Parliament ratifies Timber Utilisation Contracts for sustainable trade

Parliament ratified the Timber Utilization Contracts (TUCs) for timber exploitation on Thursday, July 11, during the third meeting of the Fourth Session of the Eighth Parliament of the Fourth Republic.

This approval includes eleven TUCs out of the initial nineteen submitted for ratification as required by the Constitution.

The ratification enables Ghana to issue Forest Law Enforcement, Governance, and Trade (FLEGT) Licenses, facilitating the export of timber and timber products to the European market.

As a result, Ghana will become the first African country, and the second globally after Indonesia, to issue FLEGT Licenses for timber products.

On March 31, 2022, during its 26th meeting, the Cabinet approved the conversion of 156 timber concessions and permits into TUCs according to Section 19 of Act 547. These TUCs were presented to Parliament for ratification.

Act 547, effective since March 18, 1998, mandates that timber harvesting requires a TUC. Previously, timber rights were granted through concessions, leases, and permits under the Concessions Act of 1962 (Act 124).

The introduction of TUCs signifies a significant policy reform aimed at establishing a competitive system for allocating timber resources.

Section 19 of Act 547 states that existing timber rights before the Act's implementation were valid for only six months, requiring holders to apply for TUCs within this period. However, nearly 25 years later, these concessions and leases had not been converted into TUCs until now.

The recent conversion of these concessions and leases into TUCs and their subsequent ratification by Parliament signifies substantial progress in the legal timber trade, aligning with the European Union's requirements.

This Parliamentary ratification concludes the process of granting timber rights and underscores the government's commitment to the legal and sustainable management of Ghana's forest resources.

Ratifying these TUCs also positions Ghana to fulfill its obligations under the Voluntary Partnership Agreement (VPA) with the EU regarding FLEGT Licenses.

This move supports the fight against deforestation and forest degradation, enhancing environmental and natural resources governance, and contributing to the achievement of Sustainable Development Goals (SDGs).

MA/NOQ