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DEMOCRATIC REPUBLIC OF CONGO
MINISTRY OF HIGHER AND UNIVERSITY EDUCATION
NATIONAL PEDAGOGICAL UNIVERSITY
ECOLE DOCTORALE
SURVIYING NATURAL RESOURCES.
Economic Aspect
Joseph KYAKIMWA MULERE
Academic Year 2009-2010
Remerciements
Nous remercions le Professeur NDOMBA qui
nous a incité à cette recherche ;
Nous remercions également les autorités de
l'UPN KINSHASA pour cette occasion de formation offerte à la
crème scientifique du Nord Kivu longtemps oubliée ;
A tous ceux qui soutiennent et soutiendront l'initiative de
la formation au troisième cycle, nous adressons nos remerciements
anticipés.
Nous remercions le professeur Jacques ZAHIGA Chef du
département de Gestion et qui nous soutien par sa présence
scientifique dans nos recherches.
Joseph KYAKIMWA MULERE
I. INTRODUCTION
Economic sciences aim to study the administration of rare
resources i.e. they deal with rational distribution of economic resources so as
to cater for human unlimited needs. In agreement with what precedes, Samuelson
and nordhaus (...p.4) say that economics is the study of the way societies use
rare resources in order to produce worthy goods and redistribute them among
individuals.
Among the various resources at the disposal of the
«homoeconomicus" we can mention natural resources. We may even say that
natural resources are the primary economic resources from which secondary
resources emerge. Whether they are natural, primary, secondary or ultra
secondary, economic resources are rare. Economic theories have adopted the
concepts" scarcity" and «efficiency" as
the two twin themes of economics.
Natural resources theory is the sit of reflections related to
economic that consists explaining which behavior economic agents need to
display for an efficient distribution of those very resources, some of which
are renewable while others may he exhausted. This theme interests not only
economists but also geologists, ecologists, chemists, and so on.
- In the framework of the English work seminar in the
3rd cycle, applied economic sciences departments, we have been asked
to deal thoroughly with a topic related to our study field. We have therefore
chosen to deal with the economic feature of natural resources. This survey will
cover the following points:
- Overview of literature on natural resources and a definition
of the latter resources.
- He world wide situation of natural resources
- Current situation of natural resources in Africa
- Analysis of the situation of natural resources in
the DRC in general
and North-Kivu in particular.
II THE NATURAL RESOURCES CONCEPTS
Human life was in keeping with a natural environment provided
by the creator.
Indeed, the bible and other religious scriptures unanimously
show that from the first creation day up to the creator set himself prepare a
material or physical, atmospheric environment for man, his last creature.
The natural resources that God created were of various types,
some are accessible while others and not, namely:
- atmospherics, spheres, hemisphercs and stratosphercs
- water, light, the earth
- fishes, animals, birds, insects, and vegetation
From those various biospheres, life, natural resources were
transformed and mining products, fuels, petrol, forests, savannas, etc.
appeared.
In the economic field, natural resources are goods that are
accessible to man and for which he pays a cost in order to enjoy them.
According to Walter Meigs, Robert Meigs and Daniel MC Mahon,
some natural resources consist of mining, Oil, Gaz and forest products and are
exhaustible.
Other authors consider the economic goods called natural
resources to be reproducible.
The economist's concern is different from that of the
geologist or that of the chemist. For the economist the concern is to know how
much it will cost to access to such natural resources, how to maximize their
worth taking into account the law demand and supply.
A number of theorists have dealt with the natural resources
problematics and their thoughts can le read through the ad hoc economic
literature paper.
III OVERVIEW OF ECONOMIC LITERATURE OVER NATURAL
RESOURCES
The economist's concern is natural resources viewed as an
economic item. The latter is any item, any services or any profit market
activity that is useful and caters for consumer's or the user's need. The
amount of economic item or servicers must be inferior to the needs to cater for
and only when this condition is met, we can speak of economic items. Natural
resources can therefore be classified among economic items since they fulfil
that condition and are accessible, another condition that economic items need
to meet.
III.1. Faucheux Sylvie and Noel Jean François
In their work entitled «Economie des ressources
naturelles et environnement" (1995, pp 87-170), these anthers say that natural
resources are made available by the production of economic items. The larger
the number of people who ask for them, the more their stocks are destroyed or
reduced. From what precedes we can understand that natural resources are
exhaustible. According to these two authors, we can conclude that natural
resources stock is in inverse function to the demand. As those exhaustible
resources are limited, the idea according to which what is rare is dear applie
to natural economic items which are made avaible by production. Contrary to
what precedes reproducible natural resources which cannot decrease whatever
their conception, do not have any value because of the excess of supply over
demand. Therefore, their production function is either worthless or of little
importance.
