THE FORESTS ACT 1999(NO.3 OF 1999)

Passed by the National Parliament this second day of June1999.

This printed impression has been carefully compared byme withthe Bill passed by Parliament and found by me to be a true andcorrect copy of the said Bill.

Elizabeth AndresenActing Clerk to National Parliament

Assented to in Her Majesty's name and on Her Majesty's behalfthis twenty-fourth day of September 1999.

Rev. John Ini LapliGovernor-General

Date of Commencement: see section 1.

AN ACT To PROVIDE FOR THE SUSTAINABLE HARVESTING AND

MANAGEMENT OF THE FOREST RESOURCES IN SOLOMON ISLANDS AND

TO REPEAL THE FOREST RESOURCESAND TIMBER UTILISATION ACT AND

FOR OTHER MAnERS THATARE INCIDENTAL AND CONSEQUENTIAL.

ENACTED by the National Parliament of Solomon Islands.

FORESTS ACT 1999

ARRANGEMENT OF SECTIONS

SECTION

PART IPRELIMINARY

1. SHORT TITLE AND COMMENCEMENT2. INTERPRETATION

3. OBJECTS OF THE ACI

PART 1\

FORESTRYADMINISTRATION

4. FORESTRY CONSERVATION AND MANAGEMENTPRINCIPLES

5. SOLOMON ISLANDS FORESTRY BOARD6. COMMISSIONER OF FORESTS7. FUNCTIONS OF COMMISSIONER

8. POWERS OF COMMISSIONER9. FOREST TRUST

10. RESPONSIBILITIES OF PROVINCIAL GOVERNMENTS

PART !II

PLANNING AND MANAGEMENT OF FORESTS

11. NATIONAL TIMBER INDUSTRY POLICY

12. CONTENTS OF NATIONALTIMBER INDUSTRY POLICY

13. NATIONAL FOREST RESOURCE MANAGEMENT STRATEGY

14. CONTENTS OF NATIONAL FOREST RESOURCEMANAGEMENT STRATEGY

15. CONSULTATION ON PREPARATION OF POLICY AND

STRATEGY

16. CODE OF PRACTICE

17. CONTENTS OF CODE OF PRACTICE

18. ENFORCEMENT OF CODe OF PRACTICE

19. DETERMINATION OF POTENTIAL FOREST USES

20. PROCEDURE FOR DETERMINATION OF POTENTIAL

FOREST USES

21 NOTIFICATION OF DETERMINATION OF POTENTIALFOREST USES

22. NOTIFICATION TO OWNERS OF LAND

PART IV

CONTROL OF FORESTRY ACTIVITIES

Division 1 - 1imber Harvesting

23. REQUIREMENT FOR TIMBER HARVESTING LICENCE

24. ORDINARY TIMBER HARVESTING LICENCE

25. LIMITATIONS ON GRANT OFORDINARY TIMBER

HARVESTING LICENCE

26. LOCAL TIMBER 'MARVESTING LICENCE

27. LIMITATIONS ON GRANT OF 'LOCAL TIMBER

HARVESTING LICENCE

28. COMMUNITY FORESTRY SCHEME LICENCE

29. APPLICATION FOR TIMBERHARVESTING LICENCE

30. PROVINCIAL GOVERNMENT; ,CONSENT TO LOCAL

HARVESTING LICENCE

31. REFUSAL OF LICENCE

32. FORM OF ORDINARY TIMBER HARVESTING LICENCE

33. FORM OF LOCAL TIMBER HARVESTING LICENCE

34. FORM OF COMMUNITY FORESTRY SCHEME LICENCE

35. COMMENCEMENT OF LICENCE

Division II Oontractors

36. APPROVAL OF CONTRACT ARRANGEMENTS

37. GUIDELINES FOR CONTRACT AGREEMENTS

Division III - Land Clearina

38. REQUIREMENT FOR LAND CLEARING PERMIT

39. LAND CLEARING PERMIT

40. PROVINCIAL GOVERNMENT CONSENT TO LAND

CLEARING PERMIT

Division IV - Timber Processing

41. REQUIREMENT FOR PROCESSING LICENCE

42. TIMBER PROCESSING LICENCE

43. PROVINCIAL GOVERNMENT CONSENT TO TIMBERPROCESSING LICENCE

Division V - Administration of Licences and Permits

44. FEES45. VARIATION OF LICENCE CONDITIONS46. AMENDMENT OF LICENCE OR PERMIT47. EXTENSION OF LICENCE48. TRANSFER OF LICENCES. PERMITS AND APPROVALS49. CERTAIN ARRANGEMENTS DEEMED TO BE TRANSFER50. EFFECT OF TRANSFER51. INVESTMENT BOARD APPROVAL52. SURRENDER OF LICENCE53. CANCELLATION OF LICENCE OR PERMIT54 SUSPENSION OF LICENCE OR PERMIT55 KEEPING OF RECORDS56, FOREST DEVELOPMENT LEVY57 TIMBER HARVESTING LEVY58, OFFENCES IN RELATIONTO LICENCES AND PERMITS

Division VI - TimberMarketinQ

59. TIMBER SUPPLY QUOTA60. FIXING OF DETERMINED PRICES FOR TIMBER61. NOTIFICATION OF APPLICATION FOR EXPORT

AUTHORITY62. REGULATION OF TIMBER EXPORT63. STATE MARKETING OPTION64. OFFENCES IN RELATION TO TIMBER MARKETING

Division VII- EXDort

65. APPROVAL OF EXPORT66. DETERMINED VALUE OF TIMBER67. RESTRICTED AND PROHIBITED EXPORTS

PARTVRECOGNITION OF OWNERSHIP OF FOREST ACCESS

RIGHTSAND NEGOTIATION OF FORESTACCESSAGREEMENTS

Division I - Preliminary

68. RESTRICTION ON TRANSFER, ETC, OFFORESTACCESS RIGHTS IN UNREGISTEREDCUSTOMARY LAND

69. FORESTACCESS AGREEMENT70. OFFENCE TO MAKE PROPOSALS WITHOUT

AUTHORISATION

Division II - Identification of-Customary Owners

71. STATEMENT OF CUSTOMARY OWNERSHIP72. TIME LIMIT FOR LODGING STATEMENTOF CUSTOMARY

OWNERSHIP73. APPOINTMENT OF CUSTOMARY

REPRESENTATIVES74. OBLIGATIONSQF CUSTOMARY REPRESENTATIVE75. FORMAND CONTENTS OF STATEMENT OF CUSTOMARY

OWNERSHIP76. LODGEMENTAND PUBUCATION OF STATEMENT77. LAND DISPUTES78. AMENDMENT OF STATEMENT. BY COURT79. ELECTION OF PERMITTED FOREST USES80. TIME OF MEETING TO'MAKE:ELECTION81. NOTICE OF MEETING

Division III - Negotiation of Forest Access Aoreements

82. AUTHORISATION OF PROPOSALS FOR ORDINARYTIMBER HARVESTING LICENCE

83. FORM OF FOREST ACCESS AGREEMENT84. PROVINCIAL GOVERNMENT CONSENT TO FOREST

ACCESS AGREEMENT85. VARIATION, EXTENSION AND TERMINATION OF FOREST

ACCESS AGREEMENT86. EFFECT OF TERMINATION

PARTVISTATE FORESTS

87. POWERTO DECLARE STATE FORESTS88. RESTRICTION ON GRANT OF INTERESTS IN STATE

FORESTS89. OFFENCES RELATING TO STATE FORESTS90. PERMITS IN RESPECTOF STATE FORESTS

PARTVIIFORESTRESERVES

91. DECLARATION OF FOREST RESERVES92. NOTICE, ENQUIRIESAND COMPENSATION93. APPEALAGAiNST COMPENSATION94. OFFENCES RELATING TO FOREST RESERVES95. PERMITS IN RESPECT OF FOREST RESERVES

PARTVIIIENFORCEMENT

96 APPOINTMENTOF FOREST INSPECTORS97 POWER TO ENTER CUSTOMARYLAND98. POWERS OF FOREST INSPECTORS AND POLICE99. DIRECTION TO STOP HARVESTING100. POWER OF SEIZURE101. DISPOSALOF TIMBERAFTER SEIZURE102. FORFEITURE OF PROPERTY ON CONVICTION103. DISPOSALOF SEIZED PROPERTYWHERE OWNER

UNKNOWN104. PROSECUTION OF OFFENCES105. MISCELLANEOUS OFFENCES106. FALSE INFORMATION107. COMPENSATION108. OFFENCES OF CORPORATE ENTITY109. GENERAL PENALTY110. COMPOUNDING OF BREACHES111. APPEAL112. PERFORMANCE BONDS113. ENFORCEMENTAND CANCELLATION OF

PERFORMANCE BONDS

PARTIXMISCELLANEOUS

114. PROTECTION OF OFFICERS115. REGULATIONS116. ADMINISTRATIVE DIRECTIONS117. GUIDELINES118. EFFECTOF LICENCESAND PERMITS119. REPEALAND SAVINGS120. CONTINUANCE OF EXISTING LICENCES121. VARIATION OF CONDITIONS OF EXISTING LICENCES122. AMENDMENTOFCA~43

SCHEDULE

10

Short title andcommence­ment

1. This Act may be cited as the Forests Act, 1999,and shall come into operation on such date as the Minister mayappoint by notice published in the Gazette.

Interpretation. 2.requires -

(1) In this Act, unless the context otherwise

Cap. 19.

Cap. 133.

"agent or contractor" means any person wno unaertakesforestry related activities on behalf of a .licenseeor permit holder except in accordance with acontract of employment;

"approved agent or contractor" means, in relation to alicence, an agent or contractor who is a party toan agreement, contract or other arrangementapproved under section 36 for the purposes ofthat licence;

"Board" means the Solomon Islands Forestry Boardestablished under section 5;

"chief' has the same meaning as under the Local CourtsAct;

"clearing" means any activity which results in the fellingor destruction of trees representing more thanfifty per cent of the total basal area of treesgrowing on an area of forested land;

"code of practice" means the code of practice prescribedunder section 16;

"collateral agreement" means, in relation to a forestaccess agreement, an agreement to enter into aforest access agreement, or an agreement totake any step required to enter into a forestaccess agreement;

"Commissioner" means the Commissioner of Forestsappointed under section 6;

"Commissioner of Lands" means the Commissioner ofLands appointed under the Land and Titles Act;

"community forestry SCheme" means a schemeconducted by the holder of a community forestryscheme licence under which registeredparticipants harvest and process timber oncustomary land;

"community forestry scheme licence" means a licencegranted under section 28;

"customary group" means a group of customary ownersidentified by reference to a clan or tribe..butdoes not include any corporate entity;

11

"customary land" has the same meaning as thatassigned to it under the Land and Titles Act;

"customary land dispute"means a dispute in connectioniI\Iith the ownersmp OT, or or any interest in,unregistered customary land or the nature orextent of such ownershio:

"customary owners: mean the owners of unregisteredcustomary land;

"customary representatives" mean the personsappoinieo or nommated to represent customaryowners m accordance with section 73 or section78 (2);

"determination of potential forest uses" means aoeterrrunanon maae unaer section 19;

"determined price" means the oetermmed price fortimber fixed under section 60;

Cap. 133.

"Development Services Exchange" means theDevelopment Services Exchange establishedunder the Charitable Trusts Act or. in the event Cap. 55.

that the Development Services Exchangeceases to exist, SUCh other orqarusatton repre-senting the Interests of non-government organi-sations in SOlomon ISlanets and designated bythe Minister by notice published in the Gazetteas a Development Services Exchange for thepurposes of this section;

12

Cap. 142.

"dispute" means a customary land dispute;

"election" means an election oy the customary owners inaccordance with section 79;

"foreign investor" means a foreign investor as definedunder the Investment Act;

"forest inspector" means a person appointed undersection 96:

"forest access agreement" means an agreement totransfer forest access rights in relation to un­registered customary land entered into in accor­dance with section 69;

"forest access right" means the right to do, in a mannerconsistent with the code of practice any or all ofthe followinc -

(a) timber harvesting(b) harvesting of non-timber forest

produce;(c) taking into possession and owner­

ship any timber or non-timberforest produce;

(d) tree planting and tending;(e) reforestation; and(f) forestry related activities;

"forested land" means any area of land predominantlycovered by trees, and includes areas plantedwith trees except where such planting is carriedout for agricultural purposes;

"Forest Trust" means the Forest Trust established undersection 9,

"forestry related activities" mean all or any of thefollowing activities as are reasonably necessaryfor the purpose of carrying out harvesting,reforestation, tree planting and tending and forestmanagement -

13

(a) entering on or occupation ofland;

(b) inspecting, surveying,enumerating, marking andmapping of areas or trees;

(c) obtaining access to andextractino any harvestedtimber;

(d) cutting, trimming, lopping,topping or cropping any tree;

(e) cultivating any plant, seedling,seed or tree;

(f) taking any measures for thegrowth and orotection of anytree;

(g) subject to any law relating tothe use of water, taking andusing water;

(h) carrymq out roaoworxs orearthworks and theconstruction of water crossings;

(i) construction, maintenance andoccupation of buildings;

0) construction, maintenance anduse of operational facilitiesincluding wharves andstevedoring facilities, and timberprocessing facilities;

(k; extraction, removal, conversionand use of quarry and buildingmaterials for any of the afore-mentioned purposes;

"harvestinq" means -

(a) in reiancn to timber, timberharvesting; and

(b) in relation to non-timber forestproduce, the cutting or takingof the produce from the land;

"land clearing permit" means a oermit cranted undersection 39;

"licence" means a licence granted under this Act;

"licensee" means the holder of a licence granted underthis Act:

"local company" means a company incorporated underthe law of Solomon Islands and having itsprincipal place of business in Solomon Islands -

(a) of which all the shares are ownedby citizens of Solomon Islands or by anassociation of which all the members are citizensof Solomon Islands; or

(b) which, in view of the substantialnature of participation by citizens of SolomonIslands in theshareholding of the company orother benefits accruing to citizens of SolomonIslands has been designated by the Minister bynotice published In the Gazette as a localcompany for the purposes of this section;

"local timber harvesting licence" means a licenceoranteo under section 26;

"national forest resource management strategy" meansthe national forest resource managementstrateqyapproved under section 13;

"national timber Industry policy" means the nationaltimber industry policy approved under section 11;

"non-timber forest produce" means any biological matteron forested land, including but not limited toherbs, spices, ornamental plants, palms,bamboo, cane, rattan, ferns, flowers, climbers,creepers, grass, moss, fungus, lichens, leaves,fruit, seeds, roots, fibres, bark, bark extract, woodextract, gum, oil, resin, tar, wax, pitch, sap,honey, latex, litter, humus, earth, sand or stone,whether alive or dead, other than timber, andinsects but does not include products ofanagricultural industry;

"operator" means a person or oody which isSUbstantially responsible for carrying out forestryrelated activities under a licence;

"ordinary timber harvesting licence" means a licencegranted under section 24:

"performance bond" means a performance bondrequired under section 112;

"permit holder" means the holder of a land clearinopermit l~ranted under section 39;

"prescribed fee" means me fee prescribed in respect ofan application, approval, grant, or transfer, as thecase may be, under section 44;

"prescribed form" means the form prescribed in respectof an application; approval, transfer, permit,licence oragreement, as the case may be;

"processed timber" means timber that has beenprocessed and includes sawn timber, woodparticles, wood pUlp an.d veneer, but does notinclude timber that has been stripped of bark orsapwood or roughly squared,

"provincial statement" means a statement rorwaroeounder section 20 (3);:

"public land" has-the same meaning as assigned to itunder the Land and Titles Act;

"reforestation" means undertaking, within areas wheretimber harvestinq has taken place and includesthe follOWing -

(a) tree planting and tending;(b) sowing or planting of trees;(c) promoting the continued growth of

existing trees;(d) promoting the growth of seedlings

germinatingfr'om naturallyoccurring seedfalt; and

(e) such other actions as arenecessary to ensure that a forestcover approximately similar to thatoccurring prior to the timber

Cap. 133.

