The implications of decentralization in forest management: Municipalities and local forest users in lowland Bolivia

This research paper examines the impact of decentralization on forest management in the lowlands of Bolivia, focusing on the relationship between municipal governments and local forest users. It analyzes how policy reforms since the mid-1980s, including the Popular Participation Law of 1994 and the Forestry Law of 1996, transferred powers to local authorities. The author finds that while decentralization has increased the bargaining power of marginalized groups like indigenous people and small-scale timber producers, the actual outcomes for forest conservation and social equity are mixed due to bureaucratic hurdles, limited municipal budgets, and the continued influence of local elites.

• The Popular Participation Law (LPP) of 1994 expanded municipal jurisdiction to entire territories and transferred responsibility for local schools, health facilities, roads, and water systems to municipalities, funded by 20 percent of the central government's annual budget.
• The 1996 Forestry Law transferred specific powers to municipal governments, including monitoring logging, inspecting raw material supply, and delimiting municipal reserves for community concessions (up to 20% of public forest). Municipalities are expected to establish Forestry Units (UFMs) to execute these functions.
• Decentralization has increased the bargaining power of indigenous people, small farmers, and small-scale timber producers, but local elites—such as ranchers, merchants, and sawmill operators—retain significant power and continue to influence municipal decisions.
• Municipal Forestry Units (UFMs) are severely constrained by limited budgets, often only covering basic personnel and equipment, which restricts their ability to provide technical assistance for forest management plans.
• The process of titling indigenous territories (TCOs) and creating municipal forest reserves is hindered by a long and bureaucratic process of title regularization administered by the National Institute of Agrarian Reform (INRA).
• Deforestation in Bolivia increased from approximately 80 thousand ha/year in the early 1980s to 250 thousand ha/year between the mid-1980s and 1992/94, primarily driven by the expansion of large-scale mechanized soybean production.
• Political parties mediate local elections and the appointment of mayors, which can distort local representation and lead to the co-optation of community-based Vigilance Committees.

APA

Pacheco, P. (2002). The implications of decentralization in forest management: Municipalities and local forest users in lowland Bolivia. World Resources Institute. http://wriorg.s3.amazonaws.com/s3fs-public/pdf/eaa_decent_pacheco.pdf

Chicago

Pacheco, Pablo. The implications of decentralization in forest management: Municipalities and local forest users in lowland Bolivia. World Resources Institute, 2002. http://wriorg.s3.amazonaws.com/s3fs-public/pdf/eaa_decent_pacheco.pdf.

Wikipedia

{{cite report |last1=Pacheco |first1=Pablo |title=The implications of decentralization in forest management: Municipalities and local forest users in lowland Bolivia |publisher=World Resources Institute |date=2002 |url=http://wriorg.s3.amazonaws.com/s3fs-public/pdf/eaa_decent_pacheco.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{pacheco2002implications, author = {Pacheco, Pablo}, title = {{The implications of decentralization in forest management: Municipalities and local forest users in lowland Bolivia}}, institution = {World Resources Institute}, year = {2002}, url = {http://wriorg.s3.amazonaws.com/s3fs-public/pdf/eaa_decent_pacheco.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }