economics class 11 unit 5 natural resources of nepal

8/13/2019 Economics Class 11 Unit 5 Natural Resources of Nepal

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Natural resources of Nepal

Natural resources of Nepal

The natural resource plays an important role in economic development of acountry. The prosperity in natural resources and their proper utilization makes a country

rich. Nepal is rich in terms of natural resources. The major natural resources of Nepal are:

water resources, forest resource, mineral resources, soil, etc. These resources areimportant for the development of agriculture, industry and trade. But these resources have

not been properly utilized in Nepal.Major Natural resources of Nepal

I. Water resources:Nepal is one of the richest country in water resources in the world. It stands in the

second position after Brazil in water resources. But economic development of Nepallargely depends on the development of water resources. There are more than 6000

rivers in Nepal. The water resources can be utilized in the development of agriculture,

industry and trade.

Importance of water resource in economic development:Water resource is very important in the overall development of Nepal. Water

resource can be used for electricity generation, irrigation purposes and drinking purposesas well. It is regarded as the basic source of energy. The importance of water resourcesare as follows:

I. Development of Agriculture:Nepal is an agricultural country. Agriculture is the backbone of Nepalese

economy. The agriculture sector can be developed only with the adequate

provision of irrigation. Irrigation helps in crop diversification, increase in

production and modernize agriculture.

II. Development of transport and communication:The development of transport and communication are pre-requisites of

economic development. The means of transport like ropeway, cable car,railway, trolley bus can be developed only with the aid of electricity. It also

helps to develop means of communication like radio, television, computer,

fax, e-mail, internet, etc. These means of communication can be develop withhelp of hydroelectricity.

III. Development of Industries:The development of hydroelectricity is the basis of industrialization. One

of the obstacles of industrialization in Nepal is inadequacy of electricity. The

medium and large scale industries need heavy machinery, which cannot beoperated without electricity. Therefore, water resource helps to accelerate the

pace of industrialization in the country.

IV. Development of Tourism Industry:Tourism is major sources of foreign currency of Nepal. The water resource

helps in development of tourism industry through the provision of

hydroelectricity. Similarly, rivers, waterfall, natural spring, lakes, etc. add thenatural beauty of the country. It would help to promote tourism industry by

providing the facility of rafting, boating, swimming, fishing, etc.


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V. Preservation of forest resource:At present, Nepal is facing the problem of deforestation. The development

of hydroelectricity substitutes the use of firewood. Therefore, the developmentof electricity helps to preserve forest resource.

VI. Generation of employment opportunities:Nepal is facing the problem of unemployment and underemployment. The

development of water resources may create direct and indirect employment

opportunities. It is because hydroelectricity has to develop agricultureindustry, trade, tourism, etc. The economic activities increases in the country.

VII. Use of modern amenities:The development of hydroelectricity facilitates the use of modern

amenities like heater, fan, TV, washing machine, computer, radio and so on.

VIII. Source of foreign currency earning:There is greater prospect in the generation of hydroelectricity in Nepal. If

we could generate electricity, it would be highly beneficial because we will be

able to earn large amount of foreign currency through its export toneighbouring countries. Therefore, water resource is supposed to be white

gold of Nepalese economy.

Potential of Hydroelectricity in Nepal:Hydroelectricity is the main source of energy in Nepal. Nepal is a mountainous

country. Most of the rivers of Nepal flow from high hills and mountains with great speed.

There are more than 6000 rivers in Nepal. Therefore, the hydroelectricity power potentialof the country is great. The theoretical hydro power potential of the country is 83000 MW

out of which 42000 MW is economically feasible. The hydroelectricity potential of the

country has been shown in the following table:

River System Hydroelectricity Potential

1. Gandaki 21000 MW

2. Koshi 22000 MW

3. Karnali 32000 MW

4. Others 8000 MW

Total 83000 MW

Current uses of Water Resources:

Water resources available in Nepal can be used for generating hydroelectricity,providing irrigation facility and supplying sufficient drinking water to its people. The

present situation and utilization of water resources in Nepal has been presented below:

a) Hydroelectricity:The main use of water resource in Nepal is hydroelectricity generation.

There is greater potential to generate hydro-electricity in Nepal but by the end of

10th

plan the total installed capacity of hydro-electricity reached about 600 MWwhich is only 0.6% of the total potential. The hydro-electricity has supplied only

1% of the total energy consumption of the country. About 40% of the total

population has access to electricity facility in Nepal.

b) Irrigation facilities:Irrigation is the second important sector where water resources can be

used for the development of agriculture sector. Various efforts have been made

for the development of irrigation since the 1stplan in the country. But about 45%

of the total arable land has got irrigation facility in Nepal.


