achievement of higher GDP growth rate in the economy. On the negative side there is increased vulnerability of the poor and the marginalised sections of the society in the face of declining safety net and public good provision. According to Rajesh Tandon of Society for Participatory Research in India: “There is, indeed, an increasing and deepening divide or schism between globalised and globalizing India, on the one hand, and marginalised and marginalizing India, on the other. Nowhere in recent history has the distance –social, economic, cultural and political – between modern India and traditional Bharat been so stark, as it is today.” The image of a highly educated, professionally competent Indian and that of Indian companies—operating in pharmaceuticals, biotechnology, information technology, communications, entertainment, film industry – is far removed from the reality of the ‘real’ India inhabited by tribals, dalits and landless rural poor in remote parts of the country, especially in BIMARU states (Bihar, Uttar Pradesh, Madhya Pradesh, Rajasthan, Jharkhand, Chattisgarh and Orissa). But globalization and economic liberalisation is a reality, and, therefore, the question to be asked is, “how to maximize the opportunities and minimize the negatives?” (“The New Government Policy and Its Implications for the Civil Society in India: Opportunities for Deepening Cooperation”, Paper presented by Rajesh Tandon to the workshop on Future Development Assistance from Smaller Bilateral Donors, 6-7 October, New Delhi, India). There is now substantial evidence that India's success at reducing the incidence of poverty during the 1970s and 1980s was halted, if not reversed, during the globalization era of 1990s. Estimates made at the World Bank show that the incidence of poverty, which between 1972-73 and 1989-90 fell from 55.5 per cent to 34.3 per cent in rural India and from 54.3 to 34.1 per cent nationally, has in subsequent National Sample Survey (NSS) rounds, up to 1997 (when the incidence was 34.2 per cent national and 35.8 per cent rural) never gone below the 1989-90 level and has in fact risen to much higher levels in individual years. Other estimates (e.g., Gupta 1999) suggest an even greater increase in rural poverty during 1990s. All the estimates indicate that the gap between rural and urban areas, which had decreased during the 1980s and the 1970s, increased considerably during the 1990s. (Streeten Paul, "Globalization: Threat or Opportunity", Copenhagen Business School Press, 2001.p.73). Similarly, Gaurav Datt, Valerie Kozel and Martin Ravallion of the World Bank in their paper "A model based assessment of India's" found that the rate of average annual poverty reduction in 1990's was slightly lower than in the 1980's. The 61st round of the National sample survey shows that during 1993-2005 the annual rate of reduction in poverty was lower than in the 1970s and 1980s(Himanshu,EPW, 2007). th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 58 political, administrative and fiscal decentralization varies widely from one state to the other. In general, states have not matched the functions devolved to local government institutions with the necessary administrative reforms, or by devolving financial powers. As a result, PRIs and Urban Local Bodies (ULB) have neither the capacity to implement assigned functions – which remain de facto under the control of state administration – nor do they have the control on resources to make relevant decisions. (The Swedish International Development Cooperation Agency (Sida, 2003) While most states have ratified the 73rd and 74th Amendments in state acts and held elections, the quality of Decentralized Forest Governance: The Orissa Experience In Orissa, even after more than a decade of decentralized governance the situation has not changed much in the sense that the local communities are not adequately empowered. In many a cases there are loopholes in the policy itself, in some others the implementation is poor and there are leakages for which the targeted community is sidelined and the objective is not achieved. Some of the issues are discussed below: Orissa has the highest proportion of people living below the poverty line (47.15 per cent) as per the latest estimates of the Modified Expert Group of Planning Commission, 1999-2000. This is in spite of the fact that it is endowed with rich natural resources in the form of vast mineral deposits, forest, fertile land, long coastline, and high tourism potential. Again coming to incidence of poverty there is wide discrepancy on the line of rural and urban division and by social groups as shown in the tablePoverty Ratios by social group, Orissa and India, 1983 to 1999-2000 Social Rural Urban group 1983 1987- 1993- 1999- 1983 198788 94 2000 88 Orissa ST 87.08 83.82 71.31 73.08 73.73 61.37 SC 75.99 65.75 49.79 52.30 69.53 59.52 Other 58.52 47.31 40.18 33.29 41.86 37.87 All 68.43 58.62 49.79 48.04 49.66 42.58 All India ST 63.89 56.31 47.05 44.35 55.30 52.26 SC 58.96 50.79 48.27 35.44 56.12 54.65 Other 40.90 33.80 31.20 21.14 39.94 36.44 All 46.51 39.36 37.28 26.50 42.32 39.16 Source:-Official NSS data, Haan & Dubey (2005), EPW Total 1993- 1999- 1983 94 2000 1987- 1993- 199988 94 2000 62.81 45.46 36.32 40.68 59.38 72.03 34.18 43.59 86.22 75.38 56.16 66.24 82.34 65.35 45.92 56.75 70.76 49.39 39.55 48.63 72.08 55.08 33.48 47.31 35.67 49.08 28.67 31.70 37.42 39.13 20.78 23.98 63.27 58.50 40.66 45.57 55.93 51.38 34.48 39.31 46.29 48.42 30.46 35.95 43.67 36.14 21.04 25.87 The majority of the poor in Orissa are rural people and particularly dependent on natural resources for their livelihoods. They often have poor resource base and have limited and insecure rights over productive natural resources. These factors jointly contribute towards the vulnerability of rural th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 59 livelihood strategies. Now the question is whether a highly centralized developmental plan or decentralized mode of functioning with adequate power to the local communities or market driven strategy can contribute towards sustainable rural livelihoods. Decentralization, it is argued, can contribute towards sustainable livelihoods through enhanced resource productivity and locally monitored equity in resource use. Orissa comprises around 5 percent of India’s landmass; with 36.71 million people it accounts for four percent of the population of the country, more than 37% area is comprised of hilly forest and has a coastline of 480 km. Nearly 85 percent of Orissa’s population lives in the rural areas. Although agriculture as a source of livelihood dominates the scene, forest constitutes a major component of the natural capital stock that provides livelihood support mostly to the marginalized section of the society. Land utilization pattern in Orissa Net area sow n 37% Forest area 37% Misc.T&G Other fallow s 3% 3% P.pastures and Current fallow s O.grazing land 3% B&U land 3% 5% Land put to non-Culturable w aste 3% agri.use 6% Forest area Misc.T&G P.pastures and O.grazing land Culturable waste Land put to non-agri.use B&U land Current fallows Other fallows Net area sown In Orissa Adivasis are the practitioners of subsistence economy, of food gathering, hunting and fishing [Birhors, Hill Kharias]. Some tribes like the Juangs, Hill Bhuiyans, Kondhs, and Lanjia Saoras continue hunting and food gathering along with shifting cultivation. Even the regular agriculturists th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 60 like the Santals supplement their income by hunting and gathering. In a few tribes the economic unit is the family: such tribes are the Kharias: Mankidi, Mankirdia, Birhor and they are usually found in the forests of Mayurbhanj, Keonjhar and Sundargarh. They are very poor and live in isolated small bands and groups and their economy is confined primarily to the forest. The Koyas who are found in Malkangiri are the only tribe that depends on cattle breeding and animal tending for their livelihood and the lack of sufficient pastureland is now a heavy pressure on them for which they are adopting other ways of living. The Mahalis and Kol-Lohars are simple artisans depending on basket making and black smithy respectively; The Lohars produce iron and wooden tools and other articles for the use of other tribes with their primitive technology. Swiddening tribes like Kondhs, Saoras, Parojas, Gadabas, Bondos, Juangs and bhuiyans cultivate broadly four types of land – valley bottom paddy lands, homesteads/ backyard gardens, uplands and shifting cultivation fields. It is observed in the district of Angul that among the existing tribe groups, Gonds are better off than the Kisans and Kolhas. Kolhas remain with worst livelihood condition due to scanty opportunity and less capacity to trap and utilize the resources. As different studies revealed, traditionally land occupancy status was lying with the tribal but in the gradual process of change, it has been transferred to other communities called Chasas [farming community] by various means of transfer. Now the situation is such that the upper caste / Chasas own more and productive land than that of the tribal [Kolhas]. The existing tribal groups mostly hold the up land, which is having a relatively low productivity with poor water retaining capacity. No irrigation facility is available at the up land to save the standing crops or to opt for bi or multi cropping system. The tribals in Orissa live close to the forest and it is a major source of livelihood to most of them. The present forests of Orissa comprise of three components: The Govt. owned forests of the erstwhile province of Bihar and Orissa; The forests of the ex-princely states of the Eastern State Agency(1948-49); The forests of the ex-Zamindars(1952—57); In the year 1957-58 Orissa had about 66 thousand sq. kms. of forests in records which formed 42.14% of the state’s total land area. Over the last five decades 7482 sq. kms of forest area has been lost and the percentage figure reduced to around 37%. The Reserved Forests constitute about 45% of the total forest area (2005-06) in Orissa. There has been considerable shrinkage in the Undemarcated Protected Forests partly as a result of demarcation and partly due to deforestation. Here only 45% of the total forest area is under the control of the forest department. The rest of the area is at the disposal of the Revenue Department, where the Forest Department only protects and tends the crop. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 61 Percentage of different types of forests in Orissa Other forests 35% Reserved Forest 45% Demarcated Protected forests 20% Reserved Forest Demarcated Protected forests Other forests The entire recorded forest area does not have forest cover. According to the State of Forests Report, 2003 published by the Forest Survey of India, Dehradun the actual Forest cover is 48,336 Sq.Kms. including 207 Sq.Km. of mangrove forests. Out of this tree cover outside forest area assessed separately and stand at 6,381 Sq.Kms. Type Dense Forest (with crown density above 40% Areas 28,170 Sq.Kms. Open Forest (with crown density of 10%to 40%) Scrub Area 20,196 Sq.Kms 4,574 Sq. Kms Thus, while the recorded forest area constitutes about 37.34% of the total Geographical area of the State, actual forest cover exists over only 31% of the Geographical area and out of this 13 % is open degraded forests. The dense forests constitute about 58% (18% of the total land area) and presently we do not have much of very dense forests. As per the Orissa Human Development Report 2004 the effective forest cover, defined as the percentage of the closed (dense) forest area having crown density of more than 40% to the geographical area, was only 24% even by 1972-75. In the course of the last three decades, it dwindled to around 18% even though the nominal forest cover (total forest area as percentage of total geographical area) remained above 30%. Again the geographical distribution of forest in Orissa is quite uneven. The coastal districts have less than 10% area under th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 62 forests. This includes districts like Bhadrak, Puri, Jagatsinghpur and Balasore. Higher forest coverage is found in the districts of Kandhamal and Gajapati. From 1962-68, the forest department issued contracts for concessions in the public forest and a period of intense degradation followed. From 1968-72, community efforts were made to restore and protect the forests. From 1972-78, there was another period of degradation associated with commercial exploitation. By 1980, many village-based groups had emerged to protect adjacent forest resources and in some places take over the protection of some reserve forest. In 1988, the state passed a resolution recognizing the role of these communities and giving them responsibilities to guard against theft and fire prevention in return for collection of fuel wood and other minor forest products. In 1992, the state passed a second resolution and registered some 6,085 FPCs (Poffenberger, 1996). Meanwhile, hundreds more groups were functioning as FPCs that were not registered. In 1995, due to the poor condition of the state's reserve forests, the Orissa forest department stopped issuing permits for commercial felling. This moratorium on felling allowed communities to protect and manage some of the protected forest in return for collection of some minor forest products. The economic worth of a forest is largely dependent on floristic composition. In Orissa forests have a diverse mix of species, which is quite important from the point of view of NTFP. Over time bamboo pure area has come down from 1375 to 374 sq. km.s. Out of the numerous herbs occurring in the forests of the state, 130 medicinal plant species have been identified as important. In Koraput, Kalahandi and Bolangir districts the forest vegetation has the unique ecological distinction in India of being the natural meeting place of the two giant species namely (Northern) Sal and (Southern) Teak. Excepting semi-evergreen patches in Puri, Koraput and Kalahandi districts and the tidal forests of Bhitarkanika area, roughly 94% of the forest fall within the deciduous types. As the Forest Management Practices favors only a few commercially important tree species, forests are known under popular economic classes as Sal, Bamboo and mixed. The forest have been exploited and degraded for centuries and for many reasons. In 1959 the Forest Inquiry Committee reported that the ex-Zamindari (a part of present undemarcated) forests were exploited most irregularly with the objective of realizing maximum revenue. The forest Nistar which deal with the problem of rights, privileges and concession has been very complex. Apart from this nistar-demand the various other factors that lead to forest degradation are: a) Impoverishment of tribals leading to over exploitation of forest Most tribal communities had a clan based land tenure system which provides customary rights in land, trees, forests etc. The British period led to increased incursion of state and administration in tribal areas, where it was often resisted violently but put down brutally with support of the British army. Laws such as Orissa Tenancy Act, 1913 (applicable in coastal districts under direct British rule), Madras Estates Lands Act, 1908 (applicable in the areas under the control of Madras Presidency) etc. were used for survey and rights settlements in agricultural land with the main aim of increasing land revenue. Other laws such as Forest Acts (Indian Forest Act, 1927 and Madras Forest Act, 1885) were used to categorize certain areas as forest lands. Land survey and settlements and cash land revenue monetized the economy and led to large-scale indebtedness amongst tribal th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 63 societies, and tribals were often forced to part with their lands to non-tribals. The influx of non-tribals peasantry facilitated by the rulers led to transfer of land from tribals to non-tribals and in plain areas converted tribals into landless laborers or pushed them onto marginal lands and hilly terrains. Again increasing importance of forest (timber) based revenue led the British rulers as well as the Princely estates to reserve or notify more and more areas as forests under various forest laws, imposing restrictions upon the tribals using these forests land. It came to be conceived as either private or state property, rather than in terms of a territory that a village held in common (Padel, 1995). In the post-independence period colonial forest laws and policies were retained as such without change. The “excluded areas” and “partially excluded areas” inhabited by tribal communities introduced during the British Raj were retained as “Schedule VI” areas and “Schedule V” areas in the new Indian Constitution, but the so called protection devices were inadequate and often violated by non-tribals, industrialists and Govt. The State Government used ingenious methods to avoid recognizing rights on shifting cultivation lands. The communal tenure of tribes like the Juangs and Kutia Kondhs on their swiddens was completely ignored and these lands were also settled as government land. This is having wide repercussions on these Primitive tribal groups, often leading to displacement. More than 46% of the land in tribal districts is categorized as forests. Declaration of customary tribal lands as forest has been an important factor in loss of land for tribals. The main legislation regulating forest lands are the Forest Conservation Act, 1980 and the Orissa Forest Act, 1972. The framework of the forestry administration is provided by Indian Forest Act, 1927 of colonial vintage on which the Orissa Forest Act, 1972 is based. The Forest Acts provide for control of forests through a centralized bureaucracy i.e. the forest department, and the laws criminalize almost all local dependence on forests. The forest act and policies also ensure that the forest bureaucracy has no downward accountability to local people dependent on forests. The local communities have limited or no rights on the forest land, and have absolutely no say in the management of the forest. In tribal areas, this is a major problem because almost half the land is notified as forests. The situation has aggravated with the passage of the Forest Conservation Act, 1980. The Forest Conservation Act 1980 states that no forest land may be diverted for non-forestry purpose without explicit permission of the Ministry of Environment and Forest (MoEF), Government of India. A recent Supreme Court order has banned the dereservation of any forest land without permission from the Supreme Court. Similarly, there are forests known as undemarcated protected forests and other forests, whose boundaries are not even demarcated- it is obvious that no rights settlement has taken place in most of these forest blocks. Large number of tribal settlements still exists inside these forest areas, which couldn’t be regularized after the FCA, 1980. This has led to a large number of settlements inside forest lands which show “no physical area” at all in the Government records. As per data from 2001 Census, there were 443 such villages in the tribal districts which showed no physical area with a population of 69,000, out of which 72% were tribals. The above data is indicative, and no comprehensive list of settlements and villages inside forests blocks in the State exists. However, there can be no doubt that large numbers of villages do exist within the forest areas without proper legal recognition and are currently being treated as encroachers. 8111 sq. km. (5%) of Orissa have been declared as protected areas (Sanctuaries and National Parks). The state has 17 wildlife sanctuaries. Most of these protected areas are in the Scheduled V areas or in areas where tribal population is high. Most of these sanctuaries have large number of settlements within them. For instance, in the Sunabeda Sanctuary area, there are 34 unsurveyed settlements, mostly inhabited by the Chuktia Bhunjias, a th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 64 primitive tribal group. As per the Forest Department, these 34 settlements are encroachments in the forest, even though this area is the ancestral homes of the tribals. The extent of landlessness in tribals is very high. A study taken up in 1978-80 in all tribal areas showed that 22.84% of tribal households are landless whereas 40.46% owned less than 2.5 acres each (THRTI, 1980). An analysis of the Agriculture Survey data of 1995-96 in the tribal districts shows that the percentage of tribal landholders having less than one standard acre (defined as being legally landless) of land ranges from 41% in Malkangiri to 77% in Gajapati. This is in spite of the fact that an average 74% of the land in these districts is categorized as state land, with forest land at 46% and non-forest land at 26%. Gajapati district has only 14.82% of its total area under private landholding, with the rest of the land belonging to the government. Around 93% of the rural households have legal title on only 9% of the district’s land area, even though three-fourth of the households are either landless or marginal farmers. Kondhmal is another district where 86% of the land is owned by the State. 66% of the rural households own only 7% of the land area of the district. The fact that most of the land in tribal districts is owned by the State reflects in the poor landholding patterns of the tribals. For instance, the Scheduled tribe average holdings in Orissa works out to 1.12 standard acres as compared to 1.43 standard acres for general. More than 50% of tribal landowners are categorized as marginal landowners with an average holding of only 0.44 standard acres. Even in the remote areas inhabited by the Primitive Tribal Groups (PTGs) in Orissa, most of the land is owned by the State (being swidden land). This makes the tenure of the PTGs over their communal land extremely vulnerable. For large proportion of tribal families, these state owned lands are the only source of subsistence cultivation. Their use of this land has been criminalized and they are treated as encroachers by the State machinery, and are forced to pay annual fines or bribes to be able to cultivate the land customarily owned by them. This has led to a process of surplus extraction from subsistence agriculture practiced by tribal households, and thrusts them further into indebtedness. Lack of secure tenure also puts the tribals in a vulnerable position leading to economic, social and political marginalization. Almost all the large dam projects in Orissa are located in areas having higher proportion of tribal population. One study estimates the total displacement by development projects in Orissa from 1950-1993 to be 79,621 households (Pandey, 1998). However, this is based on government data, which has been challenged by other researchers. Another estimate is that of 1.5 million people being displaced by development projects between 1951 and 1995, of which 42% were tribals. As per this estimate, less than 25% of the displaced tribals were ever resettled even partially. Ota estimates that till 2000, about 2 million people in Orissa have been directly affected by Development Projects in varying degrees out of which about 0.5 million have been physically displaced losing their home & hearth from their original habitat (Ota, 2001). Except for few irrigation projects, development projects have not provided land as compensation. More important, since large areas of land cultivated by scheduled tribes are not legally settled in their names, they receive no compensation when such land is taken up for development projects. A common feature shared by most of the tribal people is their remoteness and marginal quality of territorial resources. In the past, exploitation of such poor regions was found both difficult and uneconomic. But, the recent rapid technological advancement and unrivalled economic and political strength of world capitalism, and the rising power of neo-colonialism through the G-8 directly and the IMF, WB, IBRD, etc., as agencies, have created favorable conditions for the evasion and extraction of natural resources from the ecologically fragile territories of tribal people. Thus, forced evictions of tribals to make way for mammoth capital-intensive development projects have become a distressing routine and ever-increasing phenomenon. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 65 The tribals are forced to live in juxtaposition with alien capitalist relations and cultures, with traumatic results. They are forced onto the ever-expanding low paid, insecure, transient and destitute labor market. About 40 per cent of the tribals of central India supplement their income by participating in this distorted and over exploitative capitalist sector. Many more are slowly crushed into oblivion in their homeland or in urban slums. Simmering tensions over lack of local control on land and forests in the tribal areas have exploded in recent years over the issue of land acquisition for industries and mining. For instance, three tribal youths were killed in police firing in Kashipur, Rayagada district, in 2000, in a protest against a bauxite mining project by a multinational consortium. More recently, 12 tribals including women and children were killed by the police in January, 2006 when they protested the acquisition of land by the State for a steel plant of TATAs at Kalinganagar. Incidentally, the main cause of this resistance was that half the land acquired for Kalinganagar complex is state land; almost all of which was being cultivated by tribals for generations, and whose rights on these lands were not settled. Similar resistance against land acquisition and displacement is taking place in various other locations in Orissa. At the same time, democratic processes as well as introduction of local self governance have also opened up new spaces for local communities. These spaces and processes are of deep interest as they manifest the penetration of democracy and its institutions into the countryside, and its role in ameliorating both the impacts of territorialisation on well being as well as resolving conflicts and contradictions. b) Ignoring the role of local participation The very objective of the state control on the forest is stated to be protection of forest. But after decades of experience it is found that it is not enough. Without local communities participation check on degradation of forest, conservation and regeneration of forest is a difficult task to carry out given the resource base of the Forest Department. c) Forest area diverted to Non-Forest use Forest areas are diverted to non-forest use like Construction of irrigation project Setting up of industries Mining activities Urbanization Infrastructure building Forest area diverted to Non-forest use in Orissa Year No. of projects Area diverted to non-forest use 2000-01 27 1219.06 2001--02 20 1711.74 2002-03 15 508.18 2003-04 23 1493.71 2004-05 9 1274.39 2005-06 26 2153.68 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 66 Source: - PCCF, Orissa, Bhubaneswar, Economic survey, Govt. of Orissa, 2006-07 d) Increasing population pressure Increasing Population pressure is believed to be one of the major causes of deforestation. But pressure from human settlement comes about more from inequitable land distribution than from population pressure. The inequitable distribution of land holding pattern among and within different social groups, loss of land which is a major livelihood means due to indebtedness and Govt. policy in case of tribals push them further into the forest. To make a living the forest area is either misutilised or over utilized or conversion of forest land into agricultural land takes place. e) Indiscriminate tree cutting Indiscriminate tree cutting by the Forest Department either through Departmental agencies or private contractors is another major reason for the depletion of forest resources in the state. Mature trees are cut down that have been selected for their timber. The timber trade defends itself by saying that this method of 'selective' logging ensures that the forest regrows naturally and is once again ready for their 'safe' logging practices. In most cases, this is untrue due to the nature of rainforests and of logging practices. Large areas of forest are destroyed due to the machinery/vehicles used to penetrate the forests and making way for the removal of logs. Trees are cut and soil is compacted decreasing the forest's chance for regeneration. The felling of one 'selected' tree, tears down with it climbers, vines, epiphytes and lianas. A large hole is left in the canopy and complete regeneration takes hundreds of years. Again tracks made by heavy machinery and the clearings left behind by loggers are sites of extreme soil disturbance which begin to erode in heavy rain. This causes siltation of the forests, rivers and streams. The lives and life support systems of indigenous people are disrupted, as is the habitat of hundreds of birds and animals. The globalising effect of demand on timber can be gauged from the number of offences booked by the respective authorities on illegal felling. During 2005-06, as per the figures reported up to December 2005 the forest offence cases booked offenders involved, timber and forest produce seized and cases booked under Section 56 of Orissa Forest Act 1972 and put to confiscation proceedings in the state are as follows: S.N. 1. Items 2004-05 2005-06 Total Number of forest 38,753 45,180 offence cases booked 2. Number of offenders 29,543 7,390 involved 3. Quantity of timber seized 5,319 Cum 16,200 Cum. 4. Value of all forest 2,97,20,245 8 Crores produce seized about 5. Number of cases booked 1,613 U/S 56 Source:-Department of Forest & Environment, Govt. of Orissa, 2005-06 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 67 f) Policy of the Govt. to encourage monoculture to take advantage of the global demand/ demand of the corporations The global market creates pressure to produce certain forest products at the lowest possible cost, often rewarding cut and run management that lacks inadequate social and environmental investments. Rather than promoting local development, interaction with the global market could lead to the loss of access to capital assets and opportunities, and increase local inequity, while transferring risk from corporations and governments to local people (World Bank 2001). The deterioration of the forests including reserved areas in the predominantly tribal populated districts brought the socio-economic system into a perilous state. With the depletion of forest coverage, dependency of tribal groups over forest has decreased substantially and a shift of livelihood means from forest based to farm based is marked. Many a times the state Govt. has acted as a facilitator of this process. The natural indigenous forests were cleared by the govt agencies so as to raise cashew or Eucalyptus plantations. Presently Govt. is encouraging Jatropa plantation. They are referred to as cash crops because the main reason for their planting is to make money quickly, with little concern about the environmental damage that they are causing by.monoculture plantations. g) Shifting cultivation Shifting cultivation by the tribals lead to the problem of forest degradation. According to an estimate, the loss of forest area due to Podu was about 2045 sq. miles per year (1981-90). In the ‘80s, the area under shifting cultivation in the state was approx. 10225 sq. miles i.e., more than 46% of the total forest area (as in 1989-90) of the state. According to the Forest Survey of India’s present forest cover in the State is 31% as against 33% of the total geographical area mandated by the National Forest Policy, 1988. There is thus an imperative need to accelerate efforts for afforestation and regeneration of the degraded forests for achieving the mandated 33% forest cover and also to reforest the degraded forests with less than 10% crown density in the entire recorded forest area measuring 4,574 Sq.Kms. In response to forest degradation in the state of Orissa Joint Forest Management (JFM) was introduced. The contradiction and the crisis As regard decentralized forest governance in Orissa is concerned it dates back to the preindependence days in the form of community forest management (CFM) where the communities protected the village forests by and large to meet the subsistence requirement such as firewood and small timber. This practice is found in many areas even now where the people of the degraded forest areas took the initiative to protect the forests and were later joined by the neighborhoods. CFMs are loose institutional arrangements managed by village councils, youth clubs or women Self Help Groups (SHGs). The meaning of protection of forests to them varies in terms of the situational need and may cover simple things such as eye watching to rotational patrolling. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 68 CFMs look at forest as development resources in contrast to state policies that are more aimed at revenue generation. The CFMs have resulted in much forest regeneration of degraded patches and building social capital. According to a study undertaken by Ashoka Trust for Research on Ecology and Environment (National level NGO) on impacts of CFM in Kandhmal district which comes under Schedule V area (consisting of high tribal population), forest cover shows an increase from 53.7% to 67.2% in the study area between 1991 and 2001. The study findings attribute the increase in forest cover to protection of forests by local communities. The satellite map of forest area of Kandhamal given above shows the conversion of open forest (represented in blue patches) to good vegetation cover as a result of community efforts, FAO Publication, 2005. Unfortunately, the subsequent policies followed by the state killed the community arrangement. The first onslaught came on CFM when the social forests developed by the communities were converted to village forest under the Orissa Village Forest Rules alienating the communities from common lands. The second came under the JFM arrangement, which necessitated a 50:50 benefit sharing between the community and the forest department. The other small duration stint the state experienced during the 70s and the 80s was the social forestry project with community involvement. Funded by SIDA the project focused on reducing the pressure on reserved forest by creating social forest on revenue wasteland, which was later, termed as village forest under the Orissa Village Forest Rules, 1985. The project tried to achieve its physical targets but miserably failed to bring in the social equity and participation in it. The highhandedness of the forest officials led to wrong and inappropriate selection of sites and tree species. In additional local level institutions were missing in the whole project. The net result as pointed out by researchers was availability of cheap raw material to the paper industries. Following the Forest Conservation Act, 1980 major changes in the national policies were initiated. The objective focused on ecological stability and the state governments were directed to prevent indiscriminate forest conversion to non-forest use. The relevance of the Act on forest conversion and its impact on the tribals has been discussed in the above section. However, a paradigm shift took place with the formulation of the National Forest Policy 1988. This marked the official involvement of communities in protection and management of forests. JFM is a forestry management practice with the basic objective of forest regeneration and transplantation. JFM Resolution was adopted that set guidelines for partnerships between local communities and the state Forest Departments for the protection and management of state-owned forest resources through forest protection committees. Its stated objectives are: (1) empowerment of poor and marginalized forest-dependent tribal and other vulnerable and weaker sections of the rural society by providing them opportunities to participate in the decision-making processes of forest use and management and gain benefits from it, and (2) regeneration and improvements of vast areas of degraded forests (GoI, 1990) However the JFM circular 1990 was more of a policy document, not legally binding. It often ends up as an arbitrary tool at the hands of the forest officials. JFM resolution approved that local people can th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 69 contribute to protection of the (mostly degraded) forest land and derive appropriate (as per respective state government rules) benefits from the forests. The Government of India reviewed the JFM progress in the country during 1999-2000 and after wider consultation with all the stakeholders decided to further strengthen it and on February 21, 2000 fresh guidelines were issued to all the State Governments. (Dr. VK Bahuguna) The circular inter alia provides: a. Legal backup to the JFM committees, b. 50% members of the General Body and 33% in the executive with at least one office bearer should be women c. Extension of JFM in good forests areas (crown density above 40%) with sharper focus on activities concentrating on NTFP management. d. Recognition to self initiated groups e. Conflict resolution mechanism. f. Integration of micro plan with the working plan. g. Contribution for regeneration of resources. h. Monitoring & evaluation. Based on central guidelines the state forest department started forming Vana Samrakshan Samities (VSS). It received a top priority in the department’s agenda and by 2005- 9606 VSS were formed covering 8518 sq kms. The practice of JFM in the state has faced several limitations. Firstly, it is due to its uniform structure and homogenization. While CFM was a loose institutional structure that allowed local adaptability JFM being rigid does not take into account the village realities. Secondly, the appointment of the forester as the secretary of the JFM puts the upper hand under governmental control. Thirdly, the high handedness of the forest department can be seen in the fact that the MOU signed by the community and the forest department needs the ratification of the DFO and can also be terminated by the department. Fourthly, the guidelines issued by the Central Government in February 2000, suggests that the JFMCs be registered under the Societies Registration Act, 1860. This is not a pragmatic suggestion as JFMs are incentive-based management options, whereas the Societies Registration Act is meant to promote charitable activities. This suggestion does not take into consideration the real nature of the JFMs. (Purabi Bose, 2006). Further the benefit sharing arrangement in JFM negates the basic purpose of decentralized governance and participation as the forest department sticks to rigid rules and departs from the essence of forest protection for local forestry needs to commercialization of forest resources. In addition there are contradictions between the roles of JFMs and PRIs. The 73rd Amendment to the Indian Constitution institutionalized the three-tier Panchayati Raj model of governance. This was a significant step vis-à-vis Non-timber forest produces (NTFPs), as this is related to one of the 29 functions recommended for decentralization to the PRIs. The enactment of the Panchayats (Extension to Scheduled Areas) Act (PESA), 1996, further gave mandate to the decentralized model of governance. The basic problem exists because of the conflicting and th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 70 overlapping functions of JFMs and the PRIs. PESA, 1996, appears to be in conflict with JFMs, as it seeks to transfer the ownership of NTFPs to the Panchayats. The contradictory nature of PESA, 1996, with the Forest Policy, 1988, and JFM can be gauged from the fact that the revised JFM guidelines issued by the Central Government in February 2000, do not even mention PESA. There is an immediate need to remedy this situation, so as to establish clearly the role and significance of not only JFM but also that of the PRIs and PESA. There is a need to mitigate these conflicts by bringing about changes in various acts of the Govt. These changes would go a long way in providing a proper legal structure and basis to the JFMs and also help in redefining the role of the model of governance. In 2002 the MoEF launched the National Afforestation Programme by merging 4 centrally sponsored schemes. The broad objective of the NAP is to: • Protect and conserve natural resource through active people’s participation. • Ecological restoration and eco-development • Evolving village level organization • Capacity and skill enhancement of rural poor These objectives are translated in actual terms by formations of Forest Development Agencies. Since a lot of money is involved in the FDA and the fund transfer has to take place through JFM a lot of VSS were reorganized overnight and a new FDA based leadership emerged in the villages that alienated the traditional leaders and sidelined the general public. A case study from Kandhamal reveals the field reality of FDA and the participation of people in forest conservation. Kandamal district is located in the heart of Orissa stretching between 19’34 & 20’36 north latitude and 83’34 & 84’34 east longitude with an area of 7649 sq.km. It has Boudh district to its North, Rayadada district to the South, Ganjam & Nayagarh district to the East and Kalahandi district to the west. Physiographically the entire district lies with high altitude zone with interspersing inaccessible terrain of hilly ranges and narrow valley tracts which guides the socio-economic conditions of people and development of the district. More than 50% of population constitute ST community of aboriginal tribal races. Overall, the district is rank as a backward district in the state of Orissa (India). In Kandamal district Forest area as a percentage of total geographical area is around 74.64%. Out of the total forest area 35% is under reserved forest, 31% under demarcated protected forest and 34% under other forests. Kadamba is a small remote village in Kandhamal district. The village comes under Jhinjiriguda Gram panchayat of Daringbadi block. It is within Rushimal reserve forest under Bamunigaon range. The forest is still dense but a small part of it has been degraded for shifting cultivation practice of the Kondhs. There are 44 Kondh (ST) families living in the village. They collect NTFP from the forest and resort to shifting cultivation to make a living. These livelihood options are not enough to meet their needs. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 71 Earlier there was a community forest management committee in the village initiated by a local NGO. In 2001 this CFM was taken over by the forest department under FDA. A VSS was formed under the 1993 JFM resolution. A formal organizational structure with the forester as the secretary was formed. A bank account was also opened. During the CFM phase the villagers had collected some money by imposing various fees from different NTFP collectors. This fund was matched by a grant of Rs. 50,000 from the department. The villagers also received alternative livelihood assistance in the form of agriculture implements and seeds. The villagers have also been prompted to get into settled agriculture and abandon shifting cultivation. At the insistence of the forest department they are protecting their village forest and as and when they require timber the VSS sits together and decides upon the amount of trees to be cut. They then inform the forest officials who in turn visit and cross check the trees to be cut. It is after getting the permission of the forest department that they cut the trees. This arrangement is one side of the story. Being allured by the forest department fund they have formed the VSS and are protecting their village forest. But in reality as their various needs are not by the arrangement they cut the nearby forest illegally. Bibliography Adger, W.N., Brown, K. and Tompkins, E.L. (2005) ‘The Political Economy of Cross-Scale Networks in Resource CoManagement’, Ecology and Society, 10(2), 9. http://www.ecologyandsociety.org/vol10/iss2/art9/ Balassa, B. et al., (1971) Structure of Protection in Developing Countries, Baltimore, Johns Hopkins University Press. Baumann Pari, Rajesh Ramakrishnan, Manish Dubey, Rajiv K. Raman, John Farrington ,2003, Institutional Alternatives and Options for Decentralized Natural Resource Management in India, Overseas Development Institute (ODI), London, UK, Issue number: 230 Berkes, F. (2002) ‘Cross-scale Institutional Linkages for Commons Management: Perspectives from the Bottom-Up’, pp. 293-321 in Ostrom, E., Dietz, T., Dolsak, N., Stern, P.C., Stonich, S. and Weber, E.U. (eds). The Drama of the Commons. Washington DC: National Academy Press. Bhagwati, J., (1978) Foreign Trade Regimes in Economic Development: Anatomy and Consequences of Exchange Control Regimes, Lexington, MA. Ballinger. Bhagwati, Jagdish N. and T. N. Srinivasan, (1993), India’s Economic Reforms, (New Delhi: Government of India, Ministry of Finance). Bhagwati, J.N. (1994) Free trade: old and new challenges. Economic Journal, 104 Bose , Purabi (2006), Shift to (De) Centralization creates Contradiction in policy of managing commons, a case study from Semi-arid tribal districts of Western India, A Paper presentation at 11th IASCP Biennial Conference June 19-23, 2006,Bali, Indonesia http://www.indiana.edu/~iascp/bali/papers/Bose_Purabi_Shift. Breton, Albert (1987), Towards a Theory of Competitive Federalism, European Journal of Political Economy, vol. 3, nos. 1-2, 263-329. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 72 Breton, Albert (1996), Competitive Governments: Public Finance, Cambridge University Press, New York. An Economic Theory of Politics and Capistrano, D. and Colfer, C.J.P. (2005) ‘Decentralization: Issues, Lessons and Reflections’, pp. 296-313 in C.P.J. Colfer and D. Capistrano (eds.) The Politics of Decentralization: Forests, Power and People. London: Earthscan Careaga, Maite, and Barry Weingast, 2001, Fiscal Economic Growth in Mexico, working paper, Stanford University Federalism, Good Governance, and D'Andrea Claudia (1996), SDI Report: Field Visit to Eastern India http://www.susdev.org/eastern_india.html Fields, G.S. (1991),”Growth & Income Distribution” in Psacharopoulos, G. (ed.), Essays on Poverty, Equity and Growth, Oxford: Pergamon Press Forest & Environment Department (2005-06), Government of Orissahttp://orissagov.nic.in/forest&environment/index.htm Gaurav Datt, Valerie Kozel, Martin Ravallion (2003) Model-Based Assessment of Poverty Reduction, 38(4), page 355 Haan A and Underdevelopment Dubey in A, (2005): Orissa”, “Poverty, EPW, Disparities, Vol-40, Himanshu, (2007): “Recent Trends in Poverty Preliminary Results”. Economic and Political Weekly, February 10, 2007 or the No-22 and development and Inequality: of 23. Some Kaldor, N. (1956), “Alternative Theories of Distribution”, Reviews of Economic Studies, vol. 23(2), 94-100 J.Felix Raj SJ: Globalization and Plight of Tribals, www.goethals.org/globalisation.htm Johnson, C. (2003) Decentralization in India: Poverty, Politics and Panchayats. ODI Working Paper 199. London: Overseas Development Institute Kruger, A. O., (1978) Foreign trade regimes and economic development: Liberalisation attempts and consequences, Lexington MA: Ballinger Kuznets, S.(1955), “ Economic Growth and Income Inequality”, American Economic Review, Vol.45(1), 1-28 Little, IMD, Scitovsky, T. and Scot M., (1970) Industry and Trade in Some Developing Countries, Oxford University Press London Ministry of Environment and Forests. 2000. Guidelines for Strengthening of Joint Forest Management(JFM) Programme. Circular No. 22-8/2000-JFM (FPD), dated 21 February 2000. Government of India. Ota, Akhil B., Reconstructing Livelihood of the Displaced Families in Development Projects Causes of Failure and Room for Reconstruction Paper presented at the conference Livelihoods and Poverty Reduction: Lessons From Eastern India, 2527 September 2001, http://www.anthrobase.com/Txt/O/Ota_A_02.htm Padel, F. (1995). The sacrifice of human being: British rule and the Konds of Orissa. Delhi; New York, Oxford University Press. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 73 Pananek, G.O.Kyn(1986), “ The effect on Income distribution of Development, the Growth Rate and Economic Strategy, Journal of Development Economics, Vol.