Norway releases another US$40M in forest funds

By Janelle Persaud and Jasmaine Payne

Norwegian Minister of Environment and International Development, Erik Solheim

Norwegian Minister of Environment and International Development, Erik Solheim, has announced that his country will immediately make available to Guyana the second tranche of US$40 million under the existing climate deal, while assuring that the strictest standards of transparency will be applied.

Solheim, who arrived in Guyana on March 31, on a two-day visit, was speaking at an event at the State House in Georgetown. This is the second payment under the Guyana-Norway partnership, which could see Guyana benefitting from some US$250 million over five years, once it confirms to requirements under the agreement. Under the 2009 Memorandum of Understanding between the two countries, Guyana has to maintain high levels of forest cover. Solheim has stated that, as discussions continue in Georgetown today, a plan to ensure that funds and projects are fast-tracked will emerge.

He was impressed with Guyana’s rate of deforestation, despite concerns expressed by several groups both internationally and locally. “In order for Guyana to develop… we cannot do that without harming a single tree. Some trees will be harmed, but it should be within the low historical deforestation rate. That goes to show that you can have low deforestation and development at the same time,” he said.

A recent report compiled by New Zealand-based consultants Pöyry Forest Industry stated that the country’s deforestation rate has increased from 0.02 per cent to 0.06 per cent, representing a 300 per cent increase in deforestation. But according to the revised Joint Concept Note between the two countries, Guyana will receive incentives to stop any increases in deforestation and forest degradation and to maintain a minimum of 99.5 per cent of its current forest cover.

Corruption, transparency

Meanwhile, Minister Solheim, at a follow-up press conference, was quizzed on two of the biggest concerns of various interest groups – corruption and transparency. He explained that the issue of opposing groups is not specific to Guyana, but obtains in all countries with which Norway has similar agreements.

Agriculture Minister Robert Persaud, Head of the Climate Change Unit, Shyam Nokta; Minister of Amerindian Affairs, Pauline Sukhai, and other officials at State House on Thursday night

He added that the strictest anti-corruption measures are applied in these agreements, and partner entities such as the Inter-American Development Bank have very strict standards that monitor the process. “There will always be a bidding process of a tender process if there is procurement, and the strictest international standards will be applied… there must be strict standards for anti-corruption and also strict international standards for environmental and social concerns,” he said.

He added, though, that Norway does not want to determine how Guyana spends the money, and asured that Guyana must know the rules under which it must play.

The Norwegian minister, who is here for the second time, congratulated Guyana for its role in the global fight against climate change. “Guyana is boxing above its weight,” Solheim said humorously. He said that, for such a small country, Guyana is a leader on the global scene, with some big countries patterning their programmes after the LCDS. “Guyana is making national development and the fight against climate change compatible rather than competing objectives. Through this partnership we have achieved a lot, and there is plenty still to do. Norway will remain a trustworthy partner with Guyana.”

Climate fight wanes

Meanwhile, President Bharrat Jagdeo said international efforts to fight the global phenomenon have waned because of the lack of political will. He, however, praised Norway – a developed country – for its commitment to the fight. “It will be very easy for countries like Guyana and Norway to lie down in the face of these climate change skeptics…I very much value Norway’s willingness to look beyond these skeptics and to work to forge workable solutions to the challenge of deforestation and forest degradation,” Jagdeo expressed.

Making reference to the US$70 million so far released to Guyana by Norway, Jagdeo said this is a significant sum for a small country like Guyana, noting that it could catapult the country’s economy and the lives of its people to unbelievable heights. He mentioned the ongoing information communication and technology (ICT) drive which will ultimately see every home in the country being equipped with computers and having access to the Internet.

“We need to think about the young child in Paramakatoi, Guyana, who is just as entitled to Internet access as a child in Europe or the United States; the Amerindian villagers who require legally-binding titles to their lands; the small business in Anna Regina who wants cheaper, cleaner energy…these are the people who matter.”

On the issue of transparency, the president said that, from the inception, Guyana has ensured transparency in the use of the first tranche of funds by ensuring that it was reflected in the country’s revenue and in the 2011 National Budget. “We have committed it to public tender, as we have done in Guyana with all our projects that are audited by the Auditor General,” he said.

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