JAPAN INTERNATIONAL COOPERATION AGENCY · JAPAN INTERNATIONAL COOPERATION AGENCY The Study on Environmental Management Plan L oc ati n f S udy Are for Lubana Wetland Complex in the

JAPAN INTERNATIONAL COOPERATION AGENCY

The Study on Environmental Management Plan

for Lubana Wetland Complex in the Republic of LatviaLocation of Study Area

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THE STUDYON

ENVIRONMENTAL MANAGEMENT PLAN FORLUBANA WETLAND COMPLEX IN

THE REPUBLIC OF LATVIA

FINAL REPORT

Volume III Supporting Report

Table of ContentsLocation Map

PagePART I CURRENT SITUATIONS OF THE STUDY AREA

CHAPTER 1 SCOPE OF THE STUDY......................................................................................... 1-11.1 Objectives.............................................................................................................................................................1-1

1.2 Study Area............................................................................................................................................................1-1

1.3 Framework of the Study......................................................................................................................................1-1

1.4 Organization for the Study..................................................................................................................................1-2

CHAPTER 2 SOCIOECONOMIC CONDITIONS ........................................................................ 2-12.1 Administrative Conditions ..................................................................................................................................2-1

2.1.1 Regional Administration..........................................................................................................................2-12.1.2 Relations between Central and Regional Government...........................................................................2-22.1.3 Budget and Expenditure...........................................................................................................................2-4

2.2 Population and Social Conditions ......................................................................................................................2-52.2.1 Population................................................................................................................................................2-52.2.2 Labor Force ..............................................................................................................................................2-72.2.3 Settlements and Living Standards............................................................................................................2-8

2.3 Economic and Financial Conditions...................................................................................................................2-92.3.1 National and Regional Economy.............................................................................................................2-92.3.2 Employment and Income .......................................................................................................................2-102.3.3 Industry...................................................................................................................................................2-122.3.4 Financial Sources for Environmental Management .............................................................................2-15

2.4 Infrastructure......................................................................................................................................................2-192.4.1 Water Supply and Sanitation..................................................................................................................2-192.4.2 Transportation........................................................................................................................................2-202.4.3 Energy.....................................................................................................................................................2-202.4.4 Environmental Education......................................................................................................................2-202.4.5 Activities of Donors, NGOs, and NPOs ...............................................................................................2-21

2.5 Land Use.............................................................................................................................................................2-232.5.1 Land Use Status and Change..................................................................................................................2-232.5.2 Constraints on Land Use........................................................................................................................2-262.5.3 Land Tenure and Privatization...............................................................................................................2-262.5.4 Present Land Use Plan ...........................................................................................................................2-28

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CHAPTER 3 POTENTIAL ANALYSIS OF REGIONAL DEVELOPMENT.................................. 3-13.1 National and Regional Policy on Socioeconomic Development ......................................................................3-1

3.1.1 Review of Development Policy...............................................................................................................3-13.1.2 Current Socioeconomic Status of the Study Area..................................................................................3-33.1.3 Current Regional Development Plans.....................................................................................................3-4

3.2 Agriculture...........................................................................................................................................................3-93.2.1 National and Regional Development Policy...........................................................................................3-93.2.2 Trends and Characteristics.....................................................................................................................3-103.2.3 Potential and Constraints.......................................................................................................................3-123.2.4 Intentions of Stakeholders .....................................................................................................................3-16

3.3 Forestry ..............................................................................................................................................................3-173.3.1 National and Regional Development Policy.........................................................................................3-173.3.2 Trends and Characteristics.....................................................................................................................3-183.3.3 Potential and Constraints.......................................................................................................................3-193.3.4 Intention of Stakeholders.......................................................................................................................3-21

3.4 Fishery................................................................................................................................................................3-213.4.1 National and Regional Development Policy.........................................................................................3-213.4.2 Trends and Characteristics.....................................................................................................................3-243.4.3 Potential and Constraints.......................................................................................................................3-273.4.4 Intention of Stakeholders.......................................................................................................................3-31

3.5 Tourism and Others ...........................................................................................................................................3-313.5.1 National and Regional Development Policy on Tourism ....................................................................3-313.5.2 Trends and Characteristics on Tourism.................................................................................................3-323.5.3 Potential and Constraints on Tourism ..................................................................................................3-333.5.4 Intention of Stakeholders on Tourism...................................................................................................3-363.5.5 Other Industry.........................................................................................................................................3-37

CHAPTER 4 WATER QUALITY ................................................................................................. 4-14.1 Water Quality Conditions ...................................................................................................................................4-1

4.1.1 Current Water Quality.............................................................................................................................4-14.1.2 Conditions of Wastewater Treatment Facilities and Plans ....................................................................4-2

4.2 Direction for Water Quality Conservation.........................................................................................................4-3

CHAPTER 5 BIRDS AND WILDLIFE.......................................................................................... 5-15.1 Conditions of Birds and Wildlife........................................................................................................................5-1

5.1.1 Fauna in Latvia.........................................................................................................................................5-15.1.2 Birds..........................................................................................................................................................5-15.1.3 Mammals ..................................................................................................................................................5-35.1.4 Fish ..........................................................................................................................................................5-4

5.2 Important Species and Habitats...........................................................................................................................5-65.2.1 Endangered and Rare Species ..................................................................................................................5-65.2.2 Distribution of Precious Biotopes..........................................................................................................5-65.2.3 Potential of Fishing and Hunting Development .....................................................................................5-75.2.4 Potential for Eco-tourism and Recreation..............................................................................................5-8

5.3 Directions for Nature Protection........................................................................................................................5-85.3.1 Impacts on Habitats..................................................................................................................................5-85.3.2 Existing Conservation Frame................................................................................................................5-105.3.3 Directions for Birds and Wildlife Protection.......................................................................................5-125.3.4 Directions for Fish Conservation..........................................................................................................5-13

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CHAPTER 6 WETLAND VEGETATION..................................................................................... 6-16.1 Condition of Wetland Vegetation.......................................................................................................................6-1

6.1.1 Distribution..............................................................................................................................................6-16.1.2 Characteristics of Vegetation..................................................................................................................6-26.1.3 Relation with Hydrology .........................................................................................................................6-36.1.4 Impact by Human Activities ....................................................................................................................6-4

6.2 Important Plant Species and Communities.........................................................................................................6-66.2.1 Precious Species and Communities ........................................................................................................6-66.2.2 Essential Vegetation for Bird and Wildlife ............................................................................................6-76.2.3 Species with Economic Value.................................................................................................................6-86.2.4 Important Vegetation for Eco-tourism and Recreation .........................................................................6-8

6.3 Evaluation of Wetland Vegetation .....................................................................................................................6-96.3.1 Methodology ............................................................................................................................................6-96.3.2 Result of Primary Evaluation..................................................................................................................6-96.3.3 Result of Secondary Evaluation..............................................................................................................6-9

6.4 Protection of Wetland Vegetation....................................................................................................................6-106.4.1 Vegetation to be Protected ....................................................................................................................6-106.4.2 Ecological Planning...............................................................................................................................6-106.4.3 Wise Use Possibility of Protected Area................................................................................................6-116.4.4 Protection Direction for Wetland Vegetation ......................................................................................6-11

CHAPTER 7 PREPARATION OF BIOTOPE MAP ...................................................................... 7-17.1 Biotope Map of the Study Area...........................................................................................................................7-1

7.1.1 Selection of Biotope Type .......................................................................................................................7-17.1.2 Distribution of Biotopes..........................................................................................................................7-2

7.2 Detailed Biotope Map of the Model Area ..........................................................................................................7-37.2.1 Purposes ...................................................................................................................................................7-37.2.2 Model Area Selection...............................................................................................................................7-47.2.3 Distribution of Biotopes..........................................................................................................................7-5

PART II REGIONAL DEVELOPMENT AND LAND USE

CHAPTER 8 GUIDELINE FOR REGIONAL DEVELOPMENT.................................................... 8-18.1 Future Socioeconomic Frame.............................................................................................................................8-1

8.1.1 Target Socioeconomic Frame and Rationale..........................................................................................8-18.1.2 Future Socioeconomic Frame.................................................................................................................8-3

8.2 Guideline for Regional Development.................................................................................................................8-68.2.1 Approach and Strategy .............................................................................................................................8-68.2.2 Overall Directions....................................................................................................................................8-88.2.3 Necessary Actions for Regional Development in LWC.........................................................................8-88.2.4 Implication with the Environmental Management Plan.......................................................................8-11

8.3 Fishery Development Plan ................................................................................................................................8-128.3.1 Concept on Fishery Development .........................................................................................................8-128.3.2 Direction of Fishery Development........................................................................................................8-138.3.3 Institutional and Regulative Measures..................................................................................................8-158.3.4 Proposed Projects for Fishery Development ........................................................................................8-17

8.4 Recommendations .............................................................................................................................................8-17

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CHAPTER 9 DIRECTIONS OF LAND USE PLANNING............................................................. 9-19.1 Overall Frame ......................................................................................................................................................9-1

