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How large is the project site?

The total forest area covered by the project is 122,798 ha, or 36 percent of Kedah's forests which cover 344,523 ha.

How much does the project cost?

It is valued at RM2.7 billion. The initial cost will be about RM39 million, to be financed through a combination of loans and internal funds.

When will the project be implemented?

The original 10-year concession period was to have started in October 2002. However, due to public protests, implementation has been deferred pending the final Environmental Impact Assessment report. The process of public review was to have been completed by Jan 5. If approved, the project will be carried out in two phases of five years each, with different areas being logged.

What does the project site cover?

The forests collectively function as the water catchment area for the Muda, Pedu and Ahning reservoirs, which supply water to Kedah, Perlis and Penang. The areas are located within six permanent forest estates the proposed Bukit Saiong, Bukit Keramat, Chebar Besar, Padang Terap, Pedu and Ulu Muda forest reserves.

What is the concessionaire allowed to do?

The company must comply with a harvesting quota of three trees per 0.4ha.

Who are expected to be affected by the project?

The Pedu and Muda dams serve the Muda irrigation scheme covering 96,000 ha, of which 76 percent is cultivated by some 63,000 padi farmers. Kedah's rice bowl zone is directly dependent on the water supplied by this scheme. Penang and Perlis, which obtain part of their water supply from Kedah, are also concerned about the possible adverse impact.

Who benefits commercially from the project?

The Sibu-based WTK Holdings Bhd, one of the oldest logging companies in Sarawak, has secured the concession from the Kedah government in a joint venture with the state's Islamic Foundation on an 80:20 basis.

What is heli-harvesting?

Two to four weeks before the arrival of the helicopter for log extraction, marked trees will be felled, clearly cut and marked with special symbols. Giant helicopters with a lifting capacity of more than 11,000kg will lift the logs vertically and fly it to a roadside zone, where it will be picked up, transported to the log yard and debarked, sorted and stacked.

What is the cost of heli-harvesting?

The lease of the helicopter, together with the personnel services, will cost the company US$6,000 (RM22,800) per hour. The staff force is expected to be sourced from Australia, US and New Zealand.

Is heli-harvesting environmentally sound?

While it may not cause as much physical destruction as conventional methods, there are certain drawbacks. For this project, some 410km of roads with river crossings will be constructed to transport logs out of the area.

Also, for every tree felled, between two and 11 trees per hectare are expected to be damaged. In all, some estimate that 1.6 million trees may be destroyed over the whole concession period. This does not take into account trees that will have to be sacrificed for drop-off points.

What is the likely environmental impact?

The Terms of Reference for the preliminary EIA of Phase I identify several environmental issues as priority concerns soil erosion along access road; logging damage to residual stand; forest clearing affecting the hydrological regime; water and soil contamination from scheduled wastes; and workers' safety.

Sources:

  • Consumers Association of Penang Utusan Konsumer , August 2002
  • Tuju Jauh Sdn Bhd Terms of Reference, Preliminary EIA of Phase 1, Helicopter Harvesting Project, Kedah
  • ADS