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c) Drinking Water:The pure drinking water is the basic need of the people. Nepal is rich in

water resources but the majority of people do not get pure drinking water. By the

end of 10th

plan about 75% of the population has got drinking water facility in

Nepal.

Problems of Water Resource development in Nepal:

There are various problems for the development of water resource in Nepal whichare as follows:

a. Lack of capital:The development of water resources requires large amount of capital for

constructing hydro-electricity projects, irrigation projects and drinking waterprojects but Nepal is a poor country. Majority of Nepalese people are poor they

have no capacity to save and invest. Thus, there is lack of capital for the

development of water resource in Nepal.

b. Lack of technical manpower:The development of water resource needs high level technology and

technical manpower but there is lack of such high level technology and

technicians in Nepal. Therefore, Nepal is compelled to import expensivetechnicians from abroad to operate the projects of hydroelectricity and irrigation.

c. Lack of Modern Equipments:The development of water resource needs modern machines tools and

equipments. But there is lack of such equipments in Nepal. We have to importthese equipments from foreign countries but there is lack of capital for this

purpose.

d. Lack of transport facility:Most of the hydroelectricity projects lie in the hilly region without

transport facilities. The transport facilities will have to be developed beforelaunching the projects. This increases the project cost significantly.

e. Lack of market:The domestic market of the country is very limited. The purchasing power

of the people is very low. The only exportable market is India. But the Indian

attitude is not favourable. Thus, lack of market is another problem for the

development of hydroelectricity in Nepal.

f. Defective government policy:The government policy is defective for the development of water resource

because of political instability. There is defect in formulation and desire of waterresource projects. There is lack of adequate statistical data.

Forest Resource:

Importance of forest resource:Forest is another important natural resource of Nepal. This resource has an

important contribution in the economic and social development. Forest resource is the

renewable natural resource. Therefore, appropriate scientific management and utilizationof this resource can accelerate the pace of economic development of the country. The

importance of forest resource in economic development are as follows:


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1. Source of energy:Forest is the main source of energy in Nepal. It provides fuel, wood to

meet the daily necessity of people. About 86% of the total energy consumption is

supplied by the forest resource.

2. Source of raw materials:It provides raw materials for forest based industries like paper, medicines,

plastics, matches, furniture, etc. Therefore, forest resource is the source of rawmaterials required for various industries in Nepal. Similarly, there are about 700

species of medicinal herbs in the forest of Nepal.

3. Source of fodder and animal habitat:Forest supplies fodder grasses to the cattle. It also provides grazing ground

to the cattle. Thus, it helps in livestock development. Similarly, it is the habitat of

wild animals live tiger, lion, bear, elephant, rhinoceros, rare birds and insects.

4. Control of soil erosion and landslide:Forest helps to control flood, landslide and soil erosion. The fertility of

land declines in the absence of the control of soil erosion. Therefore, forest is

regarded as the natural insurance against flood, landslide and soil erosion.

5. Source of water:Forest helps to maintain constant flow of water in rivers, canals and taps.

Forest is the main source of drinking water. Larger the forest area larger is the

rainfall.

6. Tourism development:Forest enhances the natural beauty. The rare wild animals and birds get

shelter in the forest. It also provide hunting spot. Therefore, forest helps to

develop tourism sector.

7. Source of public revenue:It is the main source of public revenue in Nepal. The government exports

various herbs and timber to foreign countries to earn foreign currency.

8. Ecological balance:Forest resource helps in environment protection and ecological balance.

The environmental degradation has serious effects on human beings, animals andbirds, agriculture and industries. According to forest sector expert at least 43% of

the total area should be forest area for ecological balance.

Causes of Deforestation:At present Nepal is facing the problem of deforestation. There are various causes

of deforestation which are as follows:

I. Source of energy:The alternative source of energy hasnt been developed in Nepal. Fuel

wood is the main source of energy in rural Nepal. About 75% of the energy

consumption is supplied by wood and fuel wood in Nepal. Due to this reasondeforestation is increasing in Nepal.


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II. Supply of construction materials:The wood and timber is essential for the construction of house, bridge,

industries and furniture industry. In rural areas, forest area are destroyed to meet

the need of agricultural tools and use as a fodder for cattle this has increase

deforestation.