9.1.1 Approach and Strategy .............................................................................................................................9-19.1.2 Evaluation of Land Capability.................................................................................................................9-49.1.3 Legal and Institutional Framework.........................................................................................................9-5

9.2 Directions of Land Use Planning........................................................................................................................9-79.2.1 Proposed Future Land Use of the Study Area ........................................................................................9-79.2.2 Implication with EMP..............................................................................................................................9-99.2.3 Recommendations..................................................................................................................................9-10

PART III ENVIRONMENTAL MANAGEMENT PLAN

CHAPTER 10 FRAMEWORK OF THE ENVIRONMENTAL MANAGEMENT PLAN................. 10-110.1 Rationale ............................................................................................................................................................10-1

10.1.1 Background of the Study Area...............................................................................................................10-110.1.2 Justification of Environmental Management Plan (EMP)...................................................................10-2

10.2 Overall Concept .................................................................................................................................................10-510.2.1 Vision and Goals of EMP......................................................................................................................10-510.2.2 Target Area and Year of EMP ...............................................................................................................10-610.2.3 Strategies of EMP ..................................................................................................................................10-6

10.3 Environmental Zoning.....................................................................................................................................10-1110.3.1 Zoning Category...................................................................................................................................10-1110.3.2 Environmental Zoning in LWC ...........................................................................................................10-1310.3.3 Conservation Criteria by Environmental Zone...................................................................................10-1410.3.4 Regulatory Plan....................................................................................................................................10-15

10.4 Organization and Institution for EMP ............................................................................................................10-1710.4.1 Organization for EMP .........................................................................................................................10-1710.4.2 Institutional Frame...............................................................................................................................10-20

CHAPTER 11 WETLAND CONSERVATION PLAN................................................................... 11-111.1 Wetland Management Conditions.....................................................................................................................11-1

11.1.1 Natural Parks and Reserves ...................................................................................................................11-111.1.2 Conditions of Environmental Monitoring..........................................................................................11-1111.1.3 Requirements of Ramsar Convention on Wetlands ...........................................................................11-12

11.2 Overall Frame of the Wetland Conservation Plan .........................................................................................11-1511.2.1 Approach and Strategy .........................................................................................................................11-1511.2.2 Biotopes to be Protected......................................................................................................................11-1711.2.3 Delineation and Description of Protection Area ................................................................................11-2511.2.4 Conservation and Management Criteria..............................................................................................11-32

11.3 Wetland Conservation Plan.............................................................................................................................11-3611.3.1 Projects and Programs for Wetland Conservation.............................................................................11-3611.3.2 Monitoring Plan ...................................................................................................................................11-4611.3.3 Environmental Education and Public Awareness Promotion Program ............................................11-4811.3.4 Cost Estimation for Projects and Programs for WCP .......................................................................11-4911.3.5 Organization and Institution................................................................................................................11-50

11.4 Application to Ramsar Wetland......................................................................................................................11-5311.4.1 Proposed Ramsar Site..........................................................................................................................11-5311.4.2 Action Plan for Application.................................................................................................................11-54

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CHAPTER 12 GUIDELINE FOR ENVIRONMENTAL INFORMATION MANAGEMENTSYSTEM (EIMS)................................................................................................... 12-1

12.1 Geographic Information System (GIS) on Environmental Management ........................................................12-112.1.1 Condition of GIS Use on Environmental Management .......................................................................12-112.1.2 Environmental Monitoring by Remote Sensing and GIS Data ............................................................12-312.1.3 GIS on the Environmental Information Management System (EIMS) ................................................12-5

12.2 Overall Frame of EIMS.....................................................................................................................................12-7

12.3 Decision-making with EIMS.............................................................................................................................12-912.3.1 Advantages of Decision-making by EIMS ............................................................................................12-912.3.2 Decision-making Process of EIMS .....................................................................................................12-1012.3.3 GIS and Remote-sensing Usage for Decision-Making.......................................................................12-11

12.4 Monitoring with EIMS ....................................................................................................................................12-12

12.5 Environmental Education with EIMS.............................................................................................................12-14

12.6 Public Awareness.............................................................................................................................................12-1512.6.1 Promotion of Public Awareness .........................................................................................................12-1512.6.2 Strategy and Target Groups .................................................................................................................12-1512.6.3 Activities for Public Awareness..........................................................................................................12-16

12.7 Science Promotion...........................................................................................................................................12-17

12.8 EIMS Working Plan.........................................................................................................................................12-2012.8.1 Institutional Setting for EIMS .............................................................................................................12-2012.8.2 Training for EIMS Construction.........................................................................................................12-2012.8.3 Systems Structuring for EIMS.............................................................................................................12-21

CHAPTER 13 ENVIRONMENTAL EDUCATION AND TRAINING (EE&T) PLAN ................... 13-113.1 Overall Frame of EE&T Plan ...........................................................................................................................13-1

13.1.1 National Education Policy and EU Directive.......................................................................................13-113.1.2 Framework of EE&T Plan.....................................................................................................................13-313.1.3 Principles and Educational Goals of EE&T.........................................................................................13-4

13.2 EE&T Working Plan .........................................................................................................................................13-513.2.1 LWC Nature School...............................................................................................................................13-513.2.2 Educational Resources in LWC and Eco-tourism Development ........................................................13-513.2.3 Subject Planning for Environmental Education...................................................................................13-613.2.4 Proposed Activities................................................................................................................................13-713.2.5 Program Development and Evaluation/Feedback System for EE&T..................................................13-713.2.6 Training Program for Local People, Teachers and NGOs ...................................................................13-8

CHAPTER 14 ECO-TOURISM DEVELOPMENT PLAN.............................................................. 14-114.1 Trend and Potential of Eco-tourism .................................................................................................................14-1

14.1.1 Trend in Eco-tourism.............................................................................................................................14-114.1.2 Development Potential ..........................................................................................................................14-114.1.3 Possible Scale of Eco-tourism Development .......................................................................................14-4

14.2 Concept and Strategy of Eco-tourism Development .......................................................................................14-514.2.1 Concept...................................................................................................................................................14-514.2.2 Strategy...................................................................................................................................................14-7

14.3 Eco-tourism Development Plan........................................................................................................................14-914.3.1 Proposed Eco-tourism Resources.......................................................................................................14-1014.3.2 Eco-tourism Development Projects....................................................................................................14-1114.3.3 Implementation Schedule.....................................................................................................................14-17

14.4 Management Actions for Eco-tourism Development ....................................................................................14-1914.4.1 Visitor Management.............................................................................................................................14-1914.4.2 Inventory Preparation and Monitoring................................................................................................14-20

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14.4.3 Use of Information Technologies (IT) ................................................................................................14-2114.4.4 Evaluation System and Green Records ...............................................................................................14-2114.4.5 Management and Marketing.................................................................................................................14-2314.4.6 Planning and Implementation..............................................................................................................14-2514.4.7 Networking of Eco-tourism Sector.....................................................................................................14-2714.4.8 Capacity-building and Training ...........................................................................................................14-28

14.5 Organization and Institution............................................................................................................................14-2914.5.1 Role of Government and Environmental Management Center (EMC).............................................14-2914.5.2 Proposed Organization for Eco-tourism Development .....................................................................14-31

CHAPTER 15 WATER LEVEL MANAGEMENT PLAN............................................................... 15-115.1 Hydrology and Water Level Control.................................................................................................................15-1

15.1.1 Hydrological Data and Monitoring Conditions....................................................................................15-115.1.2 Hydrological Analysis............................................................................................................................15-115.1.3 Groundwater Level ................................................................................................................................15-515.1.4 Effectiveness Verification of Dyke System against Flooding .............................................................15-615.1.5 Flood Analysis and Flood Damages......................................................................................................15-715.1.6 Historical Review of Water Level Control Methods and Facilities....................................................15-815.1.7 Current Water Level Control and Constraints......................................................................................15-9

15.2 Water Level Simulation Model.......................................................................................................................15-1315.2.1 Structure of the Model.........................................................................................................................15-1315.2.2 Methodology and Verification ............................................................................................................15-1515.2.3 Flood Scale and Water Level in Each Block ......................................................................................15-1915.2.4 Effectiveness of Current Water Level Control Facilities ..................................................................15-2115.2.5 Display of Calculation Result .............................................................................................................15-21

15.3 Water Level Management Plan .......................................................................................................................15-2215.3.1 Approach and Strategy .........................................................................................................................15-2215.3.2 Required Water Level ..........................................................................................................................15-2315.3.3 Competitive Analysis...........................................................................................................................15-2515.3.4 Countermeasures and Cost Estimation...............................................................................................15-2615.3.5 Current and Proposed Operation Manual ...........................................................................................15-3115.3.6 Organization and Institution................................................................................................................15-36

CHAPTER 16 ECONOMIC AND FINANCIAL ANALYSIS ........................................................ 16-116.1 Proposed Environmental Projects and Programs.............................................................................................16-1

