The challenges of community participation in forest development in Nepal

THE WORLD BANK OPERATIONS EVALUATION DEPARTMENT The Challenges of Community Participation in Forest Development in Nepal Nalini Kumar Director-General, Operations Evaluation: Robert Picciotto Director: Gregory K. Ingram Manager: Alain Barbu Task Manager: Nalini Kumar The author is a Senior Evaluation Officer in the OED Sector and 2002 Thematic Group (OEDST) of the World Bank. This paper is The World Bank available upon request from OED. Washington, D.C.  OPERATIONS EVALUATION DEPARTMENT ENHANCING DEVELOPMENT EFFECTIVENESS THROUGH EXCELLENCE AND INDEPENDENCE IN EVALUATION The Operations Evaluation Department (OED) is an independent unit within the World Bank; it reports directly to the Bank's Board of Executive Directors. OED assesses what works, and what does not; how a borrower plans to run and maintain a project; and the lasting contribution of the Bank to a country's overall development. The goals of evaluation are to learn from experience, to provide an objective basis for assessing the results of the Bank's work, and to provide accountability in the achievement of its objectives. It also improves Bank work by identifying and disseminating the lessons learned from experience and by framing recommendations drawn from evaluation findings. OED Working Papers are an informal series to disseminate the findings of work in progress to encourage the exchange of ideas about development effectiveness through evaluation. The findings, interpretations, and conclusions expressed here are those of the author(s) and do not necessarily reflect the views of the Board of Executive Directors of the World Bank or the governments they represent. The World Bank cannot guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply on the part of the World Bank any judgment of the legal status of any territory or the endorsement or acceptance of such boundaries. Contact: Operations Evaluation Department Partnerships & Knowledge Programs (OEDPK) email: ecampbellpage@worldbank.org email: eline@worldbank.org Telephone: 202-458-4497 Facsimile: 202-522-3125 http:/www.worldbank.org/oed  iii Contents Preface............................................................................................................................................iv Abbreviations and Acronyms........................................................................................................v 1. Introduction .......................................................................................................................1 2. Summary Findings and Lessons ......................................................................................2 3. Background........................................................................................................................5 The Forest Sector in Nepal..................................................................................................5 Community Participation in Forest Resource Management--How Did It Begin? .............5 International Support and Bank Lending for Community Forestry ....................................7 4. The Success in the Hills.....................................................................................................8 5. Challenges of the First Phase .........................................................................................10 6. The Second Phase Challenges ........................................................................................13 Boxes Box 1. The User Group (UG) Approach in Community Forestry: How Does It Work?........6 Box 2. Ramche UG: A Target-Driven Exercise?......................................................................11 Box 3. Jalbire Women's Community Forest Group ................................................................15 Box 4. Forest Regeneration: Do the Poor Lose?.......................................................................17 Box 5. Chhatiwan Community Forest.......................................................................................19  iv Preface This thematic overview draws on a survey of the literature, and extensive discussions with donors, civil society, and other stakeholders. The report also draws on a recent Joint Technical Review of the Community Forestry Program in Nepal, a collaborative effort between the government and its development partners. In addition, the review builds on the research done for the Operations Evaluation Department (OED) review of the Bank's 1991 Forest Strategy and its implementation. Community forestry has been under implementation in Nepal for more than two decades. Nepal's unique experience offers broad lessons for other countries that have just begun supporting community participation initiatives in forest protection and management. The review also offers analysis that is pertinent to community-driven development (CDD), an approach which is currently favored within developing countries by the World Bank as well as other multilateral and bilateral institutions.  v Abbreviations and Acronyms COs Community organizations CDD Community Driven Development DANIDA Danish International Development Assistance DDC District Development Committee DFID Department for International Development DFO District Forest Officer ERR Economic rate of return FAO Food and Agriculture Organization of the United Nations FECOFUN Federation of Community Forestry Users Nepal FD Department of Forests FUG Forest user group GTZ German Technical Co-operation HCFP Hill Community Forestry Project HIMAWANTI Himalayan Grassroots Women's Natural Resources Management Association HMG His Majesty's Government of Nepal ICR Implementation Completion Report ICIMOD International Center for Integrated Mountain Development IDA International Development Association LSGA Local Self-Governance Act NGO Nongovernmental organization NNTP's Non-timber forest products ODA Overseas Development Assistance (UK) PAR Performance Assessment Report PCR Project Completion Report SAR Staff Appraisal Report SDC Swiss Agency for Development and Co-operation TCN Timber Corporation of Nepal VDC Village Development Committee UG User group UGM User group management UNDP United Nations Development Program WATCH Women Acting Together for Change   1 1. Introduction Nepal is a leader in engaging communities in forest resource protection and management. The country's community forestry program is now more than two decades old and has helped regenerate substantial areas of degraded forests. During these two decades, the implementation of the program has not been smooth. In the absence of precedents, the country has had to learn through trial and error and find innovative solutions to meet challenges as they emerged. Most economic and social indicators put Nepal among the poorest countries in the world, with an estimated 40