Gov’t commits $2B from mining revenues for protected areas fund

Natural Resources and the Environment Minister Robert Persaud yesterday announced that $2 billion in revenues from mining will be channelled to the National Protected Areas Trust Fund (NPATF).

The US$10 million (equivalent to about $2 billion) allocation would complement $1.7 billion already contributed by other sources.

The announcement comes amid growing concern over deforestation that has been caused by mining and the likelihood of this increasing this year because of expanded mining. Increased deforestation caused Guyana to lose US$20 million (about $4 billion) last year in payments under a forest protection facility with Norway.

In a statement, the ministry described the allocation as “a ground-breaking move towards improved environmental stewardship” and said that Persaud announced the allocation at the first Board of Trustees meeting of the NPATF. According to the Minister, the country has recently made significant strides in establishing a national protected areas system, and this endowment will further support efforts to conserve Guyana’s natural heritage, the statement said.

The announcement also underscores the government’s commitment to the Low Carbon Development Strategy and the conservation of biodiversity in Guyana, it added.

“With the contribution of US$10 million by the government to the NPATF, Guyana joins a select group of countries that have made similar commitments to their Protected Areas financing. However, unlike many… countries in the region, Guyana has taken the novel approach of using proceeds from the extractive sector to support protected areas management, and in doing so, further reaffirms Guyana’s deep and abiding commitment to finding the balance between conservation and development,” the statement said.

The NPATF is called for under the Protected Areas Act 2011 and is the latest major component of the country’s multifaceted approach to protected areas development to come on stream, the ministry said. “The Trust is separate and apart from the Protected Areas Commission, and is managed as a body corporate by a six member Board of Trustees. The Trustees were nominated by the government, the Private Sector Commission, the University of Guyana, the National Toshaos Council, and non-governmental donors,” it pointed out.

Members of the Board of Trustees include Major General (rtd) Joseph Singh and Maurice Munroe representing the Government of Guyana; Annette Arjoon-Martins for the Private Sector Commission; Joycelyn Williams for the University of Guyana; Daniel Aguilar for the National Toshaos Council and Dr David Singh for the major donors.

To date, the NPATF has also received commitments of US$5.3 million from the Government of Germany and US$3.5 million from Conservation Internatio-al’s Global Conservation Fund. The NPATF will function primarily as an endowment fund, where the funds received will be invested in various secure international markets to ensure a steady and attractive rate of return, competitive with other similar trust funds. The revenue generated by these investments will then be used to implement management plans, strengthen monitoring and enforcement in protected areas, support sustainable community enterprises, biodiversity conservation, and environmental education and awareness.

Guyana established its Protected Areas System with the passing of the national Protected Areas Act in 2011. This was quickly followed by the creation of new protected areas, the Protected Areas Commission and interventions aimed at improving the management of the system. The Protected Area System is made up of the Kaieteur National Park, Kanuku Mountains Protected Area, Shell Beach Protected Area, Iwokrama Rainforest, the Zoo and Botanical Gardens and other urban parks.

In July 2012, the Trust Fund was launched and Persaud assured that logging, mining and other natural resources industries would not be affected.

“I would like to state clearly that establishing a system of protected areas and pursuing the utilisation of our natural resources are not mutually exclusive, but rather complementary activities. This will not lead to any reduction of mining, forestry or any other extractive activity,” Persaud had said at the launching at the Umana Yana.

The fund will provide long-term financing for the management of Guyana’s intact protected areas system (PAS) and will support efforts by the government, along with local communities, to manage the country’s PAS. The fund was established in part to recognise the outstanding contribution of the PAS initiative for Guyana, the region and the world.

Persaud had said that Guyana’s policy is to take a parks-with-people ap-proach to protected areas. He had said that protected areas are not just important tools for the conservation of biodiversity, but are a key piece of the sustainable development puzzle.