The Rainforests of Cameroon - PROFOR

156 Appendix 6Forestry taxation reform. An economic and fiscal audit was conductedunder the joint responsibility of the Ministries of Finance and Forestryby an internationally recognised Committee of Expert Economists. Theobjective of the audit was to redefine the framework for sharing the revenuederiving from the exploitation of forest resources between the Governmentof Cameroon, private operators and the population. The finalreport of that audit, which was validated in March 2000, made a numberof recommendations which gave rise to major reforms adopted by theNational Assembly. Such reforms include:(i) Competitive allocation of forest exploitation permits;(ii) Establishment of a deposit system;(iii) Clarification of industrial free zones;(iv) New forest products taxation modalities.Some reforms are still not implemented. These include the quota systemfor timber exports and the setting up of a system for equitable distributionof the share of forest royalties paid to local councils and communities(Equalisation Fund).Definition of the rules relating to forest development plans. Order No.222/MINEF of 25 May 2001 defines the rules for the preparation, designand monitoring/control of development plans in forest concessions. Itprovides a detailed practical guide to all stakeholders involved in thesustainable management of forest resources.Establishment of a bank deposit system. Forest exploitation permits aregranted to operators after due payment of a bank deposit that covers allthe risks of non-compliance with fiscal and environmental commitments.This system is aimed at discouraging speculative practices which are veryrife in the forest sector.Supervision of management plans. Partnership with two internationallyrecognised environmental NGOs has made it possible to strengthen theability of the Ministry of Forestry to supervise management plans andallows for operational monitoring of exploitation activities in forestedareas in Cameroon. The convention signed between the Governmentand Global Forest Watch—World Delivered by The World Resource Bank e-library Institute to: (GFW), allowsfor the monitoring of forest The exploitation World Bank activities in permanent andIP : 192.86.100.34agro-forestal estates by means Mon, 09 of Nov advanced 2009 17:06:18 satellite imagery technologies.A map of the road network within FMUs and Sale of Standingvolumes is produced each year. A second contract has been signed with(c) The International Bank for Reconstruction and Development / The World Bank