15

16

Cap. 133.

harvesting is likely to becomesuccessfully established over thewhole of the harvested area;

"registered land" means any land registered under theLand and Titles Act, except land registered aspublic land. and includes registered customaryland;

"registered owner" means -

(a) in the case of a registeredinterest in land that includes the right to transferthe right to harvest timber, the holder of thatregistered interest; and

(b) in any other case, including landregistered as public land, the Commissioner ofLands;

"registered participant" means a person who isregistered to participate in a community forestryscheme;

"relevant provincial government" I "relevant provincialexecutive" and "relevant area council" mean, inrelation to an area of land, the provincialHovernment, provincial executive or areacouncil, as the case may be, with jurisdictionover that area;

"rolling term", in relation to a licence, means a termwhich is extended by a specified period atspecified intervals;

"scaling" means the measurement, classification,grading, marking and recording of timber;

"timber" means trees. whether alive or dead, andincludes fallen and felled trees and wood,whether cut up or fashioned or hollowed out forany purpose,

"timber harvesting" means cutting or felling of trees orthe taking of timber of fallen or felled trees;

"timber harvesting licence" means an ordinary timberharvesting licence, a local timber harvestinglicence or a community forestry scheme licence;

"timber processing" means the processing of timber toproduce sawn timoer, poles, piles or posts,wood veneer, plywood, wood chips, industrialfuel wood, wood fibre or wood pulp;

"timber processing facility" means any facility used fortimber processing and includes a sawmiU andany plant, machinery or equipment for convertingunprocessed timber into processed timber;

"timber processing licence" means a licence grantedunder section 42;

"timber supply quota" means a timber supply quotagranted under section 59;

"total basal area" means a measurement of the totalarea of all the trees in an area arrived at bymeasuring the area of a cross-section acrossthe stem of each tree at 1.3 metres above theground;

"tree" includes any root, stump, stem, branch, brush-wood, ung tree or sapling;

"tree planting and tending" means any practice,including but not limited to planting, re-seeding,thinning and protecting trees from fire, infections,disease and parasites, carried out for thepurpose of promoting the growth of trees orimproving the yield of merchantable timber in anarea;

"unprocessed timber" means timber which has not beenprocessed and includes timber that has beenstripped of bark or sapwood or roughly squared;

17

18

"vessel monitoring equipment" means equipment that iscapable of monitoring vessels, including but notlimited to the determination of a vessel's identity,its GPS position, course and speed, includingthe use ofan automatic locationcommunicator.

(2) .A reference in this Act to a forest access agree-ment means, in relation to a licence, permit or approval. anyforest access agreement covering the whole or part of the landcovered by that licence or permit.

(3) A reference in this Act to the customary ownersmeans, where there is one owner of unregistered customaryland, that owner.

(a) to ensure the proper management ofSolomon Islands forest resources in an efficient,effective and ecologically sustainable manner;

Objects of the

Act.

3. The objects of the Act shall be-

Forestry con­servation andmanagementprinciples.

(b) to promote the development of a sustain-able commercial timber industry so as to ensure themaximum benefit to the present and future generationsof the people of Solomon Islands; and.

(c) to protect and conserve forest resources,habitats and ecosystems inclUding the maintenance ofecological processes and genetic diversity.

PART IIFORESTRY ADMINISTRATION

4. In exercislno their powers under this Act, theMinister and the Commissioner of Forests shall have regard to -

(a) the principle. that Solomon Islandsforestry resources shall be managed, developed andconserved so as to ensure through proper conservationand management measures that the maintenance ofthose resources are not endangered by over­exploitation and are utilised at a level that shall ensuretheir optimum sustainable yield;

Any rights

20

(~3) Without prejudice to the generality of sub-section (1), the Board shall have the following functions -

(a) to provide a forum for consultationand co-operation between the Minister andpersons with an interest in forestry matters;

(b) to advise the Minister on theformulation of the national timber inaustry policyand the national forest resource managementstrategy;

(c) to advise the Minister on mattersrelating to the conduct of forestry research;

(d) to provide advice on such othermatters as may be referred to it by the Minister orby a provincial executive; and

(e) to perform such other functions asmay be assigned to it under this or any other Act.

Commissioner 6. (1) There shall be appointed a Commissionerof Forests of Forests who shall be responsible for the administration of this

Act.

(2) An appointment made under subsection (1) shall,if the person appointed is to be a public officer, be made inaccordance with the Constitution, but otherwise shall be madeby the Minister.

Functions ofCommissioner to-

7. Tlhefunctions of the Commissioner of Forests are

(a) prepare and keep under review anational timber industry policy and a nationalforest resource management strategy forapprovaf by the Cabinet:

(b) oversee the carrying into effect ofthe national Umber industry policy and thenational forest resource management strategy;

21

(c) ensure the conservation andproper management and development offorested land in Solomon Islands;

(d) advise the Minister on mattersconcerning forest management andconservation in Solomon Islands;

(e) conduct and promote researchand development and educaiton relating to theconservation and management of forests inSolomon Islands;

(f) monitor and advise the Minister inrelation to the fulfilment of obligations arisingunder any international treaty or instrument towhich Solomon Islands is a party; and

(g) carry out such other functions asare provided for in this or any other Act.

8. (1) In addition to the powers provided in thisor any other Act, the Commissioner shall have such powers asare necessary to properly discharge his functions and generallyfor carrying out the objects of the Act.

(2) The Commissioner shall have the power to insti-tute or defend any proceedings under his official title.

(3) For the purposes of this Act, the Commissionernas all the powers of a Forest Inspector.

(4) The Commissioner may, by notice published inthe Gazette, delegate any of his powers under this Act to anypublic officer or government employee, except the powers con­tained in section 24 (Ordinary timber harvesting licence), section28 (Community forestry scheme licence.), section 39 (Landclearing permit.) and section 59 (Timber supply quota.)

(5) A delegation under subsection (4) may berevoked by a notice published in the Gazette.

Powers ofCommissioner

9. (1) There is hereby established a Forest ForestTrust.Trust for the management and development of forests inSolomon Islands which shall be deemed a Special Fund in

22

terms of section 100 (2)-of the Constitution.

(2) There snail be paid into the Trust-

(a) the revenue derived from theforest aevelopment levy provided for undersection 56;

(b) fifty per cent of the revenuederived from penalties for offences against thisAct, or from compounding of offences againstthis Act;

(c) fifty per cent of the revenuederived from licence tees:

(d) the proceeds of sale of anyproperty forfeited under section 101, 102 or 103;

(e) such moneys as may beappropriated to the Trust by Parliament; or

(f) such moneys as may oe donatedto the Trust by any person, country ororganisation.

(3) Moneys may be expended from the Trust tor allor any of the following purposes -

(a) tree planting and tending;

(b) reforestation;

(c) such other purposes as areprescribed by regulations.

(4) Expenditure from the Trust shall be approved bythe Minister consistent with the purposes for which expenditureis permitted in consultation with the Board.

(5) The Minister may by regulation prescribe the pro-cedure applying for payments into and expenditure from theTrust and accounting therefor.

P

24

Nationalforestresourcemanagementstrategy.

(a) the priorities to be observed inthe granting of air or any class of licence orpermit;

(b) the requirements for utilisation oftimber within Solomon Islands including anyrestrictions on the export of unprocessed timberand any requirements for a volume or proportionof timber harvested to be processed withinSolomon Islands;

(c) the quotas of the numbers andkinds of licences tnat may oe Issued, overalland to any operator, in respect of any class oflicence;

(d) any preference to be observed inthe granting of licences to local companies;

(e) standard conditions which are tobe applied to all or any class of licence; and

(f) any other matters relating to thegranting of licences for timber harvesting andthe carrying out of forestry related activities.

(2) The national timber industry policy made undersection 11 -

(a) shall comprise the Government'spolicy in respect of the development of thetimber industry and related activities;

(b) may contain directives andprohibitions, consistent with the provisions ofthis Act, wtucn shall be observed by all personsand bodies responsible for the administration ofthis Act; and

(c) shall be published in the Gazette.

13. (1) The Commissioner shall prepare andkeep under review a national forest resource management strat­egy for the conservation and management of forest resource inSolomon Islands and shall refer it to the Board for its

consideration in accordance with this section.

(2) The Board shall consider such national forestresource management strategy and shall advise the Minister ofthe contents thereof. The Minister shall refer the national forestresource management strategy to the Cabinet for its approval.

(3) The Cabinet in giving its approval to the man-agement strategy may make such modifications as it considersappropriate.

14. (1) The national forest resource manage-ment strategy shall inter alia contain -

(a) the categories of use which maybe made of forests in Solomon Islands;

(b) the criteria by which the suitabilityof a particular area of forest for each category ofuse will be assessed;

(c) the zones within Solomon Islandsto which different categories of forest use apply;

(d) the manner in which timber shouldbe harvested to ensurethat forest resources aremanaged sustainably;

(e) the sustainable yields or allowaolevolumes of timber that may be harvestedannually, or in total, in Solomon Islands as awhole or in a particular area; and

(f) the manner in which reforestationof areas that have been harvested is to beensured.

(2) The national forest resource managementstrategy made under section 13 -

(a) shall comprise the Government'spolicy in respect of the conservation and man­agement of forest resources in Solomon Islandsand related activities;

25

Contents ofnational forestresourcemanagementstrategy.

26

Consultationon prepara­tion of policyand strategy

Code ofpractice

Contents ofcode ofpractice

(b) may contain directives andprohibitions, consistent with the provisions of thisAct, which shall be observed by all persons andbodies responsible for the administration of thisAct; and

(c) shall be published in the Gazette.

15. The Commissioner shall, where he considersappropriate, consult with -

(a) the relevant government depart-ments or agencies, including provincial govern­ments, area councils and other bodies orauthorities with an interest in the conservation,management and development of forests;

(b) persons and bodies engagedin activities related to the timber industry; and

(c) customary groups and otherbodies with an interest in the conservation anddevelopment of forests,

during the preparation of the national timber industry policy andthe national forest resource management strateov.

16. The Minister shall in consultation with theCommissioner and the Board make regulations prescribing acode of practice for nmoer harvestino and forest management.

17. (1) The code of practice for timber harvestingand forest management shall inter alia contain practices andstandards that. in the opinion of the Minister, are required to -

(a) promote the growth ofmerchantable timber species;

(b) maintain forest regenerativecapacity and species diversity;

(c) protect the environment;

(d) protect sites of cultural, historicalor archeological significance;

(e) ensure the health and safety offorest workers;

(f) prevent fires; and

(g) ensure that harvested timber isaccurately scaled.

(2) Without limiting the generality of subsection (1),the code of practice may contain provisions -

(a) prohibiting or restricting theharvesting of any species or category of tree;

(b) prohibiting or restricting theexport of timber of any species Or category oftimber in a specified form;

(c) specifying the manner in whichtimber will be scaled and branded;

(d) setting standards for theconstruction of roads and other works;

(e) requiring a licensee to submitoperational plans, acceptable to theCommissioner, in respect of proposed timberharvesting, reforestation, tree planting andtending and forestry related activities to becarried out under the licence;

(f) authorising a forest inspector tomake a determination in respect of any matter orthing; and

(g) specifying any matters which theMinister thinks appropriate.

18. (1) No person shall carry out timber harvest-ing or forestry related activities other than in accordance with thecode of practice.

(2) Any person who contravenes subsection (1) shallbe guilty of an offence and liable -

27

Enforcementof code ofpractice.

28

Determinationof potentialforest uses

Procedure fordeterminationof potentialforest uses

(a) in the case of an individual, to afine not exceeding $50,000 orto imorisonmentfor a period not exceeding nve years or to bothsuch fine and imorisonment; or

(b) in the case of a corporate entity,to a fine not exceeding $100)000.

19. (1) The Commissioner may, III a ...w.Jancewith section 20, determine the potential forest uses for an areaof forest.

(2) A determination of potential forest uses shall -

(a) identify the area of land coveredby the determination;

(b) specify the potential forest usesfor which the area to be covered by the determi­nation ts suitable, employing the categories ofuse set out in the national forest resourcemanagement strategy;

(c) take account of any land-use orother restrictions in place under any other Act orprovincial Ordinance or policy; and

(d) contain such other matters asmay be prescribed by regulation.

(3) A determination of potential forest uses maydivide the area covered by the determination into zones andspecify the category of forest use that applies to each zone.

20. (1) An application for a determination ofpotential forest uses may by made to the Provincial Secretary ofthe relevant provincial government.

(2) An application .undersubsection (1) in relation toany parcel of registered land shall identify the registered ownerof the land and, where the forest access rights are owned by adifferent person, the owner of the forest access rights in eachsuch parcel.

(3) After receipt of an application under subsection(1), the Provincial Secretary of the relevant provincial govern­ment shall, within one month, forward the application to theCommissioner together with a statement of -

(a) any relevant provincial govern-ment policy or land-use restriction; and

(b) any scheme or regulation undera provincial Ordinance,

which may affect the area of land covered by the application.

(4) A determination of potential forest uses shall bemade by the Commissioner within two months of receiving theapplication and provincial statement under subsection (3).

