Governance of Forest Concessions in the Amazon: Opportunities for Improvement Based on Evidence in Pará – CPI
Governance of Forest Concessions in the Amazon: Opportunities for ... Climate Policy Initiative
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Logging and Forest Concessions in the Amazon: Opportunities for Improvement
Introduction
The logging industry in the Amazon has a long history, dating back over 300 years. However, it experienced significant growth in the 1960s with the development of highways through the forest. This expansion was further fueled by government incentives promoting agriculture, mining, and timber extraction, resulting in extensive and unplanned logging practices that contributed to deforestation.[1][2][3]
The Public Forest Management Law and Forest Concessions
In 2006, the Brazilian government enacted the Public Forest Management Law (LGFP) to ensure the sustainable use of public forests, particularly in the Amazon. The law introduced a forest concession system aimed at reconciling environmental protection with profitable private exploitation of natural resources, thereby combating land grabbing.[4][5]
Challenges and Limitations of Forest Concessions
While forest concessions were seen as a promising solution, their implementation fell short of expectations. Currently, federal concessions only cover timber extraction in approximately 1.3 million hectares, far from the initial goal of four million hectares by 2010. State concessions in the Amazon have progressed even more slowly, with only 551,000 hectares under exploration in two states—Pará and Amapá.[7]
Several factors contribute to this modest growth, including competition with the illegal market, legal disputes involving indigenous peoples and traditional communities, and the issuance of concessions that lack economic viability. However, this study highlights governance fragilities as a significant limiting factor.[8]
Research on Forest Concessions in Pará
This publication presents the evolution of forest concessions in the Amazon, focusing on the state of Pará. Through a detailed analysis of concession procedures in Pará and interviews with market representatives, researchers from Climate Policy Initiative/Pontifical Catholic University of Rio de Janeiro (CPI/PUC-Rio) identify governance concerns and draw lessons to advance the agenda of forest concessions in the region.
The analysis reveals situations in Pará involving the cancellation of bids, non-concession of areas, and termination of concession contracts. Out of 17 attempts to concede an area for state concessions in Pará, only 53% were successful in the long term. The cancellation of bids is often due to errors in the preparation of proposal documents, indicating limited capacity among the responsible agencies. Non-concession of areas may result from low qualification of concessionaire candidates, prolonged bidding processes, and restrictions on the quantity and total area that can be conceded to a single company. Contract termination may be caused by non-compliance with qualification and regularity conditions, proposal terms, and forest and labor management norms.
Recommendations for Improvement
To enhance the success and sustainability of forest concessions, the following recommendations are proposed:
- Eliminate legal restrictions on the quantity and total area that can be conceded to a single company, allowing more qualified companies to scale up their operations and work in larger areas.
- Improve the training of public officials responsible for forest concession management to enhance the quality of bidding procedures, including preliminary concession studies, call for proposal models, and contract terms.
Conclusion
As the Public Forest Management Law undergoes reforms to include carbon credits trading and new types of environmental services, addressing governance concerns becomes even more crucial. By implementing improvements in governance, forest concessions can solidify as sustainable business models and contribute to the achievement of the Sustainable Development Goals (SDGs).
The authors would like to thank João Pedro Arbache and Gustavo Pinto for preparing the figures illustrating the section on the evolution of forest concessions in the Amazon. We would also like to thank Giovanna de Miranda, Camila Calado, and Letícia Miranda for the editing and revision of the text, and Nina Oswald Vieira and Meyrele Nascimento for formatting and graphic design.
References
- Becker,
SDGs, Targets, and Indicators Analysis
1. Which SDGs are addressed or connected to the issues highlighted in the article?
- SDG 15: Life on Land
- SDG 12: Responsible Consumption and Production
- SDG 16: Peace, Justice, and Strong Institutions
The issues highlighted in the article are related to deforestation, land grabbing, and the governance of forest concessions in the Amazon. These issues are directly connected to SDG 15, which focuses on protecting, restoring, and promoting sustainable use of terrestrial ecosystems. SDG 12 is also relevant as it promotes responsible consumption and production, including sustainable management of natural resources. Additionally, SDG 16 is connected to the issues discussed as it aims to promote peaceful and inclusive societies, provide access to justice for all, and build effective, accountable, and inclusive institutions at all levels.
2. What specific targets under those SDGs can be identified based on the article’s content?
- SDG 15.2: By 2020, promote the implementation of sustainable management of all types of forests, halt deforestation, restore degraded forests, and substantially increase afforestation and reforestation globally.
- SDG 12.2: By 2030, achieve the sustainable management and efficient use of natural resources.
- SDG 16.6: Develop effective, accountable, and transparent institutions at all levels.
Based on the article’s content, the specific targets that can be identified are related to sustainable forest management, halting deforestation, and improving governance in forest concessions.
3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?
Yes, there are indicators mentioned in the article that can be used to measure progress towards the identified targets. These indicators include:
- Number of hectares of forest concessions in the Amazon
- Success rate of concession bids
- Number of areas canceled, not conceded, or with terminated contracts
- Qualification and regularity conditions of companies
- Compliance with forest and labor management norms
These indicators can be used to measure progress towards the targets by tracking the expansion of sustainable forest management, reduction in deforestation, and improvements in governance and transparency in forest concessions.
Table: SDGs, Targets, and Indicators
SDGs Targets Indicators SDG 15: Life on Land Target 15.2: By 2020, promote the implementation of sustainable management of all types of forests, halt deforestation, restore degraded forests, and substantially increase afforestation and reforestation globally. – Number of hectares of forest concessions in the Amazon
– Success rate of concession bids
– Number of areas canceled, not conceded, or with terminated contractsSDG 12: Responsible Consumption and Production Target 12.2: By 2030, achieve the sustainable management and efficient use of natural resources. – Number of hectares of forest concessions in the Amazon
– Qualification and regularity conditions of companies
– Compliance with forest and labor management normsSDG 16: Peace, Justice, and Strong Institutions Target 16.6: Develop effective, accountable, and transparent institutions at all levels. – Success rate of concession bids
– Compliance with forest and labor management normsBehold! This splendid article springs forth from the wellspring of knowledge, shaped by a wondrous proprietary AI technology that delved into a vast ocean of data, illuminating the path towards the Sustainable Development Goals. Remember that all rights are reserved by SDG Investors LLC, empowering us to champion progress together.
Source: climatepolicyinitiative.org
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