Levy on income of State bodies that benefit from natural resources - Environment Minister

Stanley Seneviratne, Kurunegala North group correspondent

KURUNEGALA: Legal provisions would be introduced to levy a portion of the income generated by State institutions that benefit from natural resources such as reservoirs and forests protected and maintained by the Forest Department, said Minister of Environment and Natural Resources Patali Champika Ranawaka.

He was addressing the 12th annual session of the Forest Resources Conservationists Organisation (FRCO) at the Central Environment Authority.

The Minister said the Ceylon Electricity Board generates hydro electricity utilizing water resources in reservoirs in the catchment areas maintained and protected by the Forest Department. The Timber Corporation sells timber only on the timber value, much cheaper than the existing market value.

This must be stopped. The Forest Department must gets its due share from other State institutions for natural resources protected and maintained by the department.

This could be rectified by allocating a few cents from the income collected by the CEB from the electricity bill of the consumer to the Forest Department. From next year the CEB will have to pay a few cents to the Forest Department for every unit of electricity generated by hydro power.

Referring to the grievances highlighted by the members of the FRCO the Minister said a Conservation of Forest Resources Service should be established to cater to the present day demands and motivate, those who serve the department with dedication.

Ranawaka said the Department of Forest Conservation is not a burden to the Treasury as it repays the annual allocation to the Treasury from the income it generates. It does not owe a cent to the government.

Hence the Ministry of Environment and Natural Resources does not intend to toe the line of international organisations and depend on the financial regulations of the Ministry of Finance in the future.

He said the Forest Department must generate its own income. In India the annual income of the Department of Conservation of Forests is Rs. 50 million and stressed that in the future permits would not be issued to clear forests in the guise of constructing golf links, sugar cane plantations and new settlements.