(5) The Commissioner may, in determining the forestuses make any amendments to the application which he thinksnecessary.

21. (1) NOticeor me maKmg ot a determination ofpotential forest uses shall-

(a) be published in the Gazette; and

(b) within fourteen days of the makingof the determination, be transmitted by theCommissioner to the relevant provincial govern­ment and to the applicant.

(2) A notice given to an applicant under subsection(1) shall include a copy of the provincial statement given undersection 20.

22. Where a determination of potential forest usesrelates in whole or in part to unregistered customary [and, theCommissioner shall ensure that steps are taken to inform thecustomary owners of the contents. and effect of the determina­tion.

29

Notification ofdeterminationof potentialforest uses.

Notification toowner of land.

30

Requirementfor timber har­vestinglicence

PART IVCONTROL OF FORESTR ( ACTIVITIES

Division I - Timbe- Harvesting

23. (1) No person snail harvest or remove anytimber from any land or enter on land for the purpose of har­vesting or removing timber otherwise than -

(a) under and in accordance with theprovisions of a valid timber harvesting licencegranted under this Act;

(b) for domestic purposes;

(c) for purposes which do not involvethe sale of the timber or any product of thetimber; or

(d) for traditional purposes.

(2) For the purposes of subsection (1) (a), a personharvests or removes timber from land under a timber harvestinglicence IT me person does so as -

(a)

(b)licence;

the holder of the licence;

an employee of the holder of the

(c) the approved agent or contractor,or an employee of an approved agent orcontractor of the holder of the licence;

(d) a member of a customary groupwhich is the holder of an ordinary timberharvesting licence; or

(e) a registered participant in a com-munity forestry scheme which is the subject of acommunity forestry scheme licence.

(3) No person shall acquire or dispose of timber thathas been harvested except in accordance with subsection (1).

(4) A person who contravenes subsection (1) or (3)shall be gUilty of an offence and liable -

(a) in the case of an individual, to afine not exceeding $250,000 or to imprisonmentfor a period not exceeding five years or to bothsuch fine and imprisonment; or

(b) in the case of a corporate entity,to a fine not exceeding $1,000,000.

(5) In proceedings for an offence under subsection(4), the onus of proving that the timber was harvested orremoved under paragraphs (a), (b), (c), (d) or (e) of that sub­section ties.on the person claiming that any of those paragraphsapply.

(6) In proceedings for an offence under-subsection(4), the onus or proving that the timber was harvested orremoved under and in accordance with a valid timber harvestinglicence lies on the person so asserting.

24. (1) Subject to this section and to section 25,the Commissioner may, on payment of the prescribed fee, grantan ordinary timber harvesting licence where he issatisfied that -

(a) the relevant provisions of this Acthave been complied with;

(b) the grant of the licence will be inaccordance with the national forest resourcemanagement strategy and the national timberindustry policy;

(c) if the applicant or any agent orcontractor named in the application is a foreigninvestor, that investor complies with allapplicable laws relating to foreign investment;and

(d) all necessary approvals underother Acts or provincial Ordinances have beenobtained.

(2) An ordinary timber harvesting licence authorisesthe licensee, his employees, an approved agent or contractor

31

Ordinary tim­ber harvestinglicence.

32

Limitations ongrant of ordi­nary timberharvestinglicence

of the licensee or an employee of such approved agent or con­tractor, to carry out timber harvesting, removal and forestryrelated activities on the land specified in the licence in accor­dance with the conditions of the licence.

(3) Subject to subsection (4), an ordinary timber har-vesting licence may be granted to -

(a) the group comprising thecustomary owners of the unregistered customaryland covered by the licence; or

(b) the owners of registeredcustomary land covered by the licence; or

(c) any other person.

(4) Where an ordinary timber harvesting licence is tobe granted to the owners of registered customary land, thelicence shall be granted in the name of the person, persons orbodies that are the registered owners of that land.

25. (1) No ordinary timber harvesting licenceshall be granted except where -

(a) a determination of potential forestuses has been made in respect of the land to becovered by the licence;

(b) the timber harvesting to bepermitted by the licence will be consistent withthat determination;

(c) in the case of registered land, theregistered owner has given his consent in writingto the harvesting;

(d) in the case of public land, theCommissioner of Lands has given his consent inwriting to the harvesting on behalf of theGovernment; and

(e) in the case of unregisteredcustomary land -

(i) the harvesting permittedby the licence is consistent with theelection made by the customary ownersin accordance with section 79;

(ii) the applicant has agreedto acquire forest access rights In respectof the land by entering into a valid forestaccess agreement with the customaryowners in accordance with section 83;

(iii) the forest access rights tobe exercised under the licence areconsistent with the forest accessagreement; and

(iv) the relevant provincialexecutive has consented to the forestaccess agreement under section 84.

(2) If an application for a timber harvesting licencerelates to unregistered customary land and a valid forest accessagreement has been made in relation to that land, theCommissioner shall not grant a licence to a person who is not aparty to that forest access agreement.

(3) To the extent that an ordinary timber harvestinglicence contravenes this section, the licence is void and of noeffect.

26. (1) SUbject to this section and sectlon Z?, theCommissioner may, on payment of the prescribed fee, grant alocal timber harvesting licence where he is satisfied that -

(a) the relevant provisions of this Acthave been complied with;

(b) the grant of the licence is in accor-dance with the national forest resource manage­ment strategy and the national timber industrypolicy;

(c) the applicant or applicants for thelicence have obtained the consent of any othercustomary owners of the timber to carry out theharvesting; and

33

Local timberharvestinglicence.

34

(d) all necessary approvals underother Acts or provincial Ordinances have beenobtained.

(2) A local timber harvesting licence authorises thelicensee to carry out timber harvesting, removal and timber pro­cessing of not more than 200 cubic metres of timber per annumon the unregistered customary land specified in the licence inaccordance with the conditions of the licence.

(3) A local timber harvesting licence shall be issuedto and in the name of one or more natural persons who are cus­tomary owners of the land covered by the licence.

Limitations ongrant of localtimber har­vestinglicence

27.be granted -

(1) I'JO local timber harvesting licence shall

(a) to a person who is not acustomary owner of the land covered by thelicence; or

(b) to any corporate body.

Communityforestryschemelicence

(2) A local timber harvesting licence may be grantedin respect of timber which is the subject of a valid forest accessagreement only where, and to the extent that, the agreementprovides for the customary owners of the land to retain the rightto harvest that timber.

(3) To the extent that a local timber harvestinglicence contravenes this section, the licence is void and of noeffect.

28. (1) SUbject to this Act, the Commissionermay, on payment of the prescribed fee, grant a communityforestry scheme licence where he is satisfied that -

(a) the relevant provisions of this Acthave been complied with;

(b) the grant of the licence is in accor-dance with the national forest resource manage­ment strategy and the national timber industrypolicy;

(c) the relevant provincial executivehas consented to the application under section30; and

(d) all necessary approvals underother Acts or provincial Ordinances have beenobtained.

(2) A community forestry scheme licence authorisespersons who are registered participants in the communityforestry scheme to carry out timber harvesting, removal andtimber processing of not more than 2,000 cubic metres of timberper annum on the land specified in the licence in accordancewith the conditions of the licence.

(3) A community forestry scheme licence shall begranted to and in the name of the person or body which willsupervise the community forestry scheme and which will ensurethat timber harvesting and forestry related activities to be con­ducted by registered participants in the scheme will be carriedout in accordance with the terms of the licence.

(4) The Minister may by regulations make furtherprovision in relation to community forestry scheme licences,including prescribing qualifications for the holding of a licence.

29. (1) An application for a timber harvestinglicence shall be made in the prescribed form to theCommissioner.

(2) The Commissioner may require an applicant fora timber harvesting licence to provide such information as is rea­sonably required to determine the licence application.

30. (1) An application for a local timber harvest-ing licence or a community forestry scheme licence shall be sub­mitted to the relevant provincial executive for its consent.

(2) The relevant provincial executive shall considerthe licence application at its next meeting following the sub­mission for consent, provided that the application has been sub­mitted at least two weeks before the meeting.

(3) The relevant provincial executive shall consent toa licence application if it is satisfied that -

35

Application fOT

timber har­vestinglicence.

Provincialgovernmentconsenttolocal harvest­ing licence.

36

Refusal oflicence.

(a) the application is in accordancewith relevant provincial policies;

(b) the applicant satisfies any assess-ment criteria or qualifications applicable underthose policies to persons wishing to carry outforestry related activities in the province; and

(c) the potential forest uses proposedunder the licence are not in breach of anyprovincial Ordinance.

(4) Where the relevant provincial executive is notsatisfied of the matters set out in subsection (3) it shall refuse toconsent to the licence application and shall provide a writtenstatement of its reasons.

(5) A provincial executive shall not unreasonablywithhold or refuse consent under subsection (3).

(6) VVhere a provincial executive has refused orfailed to consent to a licence under subsection (3), the applicantmay appeal to the Minister who may -

(a) if he considers the refusal orfailure to consent to the licence is unreasonablein all the circumstances; and

(b) after consultation with the Ministerresponsible for Provincial Government,

approve the licence.

31. The Commissioner may refuse an application fora timber harvesting licence on any of the following grounds -

(a) that the grant of the licence wouldbe in contravention of any provision of this Act;

(b) that it would be detrimental to theproper management and conservation of forestresources to grant the licence, taking intoaccount the provisions of the national timberindustry policy and the national forest resourcemanagement strategy;

(c) that the Commissioner has reasonto believe that the applicant or any agent orcontractor of the applicant named in the applica­tion may not comply with the conditions of thelicence; or

(d) such other grounds as may bespecified in this Act or prescribed by regulations.

32. (1) SUbject to this section, an ordinary timberharvesting licence shall -

(a) be in the prescribed form;

(b) specify the area of land coveredby the licence;

(c) specify the volume of timber thatmay be harvested annually under the licence inaccordance with the national forest resourcemanagement strategy;

(d) specify the volume or proportionof timber that is required to be processedannually in Solomon Islands in accordance withthe national timber industry policy;

(e) specify the amount of theperformance bond to be entered into in accor­dance with section 112;

(i~ specify the timber supply quota, ifany, to which the licence is subject in accordancewith section 59;

(!~) fix the commencement date andthe duration of the licence; and

(h) be subject to such conditions asare prescribed in the licence.

(2) It shall be a condition of every ordinary timberharvesting licence that the licensee, his agent or contractor andany person authorised to act on his behalf shall comply with thecode of practice in carrying out forestry related activities underthe licence.

37

Form of ordi­nary timberharvestinglicence.

38

Form of localtimber har­vestinglicence

(3) Each ordinary timber harvesting licence shallcontain conditions that are adequate to ensure the oroper refor­estation of areas harvested under the licence. or specify anappropriate use to which the land shall be put after harvesting.

(4) An ordinary timber harvesting licence shallspecify any aqent or sub-contractor who will be authorised toundertake forestry related activities on behalf of the licensee.

33. (1) Subject to this section, a local timber har-vesting licence shall .-

(a) be in the prescribed form;

(b) specify the area of unregisteredcustomary land covered by the licence;

(c) specify the volume of timber (notexceeding 200 cubic metres) that may beharvested annually under the licence in accor­dance with the national forest resource manage­ment strategy;

(d) specify the amount of theperformance bond to be entered into in accor­dance with section 112;

(e) specify the commencement dateand the duration (not exceeding one year) of thelicence; and

(f) be subject to such conditions asare prescribed in the regulations or in the licence.

(2) It shall be a condition of every local timberharvesting licence that-

(a) all the timber harvested under theiicence shall be processed in Solomon Islands;

(b) the licensee shall not purchasetimber for processing under the licence from anyperson other than the holder of an ordinarytimber harvesting licence;

(c) the licensee shall not engage anyagent or contractor (other than a person engagedunder a contract of employment) to carry outtimber harvesting;

(d) the licensee shall comply with thecode of practice in carrying out forestry relatedactivities under the licence; and

(e) the licence shall not be assignedor transferred.

(3) Each local timber harvesting licence shall containconditions that are adequate to ensure the proper reforestationof areas harvested under the licence, or specify an appropriateuse to which the land shall be put after harvesting.

(4) A local timber harvesting licence -

(a) is not transferable and may not beassigned to any other person; and

(b) shall terminate automatically uponany purported assignment or transfer incontravention of paragraph (a).

34. (1) Subject to this section, a communityforestry scheme licence shall -

(a) be in the prescribed form;

(b) specify the area of land coveredby the licence;

(c) specify the volume of timber thatmay be harvested annually under the licence inaccordance with the national forest resourcemanagement strategy, both in total and by anyregistered participant in the scheme, providedthat the total volume of timber shall not exceed2,000 cubic metres per annum;

(cI) specify the amount of theperformance bond to be entered into in accor­dance with section 112;

39

Form of com­munityforestryschemelicence.

40

(e) specify the commencement dateand the duration of the licence; and

(f) be subject to such conditions asare prescribed, or as are prescribed in thelicence.

(2) It shall be a condition of every communityforestry scheme licence that -

(a) timber shall be harvested only bya registered participant on land of which he isthe customary owner, and with the consent ofany other customary owners of that land;

(b) the timber harvested under thelicence shall be harvested in accordance with thecode of practice;

(c) all the timber harvested under thelicence shall be processed in Solomon Islands;and

(d) the licensee shall take such stepsas are necessary to ensure that the conditions ofthe licence are complied with and will promptlyderegister any registered participant who fails tocomply with any conditions as are prescribed, oras are prescribed in the licence.

(3) Each community forestry scheme licence shallcontain conditions which are adequate to ensure the properreforestation of areas harvested under the licence, or specify anappropriate use to which the land shall be put after harvesting.

Commence­ment oflicence

35. A timber harvesting licence takes effect from -

(a) the commencement datespecified in the licence;

(b) the date on which theperformance bond specified in the licence hasbeen provided to the satisfaction of theCommissioner; or

(c) the date of which the prescribedfee has been paid,

whichever is the later.

Division II .. Contractors

36. (1) An agreement, contract or other arrange-ment for timber harvesting under a licence to be carried out bya person other than the licensee shall be approved by theCommissioner, subject to subsection (2).