III.2. David Hyman
The American professor, David Hyman, talking about the
problem of natural resources in his work entitled «Economics» pushed
his analysis further saying that exhaustible resources decrease rapidly in
quality when their values is reduced, which seems to oppose the preceding
reflection. To support this thesis, he says that "entrepreneurs tent to offer
more quantity in order to maintain their income. If that increase in the
offered quantities does not meet an increased demand, the price will decrease
and this will reduce the natural resources exhaustion rythm".
Indeed the law demand will result in decreasing the price,
which in turn slows down the exhaustion rhythm. If on the other hand the supply
and the offer increase, exhaustion is to be feared and mankind will be at risk.
As a as reproducible natural resources are concerned, there is nothing to fear
concerning their exhaustion however, the reproduction function of those
resources is not to be neglected order to sustain them, the state which the
biggest social organization, must consent important costs. It acts as a public
power to require each natural resources consumer to participate in sustaining
that common capital. That is a foundation of the state tax. The rate of
participation is fixed by public powers and this is fiscality, a domain in
which the state has monopole.
III.3. Walter Meigs, Robert Meigs and Daniel Mahon
These three authors considered the exhaustible natural
resources theory under accountancy aspect. Indeed, Mining, fuel, gazing, or
forest properties are example of natural resources; the authors give the
illustration of a coat mine which is the equivalent of an under ground coal
stock; such a stock does not constitute a short- term asset but a real estate
appearing on the balance sheet under a special title.
The value of exhaustible natural resources is their
acquisition cost from which cost from which we have to deduct the extracted
resources. The acquisition cost of these resources includes not only their
price but also the amounts used for the exploration work and for the
development of those resources.
The accounting approach advocated by these authors is not
realistic. Indeed, if we consider the example of fuel resources, we notice that
their accounting value remains historical despite the market fluctuation. This
is why exceptional depreciation or provision for value fluctuation are fiscal
adjustments allowing operator to minimize the bad effects on the value of
natural resources.
III.4. Types of Natural Resources
Exhaustible natural resources are the one which the
quantities decrease due to consumption. Their categorization may be based on
various criteria. We distinguish for instance between under ground natural
resources and air natural resources, liquid and solid natural resources etc.
Depending on their aspect we may hay have
· mining products and precious materials
· fuel products
· hydrocarbons
· coal
· codmine
· sands and gravel
· forest and savannas etc
Reproducible natural resources are of various types:
· air and oxygen
· winds
· animal and bird species
· fishes and aquatic species
· drinking water and other liquids like natural honey
· vegetal species
· events, touristic resources and landscapes
· etc
Invariable natural resources are:
· planets and the universe
· soil, seas, rivers, lakes and oceans
· climates
· air spaces
· astronomy times
· heavenly lights the sun, the moon and stars
· zodiacs or zodiac movements and waves
· etc
All these natural resources constitute external economies for
man i.e. economic goods that man finds at the birth and that he consumes to
cater for his needs and desires. The production of economic goods thanks to
those resources is made possible through a combination of natural factors,
capital and work.
If exhaustible and reproducible natural resources are costly
on the one hand, invariable natural resources on the other hand do not have any
cost except for negative externalities by their users. However, we now observe
that reproducible natural resources and even invariable ones are likely to be
exhausted. Air and oxygen get pouted, soils are eroded, magmas are transformed
into volcanic lava; Winds are rare in areas with high buillings animal and
fauna species decrease due to human occupation, climates tend to change, lakes
and air spaces tend to deteriorate. So, multiplication of humans, technology
sophistication,... constitute a treat to man's survival. This explains why
scientific research about exhaustible reproducible and invariant natural
resources is necessary.
IV FACTORS NATURAL RESOURCE DEGRADATION
A non-neglectable element among others that account for the
present situation of natural resources is man and his multiplication. Indeed
since his appearance, man has thought that in order to survive he has to
destroy all the other species around him. At the same, he has polluted water
and air, and so life paradox is that man is trying to assure his survival by
destroying it. Demographic boom constitutes another pressure over the
ecosystem. Indeed demographic boom involves expansion of agglomerations and of
towns. Demographic expansion implies increase in natural resources consumption
since these serve both as a raw materiel and as finished products.