III. Lack of employment opportunities:The problem of unemployment and underemployment can be found in

rural areas. Generally, the farmers are unemployed during the winter season.

There are no alternative employment opportunities outside agriculture. Therefore,

rural people illegally sale wood and fuelwood for extra income. This has also

increased deforestation.

IV. Migration:Deforestation is also caused by internal and international migration.

Migration from hills to Terai and from India is also responsible for deforestation

because they use forest land for settlement and construction of houses. This also

has increase deforestation.

V. Demand for raw materials:The forest-based industries are increasing in Nepal. Thus, there is increase

in demand for raw-materials for forest based industries like matches, paper,furniture, etc. As a result deforestation is increasing in Nepal.

VI. High population growth rate:The population growth rate is high in the country. There is high pressure

of population on agriculture. There is little development of non-agricultural

sector. Therefore, people are compelled to cultivate even in forest land. It also hasincrease deforestation.

VII. Uneducated people:The rural people are mostly uneducated. They are not aware of the future

problem of deforestation like landslide, soil erosion, lack of rainfall, etc. They are

only worried about the present need. So, they carelessly cut the trees. As a result,

deforestation is increase in Nepal.

VIII. Defective government policy:The government policy regarding preservation and development of forest

is defective because it changes frequently and it is less effective in nature. There

is lack of peoples participation in afforestation and preservation of forest

resource.

Consequences of deforestation:

Among various natural resources forest is the main natural resource. But at

present, Nepal is facing the problem of deforestation. Deforestation influences peopledirectly or indirectly. It has serious consequences on economic and ecological condition

of the country. The major consequences of deforestation are as follows:

i. Environmental deterioration:Deforestation brings environmental degradation which has serious effects

on plants and all living beings. It brings ecological imbalance, soil erosion, flood,drought and landslide. It created desertification in the country.


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c. Source of energy:The mineral resource is the major source of energy. It provides energy like

coal, petrol, diesel, etc. which are essential for industrial development. Theexistence of this energy in the country saves foreign currency.

d. Source of government revenue:The mineral resource and mineral based industries are the important

source of government revenue. The government can receive royalty from mineral.

Similarly, the government can earn foreign currency from the export of mineralproducts.

e. Development of transport sector:The energy is an important input in the development of transport sector.

The different means of transport like bus, truck, train, aeroplane, etc. need energy

to run.

f. Supply of construction materials:The construction materials can be supplied cheaply and adequately if there are

mineral resources in the country. This accelerates the pace of economicdevelopment in the country.

g. Increase in national income:The optimum utilization of available mineral resources within the country

would generate more employment opportunities in all sectors of the economy. It

helps to increase the amount national income of the country.

Current Situation of Mineral Resources in Nepal:Nepal is a mountainous country. So, there is a greater prospect of developing

mineral resources. The main mineral resources identified in Nepal are as follows:

a. Iron:Iron is an important mineral resource. Nepal has great prospect of iron

mines. The mine phul choki is regarded as the biggest iron mine of Nepal. Theother mines are Labdi khola, kulakhani, pharping, Godabari, bhaise, etc.

b. Copper:Nepal has great prospect of copper mines as well. The large cooper mine

has been identified in Bhutkhola. The other copper mines identified are Gyaji,

Baglung, Barabise, Kulekhani, etc.

c. Mica:The mica is used in electrical works. It is estimated that mica is also found

in large quantity in Nepal. The mica mines have been identified in Bhojpur,

Chainpur, Sundarijal, etc.

d. Limestone:Limestone is essential for cement products. The high grade limestone has

been found in Godawari, Markhu, Chovar, Bhaise, etc.

e. Slatestone:Slate mines have been identified in Bandipur, Trisuli, Dolakha, etc.


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f. Coal:It is estimated that coal mines can be found in the areas such as Sibaling of

Dang, Kathmandu Valley, Kagbeni and Thimika village of Mustang district.

g. Lead and Zinc:The lead and zinc mines have been identified in Arkhaule, Gallkot,

Ganesh Himal of Rasuwa district, etc.

Problems of Mineral Resource Development:There are various problems for the development of mineral resources in Nepal

which are as follows:

a. Lack of capital:The exploration and exploitation of mineral resources need large amount

of capital. But Nepal is a poor country. Therefore, there is lack of capital for the

development of mineral resources. Similarly, Nepal has not been able to receiveforeign assistance for mineral exploration and exploitation.

b. Lack of modern machinery and equipments:The mineral resource exploration needs expensive machinery and

equipments. These machinery and equipments will have to be imported fromforeign countries. But there is lack of capital for these purposes.

c. Insufficient infrastructures:The mineral resources of Nepal are largely located in remote hilly areas.