(2) The Commissioner shall not approve an agree-ment, contract or arranqement under subsection (1) unless he issatisfied that -

(a) the agent or contractor who willundertake the timber harvesting is suitablyqualified and will comply with the conditions ofthe licence;

(b) reforestation will be carried out inaccordance with the conditions of the licence;

(c) the terms of the agreement,contract or arrangement are in accordance withthe national timber industry policy;

(d) the terms of the agreement,contract or arrangement allow it to be terminatedby the licensee in the event that timberharvesting and forestry-related activities are notcarried out by the agent or contractor in accor­dance with the conditions of the licence;

(e) the parties understand the termsof the agreement, contract or arrangement;

(f) the terms of the agreement,contract or arrangement are not unduly harsh inrelation to one party to the agreement;

(~~) the licensee's liabilities to makepayments of royalties, levies, fees, and othercharges under the licence and any forest accessagreement will be met; and

Approval ofcontractarrange­ments.

42

Guidelines forcontractagreements

(h) in the case where the contractor isa foreign investor, the necessary approval hasbeen obtained from the Investment Board.

(3) Upon approving an agreement, contract orarrangement under subsection (2), the Commissioner shall -

(a) endorse the Hcence with the nameof the approved agent or contractor; and

(b) certify the agreement, contract orany other instrument evidencing the arrangementas approved.

37. (1) The Commissioner may issue guidelinesor standard model agreements for the contracting of timberharvesting and forestry related activities under a licence.

(2) The guidelines or standard model agreementsissued under subsection (1) shall contain such terms as arenecessary to ensure that -

(a) the terms of the agreement arenot unduly harsh in relation to one party to theagreement;

(b) the licensee remains in real andeffective control of the timber harvesting and

forestry related activities being carried out underthe agreement; and

(C) the agreement otherwise willcomply with section 36.

Division III - Land Clearing

Requirementfor land clear­ing permit

38.wise than-

(1) No person shall clear forested land other-

(a) under and in accordance with avalid land clearing permit;

(b) for traditional purposes; or

43

(c) for domestic purposes.

(2) A person who contravenes subsection (1) shallbe guilty of an offence and liable -

(a) in the case of an individual, to afine not exceeding $250,000 or to imprisonmentfor five years or to both such fine and imprison­ment; or

(b) in the case of a corporate entity, toa fine not exceeding $1,000,000.

39. (1) Subject to this section, the Commissioner Land clearing

may, on application in the prescribed form and on payment of permit.

the prescribed fee,grant a land clearing permit where he issatisfied that -

(a) the relevant provisions of this Acthave been complied with;

(b) all necessary approvals underother Acts or provincial Ordinances have beenobtained;

(c) the grant of the land clearingpermit is in accordance with the national forestresource management strategy;

(d) the relevant provincial executivehas consented to the application under section40;

(e) in the case of clearing ofunregistered customary land, the rights to thetimber and non-timber forest produce on the landhave been acquired form the customary ownersunder Part V; or

(f) in the case of registered land, theregistered owners of the land have consented inwriting to the clearing.

44

(2) A land clearing permit authorises the permitholder, his employees and his agent or sub-contractor to clearland in accordance with the conditions of the permit.

(3)where -

No land clearing permit shall be granted except

(a) a determination of potential forestuses has been made in respect of the land to becovered by the permit; and

(b) the clearing will be consistent withthat determination.

Provincialgovernmentconsent toland clearingpermit

(4) A person who harvests or removes timber fromland in the course of land clearing shall not sell the timber unlessthat person holds a timber harvesting licence in respect of theland from which the timber is harvested.

(5) A land clearing permit shall -

(a) be in the prescribed form;

(b) specify the area of land coveredby the permit; and

(c) be subject to such conditions asare prescribed in the permit.

40. (1) An application for a land clearing permitshall be submitted to the relevant provincial executive for itsconsent.

(2) The provrsrons of section 30 shall mutatismutandis apply to the procedure to be followed in the consider­ation and consent or otherwise of an application under subsec­tion (1).

Division IV - Timber Processing

(a) under and in accordance with atimber processing licence;

Requirement 41 .for timber pro- than­cessinglicence

(1) No person shall process timber otherwise

(b) under and in accordance with alocal timber harvesting licence or a communityforestry scheme licence;

(c) for purposes which do not involvethe sale of the processed timber; or

(d) in a timber processing facilitywhich is of a class that is exempt.

(2) A person who contravenes subsection (1) shallbe guilty of an offence and liable -

(a) in the case of an individual, to afine not exceeding $25,000 or to imprisonmentfor a period not exceeding five years or to bothsuch fine and imprisonment; or

(b) in the case of a corporate entity, toa fine not exceeding $100,000.

(3) The Minister may, by notice in the Gazette,declare any class of timber processing facility to be exempt fromthe requirements of this Part.

42. (1) SUbject to this section, the Commissionermay, on application in the prescribed form and on payment ofthe prescribed fee, grant a timber processing licence where heis satisfied that -

(a) the relevant provisions of this Acthave been complied with;

(b) the grant of the licence is in accor-dance with the national forest resource manage­ment strategy and the national timber industrypolicy;

(c) the relevant provincial executivehas consented to the application under section43; and

(d) if the relevant applicant or anyagent or contractor named in the application is aforeign investor, that investor has complied withall applicable laws.

45

Timber pro­cessinglicence.

46

Provincialgovernmentconsent totimber pro­cessinglicence

(2) A timber processing licence authorises thelicensee, his employees and his agent or sub-contractor, tooperate a timber processing facility in accordance with theconditions of the licence.

(3) A timber processing licence shall -

(a) be in the prescribed form;

(b) specify the area of land fromwhich timber may be drawn for processing at thefacility;

(c) specify the maximum volume oftimber that may be processed, or the maximumvolume of processed timber that may beproduced,at the facility; and

(d) be subject to such conditions asare prescribed in the licence in accordance withthe national timber industry policy.

(4) A timber processing licence does not authorisethe holder to harvest timber.

43. (1) An application for a timber processinglicence shall be submitted to the relevant provincial executive forits consent.

(2) The relevant provincial executive shall considerthe licence application at its next meeting following the submis­sion for consent provided that the application has beensubmitted at least two weeks before that meeting.

(3) The relevant provincial executive shall consent tothe licence application if it is satisfied that -

(a) the application is in accordancewith any relevant provincial policies set out in theprovincial statement under section 20 (3);

(b) the applicant satisfies any assess-ment criteria or qualifications applicable underpolicies set out in the provincial statement, topersons wishing to carry out timber processingactivities in the province; and

47

(c) the timber processing activitiesproposed under the licence are not in breach ofany provincial Ordinance.

(4) Where an application is rerused, the provincialexecutive shall in writing inform the applicant of its reasons.

(5) A provincial executive shall not unreasonablywithhold or refuse its consent under subsection (3).

(6) Where a provincial executive has refused orfailed to consent to a licence under subsection (3), the applicantfor the licence may appeal to the Minister who may -

(a) if he considers the refusal orfailure to consent to the licence is unreasonablein all the circumstances; and

(b) after consultation with the Ministerresponsible for Provincial ~overnment,

approve the application and issue the licence.

Division V - Administration of Licences and Permits

44. (1) There shall be payable in respect of every Fees.

licence or permit, and every application, notrce, determination,transfer, grant and approval under this Act, such fees as may beprescribed by the Minister.

(2) The Commissioner may fix charges for the provi-sion of any document or other information

45. (1) SUbject to this section, the Commissionermay where the circumstances so require, vary the conditions ofany licence to -

(a) adjust the volume of timber thatmay be harvested or processed annually so thatthe licence conforms with the national forestresource manaqernent strategy;

(b) impose on the licensee therequirement to comply with a timber supply quotawhich has been granted in accordance withsection 59; or

Variation oflicence condi­tions.

t

(3) An application for extension of the area of landcovered by a licence shall be treated as a new application.

(4) The extended term referred to in subsection (1)may be a rolling term, but shall be subject to the negotiation of avalid forest access agreement for the area of land and the termcovered by the licence.

48. (1) Subject to subsection (4), no licence,permit or approval issued under this Act shall be transferred,assigned, sold or disposed of in any way whatsoever except withthe written approval of the Commissioner and any transfer, saleor disposal of a licence, permit or approval without suchapproval shall render such licence, permit or approval invalid.

(2) A local timber harvesting licence or a communityforestry scheme licence shall not be transferred, assigned, soldor disposed of in any way whatsoever and shall automaticallyterminate on any purported transfer, assignment, sale ordisposal.

(3) Where there is a change of more than thirty percent in the beneficial ownership of a corporate entity which is theholder of a licence or permit without the prior consent of theCommissioner, the licence, permit or approval as the case maybe, shall be automatically terminated on that change of owner­ship.

(4) The Commissioner may approve -

(a) the transfer, assignment, sale ordisposal of a licence (other than a local timberharvesting licence or a community forestryscheme licence): or

(b) a change of beneficial ownershipof a corporate entity which is the holder of alicence or is an approved agent or contractor,

where he is satisfied that the change is in accordance with thenational timber industry policy.

49. (1) Where a licensee or a permit holderenters into an agreement, contract or arrangement for an agentor contractor to undertake timber harvesting on his behalf, andthat agreement, contract or arrangement provides, inter alia,

49

Transfer oflicences, per­mits andapprovals.

Certainarrangementsdeemed to betransfer.

50

Effect oftransfer

for the transfer of real effective control of the carrying out oftimber harvesting or marketing to another person, the agent orcontractor shall, for the purposes of this Act, be deemed to be ajoint licensee or permit holder as the case may be.

(2) In circumstances to which subsection (1) applies,the person who is deemed to be the joint licensee or permit hold­er shall be jointly and severally liable as a licensee or permitholder for all the purposes of this Act.

(3) A contract or agreement, whether in writing ornot, and notwithstanding anything in that contract or agreement,shall be deemed to transfer real effective control of the carryingout of timber harvesting or marketing if -

(a) it provides for the agent orcontractor, or a third party, to determine the priceat which timber is sold or to receive the proceedsof sale of timber harvested under the licence; or

(b) it does not make provision for thelicensee or permit holder to terminate the agree­ment in the event that the agent or contractor failsto comply with the conditions of the licence.

50. (1) Upon the transfer of a licence or permitthe transferee shall become liable to fulfil all the conditions what­soever of the licence or permit as if the transferee were theperson to whom the licence or permit was first granted.

(2) Upon the transfer of a licence or permit coveringunregistered customary land in relation to which a forest accessagreement has been entered into, the transferee shall be liableto fulfil all the conditions of the forest access agreement as if thetransferee were the person who had entered into the forestaccess agreement.

InvestmentBoardapprovals

Cap. 142

51. (1) Any person who -

(a) makes an application for approvalof the Investment Board under the InvestmentAct of an enterprises which will require a licenceor permit under this Act; or

(b) being the holder of a licence orpermit, applies for approval under section 13 (2)of the Investment Act,

shall serve a copy of that application on the Commissioner.

(2) On receipt of a copy of an application under sub-section (1), the Commissioner shall make a report to theInvestment Board in respect of the application, and theInvestment Board shall not make a determination on the appli­cation unless it has first considered the Commissioner's report.

(3) A report by the Commissioner under subsection(2) shall state his opinion of the proposed investment or changeof shareholding or beneficial ownership of the applicant and inparticular -

(a) the likely effect on the .expertiseand experience of the applicant which isrelevant to the timber industry;

(b) the likely effect on the concentra-tion or ownership and control of the timberindustry in Solomon Islands; and

(c) whether or not the proposedinvestment or change of ownership is consistentwith the national timber industry policy.

Cap. 142.

51

52. (1) No licence shall be surrendered except Surrender of

with the written approval of the Commissioner given in accor- licence.

dance with the section.

(2) The Commissioner may, on application by theholder of a licence and on payment of the prescribed fee -

(a) issue a notice to the holderapproving the surrender, effective from such dateand subject to such conditions as are specified inthe notice; or

(b) refuse to approve the surrender.

(3) Where an application under subsection (2)relates to a licence covering unregistered customary land, itshall be accompanied by a report from the relevant provincialgovernment or its authorised officer -

52

Cancellationof licence orpermit

(a) setting out the effect of theproposed surrender on the customary owners ofthe land; and

(b) containing a statement by thecustomary owners as to whether or not theowners consent to the proposed surrender.

(4) A statement made under subsection (2)(b) by thecustomary owners of an area of land covered by a licence shallbe signed by the customary representatives and shall be madeonly after the customary owners of the land have receivedindependent legal advice concerning the effect of the surrender.

(5) Where an application under subsection (2)relates to a timber processing licence, and a timber supply quotahas been granted to the holder of the licence, it shall beaccompanied by a written statement by the holders of anytimber harvesting licences who are required to supply timber forprocessing under the timber processing licence.

53. (1) The Commissioner may cancel a licenceor permit on any of the following grounds -

(a) the licensee or permit holder hasfailed, within the period specified, to comply witha request under section 54 to remedy a failure ofperformance or compliance under this Act;

(b) the information provided with theapplication for the licence or permit was incorrector a false declaration was made in connectionwith the grant of the licence or permit;

(c) the licensee or permit holder hasfailed, within a reasonable time, to comply withthe provisions of the forest access agreement,including payment of royalties, rent, compensa­tion or other dues;

(d) the licensee or permit holder hasfailed to comply with the conditions of the licenceon more than three occasions in the previoustwelve months;

(e) the licensee or permit holder hasfailed to pay fees or levies prescribed by or underthis Act within three months of those fees orlevies becoming payable;

(f) in the case of a licence, thelicensee has not harvested any timber under thelicence for a continuous period of six months ormore without approval of the Commissioner; or

(g) in the case of a communityforestry scheme licence, any registered partici­pants of the scheme have failed to comply withthe conditions of the licence.

(2) Before cancelling a licence or permit under sub-section (1), the Commissioner shall give written notice to thelicensee or permit holder advising of the intended cancellationand inviting the licensee or permit holder to make representa­tions within fourteen days of the notice as to why the licence orpermit should not be cancelled.

(3) The Commissioner shall take into account anyrepresentations made under subsection (2) and may, if he is sat­isfied that grounds under subsection (1) exist, cancel the licenceor permit.

(4) Upon cancellation of a licence or permit undersubsection (1), written notification of the cancellation and thereasons for the cancellation shall be given to the licensee orpermit holder.

(5) The cancellation of a licence or permit is effectiveon -

(a) the date of notification to thelicensee or permit holder;

53

(b)the notice,

whichever is the later.

such other date as is specified in

54

Suspension oflicence orpermit

54 (1) The Commissioner or a forest inspectormay, orally or in writing, request a licensee or permit holder totake such reasonable action as the Commissioner or forestinspector considers necessary to remedy -

(a) a failure to perform an obligationunder the licence or permit; or

(b) a failure to comply with this Actwith regard to the licence or permit.