So man is a main factor of natural resources degradation owing
to technology, demographic explosion and biosphere degradation. This affects
vegetation, alters the physical - chemical composition of soil and contributes
to fauna destruction and to tropical forest extermination. Man's technological
conditions have developed since the time of paleolic ancestors who started
destroying nature through their actions. Development of extensive agriculture
through resulted in chasing animals and destroying both animal and plant
species, which was a threat to ecology. Since then, technological progress has
been continuous with a devastating effect on the ecosystem.
The ozone layer is getting and thinner because of the
"economics homo" who is destroying the
"homosapiens".
That continuous degradation of natural resources has reached
frightening proportion s so that some organizations are launching an S.O.S
warning and regulations are getting set in order to avoid the worst. All the
natural resources (exhaustible, renewable and even invariant ones) are
perishing.
UN organizations dealing with conflicts and with natural
calamities, through their agents, are also contributing to rare species
destruction.
Nuclear and weapon industries together with others polluting
the environment. Hunting, fishing, exploitation of forests for firewood is
evils and factors of natural resources degradation. According to recent
statistics, the beginning and the end of the 21st century demand for
wood is estimated at 1,200 billions cubic meters because of paper industries
and other consumptions.
Forest destruction amount to 157.000 km² per year. The
ecosystem rhythm degradation is estimated at 24billion tons of soil annually
while the total word stock is 3500 billions tons of suitable for cultivation
soil. Erosions are therefore expected. According to PNUD
specialists desertification has affected a large part of the planet forest
capital (Brazil has 50% of its forests; subsaharian keeps less than 20% of its
forests).
Hunting constitutes another factor of animal resources
destruction. Indeed since the 20th century, supplying big towns with
proteins has resulted in the extermination of mammas and birds like the
grassland cock and the dove. Fraudulent trade of elephant tusks, of birds,
feathers, skins of animal species has contributed to the extermination of
fauna. Combustion of energetic resources, hydro-electrical energy and energetic
biomass are other factors resources destruction. The above mentioned factors of
natural resources degradation need to be scientifically investigated in order
to get a solution to crucial problem which threaten the existence of human
species. Economic sciences can serve as a conceptual frame-work in the
problematic of natural natural resources conservation and management.
The ecosystem destruction affects not only the other
continents but also Africa which, in addition to that, is subject to western
and eastern economies greediness. Africa is the least industrialized continent
but whose natural resources are robbed by those advanced economies. Such a
relentless attack against African natural resources could he assimilated to the
Orange Juice policy, which means that those who are exploiting the continent
will surely abandon it to its pitiful fate as soon as its natural resources
stop serving as raw material of them.
That orange juice policy will increase poverty in this
continent which is industrially very late. This, in addition to the affect of
degradation, will lead the African continent to its end. Voluntary, fires
resulted in extending savannas. This disturbs not flora but also fauna. That is
why desertification of the continent continues to delay its economic growth and
very soon it twill be the end of that has been saved from desertification.
V PROBLEMATICS OF THE MANAGEMENT OF CONGOLESE NATURAL
RESOURCES
Faced to the resources fast degradation of natural resources
that the inverse and particularly the each planet, is undergoing, the
DRC is submitted to multiform pressure it has got large
quantities of natural resources, Its strategic natural resources like sweet
water, its hydroelectric potential, lakes, forest reserves and pastures are
causes of endless wars which are spoliation mechanisms. The country is known
for its parks, forest and mining reserves and so good management strategies are
required.
V.1. Management of Forest and Conservation of Congolese
Natural resources
According to Professor AYOBANGIRA,
the DRC owns 50% of African forest reserves and 17% of the
reserves. Its 120 hectares of wet dense forests make of it the second lung of
the earth planet and release the oxygene that the whole planet needs its
survival. For the management of that category of natural resources, forest not
considered as reserves enjoy various statuses and their exploitation is
regulated by many laws among which we may mention the forest code, the
environment code and the law about nature conservation.
The World Bank brings support to the DRC
forest code of August 2002. This code stipulates that civil society and the
public power have access to natural resources but taking into account the
protection of the world environment.
We therefore need to proceed to:
· An efficient forest management
· A transparent allotment of contracts
· A retrocession of forest rental fees to local
entities
· Management of forest by rural communities
· Creation of new protected areas
· Protection of biodiversity in the production spaces
So, on the economic point of view, Congolese forests
constitute not only the operators, raw material but also a capital for famers,
animal breeders and generate for the government.