(23), 55-65 Rao, M. Govinda, and Nirvikar Singh (2003), How to Think About Local Government Reform in India, in Economic Reform and the Liberalisation of the Indian Economy: Essays in Honour of Richard T. Shand, ed., K.P. Kalirajan. Edward Elgar., pp. 335-390 Rao, M. Govinda, and Nirvikar New Delhi, Oxford University Press. Singh (2005), Political Economy Rao, M. Govinda, and Nirvikar Singh (2007), The Political Federal System and its Reform, Publius: The Journal of Federalism, 37: 26-44. of Federalism Economy of in India, India’s Fiscal Singh, Nirvikar, and T.N. Srinivasan (2005), “Indian Federalism, Globalization and Economic Reform,” in T.N. Srinivasan and Jessica Wallack, eds., Federalism and Economic Reform: International Perspectives, Cambridge, UK: Cambridge University Press. Singh, Nirvikar, and T.N. Srinivasan, (2006), Federalism and Economic Development in India: An Assessment, Conference Paper, Stanford Center for International Development Conference on Challenges of Economic Policy Reform in Asia, May 31–June 3 2006, Revised, October. Srinivasan T.N & J. Bhagwati (1999): « Outward-orientation and development: are revisionists’ right ? », Center Discussion Paper n°806, Economic Growth Center, Yale University. Streeteen, Paul, “Globalization: Threat or Opportunity”, Copenhagen Business School Press, 2001 THRTI (1987). The Study Institute, GOO, Bhubaneswar Weingast, Foundations 233-61. of Tribal Land Barry (1993), Constitutions of Secure Markets, Journal Alienation. as of Tribal and Harijan Governance Institutional and Research Structures: Theoretical and Training The Political Economics, 149, Wheare, K.C. (1963), Federal Government, 4edition, Oxford, Oxford University Press th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 74 Annexure I (d) Title : Liberalisation, Deforestation and Dependence on Forest (A case study of the most forested district of Orissa, Keonjhar). Author: Prof. Kishor C Samal In the past, forests were utilized by the Government of India for commercial interest. The emphasis on revenue generation had been an important factor in the overexploitation of forest. The objective of all the forest policies in both, the colonial and post-colonial period has been achieved only at the cost of the forest dwellers and their life support system (Guha: 1983). After the passing of Forest Conservation Act, 1980 and its amendment in 1988, protection of forest for environment became, more than the exploiting of forests for commercial purpose, the main objective. Forests are also the means of subsistence for forest dwellers since they cultivate forestland and collect forest produce from it. Besides, even today many people still depend heavily on a very large number of plants and animal products to meet their daily needs. Be that as it may, there is no doubt that deforestation is increasing in India as well as in Orissa and also threatening the very livelihood of forest dwellers. The Deforestation Hypotheses In general, there are various factors which are responsible for deforestation. Some of these are (i) commercialization of forest products, (ii) higher price for agricultural products, (iii) lower wage and non-availability of non-farm jobs, (iv) technical changes that increase agricultural yield, (v) greater access to forest and market through construction of roads, (vi) absence of well defined and secure property right of forest dwellers, (vii) higher price of timber, etc. (Amsberg: 1998; Argelson and Kaimowitz: 1999; Chomitz and Gray: 1996). One research ( Duraippah: 1996) has identified three main causes of deforestation in India, viz. (i) logging, (ii) agricultural/pastoral encroachment and expansion, and (iii) fuel wood collection. Construction of big dams, installation of large and smallscale industries and mining activities are also major factors responsible for deforestation in India and more particularly in Orissa. Besides these immediate causes of deforestation, there are some underlying causes, i.e. macro-economic factors, which are responsible for deforestation. Some of these are (i) rise in population and their increasing need for land, food, fuel wood, timber and other forest produce, (ii) higher per capita income, (iii) economic growth, (iv) external debt, (v) present day economic liberalization and structural adjustments, etc. However, how deforestation is affected by some of the above-mentioned factors is ambiguous (Angelsen and Kaimowitz: 1999). It is argued that the agents of deforestation are small farmers, ranches, loggers and plantation companies. The action of these agents is a source of deforestation. There is a broad consensus that expansion of cropped areas and pastures are a major source of deforestation. No similar consensus has been formed about logging, although it seems to be a direct source of deforestation in some contexts and an indirect source in other. The adverse consequences of th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 75 tropical deforestation is a matter of rising concern. The term ‘deforestation’ describes the complete long-term removal of tree cover. The loss of forest cover influences the climate and contributes to a loss of biodiversity. The economic activity is adversely affected by siltation, flooding, and soil degradation and reduced timber supplies. This, in turn, threatens the livelihood of forest-dependent people. Moreover, the increased run-off of rainwater owing to deforestation strips away soil and consequently clogs lakes and water bodies. The conventional poverty-environment argument is that poorer families are more likely to clear the forest either to grow crops or to cut wood, because they have shorter time horizons. It is argued that poverty and underdevelopment lead to environmental degradation. The counter-argument is that such families are less likely to do so because they lack the necessary capital to put additional land into cultivation. Economic and political factors, according to one view, exert more harmful effects on deforestation than population growth per se. For instance, according to the United Nations, population growth leads to the destruction of only small patches of rain forest by farmers who expand cultivation along the edge of the forest in small amounts (Chhokar et al: 2004). Population growth is not responsible for the deforestation in larger scale. Large-scale infrastructure projects such as highways, railway lines, big dams, and industrial and mining projects in forest areas are major factors responsible for degradation of forest Over-consumption, it is argued, is also significantly responsible for deforestation. The demand for cheap beef in fast-food outlets in advanced countries is an example of the adverse effect of consumption by rich on forest. There has been massive felling of trees in most of the forests of the Central America and Amazonia to clear them to provide grazing lands for cattle rearing. These grazing lands are used for a few years and later abandoned while newer forest areas are cleared for pasture (Ibid). In a similar way, due to a rise in demand for brackish water shrimp in rich countries, large-scale shrimp farming is practiced in developing countries- most of it in Asia and particularly after liberalization and globalization. This has led to a massive destruction of mangroves in coastal areas which have been converted into shrimp ponds, leading to occupational displacement of poor traditional fishermen in tropical and sub-tropical coastal areas. Thus, in some cases, it is not poverty but richness that led to massive deforestation. However, there is no unanimity about the immediate causes of deforestation. Higher prices for agricultural products, it is asserted, stimulate deforestation. As frontier agriculture becomes more profitable, the forest dwellers and the migrants from other areas begin to transfer resources into forest clearing. Additional land is put into agricultural production due to more capital arising from rise in prices of agricultural products. Thus, increased agricultural prices enhance forest clearing. On the other hand, there are indeterminate conclusions about the effects of changes in prices of agricultural inputs on forest clearings. Higher prices of fertilizer may induce farmers to adopt more extensive cultivation practices that use more land and fewer fertilizers. On the other hand, it can make th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 76 agriculture, in general, less profitable and may lead to a decrease in the amount of land devoted to production of crops. Various studies show that higher prices of other agricultural inputs like seeds, pesticides and hand tools reduce forest clearing (Vlachou: 2005). There is a belief that policies that favor rural wage increases and generate off-farm employment opportunities for rural people will reduce deforestation. This is because higher rural wages and more non-farm jobs reduce forest clearing by making agricultural and forestry activities more costly (e.g., Pichon: 1997). Serious doubts have been raised about various hypotheses on deforestation (Angelsen and Kaimowitz: 1999). The population thesis offers only weak support for the explanation that population growth is the main factor responsible for deforestation. There is little empirical evidence on the link between deforestation and poverty, as pronounced by the poverty thesis. On the other hand, richer section of the society are in a better position to clear new forest land, as forest clearing requires investment. The win-win thesis advocates that economic growth and the removal of market distortions are good for forest and people. But, this thesis finds limitations since liberalisation, globalization and consequent currency devaluation lead to higher agricultural and timber prices that, in general, will lead to deforestation. The making-the-forest valuable thesis postulates that lower timber prices will discourage sound forest management. But lower prices of timber may both reduce logging activities and restrain agricultural encroachment stimulated by logging. While forest clearing gives farmers a claim to the land, increasing the security of such claims may lead to greater forest clearing, thus contradicting the tenure security thesis. The intensification thesis similarly creates doubts. How forest clearing is determined by improvement in agricultural technology is not clear without information regarding the type of technology and the output and without factoring market elasticities. Though these various theses’ cannot be rejected outright, there are some doubts about the hypotheses. So, there is a need for rethinking the causes of deforestation. The causes may differ from country to country and within a country from region to region. Deforestation in Orissa and Keonjhar District Forest in Orissa where tribals are mostly living are fast depleting and hence adversely affecting the livelihood of tribals. The actual forest cover in the state is only 47,033 sq km, which constitutes 30.20 per cent of the total geographical area of the state. Forest of Orissa is unevenly distributed. The share of the total forest area to geographical area is comparatively higher in Keonjhar district than that at the all-Orissa level. The percentage of forest area to geographical area was comparatively higher in Keonjhar district (both in 1990-91 and 1997 at 44. 90 % and 42. 67 % respectively) than that of Orissa as a whole (at 30.30 % and 30.15 % respectively) for the same period (Tables 1, 2). The forest cover of the district is 3543 sq km, which is 42.67 % of the total geographical area of the district. The reserve forest of Keonjhar district mostly consists of steep hills and narrow winding th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 77 valleys. There is coastal climate in some areas in the southern part of the district. Therefore, there has been development of a distinct plant community in this part. The district consists of a compact area and its length from the extreme north to the extreme south is around 145 km and the average breadth from east to west is about 65 km. The forests of the district are of monsoon type. Two sample blocks in the district are Bansapal and Ghatgaon of keonjhar district (Samal: 2002, 2007). The forest area in the Bansapal block is around 38,935 hectares and the Ghatgaon 8,193 hectares. The sample villages in our study in the district are Santarapur, Sitabinj of Ghatgaon block and Upper Raidiha of Bansapal block. The rate of deforestation is higher in Keonjhar district as compared to that of Orissa state as a whole. The percentage of total forest area to geographical area in Keonjhar district has declined by 2.23 percent point during the period 1990-91 and 1997 while it has declined by 0.15 percent point in Orissa as a whole. Similar is the case for percentage of closed forest area to the total geographical area. This share has declined at a higher rate in Keonjhar district, i.e. 3.55 percent point than that of Orissa as a whole (i.e. 0.93 percent point) over the said period. This is primarily due to heavy mining activities in the district. The main source of income from the forest produce of the state government is timber and firewood. While tenants in the exercise of their nistar rights mostly take firewood away, the timber of the incremental yield of the forest was going to the contractors, mostly through auction sale. But this system proved detrimental to forest economy. Therefore, the system of auction through contractors was abolished. All the forest coupes were given on basis of negotiation o the Orissa Forest Corporation with effect from 1975. Other important causes of deforestation, which have been observed in the study area, are the heavy pressure on the forests due to lack of alternative dependable sources of livelihood and also due to a growth in the population. Due to the lack of alternative dependable source of livelihood on the one hand and population growth on the other, households living in and around the forest area are depending on shifting cultivation -locally called Dangar Chasa. Almost all the households in Upper Raidiha village and, only Juang of Santarapur village have been involved in such cultivation. In fact, the gap between one crop to another on a single plot under shifting cultivation has been declining. As a consequence, it accelerates the extent of deforestation (Samal: 2002, 2007). Moreover, massive deforestation in the state is also caused by an increase in biotic pressure (population and livestock) and also due to non-response of forest resources to the increased needs of the people (i.e. Supply of forest resources is less than the demand for it). Other factors are: (i) diversion of vast amount of forest areas for non-forestry purposes such as mining, irrigation, industries, railways, defense etc. (ii) low priority to and meager public investments in the forest sector development (in the state budget) compared to other sectors; (iii) increasing degradation of forest land (NCDS: 2002); and th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 78 (iv) greater dependence on fuel wood for sale. The main factors responsible for deforestation and forest clearing in our study area are; (i) illegal felling of trees due to improper forest management as well as an unholy nexus between some politicians, forest contractors and officers of Forest Department and, (ii) setting up of a large number of mineral-based projects including open caste mining and mineral processing units, particularly after the onset of the processes of liberalisation, privatization and globalization (since 1991). During 198291, 9,800 hectares of forest area were diverted to non-forest use, whereas during 1992-2004, around 19,257 hectares have been diverted to non-forest use (Table- 3). Thus, forest area diverted to nonforest use in post-liberalisation era is almost double of that in pre-liberalisation period. Although, there was a process of deforestation in the state due to factors mentioned earlier, the rate of deforestation became more in the post-liberalisation period. This is mainly because; liberalisation and opened up to the private sector (including multinationals), core sector like power, steel, mines, etc. which they were not allowed earlier. Other factors are: (i) two-strokes devaluation of Indian Rupee in 1991 and its continuing depreciation upto 2003, and (ii) abolition of Freight Equalization Policy in 1994.26 This has led to excessive exploitation of minerals, which were mostly available in forest areas of the state. However, there are also other agents responsible for deforestation in Orissa and India. The rate of deforestation is reflected through variables like distance covered and time spent to get the same quantity of some selective forest items at two points of time (in our study area). Earlier (in 1995), one had to cover about 4.09 km in forest to get one vara (shoulder load) of firewood. But to get the same quantity of firewood in 2000, on an average a distance of 7.36 km in forest was required to be covered (Table- 4). It implies that an increase of additional 80 per cent of the initial distance was 26 In January-March 1991, the exchange rate was $1=Rs. 19.62/-. After the two-stroke devaluation in JulySeptember 1991, the exchange rate became $1=Rs25.76, and depreciation of the Rupee continued till 2003 upto a level of $1=Rs50.00. In case of devaluation and depreciation of home currency (Rupee in case of India) in developing countries that are rich in natural resources, the earning in terms of home currency suddenly increases. This will encourage developing countries like India and poor states like Orissa for more exploitation of natural resources since most of them depend on export of natural resources such as minerals like bauxite, iron ore, etc, forest produce and products of water bodies; and semi-processed mineral resources. This, in consequence, leads to deforestation, environment degradation and local and occupational displacement of poor and marginal sections. Earlier, due to Freight Equalization Policy, the transport cost of minerals, iron ore, steel, etc was the same throughout India. Investments for value-added items or for mineral processing industries like aluminum and steel were not forthcoming in the mineral rich states like Orissa. After the abolition of Freight Equalization Policy in 1994(and after the onset of liberalisation and privatization) such investments have started flowing into Orissa. Apart from this, the conversion of forestland for non-forest use has meant that the land used for cultivation in the state also declined (in Orissa, it has declined from 63 lakh hectares in 1990-91 to 57 lakh hectares, gochar from 8 lakh hectares to 4 lakh hectares in 2005-06). This is according to the Annual Report of Department of Agriculture, Government of Orissa, As a consequence, food grain production declined from 72.30 lakh tones in 1991 to 35.55 lakh tones in 2002-03 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 79 required to be covered for collecting the same quantity of firewood over a period of five years. Similar is the case for other forest items such as herbal medicine, food items, and timber etc. Similarly, comparatively more time was required to be spent to get the same quantity of forest items in 2000 than that in 1995. The increasing degradation of forest thus gives rise to the necessity of afforestation, plantation and regenerating environment in the state in order to protect and promote the livelihood and also to reduce drudgery of the people. Such environment based works are highly labor intensive and capable of generating massive employment for people in Orissa (Government of Orissa: 2001) Issues on NTFP Besides hydrological benefits such as erosion control and regulation of stream flow, there are other benefits of forest, which accrue from non-timber forest produce (NTFP). Forest dwellers depend on NTFPs for food, fodder, fuel-wood, fruits, housing materials, medicines, etc. The issue of livelihood of forest dwellers is related to sustainable harvest of NTFP. Notably, this has a negligible impact on the plants and trees in forest. In India, important NTFP such as bamboo, sal seeds and tendu leaves (known as kendu leaves in Orissa) are nationalized. That is, these NTFPs can be sold only to government agencies. In Orissa, the government has authorized the Orissa Forest Development Corporation (OFDC) and the Tribal Development Co-operative Corporation (TDCC) for procuring these forest products. But it is unfortunate that all the primary collectors are not availing of this facility. Moreover, due to a lack of managerial capacity, these authorized corporations are bearing heavy loss over the years. The revenue yields over years from the nationalized NTFPs are very dismal in Orissa. The objective of protecting tribal interests in terms of ensuring fair price to their products has not been fulfilled due to rigid trade options that restrict the number of legal buyers and restrictions of free flow of goods. These have paved the ways for exploitative alternative markets. Government agencies such as OFDC, TDCC have grossly failed both in terms of maximizing revenues and in terms of ensuing a fair price to the primary collectors (Mallick: 2000). Besides this, the government has been leasing out different NTFPs to private agencies for procurement from time to time. Though, there is a Committee to decide the prices at which different NTFP have to be procured, forest dwellers are also being exploited by the middlemen/private agencies who purchase their collections at lower prices (RCDC: 2000). The Government of India has passed a new legislation for Schedule-V (tribal) areas called as the Provision of Panchayats (Extension to the Scheduled Areas) Act, 1996, which makes Gram Sabha/ Gram Panchayat the owners of NTFP. In line with this, a recent policy strategy, Policy on Procurement and Trade of NTFP announced on 31st March 2000, that the Government of Orissa has entrusted 67 NTFP to Gram Panchayats in the state (both scheduled and non-scheduled areas) in terms of ownership and control in order to make procurements and also for the purpose of marketing th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 80 and processing of NTFP for more benefits to the primary gatherers. It is observed that in most of the cases the representatives of Gram Panchayats are not aware of the NTFP Policy (Ibid). The new NTFP Policy has divided the non-timber forest products into four categories viz. (i) minor forest produce [60 items], (ii) non-timber forest produce (seven plant based oil seed items excluding one non-declared item), (iii) forest produce which are not to be leased out, and (iv) nationalized forest produce such as kendu leave etc. However, the above categorization of NTFP does not seem to be scientific. Out of the total 60 minor forest produce, the ownership of which was given to GPs, only about 10 to 12 items are being traded. Moreover, the comparatively higher revenue/income generating forest produce like kendu leaves, bamboo and sal seed are still under the control of the government. Giving a stake to people in the sustainable use of forests and involving them in their management could reduce the ‘Tragedy of Commons’. This is now a widely acknowledged principle and Joint Forest Management (JFM) is already in operation in most of the states (including Orissa) in India. However, participation of the people in decision-making on issues like selection of land and species is limited. Apart from this, JFM has several problems in Orissa, such as a weak and controversial legal framework as well as weak links between the JFM committees and panchayats (Mallik: 2002). The important non-timber forest products that are found in Keonjhar district are kendu leaf, sal seeds, mohua flowers and seeds (control of its trade vests with state Excise Department), honey and wax, resin, tasar, myrabolon, tamarind, sal leaves and siali leaves and fibres. These NTFPs play an important role in the rural economy of the district as forest dwellers, who hardly get their food from agriculture, depend on them. Most of the NTFPs are collected from the reserve forest as well as from the Khesra forests. NTFPs like tamarind, mohua flowers and seeds, and kendu leaves are mostly collected from Khesra forests. Kendu leaf is a major raw material for bidi industry, which provides employment to a larger number of people. As mentioned earlier, the kendu leaf trade was completely nationalized by the state government, with effect from 1973 crop-year. Towards the late 1960s, collection of sal seeds assumed an importance to the forest dwellers and particularly to the tribals, when its industrial use as oil for making soap, chocolate, etc was discovered. With its nationalization (with effect from 1983 crop year) and fixation of remunerative price under the Minimum Wage Act by the State Government, substantial income accrues to tribals engaged in collection of sal seeds during April-June every year. Sample Villages Santarapur is a multi-ethnic, multi-lingual, multi-religious village that is composed of SC, ST, OBC, general caste, and Muslims households. Compared to the other two villages, viz. Upper Raidiha and Sitabinj, Santarapur is well connected with road, transport, and has access to communication and health services. The special feature of this village is that most of the households that are involved in trading of the different forest products belong to a minority community. As compared to others, socioeconomic conditions of this category of households are better. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 81 Among the three sample villages, Upper Raidiha village is unique in the sense that the village is surrounded by forest. Moreover, about 69 per cent of total households of the village are tribal (belonging to Juang, Bhuyan and Majhi) and 50 per cent of total households belong to a primitive tribe, i.e., Juang. Almost all the households are mainly dependent on shifting cultivation, for their livelihood. To supplement their livelihood they also depend on different non-timber forest products, mainly food items such as mango, jackfruits, etc. Sitabinj village is characterized by both traditional and modern economic activities. Sabar and Munda are two ST groups in the village. Sericulture is a traditional occupation of the Munda tribe. The villagers are mainly dependent on settled cultivation. Both the villages, Sitabinj and Uper Rahdiha are not connected with all-weather road and do not have access to electricity and telephone. The present study covers a total of 203 sample households from the three sample villages. The overall share of ST population in the sample is around 60 per cent. About half of the sample population is literate, and around one fifth is land-less. All the categories of land in the area are rain fed. Paddy is the main crop in non-forest land. Most of the sample households have multiple occupations, which fact emanates out of their necessity for survival. Around 28 per cent of the totals earning members are primarily engaged in cultivation and 21 per cent in NTFP collection (Samal: 2002). Nature of Dependence on Forest The nature of dependence on forests is broadly divided into three types, viz., (a) for own household consumption only, (b) for selling purpose only, and (c) for the purpose of both household consumption as well as selling. Except food items and cultivation of forestland, the percentage share of households depending on forest products for the purpose of their own household consumption only has declined over time (Samal: 2002). The nature of dependence on forest for some of the households’ has changed over time from singular purpose of own household consumption to combined purpose of own household consumption and selling. This changing nature of dependence on forest is observed particularly for the items like firewood, timber and sal leaves. Finally it is observed that the nature of dependence on forest has changed over time from collection of food items towards non-food items. It is to be noted that due to deforestation, availability of food items in forest has declined. A very small percentage of total sample households have been depending on different forest produce for selling purpose only and this share has declined over time. The SC households are comparatively less dependent on forest for this purpose as they are more dependent on their caste-based traditional occupation. The percentage of sample households collecting timber has declined from 9.36 in 1995 to 4.93 in 2000 and; those collecting NTFP from 18.72 to 14.29 during the same period (Ibid.). Sal seeds, char seeds, sal leaves, kusum seeds, bahada, rahani, panasi, char seeds, etc are collected by primary collectors for the purpose of selling only. These primary collectors sell their forest produce to traders in both their villages and in nearby Dhenkikote, Gonasika and Kanjipani markets. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 82 It is observed that except the primary collectors of timber, others do not get the price equivalent to the minimum wage fixed by the government for their items. For example, a male primary collector of dry fuel-wood has to spend about nine hours of time to collect and sell of a vara (shoulder load of 50 kg weight) of it. In return, he gets Rs. 25 only. The overall percentage share of total households who were depending on food items and herbal medicine for both consumption and selling in 1995 has declined since 2000 (Ibid.). The nature of dependence on forest items such as firewood, timber and some of other NTFP is found to have increased over time. The forest dwellers particularly tribal such as Juang, Bhuyan, and Munda do use herbal medicines as and when they suffer from health problems. But, due to deforestation, the availability of such plants in forest has also declined. Degree of Dependence on Forest The degree of dependence on different occupational categories has been analysed in two ways (i) on the basis of work participation rate and (ii) on the basis of percentage share of income from each occupational category. It is observed that percentage of sample households primarily depending on forest has declined from 24.40 in 1995 to 21.72 per cent in 2000, mainly due to non-availability of forest produce over time (Ibid.). However, dependence on forest particularly of women (on part-time basis) has increased. The degree of dependence on the basis of income is analyzed in terms of percentage share of income from forest to total income from all sources. This share is different from village to village and among households in a particular village and over time. The forest dwellers are depending on a diverse portfolio of activities and income sources, and hence most of the sample households have multiple income sources. Around 89 per cent of the annual net income of the trading community is coming from trading of forest produce and another seven per cent from other business. Overall, in case of non-trader community, the forest was contributing 18.54 per cent of annual net income in 1995, which has marginally increased to 19.75 per cent in 2000. It is to be noted that annual net income per household has increased by 2.96 per cent while income particularly from forests has increased by about one per cent. The share of income from forests can be divided into two groups’ viz. (i) income from collection of different forest products and (ii) income from cultivation of forestland. In both the cases, percentage share of income has marginally increased, though the share of income from latter source is quite lower than that from former. Forest contributes around 23.34 per cent of total income for ST households, 17.85 per cent of “others” and 7.55 per cent of SC households respectively (Ibid.). It is to be noted that SC households have not been depending on cultivation of forest land/shifting cultivation. Comparatively women have contributed a higher percentage share of income from forests. This trend is found across the social categories of households though it is higher for ST and lower for SC. In this context, the role of a woman is also prominent. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 83 Finally, unlike non-food forest products, the degree of dependence on food items of forest has declined over time. Putting it in different way, the dependence on forest has been changing from food to non-food items of forest. Multiple factors are responsible for such change in dependence on forest. The important one among them are (i) fall in availability of food items in forest due to extensive deforestation, (ii) dependence of forest dwellers on non-food items due to less availability of food items in forest and lack of alternative dependable sources of livelihood, and (iii) easy access of forest dwellers particularly those who are living in the vicinity of forest area to forest land for cultivation (though illegally) (Ibid). Our study has calculated man-days of work in a year instead of hours of work per week. It was found that around 23.71 per cent of total man-days employed per household were spent for collection of forest products in 1995. This has increased to 24.92 per cent in 2000. Around three per cent of total man-days of work employed per household were spent on cultivation of forestland. Forest is providing comparatively higher percentage of total employment followed by cultivation and non-farm wage labor (Ibid.). The overall percentage share of total employment in collection of forest products was comparatively higher (13.23 per cent) in the case of women than their men counterpart (i.e., 10.48 per cent). This trend is found across all the social categories of households and over time except in the case of trader households. Interestingly it was found that this share for women has increased from 13.23 per cent in 1995 to 15.87 per cent in 2000, while for men it declined marginally from 10.48 per cent to 9.05 per cent over the same period (Ibid.). Thus the employment potential of forest sector particularly for women is comparatively higher. But, while it is compared with the return in terms of money income from this sector, we found that by spending about 25 per cent of total man-days of employment in forest sector, particularly in collection of forest products, about 19 per cent of total income was earned in 2000. The ratio was similar even 5 years previous to this period. Thus employment in forest sector particularly in collection of forest product is not remunerative in nature. Summary, Conclusion and Policy Implications In Orissa, deforestation has increased since 1991 due to (i) liberalisation and privatization, (ii) devaluation and depreciation of Indian Rupee upto 2003, and (iii) abolition of Freight Policy. The rate of deforestation is higher in Keonjhar district compared to that at the all-Orissa level. The various causes of deforestation in the district are: (i) unholy nexus between commercial interests and some officials of Forest Department, (ii) shifting cultivation, (iii) biotic pressure, and (iv) non-forest development projects like mining, industry, railway etc, more particularly in the post-liberalisation era. Due to deforestation, the availability of forest items particularly of food items has largely declined. As a result, the nature of dependence of forest dwellers on forests has changed from gathering food items towards gathering non food items and also particularly towards cultivation of forestland. The share of income from forest in the total annual net income of the households has marginally increased during 1995-2000. Dependence of forest dwellers on forest items is: (i) for own th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 84 consumption only, (ii) for selling only, and (iii) for both consumption and selling. They also depend on forestland for cultivation. However, very small proportion of households has been depending on forest products for purpose of selling only and this share has been declining over time. Most of these primary collectors sell their forest items to the middlemen. The degree of dependence of forest dwellers, on forest (in terms of the share of income from forest) has remained almost same during five-year period. But as compared to the time spent on collection of forest products five years back, now more time is required and more distance needs to be covered to get the same quantity of forest produce. Thus, the real income from forest has declined over the years. Still forest dwellers, particularly the tribal, are depending on forest, as they don't have any other alternative dependable source of livelihood. Instead of declaring the villages of forest dwellers as revenue villages there is necessity of afforestation of village land, and temporary lease of forestland to them for raising crop for livelihood (and not for commercial purpose). JFM has invited many problems. There is a need of more empowerment of Gram Panchayats and local level institutions and GPs should be also be given some power for management of forest without any interference from Forest Department officials. Control over forest should be transferred from the Revenue Department to the Forest Department, whereas as of now it is with the former. Some suggest the role of market forces as a solution to the problem of deforestation and the consequent scarcity of forest products. But self-correcting adjustments to scarcity may cause various new problems particularly for the poorest households. Local subsistence farmers would have to forgo other production in their household land when they begin planting trees. Moreover, the landless households may suffer even more since they do not have the option of planting trees on their own lands and they will be deprived of their jobs in agriculture when agricultural land is converted to farm forestry due to operation of market forces. In some cases, the private sector may play some role, particularly for afforestation of degraded forest and waste forestland. Thus, these lands may be leased to private party for farm forest while natural forest should remain under the government’s control. There is also the problem of encroachment of forestland that must be checked. There is a need for regularization of encroached forestland, not on the basis of distinction between pre-1980 and post1980 or that proposed by the TFRA (2006), but on the basis of distinction between encroachment for livelihood and encroachment for commercial purpose. The former may be regularized while eviction is desirable in case of the latter. The view of various stake holders (of Keonjhar district) in a workshop held at Keonjhar was that poverty and lack of alternative source of livelihood force the poor forest dwellers to act as an agent in the hands of illegal traders of timbers, NTFP and wild animals. This is one of the reasons of deforestation. Hence attack on poverty in the locality is the most important requirement for the forest dwellers as well as forest protection. Adequate measures for generation of employment and income based on forest resources have to be taken. However, there is also a need for livelihood diversification and reducing the dependence on forests in the study area. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 85 .References: Amsberg, Joachim Von (1998); “Economic Parameters of Deforestation”, The World Bank Economic Review, Vol.12, No.1, January, Pp133-53. Angelson, Arid and David Kaimowitz (1999); “Rethinking the Causes of Deforestation: Lessons from Economic Models”, The World Bank Research Observer, Vol. 14, No.1, February, Pp. 73-98. Chokar, K B, M Pandya and M Raghunathan (2004); Understanding Environment, Sage Publication, Delhi. Chomitz, K.M. and D.A. Gray (1996); “Roads, Land Use and Deforestation: A Spatial Model Applied to Belize”, The World Bank Economic Review, Vol. 10, No.3, September, Pp487-512. Duraiappah, A (1996); Poverty and Environmental Degradation: A Literature Review and Analysis, CREED, Working Paper Series No. 8, UK. Government of Orissa (1986); Department of Revenue, Orissa District Gazetters, Keonjhar, Bhubaneswar. Government of Orissa (1992); No. TD- 1 (IFAD)- 18/91/2628/HTW, Bhubaneswar, 10th April 1992, Harijan and Tribal Welfare Department, Bhubaneswar. Government of Orissa (1993); Protection of Reserved Forest and Protected Forest Areas by the Community and Enjoyment of Certain Usufructs by the Community, Notification No. 16700-10F (Pron)- 20/93- F & E, dtd. 03/07-1993, Bhubaneswar. Government of Orissa (2001); Directorate of Economics and Statistics; Economic Survey 2001 and Various Other Issues. Guha, Ramachandra (1983); “Forestry in British and Post-British India: A Historical Analysis”, Economic and Political Weekly, Vol. XVIII, Nos. 44/45-46, October 29/ Nov. 5-12, Pp. 1882-96 and 1940-47. Maler, Karl-Goran (1998); “Environment, Poverty and Economic Growth”, in B Pleskovic and J E Stiglitz (eds) Annual World Bank Conference in Development Economics 1997, The World Bank, Washington. Mallik, R.M. (2000); “Sustainable Management of Non-Timber Forest Produces in Orissa: Some Issues and options”, Indian Journal of Agricultural Economics, Vol. 55, No. 1, July-September, Pp. 384-97. Mallik, R.M. (2000); Impact on NTFP Policies on Sustainable Livelihood of Forest Dependent Communities in Orissa: An Empirical Exercise, (mimeo), NCDS, Bhubaneswar. Pinchon, Francisco J (1997); “Colonist Land Allocation Decision, Land Use, and Deforestation in the Ecuadorian Amazon Frontier”, Economic Development and Cultural Change, Vol 44 No 4, pp. 127-64.RCDC (2000), Jungala Khabar, various issues, 2000, 2001, Bhubaneswar Samal, Kishor C (2002); Forest and Livelihood: Case Study of Keonjhar District of Orissa, (mimeo), (A Report of the Research Project Funded by CDS, University of Wales, Swansea, UK.), Nabakrushna Choudhury Centre for Development Studies, Bhubaneswar. Samal, Kishor C (2007); Poverty, Social Capital and Natural Resource Management, Rawat Publications, New Delhi/Jaipur.NCDS (2002); State Development Report, Nabakrushna Choudhry Centre for Development Studies, Bhubaneswar. TFRA (2006); Vlachou, Andriana (2005); “Environmental Regulation: A Value Theoretic and class-based Analysis”, Cambridge Journal of Economics, Vol 29 No4, July, pp 2559-72. Table 1 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 86 Sl No Forest cover in Keonjhar district and Orissa (1990-91 and 1997) (In Sq. Km.) Particulars Keonjhar Orissa 1 2 1990-91 1997 1990-91 1997 3 4 5 6 1 Total geographical area 8303 8303 155707 155707 2 Closed forest 2033 1739 2754 26101 3 Open degraded forest 1697 1804 19661 20629 4 Mangrove forest - - 195 211 5 Total forest area 3730 3543 47205 46941 6 Total forest Area as % of 44.90 42.67 30.30 30.15 geographical area (-2.23) (-0.15) Note: # Figures in parentheses show change in percent point from 1990-91 to 1997. Source: Govt. of India, State of Forest Report, 1991 and 1997, Ministry of Environment and Forest, New Delhi. Table 2 Percentage distribution o f closed forest area in Keonjhar district and Orissa (1990-91 and 1997) Sl No. Particulars Keonjhar Orissa 1990-91 1997 1990-91 1997 1 2 3 4 5 6 1 Percentage of closed forest area to total forest area 54.50 49.08 (-5.42) 57.94 55.60 (-2.34) 2 Percentage of closed forest area to geographical area 24.49 20.94 (-3.55) 17.69 16.76 (-0.93) 3 Percentage of closed forest area of the district to total (CFA) of the state 7.43 6.66 (-0.77) 100 100 4 Percentage of total forest area of the district to total forest area of the state 7.90 7.55 (-0.35) 100 100 Note: # Figures in parentheses show change in percent point from 1990-91 to 1997 Source: As in Table 1 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 87 Table 3 Forest area diverted to non-forest use in Orissa (Since inception up to 2004) Sl. No. Year Number of projects Area diverted to non-forest use (in hectare) 1 2 3 4 1 1982 1 3.43 2 1983 4 124.02 3 1984 18 2000.89 4 1985 5 517.38 5 1986 3 770.38 6 1987 5 952.90 7 1988 9 975.63 8 1989 13 1737.38 9 1990 24 2714.92 10 1991 5 3.17 11 1992 7 508.84 12 1993 8 4729.25 13 1994 3 788.92 14 1995 6 317.94 15 1996 12 1354.61 16 1997 14 1902.49 17 1998 53 4722.35 1999 18 2000-01 27 1219.06 19 2001-02 20 1711.74 20 2002-03 15 508.18 21 2003-04 23 1493.71 Total 275 29056.89 Source: As in Table -1 Table-4 Average distance and time covered per day to get same quantity of some important forest products at two points of time (1995 and 2000) Sl No. 1 Forest Items 2 Average Distance covered per day (In Km) 1995 2000 Distance to cover after 5 years % of Additional 3 4 5 Average time spent per day (In Hours) 1995 2000 Time to spent after 5 years % of Additional 6 7 8 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 88 1 2 3 4 5 6 7 8 9 Firewood Food Fodder Housing Materials Medicine Timber Sal Leave Mahua Wild Animals/Birds 4.09 7.36 79.95 3.89 6.55 68.38 3.49 3.87 3.27 6.33 4.55 6.27 81.38 17.57 91.74 3.43 3.40 4.08 5.91 5.41 6.51 72.30 59.12 59.56 4.65 5.90 4.07 3.45 5.19 8.07 9.22 6.51 4.85 7.85 73.55 56.27 59.95 40.58 51.25 4.80 4.40 3.60 3.80 4.70 6.61 7.65 6.81 6.09 6.50 37.71 73.86 89.17 60.26 38.30 Source: Samal (2002) th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 89 Annexure I (e) Title : Economic Growth and Deforestation: A study of Orissa Economy Authors: Sushanta Kumar Nayak27, Samir Ranjan Samantra, Pradeep Kumar Mishra Introduction The economic liberalization process in India was started in the year 1991.The basic aim of the process was to make a transition from an inefficient to an efficient economy, producing a satisfactory growth, and thereby creating a substantial impact on poverty28. The first objective of the process i.e. a satisfactory growth has already been achieved. Keeping this in view many argue that India and its States have reaped the benefit of the liberalization process. Economic growth generally connotes the growth of National Income. The growth of income can be comparable with the gain in weight of a person and it can be said that when the weight of a person increases he becomes healthy. The gain in weight of the person can be viewed in two ways. Firstly, proportionate gain in weight of all organs of the body and secondly, disproportionate gain in weight of some parts of the body (for example, bulging out of the belly of the person). This second type of gain in weight is a disease-ridden gain in weight. A similar analogy also applies to the growth of an economy. In the first way, an economy grows proportionately in all sectors and such a growth is supposed to be a healthy growth. In the second type of growth, one or some of its sectors grow disproportionately as compared to other sectors. This is not a healthy growth at all. This second type of growth is known as a growth with inequity. When the growth is coupled with inequity, different types of distortions occur in the economy. The distortion can be reflected, both in the outcome variable as well as in the input use-patterns particularly of the natural resource like forest, water, mineral etc. The use-pattern of forest products as inputs for the production of different goods gets distorted when the growth-pattern of the economy is distorted and results in deforestation. The term “deforestation” has many connotations. Deforestation, defined broadly can include not only conversion of forestland to non-forest use but also degradation that reduces forest quality—the density and structure of trees, the ecological services supplied, the biomass of plants and animals, the species diversity and the 27 The paper has used extensively an unpublished paper of the author with Prof Atul Sarma, “Post Reform Economy of Orissa: Implication in terms of Growth and Equity”. We acknowledge the contribution of Prof Atul Sarma in this regard. 28 Jagdish Bhagwati and T.N. Srinivason, (1993): India’s Economic Reforms, Ministry of Finance, Govt. of India, New Delhi. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 90 generic diversity29. In a broad sense it includes not only conversion of forestland to non-forest use, but also a degradation that reduces the quality of forest. Different schools of thought30 have articulated different reasons of deforestation. The impoverishment school believes that the major cause of deforestation is the growing number of poor. The Neo-classical school believes- open access property right as the main determinant of deforestation. The political-ecological school arguedcapitalist investors as the main agent of deforestation. The present attempt aims at articulating a third school of thought. Nexus between Economic Growth and Deforestation The famous Kuznet curve hypothesis postulates that as income goes up there is an increasing environmental degradation up-to a point after which environmental quality improves. If deforestation is an indicator of environmental quality, then the same theory is applicable to the nexus between forest degradation and economic growth. Here the nexus is quite clear- when the GNP increases the input demand also increases. The Forest sector is an important input to the different sub-components of the National Income. The input demand of different sectors differs as given in the input-output table of any economy. Thus the forest input that goes into a particular sector is an indicator of deforestation caused by that sector. When different sectors of the economy grow, the demands for inputs also grow. Forest resources are also inputs for all sectors of the economy. Thus economic growth leads to a rise in the demand of forestry output. This can be articulated in a simple model. Let us take Fi=Existing Stock of Forest Resources, Vi= Useable output produced by the forest sector in a given time (example leaf, matured timber and bamboo etc. and minor forest products in general) and Di=Demand for forest products. Here Vi is the useable output that can be used without affecting the existing forest stock. If the demand of forest products (Di) is same as Vi then, it is a case of sustainable resource use. If on the other hand, Di is greater than Vi then existing stock of forest resources (Fi) reduces and lead to deforestation. There is enough literature to prove the point that forest cover is declining across the world and Orissa is no exception to this. With the above understanding of the concept of deforestation the present study attempt aims at analyzing the following: • • • 29 30 The growth of GSDP and its sectors in Orissa in the post reform period and to compare the same with that of India. To examine whether the present trend in the growth in Orissa’s economy is equitable or not. To quantify the demand of forest inputs used by different sectors and to identify the sectors that uses the maximum forest resources and cause deforestation. http://en.wikipedia.org/wiki/Deforestation#Definitions_of_deforestation Ibid. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 91 • Finally it aims at suggesting some remedial measures. Section I Distorted Growth Orissa Economy From 1993-2002 growth of GSDP31 of India was 5.7 per cent whereas that of Orissa was 3.8 percent. In 1993-04 the per capita income of India was Rs.8759/- and that of Orissa was Rs.5607/-, which was 64 per cent of the national average. In 2002-03 per capita income of India grew to Rs.12496/- (at 1993-94 price) and that of Orissa grew to Rs.6817/-, which was 55 per cent of the national average. Therefore, we can conclude that there has been divergence between the per capita income of India and Orissa during the period of economic reforms. This rapid increase in distance is basically due to a low growth rate in Orissa as compared to India. Therefore it can be said that Orissa has not been able to reap the benefits of the reform process and its per-capita income is diverging from the national average over the period of time under consideration. The income of a country or a state can be divided into three sectors -- namely agriculture, industry and service. By adding of the income from these three sectors the total income is computed. Therefore, growth rate of economy is dependent on the growth rate of these three sectors. During 1993-02 in India, the national growth rate of agriculture was 2.18 per cent whereas that of the same in Orissa was 0.17 per cent. In industry the national growth was 5.9 per cent and that of the same in Orissa was 1.49 per cent. In the service sector India could grow at a rate of 7.87 per cent whereas the growth rate of Orissa was 6.73 per cent. From these estimates it is clear that in Orissa, the industry and agriculture sector remained stagnant over the period of time under consideration. This is the reason as to why the per capita income of Orissa grew at a rate of 2.5 per cent, which was much below than the national average of 4.03 per cent. Therefore, we can argue that stagnancy in the agriculture and industry sectors is the main reason behind the accelerated growing distance in per capita income between India and Orissa. When we compute the contribution of agriculture industry and service sectors to the total growth, then in Orissa their respective contributions are 3.42, 31.11 and 65.47 per cent. In India the contribution of these sectors are 11.64, 21.57 and 66.79 per cent respectively. Therefore, we can say that in Orissa and India the contribution of the service sector to growth rate is the highest as compared to the other sectors. In Orissa the contribution of industry is the least. During the period 1998-2003, Orissa’s share in GSDP in the agriculture, industry and service sectors was 29.59, 21.83 and 48.58 per cent respectively. Hence it is seen that agriculture and industry contribute very less to the overall growth as compared to their weight in GSDP on the one hand, and the service sector is contributing a 31 Computed from the GSDP data as given in the website of Central Statistical Organization Govt. of India, accessed as on August 2005. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 92 disproportionate percentage of around 65 per cent to growth as compared to its weight in GSDP (48.58 per cent), on the other. Further, in 1999-2000, according to National Sample Survey Organization32 68.4, 10.7 and 20.9 per cent of the total employment was generated by agriculture, industry and service sectors respectively in Orissa. When the agriculture sector contributes 3.42 per cent to growth and generates 68.4 per cent of employment and service sector contributes 65.47 per cent to growth by generating 20.9 per cent of employment than it is impossible to presume that growth of income would be equitably distributed. Therefore, the disproportionate growth and employment generation as compared to the share in total income of different sectors, is a basic indicator on the basis of which one can conclude about the nature of distortion of the economy of Orissa. Table 1 Economic Indicators Comparative position of Orissa vis-à-vis India Type Indicator Time Orissa 1(a) Per capita Income (Rs) 1993-94 5607 1(b) Per capita Income (Rs) 2003-04 6817 2 Growth rate Per capita Income 1993-03 2.5 (%) 3 Growth rate Income (%) 1993-03 3.8 3(a) Growth agriculture (%) 1993-03 0.17 3(b) Growth rate Industry (%) 1993-03 1.49 3(c) Growth rate Service (%) 1993-03 6.73 4 Contribution to GSDP/GDP growth 4(a) Agriculture (%) 1993-05 3.42 4(b) Industry (%) 1993-05 31.11 4(c) Service (%) 1993-05 65.47 5 Share in GDP 5(a) Agriculture (%) 1998-03 29.59 5(b) Industry (%) 1998-03 21.83 5(c) Service (%) 1998-03 48.58 6 Share in Employment 6(a) Agriculture (%) 1999-2000 68.4 6(b) Industry (%) 1999-2000 10.7 6(c) Service (%) 1999-2000 20.9 Source: Indicated in the text of the paper India 8759 12496 4.03 5.7 2.18 5.9 7.87 11.64 21.57 66.79 24.07 21.82 54.11 58 12 30 Section II 32 Computed from NSSO (2001), Employment and Unemployment Situation in India, Part-I, NSS 55th round (July 1999June 2000), May 2001, NSSO, Department of Statistics, Government of India. Since data of all the population is not available, the weighted average of rural and urban data is used. The percentage of urban and rural population is used as the weights. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 93 Different dimensions of distortion of Orissa economy We feel it necessary to examine- how this distorted economy of Orissa is reflected over time. During 1993-99 in India, poverty reduced by 9.87 percentage points whereas in Orissa reduction was by 1.433 percentage points. Between 1999-2000 and 2004-05, poverty in Orissa declined by only 0.75 percentage point and the incidence of poverty in Orissa was the highest in India34 in 2004-05. During 1993-99, the per capita consumption expenditure in India increased by an amount of 13.70 rupees whereas in Orissa the increase was only of 1.66 rupees35. Further, during the same time the distance between India and Orissa in terms of per capita consumption of expenditure increased from 2.66 rupees to 14.75 rupees (at constant price of 1993-94)36. In rural unemployment rate, the distance between India and Orissa was 0.3 per cent in 1993-04. This increased to 0.5 per cent in 1999-200037. Incidence of rural unemployment has increased from 2 to 2.86 percent and the urban unemployment from 6.7 to 6.86 percent between 1999-0438. Also, not much improvement was observed39 in the urban unemployment rate during the same period. The impact of this distortion has also been felt in the overall Human Development Index also. During 1991-2001, in India, the index has gone up by 23 per cent, whereas in Orissa the increase was 17 per cent40. In the post-reform period in Orissa, the growth rate of total enterprise was higher than the pre-reform period, but in terms of employment a reverse trend was observed41. Therefore, the growth in enterprise in Orissa was not employment intensive in post-reform period. Perhaps this is the reason why the intensity of educated unemployment in Orissa is skyrocketing in the post-reform period. In 1987 the proportion between numbers of live registration to placements was 70:1 in Orissa and 90:1 in India and in 1999 the figures of Orissa and India went up to 420:1 and 232:1 respectively.42 Thus the intensity of educated unemployment has increased six times in Orissa as compared to two and half times in the case of India. Government of India (2002), National HDR 2001, Planning Commission Press Information Bureau (2007): Poverty Estimates for 2004-05, Governmenment of India, March 2007. 35 Government of India (2002) Op. Cit 36 Ibid. 37 Ibid 38 NSSO (2005), Employment and Unemployment Situation in India January-June 2004, Ministry of Statistics and Programme Implementation, Government of India and Government of India (2002) Op Cit. 39 Government of India (2002) Op. Cit 40 Government of India (2002) Op. Cit 41 Central Statistical Organization (2001), Economic Census 1998, as reported in Economic and Political Weekly, December 29, 2001. 42 Statistical Abstract of India,2001, as reproduced in Economic and Political Weekly, December 21, 2002, p.5063 and Statistical Abstract of India 1990, Central Statistical Organization, Ministry of Statistics, Govt. of India. 33 34 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 94 Table 2 Outcome Variables Comparative position of Orissa vis-à-vis India Type Outcome Variables Time Orissa 1(a) Poverty (%) 1993-1994 48.56 1(b) Poverty (%) 1999-2000 47.15 2(a) Inflation and Inequality adjusted Per 1993-1994 94.87 capita Consumption Expenditure (Rs) 2(b) Inflation and Inequality adjusted Per 1999-2000 96.53 capita Consumption Expenditure (Rs) 3(a) Rural Unemployment rate (%) 1993-1994 1.5 3(b) Rural Unemployment rate(%) 1999-2000 2.0 4(a) Urban Unemployment rate(%) 1993-1994 6.6 4(b) Urban Unemployment rate (%) 1999-2000 6.7 5(a) Human Development Index 1991 0.345 5(b) Human Development Index 2001 0.404 6(a) Growth of total Enterprise (%) 1980s 3.13 6(b) Growth of total Enterprise (%) 1990s 3.59 7(a) Growth of total Workers (%) 1980s 2.97 7(b) Growth of total Workers (%) 1990s 2.84 8(a) Ratio of numbers of live registration to 1987-88 70:1 placements 8(b) Ratio of numbers of live registration to 1999-2000 420:1 placements Source: Indicated in the text of the paper India 35.97 26.10 97.53 111.28 1.2 1.5 4.6 4.8 0.381 0.472 3.04 2.36 2.14 1.71 90:1 232:1 Section III Extent of deforestation and use of Forest Resources as inputs by different sectors The National Council of Applied Economic Research (NCAER)43 has prepared the input-output table for Orissa Economy for the year 2003-03. In that year the gross value of output of the Forestry and Logging sector was Rs.160991 Lakh at current price. If the forest area of the State is 58136 Sq.km, then per hectare output comes to Rs.2769.21/- at the price of 2003-04. One estimate44 shows the annual flow of direct use value of Parlakhemundi forest (excluding recreation value) at 2000 price as equal to Rs.901/- per hectare. After adjusting it to the 2003-04 price it comes to Rs. 1000.97/-. In other words, the extraction of forest resource is equal to 2.77 times what it can produce. Thus if we take these conservative estimates as the average forest product produced per annum, then the rate of deforestation per hectare in Orissa comes to Rs.1768.69/- and for the state as a whole it comes to 43 NCAER (2007): Social Cost Benefit Analysis of the POSCO Steel Project in Orissa ,NCAER, New Delhi, pp 45-50. 44 B.Nayak (2001): “Economic-Ecologic Values of an Indian Forest: A Case Study” Indian Journal of Agricultural Economics Vol.56,No.3, July-September, pp 325-334 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 95 Rs.1028.23 crore per annum at 2003-04 price. The same study 45 has also found out the per-hectare value of forest as equal to Rs.26662/- at 2000 price, which comes to Rs.29577/- at 2003-04 prices46. In a recent compensation package by the HINDALCO47, the per hectare value of forest in Sambalpur was estimated to be Rs. 16313.24/-. By taking the estimates of Nayak48(since it is on the higher side), one may argue that in Orissa 347644.4 hectare of forestland is deforested every year. If this trend continues, the existing stock of forest will deplete in around 16.72 years time49. In the case of POSCO the deforestation rate is computed as 946.11 hectare of land per annum (See Box-1). Therefore it is important to analyze the sector wise forest resource use-pattern in Orissa. Box-1 Deforestation due to the POSCO project The input-output table prepared for POSCO by NCAER points out that in Orissa Economy, Gross Value of output in Iron and Steel as equal to Rs.6624.36 crore and input from forestry sector as used in Iron and steel industry as equal to Rs.147 lakh. POSCO’s output is estimated to be Rs.12600 crore per annum. In that case the forestry resources to be used will be equal to Rs.279.83 lakh per annum. By using our above estimates, the total forest cover loss per annum will be equal to 946.11 hectare by POSCO alone. In a similar way one may predict the expected loss in forest cover for any other project in Orissa. The following table gives a sector wise forest resource-use break-up in the year 2003-04. Table. 3 Sector wise forest resource used, growth rate and contribution to growth in Orissa Sector Percentage of Forest Growth rate Contribution to growth resource consumed 6.87 0.17 3.42 Agriculture 61.37 1.49 31.11 Industry 31.76 6.73 65.47 Service Source: Computed from Appendix-1 and Table-1 &2. 45 ibid A study in Maharastra calculated the average value of Maharasrta forest as equal to Rs 17274.95 at 1993-94 prices, which comes to Rs 30935.98 by taking average inflation rate of 6 percent per annum. For detail see G.S.Haripriya (2000), “Integrating Forest Resources in to the system of National Accounts in Maharastra”, Environment and Development Economics, 5 (2000), pp.143-156. 47 In response to the RTI petition filed by Jairam Meher to, South Forest Division Sambalpur, PRO South Forest Division Sambalpur, replied, vide letter No 1430/PIO- Dated 20-04-07 that Hindalco acquired 45.46 Hectare of Gramya Forest, where 664 No of different varieties of trees were there and Hindalco paid a sum of Rs. 741600/- to the government as compensation for the forest alone and in that case per hectare value of forest comes to Rs. 16313.24/-. 48 Nayak (2001), Op.cit. 49 It may be noted that the calculation is a simple estimate with the assumption of growth of forest due to natural growth and aforestation programme as equal to zero. 46 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 96 Table 3 shows that the major user of forest resource in Orissa is the Industry and Service sector. If a detailed subdivision is made, then within the agriculture sector- the forestry sector consumes 6.51 percent; in the industry sector- beverages and tobacco, wood and furniture, paper and printing industry and chemical industry consume 5.82, 40.82, 6.82 and 3.62 percent respectively. In the service sector, the consumption by construction and hotel industry is 11 and 9.9 percent respectively. Thus, the manufacturing sector is growing at a rate of 3.8 percent, contributing only 11 percent to growth and consuming around 61 percent of the forest resources. The construction sector is growing at a rate of 1.98 percent, contributing 2.82 percent of growth and consuming 10.97 percent of the forest resources. However, the growth rate of the hotel sector is difficult to find out as aggregate data is only given as trade, hotel, transport and communication. Thus the sectors like manufacturing, construction and hotels are the major consumers of forest resources in Orissa. The above picture of consumption pattern of forest resources depicts an inequitable nature of use of forest resources. Because of the inequitable consumption of forest resources, deforestation is taking place. Theorist believes that growth is sin qua non for elimination of poverty and to increase employment. If we see the data on poverty reduction between 1993 and 2004 the reduction in poverty in Orissa was 2.16 percentage points, whereas at the all India level reduction was 8.47. Table 2 also points out an increasing unemployment rate, both in the rural and urban sector (over time) in the State. In other words, despite growth, poverty and unemployment rate has not reduced significantly in Orissa; rather a distorted economic structure has emerged over time, which is reflected at the grassroots level also (See the story of Laxman given in Box-2 and the story of the Papanga forest in Box-3). Box—2 Everybody wants to have a house decorated with wood: Laxman’s Story _____________________________________________________________________ Laxman came to Sambalpur in the early part of 1980s. He started one thela shop selling boiled eggs in front of the Laxmi talkies — a Cinema Hall. At that time he was young and just married. He was somehow able to manage his family with his income from the business. His business went on and Laxman managed to build friendship with many well-qualified young people who later on became bank officers, OAS officers and even academicians. His family grew. In the beginning of the 1990s the video-culture started, people stopped visiting the cinema hall for watching movies and Laxman’s income started declining. Constrained by his increasing family size he searched for some other alternatives for his livelihood. Then, he started one small Pan and Tea Shop in 1995 in front of the forest office, but could not get enough income for the sustenance of his family as his family size grew to eight. In the year 2000 he managed to build friendship with some forest officials and started illegal timber-plank business. His modus operandi was very simple — he hired some local unemployed youth (who are basically school dropouts) and engaged them in bringing timber plank (Sal,Paisl,Sesum and Teak) from nearby Mura and Parmanpur jungle (on bicycle ) and selling them to people who were constructing their own house in Sambalpur city. When he was asked — ‘who are your main customer and why do they want to have wood when steel substitutes are available in the market?’ He answered — ‘Everybody wants to have a house decorated with wood. I have supplied wood planks to retired conservator of forest, top government civil and police officials and doctors ………… when you want to th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 97 construct your house I will be happy to supply you wood planks as you like’. Then, when he was asked if he did not fear the police, he smiled and replied, ‘Bhai! I pay Quota to everyone starting from police to forest official and incase of magistrate checking we are well informed in advance ......... when we are supplying timber to big officials they protect our interest’. However, since the last 2-3years Laxman does not seem to be very happy as the boys whom he employs as labor are reluctant to carry timber planks from the forest for the fear of the Maoists who have made inroads into this territory. _____________________________________________________________________ Note: The name Laxman is a fictitious name to hide the identity of the real respondent. Box-3 Development, Deforestation, Monkey and plight of the poor: Story of Papanga denuded forest The Papanga forest is situated near Bheden – a block headquarters, around 30 kilometers away from Bargarh in Orissa. People say that it was a dense forest during Surendra Sai’s struggle against British rule in 1827-1862. It was a place, where Surendra Sai was hiding in various caves to carry forward his guerilla warfare against the British rule. Up to 1980s people would avoid moving in these foothills region out of a fear of wolf and bear who moved around this area- particularly in the evening times. Thanks to the Hirakud Dam –large chunks of the forest areas were cleared and converted to a double cropped agriculture land. Pressure on Papanga forest increased as the demand for wood increased which in turn was due to an increase in the demand for agricultural implements and housing materials. Soil erosion started due to deforestation. Now a denuded mountain is visible – one can only see stones and bushes that are in stark contrast to the different legends associated with the Papanga forest that the local people narrate. There are 15 villages surrounding Papanga hills. The average income of the people has increased due to irrigation facilities. Small farmers are cultivating various vegetables and sugarcane along with paddy to supplement their income. There is no fear of bear, as the species has become extinct in the region since the 1980s. Its place, has instead been taken by a new dangerous animal that threatens the peace of the surrounding villages – “Monkey”! The monkeys come to the villages in search of food as the Papanga forest is denuded, and they destroy the vegetables garden. Some time, they even enter the villages and destroy the katcha roofs of the houses and injure children. The rich farmers are not affected by the monkeys as they have concrete roofs and do not grow vegetables. The sufferers are the poor and the marginal farmers. They cannot kill the monkeys, as they are believed to be the incarnation of lord Hanuman. Under the circumstances there is little that they can do and how long they will have to suffer the loss of vegetables garden is anybodies guess Now many of the sufferers, particularly the youth have adopted some new trades – desi liquor business, satta and jua (gambling) have emerged as a new livelihood option in the region. They prepare desi liquor and supply to the nearby areas and towns. One can even notice drunken people creating nuisance in villages in the evening times. Satta and Jua is rampantly played in the area and many have become paupers in the process. Source: With inputs from Sri Barun Padhan from Khaupali, Papanga. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 98 Section IV What is the way out? The basic characteristic of Orissa’s economy (as given in Table.1) is agrarian. Agriculture contributes 29.59 percent of the GSDP and employs 68.4 percent of the total work force. The industry accrues 21.83 percent of the GSDP and employs 10.7 percent of the workforce. If we want growth with equity, then obviously agriculture should get the first priority, which includes cultivation, fishing, forestry and logging. If the I-O table for POSCO were correctly computed then any rational planner would go for that sector where output and employment multiplier are maximum. In that case the agriculture sector would get the priority, as its employment multiplier is 10.86. The table in the appendix-1 shows the forest resource used and the output and employment multiplier of different sectors in Orissa’s economy. A careful examination of the table reveals certain interesting facts. • • • The Spearman Rank correlation coefficient between employment multiplier and percentage of forest resources used is 0.582 (significant at 0.01%). Thus if the state goes for employment intensive sector for investment then there will be a pressure on forest depletion The Spearman Rank correlation coefficient between the output multiplier and percentage of forest resource used is 0.047 (significant at 0.05%). Here also if the state goes for output maximization then there will be a pressure on forest. Pearson correlation coefficient between output multiplier and employment multiplier is 0.078, which is feeble and statistically insignificant. In other words, there is no relationship between output-multiplier and employment-multiplier among different sectors of Orissa’s economy. Because of the above relationship the State can opt for investment in selective sectors like food crops, cash crops, plantation crops, animal husbandry, food products, cotton silk products, and leather and leather products on a selective basis where employment multiplier is more. Alongside, an emphasis should be given for those industries that produce ‘substitutes of wood construction material’ so that these can ease out pressure on forest from construction and hotel industries. Memorandum of Understanding for industrial investment must spell out loss in forest cover and the initiatives to generate forest by the concerned parties. The wood and furniture industries that consume the maximum forest output needs a close scrutiny as the sector is related to small village carpenter and their livelihood is dependent on this sector. Therefore, a-forestation programme should be done through village councils where representatives of the carpentry community must be ensured for a sustainable use of forest products. It must also ensure the plantation of trees having commercial timber values under private initiatives as there is a strong demand for Sal, Piasal, Sesum and Teak wood for the housing and construction sector in the State (See the story of Laxman in the Box- 2). Creation of employment avenues for the local youth is also likely to reduce the unemployed youth’s motivation to join the deforestation trade. Finally, concerted efforts have to be made to regenerate the denuded forests. This is very necessary if we have to save our deformed society and give the economic model on which it (our society) rests, a meaningful form (See the story of Papanga forest given in the Box-3). th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 99 Sector Food Crops Cash Crops Plantation Crop Other crops Animal Husbandry Forestry and logging Fishing Coal and lignite Crude petroleum, natural gas Iron ore Other Minerals Food Products Beverages, tobacco, etc. Cotton + wool + art silk textile products Wood, furniture, etc. Paper & printing, etc. Leather and leather products Rubber, petroleum, plastic, coal. Chemicals, etc. Non-metallic products Iron & steel Non ferrous metals Metal products except mach. And tpt. Equipment Tractors, agri. Implements, industrial machinery, other machinery Electrical, electronic machinery and applications Transport equipments Miscellaneous manufacturing industries Construction Electricity Gas and water supply Railway transport services Other transport services Storage and warehousing Communication Appendix--1 Sector Employment Code Multiplier 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Output Multiplier Percentage of forest resource used 0.01 0.00 0.00 0.07 0.29 10.86 2.75 3.52 0.68 4.15 1.72 1.43 1.4 1.35 1.45 1.22 0.71 0.51 0.02 0.35 2.11 5.36 3.23 1.45 1.16 1.49 1 1.4 1.33 2.24 2.08 6.51 0.00 0.00 0.00 0.00 0.00 0.97 5.82 7.93 13.68 1.68 3.71 0.74 1.12 4.06 0.69 0.47 1.93 1.79 2.41 1.65 2.12 2.97 2.21 2.36 1.84 0.15 40.82 6.82 0.00 0.10 3.62 1.61 0.61 0.02 3.29 2.44 0.10 1.06 2.5 0.01 0.99 0.97 2.83 2.45 0.03 0.02 2.85 1.79 0.55 0.68 0.67 0.95 1 0.76 2.34 2.15 2.27 1.59 1.94 2.05 1.8 1.48 0.68 10.97 0.00 0.00 0.00 0.00 0.00 0.00 24 25 26 27 28 29 30 31 32 33 34 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 100 Trade Hotels and restaurants Banking Insurance Ownership of dwellings Education and research Medical and health Other services Public administration 35 36 37 38 39 40 41 42 43 1.15 2.74 0.32 0.42 0.42 0.89 1.13 1.26 0.64 1.37 2.11 1.37 1.53 1.15 1.24 2.48 1.96 1 1.48 9.89 0.00 0.00 0.00 0.00 0.00 9.42 0.00 Source: NCAER (2007): Social Cost Benefit Analysis of the POSCO Steel Project in Orissa, NCAER, New Delhi. Note: Column 2 and 3 are directly taken from the Report and column 4 is computed from the data given in the Report. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 101 Annexure II: (Case Studies) Annexure II (a) Title : Globalisation and Deforestation: A Case Study Of Lapanga (Sambalpur, Orissa) Autor: Pradeep Kumar Mishra Introduction There is a long history of forest protecting by resident communities in Orissa. In fact, people have developed ingenious and location specific methods to protect and harvest the forests. However, of late the communities are facing a new threat to their protection efforts. These are largely due to the vigorous industrialization and mining drive that has been undertaken by the state (of Orissa) for the purpose of economic development. The threat is present not only as a simple case of loss of forest and therefore loss of livelihood, but also as one that potentially spells a complex web of changes at a systemic level for community lives. Lapanga, a village in the Sambalpur district of Orissa is presently a case in point. For Lapanga, the forest has a different status as far its ownership and use is concerned. Unlike other villages, the forest represents a classic example of individual sacrifice for communal life of this village. This is because a section of villagers have helped generate forest for another section by donating their own forest (raeeti50) land. It is crucial to note that despite the fact that the people in this village have never made any attempt to encroach the forest area, they are nevertheless still suffering as a result of a massive loss of land in the 50s ( due to the construction of Hirakud dam). In view of the fact that the forest is being grown on private land, the Lapanga forest has been recorded as Praja Rakshit Jungle (forest protected by tenant) in revenue record. The forest department has never had to bother about guarding this forest or putting restrictions on the community for harvesting it. The uniqueness of the Lapanga forest case lies in the forging of a community identity on the one hand, and of fostering closer linkages among the people of the village on the other. As a matter of fact the village is so reputed for its conservation efforts that people when referring to “Lapanga”, automatically mean the forest when the village’s name is invoked outside its territory. Similarly within the village the forest acts like glue connecting every segment of the village. The conservation efforts of this village has a very inspiring effect on other villages around it and serves as an example for community based protection of forest. Why study Lapanga? 50 Private th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 102 The village now faces both direct and indirect threats to its conservation efforts from half a dozen industries that are being set up in its vicinity. These projects throw up challenges both to the integrity of the forest as well as to the community of the people in this village as they form an organic whole around it. The deforestation caused in Lapanga is also having a negative impact on the nearby villages and vice versa. It is in the light of this deforestation that the case study shall attempt to study: 1. the responses of the people to this crisis, 2. the kind of changes it has brought to bear upon the people both at a community (village) level and individual level Location The Praja Rakshit Jungle of Lapanga (PRJ) comes under the Thutikatarbaga beat under the Rengali section of the South Sambalpur Forest division of Sambalpur district in Orissa51. It is located between 210 44I 15.93II N longitudes and 840 00I 18.33II latitude. The Lapanga village is located approximately 35 km north of Sambalpur and 15km south of Jharsuguda. The PRJ is flanked by the Lapanga village on the south-east, the Bheden nullah on the north, the State Highway-10 on the east, the Hindalco’s Talabira-I mines and Khinda forest on the west and north-west. The jungle is spread over an area that is slightly above 400 acres52. The villagers however contest the official figure and assert that the area would be more than what the official figure states. Environmental setting of the study area The area predominantly contains low level laterite soil. The soil characteristic varies from heavy clay with kankar to loamy to sandy loam. The maximum temperature of the area is recorded at 47.80 C during May and minimum temperature is recorded at 120 C during December. The weather mostly remains hot and humid throughout the year. As per the local IMD station at Jharsuguda, the average annual rainfall is 1460.9mm. The relative humidity of the study area varies from 21-87 %. The Hirakud reservoir is located at approximately 0.5-2 km in North-west of the PRJ with the water body breaking in to the peripheral paddy lands intermittently. The topography is partly flat and partly undulating and gradually slopes as one move from the village towards the reservoir. Most of the depressed land remains filled with the back water of reservoir for a quarter of the year. One of the key features of the ecosystem in the case study area is the mutual influence of Hirakud reservoir on the forest and vice versa thus making it a rare ecosystem of the country. The regular visit of migratory birds from Siberia to the Hirakud dam is suggestive of this fact. Flora and Fauna 51 52 -Revised Working Plan of Sambalpur Forest Division 1999-91 to 1999-00. The Census 2001 report mentions that the total forest area of the village amounts to 30.79 hectors. However the land record of the village as shown in http://www.bhulekh.ori.nic.in put the total forest area excluding the encroached portion at 418.69 acres. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 103 The forest can be classified as tropical deciduous forest. It lies within the grate sal belt. (See tables for the available flora and fauna in the village) Socio Economic Profile The village is home to a number of castes-typically signifying the evolution of the village around the notion of ‘self-sufficing village economy’. However, kuluta a middle level peasantry caste forms a sizable part of the village’s population. The other castes in the village include kamar (Potter) luhura (blacksmith), dhoba (washer man), keuta (fisherman/ preparing puffed rice), Brahmin (priest), and a host of ST and SC people. Occupation wise agriculture and other primary sector engagement accounts for 62.9% (sl.no.17+18+19 in table three) and provide the maximum employment in the village. (Also refer the table for other demographic profile and occupation distribution) The forest protection in the village is closely interwoven with the socio-economic life of the people. In particular, occupational need is the primary impetus to go for forest protection. Nevertheless it will be a sweeping generalization to conclude from this that it was only the occupational need that was instrumental in launching the forest conservation initiative. In fact the spontaneous donation of land for forest from raitee land suggests that the need was more than occupation-linked. This is further evident from the fact that the villagers launched the initiative when there was no forest protection in the area and enough forest was still available to meet their need. Thus the presence of a supra economic and arguably a cultural element seemed to have been pervading the community psyche. The desire to protect forest stems from the villagers’ inclination to keep something for their posterity53. “We protect the forest to continue and uphold the prampara (legacy) of our forefather” said, Duryadhan Pradhan, President of the village forest protection committee. The tie with the forest is so special to the villagers that every year on the full moon day of the month of Chaitra, all the villagers observe a festival in the forest and fasten thread around the trunk while prying for the wellbeing and prosperity of the villagers. The Organizational Structure For the protection and management of the PRJ the villagers have evolved a three-tire structure viz. the General Body, the Jungle Parichalana or Management Committee and the Upadesta or Advisory Committee. The membership, duties and responsibilities of these three layers are clearly defined. • 53 General Body -All the households (HHs) sans the temporary residents of the village are the members of the general body. However the praja (tenant) have a preeminent position in the general body. The praja here mean those HHs who have donated land for forest growing in the past. As the original praja families have expanded, the numbers of tenants have also increased now. However the other residents can also participate and contribute to the process. Singh N.M. and Kumar K. (1993) ‘Savings Forest for Posterity’. Down to Earth, Vol. , No. , p. 26. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 104 Advisory Committee (Upadesta) Forest Management Committee (Parichalana) General Body • • Forest Management Committee- This is the most crucial body in the link. It consists of eleven persons from among the general body. The Forest committee is responsible for conducting the day-to-day business. The job of the body includes inter alia deciding the ways and means of harvesting crop, penalizing offenders, resolving inter-village conflict arising out of forest offence etc. Upadesta Committee- The committee requires to counsel the jungle committee on any matters referred to it either by the forest management committee or the general body. Like the forest management committee it has also got eleven members nominated from among the general body. Generally the members are elderly persons. Historical Context There is some confusion regarding the exact date of origin of forest protection in the village as villagers and researchers have different versions to offer. Many villagers trace it to three or four generations in the past. On the other hand Singh and Kumar54 and Mohapatra55 traced it to 1936. The initiative however is a little older and apparently dates back to the following years of the Dewar Settlement. We based our argument after reconstructing two interlinked versions of the people. In fact the second version is suggestive and qualifies the first one. In the first place forest was grown on land drawn from people’s private land after they donated it for the cause. Secondly, recounting from their memory the villagers further said that the effort started after the first settlement. The first comprehensive settlement in the study area was the Dewar Settlement of 1908 as before that no proper settlement could be done owing to the continuous agitation by Vir Surendra Sai56. 54 Ibid Mohapatra R. (1999) ‘On The War Path’. Down to Earth, Vol. , No. , pp. 6-7. 56 Sambalpur District Gazetteers (1971), p. 357 55 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 105 It is said that, worried at the gradual loss of the forest cover in the village, the people of Lapanga decided to conserve it. A semi-judicial body called the gauntia panch was set up in 1936 to oversee the forest protection. Moving a step further people donated around 75 ha of land for conservation of forest. Impressed at the indigenous effort of the people to protect forest, the land was exempted from tax paying57. In view of the tenant’s donation of the land for forest, the Lapanga forest is known by the name Praja Rakshit Jungle (PRJ) meaning “tenant conserved forest”. Hence the rights and privileges enjoyed by the praja are superior to non-praja. The meaning of praja in the present context is however limited and only refers to those people who have donated land for forest. The other landholder having RoR, the sukhbasi (a landless person) of the village also have rights in the forest. Methodology Used Both primary and secondary sources have been consulted to conduct the present case study. The primary sources include interviews (unstructured), recording of peoples views following FGD and interaction with a cross sections of people from Lapanga, Khinda, Talabira and Chaltikra. Books, journals, news paper and selected internet site constitute the secondary sources of the present case study. Current Situation Key Facts In recent years the forest destruction caused by mining and industrial activities pose a grave danger to the forest conservation efforts at Lapanga and to village forests surrounding it. Mining by M/s Hindalco and the laying of a pipe line by M/s Bhusan Steel is exposing the PRJ to both direct and indirect depletion threats. However, more then that the non compliance of Court order and official inaction is complicating the problem. The problem started when government permitted M/s Hindalco to construct a pucca road over a tract of land called godanda (meaning a road for the movement of cattle) inside the Lapanga village forest. The godanda, a narrow tract of road with an average width of 4-5 meters runs through the forest and was in existence since long. The company wanted to use it, for the movements of its Volvo trucks carrying coal from the Talabira-I mining area to its captive power plant at Hirakud, by expanding the godanda road. The people of Lapanga opposed the permission saying the construction of the road would damage their forest. Besides Lapanga, people from Khinda, Talabira, and Maliatikra also opposed the move fearing that their village forest would also get affected as they lay close to the area. The forest committee of Lapanga filed a writ petition in the High Court challenging the government order. It petitioned the Court to quash the order and maintain the status quo. The Court, however, admitting the existence of luxuriant forest growth on both the side of godanda, gave a qualified permission to construct the road after imposing certain conditions. 57 The Banabarata , Vasundhara (Bhubaneswar), September 2006, no. 34 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 106 The conditions inter alia include not breaching the existing length/width of the godanda while constructing the road. The court also debarred the user agency to fell or chop any trees while undertaking the construction of the road. The Court further directed the company to embark on a course of plantation on both the sides of the road. However, unrest amongst the villagers refuses to die down since the construction of the godanda road. Media reports point to regular bandhs58 and dharnas59 by the villagers (people from lapanga, Khinda, Talabira) in the locality. The reason for the agitation is the violation of the Courts order by the company and the official complicity to the company’s mischief. In direct violation of the Courts order, the company has felled many trees and widened the road more than the permitted width. As a result nearly 1.5 km length and 5-20 meters width of forest have been destroyed to develop the godanda road. It may be of pertinence to mention here that the company has only constructed an earthen road leaving the forest at the mercy of to severe dust (both earthen and coal) hazards. The company is also causing serious damage to the forest by overburden and dumping of earth to the forest adjacent to the mine. (See photo) Besides development of the godanda, water pipeline lying by M/s Bhusana Steel ltd. inside the forest pose another threat as a source of forest destruction. Though felling in terms of area is far less compared to the development of godanda yet intrusion by the company employees for maintaining the pipeline is increasing the chances of biotic pressure. Against this backdrop it is pertinent to mention here that many tracts adjacent to the PRJ area are at a state of induced scrub due to constant biotic interference. Again M/s Bhusan is also seen to be destroying forest at Bhubra dunguri despite vigorous protest by the local forest protecting community of Khinda. The forest protecting community of Lapanga now fears even more destruction to the PRJ as M/s Bhusan plans to lay its second pipe line beside the present one. Flying coal dust and other dust generated due to mining and the constant movement of the trucks inside the forest could mean serious jeopardy to the life of vegetation of PRJ. Sadly the forest is facing this problem from two roads running parallel to each other, one through the godanda and the other through the Khinda village road. The godanda is used by M/s Hindalco and the Khinda by M/s Bhusan to ferry the fly ash generated from its Steel plant near Thelkoili. The present ash dumping site of Bhusan is located almost centrally between the village forests of Ghichamura, Khinda and Chaltikra. The fly ash dumping of Bhusan has run into serious controversy as the company is doing it illegally after it failed to dump it in its approved ash pond at Larrypali60. Recent news paper report talks of acid rains in the area. Informed sources attribute it to the chemical transformation of SO2 into H2SO4, and this is possibly occurring due to fire in the coal mines and the captive power plant in half a dozen Sponge Iron factories running within a radius of 2-5 km of the forest. 58 A Hindi word meaning 'closed', is a form of protest used by political activists in some countries in South Asia like India and Nepal. 59 A dharna in Hindi is a fast undertaken at the door of an offender. In India as a means of obtaining compliance with a demand for justice, such as payment of a debt. 60 Environmental Impact Assessment & Environmental Management Plan of M/s Bhusana th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 107 Though the immediate impact of the coal dust and other dust has not been assessed in the area, well founded research proves that they tend to damage forest. Further major part of the dust tends to collect in the lower portion of the plants risking the existence of creepers and herbs the most. Many villagers have reported about the disappearance of some of the medicinal plants in the PRJ in recent past. BOX-I Professor Arta Bandhu Mishra an environmentalist and professor of Life Science Sambalpur University says that dust particle significantly reduce photosynthetic performance of plants as it clogs up the stomata cell. Similarly iron ore dust due to industrial uploading can cause significantly more injury to the plants then natural ground dust because of its angular structure and the presumed ability to damage stomata cell. Key Issues: Rationalization of Public-Private Partnership The industrialization drive of the state has come in handy to the forest department to push for the VSS61 scheme in the area. This is seen by the department as an effort to strengthen control and facilitate acquisition of forests for the ongoing industrialization drive. Until now the department had never bothered to manage the village forests of Khinda Talabira and Chaltikra in general and Lapanga in particular-thanks to the self-driven initiative of the community in the protection of forest. Now after the setting up of industries and other activities ancillary to the industrial operation, forests are needed to be acquired from these villages. The acquisition is facing stiff resistance from the villagers for reasons varying from compensation to destruction. However, compensation for the acquisition of forest became the immediate ground to use it as a cover for VSS by the forest department. A couple of years back the department advised Khinda to adopt VSS when the village did not get any compensation for the acquisition of their village forest despite their protection since 1974. Conversely Lapanga got compensation for the loss of their village forest during the same time. When the villagers brought the difference of treatment to the notice of the authority, the department advised the villagers to form a VSS. The villagers were allegedly told by the officials that till the time they did not form VSS the department couldn’t help them in their fight against the industries for forest destruction. The argument quickly found favor with the people for monetary gain and more crucially the assurance that the presence of forest department would deter the forest destruction by the industries. Forest Protection is Less Rewarding The organic unity that used to link the people with the forest for years, is now losing ground. The invasion of industries has made a section of the people believe that forest protection is less rewarding. On the other hand 61 VSS or Vana Suryksha Samiti was introduced by the state government following the Joint Forest Management guideline of the Government of India. Government of Orissa introduced a resolution in July 1993 where by the villages are required to form local level committee, called the VSS to protect and manage forest adjoining the village. The element collaboration of both government and people for the protection forest is the central part of the scheme. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 108 the hope that forest can be traded for a white collar job or a good compensation is capturing the imagination of the poor people living on wage earnings from urbanized local elite. The glamour of job and availability of works in the unorganized sectors seem to be the immediate causes. This has to some extent delegitimized the need for the protecting forest- contrarily (& sadly) promoting the idea that forest protection was official business and not a community responsibility. Breach of the Rule of Law Media reports and people’s account point to increasing violation of rules by the companies and the concomitant failure of administration to take action. Arguably the new found love for ‘growth-centric development through industrialization’ of the state has found echoes in the working of the administration. As a matter of fact, the District Level Nodal Agency (DLNA) headed by the District Collector plays a significant role in the single window clearance policy of the government. Thus the administration’s laxity and complicity with the agenda of industrialization has probably to do much with its important role in maintaining an investor’s friendly climate in the state’s bid to provide a proactive industrial policy. On several past occasions the administration has shown leniency to ensure the compliance of the industries on specific complains. In a number of cases involving the violation of FCA 1980, the administration has failed to initiate timely action. The case of felling by M/s Bhusana in Bhubra dunguri involving the Khinda village forest and the destruction of forest by M/s Hindalco in its mining area are cases in point. Growing Litigation and Resource Drainage In view of the dispute with the corporate houses, the people of the area are getting dragged into needless litigations. The move to oppose forest destruction by M/s Hindalco and M/s Bhusan is now landing the villagers in police cases. The fear of litigation and police harassment are having a demoralizing effect on the spirit of forest protection. It should also be mentioned here that the people of Lapanga are now facing a severe resource crunch after a court case against M/s Hindalco. As a result they are finding it difficult to even pay the salary of the watchman guarding the forest. Non-compliance of Supreme Court Order The Supreme Court (ref: T.N. Godavaramana versus the Union of India case) directed all the state governments to conduct a fresh survey of the forests. As per the directive the states were required to record all forest irrespective of their growth on any land i.e. on forest land or otherwise by forming a District Level Committee. The DLC in the district has ignored many such lands having good forest growth and recorded them as gazing land instead. This has precisely led to the transfer of many lands having good forest growth to the on-going industrial project without applying the provisions of FCA 1980. Hindalco has allegedly acquired many such lands in the Talabira project. DC Land and Forest Protection DC land is the leased land given out to oustees of Hirakud dam project as an exgratia. A substantial part of the DC land has not been settled in favor of the leasee to this date owing to lapses in the Major Settlement. The DC land is intimately connected to forest protection in the case study area. In Lapanga and Khinda for example people have raised forest voluntarily over their DC land to meet post displacement challenges and other th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 109 livelihood concerns. Now lands from such forested area have been transferred for setting up of industries. As a result people have had to suffer the double burden of non compensation and loss of control over forest. Loss of Top Soil and Deposition of Silt in Hirakud dam Loss of forest has a critical implication for erosion of top soil and consequently loss of land productivity. In their study Murty and Patra62 have mentioned alarming loss of top soil in the case study area adjacent to the Hirakud reservoir. This would mean more sedimentation in the reservoir. Ever since its inception, the reservoir’s capacity to hold water is declining at a rate of 0.4% per annum. It is estimated that by 2002 twentyseven per cent of reservoir had been buried with silt63. Thus the present loss of vegetation would compound the problem of siltation affecting all the purposes for which the dam was built. The recent agitation by the farmers of the area regarding the scarcity of irrigation water due to the alleged diversion of dam water to the industries assumes significance against this backdrop. In view of the mounting pressure from the farmers it is feared that the industries might be asked to explore the underground water. The area which has seen loss of a substantial forest due to industrial operation could lead to further depletion of ground water eventually leading to massive socio-economic and environmental dislocation. Growing Social Dis-harmony The industrialization in the area has triggered a new spate of conflicts among the people thus terribly disturbing the prevailing social harmony. Protest and resistance has become a regular feature in the area owing to the failing of industries. In fact the preceding years have seen many open confrontations of the villagers with the companies such as M/s Bhusan, M/s Hindalco, M/s Shyama DRI and M/s Biraj Steel etc on many issues. However, worried at this kind of unified resistance, the companies are now trying to promote factionalism by providing one group with some financial succor thereby pitting one against the other. In fact many ‘horizontal and vertical’ split within the village are now visible in the area. Two factions are seen to be fighting against each other in Khinda regarding the dumping of ash in the vicinity of the village forest. Loss of local Biodiversity The loss of biodiversity is another cause of concern. The forest which is home to a wide diversity of floral and faunal life now faces the gradual extinction of a lot of them. This is precisely because of the movement of heavy vehicle, operation of heavy machinery and blasting in the Talabira-I coal mine and other industries in the area. Murty and Patra have mentioned the extinction of a lot of useful medicinal plants in the Lapanga and near by forest. Man-Animal Conflict The Google earth map shows that the Lapanga, Khinda and Ghichamura forests act like a connecting patch between the vast forests located to the North-west on the one side and the Badrama sanctuary on the other (see map). Animals fleeing are therefore likely to happen in the area because of the weakening density of this forest 62 Murty A. & Patra H.S. (2006) ‘Ecological, Socio-Economic Security & Health Impact Assessment due to Coal Mining: A case Study of Talabira Coal Mines in Orissa’. 63 Supkar K.K. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 110 patch after the increase in industrial and applied activities. Industrial activities are now leading to straying of animals to human habitat and the ensuing conflict. In the last 2-3 years, Human-animal conflicts have been on the rise. As per official information there have been six incidents of human killing by elephants in the locality during the last seven years. Similarly 137 instances of crop damage and six cases of house damage have happened within 10 km radius of Jharsuguda town since 2003. Erosion of Socio-economic Security of Women Deforestation has brought the issue of social and economic security of women into sharp focus. Poor women of the area considerably supplement their household income from NTFP gathering, bidi rolling64 and working as wage in the farm sector. They used to manage a part of the kendu leaves (used for rolling bidies) from the village. However, in the recent years there has been an unprecedented decline of kendu bushes in the area. Understandably, acquisitions of bush bearing land together with extensive damage of leaves by way of collection of coal dust on the leaf surface have led to the dwindling of kendu bushes. In fact, many fadis have been closed down by the Kendu Leaf department in the area due to insufficient or poor leaf quality. Likewise, the collections of other NTFPs like siali leaf, char, mahua, sal seeds and hill brooms have come under severe stress. Given that sal tree is the dominant species in the local forests, collection of sal seeds has suffered extensively. Over and above this, farm activities in the area have also significantly dropped after large scale acquisition of paddy land and forest. All these have led to an undeclared retrenchment of woman wage earners from farm sectors. While deforestation has led to large scale economic dislocation of the women work forces, there has been no corresponding creation of new jobs for them. In fact the emergent economic structure after the industrialization processes have been set rolling has a strong element of gender bias with much of the causal labor jobs going to the male. This has pushed the women to the margins of ‘new poverty’. The other problem faced by the women pertains to the gradual loss of privacy thus leaving them vulnerable to insecurity. Following the large scale industrialization drive and deforestation, women now face great difficulties to manage call of natures and other related issues as a result of intrusion by industrial forces to places exclusively meant for their use. It is useful to mention here that in the village setting it is the customary practice-not to infringe upon the area used by women viz. the bathing ghat etc. by the male folk to ensure privacy and security for them. Problem of Environmental Refugee Mining has produced an estimated 50,000 environmental refugees in Orissa65. However unlike the macro refugee situation there has been so far no migration in the village or around it. However, the people particularly women are experiencing massive livelihood displacement. The problem is extremely grave for the marginal farmers and share croppers who are dependent on other’s land as well as NTFP gathering as they would supplement a part of their income from the local forest. The land adjoining the mining area is now hardly cultivable. In view of the close proximity to the large pit - water drains out of the field leaving the field dry. Again the run off from the overburdens are burying the field with toxic matter and coal dust. 64 Bidi rolling and NTFP collection constitute a major source of income for women in the village. The proportion of women engages in household industries to the total workers accounts for 31.3%. Similarly they constitute 91% of the total people engage in the household industries (See box). 65 Sahoo Sabeswar, (2007) ‘Forward March of Capitalism in Orissa’. Available at http://countercurrent.org/school.110607.htm th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 111 The Industrial Policy- 2001 and Industrial Policy Resolution-2007 of Orissa In the middle 80s the state of Orissa was in the news for starvation death and selling of children by destitute people for pecuniary purposes. However, today there is a dramatic shift and the state is in news for a different reason. The reason is the ability of the state to attract large scale investments courtesy the Industrial Policy-2001 (IP-2001). The IP-2001 is arguably a paradigm shift in the development goal of the state precisely for the reason that it attempts to model a path of growth through massive investment in industries. It underlines that the state should leverage its abundant minerals and other natural resources to attract more investment by taking advantage of the post reform opportunities. In fact, till date the state has been able to generate a whopping rupees 400,000 crores of investment in various industries such as steel, power, alumina and aluminum. The dominant perception guiding this policy was that enhanced investment in industries would trigger growth and growth in turn would lead to increased employment and eventually help in removing poverty. Admittedly the share of industry to the enhancement of the state GDP was the central logic of the policy. The major portion of the IP-2001 are therefore concerned with-‘how to achieve an investors friendly climate’ so as to make the state a desired destination for industrial investment. The Industrial Policy Resolution-2007 (IPR-2007) published on the second day of March 2007 sought to consolidate even further the objectives stated in the IP-2001. In continuation of the proactive industrial policy of IP-2001 the government suggested many steps inter alia the deregulation of labor laws, simplification of existing rules and procedures, tax reforms, amendment of land rules and creating necessary infrastructures. To de-bureaucratize the existing procedures relating to clearance of investment proposal a single window system was now created at various levels. Of the various institutional mechanisms proposed the “Team Orissa” that was formed deserves a special mention. Team Orissa shall mean the broad institutional framework of the government that is engaged in industrial facilitation and investment promotion in all key areas. This will act like the vanguard in the industrial drive of the state. Similarly in the district and at the state level DLNA and State Level Nodal Agency (SLNA) were brought into being for a faster clearance of pending proposals for investment. In consideration of the importance of reforms, the government has in the meanwhile enacted the Orissa Industries (Facilitation) Act- 2004 and also drafted corresponding rules for this purpose. The state government has also expressed its intention to announce a comprehensive land policy to address the issues relating to identification and procurement of lands. Besides this, the revenue department along with IDCO was entrusted to implement the Land Bank scheme. The IDCO in association with the DLNA shall identify suitable tract of government land for transfer of those land to IDCO. The state government shall take steps to develop five industrial corridors to intensify the industrial activities in a closed area. Last but not the least, the government proposes to extend a SEZ status to selective industries thereby promoting even further industrialization. Out of the five industrial corridors the Sambalpur-Jharsuguda-Rourkela corridor comes in the case study area. Additionally the grant of SEZ status to two industries very close to the case study area is of critical significance to the present study. In fact IPR-2007 talks of promoting SMEs or industrial clusters around heavy industries. The presence of heavy industries like M/s Bhusan Steel, M/s th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 112 Vedanta and M/s Adity Aluminum (the later two are under construction) within 5 km radius of the case study area make it now even more vulnerable to further industrialization and thus to the risk of depletion of forests in the area. In view of the relaxation and incentives accorded to the SEZ and industrial corridor the area might suffer further loss of forest cover without much hitch. It is relevant to inform here that till 2005-06 the state has diverted 31273.71166 ha of forest for various projects. List of Plant Species available in the Lapanga PRJ. Sl.No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 Common Local Name Sal Mahul Kendu Dumer Lim Kusum Aam Arjun Harda Siali Sahaja Gamhari Bija Sisoo Karanja Harsingha Dhaura Anla Char Bahada Panas Bel Scientific Name Shorea robusta Madhuca indica Diospyros melanoxylon Ficus glomerata Azadirachta indica Schleichera trijuga Artocarpus heterophylla Terminalia arjun Terminalia chebula Bauhinia vahlii Terminalia tomentosa Gmelina arborea Pterocarpus marsupium Dalbergia latifolia Pongamia pinnata Nyctanthes arbotristis Woodfordia fruticosa Emblica officinalis Buchanania lanzans Termina bellerica Artocarpus heterophylla Aegle marmelos List of animals found in Lapanga and surrounding forest SL. No. 66 Common name Scientific name See http://www.orissa.gov.in/forest&environment/index.htm th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 113 1 2 3 4 5 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Small Indian civest Hyena Hyena hyena Common mongoose Herpestres edwardsii Jackal Canis aureus Fox Vulpes bengalensis Indian Giant Squirrel Ratufa indica Common hares Lepas sp. Striped Palm Squirrel Funambulus palmatum Rhesus monkey Macaca mulata Indian cobra Naja naja Common Krait Bungarus caeruleus Russel’s Viper Vipera russelii Python Koel Eudynamis scolopacea Common Crow C. splendens King Vulture Sarcogyps calvus Owls Hill Mynah Gracula religiosa White Breasted Halcyon smyrnansis kingfisher 21 Brahminy Duck Tadorna ferrugninea 22 Pochards Aythya spp 23 Red Wattled Lapwing Vannelus indicus 24 Coot Fulica atra 25 Jungle crow Corvus marorhynchos 26 Golden Backed Dinopium benghalense Woodpecker 27 Red Vent Bulbul Pycnonotus cafer 28 Red Jungle Fowl Gallus gallus 29 Grey Hornbill Tockus birostris 30 Spur Fowl Galloperdix spp 31 Grey Quail Coturnix coturnix 32 White Backed Vulture Gyps bengalensis Note: The table only gives an account of animals and birds coming to the Lapanga PRJ and does not include other animals which comes to the near by forest across the SH-10 and Bheden nullah. Migratory birds coming to the case study area Sl. No. 1 2 3 4 5 6 Common name Great Cressed Grebe Little gribe Spotbilled Little cormorant Indian shag Darter th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 114 7 8 9 10 11 12 13 14 15 Pond heron Purple heron Night heron Egrets Painted stork White stork Blackibis Flamingo kestrel Table Showing Population and Occupational Distribution of Lapanga as per 2001 Census Sl. No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Indicators Total No. Households Household size Total population Sex ratio (females per 1000 males) Total no. of SC population Total ST population Total no literates Total workers Main workers Marginal workers Cultivators Agricultural labourers Workers in household industries Other workers Proportion of main workers (%) Proportion of marginal workers (%) Proportion of cultivators to the total workers (%) Proportion of agricultural Total 459 Male Female 5.0 2,188 1005 1,091 1,097 412 213 199 656 330 326 1,369 1,011 797 214 143 147 813 599 487 112 132 106 556 412 310 102 11 41 347 30 317 374 36.4 331 44.6 43 28.3 9.8 10.3 9.3 14.1 22.0 2.7 14.5 17.7 10.0 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 115 19 20 labourers to the total workers (%) Proportion of in 34.3 household industries to total workers Percentage of 37.0 Other workers to total workers (%) 5.0 76.9 55.3 10.4 Severe damage to vegetation due to dumping of mine Overburden th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 116 Dumping of overburden on Khinda Village Forest th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 117 Clearing of Lapanga Village forest for widening of Road Community Protected Lapanga Village Forest th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 118 This was once the plantation site of INDAL. Where have the plants vanished now? th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 119 Annexure II (b) Title : Community Struggle for Forest Conservation: (A Case Study of Banadurga Jungle Surakshya Committee, Khedapada, Nayagarh). Author: By Mr. Sankar Prasad Pani ACKNOWLEDGEMENTS: I am thankful to the members of Banadurga Jungle Surakshya Committee, Khedapada for their sincere effort in protecting the forest and being an inspiration for others. Indeed it is their passion for forest protection that has prompted us to look at their forest management practices for a deeper understanding. I am thus highly indebted to all the members of the committee and especially to the pioneers of this forest management committee who foresaw that the forest needs to be prioritized in anticipation of the days ahead when the fumes of industry engulf forests from everywhere and man is left searching for an ounce of pure oxygen. No oxygen cylinder can meet the demand for oxygen that only the trees can fulfill.. Hence it is even more pertinent to acknowledge these people here for their endurance and courage in fighting the battle against industrial forces for protecting the patch of forest that they have been guarding for more than two decades. I am thankful to Prasant Mohanty and Rana Roy of Vasundhara, Bhubaneswar for rendering guidance in preparing the case study. I am thankful to all the staffs of Vasundhara for providing necessary helps and technical support in preparing this case study. Abstract The entire case study throws light on the following aspects: • • • Community initiative in conserving forest. Traditional forest management practices Industrialization and forest degradation. Background The natural affinity of the village people towards the forest has made them saviors of a denuded forest, thus making it one of the best community protected forest. Their contribution in saving the forest is also acknowledged by the Government of Orissa and as a token of appreciation the Bandurga Jungle Surakshya Committee has been awarded the prestigious “PRAKRITI MITRA AWARD”. However the struggle still continues to protect the forest in spite of belligerence from the industrialist and non-cooperation from District administration. In addition to the resistance, they have also been prohibited from collecting firewood from that forest which has been regenerated and cared for by them. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 120 Location This is a case study of a group of few village communities who have a strong commitment towards conserving the forest. The name of the forest is Khedpada Revenue forest (Khesra Jungle), which is geographically situated at 200 12’ 20”N and 850 06’ 50” East with an altitude of 102 meter and which is 8Km away from the District head quarter of the Nayagarh district in Orissa. The area of the protected forest is around 860 acre. The forest comes under khadagprasad beat of Khedapada section of Nayagarh forest range. Nayagarh District is located towards the west of Puri district and is surrounded by Cuttack district in the north, Phulbani district in the west, Ganjam district in the south and Khurda district in the east. The District of Nayagarh lies between 190 54’ to 200 32' north latitude and 840 29' to 850 27' east longitude. Key Ecosystems: The area comprises of mainly khondalite rock and laterite soil. The average rainfall is 1138mm and the average number of rainy days is 76.7. This district is at a higher altitude than the sea level and is above flood level. The river Mahanadi flows along it’s the eastern boundary. The climate of the district is characterized by extreme temperatures in summer and winter.. The forest is predominantly constituted of Sal though different tree species are also found. Adjoining the forest are two small irrigation dams - Pitei jhar and Panipolia.. The area represents an integration of aquatic and hilly forest ecosystem. The water bodies help in harbouring aquatic birds and animals and this in turn has enabled an increase in the faunal diversity of forest. Flora and Fauna Once a denuded bald forest, this has been converted into a green and dense Sal forest with the effort of local forest protecting villages. It has gradually become a hot spot for wildlife of that locality. Unfortunately just when the ecosystem is about to be restored to its natural and wild status, industrial activity has brought disturbances to the growth of wild animals. This forest is also a corridor for elephant and other wild animals besides being a home to most of the wild species as mentioned in the table below: th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 121 PANIPOILA DAM AREA OF THE PROTECTED FOREST AN BIRD’S EYE VIEW th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 122 THE EYE CATCHING SAL FOREST LIST OF ANIMALS FOUND IN THE COMMUNITY PROTECTED FORESTOF KHEDAPADA Local Name Bajra kapta Badodi Banbiradi Barha Balia kukur Bilua Gurandi Chittal Kutura Heta Musa nepali Sambar English Name Pangolin Shortnoosed fruitbat Jungle cat Wild boar Wild dog Jackal Mouse deer Spotted deer Barking deer Hyena Flying squirrel Small Indian civet Scientific Name Menis crassicaudata Cynopterux spinax Felis cahaus affinis Sus scofa cristatus Cuon alpinus dukhunensis Canis sureus Tragulus minna Axis axis Muntiacus mintijack Hyaena hyaena Petauristaphili philipinensis Vivericulla indica Mayur Kapta Peacock Dove Pavo cristatus Sari Kochilakhai Kumbhatua Harada chadhei Dahuk Bhaliakhai Myna Common grey bill Streptopellchin oensis Gracula religiosa Anthrococeros coronatus Cantropus sinensis Crecapus phoenicopterus Amanronis phoenicury Tikos birostris th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 123 Bankukuda Bhadabhadalia Bani Godhi Gokhar Rana Laudonkia Dhamana Jungle fowl Gallus gallus Caracas bengalensis Acridotheres tristis Cargeland monitor Vernus monitor India cobra Naja naja Branded krait Bungarus fasiatus Common green whip Dryophis nasutrus snake Rat snake Ptyas mucosus LIST OF TREES FOUND IN THE COMMUNITY PROTECTED FOREST Local Name Asan Anala Bahada Bela Bija Gamhar Haland Harida Jaisand Karanj Khair Mahula Nima phasi Sal Sahada Sirisa Sisso Kochila Kendu Baunsa or Bamboo Scientific Name Terminalia tomentosa Emblica officinalis Terminalia belerica Aegol marmelos Pterocarpus marsupium Gamelina arborina Adina cordifolia Terminalia chebula Listea sebifera Pongamia glabra Acasia Catechu Madhuca latifolia Azardica indica Anogeissus Shorea robusta Streblus asper Albizia procera Dalbergia latifolia Strychnos nuxvomica Diospyros melanoxylon Socio Economic Issues The socio economic conditions of the said locality speaks of the the affinity of the people to mother earth through agriculture and allied activities. Once upon a time, a part of the basic needs for sustenance was managed by the available forest products. However, the present scenario is different as though the people are contributing efforts towards conserving the forest, yet, they are not able tot th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 124 benefit from it. This in some way is discouraging these forest protecting communities. However it is only their will power and affinity for the forest that has sustained their motivation to conserve the forest despite the fact of almost zero benefit accruing out of it. The economic condition of most of the people who are predominantly cultivators and agricultural laborers is not sound. DEMOGRAPHIC PROFILE AS PER CENSUS OF INDIA2001 Indicators Balugaon Kadua Khedapada TOTAL NO OF HOUSEHOLDS TOTAL POPULATION SEX RATIO % OF SC POPULATION % OF ST POPULATION TOTAL WORKERS % MAIN WORKERS % OF MARGINAL WORKERS % OF AGRICULTURAL LABORERS % OF CULTIVATION WORKER % OF NON WORKER % OF OTHER WORKER % OF LITERACY 572 35 203 2769 170 955 978 8.6 828 0 876 18.4 4.1 0 0.2 978 25.2 66 32.4 291 23.9 10.1 6.5 6.6 34.5 10.6 39.9 23.2 53 22.0 64.7 61.2 69.5 34.2 36.4 35.4 73.2 75.2 68.4 Historical Context The mechanism evolved by some so-called illiterate villagers in Nayagarh district of Orissa to manage67 their forests has attracted educationists in United Kingdom. Now students in UK study the forest management techniques of the villagers in their curriculum. The ancient forest management method of “thengapali” system—turn of baton—is now being studied at the Andrews’ Endowed Church of England Primary School and Glasllwch Primary School 67 Forest management skills of villagers UK students research in remote Orissa, Organizer, and June 25th 2006. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 125 as a geography subject. The topic makes an effort to investigate the extensive indigenous knowledge of people and the practices followed by communities. The practice has been recognized as having scientific validity at par with scientific forest management practices as prescribed by the forest department. Thirty-two years ago, residents of Kesharpur, a small village in Nayagarh district resolved to protect and help regeneration of nearby Binjhagiri Hill. To execute the plan their immediate mantra was “Love Trees”. After many years, now the love has taken the form of a people’s movement and has spread out among 65,000 households in 850 villages leading to a situation where communities in Nayagarh district alone protects 2.5-lakh acres of forest area. Around 4,000 volunteers can be seen patrolling forests on any given day. This is despite the fact that 10,000 Sal-leaf plate makers, 8,000 Kendu leaf-makers, 6,500 fuel wood sellers, 5,000 bamboo artisans, 4,000 beedi rollers, 200 forest traders and 100 wood carvers eke out their livelihood from the protected forest. Often self initiated forest protection and management practices have come under severe criticism and doubts have also been raised on the technical and ecological validity of such practices. However, the practice of forest dwellers in order to protect forest across some districts of Orissa has attracted forest management gurus all over the world. Success stories of forest protection have been cited from a number of villages in Angul, Dhenkanal and Nayagarh districts of the state. According to the thengapali system, every evening baton is left at doors of one or more adjacent household(s) in a village (or a hamlet). One member from each of those households is then required to take the responsibility of patrolling a forest patch for the following day. With batons in their hand, the volunteers ensure that nobody enters the forest and steal forest pr produce. Besides regular surveillance, the villagers also impose self-restrictions of not letting their goats into jungles as goats nibble down tender shoots. Many communities who critically depend on forest have now adopted the thengapali management system. The number of villagers involved in managing their own forest resources is now estimated to be over 12,000. In Orissa, it would be a very rare occasion in the post independence era where villagers in such a number have come out for a common cause that ironically will not yield any immediate benefit. The journey to success has never been a cakewalk. Some hard decisions coupled with willing sacrifices of the people involved have set in motion into what has become a movement that is alive from 1970s. From the year 1960 to 1970, the Kesharpur and its adjacent villages had witnessed as many as six droughts. By then, villagers had noticed visible change in climatic conditions in the area. There was considerable decline in rate of rainfall and people bore the brunt of excessive hot air in summer. The effect was also witnessed in agricultural field. Agricultural production came down. Situation worsened to such an extent that marginal farmers started migrating to distant places in search of work. This success story has influenced the villagers throughout Orissa for protection of forest. The present case study is also one of them. Governance System of in BJSC, Khedapada, Nayagarh th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 126 The essence of forest management has spread to the whole of Orissa. Nayagarh being the epicenter of Community forest protection was able to attract e people to gather and chalk out a plan to restore the degraded Rasol forest. Only seven people have pioneered this movement of forest protection in the year 1979.In the year 1984 the number was extended to 75 people hailing from four different villages such as Khedapada, Balugaon, Jayamangalprasad and Ghuntasahi. These people decided to collectively protect the Rasola village forest and the adjoining Reserve Forest forming a joint forest protection committee. The said committee protected around 860 acres of forest areas. Present scenario: In 1996, the said Rasol Jungle Surakshya Committee was divided into three sections such as Sanhamara, Jaymangal prasad and Khedpada. The present case study depicts the management practices of Banadurga Jungle Surakshya Committee Khedapada. The committee consists of 45 members from three different villages such as Balugan, Khedapada and Kadua. The committee members elect their President, Secretary, Vice president and Assistant secretary. The membership fee at present is Rs. 25/- which includes both fee for Jaguali68 (Rs.20/-) and miscellaneous expenditure (Rs.5/-).In this way Rs. 1125/- is collected every month as membership fee. From this total collected amount, Rs 900 is given to JAGUALI. The basic principles of forest management followed by the committee are thinning, cleaning and coppicing. COMMITTEE MEMBER ON DUTY 68 Community hired forest watchman. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 127 MEETING OF COMMITTEE MEMBERS THENGAPALI: Everyday one member from the committee or his representative in rotation basis (called as PAALIA) goes to the forest along with the Jaguali to watch and ward the forest. The basic purpose is to prevent illegal tree cutting and forest produce collection. If anybody is caught stealing the forest produce then that person is produced before the forest committee and the committee decides on the punitive measures. Thus the committee has its own sanctioning power to deal with such cases and this also instills a fear in mind of the people and prevents them from stealing the forest produce or cutting the trees. Unfortunately, there is no space for woman as part of the management system and this is a lacuna that exists in the current system. At the end of the month, the committee would pay these guards. The committee nominates its Secretary and President who then take charge of managing the committee and its affairs. The committee also earns revenue by selling the firewood and other forest produce. The members get benefit only by collecting the firewood. In this way the committee was successful in managing the forest and was able to fetch an award from the State Government. The award itself speaks of the contribution of the community in protecting forest. After the inception of Joint Forest Management in 1993 by Govt. of India, the forest department tried to lure these committees into registering as Van Samarkhyan Samiti (VSS). With the incorporation of the JBIC fund for forest management from April 2006 the process of conversion of Community Forest Management (CFM) Groups to Joint Forest Management (JFM) became more rapid day by day. Protection of forest by community or the Govt. mechanism does not make any difference and the objective of both the system is the same. However here the forest department is putting all its effort to convert the CFM groups to JFM irrespective of their unwillingness. In this process the said organization totally finds itself in the clutches of the forest department. After repeated pressure from the department this committee has also applied for JFM status in the year 2003 and is waiting for its th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 128 registration. Unfortunately, one of the conditions from the forest department would require t the committee that will register as VSS to break off its relations with the MAHASANGHA. The mahasangha is a federation of several village forests Committees (CFM) groups and not surprisingly is more powerful than the forest department since more number of forest committees are under the Mahasangha Banner. State Of Forest Conservation in Orissa69 Orissa is located on the eastern coast of India and covers a total area of 15 570 700 ha. Its population of 37 million inhabitants (Director of Census Operations, 2001) works out at 2.4 people per hectare; Orissa accounts for 4.7 percent of India’s total area and 3.6 percent of its population (NCAER, 1999). Orissa has 5 813 600 ha of forestland, but only 4 836 600 ha of this is covered with vegetation (FSI, 2003). The main forest types are northern tropical semi-evergreen and moist deciduous. The main commercial timber species are Sal (Shorea robusta), Piasal (Pterocarpus marsupium) and Asan (Terminalia tomentosa); and among the main non-timber species are Bamboo, Kendu (Diospyrus melanoxylon), Mahua (Madhuca indica) and Tamrind (Tamrindus indica). Orissa follows the National Forest Policy of India, which emphasizes the need for balance between ecology and local use rights. The Orissa Forest Act of 1972, which is modeled on the Indian Forest Act of 1927, provides the legal basis for forest management and serves as an important tool. Since the act was enforced, a number of additional laws and rules have been framed to control and manage various activities related to the planning, control and development of forests and wildlife resources. In 1980, forestry became a matter for central government control, and the Indian Forest Conservation Act was passed. This act aimed to control indiscriminate deforestation by obliging states to obtain central government approval before forestland can be used for non-forestry purposes. States must also compensate for the forestland affected, by establishing plantations that are twice the size of the deforested area. The act has been very effective in slowing down the rate of deforestation, but less successful in controlling the process of forest degradation. The Orissa Forest Department (OFD) was established in 1936, during the colonial period, and is currently headed by a Principal Chief Conservator of Forests. The forest area is divided into 27 forest divisions, each of which is under a divisional forest officer; the smallest management unit is a “beat”, which is under a forest guard. Working plans are updated once every ten years, and research, extension and training services are involved in maintaining and improving the quality of forest management and ensuring a sustainable supply of goods and services. Type 1: National Parks and Wildlife Sanctuaries National parks and sanctuaries cover 5 percent of the state’s land area and 13.7 percent of its forest area, encompassing most critical habitats. Two national parks cover a total of 99 070 ha, and 18 wildlife sanctuaries cover 697 115 ha. Similipal Tiger Reserve has an area of 275 000 ha, and overlaps with Similipal National 69 1 www.orissaforest.org th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 129 Park (84 570 ha) and Similipal Sanctuary (190 500 ha). The Wildlife Wing of the Forest Department, with its staff of wildlife wardens, is responsible for wildlife management under the Wildlife Protection Act of 1972. Type 2: Rererved Forests At present, OFD manages 1 964 321 ha of reserved forests. These were constituted under the Indian Forest Act of 1927 (see Annex 3), which restricts communities’ rights to the collection of fallen fuel wood and non-timber products from these forests. Reserved forests are well demarcated and managed according to a long established written code, which is updated every ten years. Some of these forests have been managed since 1886, when grazing control and fire prevention was introduced and regeneration operations implemented. Type 3: Protected Forests Protected forests constituted under the Indian Forest Act of 1927 cover 2 400 836 ha and are managed by OFD. The boundaries and rights of local communities for this group of forests are not yet clear, and the forests have transitional status only. Protected forests are divided into demarcated protected forests and un-demarcated protected forests, depending on the progress made in forest settlement. According to law, the land is under the revenue department’s control, while tree growth is under the OFD. Most protected forests are close to or within the geographical boundaries of revenue villages and are recorded in the Revenue Department’s Record of Rights as, for example, gramya jungle (village forest). This is confusing, as village forests are legal entities under the Orissa Forest Act. Before independence, protected forests belonged to princes and landlords. The State annexed them after independence, declaring those with some evidence of earlier management “deemed reserved forests”, and the others “protected forests”. These forests are reported to include some shifting cultivation areas, which are used by approximately 150 000 tribal families. Land with a slope of more than 10 degrees has been declared government land and has not been surveyed even though some tribes traditionally live on such hills. This has resulted in public unrest and fears of eviction in the communities who are the rightful owners of the land. Type 4: Joint Forest Management In India, JFM was formally introduced with adoption of the 1988 Forest Policy, but participatory forest management has a much longer history in Orissa, which OFD has continued by encouraging local communities to protect and manage government forests close to villages. The Swedish International Development Agency (SIDA)-assisted Social Forestry Project gave new impetus to the movement from 1984 to 1994, when timber, fuel wood and fodder plantations were established on village land in cooperation with local people. Village forest committees (VFCs) were officially constituted to protect and manage these newly created forests under the Village Forest Rules of 1985. On 1 August 1988, the Government of Orissa issued a resolution making provisions for villagers to undertake legally defined responsibility for protecting the forests adjoining their villages in return for concessions that help them to meet their requirements for fuel wood and small timber, under section 24 of the Orissa Forest Act 1972. Divisional forest officers were made responsible for constituting forest protection committees (FPCs) for selected villages. A further step was taken by Government of Orissa Resolution of July 1993, following the Government of India resolution on JFM of 1990. The Orissa resolution provides detailed guidelines for local community involvement in the protection of forests through the formation of village-level forest protection committees, called Van Samrakshan Sammittees (VSS), with their own executive committees, duties and responsibilities. A state-level steering committee, chaired by the th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 130 Forest Minister, was also constituted to monitor and guide implementation of the resolution. These and other initiatives, taken at different times and by different agencies, gave rise to a movement towards participatory forest management, as summarized in evolution of participatory forest management in Orissa SL No Type of committee Number Area In Hectare 1 Village forest committee (VFC), 1985 9141 118122 2 Forest protection committee (FPC), 1988 and 1990 4928 1007705 Van Samrakshan Sammittee (VSS), 1993 4 Unregistered forest protection group (CFM) Source: OFD, 1999. 1473 142318 769 114841 3 Participatory JFM arrangements for the protection and regeneration of degraded forests are now well established in Orissa. According to the latest available report, in 2003 (see Annex 4) 6 822 VSS were protecting 652 258 ha of forest. OFD’s main responsibilities in JFM are: assisting in the selection/demarcation of the forest area for JFM; preparing the JFM micro-plan, and obtaining approval and budget for its implementation; transferring sound silviculture and soil conservation skills to VSS members; and guiding the implementation of JFM micro-plans. Recent resolutions indicate that there is a tendency towards greater decentralization and benefit sharing with communities Type 5: Community Forest Management Community forest management (CFM) represents the antithesis of State forest management, and is sometimes referred to as “self-initiated community forest management”. In Orissa, CFM has no legal basis and is purely informal. Several local tribes are known to have their own active forest protection groups, but very little has been reported or written about these. However, according to a Directorate of Social Forestry survey, there were 2 509 CFM groups/villages in 1999, informally covering a total area of 186 900 ha throughout the state. CFM is more widespread in protected than reserved forests. A sample survey in three districts shows that local nongovernmental organizations (NGOs), OFD and the communities themselves are all instrumental in initiating the CFM movement (Singh, Sinha and Mukherji, 2005). CFM is a very healthy sign that communities are taking responsibility for controlling forest degradation and deforestation. The communities involved in CFM can be a group of households, a settlement or hamlet, a cluster of villages or even a federation of 80 to 90 villages; the areas under protection range from a few to 10 000 ha. Planning and control of CFM appears to be steered by village or hamlet representatives, who are selected or elected according to local customs and traditions. These traditional institutions are responsible for organizing meetings, where rules and regulations for the management and monitoring of CFM forest resources are collectively decided. The committees also decide how benefits from the resources should be shared, and set punitive measures (social and monetary) for offenders. In CFM, all management issues are discussed and decided in the specific context of the village concerned, taking account of the local community’s needs. This village-level operation makes CFM one of the most decentralized systems in existence. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 131 Type 6: Private Forest Management Actors in the paper industry approached the government for allotments of forestland for plantations that would satisfy the industry’s raw material requirements; so far, however, their requests have not been fully satisfied. Many paper mills are now encouraging farmers in Orissa to grow plantations of Casurina, Acacia and Eucalyptus species. The industry assists individual farmers by supplying seedlings and through buy-back arrangements. One Orissa company, the JK Paper Mill helped farmers to establish 18 471 ha of plantations in 12 districts. To begin with, the mill had to struggle to encourage farmers to plant trees, but once a few successful plantations had been planted, more and more private farmers started to approach the mill. The mill expects to be procuring all its hardwood requirements from plantations in the near future. Case Study The local communities were protecting the forest around Rasola village in Nayagrh district. This experiment forms the subject matter of a small case-study undertaken by Vasundhara to understand the role played by communities in protection and the impact of setting up a small-scale industrial plant in and around this area. The research methodology for collecting information and findings of this case study has been elaborated below: Methodology The methodology involved collecting information from primary and secondary sources, details of which are very briefly explicated below. A. Primary Source • Interaction with Local Community • Firsthand information collection during spot visits B. Secondary Source: • Working Plan for the Reserved Forests of Nayagarh Forest Division 1981-2001. • Website of forest department, Govt. of Orissa • Website of Govt. of Orissa • Understanding forest tenure in South and Southeast Asia, trends in forest ownership, forest resources own tenure and institutional arrangements: are they contributing to better forest a management and poverty reduction? • Case studies from Orissa, India by K.D. Singh, J.P. Singh Bhaskar Sinha • Revival of Nayagarh sugar Mill: agro technical review. • Orissa Industrial Policy Resolution 2007 Time line of Facts 1979 7 persons initiated the forest protection in Rasol Khesra Jungle. The th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 132 initial membership fee was 10 Rupees. 1984 The seven-member committee expanded to 75 hailing from 5 different villages such as Khedapada, Balugaon, Jayamangalprasad and Ghuntasahi .The membership fee was 15 rupees. 1984 Land alienation to IDCO for establishment of Nayagarh Cooperative Sugar industry Ltd at Panipoila. The nature of land is 119.06 Acre of Khesra forest and 20acre of land is of no objectionable type. 1/1/1989 A meeting was held at Panipoili where 4 villages i.e. Khedapada, Balugaon, Jayamangalprasad and Ghuntasahi decided to collectively protect the Rasola village forest and the adjoining Reserve Forest forming a joint forest protection committee involving 65 people from these 4 villages. Around 860 acres of forest areas were protected by community efforts 2 people each from four villages go to forest for patrolling and protection regularly 20/12/1989 A meeting was held on the issue of forest protection between villages involved in forest protection and sugar mill authorities and the company agreed to hand over the areas in the sugar industries areas Cooperative sugar Mill authorized the village committee to protect the forest areas accrued by Sugar mill areas in their letter communicated to President, Banadurga Jangal Surakhya Committee (BJSC) 1990-1998 Government of Orissa leased out the Sugar Mill to Dharini Sugar Mill Ltd. and the company never felled the trees from the areas. 1994 The BJSC got Prakruti Mitra Award (An award of the Orissa State Govt. for excellent work in conservation of environment and forest) for their outstanding work in restoring a degraded forest to a healthy and green Sal forest. 1999-2000 Government of Orissa managed the sugar mill through state co operative and but it came to a halt in the year 2000. 20/06/2004 The sugar factory is leased to M/s ECP Industries Ltd and renamed as Nayagarh Sugar Complex Ltd. December2004 Operation of Sugar Mill by the M/s ECP industries 2/08/2005 The sugar factory management started cutting the trees with JCP machine in the community-protected forest outside the factory lease area. As a result communities started protesting against the factory owner to stop tree felling. In retaliation to the peaceful protest made by community, Mr. Trailokya Mishra, the lease owner of the sugar mill threatened the people of dire consequence if any one protests for felling trees. The protecting committee lodged an F.I.R. in Nayagarh police station and complained to D.F.O. regarding the illegal tree felling, threatening for murder. There after the DFO ceased the vehicle used for felling of trees. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 133 17/01/2006 18/07/2006 22/02/2007 Representatives from the affected stakeholders meet with the CCF, Ministry of Environment and Forest, Govt. of India, Regional Office, Bhubaneswar. Petition filed by Orissa Jungle Manch (a state forum for protecting forest) before Central Empowered Committee (CEC) of Supreme court of India for Violation of Forest Conservation act 1980 in conversion of the forestland for industrial use. The case is still being heard before the CEC. The community noticed that the JCP machine is being used again to cut the trees for making a road. In this instance nearly 1000 matured Sal trees have been cut and completely rooted out from the soil for building a plane road. The said forest protecting community again brought this to the notice of District Authority but no action has taken yet. The apathy of the Govt to such serious issues also discouraged the people for protecting the forest. Key Issues 1. Though the community is still protecting the forest by employing watchman, it is unable to pay the remuneration to the watchman. Soon after litigation was initiated against the industry, the communities who are protecting the forest were also barred from collecting the firewood, coppicing the trees and other management practices. As the source of revenue for the community to manage the forest was the revenue collected after selling the firewood and the allied plant products, the ban has crippled the management. 2. The standing tree area in the leased land of the factory which was protected by the community as per the agreement signed between the factory management and community in year 1989 is now being denied to the communities by the present management. After more than 18years of taking care for and helping the land to be covered with the present mature and productive tree, the community is not ready to accept that all their effort in growing the trees will finally cater to the need of the boiler for the said sugar factory. Obviously, the bone of contention is the non-execution of the agreement for Watch, Ward and Benefits of the trees. On the other hand, the forest department does not have enough manpower to watch and ward the forest, so if the community people are not allowed to watch and ward the forest then it will not take much time to see forest denuded of its tree cover. With a mounting of pressure on the local community from the industrialist, these people are now looking for other alternative and demanding that the value of the standing trees in the lease area of the factory that was cared for by the community needs to be evaluated and their contribution should be compensated in term of money. 3. The ECP sugar factory authority is harassing the community by lodging false cases against them. People are feeling unsafe. The company is harassing the people by selectively targeting and registering false cases of theft against the people this adds an extra burden on the communities. According to these people each one has to pay Rs 5000 only for getting out of the police snare. If the case goes to the court and once a person is entangled with litigation then money and time will be wasted till the disposal of case. This is an important reason as to why people have lost interest in forest protection. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 134 4. The money and muscle power of the factory owner is successful enough to create a fear psychosis in the mind of the people keep them away from forest. This will slowly result in the factory authority gradually gaining control over the entire forest area. Current Situation The above case study is but a microcosm of what is happening in Orissa. Doubtless, with the current thrust on industrialization across the state, there is little hope that the situation can be reversed. If at all, it will only worsen, not only in the case of the above-mentioned study area, but also across the state of Orissa. The above case study gives but a glimpse of what is in store in terms of the dangers to forest covers in the light of the industrialization policy (in tune with national economic liberalization programme) that is being pursued by the present regime. Our study included visits to the said site area to understand the ground situation in one site area. However it also included research through primary and secondary sources as has been mentioned above. The purpose for the same was to try and understand the role of other factors that seem to lead to this problem across Orissa. Extent of forest degradation in the present case study: Nayagarh is well known for community initiatives in protecting the forest. So the people and forest are the two inalienable part of the ecosystem. The growth of forest is the output of effort of the community and the role of the forest in the day-to-day life of the people is also equally noteworthy. Same is the status of the four villages of Nayagarh in the present case study. However with the inception of the Nayagarh Cooperative Sugar industry in the year 1984 and its operation in the year 1990, it did not have too much of an adverse effect on the forest. In the process of establishment of the Factory it acquired around 140 acre of land out of which around 119.06 Acre is the Khesra forestland. This was the first stage of forestland becoming a prey for industrial activity. The degradation is not limited to nature of land but also affected its adjoining forestland and wildlife. However, in the beginning every thing was smooth between forest protecting community and the factory management till 2005. Since all the land acquired by the factory was not used for industrial activity. The then factory managing committee had authorized the community to watch and ward of the said forest coming under the factory lease area. However, now the factory is cutting the trees to feed its Boiler plant for its industrial activity. The Boiler consumes nearly 4 trucks of wood log for maintaining the desired temperature. In addition to the industry, forest mafias are also responsible for destruction of forest. In general, the forest mafias are quite active in their operation in forest areas protected only by forest department. However in community-protected forest they seldom dared to traffic the timber. This has now begun in the said area also. The most noteworthy adverse effect is the weakening of the community interest and willpower in protecting the forests. Since the litigation in court has begun, the communities have been prohibited from taking part in forest management practice. Though it is a fact that the community is still keeping a vigilant eye on the forest and thus saving it from the timber mafias, it is also true that it is unable to coppice and cleaning the forest. As a part of good forest management practice thinning, coppicing and th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 135 cleaning are essential for the health of a forest. If these practices are not followed then the forest will grow in an unorganized manner. Secondly that management practice was a sustainable practice since the twigs and firewood are the source of revenue for the committee and source of fuel wood for the members who are involved in the management practice. As the people are not getting benefit from the forest because of the embargo by the forest department, it is also discouraging them from protecting the forest. FACTORY IN FORESTLAND: A CASE OF ENCROACHMENT th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 136 The Larger Picture – ORISSA INDUSTRIAL POLICY RESOLUTION 2007 Transforming Orissa into a vibrant industrial State remains an important goal in the beginning of the new millennium. With its abundance of mineral resources, long coastline and inland waters, the rich bio-diversity of its forests and a rich cultural Heritage, Orissa ought to become a privileged destination for industrial investment. The economic reforms and the liberalization process initiated in 1991 provide an important opportunity to the State to leverage the natural resources to attract investment, both domestic and international. At the same time, the combined forces of economic globalization and governance-decentralization, pose new challenges to the policy-makers and call for a profound redefinition of the way, Government can effectively support business. Against this backdrop it has become necessary to win the trust of the industry by demonstrating the commitment of the Government to attract investors; create a positive perception of the State as a desired destination for industrial investment. Obviously, the same policy should also have an objective of ensuring an industrial development that is sustainable. However, in practice, from 2002-2005 onwards and within a span of 3 years 42 MoUs, out of which the government signed 40 steel plants and 2 aluminum plants. Till date 65 MoU have been signed in the field of Steel, Alumina and Power sector. This includes the Highest FDI ever made in India that is of 54,000 Crore rupees by POSCO a Korea based steel company. Next to POSCO is Mittal steel plant the biggest steel tycoon of world for which a MoU has already been signed. It is a matter of pride for the state government that it is able to attract the world entrepreneurs to its state. At the same time this puts paid on the problematic question of “sustainability” of such a development. By the end of year 2004-05, around 30,331 hectares of forestland had already been diverted for industrial purpose. Now-a-days deforestation is a global issue and rapid industrialization has augmented the deforestation process all over the world. The densest forest of world, Amazon forest is also not free from the snares of such a development. The Indian subcontinent is also in this ruthless rat race to achieve the GDP targets. However, it should not be forgotten that it is only the community efforts that are able to conserve few patches of forests. These have often had to face blows from Industrialists and sometimes Government. Since the Govt. is single-mindedly pursuing growth that can be measure in terms of the GDP factor, it is not willing to compromise with its developmental agenda. In this process, the forest and forest protecting communities are sacrificed at the alter of the God of development. The Govt. is trying hard to maintain the state of forest more in record than that in reality. Now the Orissa Govt. is claiming that it has 31% forest cover. However the number of MOU signed with different companies raises serious doubts about the possibility of retaining the forest area intact. The mineral wealth of Orissa is also another cause of luring the industrial tycoons to the state. Industrialization in forest areas or on agricultural lands will not only affect the people who are displaced for the projects. It will have a wider impact on the state and its resources. Large-scale deforestation for industrialization has become a major issue in Orissa, particularly in western Orissa, which is known as the home to heat and drought. Deforestation may lead to havoc in this region as the atmospheric temperature usually goes up to 50 degree Celsius here during summer. What will the impact of further deforestation and large-scale industrialization in those areas be? The sad irony is that Orissa government has not even endeavored to make best use of the vast landscape of Kalahandi th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 137 and Nuapada with black cotton soil. Provided with extensive irrigation facility, these districts would meet the vegetable and onion demands of the state and enable the state to export also. But horticulture and agriculture are still some of the neglected areas not only in these districts but in other parts of Orissa also. The excitement over the rush of steel and alumina giants into the state with an aim to drain its natural resources as fast as possible, has propelled the Orissa government to sign 43 MoUs with different Steel Companies including major players in the international market like TATA Steel, Korean steel giant POSCO and a world leader like Mittal Steel. ‘Development through large scale industrialization’ is the key message given by the reigning government and top-line bureaucrats to the people of Orissa. People are deluded to believe the myth that no development is possible in the state without going by the norms dictated by these corporate giants. It is also evident from many more cases in the past that the state government remains silent about the illegal activities of different industries. It is not surprising to know that the industries have started their activity without obtaining proper environmental clearance and forest clearance. As a matter of law, no project activity should be started without obtaining environmental clearance. In the case of Vedanta Alumina it was noticed that almost half of project activity was completed without obtaining environmental clearance. This is the state of rapid industrialization in Orissa. This shows that the government is fully committed to the cause of industrialization in the state at the risk of jeopardizing all environmental concerns. Industrial policy of Govt. and Deforestation: Table 1: Mineral Wealth of Orissa Mineral Reserves (106 tones) % India’s Reserves Rank in India Chromites 183 98.4 1 Bauxite 1.626 69.7 1 Graphite 1.5 32.6 1 Manganese ore 49 31.8 1 Dolomite 563 12.2 1 Quartzite - - 1 Pyrophyllite - - 1 Fireclay 88 12.5 2 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 138 Quartz 15 1.9 4 Coal 44.304 23.8 4 Iron ore 3.120 26.0 5 The above table shows the richness of mineral resource that the state is blessed with. Orissa tops the list in mineral abundance in minerals such as Chromites, Bauxite, Dolomite, Manganese, Pyrophyllite Graphite and quartzite. This is the reason why industrialists are queuing up before the state government. Secondly the liberal industrial policy and primary focus on industry has significant impact on the industrial affairs of the state. A critical analysis made in the context of Orissa reveals the role of the following actor’s vis-à-vis deforestation and forest degradation: • As most of the mines are found beneath the forest cover, such activity seems to be a major factor in forest degradation. • Rapid industrialization and infrastructure development to meet the needs of industrialization has augmented the process of forest degradation. • A claim that is made by the govt. -that the community is a major factor in degradation of the forest seems to be ridiculous. It cannot be denied that the people are collecting the forest resource for their bonafide use. At the same time their contribution in strengthening the health of the forest cannot be overlooked. Even the present case study speaks of the community contribution in forest protection. Rather it can be called as the sustainable use of the forest. • It has also been noticed that the Orissa Forest Development Corporation, which is a commercial wing of forest department, is also cutting the forest in the name of coupe operation under forest management plan. Recommendations Some recommendations that emanate out of this study are: Industrialization should be need based not greed based. Development should not be at the cost of environment and should not result in paralyzing the ability of future generations. Principle of intergenerational equity should be emphasized. In the name of attracting the investors environmental norms should not be relaxed. In the context of the global scenario relating to environmental disasters and in particular the potential impact of climatic change, the state should take cognizance of the same and take enough precautions to avoid manmade disasters. Community efforts to protect the environment should be given due recognition and promotion. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 139 Another learning form this case study is that the common resource like forest and water bodies were safe till the factory was with in the ownership of the Cooperative Management. The moment the factory was sold to a private person, the factory management started claiming its ownership on the forest and adjacent water body Piteijhar. Only the factory was sold to the company but not the standing trees and the water body that was being regulated by mutual understanding by Village Panchayat. So privatization is a threat to these types of common resources. What needs to change is the form of ownership of the control of means and resources of production. in order to ensure a sustainable balance between social and ecological concerns. Sl. No. Forest Cover Name of the Geographical Very Moderately Open Total Dist. area Dense Dense Forest Forest 1 2 3 4 5 6 7 Percentage 8 1 Angul 6375 0 1712 944 2656 41.66 2 Balasore 3806 0 154 155 309 8.12 3 Bargarh 5837 0 552 319 871 14.92 4 Bhadrak 2505 0 22 7 29 1.16 5 Bolangir 6575 0 352 600 952 14.48 6 Boudh 3098 1 808 443 1252 40.41 7 Cuttack 3932 0 265 359 624 15.87 8 Deogarh 2940 0 784 590 1374 46.73 9 Dhenkanal 4452 0 505 776 1281 28.77 10 Gajapati 4325 0 1620 864 2484 57.43 11 Ganjam 8206 0 1191 759 1950 23.76 12 Jagatsingpur 1668 0 4 14 18 1.08 13 Jajpur 2899 0 82 180 262 9.04 14 Jharsuguda 2081 0 157 132 289 13.89 15 Kalahandi 7920 0 1145 1115 2260 28.54 16 Kandhamal 8021 175 3157 2119 5451 67.95 17 Kendrapara 2644 0 150 56 206 7.79 18 Keonjhar 8303 0 1713 1523 3236 38.97 19 Khurda 2813 0 211 151 362 12.87 20 Koraput 8807 0 729 828 1557 17.68 21 Malkangiri 5791 0 911 1301 2212 38.20 22 Mayurbhanj 10418 99 2910 996 4005 38.44 23 Nuapara 3852 0 585 628 1213 31.49 24 Nayagarh 3890 0 1121 484 1605 41.26 25 Nawrangpur 5291 0 683 440 1123 21.22 26 Puri 3479 0 71 28 99 2.85 27 Rayagada 7073 13 1085 1963 3061 43.28 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 140 28 Sambalpur 6657 0 2281 1007 3288 49.39 29 Sundargarh 9712 0 2722 1303 4025 41.44 30 Sonepur 2337 0 200 112 312 13.35 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 141 Forest Cover Based on assessment of satellite data by the Forest Survey of India (2003 assessment) Based on assessment of satellite data by the Forest Survey of India (2003 assessment) Sq. Km. . Very Dense Moderately Dense Open Total Tree Cover 288 27882 20196 48399 6381 General Information Item Geographical area. Recorded Forest Area. Forest Cover(2003 assessment of FSI)* (a) Very Dense Forest (b) Moderately Dense Forest (c) Open Forest (d) Mangrove Forests (Included in item no. a & b&c ) Sq. Kms 1,55,707.00 % into Land Area 100 58,136.87 37.34 288.00 0.18 27882.00 17.91 20196.00 12.97 207.00 0.13 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) (Pune/Delhi) and Vasundhara (Bubhaneswar) Total Organized By: Kalpavriksh 48366.00 31.06 Under the aegis of Tree Cover (2003 assesment of FSI) 6381.00 4.10 Global Forest Coalition Underlying Causes Initiative 142 Annexure II (c) Title : Khandadhar, life line of northern Orissa (The impact of the mining and related policies/ programmes was the underlying causes of deforestation and forest degradation) Author: Mr. Kumar Abhishek Pratap Ms Tanushree Das, Field level collaboration: Banai Forestry Federation, Banai Mandal, and Banai Introduction to the case study Background & Profile Amidst thick forest, Khandadhar (244 meter) is a glittering waterfall created by a perennial rivulet called Karapani Nala within a few kilometers (kms) of its origin, and, drawing as it were, a veil over Orissa’s economic development through iron ore mining. The highest water fall of Orissa is situated at 21°47'8"N 85°8'9"E south-east of Bonai Sub division in Sundergarh district and extends to adjacent Keonjhar District in Northern Orissa. Its distinctive geographical feature is characterized by dry tropical deciduous forest and rugged hills intersected by ravines and passes which are characterized by a narrow valley of the River Brahmani and its tributaries. The area of present case study comprises 23 villages under 5 Gram Panchayat of Bonai Sub-division, Sundergarh district. Ecological profile -Geographical Scale and Spread The Khandadhar falls cover an area of 62 square kilometer ranging from Suakanthi in Keonjhar District to Bonai in Sundergarh district70. However, the study was focused on the western part of the falls coving 23 villages under 5 Gram Panchayat of Bonai Sub-division in Sundergarh District. The study area, which is a part of the ex-princely State of Bonai, is situated at 800 ft. from mean sea level and consists of widely, dissimilar tracts of expansive and fairly open country, dotted with isolated peaks, inaccessible forests, river valley and mountainous terrain71. Geographically it is marked with dense forest and hills intersected by gorges and passes and also a narrow valley of the Brahmani River and its tributaries. The east and west of the Brahmani valley is filled with high range of mountains. Mt. Chheliatoka (3331 ft.) is the highest peak among 22 such hills in the area. These 22 hills are commonly called as Khandadhar mountain range. There are numerous perennial and seasonal water streams, which originate from this range and over which thousands of ethnic tribes depends for their sustenance. There are around 8 major perennial streams and 26 minor streams flowing before meeting in the river Brahmani. 70 71 Based on discussion with local people www.sundergarh.nic.in th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 143 Key ecosystem, The Khandadhar hill range abounds with streams. The area receives high rainfall every year in the month from June to September as it is situated in the north-south direction intersecting monsoonal wave emerging from Bay of Bengal. The average rainfall in the area is 1403 millimeter annually. Temperature varies between 12oC to 37oC. The relative humidity varies between 32 to 87%72. Around 100 streams flow from the hill; out of this, 8 are major and 26 are minor streams. Most of the streams are perennial in nature. The major streams originate from the hill are Karapani, Khandadhar, Kuradi, Matuali, Tinka Nala, Jagati Nala, Uskala and Kueli. The river Baitarani, which is one of the major perennial rivers of the country, also originates from this hill range at Suakanti on the eastern side. Another major perennial river Brahmani of the nation flows in the area. There are lots of major and minor streams that originate from Khandadhar hill range (Table 1.1). The area shows a varied degree of flora species owing to its diversified topographic and geological scale (high mountains, deep gorges and passes, innumerable streams and abundant vegetal resources). Many flora species available in the area are rare and conservation dependant. The forest of the study area also displays numerous minor forest produces that have a high importance from local livelihood and economic perspective. Sal is the dominant species in the area. Also found is the presence of other important species like assan, kurum, kendu, mahua and myrabolan. The principle minor forest produce available is sabai grass. lac, tassar, myrabolan, mahua, kusuma seed, resin, tamarind, gum and sal seed (Table 1.2). Wide range of medicinal plant species like raj, kusum and brahmamari are also found in the study area. The vegetation of Khandadhar forest is a habitat for diverse, rare and endangered wildlife like tiger, leopard, sloth bear, elephants, gaur etc. The presence of the royal Bengal tiger is also mentioned in the Working Plan of Bonai Forest Division. The forest is also a habitat for rare and endangered reptiles like limbless lizard, genus of Sepsophis (recently discovered by researchers from Vasundhara) and double-nosed snake. The forest is also home for diverse range of bird species like peacock, wild hen, dahuka and marada (Table 1.3). Biodiversity Issues The Khandadhar forest comes under the migratory route of the elephants from the Saranda forests of Bihar and the neighboring Bamra Forest Division (Bonai Forest Working Plan). As mentioned above, Khandadhar forest is a home to the endangered mega fauna like tigers and elephants and any activities leading to deforestation have large repercussions for the habitat of such animals and their very survival. Further, the recent discovery of the limbless lizard73 from the Khandadhar forest is new to science and nothing is known about there habitat and life history. From the preliminary observations, 72 Information received from Indian Metrological Department Recent discovery of limbless lizard in forest of Khandadhar by Research Team Of Vasundhara lead by Prof. S.K. Das, North Orissa University, Baripada 73 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 144 Limbless lizard prefers to live in dark and cool retreat of forest and is considered as a keystone species, whose presence indicates the richness of the ecosystem as a whole. The presence of a varied range of mega fauna, reptiles and birds gives an indication that the Khandadhar forest is biologically diverse and ecological rich. The presence of wide range of reptile species suggests a low temperature and high humidity, which is again an indication of dense forest. The presence of some rare reptiles and birds also give indication that this forest is one of the world’s old and rare tropical natural forests. Moreover, as mentioned earlier, the Khandadhar waterfall is the origin of a number of perennial streams, which play a vital role in regulating the micro ecosystem of the region. Except contributing water to the river Brahmani, these streams also regulate the regional ground water table along with improving soil fertility and local water regime. The four perennial streams namely Karapani, Khandadhar, Kuradi and Kueli which drain from this hill-top are critical for survival of diverse and rare flora and fauna. In addition, Khandadhar forest represents wide variety of geological, climatic, vegetational and physiographic features that have an impact on the soil formation of the area. These soils have direct distinct morphological and physico-chemical properties that influence plant growth and the cropping patterns in the region, thus leading to rich biological diversity of the forest. The prevailing soil type in the study area is mostly alluvial and laterite in nature (Bonai Forest Working Plan). Alluvial soil is high in fertility and mostly found in river basin of Brahmini. On the other hand, laterite soil is low in fertility and is mostly found in the monsoon climatic regions having a mixture of clay and red soils. The different kind of soil composition helps in the emergence of different plant species with differential growth indices. This further helps in creating habitats for different kinds of animals, reptiles and birds in the forest. This forest also has a high medicinal value as it contains a wide range of medicinal plants like raj kusum, patal garuda and wild tulsi1 (Table 1.4). Socio-economic profile (population/demographics, social/ethnic composition, occupation and economic status, and political status (governance institutions, etc) Sundergarh is the fifth most populated district of Orissa. The total population of the district is about 1,829,412 with Sex ratio of 957. The district is schedule V area and more than half of Population, i.e. 50.22% of the total population, is Schedule Caste (SCs). Scheduled castes constitute 8.62% of total population. Urban-rural population ratio is 2: 1 in the district. Compared to the district, sex ratio in the study area is 1024. Also, the Scheduled Tribes (STs) population is little bit higher (66.5 %) as compared to the district The overall density of the region is about 132 person per km which is typical for any rural atmosphere in India (Census report, 2001). The density values are a bit higher in semi urbanized area like in Bonai, Lahunipara etc. This is due to its proximity to the National Highway, a good communication system, easy access to infrastructure as well as because of a large employment potential as a result of mining and industrial activities. The district of Sundergarh is a notified Schedule V area and a home land of Paudi Bhuyan (one of the Primitive Tribal Group in the Orissa). The homeland of Paudi Bhuyan is known as Bhuyan Pirh. This th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 145 extends from Banspal block of Keonjhar district in east to Bonai Sub-division of Sundergarh District in west and to Pallahara block of Angul district in South (between 21-22o north and 85-86o east coordinate)74. The word “Paudi” and “Bhuyan” derive from Sanskrit which means high and land respectively. The Bhuyan hamlets or villages are situated either on plateau land on the hill tops or else on the hill slopes in the middle of the forest. The villages are generally small in size and contain a homogenous Bhuyan population. Apart from Paudi bhuyans, other schedule tribes like Munda, Mankadia, Gonda and Kandha1 also found in the area. There are two type of Munda tribe - the Kolha Munda and the Christian Munda. Both Munda tribes are considered to have migrated from the state of Jharkhand in different course of time. It is believed that the Kolha Munda came and settled here in last 50-60 years while the Christian Munda came here recently after 1980s in search of labor work. The Mankadia tribe is another tribe that is considered as an indigenous tribe of this area. Kandhs and Gonds are considered to have migrated from the southern part of the state during different period of time. In addition to schedule tribes, other castes like Kissan, Patra, Gauda, Chasa, Mahanta, Luhara and Barika are also found in the atrea. These are mostly agrarian people having farming and milk production as their main occupation. Agriculture is the most predominant activity in the area, spreading over 56.2% of the geographical area and with about 23.9% of the population engaged in this activity. According to the 2001 Census, there are 7,940 cultivators (14.37 %) and 11,555 farm labors (21.29 %) in the area. Rice, maize, cereals, ground nut, sugar cane and pulses are the main crops grown here. Apart from wells and tube wells, the main source of irrigation water is mainly the river Brahmani & its distributaries and other streams originating from Kandadhar. Moreover, the rural population critically depends on the forest to supplement their bonafide livelihood and domestic consumption needs. The degree of dependency over the forest in turn depends on the economic status of the family. The elite and agrarian class depends on the forest for fuel wood, fodder, agricultural and material for house appliances. The marginal section of the society, the SC and ST, is crucially dependant on the forest for their sustenance in the absence of land holding. They collect a wide range of forest produces like kendu leaves, mahua, sal seeds, char seeds, amala etc. for sale and other forest produces like wild tubers, fruits and flowers for domestic consumption. The extent and type of forest produce collection vary seasonally. A rough estimate suggests that 30 to 40 % of annual income of the marginal sections come from the forest produce collection (Vasundhara). Shifting Cultivation is an ancient and traditional form of agriculture that is largely practiced by the tribal population including the Paudi Bhuyans. In fact, the economic life of the Paudi Bhuyan mainly revolves around shifting cultivation and is complemented by collection of minor forest produce and fishing. Amongst the Paudi Bhuyan, shifting cultivation in general is known as Taila chasa. Normally Paudi Bhuyans cultivate on one land for a period of three years and then leave it for recuperating for five to seven years (Dash, 2006).The first year, the field under cultivation is called as Biringa, the second year as Kaman and the third year as Guda. The land under cultivation is located on top of hill, 74 Dash, 2006 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 146 hill slopes and foot of a hill (5-12 o). The land is under community ownership and distributed amongst its members on the basis of need. The crops that are cultivated in the first year are kulthi, Biri, rasi and various other types of vegetables, pulses and creepers. In the second year, paddy, Jowar, kada, mandia and kangu are swooned while in the third year only niger is grown on that land. A vast availability of mineral resources is a major reason for rapid industrialization in the area after independence. Prior to independence, the industrial activity of the district was confined to Biramitrapur the site of the limestone quarry. The establishment of a cement factory in the private sector at Rajagangapur in 1951 and a Steel Plant at Rourkela in 1955 in the public sector initiated the industrialization process in the region2. Many medium and small-scale ancillaries and plants were set up in and around Rourkela steel plants and other major factories. Simultaneously with the collaboration of Industrial Promotion and Investment Corporation of Orissa Ltd. (a State Government undertaking), more industries like fabrication, coke oven plant equipment, yarn etc. with an overall investment of Rs 257 lakhs have gone into production in the recent past2. As a result of the adoption of an economic policy based on neo liberal model of globalization, many mineral based industries and mines have been set up by the private sector in the Bonai region in order to exploited rich mineral deposits in the area. The last one and half decade has witnessed a rapid upsurge of private industries particularly the sponge iron plants and private iron ore mines in different part of Bonai, Lunipara and Koida Block of the study area (Murthy, Patra, 2005). A numbers of sponge iron plants have been set up on both the sides of river Brahamini. Small-scale industries, manufacture of engineering goods, steel metal industries for manufacture of containers and automobiles spares, food processing industries for steel city, forest based industries, chemical industries for manufacture of insecticide and other chemicals, electrical apparatus, ancillary to the Steel Plant have also come up in the recent decade2. Various types of demand based industries engaged in manufacture of brick, tile, hessian bags, rope making and shoe making etc. have also come up. However, despite so much industrialization in the area, half of the population i.e. 52.19 % in the study area is unemployed (Census, 2001). Further, industrialization has not improved the economic profile of the area. Even now 3/4th of the total population lives Below Poverty line. On the other hand, instead of improving the economic status of the region, the industrialization has induced an adverse impact over social, economic and natural resource of the region (which will be discussed in analysis part of the study). As mentioned above, the district is a schedule V area with more than 50% tribal population. The district has two Sub-division Bonai and Panposh. The study area of Khandadhar is in Bonai Subdivision which has four blocks namely Bonai, Lunipara, Koida and Gurundia. Sundergarh has one parliamentary constituency and an assembly constituency. Mr. Jual Oram is Member of Parliament from Sundergarh Bonai has one assembly constituency. Mr. Laxman Munda is Member of state legislative assembly from Bonai. As the study is a homeland of Primitive Tribal Group, Paudi Bhuyan, the state government had set up Paudi Bhuyan Development Authority (PBDA) at Khuntgaon Village in Lunipara Block of Bonai th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 147 Sub-division in the year of 1979 for the overall development of Paudi bhuyan living in 22 villages spread across five Gram Panchayat of the study area. Around 327 landless families of Paudi Bhuyans are involved with PBDA. The agency also distributed land amongst some Paudi Bhuyan families for settled cultivation in the three Gram Panchayats of Haldikudar, Phuljhar and Koliposh. PBDA also provides educational and health facilities to the 999 families of Paudi Bhuyans living in five Gram Panchayat. The literacy rate in the study area is 65.1 % which is similar to district but higher to state average. Further. male literacy rate (78 %) is higher compared to female (52 %).Theliteracy rate in Paudi Bhuyan is abysmally low (19 %) with high a gender disparity. The state SC & ST departments had opened one high school at Phuljhar, one residential sevashram at Bhudabhuiyn in Talbahali Gram Panchayat along with another sevashram and two primary school with hostel for Children of Paudi Bhuyans. On the other hand, the education department had opened one high school, three upper primary schools, 13 primary schools and 14 education grant system centers in the five gram panchayats of the study area. Health service delivery in the Study area is not functioning well due to lack of proper infrastructural facility and service delivery system. Major water borne diseases like malaria, pneumonia, and mylonemia and mal nutrition are common. Roadway connectivity is not in place in the study area as in other parts of the district. The State Highway from Keonjhar to Rourkela joins the study area to other part of district. But this road is not in a good condition owing to the heavy vehicular traffic for transportation of minerals. Another state highway from Joda in Keonjhar to Koida in study area is in a pathetic condition and dangerous for passenger traffic movement. There is one branch railway line of 68.6 km from Barsuan to Bondamunda that connects to the main rail link Howarah-Mumbai line for mineral transportation. Apart from this, village and Panchayat roads are also not in a good condition, which makes this area difficult to access in rainy season. The perennial streams, coming out from the Khandadhar fall are a major source of water in the study area for both domestic consumption as well as irrigation. All such streams finally fall into River Brahamini at different points. A number of minor irrigation projects by P.A.I.T.D.A. have been set up on the streams at Kilinda, Deogharia, TalaBahali, and Bija Ghat for the irrigation of farm lands, vegetables & fruit orchards in the study area. Tal Bahali, Kuli posh and Ghuntgaon Gram Panchayat use the water of Khandadhar Stream for domestic and irrigation purpose. Depending upon this water, seed collection centers have been formed at Kuli posi & Bandabarana. Similarly horticulture departments at Talabahali and Kuliposi have developed a number of fruit farms where seedlings are being developed. Mangos, Banana and Litchi are cultivated largely by using this water. A minor irrigation dam has been constructed on the Korapani stream that is supplying water to the gram panchayat of Phuljhar, Haldi Kadar & Khuntgaon. The dam on the Kuradi stream is the largest minor irrigation project of this area that is supplying water to the Gram Panchayat of K. Balanga, Bimalagarh in Koida block; Sankhaposh, Kaleiposh of Lahunipara block throughout the year. Depending upon this water, rice, pulses, vegetables are largely cultivated in this area. This project is considered as the lifeline of the above six Gram panchayats. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 148 In the year 1993, the state government had issued a resolution on Joint Forest Management (JFM) with the clear objective of better forest management & protection through the active participation of people living in and around the forest area. JFM programme is also intended toward reducing people’s dependency over the forest by providing alternate livelihoods to local people (JFM resolution, 1993). For the purpose of better protection and management, Vana Samarkhan Samiti (VSS) needed to be formed with foresters as member secretary and villagers as members. Since 1994, hundreds of such VSSs have been formed in villages of study area under Bonai Forest Division. Under JFM, mostly plantation work of acacia, eucalyptus and teak was undertaken on degraded patches of forest along with village commons and wasteland and the protection of such plantation was handed over to the VSS members. People have 100 % usufruct right with 100 % intermediary harvest and 50 % of final harvest. The financial aspect of the programme was covered under Social Forestry scheme funded by SIDA. In the year 2002-03, the Government of India launched a National Afforestation Programme (NAP) through VSS for forestry sector development under 10th Five Year Plan. In the last five years 48 VSS have been covered under the NAP programme in the Bonai Forest division (Pratap, Das, 2006). 1750 hectare of forestland has been brought under treatment through plantation and soil conservation measures with a financial outlay of Rs.104, 27,000 and 129.70nos labor-days. Along with plantation, development work was also carried out in the villages as an entry point activity (Forest Department, 2005). Now the state government has launched the Orissa Forestry Sector Development Project (OFSDP) for the overall development of forest and forest people in the state. The proposed programme is going to be implemented in 11 territorial forest divisions including the Bonai forest division. For this programme, the government of Orissa has sought a loan of Rs. 558 crores from the Japan Bank for International Collaboration (JBIC)75. The programme is implemented through a twotier system. The first Tier is Divisional Management Unit at Forest division level and second tier is Field Management Unit at Range level. The government involved civil society organizations and nongovernment organizations for a better implementation of the programme as these organizations have, over the years, developed a very good rapport with the local people here. Being one of the poorest and most backward regions, this area provides optimal opportunity for non-government organization (industry!). The area is witnessing mushrooming of NGOs working on variety of issues including health, education, livelihood and natural resources management. Nowadays, the government is also outsourcing its development and welfare work to NGOs thus providing an excellent condition for growth of NGOs here. However, the most important factor for growth and upsurge of civil society organization and NGOs is the dsyfunctionality and inefficiency of the government system in delivering the services and loss of trust and confidence of its people. Further, an increase in the exploitative and oppressive nature of governance and an increase in Government control over the natural resources that was earlier enjoyed by the local people also create space for the civil society organization to emerge in the area, thus providing people with a forum to struggle for their rights. Historical Context 75 Information procured by Mr. Bauri Bandhu Rout, Secreatary, DFF, Dhenkanal under RTI in year 2006. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 149 The glittering Khandadhar waterfall is not only catering to the needs of the local resource based economy and the critical micro ecosystem of the region, but it also has a spiritual significance, which ties local population with it emotionally and culturally. The Khandadhar hill range and water fall was under Bonaigarh Princely state in the pre-independence era and was considered as a scared grove owing to its spiritual and cultural context. As mentioned earlier, it houses the local goddess and Puadi Bhuyan’s deity “Maa Kanteshwari devi”76. There are two mythological stories that revolve around the birth of Khandadhar fall which signify its cultural and spiritual identity for the region. Due to these contexts, no large-scale felling and commercial exploitation of this forest was allowed during Bonaigarh rule. Even the Britishers did not enter here in keeping with the cultural and spiritual significance for local people. Britishers feared that if they did indiscriminate felling in the forest, it was bound to ruffle the emotion of the local people which might turn into large scale violence, difficult to contain. That is why this forest was kept out of all business and commercial activities till the Government of India gave lease to OMC for iron ore mining at Kankaragarh under this forest in 1966. This was the first large scale economic activity inside Khandadhar forest which started denudation of forest and created threat over survival of Khandadhar fall which is now aggravated by the arrival of the POSCO mining (company). Out of the two mythological stories, one is from the Ramanayan, involving Sita6. Local people say that the Mallayabanta Giri (spiritual name of Khandadhar hill range) witnessed the helplessness of Mother Sita when Ravana forcibly carried her away. Being unhappy and agonized, huge rocks on the top of said mountain broke down into two pieces. The Sal trees on the top mountains carved down because of the wailing of Sita creating a big hole. Water oozes out from this hole leading to birth of Khandadhar waterfall. Another story related to Khandadhar waterfall is from the Mahabharata. The Pandavas, along with their wife Drapaudi were in this region during their one-year agyatwas. One day, while moving around the thick forest of Khandadhar, Drapaudi felt thirty and asked Arjuna for water. Arjuna searched the whole forest for water but to no avail. In his anger, after seeing the agony of his wife, he struck a huge Kadam tree (Presently Ranta village) by his arrow. The tree and stone ruptured into two parts creating a huge hole. The Rapid water stream comes out from the hole. This stream was named as Khandadhar as the Stream (Dhar) created by rupture (Khanda) of stone. The forest and stream of Khandadhar has an immense religious and cultural significance for people of Bonai and adjourning area. The Khandadhar Hills are the abode of "Maa Kanteswari Devi", the chariest goddess of local people and deity of Paudi Bhuyans. There is one temple of "Maa Kanteswari Devi" in the form of a cave near Bahagura stream (tributary of Korapani Stream) at Sanjola Village in Haldikudar Gram Panchayat. There is a belief that that she comes out from this cave on invitation of Bonaigarh’s King in the month of Dushera to give blessing to its worshipers and fulfils the cherished desire of the people. There is a strong feeling among the local people that any destruction to her temple or the habitat of wild animals and home land of Paudi Bhuyans would create catastrophe in the region. Cultural and religious aspect are so intermingled with ecology and forest that any destruction of ecology and forest has detrimental impact on the local culture, tradition and way of life in the region6. 76 Based on discussion with Bijay Mahanto, Gurucharan Pradhan and Villagers of Talbahali & Phuljhar. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 150 Methodology Iinformation related to case study was gathered from both primary and secondary source. Details of the source are given below: Primary source of Information: Details of affected village and people are provided by local organization Vana Suraksha Samiti Mandal (VSS Mandal). First hand visit to project site to understand the ground situation and analyze the ecological, economical and cultural aspect of the region. Details of ecological profile were provided by Pratyush Mahapatra, researcher, Vasundhara. Details of socio-economic and environmental aspect were provided by Ashwini Mohanta, VSS Mandal and Himanshu Shekhar Patra, researcher, Vasundhara. Details were drawn up from focused group discussion with local people in five villagesTalbahali, Phuljhar, Kuntagaon, Kolipsh and Budabhui Personnel interview with few individuals- Ashwini Mohanta, Bijay Kumar Mohanta, Bijay Kumar Das, Abhimanyu Mishra, and Gurucharan Pradhan. Secondary Source of Information: Review of District Census report of Sundergarh, 2001. Orissa Government and State Forest department website. Working plan of Bonai Forest division. Review of various govt. and independent website (listed in reference). Review of literature on globalization and its impact (listed in reference). Review of literature on cause of deforestation (listed in reference). Review of News article on POSCO issue and its opposition (both Print and electronic). Limitation of Study The major constraint faced in the study is inadequate primary data. Since, very less time was available for the study, the study has had to rely on existing data, which is not sufficient. Further, quality literature on globalization and its impact over state’s natural resources and economy are not easily available. Whatever, literature was available and which have been reviewed by the author s do not reflect on local perspective of deforestation. Therefore the authors have had to rely on some foreign literature that has little resemblance with current case study. Moreover, due to time constraints it is not possible to take view of the people from other area (like keonjhar and Jagatsingpur) who are also affected by this project. Thus, case study reflects region specific view while the project has a pan-Orissa impact. Analysis of the current Situation (and Key findings) Key Issues and Facts th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 151 For generations, villagers of Bonai looked upon the glittering Khandadhar fall as their mother who cared and nurtured them for centuries. But now, people are being forced to forget the image of 244 meters high water falls, one of the India’s tallest water falls. Khandadhar waterfall is the latest pray to an increasing thirst for an economic progress by political establishment in the state. A grant for prospecting license for over an area of 6204 hectares at Khandadhar in Sundargarh district to Pohang Steel Company (POSCO), a Korean Steel MNCs, has been recommended to the Centre by the Orissa government77. The state government is favoring POSCO as it has made the largest Foreign Direct Investment (FDI). POSCO needs 30 years lease in Mt. Chheliatoka (3331 ft.) and Mt. Bechakani (2964 ft.) for mining out 600 million tones of Iron ore for its India’s biggest Steel plant in Jagatsinghpur (in costal part of Orissa). POSCO had started prospective mining in the area in year 2006 amidst large protests from people of affected villages. The protest is also getting a political momentum with involvement of mainstream political parties like Bharatiya Janata Party (BJP) and Communist Party of India-Marxist (CPI-M). Allowing this mining would mean sacrificing one of Orissa’s most biologically diverse and ecologically rich forest to mindless “economic progression”. Impact on Natural Forest: Contrary to the claims of the Government and the company, this mine will have a devastating impact on local ecosystem and livelihood of the region. The biggest impact foreseen would be the drying up of Khandadhar waterfalls, which in turn would devastate the forest vegetation in the area and adversely affect biological diversity of the region. There would be a clear denudation of forest covers in 100 sq. Km from Suakanti in Banspal of Keonjhar district to Bonai in Sundergarh district. According to Mr. Jual Oram, MP from Sundergarh, if POSCO carried out its mining activity in the area, the world will lose one of its finest forests that consists some of the rarest floral species (Table 1.3). Thick dense forest of Sal (Shorea Robusta) and Assan (Terminalia Tomantosa) along with numerous herbs, shrubs and creepers would be lost thus leading to a severely damaged ecosystem and habitat of fauna species. This would be a huge ecological and economic loss of the state which cannot be compensated through any compensatory measure as natural forest requires millions of years to regenerate and get its stability. Impact on Wildlife and its Habitat Mining always results in habitat fragmentation and habitat destruction due to environmental pollution and degradation of vegetal cover. In most of the cases, mining activities are carried out without considering the biodiversity and habitat conservation of the area. In the present case, Khandadhar forest comes under the migratory route of the elephants from Saranda forests of Jharkhand and neighboring Bamra Forest Division of Orissa. The vegetation of Khandadhar and the nearby area is a home for rare and endangered wildlife like Tiger, Leopard, Sloth Bear, Elephants, Gaur etc78. 77 78 Based on different news article and information provided by local people. Forest Working Plan of Bonai Forest Division th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 152 Mining in the area will also have deleterious effect on the mega fauna like Elephants and Tiger because these anima ls need a larger area for habitat. Several instances in Koida Range of Bonai Forest Division, where elephants are seen stopping vehicle for food due to destruction of their habitat by existing mining and industrial activities in the region have been witnessed. There are also numerous evidences of cattle predation that suggests the presence of Asiatic and Royal Bengal Tiger in the Khandadhar forest. Further, the recent discovery of the Limbless Lizard from Khandadhar forest is new to science and nothing is known about their habitat and life history. It is presumed that this species is found only in this forest (because it likes to live in cool and dense forest) and considered as a keystone species. Climatological and the morphological conditions of the Khandadhar forest suit the habitat of such species. Degradation of the forest and a change in the ecosystem will severely destroy the habitat of these species and force them to the verge of extinction. This would be a tangible loss to world ecology. Environmental Pollution: There would be immense loss of forest due to environmental pollution rather actual mining in the Khandadhar forest. The impact of actual mining may be limited to 6204 hectare area but a huge area beyond the scope of this case study will be affected by the travel of pollutants through air and water. The ambient air quality of the study area is already polluted with the presence of particulate matter and oxides of Sulphur and nitrogen. Mining and transportation of minerals at Barsuan and Koida in upper Khandadhar is already causing severe air pollution. Further, Sponge iron plants near to Lunipara, Rajaminda and Bonai are also polluting the air and cases of itching and eye irritation have been reported and evidenced. Presence of fly ash on agricultural field and forest vegetation also points at the heavy release of particulate matter in the air due to mining and industrial activities. Hence the area and magnitude of impact that POSCO mining will generate in the region can be easily understood . Concerns regarding pollution of water bodies have also been raised. Orissa Mining Corporation (OMC) has its iron ore mining site of 160 ha area at the Kankaraghar village near the Korapani stream. Another stream Uskala is flowing 15 meter below this site. OMC is dumping its mining overburden in the Uskala stream at Kukurpeta village on the eastern side of the stream. Due to this dumping, there is a heavy accumulation of red oxides in the stream water leaving it red colored even in the summer. This water is highly undesirable for vegetal growth and for animal & human consumption as well. Vegetal covers on the both sides of Uskala Streams from Kukurpeta to Phuljar have been severely damaged. The Uskala stream meets other two streams Khandadhar and Sasa at Phuljhar village, causing these two streams also to become red colored (due to oxidation). Similar apprehension is also felt in the case of POSCO mining. Here the situation would become even worse, as the mining site of POSCO is just above the glittering falls which is a source of water for all major streams including river brahmini and baitrani. There is an anxiety amongst the people and environmentalist that red oxide mixed dust soil will be deposited on the both sides of the fall and th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 153 pollute it. There is more fear that in rainy season this polluted water will spread to the entire catchments and will then severely damage the fertility of the soil which in turn will adversely affect the growth of vegetation and degrade one of the finest forests that Orissa have. Impact on Availability of Water Khandadhar water fall is the origin of a number of perennial streams, which play a vital role in regulating the economic conditions of the local area. Apart from contributing water to the river Brahmani, these streams also regulate the level of the regional ground water table. The local economy, which is regulated by agricultural activity, will be drastically affected if the water catchments area is permitted for mining purposes. Mining activities in the Khandadhar hill will result in dying of all these streams and thus directly affect the local livelihood. OMC is already drawing water from the upper head of the Khandadhar waterfall, which has resulted in reduction of 50 % of the flow in Korapani Stream79. So any further commencement of mining activities will result in the death of this famous waterfall. Around 20 villages of Talbahali and Khuntagaon would be the worst sufferers of water scarcity if POSCO mining on Mt, Chhelitoka is allowed. There would be literally no water available in the streams reaching these villages. There is medium irrigation dam on Korapani stream called Arjunchhua dam at Bimalagarh that provides irrigation to Bimalagarh, Kabolang, Gopana and other villages of Lunipara block along with Lunipara town. There would be no water available in the Korapani stream to store in this dam if POSCO mining is allowed because three streams Khandadhar, Uskala and Sasa form Korapani. OMC has already been drawing water from the last two streams and if POSCO will draw water from Khandadhar, then there will be no surplus water available in the Korapani Stream. In the year 1980, a survey work had begun for Boragura Minor Irrigation Project near Khuntgaon village by the Western Orissa Development Corporation (Public undertaking of State Government). The command area of this project is the whole of Khuntagon and half of Koliposh Gram Panchayat. However, if POCSO is allowed mining in Khandadhar, this project might be shelved, as it will not be able to get any water from the stream as the project area falls under mining lease. Further it is also assumed by local people that water would not be available in other major streams like Kuradi because most of the streams originate from the Mountain. Chheliatoka will be destroyed in the mining and so would the source of the water in these streams. It is estimated that there would be no or negligible surface water available in at least 16 villages of four Gram Panchayat namely Talbahali, Khuntagaon, Koliposh and Kudiakela affecting severely the lives and livelihoods of the people living in these villages. There is an apprehension that the river Brahamini, which is lifeline of northen Orissa would dry up. All the major streams originating from the Khandadhar hillrange fall into river Brahamini at different point. If flow of water in all the streams are alarmingly reduced or there is a huge reduction in the waterfall itself, there would be no water available to reach the Brahamini river and if that happens it will put the very existence of the forest and other resources in this region in a jeopardy. The situation would get worse as ground water recharge is lowering down due to less availability of water in the streams which would be consumed in due course of flow by existing use pattern of local people. Further, there would be very less time available for water to percolate to get recharged as the rate of flow would be higher due to loss of vegetation by mining 79 View of Talbahali, Koliposh and Kuntagaon villagers th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 154 activities. The rate of discharge is already lowering down due to existing mining activities as reported by the Central Underground Water Board in its annual report and would further worsen if POSCO is allowed to start mining in this area. Displacement and impact on local livelihood Agricultural activities is the backbone of the local economy over which nearly whole of the population in the study area depends directly or indirectly. The apprehension of a drastic impact over agricultural activities by POSCO mining stems from the impact created by a host of mining conducted in the region by companies Like MECSO, Sun Alloys & Minerals, Utkal Mining& Sales and other private miners. There is an anxiety among the local villagers that 60 villages are going to be displaced or would be indirectly affected or forced to migrate due to impact over agricultural activities when POSCO starts mining in the region. Lives and livelihood of Saskala, Bhutara, Mahulpadar and Doleswar may be severely affected by the mining. The last two villages might be displaced as they are situated on the actual mining site proposed by POSCO while blasting and dumping of the overburden will affect first two along with Talbahali village. People of this village may also be forced to leave as no option would be left for them to stay there. There is rough estimate by locals that around 30,000 people living in 29 villages of the study would be directly displaced by the POSCO mining. 17 villages in Luhanipara block and 12 villages in Koida block in study area along with 12 Gram Panchaya in keonjhar district are going to be displaced by the company for mining activity. Further, agricultural and economic activities of another 31 villages in the study area falling under Lunipara, Koida and Bonai Block would be affected due to water shortage, blasting, soil erosion and deforestation. Local villagers like Mr. Gurucharan Pradhan of Kolipsoh are anxious and apprehensive about their future. “We know how to deal with the elephant but what will we do when there is no water, scattered stone and red dust in our farm land? We are really worried about future. We don’t know how to survive” said a worried Mr. Pradhan. It is expected that over one half a lakh people living in two districts would be affected by this mining activity in Khandadhar hill range. Apart from, crop cultivation, mining will also have a drastic impact over horticultural farms developed by private and government agencies. Fruit, vegetable and lac cultivation in the study area will be seriously affected by shortage of water and particulate matter in the air. In addition to paddy and maize, cultivation of lac is very important from the economic perspective of marginal communities. Impact over Cultural aspect and indigenous people Khandadhar hill range is part of Paudi Bhuyan’s home land “Bhuyan Pirh”. This PTG is found only in this region (999 households within total population 3919). There is an apprehension that one of the oldest primitive tribal group in Orissa would become extinct due to their habitat destruction by the POSCO mining. Their habitat is already under threat due to various reasons including deforestation and habitat obliteration by existing mining & industrial activities. Paudi Bhuyans has symbolic significance w.r.t the Khandadhar fall and streams origin. There are four Puadi Bhuyan settlements at upper and lower part of Khandadhar fall. If falls and streams dry up as feared, it will drastically affect the very existence of this group as they live near to these streams because their whole life and th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 155 livelihood move around the water fall. The famous “Kanteswari Devi” of Bonei region is considered as a “deity” of Paudi Bhuyan and found to be associated with these streams. So once these streams vanish due to the proposed mining project, it will leads to destruction of local religious customs of Paudi bhuyans as well as cultural sentiment of whole region. Further, tribes worship different part of forest as Badam, Nimar, Rim, Sarani. As the proposed mining activity is going to affect this forest, this will lead to destruction of tribal culture and tradition. Impact over climate Moreover, there are also some global concerns of this mining activity in the Khandadhar forest. There is an apprehension that drying up of the Khandadhar fall may induce Micro climate change due to shortage of rainfall. The area receives rainfall in month of April to June after intercepting return South-east monsoonal wave (by the Khandadhar hill range). If this hill range is reduced to ashes, there would be a severe reduction in rainfall (in nearly 800 Sq, Km from epicenter of Khandadhar fall). Reduction in late summer rain falls would severely affect the floral diversity of the forest and in turn affect the survival of many large and small animals in the forest along with production of some minor forest produce and Medicinal plants. Further it is expected that rainfall in monsoon season will also be getting affected by the mining. Already the region is witnessing weather modifications with sporadic rainfall and uneven distribution. There is a general perception that rainfall will be reduced due to large and indiscriminate felling in the upper Khandadhar. It is expected that there would be reduction in rainfall up to half in Champua Sub-division of Keonjhar district, Bonai Sub-division of Sundergarh District and Deogarh district in Orissa and Manoharpur of East Singhbhum District in Jharkhand due to deforestation and other ecological imbalance. Causes of Deforestation & forest Degradation Underlying root cause During the last one decade, the forest crisis has deepened in India and particularly in Orissa. This has prompted many to try and understand the real factors behind degradation of forest at such an alarming rate. More than direct factors, it is the indirect (underlying root causes) that play a prominent role in degradation of forest in a biologically rich state like Orissa. There are host of underlying factors for deforestation ranging from unsustainable economic progress induced by the processes of globalization and adaptation of an neo-liberal economy model to existing but outmoded social structures, inequalities in land tenure, lack of recognition of indigenous people’s rights, unsustainable agriculture, external aided forestry programmes, conservation policies, construction of roads and other transportation links etc. But the most important root cause to deforestation lies in macro economic policies induced by globalization and free trade regime. Economic reforms carried out in nineties caused major upsurge of industrialization processes leading to deforestation in the state of Orissa. The causes of deforestation are many and varied, and it is impossible to cover them all. However, below I try to cover how free trade regime at the global level changes the very contour of political governance in the country leading to devastation of its own natural resources. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 156 Neo-liberal economic reforms Unlike the imperial era, in the neo-liberal era, economic tools like free trans-national trade regime were used by global political masters of the north (western industrialized nations) to capture the pristine resources of the south (largely Asian economies). Countries in the north had exploited their own resources due to their unsustainable industrial and economic development to the extent that they have been left with little resources of their own. On the other side, the south of the globe is characterized by an abundance of natural resources, which are still not exploited to the limits of their potential. The Global political masters of the north want to control resources in the south but since the world is moving toward a more rationale and democratic structure, it is difficult to justify the power of muscle to grab those resources. Hence unlike their predecessor (from the colonial era), they do not necessarily use muscle power though military conquest but use economic power to create new colonies in the third world or southern countries of the globe. This philosophy uses the notion of free trade regime across the globe and organizations like WTO and treaties like GATT are legal mechanisms that help facilitate the progress of these regimes. These political masters, to convince nations in the south, use international funding agencies like IMF and World Bank; the globe needs free trade and free market. Some arm-twisting methods in the form of putting sanction or withdrawal of aids to the poorer counties to accept the free trans-national trade are also put to use. Many Latin American and southeastern countries were initially reluctant to accept this notion of free trade as this could well jeopardize their own economy and create adverse environment implications. India was also initially reluctant to accept this notion on the ground of its own sovereignty. But soon enough these countries had to accept the dictates or risk loosing crucial economic aides from IMF and World Bank. India had opened its economy for free trade in the early nineties under the mounting pressure of IMF and World Bank to adopt WTO and GATT regime. Being one of the signatory of GATT and WTO, it has had to open up its boundary for multi-national investments for free trans-national trade. It started with the end of permit and license raj in the country and a host of industrial bonanza to create a market and investment friendly policy regime. The foundation for mineral policy reforms were laid in the 1990s in the wake of economic reforms with the passage of New Mineral Policy in 1993 and the amendments in the Mines and Minerals Act 1957, which brought about deregulation of the mining sector by allowing privatization and investment of foreign companies up to 50 per cent. In December 1999, the Act was further changed into Mines and Minerals Development and Regulation (MMDR) Act, 1957 and the cap of FDI were raised to 100 per cent in February 2000 (Patel, Das, 2007). The new industrial policy opened up mine-based industries for private investment by removing it from the list of industries reserved for public sector and exempting it from compulsory licensing. With deregulation and liberalization of the economy, state governments were in competition for more and more investment in their state. States those lag behind consider would remain backward and poor. In the last five to seven years, there has been an aggressive economic policy by the state government (Orissa) to attract foreign direct investment (Pratap, 2006). In order to successfully do so, the state government has shown readiness to provide everything to the investor (e.g. offer areas which are free from litigation as well as encumbrances; sign investor friendly MoU, assist in obtaining every type of clearances and acquire land for company). Such an aggressive policy has seen the state sign 78 MoUs with private companies including Mittals, Ambanis, Vedanta and POSCO. Around 43 MoUs were singed with Steel Companies alone, out of which 13 projects have been completed and nine have started their production. Apart from this, a numbers of thermal power plants, oil refineries and other industries have also come up in the state in last five years (Vasundhara, 2006). Further by the end of year 2005, a total of 605 mining leases covering an area of 99,931.55 ha had been signed in the state (Murthy, et .al, 2006). In the district under study, 48 sponge iron plants have come up in last one decade th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 157 (Murthy, Patra, 2005) alone. Most of them started their work and have resulted in an irreversible loss of thousands of hectors of forest land. However, what really rings the alarm bells in the new economic processes is the fallout this will have on natural resources and livelihoods on the many who are dependent on these rich mineral areas, considering that most mineral rich regions are also forested areas dominated by tribals and other indigenous populations. As per Govt. own estimate, out of an area of 30,263 ha that was diverted for nonforestry purpose - 10, 053 ha were diverted for only mining purpose by year 2004-05, a whopping 34 %80. Further, policy reforms has allowed resource extractive model as the dominant form of socio-economic development which on the one side subvert the rights of indigenous people and on other side converts some of finest pristine resources into ashes. With the government policy (2003) allowing the granting of mining leases and transfer of land for commercial projects in Scheduled areas, forest and indigenous people in the state are facing the greatest attack of globalization and liberalization in the recent years. Opening up of Tribal hinter land which was earlier protected through OSATIP act and by allowing unwarranted and unsustainable economic activities by a large number of mining and industrialization related projects will ultimately destroy pristine forest and displaced thousands of tribals and other marginalized people from their home land. Around 15 million tribals are expected to be directly or indirectly displaced through this policy reform (Kumar, 2006). Apart from displacement, industrialization and mining operation cause social and political marginalization of tribals with influx of non-tribal population in schedule area (where most of such industrial and mining activities are operating) which change the whole demographic structure of the area. State Sponsored Agriculture and Irrigation Project However, the process of deforestation had started long ago even before the actual onset of the globalization onslaught. The major cause of deforestation in post-independence and pre-neo-liberal economic reforms was agricultural expansion, often state-sponsored. In response to increasing population and urbanization, large area of forest were cleared for cultivation. No specific data is available on this but it can be assumed that settled cultivation directly and indirectly played a significant role in deforestation within the state. State sponsored plantation of cash crops like coffee and cashew has done an irreversible damage to the flora and habitat for mega fauna in the state. There are vast tracts of forest land that had been cleared and diverted for coffee, cashew plantation and horticulture in many districts like Koraput, Kandhamal, Rayagada, Malakangiri, Kalahandi, Nayagarh and Puri. Such state sponsored farming has also been promoted in the study area where horticulture of fruits and vegetables has been noticed in forested area. These farmlands are directly under control of state agencies or have been given on lease to elite and powerful peoples. These lead to a serious repercussion on livelihood of marginal communities who clear other tract of area for their own sustenance. Hence ultimate result is loss of forest and loss of habitat for animals. However, more than settled cultivation and clearing of forestland, it is the state-sponsored irrigation projects that aggravated the situation. According to Government data, 7726.5 ha of forest lands have been diverted for 61 major and minor irrigation projects in the state (Frontline, 2007). Construction of major irrigation projects like Hirakund, Rengali and Upper Indravati dam had lead to a huge and irreversible damage on the local forest which comprises of rare and endangered species that have been lost forever. Apart from the main reservoir, there are many intermediary & small reservoirs and distribution canals which have taken a toll of the forestland. But the question arises, for who these irrigation canals were? Definitely not for poor and landless people and nor for the animals whose homelands have been destroyed in the process of constructing these 80 The information was procured under RTI Act by rights activist Biswapriya Kanungo. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 158 irrigation projects. It obviously has benefited the elite and powerful who have vast tracts of farm lands which needed water to be imported from somewhere else. They neither care that in such process vast numbers of people get displaced nor do they worry about the fact that many rare and endangered species who are critically important for sustainable ecosystem are lost in the process. In the state, from 1951 to 1995, 1.5 million people have been displaced due to development projects in which 42 % have been tribals (Kumar, 2006). Most of these people have been displaced by irrigation projects like Hirakund, Rengali and Upper Indravati project. Conservation policies facilitative toward commercial exploitation The present crisis in the forestry sector is augmented by conservation policies that reflect state control over forest and its resources. Deforestation started during the colonial period when Britishers formulated policies for forest management with the objective of revenue maximization. They treated the forests as a neutral resource rather than as a source of sustenance and biological sustainability. Degradation of forest started from the point Britishers formulated Indian Forest Act in 1864 and formalized the management of forest through inception of institutions like Forest Department. This is the period when community initiatives for forest conservation was marginalized and even derecognized. The situation did not change for better in the post-independence era when the state still continued to control forest management through colonial legislation and institutions. The enactment of Forest Conservation Act (FCA) and Wildlife Protection Act (WPA) in the early seventies and eighties was toward protecting and conserving flora and fauna in the forests. But the provision of nonforestry purpose gives leverage to corporate sector for grabbing valuable resources under the forest. In the absence of clear institutional capacity and monitoring enforcement, provision of forest clearance for nonforestry purpose becomes a mere formality. The enforcement agencies like MoEF and SFD are keener to facilitate corporate resource grab in the forest in the name of economic development. The rate of degradation has stepped up after the enforcement of the FCA with a large numbers of industrial and development projects coming up in forested area. Since 1989, 11,242.08 hectares had been given forest clearance for commercial project (Frontline, 2007). Further, there is evidence that after the commencement of conservation policies like OFA, 1972, WPA, 1972 and FCA, 1980, the rate of deforestation has increased because it put severe restriction on local communities. These restrictions, on the one hand withdraw community surveillance in the face of their eviction and on other cause conflicts and contestations. Both have had a negative impact over forest. Withdrawal of local indigenous communities from the forest allows loggers and poachers an open field. On the other side, if restriction prevails it creates conflict among communities, which lead to unsustainable, harvest pattern ultimately causing deforestation. Recently enacted and amended laws related to environment and forest also suggest that political governance system in the country is keener to provide every institutional and policy support for commercial exploitation of forest by corporate at the cost of the nature. Recent amendment in EIA notification where public hearing for mining activities is made non-compulsory is an example that shows the states readiness in providing every support to corporate house for resource and land grab in the forest81. Joint Forest Management and aids driven programmes On witnessing the impact of community based management on regeneration of forest across the country and particularly in Orissa, the Congress Government was forced to adopt pro-people National Forest Policy in 1988 81 EIA notification is provision made under EPA, 1986 for procedure of Environment clearance to any commercial Project. It was first made in 1994. In year 2006, amendment under pressure of corporate lobby had been done to favor corporate leverage. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 159 to give way to participatory forest management in the country (Pratap, 2007). By this way, Joint Forest Management (JFM) came into picture. For the first time, the Government allowed community to be a part of forest management at the local level and in return gave concession in terms of usufruct right of 100 % intermediary harvest and 50 % (actual 25 %) of final harvest. However, the JFM lacks some basic principle of participatory forest management over which CFM was propagated in the state. Also, it does not find space in legal framework despite assurance given in the national Forest Policy which helps government to mould as per its convenience. However, the most unfortunate part of JFM in Orissa is that, it is being used not as an ‘approach’ but as a ‘scheme’ or ‘programme’. Overall management pattern in the forest did not change. Being touted as a revolutionary approach to deepen democracy through people participation, JFM in fact derails the democratic processes that prevailed earlier through external aides and unilateral decision making by State Forest Department (SFD). JFM actually marginalize real user and conservationist at community level and promoted elite neo-user. Mahaluta village under Bonai Sub-division is an example where Mahantos were promoted and kept at the helm of affairs by state Forest Department (SFD) despite their lack of dependency over the forest while on other hand, the Hindu Munda who are critically dependent over forest have been kept on the sideline (Pratap, Das, 2006). This has cause resentment among the munda community leading to their withdrawal from the JFM process in the village. This is a story that is common to thousands of villages in Orissa where VSS are formed by SFD under JFM programme. Hence, JFM on the one side weakens community process of forest conservation while on the other hand allows forest degradation due to non-participation of real user in the forest protection and utilization process. Externally aided project under JFM also created negative impact over forest in the state. The State has a strong community initiatives of forest protection which is existing in tens of thousands villages across the state. These community processes are based on fundamental approach of democracy i.e. people participation, accountability and transparency. This process allows everybody including the marginal section to participate in the decision making process. Further, these initiatives are successful in the state because it is based on voluntarism. External aid projects kill this fundamental approach of community initiatives and make community dependent on external resources for conservation (Pratap, 2006). This allows neo and no-user of forest to take over at the helm of affaire of forest conservation despite the fact that they are least concerned about the same. Arrival of aides and resources breaks people participation and accountability of the system and this leads to withdrawal of the real user from the process. Implementation of Samanvit Gram Vanikarn Samirddhi Yojana (SGVSY) under National Afforestation scheme in village Talbahali is a telling example as to how real users are marginalized and neo-users take control of affairs leading to a breaking down of democratic process (Pratap, Das, 2006). Further, adoption of selective approach and pumping of money under NAP scheme has also resulted in breaking down of the collective community spirit and informal forum/ associations in various parts of the State. Moreover, arrival of external aides in the villages for ecological restoration and afforestation causes severe conflicts between the elite and the marginal sections, ultimately causing indiscriminate felling leading to deforestation. There are many instances in the state where external aides become a cause of inter and intra-village conflict leading to denudation of forest and ecosystem destruction. Now the state has taken loan from Japan Bank for International Collaboration (JBIC) for aid & support to its Orissa Forestry Sector Development Project (OFSDP). This project focuses on reducing community dependency over the forest by introducing a numbers of alternate livelihood avenues82. But the basic question arises, viz. that if the people’s dependency is reduced or removed then what incentive would be left to the 82 Project proposal of Orissa Forestry Sector Development Project is available on its website. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 160 community for forest conservation and why they would remain interested in the same?. This project witnessed massive statewide protest against it. Protestors particularly Orissa Jungle Manch had reservations over the process through which this project was introduced and external funds been taken without any consultation with community. Nor was a need assessment of this project done by the state. Even today a large section of communities are opposing and protesting this project along with JFM and asking for CFM recognition as the only correct option that can ensure conservation of forest in the state. If such money driven programmes continues, it would have devastating effect on the community efforts, which may subsequently lead to destruction of forest. Since JFM model was introduced, community looses primacy in decision-making process affecting health of the forest. Decentralization but not Devolution of Power The state government had taken decentralization initiatives by enacting Orissa Gram Panchayat (administration of minor forest produce) Act, 2001 to give power for administration of denationalized forest produces to Gram Panchayat. This act was seen as revolutionary in the context of supporting local economy and furthering the cause of forest conservation by linking conservation with local control over production and marketing of forest produces. However, this act stands for mere decentralization but not for devolution of power. Gram Panchayats are given rights without any real power to execute their right. Moreover, there is no clear area delineation for Gram Panchayat to manage minor forest produces. Most of collection and harvest of MFPs are carried out in the forest area outside the Gram Panchayat jurisdiction -say in a reserve forest and protected area. Gram Panchayat do not have any right for management of forest in such area. In this case, Government has to initiate process for declaration of village forest under section 30 of its own Orissa Forest Act (Pratap, 2007). However, no process has been taken in this regard. In the absence of any clear area for collection, harvest and management of MFPs to local governance institutions; any attempts of decentralization fails to empower communities and has an adverse impact on conservation of natural forest and its bio-diversity. Access roads and transportation links to Forest: Access to forests is made possible through government-promoted road projects, either built to open up and "develop" the forests or resulting as a result of intense commercial activities of logging, mining, and energy generation. According to the Government figure, around 4000 ha of forestlands are diverted for communication link, roads and bridges (Frontline, 2007). Building access roads means that trees are chopped down. The road then opens up the forest to loggers, landless peasants, mining companies and many other actors, thus resulting in forest clearance and habitat destruction leading to forest denudation. It is clear that deforestation can take place only because a number of government policies - social and economic - indirectly promote it. Whilst the poor may operate the chainsaws or set the forest on fire, it is mostly governments and corporations who are behind such actions. Road building is one of the activities promoted and funded by multilateral institutions such as the World Bank and other regional multilateral banks and these are meant to easily allow governments to comply with the International Monetary Fund's policies to increase exports (World Rainforest Movement). Road-building is also linked to the interests of Trans national corporations’ as they can thereby access natural resources and incorporate them into the global market. Cultural and demographic issues Government policies on indigenous peoples' rights - particularly those affecting territorial rights - have been the cause of much deforestation which would not have occurred if those rights had been acknowledged. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 161 Policies over land tenure rights in general have resulted in the concentration of the best agricultural lands in a few powerful hands and the consequent migration of poor landless into the forests. This sometimes results in large-scale felling of trees. Further, forests act as safety valves to avoid social uprisings. The concentration of power and land in few hands results in large groups of dispossessed people, who may indulge in confrontation. In order to avoid such potential conflict, landless people are allowed to move into forest and clear land for cultivation by the government. (World Rainforest Movement). In some cases, Government casts a blind eye in case of encroachments of forestland by such people. This migration has negative impact as it change the demographic profile of the region with influx of non-tribal in the tribal hinter land leading to change in cultural practices and human-forest interrelation (Kumar, 2006). Apart from this, there are also cultural and demographic aspects, which are destroying the forest. Traditional agricultural practices like shifting cultivation and unsustainable harvesting pattern of minor forest produce has created certain amount of impact over forest leading to its degradation in specific area. Increasing population and lack of proper land tenure system has caused expansion of shifting cultivation in tribal hinterland at higher magnitude. Low sale price and increasing population has role in unsustainable harvesting of minor forest produces. There are growing instances of Forest fire in MFP zone of the state particularly in Sundergarh and Sambalpur, where MFP collector deliberately set fire in the forest so that litters burn and they may easily collect high amount of MFPs. However it is also a fact that such practices are encouraged because collectors do not get fair price for their labor by the local traders. Direct/Proximate causes (main actors involved) In the context of the present case study, the (political) governance system is the most prominent and direct cause of forest degradation in the state. Political fraudulence within India has reached new heights due to its nexus with international funding institutions, business houses and its elite bureaucracy. Global funding agencies play their part in this nexus by imposing upon the government economic reforms geared towards free trade and market regime. The early nineties economic policy reforms resulted (under the pressure tactics exerted by IMF and World Bank) in putting investment friendly policy reforms as pre-requisite for any further economic aides to the country. As a developing nation, India is heavily dependent on economic aides from these institutions as mentioned earlier; this economic conditionality on India by global agencies is an outcome of political opportunism by north’s political leaders to create new economic colonies in the south. These institutions have been used by global political masters in the form of neo liberal policy reforms and have resulted in scores of pro market decentralization initiatives as well as deregulation of trade barriers to promote private investor’s profiteering sweatshops (Pattanayak, 2007). Decentralization initiatives like VSSs played a very important part as these institutions, in absence of clear power devolution, eroded community access and control and gave leverages to private investors in controlling resources. Political governance system in country had shown its willing obligation to these institutions by making liberal policy reforms. The onset of neo liberal economic system has changed the very contours of political governance at trans-boundary level in last decade of 20th century. In the years that followed, India saw a spate of economic policy reforms along with disinvestments in mine-based industries (essentially producing aluminum and steel) on one hand and the growth of small and large mining companies on the other (Asher, 2006). In the state of Orissa, the economic policy reforms th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 162 have been at a faster pace in present decade. Having lagged behind other state in terms of industrial growth and in order to overcome the existing gap vis-à-vis other states, Orissa developed its industrial and mineral policies in order to hasten the opening up of its mineral sector for private investment83. The new industrial policy of Orissa was formulated in year 2001 by the Department of Industry and Commerce with the purpose of seeking increased private investment in mineral and agro-marine based industry. These policy initives have been pushed aggressively by the Chief Minister Office in order to project Orissa as being an investment friendly destination for global MNCs. Other Policy Reforms like Mineral Policy and the recently drafted Forest Policy have also been aggressively pushed by the Chief Minister’s Office in this regard. In all the policies that were recently drafted in the state, the major thrust was to make the state investment conducive so that increasing investment pours into the state. However, the problem is not related only with making state investment friendly but also the manner in which state government hobnobs with and obsequiously caters to major industrial houses thus allowing them to grab pristine natural resource while undermining local economy and livelihood of the poor. Moreover, these policy reforms do not look at the sustainability aspect of investment and development (Kohli, 2007). In the Mineral and industrial policy, the thrust of policy reforms is on development and regulation of mineral exploration. However, due to an absence of regulatory and enforcement framework, these reforms have had a devastating impact on forests with an increasing numbers of companies involved in mineral exploration. With an increase in competition in the mining sector and in their efforts at cutting corners, the mining companies have often violated environment and forest norms by dumping their overburden in forested areas outside their lease area, or by abandoning mines after completion of mining without filling it up etc. Fly ashes and acid mine water has polluted rivers, ground water and alarmingly reduced the productivity of the farmland. State agencies like the Indian Bureau of Mines (IBM) and Mines directorate along with the Pollution control boards have miserably failed in the protection of the environment in the mining area due to weak regulatory mechanism. Despite all the dilution of the environment and forest clearance procedures, they are still considered an obstacle for the industrialization process. The strong nexus of corporate, policy maker and bureaucrat have developed strategies to counter even these watered down expectations. There is an increasing tendency where large projects are projected as different small projects with limited impact on environment, forest and local economy in order to get environmental and forest clearance easily. Environment clearances awarded to POSCO for its steel plant and captive port at Jagatsingpur and to Vedanta (revoked recently) for its aluminum refinery in Lanjigarh are examples of the shrewd nexus between the Political and corporate interests (Kohli, 2007). Both are large project with different component and the companies in both cases found it extremely difficult to get environmental clearance for whole project due to stiff resistance at the local level. So these companies, with the active support and collusion of the government and bureaucracy, applied for clearance for every project-component separately. This helped them in saving investment to mitigate impact and also provided the ground for getting clearance for remaining component by showing later that each component was essential for the project (as what Vedanta told in Supreme Court in its justification for 83 Referred State Industrial Policy and Mineral Policy. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 163 the bauxite lease in Lanjigarh, after getting a clearance for its refinery from MoEF). Same is the case with POSCO, which got a clearance for its Steel plant and Captive Port and is now asking the MoEF to grant clearance for mining in Khandadhar. What is most disturbing is the brazen feigning of a complete lack of knowledge/ insight by the MoEF, about the fact that each component is interlinked (which incidentally is a matter of public knowledge). Separate expert committees appraise each of the components and the cumulative impacts of the project are never assessed. People’s support groups from Delhi, Chennai and Bhubaneswar repeatedly pointed out this issue to the MoEF. But there was no response by the MoEF. Further, in both cases, concerns raised by local people were never considered before granting clearance to these companies. In the case study under consideration, notices for land acquisition by the district administration were served to the local affected people as early as November 2005. This was done without the necessary processes of environmental and forest clearances. Since there is huge protest and blocking of government and POSCO officials by local agitators, no ground surveys have been carried out so far. Similarly in Jagatsingpur, the access to the area has been blocked off since Novermber, 2005.It is a wonder how M N Dastur and Company (P) Ltd from Kolkatta did the mandatory Environment Impact Assessment (EIA) (Asher, Kohli, 2007). The report is dated January 2006. It was this EIA, which formed the basis of granting the environment clearance to the project. At the same time, the company and the state government have announced several incentives and schemes for alternative land, cash compensation, and rehabilitation (according to government officials as well as press reports). POSCO has also announced that the Tata Institute of Social Sciences (TISS) has been engaged to carry out a Social Impact Assessment and help in formulation of a rehabilitation package for the communities. However, even the TISS researchers were not allowed to enter the area by those opposing the project. Moreover, POSCO landed in legal tussle with Kudremukh Iron Ore Company Ltd (KIOCL) for mining lease in Khandadhar hills (TOI, 2007). KIOCL has claimed that Khandadhar was an area originally allotted to them for the purpose of mining, following the closure of their operations in Karnataka. KIOCL is a central government undertaking. After a writ petition filed by KIOCL in Orissa High Court for staying grant of Khandadhar iron deposit to POSCO, MoEF took a u-turn on it earlier stand. The company challenged that about 54 sq km of the total committed area of KIOCL overlapped with the mines given to POSCO. KIOCL had entered into an agreement with the Orissa government way back in 2003. The High Court has quashed the petition, and has asked the Centre to decide on the matter within three years. MoEF has asked the state government to allow case hearing for the remaining applicants while give its logical reasoning for rejecting 49 applicants. MoEF has also asked the state government to clear all procedural details before it arrive on any decision to grant lease to POSCO at Khandadhar hill. This was surely a blow to POSCO’s ambition. But more than POSCO, it is a blow to the state governments’ image and surely for some time this had halted FDI influx to the state. This overture of MoEF is guided by political obligation. The ruling UPA at the centre is political opponent to the ruling NDA at the state. This legal tangle gives UPA a chance to embarrass the state government and take a political mileage of the issue. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 164 There has been opposition at the plant and mining site from the beginning of 2005. Initially the reaction was divided, but soon a consciousness of the possibility of the of danger of losing lands & resources in return for nothing percolated down the communities. POSCO Pratirodh Sangarsh Samiti at Jagatsingpur and Khandadhar Suraksha Samiti at Bonai have been formed to lead the struggle against POSCO84. At Jagatsinhgpur, protest was more pronounced with picketing of the POSCO local office, rallies and demonstrations and blocking off the area to all government and POSCO officials by setting up check posts. At Bonai, protest took a more political color with the involvement of BJD alliance partner BJP’s local MP Mr. Jual Oram and opposition parties like Congress and CPM. Here also, demonstration, rallies and dharanas regularly took place along with picketing of local POSCO offices and violent attack on POSCO officials. There is another important dimension coming up in the present case study i.e. Corporate rivalry85. Corporates are using the political system in the state to settle score against each other opportunistically. TATA, India’s “indigenous Economic pride” faces an unenviable task in their economic expansion interest in the state. Earlier it already failed in its Gopalpur adventure; and once again it is facing disruption to its sweatshop expansion plans at Kalinganagar. Tribals in both cases are up against TATA on land acquisition and wanted TATA to withdraw from the project. In the last case, it is felt in some quarters that SEZ status to TATA in Kalinganagar may cause major problem to the business interest of POSCO whose proposed Steel plant at Jagatsinghpur is too close to TATA site. It is assumed that POSCO financed Kalinganagar upsurge and also motivated state government to go slow in resolving conflict in Kalinganagar. This thesis assumes importance with the fact that Since February 2nd, 2006, the state government has not made any serious attempts towards resolving the conflict while on the other hand it provided all the necessary help including heavy Police bandobast for smooth public hearing in Kujang at POSCO steel Plant site. Due to the so-called “apathy” of the State Government, TATA withdraw itself from the project. There are many facts, which establish POSCO’s interference. POSCO’s proposed SEZ which covers its captive mining to its port site at Paradeep would in fact overlap with TATA’s SEZ at Kalinganagar. But the big question arises as to why a state Government that wants to increase private investment in its state will corner a corporate giant like TATA on advice of foreign company like POSCO? The answer also lies in economic terms. The quantum of investment, that POSCO is planning to do in state is much large than what the TATAs were planning to invest. Moreover, an MNC giant like POSCO s in Orissa is also an advantage for the State’s profile as it creates and image of being investor friendly state that is capable of attracting the largest “Foreign” Direct Investment in India. This will immensely help the state in getting future large FDI. In addition, Inter-state politics also play its part. TATA has business interest in many states. So its investment is not seen as being exclusive for Orissa. 84 Score articles published in Print media both National and local highlighting opposition of POSCO at ground level. 85 Based on discussion with local leaders and Members from VSS Mandal, Bonai, th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 165 Now the TATAs, having been wounded by POSCO has responded in the same manner after seeing POSCO in troublesome water at Khandadhar. The TATAs have its own business interest in Khandadhar as this is Asia’s largest iron ore reserve (Pati, 2007). TATA has its own Steel Plant near this site, which is one of oldest steel plant in the country. It also wanted to expand its own steel plant in response to competition it is facing domestically by large steel giants like Arcelor-Mittal and POSCO along with host of other small companies like Bhusan Steels. TATA was eyeing this reserve for a long period but somehow had not managed to convince the State’s masters to get this reserve. Now in the local upheaval and protest against POSCO in Khandadhar, it found its own opportunity to capture this resource. TATA knows that it not going to convince the state government against POSCO due to the above-mentioned reason and it is disgruntled towards the State Government. It is rumored that it has started financing people who are on the other side of fence in this issue. Many Politically opportunistic groups have jump into this fray to settle their own score with the state government. Though being in coalition government and also on same side of “ideological fence”, they are not profiteering through this investment-friendly adventure. The whole political protest to POSCO is driven by a nexus of political opportunism and economic interest. As the ruling BJD is favoring POSCO and taking all possible efforts to hand over this mineral deposit to POSCO, other giant Indian MNCs have started exerting political pressure by supporting anti-POSCO political movement in the state. However, the real issue in this case i.e. loss of pristine forest and resources, its biodiversity and loss of local resource based economy is getting buried underneath this political juggernaut. All three premier political parties Congress, BJP and CPM are involved in Anti-POSCO protest but none of them has any real solution to this problem. In fact they do not know exactly what the real cause of this issue is. Further, they all are at the same side of fence at different plane and location. Through their own state governments in other states, they are proposing and in fact hobnobbing with corporate for similar kind of development. They are protesting here because they see some definite political advantage from this issue, which helps them in future, election. However, it is definite, when they come to power they will do the same as what the current state government is doing, with may be the name of company changing here and there. The POSCO issue is an excellent example of shrewd political-corporate nexus. There is also third dynamic to this corporate rivalry. The case study area has large number of smallscale Sponge Iron Plant. There are around 48 such plants in the whole district of Sundergarh and if the neighboring district of Keonjhar is taken into account, the number goes up to 60. These large numbers of plants draw their raw material i.e. iron ore from small miners. They know clearly that if large business giant like POSCO or even TATA comes there, they will eat up their own raw material and they do not have anything over which they can prosper their own sweatshops. So, they have also started sponsoring different kinds of politically opportunistic groups that claim to be “ideologically different” from the present state government and other opposing political groups (though in their own state government in neighboring state, they are on the same side of fence where present State Government is in). th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 166 In whole of the protest, no one is interested in protecting the natural forest and biodiversity. Neither does anybody care to fight for the innocent Paudi Bhuayn nor for their pirh and their deity. If Indian business houses are clear in their intention of grabbing the huge mineral deposits, political agitators are clear in bettering their political fortunes by embarrassing the government. However, in the process of supporting and protesting POSCO, the issue or rather concern over which whole of the conflict revolves i.e. protecting waterfall and its pristine forest is lost. The relationship of underlying root causes to direct causes A Large part of Orissa like most other parts of India were till recently covered with thick forests. This region is probably best known for its natural forest, biological diversity and innumerable tribal cultures showcasing a vibrant human-forest interrelationship. These innumerable, small, vibrant, diverse and extremely sustainable forest cultures are surviving and flourishing even today in the areas where the forests still exist. Orissa, as in other parts of country, witnessed a silent but massive “people’s movements” where communities have voluntarily come together for the purpose of conservation or in response to environment and ecological crises. But in the area where forests are diminishing, along with forest, the very culture which has sustained the forest for long time is under threat from various quarters. Forest degradation is not technical issue and it is not happening due to non-scientific forest management. Forests are not disappearing because people and their governments are ignorant or because there are no proper management plans. Forests are disappearing because a number of interlinked global political economic factors are purposefully allowing it to happen. In the present context, the most important driving factor for forest degradation in Orissa is an aggressive and unsustainable economic development and policy reforms, influenced by globalization and free trade regime. Though, deforestation started well before independence in colonial era through reservation of forest and a policy regime tending towards revenue maximization, the thrust of deforestation exceeded after commencement of neo-liberal economy which accelerated the rate of deforestation at an alarming level. The growth and expansion of mines and mineral based industry in Orissa pose the biggest threat to the forests and is the single most important factor contributing towards forest denudation in the state. Government figure itself justifies this argument. In the last five to seven years, more than 600 mining leases for iron, bauxite, coal and other non-ferrous metal ore -which diverted nearly one Lakh hectare of forested land, were given. As we all know, in Orissa, Forest and mineral maps coincide. This just gives us a glimpse of mining impact over forest whether it is a classified area or not. However, there is a deep-rooted political economy behind this aggressive and unsustainable economic development, which is beyond the national boundary of India. This root cause of the whole process of forest denudation lies in the processes of globalization and free trade regime which started after World War II when world economy was ravaged. The process of globalization started in 1947 with Breton Woods Conference on GATT which though it failed, set the tone for future road map with formation of IMF and World Bank. The epitome of this conference was to reconstruct ravaged th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 167 economy and ensure employment for people through increased free trade. The whole process of globalization for setting new global economic system culminated in WTO after a series of failed negotiation on GATT. But the Uruguay conference in 1986 was the first step in setting the foundation stone and give roadmap for the setting up of WTO, leading to globalization as we understand today. The emergence of a new global economic system in the form of WTO has changed the very contour of political governance across the globe and brought in diabolic changes in global politics. Before globalization, political powers were seen critical for any policy change in regard to economic reforms. Now, with the emergence of global processes, institutions like the WTO, IMF, World Bank and TRIPP get stronger and are even dictating and directing political leaderships in the developing countries. These institutions are virtually deciding the contours of the economic policy that has to be adopted in order to serve a particular economic interest. Even before the emergence of global processes, economic powers at the national level had been influencing the policies and political of the nation-state from behind the scene. These forces have come to the fore and have sidelined the “political power” by taking over the decision-making authority on the economic politic. The nationstate agencies are being forced to act as a corolla of such institutions in economic matters. For example, it is the IMF and World Bank, which gets to decide on the type of decentralization initiative that shall be taken, which sector shall be prioritized and what the EXIM policy should be. No individual nation, which has signed the GATT agreements, can henceforth decide its economic policies unilaterally. It has to go through the WTO and suit the global economy. The New Global Economic System has overtaken the existing “political system”. Since these nations are dependent on global aids critical for their economic progression, these directions have culminated in policy reforms toward free trade regime. In the last decade or so, India has seen a spate of economic policy reforms to deregulate its trade regime. Modifications in the industrial, mineral and EXIM policies are a result of the same. Under the influence of economic system, tariff barriers are lowered down and in some cases even removed to increase the import of finished products. Export duties are also lowered down to improve export. Privatization of mineral based industries and opening of mines for private investor in 1994 was also taken under the growing influence of economic system. But the biggest policy reform in regard to forest is formulation of mineral policy and amendment in MMDR act in 1994. This policy reforms brought about a deregulation of the mining sector by allowing privatization and investment up to 50 per cent by foreign companies’. In December 1999, further amendments made into MMDR act and the cap of FDI was raised to 100 per cent in February 2000. The new industrial policy opened up mine-based industries for private investment by (a) removing it from the list of industries reserved for public sector and (b) exempting it from compulsory licensing. This was done because this was the sector which was essentially dominated by the public sector companies and has in the past decade become the potential moneybag-source for companies ranging from the domestic giants like Tata, Jindal and Birla to global companies like Mittal, POSCO, Vedanta, BHP Billiton, Rio Tinto, et al. Hence, the stakes of the market are higher. Now, further amendments in the act and new mineral policy is on floor with provision to ensure that investment in the mining sector gets a boost by deregulation of procedures of environment and forest clearances. These clearances have been seen as "hurdles" for quick implementation of mining projects in the past 10 years. Another important trend th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 168 post-amendment in the Mining Act and Policy has been the widespread growth of iron ore exports, especially by small-scale exporters. During the last three decades, cumulative exports of iron ore from India were over one billion tones (of mostly high grade ore) for a total earning of perhaps 30 billion dollars. Now, economic reforms enter into the realm of political influence. During the fag end of the last centaury, economic liberalization has become a political issue with a boom in service sector and an increase consumerist attitude of the urban- middle class. No political parties want to be seen as adversaries of economic reforms. Though there are minor differences on the procedure and provisions in certain policies, there is clear agreement among all major political groupings that these economic policies and developments must go on. Earlier on the left political grouping showed their resentment over such economic reforms and even stalled certain policies and legislation but now they have also put themselves in the same bandwagon of ultra rights and capitalist groupings. This shows the shear influence of economic system in the country where no political parties- even those who claims to be with poors, like to see themselves as adversaries of economic reforms. The global economic process also feed into a consumerist pattern that is linked to food security for poor populace. But it should be understood that it is seldom the production of food for the poor which causes deforestation, as the largest areas of forests converted to other uses in Orissa are currently being dedicated to the production of cash crops like coffee, cashew, pulpwood (eucalyptus, Acacia) and Bio-diesel (Jatropa). These products are in most cases almost exclusively produced for export in developing countries. All state governments are now subsidizing cultivation of these products with different aides. Formal forestry programmes initiated by government also include plantation of such species as mandatory component and being imposed upon community through their institutions like VSSs. But the question here is who need these products? Definitely these are not required by the forest community or those people who depends on forest. Neither is it beneficial for bio-diversity and animal habitat. So why is such cultivation? Arguments such as this will provide food security is given by elite political class. But the fact that these products neither provide food to poor nor helps them in getting good income as these require subsidies in production as well it’s marketing. On the other hand, there is serious repercussion of such cash crop cultivation on forest with decreasing soil fertility (Jatropha), loss of Bio-diversity (Eucalyptus, Acacia), destruction of wild habitat (Coffee and Cashew). In fact, production of such cash crop supports consumption patterns of urban-elite class domestically and internationally. Export of raw material and import of finished products are carried out to support the consumerist attitude of urban-elite class at the cost of food security and sustenance of poor population in the country. There is shrewd political thinking behind such practices. The Indian urban elite are often considered as the opinion makers who set the political agenda for election. For the urban-elite, availability of consumer items is more necessary than forest and bio-diversity. The increasing importance and availability of sophisticated items in the market easily influences the life style choices of the urban elite. For them, the process of globalization is a recipe for their every problem. For them, the process of globalization must go on, though million hectare of forest may be th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 169 lost forever, lakhs of wild life/species become extinct and thousands of poor get displaced. Since it is fast becoming a strong political agenda for future governance for urban-elite, no political grouping irrespective of their ideology is ready to oppose or rather make any attempt to discard this form of development. However, in this process no thought is given to understand implication of such unsustainable and high growth economic model on the natural resources and poor people. Forest have been razed, rivers are contaminated, lands becomes barren, habitat of animals destroyed but no political parties raises these issues because there is hegemonic consensus amongst the middle classes that the country needs to develop at a 9 % growth rate as this will create job-opportunity for urbanelite (with the exception of the CPM). Deforestation and displacement of poor tribal are justified on the account of few to sacrifice for larger benefit of the society and nation. A different kind of politics is being played around these developments and one which is indirectly influenced by corporate sector. When the concerns of locals related to displacement and resources degradation are raised, these concerns are not taken in right earnest. In fact people who raise concerns of locals are often termed as naxalites and dealt with all legitimate and illegitimate tools to keep them quite. Any rightful and democratic way to raise concerns of poor and affected people is considered anti-national and anti-development activities. There are several instances where people are booked under forged criminal cases and legally oppressed so that democratic voices against such development and economic activities are never raised. There are many such examples in Orissa where democratic voices of the marginalized and affected people are brutally suppressed through beating up of locals by company goons with active support of police (Bhusan Steel), threatening legal cases (POSCO steel plant) and arresting main activist on forged criminal cases (Utkala Alumina). In case of Khandadhar mining, people who are opposing mining lease to POSCO are threatened with these same tools and termed as naxalites. The organization like VSS Mandal is facing such threats and that is why they are not coming out openly on this issue. These political and administrative oppressive actions under the influence of economic powers to undermine democratic and genuine community voice are also causing negative repercussions for conservation of forest. The communities who are genuinely protecting local forest and maintaining bio-diversity do not feel it is worthwhile anymore to protect the same. Moreover the village-communities feel that there is no need to protect forest for future because one day it will anyways be snatched from them and handed over to rich company. .The politicization of POSCO deal in Khandadhar has pushed the genuine democratic voices against such development paradigm in backburner. Plight of Paudi Bhuyans (indigenous tribe) and issue of deforestation has now taken backseat. Demand of political protest is more on compensation to lost land and setting up of steel plant in this area rather than in Kujang. Further political protest also gives color to nationality and patriotism by giving call to state government for giving mining lease only to any indigenous company as they are more concerned about culture and tradition of country and will take care of Divine Khandadhar. This shows clear linkage of corporate funding to such protest and definite relationship between TATA & other small sponge iron plant with one or other political grouping involved in Protest. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 170 The whole deliberation under this section is an attempt to show how different economic and political factors are influencing each other and creating the ground for resource degradation. These factors are global and domestic in nature and both political and economical. Summary The POSCO case in Khandadhar is a classic example of the unsustainable economic development that is being promoted by the strong nexus of Government, global funding agencies, corporate house and bureaucrats which is creating a strong negative impact on natural resources and local livelihood. In doing so they are squeezing democratic space of protest. The POSCO case social, ecological, environmental and most importantly political implication on the state and the nation. Gifted with abundant natural resources like Forests and Minerals, in recent years Orissa has become the hot spot for Steel and Alumina producing companies worldwide. The growing demand for steel in the international market has instigated steel manufacturing giants world over to join the mad rush into the most fortunate but poor state of India. In such a scenario, Orissa Government is highly excited with the prospect of receiving highest ever FDI in the state by global giant POSCO. POSCO mining in Khandadhar is potentially damaging the ecology, economy and culture of the region which has prevailed here for centuries. One of the biggest impacts POSCO mining will create is razzing off huge forest covers in two district- Sundergarh and Keonjhar. Dense forest covers in 6204 ha area surrounding Khandadhar forest will be forever lost due this mining operation. This huge deforestation will lead to habitat fragmentation of mega Fauna like elephant and tiger in the region. This forest is a part of the famous Saranda – bamara elephant corridor along with being a home of many endangered mega fauna like the Royal Bengal Tiger, Hyena and Black Buck. Already their numbers are decreasing all over the world. Now if one of the few habitats like Khandadhar forest is also destroyed, these animals will be extinct in the near future. Further, the Khandadhar forest is a source of numerous perennial streams which will be dried up once mining operation started on Mt. Chheliatoka (origin point of fall). If these streams are dried up, it will completely destroy the existing local economy of the region. Agriculture will be hugely affected with practically no water available for irrigation for farming in 20 villages surrounding Khandadhar forest. Moreover, due to drying up of stream bed and swift runoff due to deforestation, rate of ground water recharge would be lesser. This will result in depletion of ground water table causing major water scarcity in around 60 villages of the region. This area is already facing the scarcity of water due to decreasing recharge rate; it will soon become water catastrophe in the region if POSCO started its mining activity. While the state government is hoping to cash in on the demand of iron ore in the state, for local people including primitive tribals mining in the region this spells doom. They are haunted with spectra of loosing their home and avenue of livelihood to the hands of global giant POSCO. It is expected that around 30,000 people of 29 villages in two Block- Lunipada and Bonai will be directly displaced by the Mining operation. Already people in this region are fleeing the area in search of th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 171 alternate livelihood to the other parts in and outside Orissa. Moreover, POSCO mining will have devastating impact on indigenous people like Paudi Bhuyans. The Khandadhar forest is part of the Bhuyan Pirh (traditional homeland) of Puadi Bhuyans. If the forest is razed off, it will immensely affect culture and tradition of this tribe whose very survival critically depends on the existence of these forests. They are already under the verge of extinction with a population of only 3919 due to habitat fragmentation and existing rate of deforestation. If last few of their habitats are also destroyed in the process of mining iron ore, one of the important links of human civilization will be lost out forever. Further, this mining operation also has cultural implication. This forest is the abode of cultural deity of Paudi Bhuyans and cherished goddess of the region, “Maa Kanteshwari Devi”. If POSCO gets its way, then, Deity will be buried underneath the heavy heap of Iron dust, which will be a cultural calamity for the whole of the community and Paudi Bhuyans in particular. Moreover, this mining activity will fasten already degraded environment in the region. Ambient air quality of the region is already polluted with heavy presence of Particulate matter and oxides of sulphur and nitrogen released by scores of Sponge Iron Plants and mining activities. Already, heaps of particulate dust is visible in farm lands of Barsuan, Rajamunda and other area of Lunipada. So if POSCO starts mining in 6204 ha area, it will not only add but heighten the level of air contamination which would have severe health implication to the residents. Many streams are getting polluted with the discharge of acid mine drainage and dumping of over burden in or near the stream. Dumping of iron ore overburden by OMC in Kankaragarh has already polluted Uskala stream with a high content of iron which turns the color of water into red. Similar situation exists with other streams in this region. Thus if the initiation of POSCO mining in the region will hasten pollution level in all streams due to it huge area and consequently heavy production of overburden & acid mine drainage in or around these streams. . It is projected that in the long run, rainfall would be reduced to half of its existing level in four sub-divisions of Orissa and Jharkhand. The reason of such impact would be large scale deforestation in khnadadhar forests leading to a change in wind movement and moisture condensation process. The enactment of industrial and mineral policies and amendment in MMDR Act clearly favor exploitation of natural resource by corporate house. Heavy incentive for corporate house and lack of genuine democratic space for local people cause immense damage for natural resources in Orissa in last few years. Around 78 MoUs are signed with various global and Indian corporate houses and 605 mining leases are given in last five to seven years which are mostly in forested and tribal hinter land. Apart from industrialization, modern intensive agriculture and irrigation projects, mostly state sponsored have impacted forests in the state. According to the Government data, 7726.5 ha of forest lands are diverted for 61 major and minor irrigation projects in the state (Frontline, 2007). Construction of Major irrigation projects like Hirakund, Rengali and Upper Indravati dam had created a huge and irreversible damage to the local forest which comprises of rare and endangered species that are lost forever. Apart from the main reservoir, there are many intermediary & small reservoir and distribution canals which take the toll of forest land. In addition, state sponsored cash crop cultivation like cashew, coffee; Jatropha has also caused irreversible damage to the forests which goes largely unnoticed. The cultivation of water & nutrient intensive cash crop has irreparably damaged forest with loss of biodiversity, loss of soil fertility and habitat destruction. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 172 JFM also played its role in accelerating the pace of forest degradation in the state by squeezing space for democratic voices in forest governance. Orissa has widespread presence of community initiative in forest protection, popularly known as CFM. JFM is looked upon as a scheme not as an approach with reduced access in decision making process and lack of accountability with regard to forest cause community to withdraw from the process and turns it from owner to mere beneficiary. This was done by the state government to give leverages to neo-user and non-user of forest so that grabbing of pristine resources can be easily done. So if one critically analyzes history of deforestation in the state, JFM would be seen as a tool to push aggressive economic agenda of state by squeezing democratic space of community. Many case studies would suggest that JFM actually destroyed the forest rather than conserving it. Further, in recent years, external funds were sought for forestry sector development. National Afforestation Programme through FDA regime and OFSDP through JBIC loan are initiated to support process of JFM in forest conservation. But, experience of NAP suggests that rather than conservation, it destroyed the forest through killing voluntarism of community and making them dependent over external resources. Thousands of villages were ably protecting and managing their forest, ensuring biodiversity and local livelihood intact. As soon as external funds enter the village, voluntarism of village stopped. Through the PESA act, 1996 and Orissa Gram Panchayat (management of minor forest produce) rule, 2001 steps were taken towards decentralization of forest governance in Orissa but due to the absence of any institutional mechanism in the form of devolution of power to local governance body, these legislations failed to create any real impact on the ground. Rights over management of forest are given to panchayats but since procedure of enforcing these rights are still undefined it does not help communities in their efforts of forest and habitat conservation. On the other hand these legislation help neo-user and no-user of forest to take control and push genuine democratic voice of real users. Moreover, conservation policies and acts like FCA and WPA fail to protect forest and habitat from industrial onslaught. Provision of forest clearance for non-forestry purpose in this legislation has given leverages to industrial houses for grabbing pristine forest resources in Orissa. But on the other hand these legislations cause immense difficulty for local people to get their genuine livelihood rights in the forest. Such scenario of differential treatment of interest causes upheaval among community while heightening conflicts and contestations leading that eventually threaten and lead to more destruction of the forests in the state. Forest crisis in the state has deepened in the last few years due to aggressive promotion of unsustainable and growth oriented development paradigms. Policy amendments as in the Mineral Policy and Industrial policy have been carried out to give a clear leverage to the corporate house. In the present case study, the role played by Bureaucrats, particularly from MoEF in granting forest and environment clearance is also highly questionable. Despite envisaging huge impact over local ecology and economy which is irreversible in nature, MoEF granted clearance to POSCO on grounds which are still unclear. Though, all three components are an integral part of the project, MoEF accepted argument of POSCO that all are separate component and gave clearance to Steel Plant and th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 173 Captive port. However, MoEF and POSCO both know that Steel Plant and Captive Port cannot function if Khandadhar mining is not cleared. So after, getting clearance for these two component, Company will seek clearance of mines on the very ground of functioning Steel Plant and Captive port. Political grouping who are opposing mining project by POSCO in Khandadhar have their political ambitions to do so. Their protest is not driven by ideological perspective nor is driven by real issues of deforestation and loss of habitat. This whole protest is driven with an object to get political mileage of the issue on order to improve electoral prescription for next election. Amidst of these all political protest and Government support, the real issues of habitat fragmentation of mega fauna and loss of home land of Paudi bhuyan along with large scale deforestation is lost somewhere and the genuine voice of local people and their grievances is marginalized. Recommendations for change The Way Ahead Forest in the state is not degrading due to lack of knowledge on scientific management of forest. The cause of forest degradation is more of politico-economic nature caused by neo-liberal policy reforms and changed political governance system. Therefore, solution or rather regeneration forests lies there. There is need for a change in perspective at both a national and state toward forest. Forest should not be looked as neutral resource where any type of politics can take place. Rather it is consider as cultural entity where different type of processes like emotional, political, economical, cultural and ecological process can interact with each other. Further, forest should be treated as functional entity which can support local economy along with process of national progression. Therefore, there is need to include democratic process into overall governance of forest with greater autonomy to the community who are dependent over forest for their lives and livelihood; and ensuring horizontal accountability in governance process. Hence, there is need for holistic policy reforms directed toward more sustainable development and democratic governance. Further, in country like India, the major problem lies with an improper implementation of policy or legislation. Whether it is PESA or FCA or EPA, legislations are never implemented in a proper manner. The problem of improper implementation lies on various account like lack of devolution of power to insufficient decentralization to lack of regulatory set up. But the most important is attitude and approach which didn’t change with time. There are some recommendations based on the finding of present case study which is given below. These recommendations are directed at various levels. Actions that can be taken at the Central government level Replacing existing Mineral Policy: There is need to bring in a new mineral policy to replace existing policy of 1994.It should be environment friendly and pro-people. Policy should be designed to bring benefits to local people; to mitigate impacts on th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 174 environment; to e ensure water security, regulatory institutions have to be strengthened to assess damage; to enforce emission standards and rules and to build compliance. The assessment of impact and enumeration of trees should be vested in local governance institution like Gram Sabha. Mitigation of impact should be borne by project proponent i.e. company and it should be implemented with clear guidance from the Gram Sabha while keeping local ecosystem and bio-diversity of the region. In mind. Policy should also replace provision of royalty with actual cost of mined ore; excluding operational cost of company. This will exclude non-serious players who are present in sector only for money-making purpose The Policy should also put ban on export of mineral ore outside the country. Mined ores should be used and consumed only inside the country to produce finished product. This will also help in generating more employment in the country. The policy should put a cap on providing subsidies to the company for the project by Government. If company wants to do business, it should be made to invest in developing its own infrastructure and should not put pressure on existing public service like electricity and water supply. Further, if such facilities are required to be constructed then the cost should also be included in the original project. • Replacing existing EIA notification: The Present EIA notification should be replaced with new one. More specifically, the EIA notification should include public hearing, as a mandatory provision for all industrial and commercial activities including cash crop cultivation. Even renewal of lease and expansion of projects should have public hearing. Public hearing should be made a base for any clearance. The public hearing should not be limited to issues arising out of impact assessment but with all issues related to project and its sustainability. Environmental audit of the project should be made statutory for all commercial projects covering forest areas. Such environment audit should be done in close coordination and participation of local community. Any noncompliance of environment management plan should be subjected to withdrawal of project approval at any point of time. Impact assessment should not be done by any agency hired by Project proponent. Authority for impact assessment should be given to the Gram Sabha of the affected village/s (which can be constituted as a local body for assessment of impact on trees and other resources including water and land along with social & cultural impact of the project). Technical expertise should be hired by the Gram Sabha only and all decision related to mode, period and cost of assessment should be taken by Gram Sabha and project proponent should be made to abide its ruling. Clearance subject to any commercial project having private benefit should deal with all its components th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 175 Project components should not be de-linked and shown as separate projects as in the case of the POSCO and VEDANTA project in Langigarh. Even if projects components are remotely linked with each should be dealt as part of original project though their spatial location varied. • Amendment in Land Acquisition Act, 1894: The Governments should stop working as a broker for the project companies. There is need to amend Land Acquisition Act, 1894 to facilitate this process of change. If any company wants to business in any area, then they should approach people there and make a deal with them. There is no place for government to act for companies and acquire land for them. Land shall be acquired from land owners want to sell their land voluntarily and mutually agreed price. No imposition should be made through government. Moreover, if there is some project which has its social benefit, Gram Sabha should be authorized to make decisions in this regard and in such case, Gram Sabha should be made partner of such project with share holding. Land Acquisition Act should be mandatorily linked with relief and rehabilitation policy. Even if the Gram Sabha decides in favor of any commercial project and accepted need for reallocation, land acquisition process should not be initiated till all procedure and operations related to reallocation and rehabilitation is completed. • Framing of rule for PESA act, 1996: Tribal have a unique culture which survives through their close affiliation with forest. Therefore, community’s property rights should be well demarcated. Legislation for such process is already laid down in form of PESA Act, 1996. Now, Central Government should frame rules for the PESA act, 1996 with provisions for empowering Gram Sabha in scheduled areas to take decision on management of common property resource including village forest. Gram Sabha should be the approval authority for any commercial activity having larger implication on its jurisdiction. Without free and fair approval by the Gram Sabha, the state or central Government should not approve the commencement of any industry or commercial set up in such areas. • Framing Rule for Section 28 of Indian Forest Act, 1927: Section 28 of Indian Forest Act, 1927 deals with provision of Village forest on any class of forest. However, there is no rule framed for that. Hence the Central Government should immediately frame rule for village forest guarantied by Indian Forest Act, 1927. The rules should be made with the objective of giving power to Gram Sabhas for taking decisions subject to management and conservation of village forest. This should also include power to decide need and mode of any external intervention in the village forest. • Process of Public Hearing: Public hearing should be held mandatory at the public place of village/s getting affected by such project. Responsibility of such public hearing should be given to Gram Sabha/Palli Sabha, but not to the State authority like SPCB. Procedure of public hearing should be free, fair and inclusive without any prejudice. Moreover all issues pertaining to project and its impact over local condition should be made subject of discussion. Public hearing should be a place where all stakeholders whether directly or indirectly, be involved irrespective of their political affiliation and spatial location. Role of the gram sabha is critical in such condition where it has to play a proactive role to in order to involve even remotely affected people in process of public hearing and enlist their objections and demands to the project, if any. Moreover, objections raised in the public hearing should be considered as being utmost important and all planning regarding the project ( and risk mitigation) th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 176 should be revolve around objections raised in the public hearing. In the future, environmental audits and objection raised in public hearing should be given importance while assessing Project compliance. • Impact assessment Responsibility for assessment of the impact should be given to gram sabha. The Gram Sabha, pertaining to the nature of the project can be locally constituted of an impact assessment body having members from affected villages and project proponent. If needed, technical expertise can be sought from the government or any independent institutions. Cost of impact assessment can be recovered through an adequate fee that can be charged by the Gram Sabha to the project proponent. • Clearance and Approval authority for project: The MoEF should be replaced as approval authority and authority for environment & forest clearance. Clearance and approval authority should be given to specific bodies having members from varied sector like ecology, industry, mineralogy, geology, chemical science, meteorology and public health. The body should have a fixed term with non-renewable or extension membership. No person having political affiliation or government official should be made members to such body. Proceeding of public hearing and impact assessment done by Gram Sabha should be the criteria for clearance and approval of Project. No “in-principle clearance” without a proper public hearing and impact assessment should be given to any project proponent. Even prospecting licensing should be given only after consent of Gram Sabha. • Benefit Sharing Mechanism under Commercial projects: The manner in which benefits are shared is another important dimension. There are clear advantages to supply benefits through public goods that leave durable development outcomes and promote economic independence. The ultimate goal of any benefit sharing agreement is to transform the community from being a beneficiary to becoming a reliable partner. Community should be involved in implementation of activities for mitigating social and environmental impact. The involvement should not be amounted to their involvement as but as institution for decision making on such implementation. Benefit accrued from any commercial activities should be ably distributed in creating social and economic assets which would ensure sustainability of development in the region and income generation even if project is completed or withdrawn. • Strengthening Regulatory Framework: The cornerstone of the reform to enable environment compliance of commercial project is strengthening the regulatory regime. The Government should take on a role of regulator and non-operator with primary responsibility of creating institutions to ensure comprehensive social and environmental protections and risk management measures and creation of benefit sharing mechanisms, which address externalities of production and are used to ensure that minerals are converted into productive assets that catalyze broader development along with a level playing field, thus ensuring the same treatment for private and State owned investors and guaranteeing a fiscal regime that is competitive, predictable, stable, transparent and well administered. Moreover, there is a need to improve the capacity of institutions like MoEF and IBM in order to enhance their regulatory function. To mitigate social and environmental impact which often leads to conflicts and contestation, there is a need of transparent and accountable implementation of Impact assessment and th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 177 Environment Management plan by regulatory authorities like MoEF and IBM. For such a purpose, these institutions should be empowered, strengthened and freed from political interference. Now it is high time that these institutions should be moved out from political clutches and be made independent with appointment of sectoral expert having horizontal accountability. This will reduce politicization of clearance, and that the approval of commercial project shall be on merit. Actions that the State government can take • Replacing existing Industrial Policy: The existing industrial policy is heavily inclined in the favor of corporate interests and ignoring the interest of the state and its people. There are certain provisions in the policy which are against the concern of the state which should be replaced. State should not acquire land for industrial houses. State should function in a nonpartisan and non-operator mode. The state has role of regulating the sector through its monitoring and regulatory institutions. If state involves in negotiation with its people for any industrial house, it reduces the level playing field for other companies thus leading to a situation where of business interests dovetail into the realm of political maneuvering as has happened in the case of POSCO. Further it also creates an imposition on people to part from their land and resources which is again an undue favor to a company. Hence, instead of acquiring land for any company; the state should promote companies to directly negotiate with people for purchase of land at best possible price. Further, introduction of eco-tourism should also be re-looked in context of its conservation feasibility. If ecotourism is started in any given area, it should be locally demand driven where conservation of bio-diversity and fauna habitat should be the central point. Further, communities should be involved through partnership model rather than making them mere beneficiary. Cash crop cultivation should not be grossly subsidized at the cost of conventional crop cultivation. There is no long term feasibility of Jatropa, coffee and cashew cultivation on account of various environmental hazards. Further, production return also gets gradually decreases leading to low income return for farmers. In this context, cash crop should not be subsidized and aggressively promoted through industrial policy. • Replacing State Mineral Policy: Value addition and processing of all mined ore should be made a pre-requisite for any mining lease in the state. Export of mineral ore from the state should be completely banned. This will help in reducing non-serious players in the sector and also reduce impact over forest with less numbers of lands being diverted for mining operation. • Recognition of Community Forest Management (CFM): The state has strong a presence of Community Forest Management (CFM) which is getting stronger over the years. CFM should be recognized and backed with a proper legislation which ensures ownership and management rights to the community. The recognition would have a long term positive impact over conservation of forest in the state as it acts as an incentive for the community. There is already space available where these community institutions can be recognized. Effort from government is required to practically formalize such spaces. The state government should immediately amend existing Village Forest rule, 1985 to th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 178 give management and conservation rights of forest under village’s traditional jurisdiction to Palli Sabha. This would help in deepening the democracy and creates space for voice of marginalized and weaker section. This in turn will help in reducing conflict and contestation over forest and also help in creating space for community based monitoring system which would support State Forest department in monitoring violation of environmental and forest laws by Industries. Actions that can be taken at by Civil society and at the community level Though, the state has a strong presence of community based forest conservation initiatives, it lacks close coordination at community level. Moreover, forest federations also failed in effectively raising concerns of deforestation through aggressive industrial process in the state. The major problem is a lack of understanding on correlation between the macro policy changes and micro level impact over forest at community level. Here is s role that civil society organization and people organization can play to develop a synergy in this process and to develop a close coordination to create a political platform for people’s action to effectively counter forest degradation. Until, people based political process are not initiated to raise the an understanding about the consequence of forest degradation and effective political lobbying is not be done, it is difficult to counter deforestation caused by a “growth” based economic development( even if progressive legislation are in place). Another process is needed to be initiated immediately at the community level is a proper documentation of community conservation at the village level. This would helps in establishing community claims in case of diversion of forest for industrial purpose. Such documentation will help in preparing for political action by people to save their own forest toiled hard by them to regenerate. Conclusions Rapid industrialization and mindless mining in the State of Orissa is posing a serious threat to the communities in tribal heartlands of Orissa, which are also extremely resource rich. The present study is an attempt to foresee the nature, cause & extent of forest degradation and mass displacement of people that would happen if POSCO (a Korean Steel major) goes ahead with iron-ore mining in Chheliatoka hill which is also an abode for the famous Khandadhar water fall and its related impact over local ecology, economy and culture. There are a number of underlying causes for deepen forest crisis in the state in last few year but the most important and prominent among all, aggressive economic policy adopted by government to promote rapid industrialization in the state. In last few years, conflict and contestation over forest have increased due to promotion of corporate interest by modification in mineral and industrial policies. State Government signed 78 MoUs in last five years with industrial houses which are mostly in forested area. Further, 605 mining leases were granted in last five years which were mostly in forested area. This increase in the rate of industrialization is facilitated with commencement of pro-industrial mineral and industrial policies in the state and amendment in EIA notification and MMDR act, 1957. Apart from changes in policies, programmes like JFM and FDA have also played its role in degradation of forest through reduced space of community in decision making process and increased involvement of market forces through captive plantation and cash crop plantation. Moreover, after independence, state th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 179 sponsored agriculture and construction of dams accelerated forest degradation with diversion of around 8000 ha of forest land for irrigation projects. Construction of Major irrigation projects like Hirakund, Rengali and Upper Indravati dam had created huge and irreversible damage on the local forest comprised of rare and endangered species that are slowly being lost forever. Other cause of forest degradation in Orissa and Khandadhar in particular is an opportunistic political governance system. The close nexus among political leaders, corporate, global funding agencies and Bureaucrats is the real cause of deforestation. Policy amendments in of unsustainable economic growth which undermine ecology and local economy is carried out by governments under the pressure of global funding agencies like World Bank and IMF to facilitate resource grab by Global corporate giants. The state Government in particular is spreading a red carpet for corporate houses like POSCO and molding laws and policies in every possible manner in for such corporate. In such a scenario, state governments does not shows any concern for conservation of forest or protecting rights of communities. In fact, Government and bureaucrats are violating all laws and rights of communities in order to appease corporate house to make their profiteering sweatshops sweeter. The problem is not only with framing of policies but its implementation also. All norms are completely violated and no attempt is given to genuine democratic voices against such development paradigms. Voices of protest against mining have also started emerging with local people's forestry federations like VSSM Bonai taking a lead role. But after different political parties jumped into the fray, the situation has become more complex with real issue of deforestation and plight of indigenous people get backburner. Political protest of POSCO is also related with PoliticalThe cause of forest degradation in Orissa is not a technical matter. 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Zee news, 2007, News article “Locals opposing hand over of Khandadhar mines to Posco”, Mines and Communities Website, New Delhi, India; Table 1.1: List of the Streams Name Sr. No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Stream Karapani Khandadhar Kuradi Matuali Tinka Nala Jagati Nala Kueli Nagria Kuapani Patamund Uskala Sasa Melani Pandka Jhran Kilinda Nala Type of stream Major Major Major Major Major Major Major Minor Minor Minor Major Minor Minor Minor Minor Sr. No. 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Stream Type of stream Minor Minor Minor Minor Minor Minor Minor Minor Minor Minor Minor Minor Minor Minor Minor Kantar suan Kal Debata Jal Nachani Bhalu Huli Pudadihi Bagdega Phuljhar Kantakudar Kiri Nala Keta Kunu Kundla Derala San Khandadhar (Source-Discussion with local people) Table 1.2: Flora Species found in Khandadhar Forest Local Name Sal Pia sala Bija Botanical Name Shorea robusta Pterocarpus marsupium Local Name Kau Tentala Char Botanical Name Tamarind indica th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 182 Sisam Gambhari Kendu Mankada kendu Mango Panasa Tentuli Bhramaramari Teak Pedalium murex Gemlina arborea Diospyros melanoxylon Diospyros malabarica Baunsa Amla Harida Bahada Bambusa ventricosa Emblica officinalis Terminallia chebula Terminallia bellerica Mangifera indica Artocarpus heterophyllus Tamarindus indica Antiaris toxicaria Tectona grandis Karanja Bara Kadamba Asana Thebetia nerifolia Phycus bengalensis Anthocephalus kadamba Terminallia alata (Source-Discussion with local people) Table1.3- Animals, birds and Reptiles found in Khandadhar Forest Animals Asiatic Tiger Royal Bengal Tiger Elephas maximus Fox Melursus ursinus Muntiacus muntjak Black Buck Canis aureus Wild Dog Lepus nigricollis Manis crassicaudata Panthera tigris Hyaena hyaena Axis Sus scrofa Cuon alpanis Rattus rattus Hysterix indica Reptiles Python molurus Ophiophagus hannah Cobra Bungarus caeruleus Ptyas mocosus Chamaeleon zeylanicus Saptaphenei Python sp Xenocrophis piscator Daladhela Brahmani Kalinaga Bungarus fasciatus Calotes versicolor Varanus sp. Hemidactylus sp Dasphrynus melanostictus Hoplobatracus sp Naja naja Birds Pavo cristatus Gallus gallus Columba livia Pandka Acridotheres tristis Psitaculla sp Bajrakapta Jhinka Dansa Dahuka Baga Crow Marada Markala Saraswati Nectarinia zeylonica Ocyceros birostris Athene brama Phalacrocorax niger Eudynamys scolopacea (Source: Discussion with local people & Ashwini Mohanta, President, VSS Mandal, Bonai) Table 1.4- Medicinal Plants found in Khandadhar Forest Local Name Botanical Name Local Name Botanical Name th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 183 Patala Garuda Bandaria- Kanda Bhui Nimba Bhui kakharu Pitalu Jungle rasi Jungle biri Kendu pata Pania lah Rauvolfia serpentina Diospyros malabarica Andrographis paniculata Ipomoea mauritiana Dioscorea bulbifera Sessamum indicum Phaseolus sublobatus Diospyrus melanoxylon Ampelocissus latifolia Jungle Koltha Phula jhadu Bena Khajuri pal Siali pata Kuradi. Bana tulasi Ganga siuli Nageswari Atylosia scarabaeoides Thysonolina maxima Vetivera zizanoides Phonex aculis Bahunia vahlii Ceriscoides turgida Occimum canum Mesua ferrea (Source: Discussion with local people & Ashwini Mohanta, President, VSS Mandal, Bonai) Abbreviations: CFM: Community Forestry MFP: Minor Forest Produce NTFP: Non Timber Forest Produce ST: Schedule Tribe VSS: Vana Samarkhan Samiti JFM: Joint Forest Management SIDA: Swedish International development Agency NAP: National Afforestation Programme OFSDP: Orissa Forestry Sector Development Project JBIC: Japan Bank for International Collaboration POSCO: Pohang Steel Company BJP: Bharatiya Janata Party CPI-M: Communist Party of India-Marxist OMC: Orissa Mining Coorporation IMF: International monetary Fund WTO: World Trade Organisation FCA: Forest Conservation Act WPA: Wildlife Protection Act MoEF: Ministry of Environment and Forest SFD: State Forest Department SGVSY: Samanvit Gram Vanikarn Samirddhi Yojana TISS: Tata Institute of Social Sciences th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 184 PBDA: Paudi Bhuyan Development Authority KIOCL: Kudremukh Iron Ore Company Ltd IBM: Indian Bureau of Mines P.A.I.T.D.A.: Project Administrator of Integrated Tribal Development Agency GATT: General Agreement on Trade and Tariff PCCF: Principal Chief Conservator of Forest SEZ: Special Economic Zone UPA: United progressive Alliance NDA: National Democratic Alliance th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 185 Annexure III: (Participant Lists) Annexure III (a) Civil Society Representation Sl. No 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. 35. Name Prof. Radhamohan Prof. Artabandhu Mishra Abhishek Pratap Milind Wani Mr. Hiradhar Sahoo Prof Kishore C Samal Prof. Premanand Panda Dr. Aseem Shrivastava Ashish Kothari Prasant Ku. Jena Manju Menon Prateep K. Nayak Bhabani Prasad Das Sisir Kumar Pradhan Krutartha C. Singh J. Chatterjee Prof. Susant Kumar Nayak Santilata Behera Kanchi Kohli Ritwick Das Jyoti Prakash Rath J. Chattergy Arundharati Jena Prasanna Ku. Panda J.K.Nayak Akshya Ku. Pani Girija Prasad Nayak Bauribandhu Rout Nilakantha Panigrahi Priyabrat Satpathy Padma Charan Panigrahi Pranab Ranjan Choudhary Laxmidhar Balia Jagdish Nayak Prasanna Ku. Moharana Name of Organisation Commissioner, State Information Commission, Orissa Professor of Life Science, Sambalpur University Greenpeace, Bangalore Kalpavriksh Secretary, District Forestry Federation, Deogarh Prof, of Economics, NCDS & Thematic Author of the workshop Prof., Dept of Anthropology, Sambalpur University Independent, Researcher/Writer, Thematic Author of the workshop Kalpavriksh Secretary, Peoples Union For civil liberties & Advocate, Orissa High Court Kalpavriksh Researcher, Natural Resources Institute, University of Manitoba Thematic Author of the workshop Foundation for Ecological Security, Angul Orissa Jungle Mancha, Angul district Living Farms, Bhubaneswar Itanagar, Arunachal Pradesh Jilla Banabasi Sangha, Koraput Kalpavriksh LIFE, Supreme Court Advocate, Environmentalist, New Delhi. Foundation for Ecological Security, Angul Living Farms, Bhubaneswar EEJP Fellow President Nayagarh Forestry Federation Social Worker Adivasi Kranti Sanghathan, Dhenkanal Adivasi Kranti Sanghathan, Dhenkanal Orissa Jungle Mancha, Dhenkanal dist Prof. NCDS Supreme Court Lawyer, NewDelhi. Accountant, Vasundhara Consultant Nayagarh Forestry Federation RCDC, Bhubaneswar Khedapada, Nayagarh th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 186 36. 37. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 57. 58. 59. 60. 61. 62. 63. 64. 65. 66. 67. 68. 69. 70. 71. Kabiraj Guru Dr. Premanand Panda Bishnu Padaraj Mohanty Premjit Mohapatra Ashutosh Nanda Sandeep Patnaik Aswini Mahanta Meera Sankar Dehuri Benudhara Kisan Ishwar Ch. Mahanta Smt Lipi Kunar Manasi Bauribandhu Rout Suresh Chandra Behera Madhu Beipui Chaitanya Munda Prashant Mohanty Dhirendra Panda Tanushree Das Pradeep Kumar Mishra Sankar Prasad Pani Bharati Chakra Pratap Mohanty Prasad Ku Dash Bibhuti Bhusan Pradhan Himansu Sekhar Patra Ghasiram Panda Puspanjali Satpathy Y.Giri Rao Biswarup Sahoo Sricharan Behera Sabita Singh Rohit Kumar Behera Krupasindhu Parida Manoj Kumar Dalua Shyam Sunder Sahoo Khedapada, Nayagarh Prof., Dept of Anthropology, Sambalpur University Antodaya Chetana Kendra, Hadagada, Keonjhar Freelance Documenters Student, KIIT(School of Rural Management) Student, KIIT(School of Rural Management) VSS Mandal Banai VSS Mandal Banai VSS Mandal Banai VSS Mandal Banai VSS Mandal Banai VSS Mandal Banai Secretary, Forestry Federation, Dhenkanal Forestry Federation, Dhenkanal Forestry Federation, Dhenkanal Forestry Federation, Dhenkanal Vasundhara Executive Director, Vasundhara Author of Case Study, Vasundhara Author of Case Study, Vasundhara Author of Case Study, Vasundhara Rapporteurs Coordination for the workshop, Vasundhara Rapporteur & Oriya Translator, Vasundhara Rapporteur, Vasundhara Rapporteur, Vasundhara Participant, Vasundhara Media Coordinator for the workshop, Vasundhara Participant, Vasundhara Participant, Vasundhara Participant, Vasundhara Participant, Vasundhara Admn, Vasundhara Driver, Vasundhara Accountant, Vasundhara Admn, Vasundhara Admn, Vasundhara th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 187 Annexure III (b) Media Representation Sr. No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 National Workshop on underlying causes of Forest Degradation Name Jayadev Bahera B N Sahoo J Kanungo S Sahu J.K Nayak Prasanna Das Pankaj Kumar Sahoo Satyasundar Barik Sibabrata Charpatiray Chandra Sekhar Sahoo Jitendra Kumar Nayak Bhudeep Na. Mohanty b. Srinibas Shyamaghar Mohanty Devasis Biswal Girija S Dash Bimal Das Dhruba Mishra Bimal Dash Pratap Ch. Pradhan Medai House ETV News DD News DD News DD News Odisha Bhaskar DDK ETV News The Hindu The Statesman Paryabekhyak Odisha Bhaskar , ETV News ETV News Dharitri The Samaja Sambad Kalika Darsana Anupam Bharat Sushasan Pragativadi th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 188 Annexure IV: (Outreach): Annexure IV (a): Print media - Press th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 189 Annexure IV (b): Other media - web release Refer to: 1. http://www.hindu.com/2008/01/27/stories/2008012756200300.htm 2. http://www.orissadiary.com/Showyournews.asp?id=56 th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 190 Annexure V: (Workshop Proceedings) Final Proceedings as documented by Bharati Chakra (Vasundhara) Day I: 26th Jan 2008 Session I: Inaugural Session Chair: Ashish Kothari Rapporteur: Bharati and Prasad Translator: Pratap Mohanty Thematic sub-group coordination: Milind Wani Prof. Radhamohan, Commissioner, State RTI commission, along with Ashish Kothari, Kalpavriksh and community members formally inaugurated the workshop was by lighting of a candle. In his inaugural speech, Prof. Radhamohan emphasized on the need to develop an understanding of the underlying causes of any issue in order to better address it. According to him, to cure any disease, there should be proper diagnosis. So is the case with the issue of deforestation and forest degradation. Historically, the developmental model that India has followed has a played vital role in inducing a process that has led to massive deforestation that we witness today. Post independence policies in India have played a critical role in inducing deforestation. In 1947, India witnessed acute food crisis. As a part of Grow More Food campaign, people were encouraged to cut trees and convert the forest land into agricultural land. The concept of Reserve Forest was brought in by the British Empire. At that time twenty Six princely states existed in Orissa. The right over forest was asserted by British in the pre-independence era and when they left, there was massive felling of trees by public While referring to the forest policies of the government Prof. Radhamohan cited the decision of the government to go in for teak plantation. This according to him, has had a disastrous effect on the growth of natural forests (for e.g. at Kapilas hills of Dhenkanal dist in Orissa). Huge devastation of forest land in many areas promoted drought and flood situation that only worsened day by day. Rich Sal forests were cut for Acacia plantation. Social forestry and protective forestry were the causes of major degradation of natural forests. During the period between1950-1980, India lost 47 million hectare of forest. Forest policies of India have played a crucial role in this as in order to get subsidies, even where they were poor, the states were needed to match amounts promised by GOI. For e.g. the Orissa Forest Development Corporation (OFDC) has raised resources (revenues) out of afforestation programme i.e. it gains more revenue by cutting forest and the selling of timber. According to Prof. RadhaMohan, a check and balance mechanism is required at the policy formulation stage itself in order to help natural resource regeneration and augment the growth of forest. We need a partnership between communities, NGOs, officials, experts, to protect forests as “forests are too important a matter to be left to the FD” th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 191 Thematic Paper Presentation: Mr. Aseem Shrivastav Theme: Globalization and the ecological crisis Following a brief introduction Mr. Aseem Shrivastav spoke on the subject of globalization and the ecological crisis In his presentation, a close link between globalization, liberalization and resulting ecological crisis was attempted by Aseem Shrivastav. He stressed on the fact of the relatively new aspects of the current phase of globalization which consists of dominance of private corporations with global reach, which is driven by profit motive and the logic and reasoning of which is not aligned to the logic/reasoning of environment and justice based paradigm that would require an internalization of environmental and social costs. This globalization is subject to dominance of financial transactions while being environmentally insensitive He focused on the fact that, “Climate change is the greatest result of market failure that the world has seen.” He cited Amartya Sen as having said that, “globalization existed even 3000 years ago, it’s not a new concept altogether”, and this could be considered as the first phase of globalization. The second phase started somewhere around 1940s, after Second World War when in 1947 the USA, in order to meet its domestic consumption demands decided to exploit the third world. Around 1950s huge funding was channelized to the underdeveloped countries in the name of development. Tracing the skewed history of globalization, he showed how liberalization of agriculture, though it happened in the US, Europe and Japan, did not reach India and how this affected the India’s economy. According to him, globalization by and large has promoted trade and corporate driven conversion of Indian forest resources to meet the fuel needs of the first world. Globalization of supply chain has led to massive spending on energy in the third world. He also citied Larry Summer’s (former president of the World Bank and former advisor to Mr. Bill Clinton- the former President of India) regressive views towards environmental pollution and responsibility of polluting countries. He elaborated upon how more and more, in India, people were getting trapped into environmentally destructive lifestyles, consuming resources from afar and with no feedback loop that could warn them of the consequences. He stressed on the crucial need to give power to the community that is closest to the resource, even while cautioning that there are many pitfalls in this (local inequities, cultural changes, institutional erosion, etc) approach that also need to be addressed. According to him this needs to be done within a nested system of institutions that have a larger mandate than what the local villages have. There is also a need of putting in place an appropriate system of checks and balances, especially with regard to the role of larger institutions in dealing with issues of regional/national/international nature like climate change. He stressed on the need to move towards a participatory environmental democracy rather than the current representative form and also the importance of the conceiving of bioregional or eco-regional political constituencies. According to him there is a need to give much more stress to the protection of subsistence economy and understanding how it gets destroyed (and thereby livelihoods displaced) in the move towards commercialization and industrialization. In the Discussion session, some pertinent issues were put forth by the participants: 1. Concern was raised about exploitation of resources for e.g. iron ore from Orissa where actual benefits and profits were reaped by external forces like MNC’s while draining the mother state of its natural habitat. The real cost in terms of impact on environment, biodiversity, socio-cultural loss, livelihood etc are never measured and neither do external forces bear the responsibility of the damage they cause to environment in this whole process. It is only the native communities, who are left to face the hazard locally. The world also has to face th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 192 the consequences of such untrammeled exploitation of natural resources, the devastating effects of which can be seen in the form of the challenge posed to humanity at large by phenomenon such as Global warming and Climate change. 2. Concern (Y. Giri Rao) was also raised about the fact that those who talk about participatory economy and participatory environmental governance do not seem to be giving due attention to the question of lack of focus on managing our natural or local economy.. While agreeing with this perspective,, Aseem Shrivastav also stressed the point that today’s dominant economic thinking believes in the theory, of the trickle-down-ofwealth ,which espouses that eradication of poverty can be achieved through the current free market oriented neo-liberal economic paradigm.. According to him, such a view leads to a situation where the whole arena of economy focuses on commercialization, which in turn leads to consumerism and creation of false needs leading to lifestyles that result in a pressure for an untrammeled exploitation of the earth’s resources. According to him, the only answer to this is that protection of subsistence economy be the focus of development. Participatory Environmental Democracy has become essential now, where strengthening NREGA, can be looked upon as way to empower the poor. This help in reducing poverty and unemployment while increase the purchasing power of the poor. This will also involve the use of labor of poor to strengthen infrastructure and regenerate environment through activities like Soil conservation etc. This is not being done because it is often against the interests of vested groups. Challenging globalization in India has to be done through re-analyzing the 15yrs journey and reemphasizing on subsistence economy 3. Advocate P.K. Jena stated that a political will is needed to bring in conservation friendly changes along with decentralization and devolution of authorities to grassroots level. According to him, action is needed in terms of legislation and political will but not at the cost of loss of cultural heritage of communities in order to induce them into participatory environmental democracy. Thematic Paper Presentation: Kanchi Kohli & Manju Menon Theme: The environmental Regulatory Framework in the era of Globalization Introduction of Kanchi Kohli and Manju Menon by Milind Wani: Kanchi Kohli presented an overview of the following points: 1. Globalization and Economic Growth 2. Big investments and projects 3. Environmental Kuznet’s Curve 4. Influence of International Finance 5. Rule of Experts 6. Regulatory Capture 7. Frame regulation to management The discussion session focused on the role that corporate sponsored and state executed violence has played in the resulting rapid change in land use patterns and the subsequent degradation and destruction of environment and biodiversity respectively. The role of recent environmental laws & notifications that have also created space for a kind of environmentally destructive development trend in India was elaborated upon. In between 1986 to 2006, 4 116 projects have been given clearance under EIA. States like Orissa are ready to provide all th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 193 sorts of support ranging from environmental clearance, forest clearance, land and water etc. to corporate clients and this facilitates the destruction of environment for the sake of development. Significant changes in environmental decision-making mechanisms (from prevention to ‘management’ (including mitigation and ‘benefit-sharing’)) leading to a greater access to resources for exploitative purposes, reduced public participation and unbridled forest and environment clearances without concern for environmental sustainability, have rapidly contributed to deforestation and forest degradation. For example, under the Biodiversity. Act, over 90 clearances for access to bio-resources had been given on the one hand while almost no work on conservation or empowering communities had been undertaken. Thus relative to the massive increase in clearance, this has lead to a major weakening of environmental impact monitoring and compliance processes. Redressal is almost non-existent as institutions of redressal against violations (such as by the police) are in the hands of the same state that is promoting or allowing the violations. This is a major institutional failure. This evokes a question as to whether a consolidated case can be made of various failures in environmental governance, and if constitutional provisions regarding right to life etc can be invoked against these. They also brought to the notice of the group the fact that a quarter of the total clearances in the last 26 years of implementation of the Forest (Conservation) Act (1980) has happened in the last 4 years. Discussion: One suggestion that emanated out of the discussion that followed this presentation was to explore the possibility of asking the government to look at how we can infuse all government functioning with mandatory suo moto information disclosure and transparency. The need for linking those struggling on the group, with those fighting in courts or lobbying at government levels was also stressed upon. Day I - Session II Chair: Ritwik Das Rapporteur: Manohar & Ghasiram Panda Translator: Pratap Mohanty Thematic sub-group coordination: Pradip Mishra Thematic Presentation: Prof. Sushant Nayak Theme: Economic Growth and Deforestation: A study of Orissa Economy Prof. Sushant Nayak made a detailed power point slide presentation of his research paper where he discussed about Liberalization phase of 1991 and economic equations afterwards. He talked about the gulf war and its impact on global economy as well as Indian economy. According to him, growth is necessary but people must share it. The objective of economic reforms according to the author was to make transition from an inefficient to an efficient economic status. Other than that it aimed at producing satisfactory growth and to have a substantial impact on development. He also discussed the nexus between economic growth and deforestation. He then discussed the reasons of slow growth of Orissa economy where unequal growth patterns are leading to distortion. He emphasized the need of investment in agriculture and to stop the growth trend involving industrialization. At the end of the presentation, Manju Menon stressed that in such a debate how one defines the “forestry sector” sector becomes an important issue that needs addressing Thematic Presentation: Shankar Prasad Pani th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 194 Theme: Community Struggle for Forest Conservation: A Case Study of Banadurga Jungle Surakshya Committee, Khedapada, Nayagarh. Shankar focused on socio-economic issues pertaining to agriculture and forest of Khedapada village which has become a victim to Sugar mill in Nayagarh. He discussed the case of the Rasol Khesra Jungle, a predominantly sal forest with two adjoining reservoirs, near the Nayagarh dist HQ. Rasol Khesra Jungle is an example of a regenerated -forest and wildlife, through community initiatives and which is also a pathway for elephant. It is a habitat for pangolin, wild dog, mouse deer, hyena, flying squirrel, etc. Four villages depend on this forest for various forest produce. Village forest committees (VFC) initiated by 7 people in 1979 used to manage the forest of about 860 acres by following the thengapalli system of guarding the forest. Thengapali (Thenga – baton, Pali- free/volunteer labor for community), also interpreted as “turn of baton”, is an ancient forest management practice ( now being studied at the Andrews’ Endowed Church of England Primary School and Glasllwch Primary School as a geography subject ) that has attracted forest management gurus all over the world. An amount of Rs. 1125 was collected monthly as membership fee and out of this an amount of Rs. 900 was given to a jaguali (guard). Along with the jaguali, volunteers would go into the forest each day for guarding the forest. Around 1984, land was leased to IDCO for sugar industry. This also included 119 acres of the Rasol Khesra forest. In 1989, representatives from 4 villages met with the sugar industry managing board, and signed a MoU that villagers would continue to protect the forest inside the mill’s land. As a result, no tree was felled by Dharini Sugar Mill between 1990 and 1998(In 1994 the villagers even got the Prakruti Mitra award). In 2004, the factory was sold to ECP Industries Ltd (a Private company).In 2005 the new owner started felling trees within the forest that fell within the bought area. No cognizance was taken by FD till strong protests were lodged by villagers and only then did the FD booked a case against the culprit industry. The CEC has taken cognizance of this case on a complaint by Orissa Jungle Manch. The state government however has taken the plea that it was ignorant of FCA requirements! In his presentation, Sankar laid emphasis on the forest protection initiatives of the community in the area, the management system that was put in place and the issue of illegal transfer of forest land to the industry. This has had negative impacts on the forest vegetation as well as community efforts. The matter has been taken up to the level of Supreme Court and is still pending judgment. However, about 1000 sal trees were felled in Feb. 2007, apparently at the behest of the collector to make a road to an FCI godown. Unfortunately after the case went to court, communities were also prohibited from collecting fuel, grasses, etc from the forest. Meanwhile the local industrialist (hand in glove with politicians) is mounting pressure on the villagers through fair and foul means. For e.g. locally affected people have been charged under false cases by entrenched power elites in a bid to strangle their voice against injustice. The villagers are now demanding compensation for having been denied access to the forest. Sankar articulated the need for redrawing Orissa’s industrial development in such a way that they seek need based and not greed based investment. According to him, some learning’s/ questions that need to be taken cognizance of are: • • • The possibility of the likelihood of such cases happening across the state (and the country) which is seeking investment in its mad rush towards affluence through industrialization. Empowerment of communities plays a significant role in forest protection and the recognizing of such initiatives is crucial. The principle of intergenerational equity needs to be established and emphasized and all industrial planning that is based on natural resource extraction should take into cognizance the importance of addressing these needs in its planning process th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 195 • There is a need to explore the potential of the newly notified TFRA to involve communities in forest protection efforts Discussions: In the ensuing discussion Y Giri of Vasundhara stressed on the need for fighting such cases through lower courts instead of always taking up such issues to the CEC. Supreme Court Lawyer, Ritwick Das also cautioned about the need to explore critically if some local people were dependent on the Sugar Mill (or similar cases) for their livelihood and how taking a legal recourse may affect their livelihood situation. Aseem Shrivastava wound up the discussion by elaborating on the need for developing an understanding the role of power and money in local conflicts. With all these discussions, the day’s session ended with a documentary film show on “The many faces of Madness” by Anwar Kanwar. Day II- 27th Jan 2008: Session I Chair: Aseem Shrivastav Rapporteur: Bharati and Prasad Translator: Shankar Prasad Pani Thematic sub-group coordination: Prashant Mohanty Presentation by: Pradeep Mishra Theme: Globalization, Industrialization & Deforestation: A Case Study of Lapanga Prashant Mohanty initiated the day’s session by inviting Aseem Shrivastav to chair the session and Pradeep Mishra to present his case study. After an introduction of Pradeep Mishra by Prashant Mohanty, Pradeep Mishra presented his study findings. Pradeep Mishra’s presentation consisted of a detailed study of the Lapanga village Community Forestry Initiative (near Sambalpur district, Orissa) and the effect of the current trend of industrialization and mining for the sake of development in that area. The area which once constituted a dense forest and which has a proud history of over hundred years of forest protection and management by community (Dalki Praja Rakshit Jungle - documented as community forestry by a no. of people like Nandini Sundar, Richard Mahapatra etc.) .The village is situated in the vicinity of Hirakud water reservoir and its forest is rich in Sal trees. The villagers had been protecting the forests here for years. An amazing and unique feature about this initiative was that the people had given away their private land for the purpose of forest generation. This village had been displaced during the construction of Hirakud reservoir and people were given patches of land as ex-gratia amount as a compensation for the productive land mass that they had lost. There are people in this village who had donated even this land for forest regeneration. These are designated as “Praja” and are held in respect in the village. These donors comprise a different stratum when it comes to distribution of forest resources as they get it for a lower price than the rest of the community members. But except for this special benefit all the villagers participate equally in all the village processes. The village forest is also a host to avian guests from Siberia every year. This however is now showing a negative trend. The village has over the years developed its own innovative and unique system for forest protection and management. Dependence on the forest has become a way of life for this village. The forest protection initiatives in this village had created a positive impact on neighboring villages, and they too had started th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 196 emulating forest protection practices. However, the village has been facing challenges- in the form of threat to its forests as well as its socio-economic survival-both as a consequence of industrial policies of the state. The initial threats were experienced when Hindalco started converting the pedestal road leading inside forest, until then used mostly for taking cattle to forest for grazing, in to a pucca road of 2 kms in length and 50 meter width for the purpose of open cast mining of coal. The villagers have filed a case against this in the court of law. Another threat is that of the one posed by Bhushan Steel, which is laying pipeline through this forest. Yet another threat is that posed by the aggressive intent displayed by the FD towards undermining the community forestry efforts and its attempts of taking control of the same. In the light of all this, there is growing cynicism and passivity among the local community towards the forests despite intense forest resource extraction, rampant breaches of law by industry, and non-compliance of SC’s orders banning tree felling and failure to compensate earlier tree-felling by forestation. In the nearby villages, the industries have also succeeded in dividing resident communities. Human-WL conflicts have also been increasing. Coal dust and constant movement of trucks through forest, are causing a loss of biodiversity. Some flora has already disappeared. An indications of this is that women now get less NTFP (esp. beedi leaf), and feel less economically secure. Another indication of this is that of the invisible (in setu) displacement emanating out of the dispossession that is taking place. Key Issues 1. Forest department trying to undermine CFM initiatives. 2. Growing litigations and resource drainage 3. Non-compliance of Supreme court order 4. Breach of Law. 5. Growing cynicism among the local forest protecting community. People ready to trade forest for alternate livelihood. 6. Growing social disharmony 7. Man-animal conflict 8. Loss of local bio-diversity 9. Erosion of socio-economic security of women 10. Problem of environmental refugee 11. Invisible displacement of livelihood from forest based (secured) to unknown, unsecured. Some of the following possible solutions to this situation were highlighted • Concentration of many industries in a small patch should be avoided. • In order to strengthen gram sabha decision-making process, local participation in gram sabhas needs to be encouraged. • Local expert committee should be set up to look into in setu displacement and its after effects • Devaluation of forest economy to be stopped Discussions: In the ensuing discussion, Manju Menon of Kalpavriksh stressed that the Interaction between people and government in the initialization of projects should be taken care of. She also stressed on the need for further debate and deliberation on the litigations that take place in such cases. With respect to the case study under question, it was highlighted that, on record the forest area acquired for industry is not forest land as people had donated their private land and there was a need for developing steps for declaring such patches as forestland. This will help in addressing such cases through the judiciary. The issue of compensatory aforestation was also discussed. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 197 Session 3 Presentation by: Prof. K.C. Samal Theme: Liberalization, Deforestation and Dependence on Forest – (A case study of the most forested district of Orissa, Keonjhar) Beginning with hypothesis of deforestation as put by official data, Prof. Samal went on to list its underlying causes as observed in his field of study in Orissa. According to him, these are: 1. Coupes for timber up to 1975 2. Jhum Cultivation 3. Biotic Pressure 4. Meager investment in forestry sector development 5. Forest land diverted for non-forestry purposes He then discussed the role of IMF loans during the early 90s and which was based on the condition of compulsory liberalization, devaluation of currency and privatization in India. That was the period when customs duty too was reduced from hitherto 300% to a meager 12% as it is today. As per him, India’s wealth is its natural resources and the developed world’s need to have an untrammeled access to the same. This is leading to a rapid destruction of natural resources. Previously the private sector was never allowed into core areas like steel, coal, electricity and mining but the scenario has changed now. He then discussed about the situation in villages of the Keonjhar district in Orissa, which was the most forested district until very recent past and which has become a captive to mining and industrialization related vested interests. According to him, some of the manifest causes of deforestation include higher price of agro- produce and higher input cost. This leads to a more extensive rather than intensive cultivation. A rise in population, a rise in per capita income (leading to a move from thatch house system to a pucca house system that requires more furniture etc), and liberalization of the economy are some of the underlying causes that are leading to deforestation. For e.g., in Orissa, the forest diversion doubled in post-liberalization era: (1982-91: 9800 ha; 1992-2004: 19257 ha). One immediately observable indicator of deforestation impacts, is the distance that is required to be traveled to collect a t shoulder load of fuel wood (1995: 4.09 km 2000: 7.30 km). According to Prof. Samal some or all of the following actions need to be executed on a priority if the processes leading to deforestation are to be reversed: • Stop handing over degraded forest land to industry, and stop promoting conversion of agriculture into farm forestry (as World Bank is promoting). • Encroachment by vested interests should be driven out, those for subsistence/livelihood needs, even until 2006, should be given security on their lands. Discussion: In the ensuing discussion, Ms. Bharati Chakra made a point that when promotion of farm forestry or exploring of alternate livelihood sources for affected populace get discussed, the implications of both on how they will affect the people and their socio-cultural and economic situations need to be looked into. Ms. Manju: Menon of Kalpavriksh stressed that there was a need to re-look at the whole issue of deforestation and forest degradation while keeping in mind the changing nature of how these were seen as being connected to patterns of th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 198 cultivation, especially JHUM. She highlighted the fact that shifting cultivation had not been considered as a problem for long in history but now very often it is looked upon as a problem that leads to deforestation. She pointed out that in reality this has to do more with landscape change due to land acquisition. While Prof. A.B.Mishra: brought into the groups notice the strict and stringent mining rules in Germany, Mr. Aseem Shrivastava stressed on the point that Prof. Samal had tried to identify as one of the core problems underlying deforestation. According to him India has been facing the consequences of “import” liberalization and not liberalization in the true sense of the word. It was in America’s interest to convert the Indian economy as one that was entirely dependent on the supply of the American industries and this was nothing but corporate totalitarianism. Mr. Shrivastava also emphasized the importance of understanding the concept of currency devaluation in order to understand the notion of economic liberalization properly. The conditions for lending loan that international financial institutions (e.g. IMF, WB etc) had been extending towards third world countries like India were dictating & deciding the terms of our economic policies. For e.g., the IMF, while extending loan to India had stipulated 160 conditions and one of which was devaluation of the rupee. This automatically works in favor of richer countries like the USA as they can then buy more of India’s outputs and primary resources at cheaper price. It is often argued that this leads to higher earnings as this automatically results in an increase in demand for natural resources and hence this also works in India’s favor. This is a cunning/ specious argument. For one, even if export earnings increase, so does resource extraction and this usually happens at the cost of an irreversible damage to the ecosystem of the country. A country’s true wealth is its natural resource systems. Untrammeled resource extraction ensures that ecosystems that got built over centuries get irreparably damaged (at least within the span of historical time as against geological time) or destroyed within a few years. The loss this entails is thus in no way comparable to the gain that increased earnings (due to export of resources) promise. Another myth that is often touted is the fillip/boost the market liberalization provides for Indian Industry to grow internationally. Tata’s take-over of Corus has recently been cited as an example of the increasing global reach and power of the Indian multinational. However, this is again another example of specious reasoning. In fact such a take-over is not an example of hostile take-over but of buying at a much higher value something that is actually worth much less. The interests of the selling company are protected and in fact such transactions are more akin to outsourcing, for exploitative purposes (like mining etc.), of operations to domestic Indian companies. This, according to Mr. Shrivastava, represents a pattern of a much more sophisticated colonization that perfectly fits into Larry Summers recommendations that, “All dirty industries have to move to the south”. Presentation by: Prateep K. Nayak Theme: Politics of co-option: Self- organized community forest management & joint forest management in Orissa, India. The impacts of conversion of a CFM to JFM, on levels of participation, rights, intra-community dynamics, etc. were discussed in the case study of the Gadabanikilo village. This village had a history of CFM for over 50 years. This was converted after much resistance, to JFM in 2001. Sophisticated institutional systems were set up for forest protection, management, distribution of benefits, etc. (for e.g. mahua collection and benefits) under JFM. Earlier, decision making at village level was done by all adults. However it was now limited to only 11 members of the JFM committee. A village fund that was earlier used for village development and loan disbursement collapsed by 2004. Earlier the edge of the, forest was never cut and it used to be very dense with thorny bushes (deliberately to deter entry!). Now this was cleaned for plantations (because there was money in JFM for afforestation). Earlier the CFM institution used to also manage other parts of the landscape (grazing lands, water). However the JFM institution that replaced it was compartmentalized. This has resulted in a considerable weakening of rights of various kinds In the earlier times, inter-village reciprocity and links were strong ( for e.g. diversity of forest resources such as bamboo or aomla near one village and absent from another th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 199 lead to the creation of mechanisms of exchange and reciprocity, and also reduced threats to each others’ forests). However as the JFM model was village specific, these have tended to erode away at the links of reciprocity as now village rules do not allow extraction by others outside a given village. Now, only linkages between JFM committees are allowed whereas under the CFM, cross-linkages with NGOs, forest federation, and neighboring villages were the norm. Under JFM, the only link that is now strong is the one with the Forest Department! However, for all these negative points, there is one positive development. The CFM institutions had no role for women or SCs; JFM has brought in these groups within its purview (although in practice they are still being dominated by men and non-SCs respectively; and these equity measures need a stronger push at the ground level). Overall, though the complex CFM system has been converted to a simple JFM system and in the process the inherent advantages provided by the CFM model ( site-specificity, flexibility) have been lost due to the uniformity (‘one size fits all’) of approach of the JFM model. This has lead to rigidity, integration of various land uses to compartmentalized management, etc. A simple uniform system cannot maintain diversity. Fortunately, traditional institutions are resilient and it is hoped that the CFM institutions might see resurgence once the JFM money runs out. Prateep also discussed Guha’s theory of ‘areas of politics’ – The role that blaming, negotiation, collaboration, partnership and cooption play and how they are linked to the processes of state and also with respect to forest degradation in India. In his case study of Gadabanikilo village of Nayagarh district of Orissa, he established a link between the impact of government policies on community initiatives of forest protection, the role of community participation the bundle of forest common rights, cross-level linkages and reciprocal rights, decision making power and control over resources etc. Discussion: IN the ensuing discussion Ghasiram Panda of Vasundhara observed that though JFM was promoted to regenerate degraded forest land, in reality it often had resulted in a takeover of well-managed CFM. He questioned the model of government funding (for JFM) when in practice it had worked through community effort without external help & funds. He highlighted the importance of legally recognizing CFMs Day II - Session II Chairperson – Prof Aratabandhu Mishra Rapporteur – Bharati Chakra & Ghasiram Panda Oriya Translator – Mr. Pratap Mohanty Thematic subgroup coordinator – Mr. Rana Roy Rana Roy of Vasundhara introduced Prof. A.B.Mishra, Abhishek Pratap and Prof. Bhabani Das and requested Prof. A.B. Mishra to chair the session. Prof. Mishra shared his experience during 1960s. He narrated how the consideration of environment as an issue has developed slowly in the years. According to him the 1960-1970 decade represented a phase when nobody talked about forest and environment. The 70s decade, saw the Stockholm conference and people started talking about environment. The 80s saw the beginning of a phase where people not only talked about environment, but also started working towards its protection. The 90s saw the Earth Summit at Rio de Janeiro and the stress moved more towards the action. This decade saw the sprouting of many forest conservation movements, participatory protection initiatives etc. The , invention of bio-fuels etc were witnessed during this period and now the civil society has entered a work first and then talk phase where people try to understand the actual ground level work on it and then raise voice to resolve matters of conflict. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 200 Case-study presentation– Mr. Kumar Abhishek Pratap Theme: Khandadhar, life line of northern Orissa - (A case-study of the impact of the mining and related policies/ programmes was the underlying causes of deforestation and forest degradation) In this case study, Mr. Abhishek Pratap of Vasundhara presented the current situation in the Khandadhar (District Sundergarh). The area is characterized by dense forests, waterfalls, elephant corridor (connecting Saranda in Jharkhand to Bhamragarh in Chhattisgarh), limbless lizard (recently discovered, Sepsophis) etc. and is the origin of 8 major perennial streams. Comprised of the PTG Paudi Bhuyan (only 3000 odd people), 66% of the overall population belongs to Scheduled Tribes. In this area the impact due to the setting up of small and large industries (sponge iron units, POSCO) on the environment as well as on the social, cultural and economic well being of people, is immense. The POSCO iron ore mining project proposed over 6204 ha., could affect more than 10000 ha of forest over including that on a plateau from where Orissa’s highest waterfall (244 meters) originates. A total sum of Rs. 51,000 crore worth of investment has been envisaged. This would include the mine at Khandadhar, a steel plant at Jagatsinghpur, and a captive port at Paradeep. Despite all these being components of one and the same project, a separate clearance for each of the above components was sought by POSCO. The study also focused on the ruse adapted by this multinationals of not seeking or obtaining integrated clearance for the full cluster of interdependent projects. It took recourse to breaking up the project into different component (as if they were three different and unconnected projects) and making a separate appeal for permissions for each of these components ( steel plant, port and mining area).in order to avoid facing obstacles in getting environmental clearances for the entire project ( which otherwise might have turned to be a difficult proposition ). In all this has resulted in the granting of total mining leases of over 1 lakh ha. Other issues related to this area (and project) are: • • Pollution caused by the 48 sponge iron plants, many small mines, etc. in Sundergarh. Already serious loss of forest, wildlife, underground water, etc with severe potential impacts on people. This will entail a total displacement about 12-15000 people. Key factors that have directly or indirectly contributed to this grave situation are: • International loan/funding agencies • Political governance system • Consumerist pattern of the urban middle class • Mineral/industrial policies of the state government • Aggressive drive of the state towards industrialization. • Conservation policies (e.g. FCA) facilitating commercial exploitation • JFM and aid driven programmes that seek to replace CFM initiatives • Access roads and transportation links Abishek Pratap, proposed the following measures to avoid a similar situation in the future • Need to strengthen public hearing process, and the need to give mandate to gram sabhas to conduct the same. • EIA should be done by/through communities, and clearance/approval by separate authority (not MoEF) th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 201 Thematic presentation – Theme- Economic Liberalization Decentralized Governance & the Adivasis' of Orissa. Dr. Bhabani Das , while discussing his paper, raised serious concerns as to whether an issue like forest is a national priority for government at all. Why does the finance commission and the state not make forest protection a constitutional mandate? He highlighted the fact that the role that financial measures play in any aspect of state administration (including forests) is significant as the allocation of funds or lack of them decides the importance any state government gives to an area. For e.g., the Finance Commission’s criterion or guidelines for allocation of funds include population, presence of infrastructure, etc. but not the extent or quality of forests that have been protected and conserved within a state. His argument was that decision makers who decide about fund allocations for states do not emphasize forest protection/conservation as a criterion of eligibility. It is then not surprising that the recipient states also do not view forest protection as a priority. He also pointed to other issues like the lack of clarity on where money generated by JFM is to go, lack of control over finances by panchayats, etc. He also raised questions regarding the role of the 73rd constitutional amendment. Vis-à-vis protection of forest and checking forest degradation. According to him there is an urgent need to bring forests into a national agenda and this urgency can only be evidenced through the importance forest protection are given by the national finance commission. Unless this is done, no changes in the present apathy can be expected. Discussion: In the ensuing discussion Balia Babu disagreed with the contention that funding is needed to save forest. According to him, an initiative like JFM which had mostly been fund driven nowhere exemplifies forest regeneration but CFM does so without any external funding support. Thus, he felt that it was not money but only people’s motivation, which would be crucial to protect our forest and environment. Adding to this point of view, Shanti cited the example of displacement due to upper Kolab project in Koraput district and emphasized that if left untouched, the forest regenerates on its own. It doesn’t require any money for regeneration. In responding to these points, Dr. Bhabani Das contended that that unless finance commission subscribes a provision of fund for other developmental activities, pressure on forest would continue and this would inevitably lead to deforestation. Thus, to decrease pressure on forest resources, the commission as well as the state has to make provision of funds and consider the status conservation as one of the criterion for fund allocation to states. To this, Ghasiram Panda of Vasundhara responded by stating that more money might be of help but only if expenditure pattern of the same is taken care of properly else more funding might not resolve deforestation trend the expenditure pattern are overlooked. Mr. Rana of Vasundhara made the point that we need to try and seek solution outside the existing paradigm. There is a need to ask ourselves as to why all approaches end up falling flat. According to him, the main reason for this is that the entire system (of administration and governance) is not accountable to people. Hence it is important to question the whole governance system. Prof. Mishra stressed on the need to build a national level radical movement similar in scope to the movement of freedom struggle during colonial rule of the British. However, Aseem Shrivastav was of the opinion that we should not underestimate the diversity of culture, language, tradition of India. We must understate that even now India is more of a civilization rather than a nation in real terms. The expectation to build Bio-regional mobilizations that will consolidate into a national movement cannot be a forced measure and this will come up suo-moto, rather than by prompting. According to him, as of now realistically we can only expect regional movements to come up through building up of a critical mass that would and should be allowed to continue with their diversity rather than force-grafting various strands of regional and sub-regional movement into a national struggle. th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 202 Day III- 28th Jan 2008: Session I Chairperson – Mr. Aseem Shrivastav Rapporteur – Bibhuti Oriya Translator – Mr. Nilakantha Panigrahi & Mr. Pratap Thematic subgroup coordinator – Mr. Pratap Mr. Pratap introduced the guests and invited Mr. Aseem to chair the session. Thematic presenter – Prof. Premananda Panda Theme - Winners and Losers of Forest Resources (An Understanding on Casual Connections) Coal mining in Sundergarh has devastated forests and villages. Many villages no longer exist, and have no trace of their earlier legacy. Locals have hardly benefited from the mining. Mr. Panda discussed about one village of Sundergarh village where a company is doing mining. He reconstructed the history of Ratansara village (from oral accounts about the Oraon and Munda tribes). Earlier the rich diversity of the wetlands was maintained by the village, for diverse purposes. There was a community system for equitable irrigation, food distribution, etc. He narrated how within the living history of the place, there had been regular sightings of elephants and tigers and yet how their crops were safe, since they deterred other animals and also humans from coming encroaching. He tried to relate the issue to the culture, socio-economic and emotional status of the village in earlier days and how this had changed under the development related interventions like the mining that has been going on for the last 15 years and how this has affected this village. For e.g. earlier girls who were to be married were considered to be the daughters of the village, with all the village families contributing to the expenses of the marriage. This was no longer the case. Now individual families have to fend for themselves. Development, though it had brought in money, had also lead to vices like alcoholism and its subsequent ill effects like domestic violence. There has been immense damage to the fabric of the villages’ social and cultural life and to the symbiotic relationship that earlier existed between the forest and people as well as to the social support system that existed earlier. The damage is severe enough to warrant a concern as to whether this lost culture has been irretrievably lost without any possibility of revival. As if this was not enough, under rehabilitation policy, displaced families in the village have suffered even more as they have not received any support or rehabilitation package. Many were forced to live a life under a tree for months. In a telling way he quoted an advasis as having said that, “People say, we were black-skinned, but coal has made us blacker and disappear into the darkness”. No economist or politicians seems to be interested in addressing their plight. Thus there is a need to look at these aspects of repercussion of development initiatives. He also focused on the need to explore alternate livelihood opportunity while keeping intact the cultural and social ethos of the community. Discussion: In the ensuing discussion Mr. Manohar stressed on the need for developing a many sided collective effort.. With the Government framing of laws that legitimizes such destructive processes of development, it had become all the more important to have coordination among those resisting such process in order to be able to raise a common voice against these measures. He also stressed on the need to build a public opinion about such issues. Raising objections to one of the points that Prof. Panda had made about making communities share holders within a developmental project, Mr. Ashish Kopthari said that this approach has inherent danger to it does not solve anything but legitimizes an economic category of the same policies that we are struggling against. What is instead required is a more socio-culturally holistic approach. The wilds should not be thought of as a commodity as it has its own intrinsic value which should not be brought into the cost-benefit based th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative 203 paradigm of neo-liberal economics. He also stressed on the need to look beyond coal & fossil fuel -based solution to meet energy needs as the world is already moving towards alternative ways of harnessing energy that are not environmentally destructive .Adding to this Mr. Aseem Shrivastav said that “Einstein once said that, “Not all that is worth counting is countable and not all that is countable is worth counting”. His concern was that any intellectual compromise needs to be looked at carefully in the current context. He substantiated his argument by citing the fact that the Human Development Index and National Family Health Survey only proves that in the name of growth, the poor in India are struggling for existence. This, according to him, can not be named as sustainable development. The dominant discourses concept of economic rationality excludes ecological rationality. Qualitative aspects of life that shapes the quantitative aspects need to be looked into. We should keep these facts and argue with a clear perspective without forgetting that all the current paradigms of economic development cater to transnational interests that promote neo-colonialism. At the end of the workshop, with vote of thanks by Milind Wani from Kalpavriksh. Day III - 28th Jan 08; Session II A press meet was conducted at the end of the workshop. This was attended by representatives from various media houses (See annexure 1 and annexure 2). The panel consisted of Mr. Ashish Kothari (Kalpavriksh), Mr. Ritwick Das (supreme Court Lawyer), Mr. Aseem Shrivastav(independent writer), and Mr. Prasant Mohanty (Vasundhara). Closure th th National Workshop on Underlying Causes Of Deforestation and Forest Degradation in India (26 – 28 January 2008) Organized By: Kalpavriksh (Pune/Delhi) and Vasundhara (Bubhaneswar) Under the aegis of Global Forest Coalition Underlying Causes Initiative