(2) Where the Commissioner considers that arequest under subsection (1) has not been complied within areasonable time, he may, by notice in writing to the licensee orpermit holder -

(a) suspend all or some of the rightsof the licensee or permit holder to carry outtimber harvestinq or forestry related activities orland clearing under the licence or permit;

(b) direct the licensee or permitholder to repair any damage caused by the failureof performance or compliance in the manner andwithin the period specified in the notice; and

(c) direct the licensee or permitholder to carry out, within the period specified inthe notice, such other work as the Commissionerconsiders necessary in order to remedy thefailure of performance or compliance.

(3) If a licensee or permit holder fails to comply witha notice under subsection (2), the Commissioner may do all orany of the following things -

(a) cancel the licence or permit inaccordance with section 53;

(b) authorise a person to repair thedamage and carry out the work specified in thenotice, and such person shall be authorised toenter on the land covered by the licence or permitfor the purpose of doing so; and

(c) recover from the licensee orpermit holder in court, as a debt due to theGovernment, the expenses incurred in having thedamage repaired or the works carried out underparagraph (b).

55

55. (1) Any person who - Keeping ofrecords

(a) enqaqes in timber harvesting andforestry related activities;

(b) holds a licence or permit underthis Act; or

(c) sells or exports timber,

shall keep such records and supply such information relating tohis activities as the Commissioner may require.

(2) Any person who, without lawful cause, refuses tokeep records or supply information as required under subsection(1) or who knowingly supplies false information shall be gUilty ofan offence and liable to a fine not exceeding one hundredthousand dollars.

56. (1) The Minister may, after consultation withthe Board and with approval of the Cabinet, by order publishedin the Gazette impose a forest development levy.

(2) An order under subsection (1) may provide thatthe levy is payable in respect of all timber harvested under all orsuch categories of licences or permits, or timber, or timberharvested in such circumstances, as are specified in the order.

(3) An order under subsection (1) shall specify therate or rates of the levy, and the manner in which it is to beassessed and paid.

(4) The forest development levy is payable into theForest Trust and shall be used for the purposes specified inaccordance with section 9.

(5) A forest development levy payable under thissection may be recovered as a debt due to the Government.

Forestdevelopmentlevy

56

Timber har­vesting levy

Offences inrelation tolicences andpermits

57. (1) The Minister may, after consultation withthe Board and with approval of the Cabinet, by order publishedin the Gazette impose a timber harvesting levy.

(2) An order under subsection (1) shall come intoeffect three months after it is published in the Gazette.

(3) An order under subsection (1) may provide thatthe levy is payable in respect of all timber harvested under all orsuch categories of licences or permits or timber, or timberharvested in such circumstances, as are specified in the order.

(4) An order under subsection (1) shall specify therate or rates of the timber harvesting levy, and the manner inwhich it is to be assessed and paid.

(5) A timber harvesting levy imposed under subsec-tion (1) shall be paid into the Consolidated Fund or into theForest Trust, as specified in the oraer.

(6) A timber harvesting levy payable under thissection may be recovered as a debt due to the Government.

58. (1) No person shall carry out timber harvest-ing or forestry related activities under a licence or permit otherthan in accordance with the conditions of that licence or permit.

(2) Any person who contravenes the provisions ofsubsection (1) shall be guilty of an offence and shall be liable onconviction -

(a) in the case of an individual, to afine not exceeding $100,000 or to imprisonmentfor two years or to both such fine and suchimprisonment; or

(b) in the case of a corporate entity, toa fine not exceeding $500,000.

(3) Subsection (1) applies to licensees and agents orcontractors of a licensee but does not apply to an employee of alicensee or an agent or contractor acting in accordance with law­ful directions of his employer.

57

(4) In proceedings for an offence under subsection(1), the onus of proving that the person was an employee of alicensee or an agent or contractor acting in accordance with thelawful direction of his employer lies on the person so asserting.

Division VI - Timber Marketing

59. (1) The Commissioner may, on application in Timber supply

the prescribed form and on payment of the prescribed fee, grant quota

a timber supply quota to the holder of a timber processinglicence where he is satisfied that the grant of the timber supplyquota will be in accordance with. the national forest resourcemanagement strategy and the national timber industry policy.

(2) A timber supply quota shall entitle the holder tocompulsorily purchase timber in unprocessed form -

(a) from the holders of the timberharvesting licences specified in the quota;

(b) at the determined price for suchtimber; and

(c) up to the volume specified in thequota,

in each year.

(3) A timber supply quota shall -

(a) be in the prescribed form;

(b) specify the volume of timber thatmay be purchased under the quota; and

(c) be subject to such conditions asare prescribed in the quota, in accordance withthe national timber industry policy.

(4) It is a condition of every timber supply quota thatthe holder of the quota shall process all the timber purchasedpursuant to the Quota within Solomon Islands.

60. (1) The Commissioner may, from time totime, fix prices that shall be the determined prices for timber forthe purposes of this Act.

rlxing ofdeterminedprices fortimber

58

Notification ofapplication forexport author­ity.Cap. 51.

Regulation oftimber export.

State market­ing option.

(2) In fixing the determined prices for timber undersubsection (1), the Commissioner shall ensure that the deter­mined price of a species or grade of timber is a reasonably accu­rate reflection of the prices paid for that species and grade oftimber in the open market.

61. Where a person makes application under theExchange Control Act for authority to export timber fromSolomon Islands, a copy of the application shall be served onthe Commissioner.

62. The Minister may by regulations not inconsistentwith this Act prescribe the procedure, practices and standardsapplying to the export of timber.

63. (1) The Commissioner may direct a personwho has applied for authority to export timber under theExchange Control Act to sell the consignment of timber which isthe subject of the application to another person at an aggregatepurchase price higher than the export value of the consignmentspecified in the application.

(2) The Minister may prescribe the procedure to befollowed by the Commissioner in exercising his powers underthis section.

Offences inrelation to tim­ber market­ing.

64. (1) No person shall -

(a) dispose of timber other than to theholder of a timber supply quota, when there is avalid offer to purchase by that holder pursuant tothe terms of the quota; or

(b) dispose of timber which is thesubject of a direction by the Commissioner undersection 63 (1), to a person other than the personnamed in that direction as the purchaser of thetimber.

(2) Any person who contravenes the provisions ofsubsection (1) shall be guilty of an offence and shall be liable onconviction -

(a) in the case of an individual, to afine not exceeding $100,000 or to imprisonment

for two years or to both such fine and suchimprisonment; or

(b) in the case of a corporate entity,to a fine not exceeding $500,000.

Division VII - Export

65. (1) No person shall export processed or Approval of

unprocessed timber otherwtse than under and in accordance export.

with an authority to export granted by the Commissioner inaccordance with this section.

(2) Any person who contravenes subsection (1) shallbe guilty of an offence and on conviction liable -

(a) in the case of an individual, to afine not exceeding $25,000 or to imprisonment fora period not exceeding five years or to both suchfine and such imprisonment; or

(b) in the case of a corporate entity, toa fine not exceeding $100,000.

(3) The Commissioner may issue an authority toexport unprocessed timber where he is satisfied that -

(a) the timber has been correctlyscaled: and

(b) the timber is not of a species thatthe Minister has declared to be prohibited orrestricted from export.

~4) The Commissioner may from time to time, andafter consultation with the Board, prescribe standards ofmerchantable quality for processed timber.

(5) The Commissioner may issue an authority toexport processed timber where he is satisfied that the timbermeets the standards of merchantable quality prescribed undersubsection (4).

59

60

Determinedvalue of tim­ber

Restrictedand prohibitedexports

66. The Commissioner shall from time to time pre-scribe a determined value for certain species and grades oftimber, for export purposes, based on the prices actuallyobtained for that timber of that grade and species.

67. (1) The Minister may, by notice published inthe Gazette, declare any species, grade or other category of tim­ber to be -

(a) restricted from export inunprocessed form;

(b)

(c)import.

prohibited from export; or

restricted or prohibited from

Restriction ontransfer, etc.of forestaccess rightsin unregis­tered custom­ary land

(2) The Minister may make regulations prescribingthe manner in which restrictions or prohibitions on the export orimport of timber are to be enforced.

PART VRECOGNITION OF OWNERSHIP OF FOREST

ACCESS RIGHTS AND NEGOTIATION OF FOREST ACCESSAGREEMENTS

Division I - Preliminary

68. (1) No forest access rights in relation tounregistered customary land shall be transferred, disposed of oracquired except under a valid forest access agreement enteredinto in accordance with this Part.

(2) A person who enters into an agreement for thetransfer, disposal or acquisition of forest access rights in relationto unregistered customary land in contravention of subsection(1) shall be guilty of an offence and shall be liable onconviction -

(a) in the case of an individual, to afine not exceeding $100,000 or to imprisonmentfor five years or to both such fine and suchimprisonment; or

(b) in the case of a corporate entity, toa fine not exceeding $500,000.

(3) Nothing contained in section 221 of the Land andTitles Act shall prohibit or invalidate the acquisition by a personother than a citizen of Solomon Islands of any forest accessrights relating to customary land, or of any right of access to orover customary land for the purpose of exercising forest accessrights, under a valid forest access agreement entered into inaccordance with this Part.

69. (1) No forest access agreement for the acqui-sition of forest rights in relation to unregistered customary landmay be entered into unless -

(a) the customary owners havelodged a statement of customary ownership inaccordance with section 71;

(b) any land dispute in reiation to theunregistered customary land has been resolvedin accordance with the procedure specified insection 77;

(c) the customary owners have madean election as to permitted forest uses in accor­dance with section 79; and

(d) the Commissioner has authorisedinterested persons to make proposals to thecustomary owners under section 82.

(2) A forest access agreement entered into beforethe provisions of subsection (1) have been satisfied is void andof no effect.

(3) A forest access agreement shall have no effectunless consent to it is given by the relevant provincial executivein accordance with section 84.

(4) It shall be an implied condition of every forestaccess agreement that any timber harvesting and forestryrelat­ed activities carried out under the agreement shall be carried outin accordance with the code of practice.

61

Cap. 133.

Forest accessagreement

62

Offence tomake pro­posal withoutauthorisation.

70. (1) No person shall -

(a) make an offer to a customaryowner in relation to the transfer, disposal oracquisition of forest access rights in unregisteredcustomary land;

(b) offer an inducement to acustomary owner for the purpose of negotiating aforest access agreement covering unregisteredcustomary land,

Statement ofcustomaryownership

otherwise than in accordance with -

(i) an approval by theCommissioner under section 77 (4); or

(ii) an authorisation by theCommisstoner under section 82.

(2) A person who contravenes subsection (1) shallbe guilty of an offence and liabte -

(a) in the case of an individual, to afine not exceeding $100,000 or to imprisonmentfor two years or to both such fine and suchimprisonment; or

(b) in the case of a corporate entity, toa fine not exceedlno $500,000.

Division II - Identification of Customary Owners

71. A statement of customary ownership may belodged in accordance with the procedure set out in this section,and In me rorrn provided tor In section 75, by the customary own­ers of an area of unregistered customary land covered by adetermination of potential forest uses.

(2) After a determination of potential forest uses hasbeen made in relation to an area of unregistered customary land,the Commissioner, in consultation with the relevant area councilor such other body wnn Similar resoonsiomties (if any), shall fix areasonable oenoo ot time within which statements of customaryownership In relation to the land shall be lodged.

(3) The Commissioner shall arrange for notice to begiven of the time for lodging statements of customary owner­ship -

63

(a)nationally;

(b)service;

in a newspaper circulating

through a national broadcasting

(c) by means of a notice displayed inthe area covered by the determination ofpotential forest uses; and

(d) by such other means as theCommissioner considers adequate and effectiveas a means of bringing the notice to the attentionof all the owners of the unregistered customaryland within the area.

72. The time for lodging statements of customaryownership referred to in section 71 and specified in the noticegiven under that section shall be not less than ninety days afterthe date on which the notice is given in accordance with sub­section (3)(a) or (c) of that section.

73. (1) Subject to section 78(2), a group ofcustomary owners who wish to lodge a statement of customaryownership shall, in accordance with custom, appoint represen­tatives to act on their behalf and to execute the statement ofcustomary ownership on their behalf.

(2) An appointment of customary representativesunder subsection (1) shall be -

(a) made at a meeting to which thepersons who are customary owners of the landhave been invited and of which reasonable noticehas been given; and

(b) in accordance with the wishes ofthe customary owners as expressed at thatmeeting in a manner consistent with the customof those owners.

Time limit forlodging state­ment of cus­tomary own­ership

Appointmentof customaryrepresenta­tives.

64

Obligations ofcustomaryrepresentative

(3) A customary representative may De replaced atany time in accordance with the procedure specified in subsec­tion (2).

(4) The replacement or a customary representativetakes effect upon the written notification of that replacement tothe Commissioner.

(5) Until the replacement of a customary representa-tive becomes effective under subsection (4), any act done by avalidly appointed customary representative for the purposes ofthis Act shall be deemed to be a valid act.

74. (1) A person who is a customary representa-tive appointed under section 73 or nominated under section 78shall-

(a) exercise his duties and obligationsas a representative in accordance with thecustom of the group of customary owners ofwhich he is the representative;

(b) act in the best interest of, and astrustee for the group;

(c) endeavour to ensure that thequality of the physical and social environment ofthe group is sustained for present and futuregenerations; and

(d) distribute any payments receivedunder a forest access agreement or for any otherpurpose in connection with the harvesting oftimber, to those persons in the group who are, inaccordance with the custom of the groupentitled to receive such payments.

Form andcontents ofstatement ofcustomaryownership

be -75. (1) A statement of customary ownership shall

(a) a statement of the wishes of thecustomary owners in relation to the harvesting oftimber on their land; and

(b) in the case of customary land thatis. owned by two or more persons, executed bythe persons who are appointed the customaryrepresentatives of me owners in accordance withsection 73.

(2) The statement of customary ownership lodgedunder section 71 shall -

(a) be in the prescribed form;

(b) describe the land to which thestatement relates;

(c) be accompanied by a map at theprescribed scale showing the location andboundaries of the land;

(d) in the case of customary land,identify the group which claims to be thecustomary owners;

(e) identify the custom applying to thetransfer or disposal of forest access rights in theland;

(f) identify any other persons who, inaccordance with custom, are entitled to give orwithhold consent to the transfer or disposal offorest access rights;

(g) identify the persons who are thecustomary representatives of the owners of theland, appointed in accordance with section 73;

(h) identify any qualification on theindividual or group's right, under custom, totransfer or dispose of forest access rights; and

(i) contain such other particularsconcerning the group or individual, and theircustom, as may be prescribed.

65

66

(3) Where, in relation to any land that is the subjectof a determination of potential forest uses, there has been adecision, judqment or record of a court or another person orbody with authority to determine or record the ownership ofcustomary land, a copy of that decision, judqement or recordshall be lodged with the statement of customary ownership.

Lodgementand publica­tion of state­ment

76. (1) A statement of customary ownership shallbe lodged wiith the relevant provincial government, and with therelevant area councilor other body with similar responsibilitiesfor the area.

(2) A statement of customary ownership and anydocument that is lodged with it is a public document and may beinspected by any person.

(3) A provincial government with whom a statementof customary ownership has been lodged shall display copies ofthe statement together with a notice in the area to which thestatement rellates.

(4) The notice under subsection (3) shall state thatpersons objecting to the claims of the group or person identifiedin the statement as the customary owners have two monthswithin which to refer a dispute as to ownership of the land under

Cap. 19. the provisions of the Local Courts Act.

Land disputes 77. (1) A dispute in relation to a statement ofcustomary ownership shall be referred to the chiefs in accor­dance with section 12 of the Local Courts Act within two monthsof the publication of the notice of making of a statement of cus­tomary ownership under section 76.

(2) Where no decision whollv acceptable to bothparties has been made by the chiefs in connection with thedispute, the dispute shall be referred to the local court in accor­dance with the provisions of section 12 of the Local Courts Actwithin two months.

Cap. 133.

(3) An appeal from a decision of a local court may bemade to a customary land appeal court in accordance withsection 256 of the Land and Titles Act.

(4) The Commissioner may, in writing, authorise aperson to provide an amount to meet the expenses of a localcourt or a customary land appeal court hearing a disputereferred to it under this section, provided that he is satisfied thatthe provision of the sum is not likely to influence the decision ofthe court.

78. (1) A local court or customary land appealcourt shall order the amendment of a statement of customaryownership where -

(a) a local court has heard and deter-mined a dispute or an appeal; or

(b) a decision wholly acceptable toboth parties to a dispute has been recorded bythe local court in accordance with section 14 ofthe Local Courts Act,

so as to ensure that the statement of customary ownership con­forms with the terms of the decision made or recorded by thecourt.

(2) Where a local court or customary land appealcourt has ordered the amendment of a statement of customaryownership under subsection (1), it shall make an order nominat­ing the persons who should be the customary representativesfor the purposes of section 73.

79. (1) The Commissioner shall invite the cus-tomary owners to make an election as to which of the potentialforest uses determined by the Comrrnsaioner the owners willpermit to be carried out on the land.

(2) An election under subsection (1) shall be at ameeting convened by the Commissioner or on his behalf, on ornear the area covered by the determination.

(3) The election shall -

(a) indicate whether the customaryowners consent to timber harvesting or taking ofnon-tirnberforest produce on their land;

67

Amendmentof statementby court.

Cap. 19.

Election ofpermitted for­est uses.

68

Time of meet­ing to makeelection.

(b) nominate which of the potentialforest uses set out in the determination ofpotential forest uses the customary ownersconsent to; and

(c) make an election as to whetherthe customary owners wish to -

(i) enter into negotiations withanother party (including a corporateentity of which the customary owners aremembers) to carrv out timber harvestingon the land; or

(ii) make application for alocal timber harvesting licence to under­take timber harvesting themselves; and

(d) if the customary owners haveelected to enter into negotiations with anotherparty to carry out timber harvesting on the land,specify whether the customary owners wish toretain the right to harvest timber in the area of theland to be covered by that agreement.

(4) The customary representatives appointed inaccordance with section 73 or nominated under section 78 shallmake the election at the meeting on behalf of the customaryowners, but all the owners of the land are entitled to be presentat the meeting.

(5) Any election made in respect of an area of un-registered customary land shall be void and of no effect unlessthe owners have lodged a statement of customary ownership inaccordance with this Act.

(6) Until the customary owners have made an elec-tion in accordance with this Part, they shall be presumed not toconsent to timber harvesting or forestry related activities exceptunder and in accordance with a valid community forestryscheme licence or local timber harvesting licence.

80. (1) The meeting at which an election undersection 79 shall be made may be held -

(a) not less than three months afterthe date fixed as the date for lodgement of state­ments of customary ownership under section 71;or

(b) in a case where an applicationhas been made to determine a land disputeunder section 77 after -

(i) the Commissioner is satis-fied that each of the disputes has beensettled or is the subject of a final courtorder;

(ii) any avenues of appealhave been exhausted; and

(iii) the statements ofcustomary ownership have beenamended to conform with the relevantterms of the decision made or recordedby the court.

(2) Where, in respect of part of an area covered by adetermination of potential forest uses -

(a) no statement of customary owner-ship has been lodged; or

(b) there is a protracted land dispute,

the Commissioner may nevertheless convene a meeting inaccordance with this section, provided that no election shall bemade at the meeting in relation to any area to which paragraph(a) or (b) applies.

81. (1) The Commissioner shall give notice of a Notice of

meeting for the purpose of making an election under section 79 meeting.

by such reasonable means as he, in consultation with the rele-vant provincial government and the relevant area councilor anybody with similar responsibilities considers adequate for thepurpose of bringing it to the attention of the customary owners.

69

Authorisationof proposalsfor ordinarytimber har­vestinglicence.

Form of forestaccess agree­ment.

Division III - Negotiation of Forest Access Agreements

82. (1) The Commissioner may by notice in anationally-circulating newspaper, given after -

(a) the provisions of Division II havebeen satisfied with respect to an area of unregis­tered customary land; and

(b) the owners of the land haveelected to negotiate with another party to carryout timber harvesting on the land under an ordi­nary timber harvesting licence,

authorise interested persons to make proposals to the ownersfor the acquisition of forest access rights in the unregisteredcustomary land.

(2) A purported acquisition of forest access rights inrelation to unregistered customary land other than in accor­dance with a notice under subsection (1) is void and of no effect.

83. (1) A group of customary owners may enterinto a forest access agreement in relation to an area of unregis­tered customary land after -

(a) the provisions of Division II havebeen satisfied with respect to that land; and

(b) a decision has been taken by thecustomary group, in a manner consistent with itsstatement of customary ownership, to enter intothe agreement on the terms and conditionsstated therein.

(2) A forest access agreement shall -

(a) be in the prescribed form andshall contain all the particulars provided for inthat form;

(b) specify the forest access rightsthat are transferred under the agreement andthose forest access rights that are nottransferred;

(c) include the prescribed standardterms and conditions that shall not be modifiedexcept in accordance with subsection (3);

(d) in the case of customary land, beexecuted for and on behalf of the group ofcustomary owners by the customaryrepresentatives; and

(e) contain a declaration by thecustomary representatives that a decision wasmade by the whole group, in accordance with itscustom, to enter into the agreement on the termsand conditions stated therein.

(3) The prescribed standard terms and conditionsshall not be modified except with the approval of theCommissioner and upon receipt of advice from the Attorney­General that such modification accords with the wishes of thecustomary owners and will not be unfairly compromised by themodification.

(4) During the negotiation of a forest access agree-ment, the customary owners shall be entitled to obtain advice -

(a) on any aspect of the agreementfrom, and representation by, the office of thePublic: Solicitor; and

(b) on forestry matters relevant to theagreement, from the Commissioner or any publicofficer nominated by him.

(5) WherE~ the party acquiring the forest accessrights under the agreement proposes to enter into an agreementto subcontract with an agent or contractor to carry out forestryrelated activities, the forest access agreement shall identify theagent or contractor.

84. (1) Upon execution of a forest access agree-ment, the parties shall submit the agreement to the relevantprovincial executive for its consent.

71

Provincialgovernmentconsent toforest accessagreement.

72

(2) The relevant provincial executive shall considerthe agreement at its next meeting following the submission forconsent, provided that the agreement has been submitted atleast two weeks before that meeting.

(3) The relevant provincial executive shall considerthe aqreement and give its consent to the agreement if it issatisfied that -

(a) the agreement is in accordancewith the relevant provincial policies set out in theprovincial statement under section 20 (3);

(b) the party who will acquire theforest access rights and any agent or contractorof that party satisfy any assessment criteria ofqualifications applicable, under polices set out inthe provincial statement, to persons wishing tocarry out forestry related activities in theprovince; and

(c) the forest uses proposed underthe agreement are not in breach of any provincialOrdinance relating to land use or forestrymatters.

(4) Where the relevant provincial executive is notsatisfied of the matters set out in subsection (3) it shall refuse togive its consent to the agreement and shall provide a writtenstatement of its reasons.

(5) A provincial executive shall not unreasonablywithhold or refuse approval under subsection (3).

(6) Where a provincial executive has refused to giveits consent to a forest access agreement under subsection (3)I

the parties may appeal to the Minister who may -

(a) if he considers that the refusal orfailure to consent to the agreement is unreason­able in all the circumstances; and

(b) after consulting the Ministerresponsible for Provincial Government,

consent to the agreement.

85. (1) A forest access agreement may not bevaried or extended other than in accordance with the procedureapplying to the negotiation of the original agreement.

(2) Notwithstanding anything in a forest accessagreement, the agreement may be terminated by agreementbetween the parties.

73

Variation,extension andtermination offorest accessagreement.

86. Upon termination of a forest access agreement, Effect of ter­

any ordinary timber harvesting licence relating to the area mination.

covered by the agreement shall automatical!y terminated andshall be of no effect.

PART VISTATE FORESTS

87. (1) The Minister may by notice declare anyland that is public land, land in which the Commissioner ofLands holds a freehold interest in land or a leasehold interest inland, or land leased by or on behalf of the Government, to be astate forest.

(2) Upon such land or part thereof ceasing to besuch land as aforesaid, that land or that part shall cease to be astate forest.

88. The Commissioner of Lands shall not grant anyinterest or licence in any land comprised in a state forest with­out the prior written consent of the Commissioner of Forests,and such restriction shall be noted on the land register and nosuch grant shall be registered until the consent of theCommissioner of Forests has been produced to the Registrar ofTitles.

89. Any person who within a state forest otherwisethan under and in accordance with a valid permit issued undersection 90 or in pursuance of any right which existed prior to thedeclaration of that state forest (the onus of proving which shalllie on such person) -

(a) fells, cuts, taps, damages, burns,removes, works or sells any tree;

Power todeclare stateforests.

Restriction ongrant of inter­ests in stateforests.

Offencesrelating tostate forests.

74

Permits In

respect ofstate forests.

Declaration offorestreserves.

(b) causes any damage therein bynegligence in felling any tree, dragging anytimber, lighting any fire or otherwise howsoever;

(c) clears or breaks up any land forcumvauon or any other purposes;

(d) resides in or erects any building,shelter or structure;

(e) grazes or permits to be grazedany livestock;

(f) has in his possession anymachinery, equipment or implement for cutting,taking, working or removing any forest produce,without being able to show that such machinery,equipment or implement is in his possession fora lawful purpose; or

(g) constructs or re-opens any road,saw-pit or work-place,

shall be guilty of an offence and liable -

(i) in the case at anindividual, to a fine not exceeding$10,000 or to imprisonment for sixmonths or to both such fine and imprison­ment; or

(ii) in the case of a corporateentity, to a fine not exceeding $50,000.

90. Upon application therefor and payment of theprescribed fee, the Comrrusstoner and, subject to the directionsof the Commissioner, a forest inspector, may issue a permitauthorising any of the acts mentioned in section 89 upon termsand conditions as the Commissioner or forest inspector maytherein specify.

PART VIIFOREST RESERVES

91. Where the Minister is satisfied that for the pur-pose of conserving water resources within Solomon Islands it isnecessary or desiraore to protect the forest or other vegetation

in any rainfall catchment area, he may, subject to the provisionsof this Part, by notice declare such area or part thereof to be aforest reserve, and shall in the same notice specify what rightsand the extent to which such richts may be exercised in theforest reserve.

92 Before declaring any area to be a forest reservethe Minister shall -

(a) cause to be published in suchmanner as he may in his discretion consider tobe adequate or most effective for the purpose ofbringing it to the attention of all persons likely tobe thereby affected, notice of the intention so todo;

(b) cause to be afforded to suchpersons an opportunity to make representationsthereon; and

(c) cause to be made such enquiriesas he may, in his discretion, deem fit for thepurpose of ascertaining -

(i) what rights exist in thatarea and to what extent such rights maybe expected to be exercised in theabsence of a declaration as aforesaid;

(ii) the extent to which theexercise of such rights could be permittedwithout prejudice to the purposes of aforest reserve;

(iii) in respect of the extent towhich the exercise of such rights couldnot be so permitted, what reasonablealternative arrangements could be madeor what compensation would be appro­priate,

and shall, in respect of such rights which cannot be permitted tobe exercised, cause such arrangements as aforesaid to bemade or such compensation as aforesaid to be paid, within onemonth of the making of the declaration under section 91.

75

Notice,enquiries andcompensation

76

Appealagainstcompensa­tion.

Offencesrelating to for­est reserves.

93. (1) Any person not permitted to exercise anyof his rights in a forest reserve who is aggrieved by the amountof the compensation paid or offered or the alternative arrange­ments made or offered to be made under section 92 may, with­in three months of the decrarauon or me rorest reserve, appealto a Magistrate's Court, which may make such order as itconsiders just.

(2) Any person who is aggrieved by the order ordecision of a Ma~listrate's Court under subsection (1) anddesires to question it on the ground that it is erroneous in pointof law, may within two months of the date of the order or deci­sion. appeal to the High Court.

(3) The High Court may, if satisfied that the order ordecision is erroneous in point of law, make such order as itconsiders just.

(4) The order or decision of the High Court and, sub-ject to the provisions of this section, the order or decision of aMagistrate's Court under this section, shall be final and con­clusive and shall not be questioned in any proceedings whatso­ever.

94. (1) Any person who within a forest reserveotherwise than under and in accordance with a valid permitissued under section 95 -

(a) fells, cuts or removes any forestproduce otherwise than for his own personal ordomestic use;

(b) clears or breaks up any land forcultivation or any other purpose;

(c) resides in or erects any building,shelter or structure;

(d) grazes or permits to be grazedany livestock,

shall be guilty of an offence and liable -

(i) in the case of an indivi-dual, to a fine not exceeding $10,000 orto imprisonment for six months or to bothsuch fine and such imprisonment; or

(ii) in the case of a corporateentity, to a fine not exceeding $50,000.

(2) Subsection (1) shall not apply to any person act-ing in exercise of any right specified under section 91, but anyperson charged with an offence under this section shall, until thecontrary is proved, be presumed not to have been a person act­ing as aforesaid.