These areas do not have access to transport, communication and electricityfacilities. This is also one of the obstacles for mineral resource development.

d. Lack of technical manpower:The mineral resource exploration and utilization needs specialized

technical manpower. But there is lack of such manpower in Nepal.

e. Lack of appropriate government policy:There is lack of appropriate government policy for the development of

mineral resources. The government of Nepal has not been able to adopt

appropriate mineral policy. Similarly, the mineral acts are either vague orinadequate.

f. Inadequate research:There is inadequate research in the field of mineral resource in Nepal

because there is lack of experienced human resource modern technology and

equipments.

g. Lack of courageous entrepreneurs:The development of mineral resources requires lots of industries of

various scales. Establishment of these industries need large amount of capitalinvestment and courageous entrepreneurs. But there is lack of such entrepreneurs

in Nepal.

Environment and Natural Resource Management:The combination of various natural elements found in the earth surface is called

environment. In other words, environment is the sum of total of the natural resources. In


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economics various factors like soil, air, water, plants, minerals, living things,

geographical structure, etc. come under environment.

However, this environment has been damaged by the activities of man. The widespread environmental degradation has created many problems like air pollution, water

pollution, soil pollution, deforestation, loss of biodiversity, etc. This shows the need of

natural resource management because natural resource plays an important role forsustainable development.

Causes of environmental pollution:

Environmental pollution is growing in both developed and developing countries.But it has become more, serious in developing countries like Nepal due to the following

reasons:

a. High population growth rate:The high population growth rate is one of the major problems of natural resourcemanagement. High population growth directly contributes to environmental

degradation because in order to fulfill the needs of growing population natural

resources are to be utilized.

b. Wide-spread poverty:The wide-spread poverty leads to the overuse of natural resources because thepoor people use natural resources to fulfill their basic needs.

c. Inadequate public awareness:Most of the people of Nepal of rural areas are still uneducated. They are ignorantabout the scientific use of available resources. Therefore, they use resources

available to them in their own way which may cause environmental pollution.

d. Use of unnecessary chemicals:Use of unnecessary chemicals in agriculture is another reason for environmental

pollution. Nepalese farmers dont have adequate knowledge about the scientificuse of harmful chemicals in their farm.

e. Use of traditional skills and technology:The traditional skill and technology leads to excessive use of natural resources.

Therefore, traditional skills, knowledge and technology should be modified.

f. Lack of natural resource management:There is lack of natural resource management practice in Nepal. Most of the

people are not aware of the benefits of natural resource management.

Consequences of environmental pollution:At present, Nepal is facing the problem of environmental pollution. The growing

environmental pollution cause many adverse effects in our environment. The major

consequences of environmental pollution are as follows:

a. Air pollution:Air pollution is mostly urban areas of Nepal. Air pollution from Vehicles andindustries have resulted air-borne diseases. It adversely affects the working

capacity of people and reduces the average life expectancy as well.

b. Soil pollution:Soil pollution has been growing rapidly in Nepal due to the unscientific use of

chemical fertilizers in agriculture. It has increased acidity in soil, reduce fertilityof soil and accelerate the process of desertification in the country.


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c. Water pollution:Water resources are being polluted due to the mix up of industrial wastes anddrainage with drinking water pipes which is responsible for many water-borne

diseases.

d. Noise pollution:Growing noise pollution from the means of transport in urban areas is one of the

major problems of Nepal. Particularly, noise pollution has adversely affected thelives of the people of Kathmandu, Pokhara, Birgung and Biratnagar.

e. Atmospheric change:The unscientific use of natural resources like water, forest and mineral hasresulted many problems in the earth surface. The atmosphere is being polluted

due to the global warming, green house effect, increase in the quantity of carbon

monoxide and decrease of ozone layer in the atmosphere.

f. Natural calamities:The rapid deforestation has resulted uneven, unnatural irregular and scarcity of

rainfall. As a result, floods, landslides and storms have become very common inthe country like Nepal.

g. Labour Productivity:Growing environmental pollution directly affect the life of human beings. Weakand unhealthy human resource cannot produce more goods and services as a result

there will be low production and productivity.

economics class 11 unit 5 natural resources of nepal

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