Chapter-6

Chapter-6

Provisions Relating to the Leasehold Forest

31. Grant of Leasehold Forest: Government of Nepal may grant any part of the National Forest in the form of Leasehold Forest for the following purposes:-
(a) To produce raw materials required for the industries based on Forest Products.
(b) To sell and distribute or utilize the Forest Products by promoting its production through afforestation.
(c) To operate the tourism industry in a way that is compatible with the conservation and development of the Forest.
(d) To operate agro-forestry in a way that is compatible with the conservation and development of the Forest.
(e) To operate farm of insects, butterflies and wild lives in a way that is compatible with the conservation and development of the Forest.

32. Lease of Leasehold Forest: (1) Any corporate body, industry or community established under the prevailing law which desires to take the Leasehold Forest
for the purposes mentioned in Section 31, shall have to submit an application to the Regional Forest Director mentioning the area and boundaries of the Forest to be taken as Leasehold Forest planned programmes of the operations to be carried out to achieve the objectives and Prescribed other details and the economic feasibility report.
(2) In case, any application is submitted pursuant to Sub-section (1), the Regional Forest Director shall make an enquiry upon it and if he/she deems
appropriate to grant the Leasehold Forest as demanded by the applicant or with some alteration to it, he/she shall have to send it in writing to the Ministry through the Department for the approval along with his recommendation. While writing this, the consent of the applicant shall have to be taken, in case there is any alteration being made in the demand of the applicant.

(2) the Ministry shall, within thirty days from the date of the receipt of such letter decide that whether the approval should be given or not and shall give information of its decision to the Regional Forest Director through the Department.

(4) On the receipt of the information pursuant to Sub-section (3), in case the Ministry has decided to give approval, the Regional Forest Director shall prepare
the Forest Lease As Prescribed within thirty days from the date of the receipt of such information and shall have to grant the Leasehold Forest along with Forest Lease to the applicant taking the Prescribed fees and in the case that the Ministry has decided not to give approval, he/she shall have to give notice to the applicant within three days from the date of the receipt of such information.

33. Leasehold Forest May be Taken Back:

(1) In case the lease Holder cannot operate its functions in accordance with the Forest Lease in the Leasehold Forest granted pursuant to Section 32 or Operates any functions which may cause significant adverse effect in the environment or does not comply with the terms and conditions to be complied pursuant to this Act or the Rules framed thereunder, the Regional Forest Director may decide to cancel the Forest lease and take back such Leasehold Forest as Prescribed.
(2) The Lease Holder who is not satisfied with the decision made by the Regional Forest Director pursuant to Sub-section (1), may file a complaint to the Appellate Court within thirty five days from the date of the receipt of such decision.

34. Paths, Streams May be Closed within the Leasehold Forest: In case any person’s private or public paths or streams within the Leasehold Forest has to be closed, the concerned Lease Holder shall have to provide another path or stream as convenient as the former as soon as possible to such closure.