95. Upon application therefor and payment of theprescribed fee, the Commissioner and, subject to the directionsof the Commissioner, a forest inspector, may issue a permitauthorising any of the acts mentioned in section 94 (1) uponsuch terms and conditions as the Commissioner or forestinspector may therein specify.

PART VIIIENFORCEMENT

96. The Commissioner may appoint forest inspectorsfor the purpose of carrying out the provisions of this Act.

97 Every forest inspector shall have authority toenter any customary land to exercise the powers or perform thefunctions conferred on him or required to be exercised or per­formed for the purpose of carrying into effect this Act.

98. (1) For the purposes of ascertaining whetherthere is or has been any contravention of the provisions of thlsAct or a licence or permit issued under this Act, or investigatingsuch an offence or contravention, a forest inspector or anypolice officer shall have the power to -

(a) arrest any person reasonablysuspected of having committed an offence underthis Act:

Provided that no person shall be arrestedunder this subsection unless such personrefuses to give his name and address or gives aname and address which there is reasonablecause to believe is false or there is reasonablecause to believe that he will abscond;

77

Permits inrespect of for­est reserves.

Appointmentof forestinspectors.

Power toenter custom­ary lana.

Powers of for­est inspectorsand police.

78

(b) at any hour enter any premisesused in connection with timber harvesting orforestry related activities other than premisesused exclusively as a oweumq-nouse;

(c) at all reasonable hours enter anydwelling-house where he has reasonable causeto believe any evidence of the commission of anoffence may be located;

(d) stop, board and search any vesselused for transportation or storage, or reasonablysuspected of being used for transportation orstorage of timber;

(e) stop and search any vehicle usedfor transportation or storage, or reasonablysuspected of being used for transportation orstorage of timber;

(f) make such examination, inspec-tion and inquiry as may appear necessary to himconcerning any premises, logging camp, vesselor vehicle;

(g) inspect any timber harvested orprocessed or reasonably suspected of beingharvested or processed in Solomon Islandswherever it may be located, and enter anypremises, vessel or vehicle for the purpose ofmaking such an inspection;

(h) require any person to produce alicence, permit, authority or approval if it appearsto the inspector or officer that any such person isdoing any act for which a licence, permit orapproval is required and take copies of any suchlicence, permit or approval; and

(i) require any person to produce anylogbook, shipping record, scaling sheet, record orother document required to be held by him underthis Act, and take copies of such logbook,shipping record, scaling sheet, record or otherdocument.

(2) Any forest inspector making an arrest under thissection shall without unnecessary delay take or send the personarrested to a police officer, and any police officer making anarrest under this section or to whom a person who is arrestedunder this section is taken, shall deal with such person in accor­dance with the provisions of the Criminal Procedure Code Actrelating to persons arrested without a warrant.

99. (1) The Commissioner may, by notice in writ-ing, direct a person whom the Commissioner has reasonablecause to believe is harvesting timber without a licence orpermit, to stop harvesting and carrying out forestry relatedactivities.

(2) The Commissioner may, by notice in writing,direct a person whom the Commissioner has reasonable causeto believe is harvesting timber in contravention of afundamental condition of a licence or permit. to stop harvestingand carrying out forestry related activities.

(3) In this section, "fundamental condition" means acondition of the licence or permit which is designated to be afundamental condition by the terms of the hcence or permit.

(4) No person shall carry out timber harvesting orforestry-related activities in contravention of a notice issuedunder subsection (1) or (2).

(5) A person who contravenes subsecnon (4) shallbe guilty of an offence and on conviction liable -

(a) in the case of an individual, to afine not exceeding $500,000 or to imprison­ment for five years or to both such fine and suchimprisonment; or

(b) in the case of a corporate entity, toa fine not exceeding $2,000.000.

100. (1) Where there is reason to believe that anoffence against this Act has oeen committed, a forestinspector, customs officer or police officer may seize -

(a) any timber that he suspects, onreasonable grounds, was harvested orprocessed in contravention of this Act or a termor condition of a licence or permit;

79

Cap. 7.

Direction tostop harvest­ing.

Power ofseizure.

80

Disposal oftimber afterseizure.

(b) timber that is mixed with othertimber to which paragraph (a) applies;

(c) any tools, machinery, equipment,plant, boats, vehicles and livestock reasonablysuspected of having been used in thecommission of such offence; or

(d) a vessel, boat, barge, vehicle ortrailer in or on which is found any timber to whichparagraph (a) or (b) applies, but which is nototherwise suspected of having been used in thecommission of the offence.

(2) A vessel, boat, barge, vehicle or trailer that isseized under subsection (1 ) (d) shall be released to the personwho had possession of it at the time of seizure once the timbertherein or towed thereby is -

(a) delivered to and unloaded at areasonable location required by the forestinspector, customs officer or police officer; or

(b) released from seizure.

(3) All property seized under subsection (1) shall bemarked in such a way as to identify the place and the personfrom whom it was seized and such seizure shall be reported toa Magistrate as soon as possible after the seizure.

(4) A court may, if it determines that the seizure wasmade in an unreasonable manner, and as a result of suchseizure the owners or other person entitled to possession ofproperty suffered loss, order the Government to pay compensa­tion to the owner for such loss as may be proven, and costs.

101. (1) Timber seized under section 100 may bereleased, sold, or otherwise disposed of in the manner, and onthe terms, agreed in writing between the Commissioner and thepersons who own the timber or are otherwise entitled topossession of it.

(2) Except as provided in subsection (3), timberseized under this section may only be released, sold or other­wise disposed of in accordance with a Court order, and any

party with an interest in such timber may apply to the court foran order for disposal.

(3) A court may make orders -

(a) for the release of timber which thecourt is satisfied was not harvested or processedin contravention of this Act to the person orpersons who were entitled to possession at thetime the timber was seized;

(b) for the forfeiture of timber whichthe court is satisfied was harvested or processedin contravention of this Act to the Commissioner;

(c) in any case where an order forforfeiture of timber is made, ordering the distribu­tion of the net proceeds of sale of the timberamong such persons as it is satisfied -

(i) owned or were otherwiseentitled to possession of the timber at thetime it was seized; and

(ii) have not assisted in,connived at or assented to the contraven­tion which was the basis of the order forforfeiture.

(4) For the purposes of subsection (3), "net proceedsof sale of the timber" shall mean the proceeds realised fromsuch sale, less the reasonable costs incurred by theGovernment in respect of -

(a) the seizure, storage, transport,removal and sale of the timber; and

(b) related court proceedings.

102. (1) Where any person is convicted of anoffence against this Act, all property seized under section 100,other than timber, snall be liable to be forfeited by order of thecourt recording the conviction.

81

Forfeiture ofproperty onconviction.

82

Disposal ofseized pro­perty whereownerunknown.

Prosecutionof offences.

(2) Forfeiture under subsection (1) shall be in addi-tion to any other penalty prescribed for such an offence.

(3) Upon forfeiture under subsection (1), theCommissioner may take possession of and direct the sale ordisposal of the forfeited property.

103. (1) Where there is reason to believe that anoffence against this Act has been committed by a person or per­sons unknown, any property seized in respect of such a sus­pected offence shall be taken into possession and disposed ofat the direction of the Commissioner.

(2) No property referred to in subsection (1) shall besold or otherwise disposed of before the expiration of one monthfrom the date of a notice under subsection (3).

(3) When any property has been seized under sub-section (1), the Commissioner shall serve notice of the seizureon any person he believes may have an interest in the property,and may publish such notice in such manner as he thinks fit.

(4) Any person with an interest in property seizedunder subsection (1) may, within one month of a notice undersubsection (3), appeal to a magistrate against the taking intopossession of the property.

(5) After the expiration of one month from the givingof notice under subsection (3), and the final determination of anyappeal under subsection (4), the property seized shall vest inthe Government absolutely.

104. (1) The police, provincial governmen: legalofficers and the Commissioner shall have power to lay informa­tion for prosecution of offences under the Act.

(2) In any proceedings for an offence against thisAct, an averment that any substance is timber or non-timber for­est produce shall be sufficient without proof of such fact unlessthe person charged proves the contrary.

Miscellaneousoffences.

105. (1) Any person who -

(a) receives any timber knowing orhaving reasonable cause to believe it to havebeen harvested or processed in contravention ofthis Act;

(b) counterfeits or unlawfully fixes toany timber a mark used by forest inspectors;

(c) without due authority -

(i) makes or causes to bemade;

(ii) has in his possession; or

(iii) uses or causes to be used,

a brand or stamp used by forest inspectors;

(d) unlawfully or fraudulently alters,defaces or obliterates a mark fixed to any timberby or under the authority of a forest inspector;

(e) unlawfully alters, removes ordestroys a boundary mark used for forestrypurposes;

(f) marks timber or records themeasurement or grade of timber knowing themark or record of measurement to be false;

(g) ignites or maintains an open fireon or near forested land and leaves such tireunattended or fails to extinguish the fire beforeleaving it; or

(h) obstructs or hinders the holder ofany office under this Act in the exercise of hispowers under this Act,

commits an offence.

(2) A person who contravenes subsection (1) shallbe guilty of an offence and on conviction liable -

83

84

False infor­mation.

Compen­sation

Offences bycorporateentity.

Generalpenalty.

Compoundingof breaches.

(a) in the case of an individual, to afine not exceeding $50,000 or to imprisonmentfor one year or to both such fine and suchimprisonment; or

(b) in the case of a corporate entity, toa fine not exceeding $100,000.

106. A person who knowingly provides false or mis­leading information to the Commissioner, a forest inspector or acustoms officer shall be guilty of an offence and liable on con­viction -

(a) in the case of an individual, to afine not exceeding $50,000 or to imprisonmentfor one year or to both such fine and suchimprisonment; or

(b) in the case of a corporate entity, toa fine not exceeding $100,000.

107. In proceedings for an offence against this Actwhich relates to the unauthorised harvesting or processing oftimber or clearing of forested land, a court shall, on convictionand in addition to the penalty prescribed for the offence, orderthe person convicted to pay compensation to any person suffer­ing damages as a result of the breach.

108. Where a corporate entity is gUilty of an offenceagainst this Act, any OTTIcer, director or agent of such entity whoauthorised, assented to or participatea In, or by his neglect oromission contributed to the commission of the offence, is a partyto and guilty of the offence and liable to the penalty prescribedfor that offence.

109. A person who is gu1lty of an offence against aprovision of this Act or the regulations for which no penalty iselsewhere prescribed is liable on conviction to a fine not exceed­ing $5.000 or. in default of payment, to imprisonment notexceeding one year.

110. (1) The Commissioner may, by notice in writ-ing, impose a penalty on any licensee or permit holder who inthe opinion of the Commissioner -

(a) harvests timber in contraventionof a licence or permit;

(b) by acts or omissions in contraven-tion of a licence or permit destroys, loses ordamages merchantable timber;

(c) fails to scale timber that thelicensee or permit holder is required to havescaled

(d) fails to scale timber in the mannerrequired by the licence, permit or the code ofpractice; or

(e) falsely states the grade orspecies, or other quality, of timber harvested bythe licensee or permit holder.

(2) A penalty under subsection (1) shall be up todouble the market value of the timber.

(3) For the purposes of this section, the market valueof timber shall be the free on board market value of theunprocessed timber, as assessed by a forest inspector and, inthe case of timber referred to in paragraph (b) of subsection (1),shall be assessed as if such loss or damage had not occurred.

111. (1) A licensee or permit holder who is Appeal.

aggrieved by the Commissioner exercising his power under sec-tion 110 in respect of -

(a) his liability for a penalty imposedunder that section; or

(b) the assessment of the value of thetimber made for the purposes of calculating theamount of such penalty,

may appeal to a court within fourteen days of receiving notifica­tion of imposition of the penalty.

(2) If a licensee or permit holder has not appealed tothe court within the time provided, or paid the penalty within thir­ty days of notification to him thereof, the Commissioner may, onbehalf of the Government enforce the performance bond lodged

85

86

by the licensee or permit holder, without need of a court order,to recover the amount of penalty.

(3) In any proceedings brought against a person foran offence against this Act, it shall be a good defence if theperson proves to the satisfaction of the court that a penalty hasbeen imposed against him under section 110 in respect of theacts or omissions that are alleged to comprise the offence.

(4) The imposition of a penalty under section 110shall not relieve the licensee or permit holder from any liability topay any royalty or levy, or any other payment due under a forestaccess agreement.

Performance 112. (1) It shall be a condition of every timberbonds. harvesting licence that the licensee shall -

(a) enter into a bond in accordancewith this section before commencing any timberharvesting or forestry related activities under thelicence; and

(b) maintain such a bond until awritten release from the bond is received fromthe Commissioner.

(2) A bond under SUbsection (1) shall providesecurity for -

(a) payment of income tax, duties,levies, fees and other charges which maybecome payable to the Government under thisAct;

(b) in a case where the licensee hasentered into a forest access agreement withrespect to the unregistered customary landcovered by the licence, payment of royalties,rent, compensation and other sums becomingdue to all or any of the customary owners underthe agreement;

(c) the costs of complying with condi-tions of the licence or permit relating lU

reforestation; and

(d) the payment of any penaltyimposed under section 110.

(3) The bond shall take the form of a bank guaranteeor equivalent instrument acceptable to the Central Bank ofSolomon Islands.

(4) Subject to subsection (5), the Minister may makeregulations prescribing the manner in which a bond is to becalculated and imposed.

(5) The amount of a bond imposed under thissection shaH be based on the volume of timber that may beharvested under the licence, or the area of land covered by thelicence, or both.

113. (1) If a licensee fails to make payment of asum secured by a bond, the Commissioner may enforce thebond against the issuing bank, insurance company, or otherauthority, as the case may be, in accordance with the procedureset out in subsections (2) and (3).

(2) The Commissioner may give notice of his inten-tion to enforce a bond by a written notice to the licensee -

(a) stating the amount and nature ofthe sum in respect of which the bond is to beenforced; and

(b) invitinq the licensee to makerepresentations to him within thirty days as towhy the bond should not be enforced.

(3) After the end of the period specified in the noticegiven under subsection (2), the Commissioner may decide toenforce the bond.

(4) After the expiry of a licence to which a perfor-mance bond relates, the Commissioner shall, if he is satisfiedthat there are no sums secured by the bond that remain out­standing, cancel the bond and give written notice thereof to thelicensee and to the issuing bank, insurance company, or otherauthority, as the case may be.

