KOTA KINABALU: Sabah has achieved about RM40 million in revenue from crude palm oil (CPO) sales taxes and fresh fruit bunches (FFB) forest royalties last year.
Sabah Forestry Department (SFD) director Datuk Sam Mannan expects the figure to increase to RM100 million in the next five years.
He added those figures were an indication of the importance of oil palm plantations for the state’s economy and why the controversy surrounding them is unfair.
“Recently, a video clip has circulated, alleging massive deforestation and conversion (of the forest) to oil palm (plantations) in the Kalabakan-Gunong Rara Forest Reserve area.
“This video is misleading as it does not tell the whole story.
“In fact, the oil palm plantations in question are actually part of an agreement made between Yayasan Sabah, SFD, and the state government to address concerns regarding unsustainable logging,” he said.
The 2004 agreement saw Yayasan Sabah returning most of its forest concession areas, which were reserved for logging purposes, back for conservation and restoration.
“Over 684,842.75 hectares (65 per cent) of Yayasan’s concession areas have been converted to totally protected areas (TPAs) for conservation.
“If the earlier areas annexed for conservation over the years are taken into account, Yayasan Group would have sacrificed not less than 884,000 hectares for TPAs since the 1980s.
“With this level of unmatched sacrifice, Yayasan must find an alternative income to make up for the loss (of profits) and thus, the option with oil palm,” Sam added.
As part of the agreement, a portion of the logged areas were turned into oil palm plantations, while still maintaining their forest reservation status – a possible source of confusion for locals who falsely believe that the reserves are being destroyed for oil palm trees.
He added the forestry department decided that these plantations should still be considered forest reserves on the basis that after 30 years or so, the oil palm trees will be removed and the land be reforested.
While conceding that planting oil palm trees in a forest reserve may be a controversial use of the land, Mannan claims that the benefits far outweigh the negatives.
As mentioned earlier, the pragmatic decision has so far led to financial profit, covering Yayasan’s losses.
Furthermore, having the oil palm plantations as an alternate source of income has effectively reduced the government’s dependency on forest revenue, resulting in dramatically reduced logging and thus, better preserved forests.
“(In other words), an economic alternative has helped to support conservation.
“Nearly 900,000 hectares (of forests sacrificed for conservation purposes) is a global phenomenon, not known anywhere else in this country,” Sam said, adding Sabah’s massive forest reserves are also a hotspot for scientific expeditions, such as the UK Royal Society’s SAFE Project in 2011.
He added while the oil palm plantations may represent an eventual forest loss of 2.5 per cent for Sabah, they will ultimately aid in promoting the creation of 30 per cent of conservation or more.
“The allegation of wanton forest destruction is therefore malicious, reckless and will do harm to Sabah’s best efforts to have balanced development,” he concluded.
Meanwhile, Sam also took the opportunity to address issues that were brought up regarding Yayasan’s helicopter logging, or ‘heli-logging’ operations in the Tawau region.
Parti Warisan Sabah vice-president Junz Wong had raised several points of contention with the practice.
Notably, Wong claimed that one of the contractors was given a highly lucrative deal where they were only required to pay RM65 per cubic metre, and that helicopter logging could result in environmental damages.
In response, Sam said that price was negotiated at a time when timber prices were not as good as they are today.
It is believed that the rates will be reviewed by Yayasan after the contractors have finished harvesting.
On the topic of environmental damage, Sam said that operations in the area are under strict conditions to reduce any damage and ensure improved forest regeneration.
“Maliau Basin (the forest reserve in question) is safe. It is being watched every day.”