16.1.1 Proposed Projects and Programs...........................................................................................................16-116.1.2 Costs for the Environmental Management Plan...................................................................................16-2

16.2 Economic Evaluation........................................................................................................................................16-216.2.1 Approach of Cost Benefit Analysis.......................................................................................................16-216.2.2 Monetary Evaluation Methods for Environmental Benefits................................................................16-416.2.3 Questionnaire Survey.............................................................................................................................16-616.2.4 Benefits of Projects and Programs for EMP ........................................................................................16-916.2.5 Monetary Valuation Methods for Benefit Calculation......................................................................16-1016.2.6 Preliminary Cost-Benefit Analysis......................................................................................................16-13

16.3 Financial Analysis............................................................................................................................................16-1316.3.1 Cost Estimation....................................................................................................................................16-1316.3.2 Cost Recovery Schedule and Balance Sheet .......................................................................................16-14

16.4 Implementation Schedule ................................................................................................................................16-1516.4.1 Phased Plan...........................................................................................................................................16-1516.4.2 Investment Program .............................................................................................................................16-1516.4.3 Financial Arrangement for Initial Cost ...............................................................................................16-16

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CHAPTER 17 RECOMMENDATIONS ........................................................................................ 17-117.1 Recommendation...............................................................................................................................................17-1

17.1.1 Regional Development ..........................................................................................................................17-117.1.2 Land Use.................................................................................................................................................17-117.1.3 Fishery Development .............................................................................................................................17-217.1.4 Wetland Conservation............................................................................................................................17-317.1.5 Environmental Information Management and Education....................................................................17-417.1.6 Eco-tourism Development ....................................................................................................................17-517.1.7 Water Level Management ......................................................................................................................17-617.1.8 Environmental Management Plan .........................................................................................................17-7

17.2 Conclusion.........................................................................................................................................................17-9

Appendices

A-1.1 SCOPE OF WORK ON ENVIRONMENTAL MANAGEMENT PLAN FORLUBANA WETLAND COMPLEX IN THE REPUBLIC OF LATVIA....................................................A-1

A-1.2 MINUTES OF MEETING ON THE SCOPE OF WORK .........................................................................A-9

A-2.1 MINUTES OF MEETING ON THE INCEPTION REPORT....................................................................A-14

A-2.2 RECORDS OF DISCUSSION ON THE INCEPTION REPORT.............................................................A-19

A-2.3 MINUTES OF MEETING ON THE PROGRESS REPORT (1) ..............................................................A-22

A-2.4 MINUTES OF MEETING ON THE INTERIM REPORT.........................................................................A-26

A-2.5 MINUTES OF MEETING ON THE PROGRESS REPORT (2) ..............................................................A-29

A-2.6 MINUTES OF MEETING ON THE DRAFT FINAL REPORT...............................................................A-32

A-3.1 Discussion Notes of the 1st Informal Meeting with Local Residents on Fishery.....................................A-35

A-3.2 Discussion Notes of the 2nd Informal Meeting with Local Residents on Agriculture.............................A-40

A-3.3 Discussion Notes of the 3rd Informal Meeting on Eco-tourism and Rural Tourism ...............................A-45

A-4.1 Discussion Memorandum of 1st Workshop on Progress Report (1).........................................................A-49

A-4.2 Discussion Memorandum of 2nd Workshop on Progress Report (2) .......................................................A-52

A-5.1 Seminar Program on Environmental Management Plan for Lubana Wetland Complex...........................A-55

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List of Tables

Table 2.1.1 Four Districts’ Budget and Expenditure Between 1995 and 1997....................................... 2-29Table 2.1.2 Local Budget and Expenditure in 1996, Excluding District Budget .................................... 2-29Table 2.3.1 Recent Planned and Realized Projects funded by LEPF........................................................ 2-30

Table 3.2.1 Crop Production and Productivity by Township in 1998...................................................... 3-38Table 3.2.2 Agricultural Land Use of 12 Townships ................................................................................ 3-38Table 3.4.1 Comparison of Latvia’s Fish Production in Soviet Time (1986-90) and Present ............... 3-39Table 3.4.2 Share of Lake Lubana’s Fish Production in National Freshwater Fish Production............. 3-39Table 3.4.3 Abundance of Zooplankton and Zoobenthos in Lake Lubana ............................................... 3-39Table 3.4.4 Freshwater Fish Catch by Major Species and Share of Lubana Lake.................................... 3-40Table 3.4.5 Number of Licensed Fisherman Length of Net Registered.................................................... 3-40Table 3.5.1 List of Accommodations in the Vicinity of LWC .................................................................. 3-41

Table 4.1.1 Results of Water Quality Surveys........................................................................................... 4-5

Table 5.1.1 Bird Species Recorded in Lubana Wetland Complex ............................................................ 5-17Table 5.1.2 Mammals Species Recorded in Lubana Wetland Complex ................................................... 5-21Table 5.1.3 Fish Species in Lake Lubana ................................................................................................... 5-22Table 5.1.4 Spawning Season and Summary of Spawning Ecology of Major Fishes Occurring

in Lake Lubana......................................................................................................................... 5-22Table 5.2.1 Most Important Bird Species and Habitats in Lubana Wetland Complex ............................ 5-23

Table 8.1.1 Socioeconomic Indicators to Identify Special Support (in 1997 and 1998)......................... 8-19Table 8.1.2 Estimated or Projected Future Population in LWC............................................................... 8-20Table 8.3.1 Number of Licensed Fisherman and Length of Net Registered............................................. 8-20Table 8.3.2 List of Facility and Equipment for Fishery Development ..................................................... 8-20

Table 10.3.1 Summary of Latvian Nature Protection Territory.................................................................. 10-22Table 10.3.2 Regulatory Plan by Environmental Zone................................................................................ 10-23

Table 11.1.1(1) Number of Game Animals in 1999 Reported by Hunter Groups.......................................... 11-56Table 11.1.1(2) Permitted Hunting Numbers during the Season of 2000/2001............................................. 11-56Table 11.2.1 Status of Mammal Species in LWC ........................................................................................ 11-57Table 11.2.2 Major Bird and Mammal Species at Fishponds and their Relevance with Aquaculture ...... 11-58Table 11.2.3 Chronological Change of Biotopes in LWC .......................................................................... 11-59Table 11.2.4 Conservation Criteria and Approach Methods in LWC ......................................................... 11-60Table 11.4.1 Status of LWC with Relevance to Criteria for Ramsar Registration.................................... 11-61Table 11.4.2 Relevance of Wetland Conservation in LWC with the Main Text of the

Ramsar Convention ................................................................................................................. 11-62Table 11.4.3 Relevance of the Wetland Conservation Plan with the 'Ramsar Strategic Plan

1997-2002'............................................................................................................................... 11-63

Table 12.3.1 Decision Items and Necessary Data Matrix............................................................................ 12-22Table 12.4.1 Monitoring in LWC ................................................................................................................. 12-23Table 12.8.1 Hardware and Software for EIMS........................................................................................... 12-24

Table 13.1.1 Educational Goals.................................................................................................................... 13-10Table 13.2.1 Educational Resources in LWC .............................................................................................. 13-11Table 13.2.2 Subject Plan Matrix ................................................................................................................. 13-12Table 13.2.3 List of Proposed Activities...................................................................................................... 13-13

Table 14.3.1 Detail Description of Eco-tourism Sites ................................................................................ 14-33~36Table 14.3.2 Eco-tourism Project for Nagli and Gaigalava........................................................................ 14-37Table 14.3.3 Eco-tourism Project for Lubana and Indrani.......................................................................... 14-37Table 14.4.1 Evaluation of Eco-tourism and Green Record....................................................................... 14-38

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Table 14.4.2 Eco-tourism Training / Education Programs ......................................................................... 14-39

Table 15.1.1 Main Features of Hydraulic System........................................................................................ 15-39Table 15.3.1 Inflow and Outflow Calculation for Lake Lubana................................................................. 15-41

Table 16.2.1 Questionnaire Form................................................................................................................. 16-18~20Table 16.2.2 Average Number of Households' Member ............................................................................. 16-21Table 16.2.3 Occupational Structure of Sample Households ..................................................................... 16-21Table 16.2.4 Income Structure of Sample Households ............................................................................... 16-21Table 16.2.5 Average Income of Sample Households by Occupation........................................................ 16-22Table 16.2.6 Number of Visit to Lake Lubana in a Year ............................................................................ 16-22Table 16.2.7 Purpose of Visit to Lake Lubana ............................................................................................ 16-22Table 16.2.8 Mode of Visit to Lake Lubana ................................................................................................ 16-23Table 16.2.9 Popular Recreational Activities in LWC ................................................................................ 16-23Table 16.2.10 Activities in Holiday................................................................................................................ 16-23Table 16.2.11 Expectation of Future Tourism Development in LWC ......................................................... 16-24Table 16.2.12 Expectation of Future Tourism Development in LWC by Occupation................................ 16-24Table 16.2.13 Positive Expectation of Future Tourism Development in LWC........................................... 16-24Table 16.2.14 Negative Expectation of Future Tourism Development in LWC ......................................... 16-25Table 16.2.15 International and/or Domestic Tourism Development in LWC ............................................ 16-25Table 16.2.16 Participation of Tourism Development in LWC.................................................................... 16-25Table 16.2.17 Preservation and Conservation of LWC ................................................................................. 16-26Table 16.2.18 Favorite Points of Landscape.................................................................................................. 16-26Table 16.2.19 Ecosystem Functions............................................................................................................... 16-27Table 16.2.20 Pricing of Unit Area by Type of Biotope................................................................................ 16-28Table 16.2.21 Economic Benefit by Maintaining Present Biotope............................................................... 16-29Table 16.2.22 Potential Countries for Eco-tourist of LWC and Their Travel Costs................................... 16-29Table 16.2.23 Economic Cash Flow and EIRR ............................................................................................. 16-30Table 16.4.1 Implementation Schedule of the EMP Projects...................................................................... 16-30Table 16.4.2 Required Annual Revenue of the EMP Projects .................................................................... 16-31

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List of Figures

Figure 1.2.1 Location of the Study Area...................................................................................................... 1-4Figure 1.3.1 Work Flow of the Study.......................................................................................................... 1-5

Figure 2.1.1 Organizational Structure of the Rezekne District Council Administrative Office............... 2-31Figure 2.1.2 Organizational Structure of Barkava Township Council ...................................................... 2-31Figure 2.3.1 Money Flow on PIP ................................................................................................................. 2-32Figure 2.3.2 Money Flow on LEPF and LEIF............................................................................................. 2-32Figure 2.5.1 Land Use in LWC as of 1998.................................................................................................. 2-33Figure 2.5.2 Land Use in LWC as of 1995.................................................................................................. 2-34

Figure 3.4.1 Location of State-Own and Privatized Freshwater Aquaculture Farms ............................... 3-42Figure 3.4.2 Elevation and Designated Wintering Places for Fishes ......................................................... 3-43Figure 3.4.3 Fishery and Aquaculture Production of Latvia (1970-1998) ............................................... 3-44Figure 3.4.4 Water System around Lake Lubana and Fishponds................................................................ 3-43Figure 3.4.5 Estimated Water Temperature Change in Mid-layer of Lake Lubana ................................... 3-44Figure 3.4.6 Species Composition in Fish Catch of Lake Lubana (1952-1998)....................................... 3-45Figure 3.4.7 Proportion of Fish Catch of Lake Lubana in Two Districts.................................................. 3-45Figure 3.5.1 Number of Foreign Tourist Coming to Latvia in 1998......................................................... 3-46Figure 3.5.2 Points of Entrance of Foreign Tourists to Latvia and its Number in 1998.......................... 3-46Figure 3.5.3 Distribution of Archaeological Sites in Latvia....................................................................... 3-47Figure 3.5.4 Distribution of Archaeological Sites in LWC........................................................................ 3-47Figure 3.5.5(1) Landscapes of LWC................................................................................................................. 3-48Figure 3.5.5(2) Landscapes of LWC................................................................................................................. 3-49

Figure 4.1.1 Survey Points of Water Quality.............................................................................................. 4-6Figure 4.2.1 Water Quality Conservation Plan ........................................................................................... 4-7

Figure 5.2.1 Feeding and Breeding Places for Important Bird Species in LWC........................................ 5-24Figure 5.3.1 Current Nature Protection Areas in LWC .............................................................................. 5-25

Figure 6.1.1 Vegetation Map........................................................................................................................ 6-13Figure 6.1.2 Typical Cross Section in LWC ................................................................................................ 6-14Figure 6.1.3 Forest Belt along Drainage...................................................................................................... 6-15Figure 6.1.4 Forests Disturbed..................................................................................................................... 6-16Figure 6.3.1 Preliminary Evaluation Map ................................................................................................... 6-17Figure 6.3.2 Habitat for Wildlife ................................................................................................................. 6-18Figure 6.3.3 Secondary Evaluation Map...................................................................................................... 6-19Figure 6.4.1 Delineation of LWC for Vegetation Biotope......................................................................... 6-20

Figure 7.1.1 Biotope Map in LWC .............................................................................................................. 7-7Figure 7.2.1 Detailed Biotope Map in LWC ............................................................................................... 7-8

Figure 9.1.1 Schematic Chart of Land Use Frame for LWC ...................................................................... 9-12Figure 9.1.2 Idle Arable Land....................................................................................................................... 9-13Figure 9.2.1 Proposed Land Use Map.......................................................................................................... 9-14

Figure 10.2.1 Concept of Vision and Goals of the Environmental Management Plan ............................... 10-24Figure 10.3.1 Implication of Environmental Zoning with Environmental Management Plan.................... 10-25Figure 10.3.2 Implication of EMP Component with Environmental Zoning.............................................. 10-25Figure 10.3.3 Environmental Zoning in LWC............................................................................................... 10-26Figure 10.3.4 Environmental Zoning Map..................................................................................................... 10-27Figure 10.3.5 Land Tenure Map ..................................................................................................................... 10-28

xi

Figure 11.2.1 Proposed Biotopes for Conservation...................................................................................... 11-64Figure 11.2.2 Map of LWC in 1916 .............................................................................................................. 11-65Figure 11.2.3 Map of LWC in 1931 .............................................................................................................. 11-66Figure 11.2.4 Map of LWC in 1966 .............................................................................................................. 11-67Figure 11.2.5 Map of LWC in 1981 .............................................................................................................. 11-68Figure 11.3.1 Points and Area to Close Drainage ......................................................................................... 11-69Figure 11.3.2 Facilities of Nature Observation and Monitoring.................................................................. 11-70Figure 11.4.1 Proposed Ramsar Site.............................................................................................................. 11-71

Figure 12.2.1 EIMS Framework..................................................................................................................... 12-25Figure 12.3.1 Decision-making Process with EIMS ..................................................................................... 12-26Figure 12.4.1 EIMS Collaboration Framework for Monitoring Data.......................................................... 12-27Figure 12.5.1 Site Map of EMC Home Page & Feedback System ............................................................... 12-28Figure 12.8.1 Institutional Setting for EIMS................................................................................................. 12-29

Figure 13.1.1 Framework of Environmental Education & Training (EE&T) Plan..................................... 13-14Figure 13.2.1 Process of Program Development and Evaluation & Information System........................... 13-15

Figure 14.3.1 Framework of Eco-tourism Development Plan..................................................................... 14-40Figure 14.3.2(1) Eco-tourism Resources and Activities ................................................................................... 14-41Figure 14.3.2(2) Eco-tourism Resources and Activities ................................................................................... 14-42Figure 14.3.2(3) Eco-tourism Resources and Activities ................................................................................... 14-43Figure 14.3.2(4) Eco-tourism Resources and Activities ................................................................................... 14-44Figure 14.3.3 Proposed Eco-Tourism Activities........................................................................................... 14-45Figure 14.3.4 Proposed Eco-Tourism Development Project ....................................................................... 14-46Figure 14.3.5 Location of Information Board & Sign post .......................................................................... 14-47Figure 14.4.1 Eco-tourism Planning and Implementation Scheme .............................................................. 14-48Figure 14.5.1 Organizational Structure and Financial Procedure for Eco-tourism Development

in LWC ..................................................................................................................................... 14-49

Figure 15.1.1 Meteorological and Hydrological Stations............................................................................. 15-40Figure 15.1.2 Thiessen Polygon..................................................................................................................... 15-41Figure 15.1.3 Location Map of Groundwater Observation Well ................................................................. 15-42Figure 15.1.4 Flood Situation with Northern Dyke System (Flood scale of once per 100-year)............... 15-43Figure 15.1.5 Flood Situation without Northern Dyke System (Flood scale of once per 100-year) ......... 15-44Figure 15.1.6 Maximum Flood Area before Constructing Dike System ..................................................... 15-45Figure 15.1.7 Existing Flood Mitigation Facilities....................................................................................... 15-46Figure 15.1.8 Existing Organization for Water Level Control..................................................................... 15-47Figure 15.1.9 Water Level of Lake Lubana and Blocks................................................................................ 15-48Figure 15.1.10 Storage Volume and Water Surface Area of Lake Lubana .................................................... 15-48Figure 15.1.11 Surface Area of Lake Lubana .................................................................................................. 15-48Figure 15.2.1 Location Map of Subsystems .................................................................................................. 15-49Figure 15.2.2 Flood Situation in each Biotope Category (Flood scale of once per 2-year) ....................... 15-50Figure 15.2.3 Flood Situation in each Biotope Category (Flood scale of once per 5-year) ....................... 15-51Figure 15.2.4 Flood Situation in each Biotope Category (Flood scale of once per 10-year) ..................... 15-52Figure 15.2.5 Proposed Display System ........................................................................................................ 15-53Figure 15.3.1 Location Map of Competitive Problem in LWC.................................................................... 15-54Figure 15.3.2 Location Map and Survey Point in Lake Lubana.................................................................... 15-55Figure 15.3.3 Cross Section of Fish Wintering Place................................................................................... 15-56Figure 15.3.4 Cross Section and the Proposed Fish Channel in Lake Lubana............................................. 15-57Figure 15.3.5 Proposed Organization for Water Level Management........................................................... 15-58Figure 15.3.6 Proposed Hydrological Monitoring Network ........................................................................ 15-59

Figure 16.2.1 Occupational Structure of Sample Households ..................................................................... 16-32Figure 16.2.2 Income Structure of Sample Households ............................................................................... 16-32Figure 16.2.3 Average Income of Sample Households by Occupation........................................................ 16-32Figure 16.2.4 Number of Visit to Lake Lubana in a Year ............................................................................ 16-32

xii

Figure 16.2.5 Purpose of Visit to Lake Lubana in a Year ............................................................................ 16-32Figure 16.2.6 Mode of Visit to Lake Lubana ................................................................................................ 16-32Figure 16.2.7 Popular Recreational Activities in LWC ................................................................................ 16-33Figure 16.2.8 Major Activities in Holiday..................................................................................................... 16-33Figure 16.2.9 Expectation of Future Tourism Development in LWC ......................................................... 16-33Figure 16.2.10 Positive Expectation of Future Tourism Development in LWC........................................... 16-33Figure 16.2.11 Negative Expectation of Future Tourism Development in LWC ......................................... 16-33Figure 16.2.12 Preference of International/Domestic Tourism Development in LWC ................................ 16-33Figure 16.2.13 Participation of Tourism Development in LWC................................................................... 16-34Figure 16.2.14 Preservation and Conservation of LWC ................................................................................. 16-34Figure 16.2.15 Favorite Points of Landscape.................................................................................................. 16-34Figure 16.4.1 Financial Arrangement Structure for EMP Projects.............................................................. 16-35

xiii

ABBREVIATIONS

<Places>

LWC Lubana Wetland Complex

<Organizations>

ALRSA Aiviekste Land Reclamation System AdministrationCESAMS Center for Environmental Science and Management of the University of RigaCNREE Center for Nature Research & Environmental EducationCSB Central Statistical BureauDC District CouncilDPU Daugavpils Pedagogical UniversityEEC European Economic CommitteeEU European UnionFAO Food and Agriculture OrganizationJICA Japan International Cooperation AgencyLEDC Latvian Environmental Data CenterLFN Latvian Fund for NatureLFRI Latvia Fishery Research InstituteLOS Latvian Ornithological SocietyLRDA Latgale Regional Development AgencyMEPRD Ministry of Environmental Protection and Regional DevelopmentMOA Ministry of AgricultureMOE Ministry of EconomyMREB Madona Regional Environmental BoardNBF National Board of FisheryNGO Non-governmental organizationsNPO Non- profit OrganizationsRDC Rezekne District CouncilREB Regional Environmental BoardRREB Rezekne Regional Environmental BoardSHMA State Hydro-meteorological AgencyTNR Teici Nature ReserveULEC University of Latvia Ecological CenterWWF World Wildlife Fund for Nature

<Plan, Policy, and Project>

NEPP National Environmental Policy PlanNEAP National Environmental Action PlanNPBD National Program on Biological DiversityUNDP United Nations Development ProgramWCP Wetland Conservation PlanWQCP Water Quality Conservation Plan

xiv

<EMP terms>

AMZ Active Management ZoneDZ Development ZoneEE&T Environmental Education and TrainingEMC Environmental Management CenterEIMS Environmental Information Management SystemEMP Environmental Management PlanIC Implementation CommitteeNPZ Nature Preservation Zone

<Eco- tourism terms>

EDP Eco-tourism Development PlanLETA Lubana Wetland Complex Eco-tourism AssociationTIC Tourism Information Center

<Economic and Financial terms>

CVM Contingent Valuation MethodEIRR Economic Internal Rate of ReturnFF Fish FundFIRR Financial Internal Rate of ReturnGDP Gross Domestic ProductGNP Gross National ProductLEPF Latvian Environmental Protection FundLVL Latvian Lat(s)NPV Net Present ValueOVA Objective Valuation ApproachPIP Public Investment ProgramSAPARD Special Accession Program for Agriculture and Rural DevelopmentSMEB Special Municipalities Environmental BudgetSVA Subjective Valuation ApproachTCM Travel Cost MethodWTP Willingness to Pay

<Information terms>

CORINE Coordination of Information on EnvironmentEDIS Environmental Data Information SystemEIMS Environmental Information Management SystemEIONET Environmental Information and Observation NetworkGDCN Government Data Communication NetworkGIS Geographical Information SystemGPS Global Positioning SystemIT Information TechnologyWWW World Wide Web

xv

<Chemical terms>

BOD Biochemical Oxygen DemandCOD Chemical Oxygen DemandDO Dissolved OxygenPCB Polychlorinated BiphenylSS Suspended SolidT-N Total NitrogenT-P Total Phosphorus

<Others>AS Accelerated ScenarioBS Basic ScenarioCES Children Environmental SchoolCP/T Counterpart TeamCPUE Catch per Unit EffortDF/R Draft Final ReportF/R Final ReportHPS Hydroelectric Power StationIt/R Interim ReportO/M Operation and MaintenanceP/R Progress ReportRC Reinforced ConcreteS/C Steering CommitteeS/W Scope of WorkWWTP Waste Water Treatment Plant

CHAPTER 1

1-1

PART I CURRENT SITUATIONS OF THE STUDY AREA

CHAPTER 1 SCOPE OF THE STUDY

1.1 Objectives

The objectives of the Study on the Environmental Management Plan for Lubana WetlandComplex in the Republic of Latvia (the Study) are:

a) To formulate an Environmental Management Plan (EMP) for conservation ofenvironmental assets and sustainable use of natural resources in the study area withthe target year of 2010, and

b) To transfer technology on the formulation of the EMP to the Latvian counterparts.

1.2 Study Area

The study area covers the whole Lubana Wetland Complex (LWC) with about 81,000 haas shown in Figure 1.2.1. The up- and downstream areas of the study area are also takeninto account for an integrated hydrological analysis.

1.3 Framework of the Study

In accordance with the agreement between the Ministry of Environmental Protection andRegional Development (MEPRD) and the Japan International Cooperation Agency(JICA) on March 18, 1999, the Scope of Work (S/W) for the Study is set as follows and thestudy framework is shown in Figure 1.3.1.

Phase I: Basic Study

a) Collection and analysis of data and information concerned with environmental andsocio-economic aspects of the Study area in order to grasp actual situations andissues,

b) Consideration of the future economic development, land use and watermanagement in the study area, and

c) Field surveys to obtain additional data and information for supporting the abovework.

Phase II: Plan Conceptualization

a) Analysis on the rich and diverse ecosystem in the study area,

b) Assessment of the past impacts of human activities on the ecosystem, and

c) Conceptualization of the conservation strategies and development framework.

1-2

Phase III: Formulation of the EMP

a) Review and finalization of the study results of Phases I and II,

b) Formulation of the EMP, and

c) Evaluation of the plans/programs and development of the implementation schedule.

The study schedule is tabulated below:

Phase Works Study PeriodThe First Works in Latvia August 1999 ~ November 1999Phase IThe first half of the First Works in Japan December 1999 ~ January 2000The second half of the First Works in Japan January 2000 ~ February 2000Phase IIThe first half of the Second Works in Latvia May 2000 ~ June 2000The second half of the Second Works in Latvia June 2000 ~ July 2000The Second Works in Japan August 2000 ~ October 2000The Third Works in Latvia October 2000

Phase III

The Third Works in Japan November 2000 ~ December 2000

1.4 Organization for the Study

MEPRD is the national level counterpart to back up the implementation of the Study.MEPRD coordinates the Steering Committee (S/C) and supports the implementation ofthe Study. The S/C members are shown below:

Position in S/C Name Organization1 Chairman Ms. Ilona Jepsen Director, MEPRD2 Member Ms. Rasma Ivanovska Secretary, Ministry of Foreign Affairs3 Member Mr. Normunds Riekstins Director, National Board of Fisheries, MOA4 Member Ms. Alda Nikodemusa Senior Officer, Spatial Planning Division, MEPRD5 Member Mr. Imants Tiesnieks Head, Capital Market Policy Division, MOF6 Member Mr. Andis Zeikars Department of Agricultural Strategy and Co-operation, MOA7 Member Ms. Lasmo Abrolina National Board of Forestry, MOA8 Member Mr. Juris Kalnins Director, State Company of Projecting and Information, MOA9 Member Dr. Arturs Skute Head, Laboratory of Ecology, DPU

Note: MEPRD: Ministry of Environmental Protection and regional DevelopmentMOA: Ministry of AgricultureMOF: Ministry of Finance

A regional level counterpart team (CP/T) was set up for the Study and consists of thefollowing nine members:

Position in CP/T Name Organization1 Chief CP Ms. Erika Ruskule Deputy Director, RREB2 Member Ms. Sandra Ezmale Senior Specialist, Territorial Planning Department, RDC3 Member Mr. Arkadijs Sluckis Head, Draining Department, ALRSA4 Member Ms. Vija Kreile Teici Nature Reserve5 Member Mr. Juris Zvidrins Territorial Development, RDC6 Member Mr. Normeends Vejois Deputy Director, MREB7 Member Ms. Guntor Ozolina Deputy Director, National Fishery Board, MOA8 Member Ms. Brigita Dreimane Territorial Development, RDC9 Member Mr. Ivars Ruzans Fishery Inspector, RREB

Note: RREB: Rezekne Regional Environmental BoardRDC: Rezekne District CouncilALRSA: Aiviekste Land Reclamation System AdministrationMREB: Madona Regional Environmental BoardMOA: Ministry of Agriculture

1-3

The JICA study team is comprised of 12 members as listed below:Designation / Work Assignment Name

1 Team Leader / Regional Conservation Yoichi IWAI2 Land Use / Regional Development Hiroshi HASEGAWA3 Water Management / Hydrology Manabu MASAKI4 Wildlife / Ornithology Ugis BERGMANIS5 Wetland Vegetation Isao SAKAI6 Protected Area Management Motokazu ANDO7 GIS Kenichi SHIBATA8 Tourism / Eco-tourism Toshiro HAMADA9 Agriculture / Fishery Shouji MASUMURA

10 Fishery Masanori DOI11 Socio-economy / Financial Analysis Tomoo AOKI12 Coordinator Yukiyasu SUMI / Kengo NAGANUMA

N

0 1 2 3 4 5 km

Lake Lubana

Lubana

Daukstu

Indrani

Osupe

Murmastiene

Varaklani

Rugaji

Lazdukalns

Berzpils

Gaigalava

Nagli

Deksares

Barkava

MadonaBalvi

Rezekne

Gulbene

Study AreaBoundary


The Study on Environmental Management Planfor Lubana Wetland Complex in the Republic of LatviaFigure 1.2.1 Location of the Study Area

1 - 4

LEGEND

Main road

River

Lake

District boundary

Township boundary

1-5

Year 1999 2000

Month 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12

Phase Phase I (Basic Study) Phase II (Plan Conceptualization) Phase III (Formulation of Integrated Management Plan)

Term

Pre-para-tory

Workin

JapanFirst Works in Latvia First Works in Japan Second Works in Latvia Second Works in Japan

ThirdWorks in

LatviaThird Works in

Japan

Wet

land

Pro

tect

ion

Reg

iona

l Dev

elop

men

tR

epor

t

Sub

mis

sion

Wor

ksho

p,

Sem

inar

, etc

.

Figure 1.3.1 Work Flow of the Study

Analysis of Potentials of Eco-tourismDevelopmenta.Resources for eco-tourismb.Potential for developmentc. Cost estimated.Promotion strategy

Preparationof

TechnologyTransferSeminar Formation of

ImplementationProgram• Priority• Implementation

schedule

Pre

para

tion

of D

raft

Fin

al R

epor

t

Pre

sent

atio

n an

d D

iscu

ssio

n of

Dra

ft F

inal

Rep

ort

Pre

para

tion

of F

inal

Rep

ort

Seminar forTechnology

Transfer

Dis

cuss

ions

on

Ince

ptio

n R

epor

t

Confirmation ofVision of RegionalDevelopment andTechnicalExamination ofInland FisheryDevelopment• Development

perspective to 2010• Land use• Discussions with

relatedorganizations

Preliminary Formulation of EnvironmentalEducation Plan• Environmental awareness• Capacity building• Environmental education

Preliminary Formulation of EnvironmentalInformation Management System• Monitoring data• Framework for information management system• Technical level• Organization and budget

Preparation of Detailed Biotope Map for aTypical Wetland Area• Typical wetland ecosystem area• Designation of model area

Preliminary Formulation of WetlandConservation Plan• Appropriate zoning• Priority area for protection• Vision for wetland protection• Strategies for wetland protection

Supplementary Field Study

(birds) (by contract)

Pre

sent

atio

n an

d D

iscu

ssio

n of

Inte

rim R

epor

t

Pre

para

tion,

Pre

sent

atio

n an

d D

iscu

ssio

n of

Pro

gres

s R

epor

t (2)

Pre

para

tion

of In

terim

Rep

ort

Water Level Management Plan• Conflict resolution• Inundation damage alleviation• Operation rule• Non-structural measures

(5) 1) b

Cost Estimationand Formulationof FinancialPlan• Cost estimation• Cost recovery

WetlandConservation Plan• Measures for

ecosystemprotection

• Environmentaleducation

• Protected areamanagement

• Internationalframework fornature conservation

• Software &hardware projects

Guideline forEnvironmentalInformationManagementSystem• System design• Hardware,

equipment

Analysis of Socio-economic Frame• Analysis of socio-economic indicators

• Socio-economic framework

Analysis of Regional Development Plan• Potential development to 2010

• Land use zoning

• Future local industries

Preliminary Formulation of Water LevelManagement Plan• Impact on local industries• Requirements for land use & water level

control• Simulation model

Preparation of Biotope Map• Mapping from biodiversity data

• Compilation as GIS data

1stWork-shop

Pre

para

tion,

Pre

sent

atio

n an

d D

iscu

ssio

n of

Pro

gres

s R

epor

t (1)

Regional Ecosystem Survey (by contract)

Preparation of Environmental &Landscape Resource Lists

Environmental MonitoringSystem Survey

Water Environment Surveya. Hydrology, b. Water quality

Water Quality Survey (by contract)

Examination of Present Status ofRegional Industries• Vision of Regional Development

Preparation of PresentLanduse Maps (by contract)

Condition Assessment for WaterLevel Management Plan

Tas

ks

Pre

para

tion

of In

cept

ion

Rep

ort

Supplementary Information Collection and Analysis• Socio-economy, land use• Facilities, infrastructure

Questionnaire Survey (by contract)

Inundation Area Map

Evaluation ofProposedMeasures

a.TechnicalEvaluation

b.EconomicEvaluation

Formulation ofEnvironmentalManagementPlan• Nature

protection• Sustainable

development• Ramsar

convention

Eco-tourism DevelopmentPlan• Sustainable use of natural

resources• Sustainable develop. of

community• Concrete and feasible plan

Guideline for Regional Developmentand Land Use Plan• Direction of economic development• Guideline for regional development• Directions of land use planing

Submissionof ProgressReport (1)

Submissionof Interim

Report

Submissionof ProgressReport (2)

Submissionof DraftFinal

Report

Submissionof FinalReport

Submissionof Inception

Report(Draft)

Supplementary Information Collection andAnalysis

• Meteorology, hydrology•. Ecosystem, environ. resources

•. Laws, regulation, organization

• Donors, NGO, NPO

Col

lect

ion

& A

naly

sis

of A

vaila

ble

Info

rmat

ion

1stInformalMeeting

2ndInformalMeeting

3rdInformalMeeting

2ndWork-shop

CHAPTER 2

2-1

CHAPTER 2 SOCIOECONOMIC CONDITIONS

2.1 Administrative Conditions

2.1.1 Regional Administration

The Lubana Wetland Complex (LWC) consists of 4 districts with 1 town and 12townships as follows.

Administrative Units of LWC

District Township District Township/TownRezekne 1. Deksare Madona 8. Lubana Town

2. Gaigalava 9. Barkava3. Nagli 10. Indrani

Balvi 4. Berzpils 11. Murmastiene5. Lazdukalns 12. Osupe6. Rugaji 13. Varaklani

Gulbene 7. Dauksti

The District Council (DC) established in each district executes duties under the regulationas shown in the next table. The council consists of the townships and towns chairpersons.The DC Administrative Office has departments to implement tasks decided in the council.Organizational structure of the Rezekne DC Administrative Office is shown in Figure 2.1.1.The town and township councils are organized in each town and township to implementtheir local issues. Organizational structure of Barkava township in Madona district isshown in Figure 2.1.2 for example.

Duties of District Council

1. Civil defense activities2. Public transportation3. Representation for the council of Sickness Insurance Fund4. Provision of the in-service training for the teachers5. Preparation of the council's budget and the district total budget, its reviews, and provision of the newest

information about the budget issues for the bookkeepers and chairmen6. Estimation of the property and financial resources of the people who had been sent to Siberia7. Reception and controls of the documents from the townships about the land certificates, the former land owners

and their heirs8. Educational activities according to the Latvian laws9. Organization of sports festivals10. Coordination of the cultural activities in the district11. Coordination of the work of children music and art schools12. Purchase and classification of the books which are bought by the government budget13. Coordination of the maintenance and repairing of the roads14. Coordination of the health department and its staff's in-service training15. Maintenance of the social care institutions, and preparation of the documents about the old people's and orphans’

care institutions16. Preparation of the bookkeeping accounts about the social help17. Formulation of the social economic development programs and territorial plans18. Identification of the deported person's status, and renewal of the property rights for the people who had been

deported to SiberiaSource: Regulation of Rezekne District Council, 1999

2-2

2.1.2 Relations between Central and Regional Government

(1) Development cooperation between central and local government

Development policies and programs in Latvia are drafted and implemented on the basis ofcoordination and cooperation among the national, regional, and local governmental bodies.Since a precondition for the successful development of any region is the involvement ofeach local authority in fostering the self-development of its own area, the Concept ofRegional Development Policy of Latvia (the Concept) issued by MEPRD in 1996 hasordered that the activity of local governments should be based on the support,understanding, and active involvement of the local community in decision-makingprocesses. The state legislative and executive institutions, on the basis of local and regionaldevelopment plans, programs and proposals are:

1) draft state investment programs,

2) develop legislation, providing for the democracy of local authorities, fostering thedevelopment of economic life in local governing areas, and

3) define problems in regions as well as ways to solve the problems.

Moreover, on a voluntary basis, local authorities join forces in regional cooperationstructures to resolve common problems and plan the development. In regions, theformation of Regional Development Boards (RDBs) is to be encouraged to unite delegatedrepresentatives from regions, districts and towns, as well as senior representatives fromregional bodies under ministries. Recent examples are the Council of LatgaleDevelopment formed in 1998 and its work body called the Latgale Regional DevelopmentAgency (LRDA) established in September of 1999.

(2) Responsibilities of the central government for development

According to the Concept, the regional development program must be implemented aspart of the general state development strategy, comprising all its area. The strategy mustprovide the state development priorities, directions, objectives, as well as means ofattaining these objectives for a medium term (3~5 years) and a long term (10~20 years)period. The general state development strategy and regional development policy aretherefore the issue within the competence of the Parliament and the central government.

Supporting the central government, RDB is responsible for implementation of the regionaldevelopment policies. RDB is formed as a coordination institution for drafting andimplementation of the state regional development policy, comprising seniorrepresentatives from ministries, the Union of Local & Regional Governments (ULRG),RDBs, and the Latvian Development Agency (LDA). RDB works out and submits to thecentral government proposals concerning the drafting and implementation of regionalpolicy, informs regularly the central government of progresses about implementation ofregional development policy, and monitors the work of the Regional Development Fund.

2-3

Ministries are responsible for implementation of national policies, by drafting bills andprograms for their sector development. The functions and responsibilities of ministries inthe sphere of regional development are now considered to be defined more precisely. Forinstance, the activities of REBs are to be extended in order to support the planning process,and the functions of LDA are to be extended in order to encourage the implementation ofregional development policy.

(3) Responsibilities of the local governments for development

The concept of local government reform was prepared and accepted by the Cabinet ofMinisters of Latvia in September 1993. The principles of creation and development of localgovernments in Latvia are based on its constitution and the European Charter on LocalSelf-government in 1985. Article 3 of the Charter says that “Local self-governmentsdenotes the right and the ability of local authorities, within the limits of the law, toregulate and manage a substantial share of public affaires under their ownresponsibility and in the interests of the local population”. The Law on Self-governmentpassed in May of 1994 accordingly sets the general provision and economical basis of localgovernments’ activities in Latvia. The local governments bear direct responsibilities for thefields of regional socioeconomic development of the respective area as well ascoordination for implementation. The permanent functions of the following three types oflocal governments are described in the law, although additional functions have beenimposed on local governments by a number of other laws and regulations issued by theCabinet of Ministers:

1) Republican cities such as Riga, Daugavpils, and Rezekne,

2) District self-governments (rajons), and

3) Local self-governments in towns (pilseta) and townships (pagasts)

Republican city councils perform the functions combining ones of both local (towns andtownships) and district councils. These cities have responsibility for most infrastructurefunctions within them, although the electricity, gas and railway systems are stateundertakings. DCs coordinate the activities of towns and townships in solving commonissues as well as consult them about the performance of the self-government functions.Their competence is the district-level local administration, and socioeconomic and culturepromotion functions common to the whole district.

The competence of local self-governments in towns and townships is also the localadministration, and socioeconomic and culture promotion functions. The town andtownship councils, reflecting wishes of the community and interests of local people, defineobjectives of local development and ways of their implementation, perform thecoordination function with other local authorities, and mobilize the resources of thecommunity to attain their goals. The above table shows specific competence which is to beheld by districts, towns and townships, which are most concerned with their futuredevelopment.

2-4

Council Competence of Local Governments

District Council Town Council or Township Council1) provides for elaboration of the district spatial development plan,2) adopts the district spatial development plan,3) evaluates the parts of the state national programs, sector development

plans, the National Land Use Plan, development plans of regional leveland spatial development plans of special territories referring to theterritory of the district,

4) initiates changes (amendments) in spatial development plans of itsplanning region or spatial development plans of national level,

5) evaluates compliance of the spatial development plans of the townsand townships to the district spatial development plan,

6) takes decisions about cooperation with the town and townshipmunicipalities of the district and other municipalities in producing acommon spatial development plan,

7) evaluates sector development plans as well as regional spatialdevelopment plans and land use plans referring to the territory of thedistrict,

8) evaluates the use of the district territory and plans its future use, and9) provides for public participation in the process of spatial development

planning.

1) provides for producing the spatialdevelopment plan of its administrativeterritory,

2) adopts the spatial development plan,3) evaluates the existing use of real estates and

determines the necessary restrictions,4) provides for the administrative control over

observation of the spatial developmentplan,

5) initiates changes (amendments) in spatialdevelopment plans of other municipalities(towns, cities and districts), planningregions and spatial development plans ofnational level,

6) takes decisions about cooperation withother municipalities in preparing a commonspatial development plan

7) provides for public participation in thespatial development planning process.

Source : Law on Spatial Development Planning, MEPRD, October 1998

2.1.3 Budget and Expenditure

During the period from 1992 till 1997 in Latvia, the role of local governments was step bystep decreasing as the financial functions for pedagogical personal, primary and secondaryhealth care system, and professional education were centralized. On the other hand, somewere decentralized as financial and administrative provision for secondary schools, stateenterprises and property were directly taken by local governments.

This was related to the reform of national financing systems from 1994 till 1998. The newsystem of local government financing and equalization system had been establishedaccording to the Law on Equalization of Self-government Finances. The MunicipalFinancial Control Division of the Budget Department in the Ministry of Finance (MOF), isresponsible for the supervision of local government finances. The total amount of localgovernment’s budget is defined during the negotiations between ULRG and MOF.

The financial resources of local governments are formed mainly by tax and non-taxrevenues, state subsidies, and target subsidies. These incomes are divided into moneyobtained within the local area and money from the payments of outside. The first one ismostly tax which is paid for realized services and goods, while the outside incomes aresubsidies and mutual accounts.

On the district financial level including both the district and local budgets, as for the fourdistricts partially covering the study area, about a half of their local governmental budgetscomes from the state subsidies (Table 2.1.1). In particular, subsidies accounted for 67 % ofRezekne district’s budget in 1997, although the national ratio of subsidies to localgovernments was only 33 % in the same year. It means that these districts’ budgets

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strongly rely on the central government. According to expenditure figures between 1996and 1997, the district money was mostly expended to education and this trend has beenstrengthened (42~57 % in 1997). On the contrary, expenditure for health care has beendecreased. The budget deficit was covered by the rest of the previous years. It can beidentified that the district budget revenue and expenditure per capita were generally higherin Madona and Gulbene districts, but lower in Rezekne and Balvi districts than the nationalaverages. This implies necessity of further financial supports to Rezekne and Balvidistricts.

Table 2.1.2 shows the local budget and expenditure of the 4 districts and 13town/townships in 1996. On average, 50 % of the local budgets was subsidies except forLubana town where tax revenue accounted for 85 % of its total budget. Most townshipsobtained half of their financial resources from other district taxpayers. As for theirexpenditure, money was most expended for education (40 %) followed by administration(22 %) and social security (19 %) on average. A larger part was devoted to the townshipcouncil expenditures while health protection expenses were insignificant. Local budgetand expenditure per local residents in the 13 town/townships were mostly below theirdistricts’ averages. Exceptions are only Lubana town and Indrani township in Madonadistrict. The other 11 townships should be financially supported, at least to attain thedistrict average level and to reduce the expenditure ratio for local administration.

2.2 Population and Social Conditions

2.2.1 Population

(1) National and regional conditions

As one of the main indicators of socioeconomic development of the region or the state isthe number of population and its dynamics characterizing the development potential. Thetotal population of Latvia was 2.46 million as of 1998, as shown in the next table. Since1990, there has been rapid decrease of the number of population in Latvia. Between 1991and 1998, the population fell by around 210,000 (8 % of 1991’s population) in the wholearea of Latvia. Nevertheless, the dynamics and intensity of the decrease of the number ofpopulation is not the same in different regions of Latvia. The main changes have beentaking place in Riga and Kurzeme regions. In Latgale region the population within thesame period had decreased by 7 %, indicating that the decrease of population in Latgale isless than the Latvian average.