V.2. Management and Conservation of Congolese Soil
Congolese population distribution is not homogeneous
throughout DRC. In overpopulated areas, the threat of erosion
is permanent while forest soils are fragile for agriculture. With long-lasting
farming we mean farming activities that aim to improve the soil maintenance by
means of perennial cultures while caring for the ecological equilibrium, social
and the economic operators profitability.
Reforestation policy allows to reestablish soil equilibrium.
Refertilization arable soils allow to avoid erosions that carry away humus and
other agricultural substances and destabilizes the configuration of the earth's
layers. Sewers limit soil deterioration and tarring roads prevent cracking
resulting from big engines.
The soil structure deterioration has not only inconveniences
but also advantages. Indeed, without erosion the amount of sand would cause
decrease in the quantity of precious materials and the offer of mining products
would be inelastic, which world reduce the government's in-comes and world
limit social welfare.
V.3. Situation of Congolese Mining Resources
The DRC has got enormous mining resources
such as Diamond, Gold, Copper, Cobalt, Zinc, Manganese and Cassiterite. Those
resources management motivated Congolese authorities to set a mining code. The
Congolese subsoil contains other mining substances almost everywhere in the
country. The efficient management in the DRC mining resources
is regulated by the mining code and the mining survey.
The mining potential in the DRC is scandalous
with the following known reserves according to Professor
AYOBANGIRA:
· 20 billion tons of manganese
· 112 million tons copper
· 10,5 million tons of cobalt
· 20 million tons of zinc
· 15 million of iron
· 40 million tons of gold estimated at 50 million
dollars
· 150 million tons of miobium mineral
· 730 million tons of carat diamond
· 750 thousand tons of cassiterite
· 175,500 tons of lithium
There are still unevaluated materials such as bauxite, coal,
silver, methane gaz, marble, nickel, phosphate, tin uranium.
V.4. Water Resources in the DRC
The DRC possesses important and strategic
water natural resources: 7% of the world reserves.
Hydraulic potential is so enormous that with Inga site alone,
the DRC can provide the whole central Africa with electric
energy.
The major part of natural water resources is found in the
overcrowded areas without any framework and without any use in lasting
agriculture.
In spate of such enormous water resources, desertification is
drawing nearer and nearer, and necessary provisions need to be taken to protect
rivers and streams in order to prevent water rarefication. This explains why
there are sub- regional organizations like the Nile basin initiative, the Congo
basin organization, Organization for Tanganyika Lake biodiversity.
V.5. Congolese National Parks and Fauna Reserve
Management of Congolese natural resources also takes place
through measuring protected areas. Even unprotected by the provision of forest
code. Protected arears contain rare animal species that run the risk of
extinction if protection measures are not taken. Congolese national parks are
the following ones according to Professor AYOBANGIRA:
- Virunga Park: created in 1925, it is rich in fauna and flora
with many animal and vegetal species. It is localized in North Kivu
province.
- Garamba Park is localized in Oriental province near
Congo-Sudan border and it measures 4920 km². It was crested in 1928 and it
also rich in fauna and flora.
- Kahuzi Biega Park: localized in South Kivu near Congo
-Burundi border, it covers 6000 km² and it rich in fauna and flora.
- Kundelungu Park: localized in Katanga, it was created in
1970 and it cover 7600 Km². Like the other ones, it is rich in fauna and
flora.
- Maiko Park: rich in flora ind flora, it is located half in
North-Kivu and half in the Oriental province. It was created in 1070 and it
covers 10830 Km².
- Salonga Park: it overlaps Bandudu, equator and western
Kasai. It was created 1970 and covers 36.000 Km².
- Upemba Park: was created in 1939 and covers 11730
Km².It is located in Katanga Province and Kundelungu Park it contains the
Zebra animal species.
In the addition to the national perks, there are fauna
reserves like:
- The OKAPI fauna reserve in Ituri has area
of 13,762 Km² and was created in 1992.
- Mangrove Marine Park: with an area of 786 Km², it was
created in 1992 and it located in moanda territory and it is rich in
hippopotamuses, crocodiles, tortoises snakes.
The management of Congolese national parks and reserves is
dealt with by the DRC in collaboration with the World Bank because they are
part of the world heritage. Water, mining and forest resources are spread all
over the country and specifically in the provinces.
VI PROBLEMATICS OF NATURAL RESOURCES IN KIVU
KIVU area includes Maniema, North-Kivu
provinces. In each of the provinces we have natural resources which may be
common or specific.
VI.1 Maniema and South-Kivu Natural
resources
Forest is over Maniema natural resources. It
covers Lubutu, Pangi, Kibombo, Kabambare and Kailo territories. Its
exploitation is still performed at a small scale and by craftsmen. There are a
lot of forest reserves including not only primary forests but also fallow lands
which generate forests.
Water resources are numerous due to the fact that a great of
the Congo river in Maniema province; there is also Lomami River. Those rivers
constitute large basins favorable and the other aquatic species reproduction.
In short, Maiema forest and savannas are reproduction basins for both animal
and plant species that the planet needs. Mining resources and ores are also
available in Maniema. In pangi territory, specifically at Kalima, there are
Cassiterite and other ores. In Kailo and Kabambare we have gold and mercury; at
punia ther is columbite.
There are important quantities of mining resources and ores in
Maniema, which justifies the presence of SOMINKI a mining
extraction firm which also operates in south-Kivu, specifically at Kamituga
where similar mining resources and ores are available. Tanganyika Kivu together
with Kivu lake water resources. Kivu lake, for instance contains hydrocarbons
resources, methane gaz and fish. South-kivu province green spaces also
constitute important pasture lands.
VI.2. North-Kivu Natural Resources
North-Kivu province possesses important resources, pastures
lands, parks, mining resources, savannas and even more important enormous
touristic potentialities. A large part of North-Kivu water, especially
KIVU lake water, is salty. It however, has gaz which can be
exploited industrially. Vitshumbi water contains various aquatic species.
Fishing is practiced at a small scate and by craftsmen, which implies a high
reproduction potential for fish species. There are not many rivers in the
province.
Pasture lands are numerous in Masisi, Walikale and elsewhere.
Virunga national park covers a part of north-Kivu green species. It contains
very diversified plant and animal species. Wood is rare, except in walikale,
Beni and Lubero. This wood scarcity is even accelerated by the systematic wood
exploitation resulting from a heavy demand for construction wood material in
Goma town. Reforestation is practiced.
Mining resources like Cassiterite, columbite, wolfram and
auxite are available throughout the province, namely, inWalikale, Masisi and
Mweso areas.
Nyiragongo, Nyamulagira and Mikeno volcanoes are touristic
resources with international renown; they have a multiform impact and affect
for example the soil, the climate and weather. Before concluding it is
important to point out in Bas-Congo (Moanda) and Oriental provinces (Ituri)
there are important quantities of petroleum.
CONCLUSION
The situation of natural resources in the world is alarming
due to demographic growth affects the demand. This seems to make natural
resources, even reproducible ones, rare. Invariant natural resources are
threatened by pollution and erosion.
Africa remains the only continents with resources like
forests, savannas, parks, water the heavy demand for these result in
accelerated consumption.
Mining resources are so overexploited that one may think
humans have discovered another planet where to move after destroying the earth
planet. The DRC, and KIVU area in particular
is looted and dispossessed of its mining natural resources, its hydrocarbon,
its green spaces, its animal and plant species,...while earth is complaining
about the threat of rare species extinction.
So humans are danger, they exploit these natural resources
because they need to survive, but through this overexploitation they are
destroying the ecosystems.
Man risks getting choked by himself, reason why transnational
organizations are exploited to set strict and reserve regulations in order to
slow down human auto-destruction.
BIBLIOGRAPHICAL NOTES
A. OUVRAGES
1. Hyman, economics, 4th edition, Irwin Mc
Graw-Hill, 1996, Boston,...864 pages
2. Walter Meigs et alii, la comptabilité
3. PETIT MICHEL, géographie physique
tropicale, édition karthala et Acct, Paris, 1990, 351 pages
4. Faucheux S et J.F Noel,
Economies des Ressources Naturelles et de l'Environnement, édition
Armand Colin, paris, 1995, 370 pages.
B. TEXTES LEGAUX
1. Code forestier Congolais,
2. Code minier Congolais.
C. COURS
1. Ayobangira Samvura, séminaire sur
problématique de la conservation des ressources naturelles en RDC,
école doctorale, sous- Bureau de Goma, 2009-2010
2. Tiker Tiker, cours de géographie du Congo,
2e graduat Sciences Economiques, UNIKIN
1989-1990
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