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  • 1. ENPI FLEG RegionalConference
    Tuukka Castrén
    World Bank
    Chisinau/July 13 - 14, 2010
  • 2. Structure
    Why forests are special governance challenge
    Addressing governance
    ENA FLEG Process
    What has happened after St. Petersburg
  • 3. 3
  • 4. What do thieves want?
  • 5. Winner is…
  • 6. Forests Matter
    Over 400 million people depend
    on forests for income, food, energy,
    medicines and shelter.
    Global trade in primary wood products is about US$ 186 billion/yr and the total trade in all wood products is several multiple higher.
    20% of global carbon emissions come from deforestation and degradation
  • 7. Costs of poor forest governance
    Livelihood losses to forest dependent communities
    Local and global environmental losses – (climate change and biodiversity)
    Fiscal losses to state
    Spread of crime and corruption (corruption contagion)
    Undermining institutions
    Undermining legitimate forest enterprises
  • 8. Corruption and Illegal Logging
    Corruption in the forest sector is globally pervasive
    Has many forms:
    Criminal: illegal logging, smuggling, extortion
    Legal but corrupt: state capture, institutional erosion, rent seizing
    Scale is vast – but quantitative estimates remain elusive:
    Illegal logging (roundwood)on public lands estimated at >10bn per annum
    Illegal roundwood trade estimated at >1.2bn per annum
  • 9. Ways to Improve Governance
    Increase economic efficiency: reduce monopolies
    Reduce administrative discretion
    Increase accountability
    Increase transparency
    Involve stakeholders
    Improve compliance
  • 10. Components of Forest Law Enforcement
    Good governance
    Theft Prevention
  • 11. ENA-FLEG road map
    Invitation at UNFF-4 (May 2004)
    National Preparatory Processes
    Civil society and Industry processes (dialogue)
    Preparatory Conference (Moscow, 2005)
    Interim Period (Drafting/Informal consultations)
    Ministerial Conference (St.-Petersburg)
  • 12. Declaration: key themes
    National - 11 principles on
    commitment to improve fleg and forest legislation
    strengthening institutions, human capacity, cooperation and anti-corruption actions
    engaging with stakeholders and recognizing rights and knowledge of forest-dependent and indigenous people
    exchanging and disseminating information and promoting implementation and analytical work
  • 13. Declaration: key themes
    International - 11 principles on
    strengthening cooperation on and information sharing fleg and trade (incl. wildlife, CITES)
    monitoring, assessment, reporting of progress on FLEG and promoting transboundary collaboration
    promoting partnerships with private sector and civil society
    enhancing awareness raising
  • 14. Declaration: key themes
    Implementation - 7 principles on
    endorsing indicative list of action as the framework for implementation
    international organizations (particularly World Bank), institutions, processes to support implementation
    follow-up structures
  • 15. Indicative actions
    National Actions:
    Policy frameworks
    Legislation systems
    Institutions and capacity building
    Sustainable forest management
    Rural development, livelihoods and poverty alleviation
    International Action:
    Forest related policies
    Trade and customs
    Collaborative implementation of actions
  • 16. Observations
    process reflects the situation in the region
    joint commitment between the governments, private sector and civil society
    includes issues raised by NGOs and private sector
    strong civil society and private sector participation
    sensitive topics, like corruption, transparency, participatory approach, certification
  • 17. Observations
    action is needed to avoid loss of momentum
    great degree of responsibility on the WB to facilitate this process
    support of international community is needed for poorer countries
  • 18. Follow-up
    ENA-FLEG Ministerial Conference(44 countries and European Commission) – St. Petersburg, November 2005
    FLEG Implementation Workshop– Antalya, May 2006
    Guidelines for National Action Plan Implementation
    5th MCPFE Conference – Warsaw, Nov. 2007
    Work Program for 2008-2010
    FLEG Expert Meeting – Bucharest, Oct. 2008
    Review of FLEG and FLEGT Status and Lessons
    Program on Improving Forest Law Enforcement and Governance in the ENP East Countries and Russia (2008-2011)
  • 19. Some key issues
    Definition of (il)legality must be national
    National definition, not same everyplace
    Covers i) domestic consumption, ii) regulated export to sensitive markets, iii) exports to non-sensitive markets
    Ministerial Conference: useful framework and a good start
  • 20. International Context
    Regional processes
    Asia, Bali declaration
    Africa, Yaoundédeclaration
  • 21. Changes in Global Context
    Forest governance recognized as key ingredient
    Consumer country legislation
    Timber regulation (EU)
    Amended Lacey act (US)
    other countries (JPN, Australia)
    whole supply chain
    Climate change: Reduced Emissions from Deforestation and Degradation (REDDplus)
  • 22. 22
  • 23. Thank you