Deal history comparison #3156

Previous version (131488)

Selected version (138071)

Location #1

Spatial accuracy level
Administrative region
Location
Kachung, Uganda

Target country
Uganda
Comment on location
Kachung Central Forest Reserves

Location #1

Spatial accuracy level
Administrative region
Location
Kachung, Uganda

Target country
Uganda
Comment on location
Kachung Central Forest Reserves

Land area

Intended size (in ha)
3,199
Size under contract (leased or purchased area, in ha)
[2007] 2669
[2011] 3199
Size in operation (production, in ha)
[2008] 596
[2013] 2016
Comment on land area
2,050 ha are plantable with 546 ha set aside for conservation and 73 ha for infrastructure. Another report states 2099ha plantable. Oakland Institute report states that total hectares investor has in Uganda is 11864ha between #3020 and #3156. Further expansion of 530ha in 2011.

Intention of investment

Intention of the investment
Timber plantation (for wood and fibre), For carbon sequestration/REDD
Comment on intention of investment
CDM- project (Clean Development Mechanism). Wood also sold as timber and charcoal.

Nature of the deal

Nature of the deal
Lease

Negotiation status

Negotiation status
[2007] Concluded (Contract signed)
Comment on negotiation status
The 660 ha Kachung Forest is managed by the Norwegian Afforestation Group (U), which was acquired in 2007 by Green Resources. One report states that the company acquired the land in 1999, while another states that the company acquired rights to plant in 1996.

Implementation status

Implementation status
In operation (production)
Comment on implementation status
It is not clear when the project originally became operational.

Contract farming

Contract farming
No

Land area

Intended size (in ha)
3,199
Size under contract (leased or purchased area, in ha)
[2007] 2669
[2011] 3199
Size in operation (production, in ha)
[2008] 596
[2013] 2016
Comment on land area
2,050 ha are plantable with 546 ha set aside for conservation and 73 ha for infrastructure. Another report states 2099ha plantable. Oakland Institute report states that total hectares investor has in Uganda is 11864ha between #3020 and #3156. Further expansion of 530ha in 2011.

Intention of investment

Intention of the investment
Timber plantation (for wood and fibre), For carbon sequestration/REDD
Comment on intention of investment
CDM- project (Clean Development Mechanism). Wood also sold as timber and charcoal.

Nature of the deal

Nature of the deal
Lease

Negotiation status

Negotiation status
[2007] Concluded (Contract signed)
Comment on negotiation status
The 660 ha Kachung Forest is managed by the Norwegian Afforestation Group (U), which was acquired in 2007 by Green Resources. One report states that the company acquired the land in 1999, while another states that the company acquired rights to plant in 1996.

Implementation status

Implementation status
In operation (production)
Comment on implementation status
It is not clear when the project originally became operational.

Contract farming

Contract farming
No

Contract #1

Duration of the agreement (in years)
50

Contract #1

Duration of the agreement (in years)
50

Number of jobs for foreigners created

Jobs created (foreign)
Yes

Number of domestic jobs created

Jobs created (domestic)
Yes
Current number of jobs (domestic)
[2012] 264
Comment on jobs created (domestic)
A minority of those employed by the company are skilled workers earning incomes of $41.70– $46.90 per month. The majority are unskilled laborers earning around $26.70 per month. Employees state that salary payments are late and they are forced to buy safety equipment for themselves.

Number of jobs for foreigners created

Jobs created (foreign)
Yes

Number of domestic jobs created

Jobs created (domestic)
Yes
Current number of jobs (domestic)
[2012] 264
Comment on jobs created (domestic)
A minority of those employed by the company are skilled workers earning incomes of $41.70– $46.90 per month. The majority are unskilled laborers earning around $26.70 per month. Employees state that salary payments are late and they are forced to buy safety equipment for themselves.

Operating company

Name of investment project
Katchung Forest
Comment on investment chain
Managed by the Norwegian Afforestation Group (U), which was acquired in 2007 by Green Resources. The project is financed by private and public investment funds along with international donors, including Sweden, NORFUND, the Norwegian investment fund for developing countries, its Finnish equivalent FINNFUND, and the World Bank's International Finance Corporation.

Operating company

Name of investment project
Katchung Forest
Comment on investment chain
Managed by the Norwegian Afforestation Group (U), which was acquired in 2007 by Green Resources. Also known as Lango Forestry Company. The project is financed by private and public investment funds along with international donors, including Sweden, NORFUND, the Norwegian investment fund for developing countries, its Finnish equivalent FINNFUND, and the World Bank's International Finance Corporation. carbon credit buyer – the state owned Swedish Energy Agency – withdrew its funding in 2015, decision will be made in 2018 whether the company will continue to fund the operations.

Data source #1

Data source type
Company sources
File
Date
2014-01-07
Comment on data source
company website

Data source #2

Data source type
Research Paper / Policy Report
File
Comment on data source
The Oakland Institute- The Darker Side of Green: Plantation Forestry and Carbon Violence in Uganda, November 2014

Data source #3

Data source type
Company sources
File
Date
2014-11-12
Comment on data source
Company website- News: Dark Green? GR CEO responds to report "The Darker Side of Green"

Data source #4

Data source type
Media report
File
Date
2015-11-03
Includes in-country-verified information
Yes
Comment on data source
http://www.svd.se/sverige-finansierar-forodelse-och-miljoforstorelse/om/sverige

Data source #5

Data source type
Media report
File
Comment on data source
Oakland Institute- Sweden Freezes Payments in Global Carbon Trade Deal After Exposé Reveals Green Resources Cheated Local Communities

Data source #6

Data source type
Crowdsourcing
Date
2015-11-04
Comment on data source
MSc student writing about land grabbing. Added #4810 (duplicate, transferred all data over to this case)

Data source #1

Data source type
Company sources
File
Date
2014-01-07
Comment on data source
company website

Data source #2

Data source type
Research Paper / Policy Report
File
Comment on data source
The Oakland Institute- The Darker Side of Green: Plantation Forestry and Carbon Violence in Uganda, November 2014

Data source #3

Data source type
Company sources
File
Date
2014-11-12
Comment on data source
Company website- News: Dark Green? GR CEO responds to report "The Darker Side of Green"

Data source #4

Data source type
Media report
File
Date
2015-11-03
Includes in-country-verified information
Yes
Comment on data source
http://www.svd.se/sverige-finansierar-forodelse-och-miljoforstorelse/om/sverige

Data source #5

Data source type
Media report
File
Comment on data source
Oakland Institute- Sweden Freezes Payments in Global Carbon Trade Deal After Exposé Reveals Green Resources Cheated Local Communities

Data source #6

Data source type
Crowdsourcing
Date
2015-11-04
Comment on data source
MSc student writing about land grabbing. Added #4810 (duplicate, transferred all data over to this case)

Data source #7

Data source type
Research Paper / Policy Report
File
Comment on data source
CARBON COLONIALISM FAILURE OF GREEN RESOURCES' CARBON OFFSET PROJECT IN UGANDA

Data source #8

Data source type
Research Paper / Policy Report
File
Comment on data source
BUSOGA FORESTRY COMPANY LIMITED (BFC), KACHUNG FORESTRY PLANTATION: LIRA REGION, UGANDA

Consultation of local community

Community consultation
Not consulted
Comment on consultation of local community
Community members are not sure what is community land and what is company land. Members state they attend meetings when called upon but are not listened to.

How did the community react?

Community reaction
Rejection
Comment on community reaction
One report states that many of those evicted, as well as those seeking to use land now licensed to Green Resources, report being subjected to physical violence at the hands of the police. Another report confirms that villagers have been jailed and beaten.

Displacement of people

Comment on displacement of people
One report states that 8,000 villagers face profound disruptions to their livelihoods, including many experiencing forced evictions between #3020 and #3156. Another report states that thousands of people in 14 villages lost their land when the pines were planted (around 3000). The CEO of Green Resources responded stating that: No person has been evicted, by force or any other means. Communities also suffer from the corporate pollution of land and waterways by agrochemicals used in forestry plantations, resulting in crop losses and livestock deaths. There are four villages that remain located within the license area, and at least 12 adjacent to the land licensed to the company. Cows are confiscated if they graze on community land.

Promised benefits for local communities

Promised benefits for local communities
Health
Productive infrastructure (e.g. irrigation, tractors, machinery...)
Capacity Building
Comment on promised benefits for local communities
Green Resources engages in some community development activities, however these are largely disconnected from local villagers’ needs and aspirations. Other sources state that no benefits have been documented. The investor is put under pressure to provide benefits for local communities " take adequate measures which lead to livelihood improvements for residents" (Nov 2015).

Consultation of local community

Community consultation
Not consulted
Comment on consultation of local community
Community members are not sure what is community land and what is company land. Members state they attend meetings when called upon but are not listened to.

How did the community react?

Community reaction
Rejection
Comment on community reaction
One report states that many of those evicted, as well as those seeking to use land now licensed to Green Resources, report being subjected to physical violence at the hands of the police. Another report confirms that villagers have been jailed and beaten.

Displacement of people

Comment on displacement of people
One report states that 8,000 villagers face profound disruptions to their livelihoods, including many experiencing forced evictions between #3020 and #3156. Another report states that thousands of people in 14 villages lost their land when the pines were planted (around 3000). The CEO of Green Resources responded stating that: No person has been evicted, by force or any other means. Communities also suffer from the corporate pollution of land and waterways by agrochemicals used in forestry plantations, resulting in crop losses and livestock deaths. There are four villages that remain located within the license area, and at least 12 adjacent to the land licensed to the company. Cows are confiscated if they graze on community land.

Promised benefits for local communities

Promised benefits for local communities
Health
Productive infrastructure (e.g. irrigation, tractors, machinery...)
Capacity Building
Comment on promised benefits for local communities
Green Resources engages in some community development activities, however these are largely disconnected from local villagers’ needs and aspirations. Other sources state that no benefits have been documented. The investor is put under pressure to provide benefits for local communities " take adequate measures which lead to livelihood improvements for residents" (Nov 2015).

Former land owner (not by constitution)

Former land owner
State

Former land use

Former land use
Forestry
Comment on former land use
Villagers had access to grow food, graze animals, and engage in cultural practices.

Former land cover

Former land cover
Forest land
Shrub land/Grassland (Rangeland)
Comment on former land cover
Some of the land was part of the Kachung Central Forest Reserve, other land was grassland.

Former land owner (not by constitution)

Former land owner
State

Former land use

Former land use
Forestry
Comment on former land use
Villagers had access to grow food, graze animals, and engage in cultural practices.

Former land cover

Former land cover
Forest land
Shrub land/Grassland (Rangeland)
Comment on former land cover
Some of the land was part of the Kachung Central Forest Reserve, other land was grassland.

Detailed crop, animal and mineral information

Crops area
Eucalyptus, Pine

Use of produce

Has domestic use
Yes
Has export
Yes

In country processing of produce

In country processing of produce
Yes
Comment on in country processing of produce
Timber and charcoal

Detailed crop, animal and mineral information

Crops area
Eucalyptus, Pine

Use of produce

Has domestic use
Yes
Has export
Yes

In country processing of produce

In country processing of produce
Yes
Comment on in country processing of produce
Timber and charcoal

Overall comment

Overall comment
The Swedish Energy Agency—Green Resources' sole carbon credit purchaser—announced on November 3, 2015 it has frozen payments to Green Resources after the Swedish Minister for Climate and the Environment spoke out strongly against the company's conduct. The Swedish Energy Agency says they have paid out SEK 1.2 million ($137,000) to the project. The remaining payments of up to about SEK 35 million ($4 million) will be frozen until a number of significant changes are made to the project in order to address the concerns raised by local communities.

Overall comment

Overall comment
The Swedish Energy Agency—Green Resources' sole carbon credit purchaser—announced on November 3, 2015 it has frozen payments to Green Resources after the Swedish Minister for Climate and the Environment spoke out strongly against the company's conduct. The Swedish Energy Agency says they have paid out SEK 1.2 million ($137,000) to the project. The remaining payments of up to about SEK 35 million ($4 million) will be frozen until a number of significant changes are made to the project in order to address the concerns raised by local communities. Decision to be made in 2018. In 2017 Green Resources commissioned an audit of company activities (in data sources- BUSOGA FORESTRY COMPANY LIMITED (BFC), KACHUNG FORESTRY PLANTATION: LIRA REGION, UGANDA). Oakland Institute also undertook an audit of company activities (in data sources - "CARBON COLONIALISM FAILURE OF GREEN RESOURCES' CARBON OFFSET PROJECT IN UGANDA").