(5) A licensee may apply to a court of competentjurisdiction for release from a bond on grounds that the licenceto which the bond relates has been cancelled.

87

Enforcementand cancella­tion of perfor­mance bonds.

88

Protection ofofficers.

PART IXMISCELLANEOUS

114. No proceedings shall be instituted against -

(a) the Minister;

(b) the Commissioner;

(c) any member of the Board, aprovincial government, an area council;

(d) a provincial secretary;

(e) a forest inspector, customs officeror police officer; or

(f)person.

any delegate or agent of such a

Regulations.

for any matter or thing done by him in good faith in the perfor­mance of his duties or the discharge of his functions under thisAct.

115. (1) The Minister may make regulations, pre-scribing all matters that are required or permitted to be pre­scribed or as the Minister may consider necessary or desirablefor generally carrying out or givingeffBct to this Act.

(2) Without prejudice to the generally of subsection(1), the Minister may make regulations -

(a) prescribing forms to be used inconnection with this Act and prescribing theterms and conditions to which permits, licencesor approvals shall be subject;

(b) prescribing the fees to be paid onan application, grant or approval or other thingrequired to be done under this Act;

(c) prescribing the form and mannerrn wrncn returns of timber harvested, processed,transported, scaled or disposed of shall be made,and requiring any licensee or the holder of apermit. autnoritvor approval to submit fOf'

inspection any books, records, accounts andother documents relating to transactions inrespect of forest produce or timber;

(d) regulating the procedure foridentffying the owners of customary land andprescribing the procedures for negotiation offorest access agreements;

(e) prescribing the manner andprocedure for payment of levies and providing foreffective recovery thereof;

(f) prescribing the rates of royalty tobe paid in respect of timber or forest produceobtained from state forests or other public land orland leased by the Government, or the rate ofstumpage to be paid for wastage of timberharvested from any land and prescribing themethod for calculating such stumpage;

(g) prohibiting or regulating the takingof any specified kind of forest produce from anystate forest;

(h) providing for the survey anddemarcating of state forests and forest reservesand for rights of entry upon any land for thepurpose of carrying out such survey;

(i) regulating the scaling, gradingand marking of timber for export and sale and thelicensing of persons to undertake scaling,grading and markings;

U) providing for the protection oftimber against insect and fungus attack;

(k) prescribing the requirements forobtaining authority to export timber and restrict­ing or prohibiting export of timber that is not ofmerchantable quality;

89

90

(I) regulating the carriage of logs ortimber by any means including by ship, and inparticular providing for the installation and main­tenance of equipment (including but not limited tovessel monitoring equipment) on board vesselsused for the carriage of logs or timber;

(m) regulating the lighting of fires inthe open or in a state forest or forest reserve andprescribing the precautions to be taken toprevent the spreading of fires;

(n) regulating the entry of personsinto state forests and forest reserves and theperiods during and the conditions under whichpersons may enter into and remain in a stateforest or forest reserve;

(0) providing for persons licensed orholding permits under this Act to -

(i) undertake reforestation;

(ii) construct, repair and main-tain roads, pathways and bridges for thepurposes of access to areas for harvest­ing and removal of timber therefrom; and

(iii) for the closing of suchroads, pathways and bridges from accessby members of the public or such personsor traffic as may be specified.

(p) prohibiting or regulating the hunt-ing of birds or animals or fishing or the taking offlora in any state forest or forest reserve;

(q) providing for the impounding ofstray livestock found in any state forest or forestreserve and of any livestock found in any suchforest in contravention of this Act, for the costsand fees to be paid by the owner of such live­stock and for the disposal of such livestock asare not claimed or for which the costs and feesare not paid:

th

92

Provided that no sanctuary shall be declared as a sanc­tuary unless it is compulsorily acquired in accordance with Part

Cap. 133. V of the Land and Titles Act.

Administrative 116. The Commissioner may issue administrativedirections. directions relating to the carrying into effect of the provisions of

this Act, including but not limited to the prescribing of forms,other than those forms required by this Act to be prescribed.

Guidelines. 117. The Commissioner may issue guidelines in rela-tion to the conduct of timber harvesting or forestry related activ­ities, to be observed by all persons carrying out such activities,including but not limited to -

(a) timber treatment;

(b) construction of roads, water cross-ings and other earthworks;

(c) construction of wharves and othertransportation facilities;

(d) sewage and waste disposal;

(e) storage of petroleum products;and

(f) occupational health and safety.

Effect oflicences andpermits.

Repeal andsavings.Cap. 40.

118. No licence or permit granted under this Act shallconveyor be construed to convey any right which theGovernment does not have and in particular no such licenceshall conveyor be construed to convey any right or authority toenter any private or customary land nor take any action withrespect to anything without the authority of the owner of thatland.

119. (1) The Forest Resources and TimberUtilisation Act (hereinafter referred to as the "repealed Act") ishereby repealed.

(2) Notwithstanding such repeal, from and after thecoming into operation of this Act -

(a) the Commissioner of ForestResources appointed under the repealed Actshall be deemed to have been duly appointed asthe Commissioner of Forests for the purposes ofthis Act;

(b) any officer appointed as anenforcement officer or forest officer under section3 of the repealed Act shall be deemed to havebeen duly appointed as a forest inspector for thepurposes of this Act;

(c) subject to sections 120 and 121,any agreement for the acquisition of timber rightsvalidly made under the repealed Act and in forceimmediately before the coming into operation ofthis Act is saved and deemed to be a forestaccess agreement for the purposes of this Act;

(d) subject to sections 120 and 121,any licence for the felling of trees for milling orsale granted under the repealed Act or the NorthNew Georgia Timber Corporation Act valid and in Cap. 43.

force immediately oefore the coming into opera-tion of this Act (hereinafter called an "existingfelling licence") is saved and shall continue to bevalid insofar as that licence confers the right toharvest and remove timber from the area coveredby the licence;

(e) where any such existing fellinglicence provides for the harvesting of timber -

(i) by a person other than acustomary owner of the land covered bythe licence;

(ii) by a corporate entity; or

(iii) by an agent or contractorof the customary owners of the landcovered by the licence,

the licence so saved shall be deemed to be anordinary timber harvesting licence,

93

94

Continuanceof existinglicences.

(f) in the case of any existing fell'Jnglicence to which paragraph (e) does not apply, thelicence shall be deemed to be a local timberharvesting licence;

(g) in the case of an existing fellinglicence saved and deemed to be an ordinarytimber harvesting licence under paragraph (e),the licence shall be valid to the extent that thetimber harvesting is authorised under a validagreement for the acquisition of timber rights andshall, to the extent that the timber harvesting isnot so authorised, be void and of no effect;

(h) any licence to mill timber grantedunder the repealed Act valid and in forceimmediately before the coming into operation ofthis Act (hereinafter called an "existing millinglicence") is saved and shall continue to be validinsofar as that licence confers the right to processtimber and the licence so saved shall be deemedto be a timber processing licence; and

(i) any state forest or forest reservedeclared as such under the provisions of Part Vor Part VI of the repealed Act shall be deemed tobe a state forest or forest reserve for thepurposes of this Act.

120. (1) An existing felling licence shall continue tobe a valid timber harvestinq licence for the purposes of this Actprovided that the Commissioner approves the continuation ofthe licence in accordance with this section.

(2) The holder of an existing felling licence shall,within six months of the coming into operation of this Act, applyto the Commissioner for approval of the continuation of thelicence.

(3) The Commissioner may specify the form in whichan application under subsection (2) shall be made and the infor­mation to be provided with the application.

(4) An application under subsection (2) shall containa statement as to whether or not the licensee has complied withthe conditions of the existing felling licence.

of the

96

Variation ofconditions ofexistinglicences.

expiry of a period of six months after the coming into operationof this Act, automatically terminate.

121. (1) The following shall apply in respect of anyexisting felling licence continued under section 120 -

(a) the code of practice shall prevailover the terms and conditions of the licence, tothe extent of any inconsistency;

(b) any existing felling licence savedas an ordinary timber harvesting licence shall bea valid licence under this Act only to the extentthat such licence covers land which is the subjectof a valid agreement for acquisition of timberrights; and

(c) the provisions of the agreementfor acquisition of timber rights made under Part Iflof the repealed Act relating to tnat licence shalldeemed to be conditions ofthe licence.

(2) The Commissioner shall have power, within threeyears after the commencement of this Act, to change any condi­tions in an existing felling licence with respect to the utilisation oftimber, including conditions relating to -

(a) the volume ot timber that can beharvested annually; and

(b) the volume of timber that can beexported annually in unprocessed form,

so that the saved licence conforms with the national timberindustry policy and the national forest resource managementstrategy.

(3) The Commissioner shall not exercise his powersunder subsection (2) unless he has first given the licensee noticein writing of his intention to vary the conditions of the licence.

(4) A licensee who has been given notice by theCommissioner of his intention to vary the conditions of a licenceshall be entitled to make representations in person to theCommissioner as to why the conditions of the licence should notbe varied.

(5) The variation of licence conditions notified bythe Commissioner under suosection (3) shall come Into effectupon -

(a) the signing of an agreementbetween the licensee and the Commissioner asto the amendment of the conditions of thelicence; or

(b) the expiry of six months after thenotice has been given to the licensee,

whichever is the earlier.

(6) The Commissioner may require the holder of alicence which is saved under this section to lodge a performancebond in accordance with section 112.

122. The North New Georgia Timber Corporation Actis hereby amended as follows -

(1) in section 4 thereof -

(a) by deleting the words "togetherwith the right to grant licences to fell, harvest andextract for sale such timber;" in subsection (3);and

(b) by repealing subsection (5) andsubstituting therefor the following new subsec­tion -

(5) Copies of all licences andagreements referred to in subsection (4)shall be certified to be true copies underthe seal of the Corporation and shall bekept in the office of the Corporation forpurposes of reference by a customaryland owner or any other person.";

(2) in section-5thereof, by deleting paragraph (a) ofsubsection (1);

(3) by repealing section 17 thereof; and

(4) in the Fourth Schedule thereto, by deleting clause(c) of sub-paragraph (2) of paragraph 4 of Part 11 thereof.

97

Amendmentof Cap. 43.

98

SCHEDULE(Section 5)

SOLOMON ISLANDS FORESTRY BOARD

Appointmentof members.

1 (1) The Board shall consist of -

(a) the Secretary of the Ministryresponsible for forestry matters, ex officio;

(b)officio;

the Commissioner of Forests, ex

Cap. 142.

(c) the Governor of the Central Bankof Solomon Islands or his nominee;

(d) a person holding an office in thePublic Service appointed by the Secretary of theMinistry responsible for finance matters;

(e) a person appointed by theInvestment Board established under theInvestmentAct:

(f) a person appointed by the Ministerwho, in the opinion of the Minister, has a goodappreciation of the general concerns and aspira­tions of customary owners of forested land;

(g) a person appointed by the Ministerto represent Solomon Islands companies whichhold timber permits;

(h) a person appointed by theSolomon Islands Forest Industries Association;and

(i) a person appointed by theDevelopment Services Exchange.

(2) A person who is, or who becomes a member ofthe Parliament,or of a Provincial Assembly, is not eligible to beor remain a member of the Board.

99

(3) The members, other than ex officio members,shall be appointed by notice in writing to the Chairman and shallhold office until the appointment is revoked by the person whomade the appointment.

2. (1) The Secretary of the Ministry responsiblefor forestry matters shall be Chairman of the Board.

(2) The members of the Board shall elect one of theirnumber to be the Deputy Chairman.

Chairman andDeputyChairman.

3. Any member of the Board, other than an ex otti- Resignation.

cio member, may resign his office by instrument in writingaddressed to the Chairman and to the person who made theappointment and from the date of receipt by the Minister of suchinstrument. such member shall cease to be member of theBoard.

4. (1) A person responsible for making an Revocation of

appointment of a member of the Board may any time revoke that appointment

appointment.

(2) The Minister may at any time revoke the appoint-ment of any member of the Board, other than an ex officiomember, where that member -

(a) dies;

(b) becomes permanently incapableof performing his duties;

(c) is absent without leave of theChairman from three consecutive meetings of theBoard;

(d) fails to disclose an interest inaccordance with paragraph 9; or

(e) is convicted of an offencepurusnable under a law by a term of imprison­ment of one year or longer and, as a result of theconviction, is sentenced to imprisonment.

100

Remuneration

Appointmentof commit­tees.

Information.

Procedureand meetings.

(3) The names of all members of the Board as firstconstituted and every change in the membership thereof shallbe published in the Gazette.

5. The members of the Board, other than ex officiomembers and any member holding an office in the PublicService, shall be paid such remuneration, whether by way ofhonorarium, fees and such other allowances as the Minister maydetermine.

6. The Board may in the discharge of its dutiesappoint committees comprising members of the Board or non­members or both and may assign to them such functions as theBoard may determine.

7. The Board may invite any person to furnish orprovide information, explanations, advice or express an opinionat any of its meetings.

8. (1) The Board shall meet as often as theChairman requires but in any event at least once every fourmonths, and such meetings shall be held at such places andtimes and on such days as the Chairman may determine.

(2) The Chairman shall preside at all meetings of theBoard at which he is present, and in his absence from any meet­ing the Deputy Chairman shall preside.

(3) The quorum of the Board shall be five.

(4) The decisions of the Board shall be by a majorityof votes and in addition to an original vote, the person presidingat a meeting shall have a casting vote in any case in which thevoting is equal.

(5) Minutes in proper form of each meeting shall bekept.

(6) The validity of the proceedings of the Board shallnot be affected by any vacancy amongst the members thereofor by any defect in the appointment of any member thereof.

(7) Subject to this Schedule, the Board may regulateits own proceedings.

9. (1) Any member of the Board who, otherwisethan as such member, is directly or indirectly interested in thesubject-matter of any proceedings before the Board shall assoon as practicable after the relevant facts have come to hisknowledge, disclose the nature of his interest at a meeting of theBoard.

(2) A disclosure under this paragraph shall berecorded in the minutes of the Board and the member -

(a) shall not take part after thedisclosure in any deliberation or decision of theBoard relatinq to the matter in question;

(b) shall be disregarded for thepurpose of forming a quorum of the Board for anysuch deliberation or decision.

10. No action, sult, prosecution or other proceedingsshall be brought or instituted personally against any member ofthe Board in respect of any act done bona fide in pursuance orexecution or intended execution of this Act.

11. The office of Chairman or member of the Boardshall not be a public office for the purpose of Chapter XIII of theConstitution of Solomon Islands.

101

Disclosure ofinterest.

Immunity fromaction.

Officeof theChairman,etc. not apublicoffice.