Thirty-one percent of citizens of Latvia live in rural areas. According to the data of theState Statistic Committee (SSC), 48 % of rural citizens are concentrated in villages and70 % of the total rural citizens are of economically active age in comparison with 72 % inthe urban areas. A demographic characteristic of Latgale region, which is unfavorable fordevelopment, is more than 28 % of elderly people rate. It is higher than in other regionssuch as 23 % in Vidzeme, 22 % in Kurzeme, and 21 % in Zemgale. Due to the decreasing

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birth-rate, the rate of children and juveniles (0-14 years old) in Latgale region is only 19 %,the lowest in Latvia. Demographic burden is one of the indicators characterizing agestructure of population. It describes the number of the people under working age and overworking age per 1,000 working age inhabitants. Demographic burden in Latgale (764) alittle exceeds the corresponding rate in the whole of Latvia (726) and the other regions,except Vidzeme with the highest rate (804). Nevertheless, in rural districts of Latgale, thedemographic burden of 934 is the biggest in Latvia.

Resident Population in Latvia

Year Resident Population (thousand) Urban Ratio (%) Rural Ratio (%)1935 1,906 37 631959 2,080 52 481970 2,352 61 391979 2,503 67 341981 2,515 67 331986 2,588 69 311991 2,668 - -1992 2,657 - -1993 2,606 - -1994 2,566 - -1995 2,530 - -1996 2,502 - -1997 2,480 - -1998 2,458 - -

Note: “-“ means not available. Source: Statistical Yearbook of Latvia (CSB, 1998)

(2) Conditions in LWC

The next table presents population change from 1991 to 1998 in Balvi, Gulbene, Madonaand Rezekne districts, which partially cover LWC. Population in all four districts hasdecreased following the national demographic tendency. The total population of thedistricts amounted to 150,000 residents in 1998, which means about a 4 % deceasecompared with the 1991’s figure.

Resident Population of Districts Related to LWC

District/Town 1991 1992 1993 1994 1995 1996 1997 19981.Balvi 33,634 33,576 33,284 32,999 32,715 32,383 31,998 31,529 1-1.Towns 11,600 11,704 11,699 11,639 11,569 11,542 11,417 11,282 1-2.Townships 21,974 21,872 21,585 21,360 21,146 20,841 20,581 20,2472.Gulbene 30,129 30,243 29,990 29,861 29,797 29,601 29,326 29,197 2-1.Towns 10,385 10,359 10,123 10,124 10,015 9,907 9,800 9,740 2-2.Townships 19,744 19,884 19,867 19,737 19,782 19,694 19,526 19,4573.Madona D. 49,899 49,953 49,838 49,361 48,725 48,332 48,006 47,600 3-1.Towns 17,121 17,110 17,073 16,952 16,813 16,633 16,432 16,249 3-2.Townships 32,778 32,843 32,765 32,409 31,912 31,699 31,574 31,3514.Rezekne 43,134 42,899 42,754 42,685 42,485 42,263 42,132 41,962 4-1.Towns 4,699 4,702 4,605 4,589 4,576 4,548 4,495 4,446 4-2.Townships 38,435 38,197 38,149 38,096 37,909 37,715 37,637 37,516Total 156,796 156,671 155,866 155,581 153,722 152,579 151,462 150,288

Source : Statistical Yearbook of Latvia (CSB, 1998)

Population in each of the 12 townships and Lubana town has been also decreased asshown in the next table. Their total population has decreased by 4 % or more than 700

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people between 1996 and 1999. As for LWC, demographical statistical data separatedfrom any administrative units are not available. But the present number of local residents isroughly estimated from multiplication of each township’s or town’s 1999 populationdensity with LWC figured out from the Satellite SPOT data. The calculation result impliesthat population in LWC is approximately 6,500, which can be regarded as a maximumlevel considering a high occupation rate of water bodies in the area. Historically, LWCbelonged to the most populated lands of Latvia in the beginning of the 20th century.During the last decades, the number of residents has decreased so that LWC has becomeless densely populated. This decreasing tendency can be explained not only by theresidents’ low birthrate but also by residents’ leaving to other economically favorableplaces for living.

Estimated Population in LWC

Town/ Whole Population Density Study PopulationTownship area 1996 1999 in 1999 area in LWC

unit km2 persons persons persons/km2 km2 personsRezekneGaigalava 193 1,247 1,213 6.3 94 592Nagli 138 700 687 5.0 133 665Deksare 103 998 976 9.5 21 200BalviRagaju 318 1,968 1,872 5.9 50 295Lazdukalns 195 1,328 1,225 6.3 80 504Berzpils 128 1,246 1,107 8.6 59 507MadonaLubana Town 3 2,197 2,131 710.3 2 1,421Varaklani 99 1,080 1,046 10.6 12 127Indrani 343 1,240 1,222 3.6 125 450Osupe 224 1,657 1,604 7.2 134 965Barkava 188 1,901 1,798 9.6 54 518Murmastiene 175 1,052 1,027 5.9 38 224GulbeneDauksti 165 1,430 1,412 8.6 12 103Total 2,272 18,044 17,320 - 814 6,571

Note : Population in LWC = (Density in 1999) x (Study area)Sources : Towns and Civil Parishes in the Administrative Districts of Latvia: A Collection of Statistical Data, Parts 1 & 2 (CSB,

1998); and Number of Inhabitants in Regions, Towns and Townships of Latvia: Statistical Bulletin (CSB, 1999)

2.2.2 Labor Force

The next table summarizes population ratios of working ages (15~59 year old for male and15~55 year old for female). Fifty-eight percent of all the Latvian population in 1997 arecategorized as labor force. In the urban area such as Riga and Rezekne cities, this ratio ishigher. Even for the four districts concerned, this ratio is lower than that for the wholeLatvia, because these districts cover a wide rural area.

The working age ratios in the 13 town/townships of LWC range from 46 % of Varaklanitownship to 57 % of Barkava township, both in Madona district. Based on the 1997 ratiofigures and the 1999 population estimated for LWC, labor force of the area in 1999 issummed up into approximately 3,400 persons. The largest population of working age is atLubana town (about 750 persons), and secondly 520 persons in Osupe township.

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2.2.3 Settlements and Living Standards

Latgale has always been recognized as a region rich in various cultures and languages.Historically, Latgale region has not been formed as a homogenous area in comparisonwith other regions. According to the 1998 statistical data, the rate of Latvians of the totalnumber of population was 41 % in Latgale, which is lower than those of Vidzeme (82 %),Kurzeme (70 %) and Zemgale (68 %) regions. On the contrary, the rates of Russians(43 %), Poles, and Belorussians is the highest among the regions. But, Latvian nationalityresidents dominate Madona district, where a minority are Russians (less than 1/8 of thenumber of Latvians). This is because there was rather small migration during the Soviettimes due to lack of large industrial companies as major stimulus of migration.

Estimated Working Age Population in LWC in 1999

District/Town/ Population Ratio in 1997 (%) 1999 EstimationTownship Under Working

AgeOf Working Age Over Working Age Population in

LWCWorking AgePopulation

Rezekne dis. 21 51 28 - -Gaigalava 23 51 26 592 302Nagli 21 53 26 665 352Deksare 22 50 28 200 100Balvi district 21 53 26 - -Rugaji 22 51 27 295 150Lazdukalns 22 51 27 504 257Berzpils 21 48 31 507 243Madona dis. 23 53 24 - -Lubana town 23 53 24 1,421 753Varaklani 22 46 32 127 58Indrani 22 47 31 450 212Osupe 25 54 21 965 521Barkava 22 57 21 518 295Murmastiene 23 47 30 224 105Gulbene dis. 23 56 21 - -Dauksti 26 52 22 103 54

Total in the study area 6,571 3,402Whole Latvia 20 58 22Riga City 17 60 23Rezekne City 19 61 20

Notes : Working ages are 15~59 year old for male, and 15~55 year old for female.Working Age Population = (% of Working Age)/100 x (Population in LWC)

Source : Towns and Civil Parishes in the Administrative Districts of Latvia, Part 1 & 2, CSB, 1998

The next table shows regional ratios of the poor among the total population, using twocriteria such as crisis minimum (54.5 LVL per month) introduced by the Ministry ofWelfare and the half of the average consumption expenditures (32 LVL per month). Thecrisis minimum satisfies the people’s basic needs.

In 1997, 68.1 % of householders were under the level of the crisis minimum in Latvia. Therate of the rural inhabitants under the crisis minimum is higher than the rate of the urbaninhabitants. The 1997’s ratios of Latgalian residents consuming lower than both criteria arethe highest among the regions. These rates have even increased in comparison with theyear 1996. Only 22 % and 78 % of Latgale householders in 1997 could clear the monthlyexpenditure criteria of 54.5 LVL and 32 LVL, respectively. These data imply thatsocioeconomic conditions in LWC, located in rural area, are also very severe at present.

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Ratio (%) of the Poor by Region

Ratio of persons with consuming expenditures lower than

Householders Crisis Minimum Level Half of Expenditures

1996 1997 1996 1997

All householders in Latvia 67.9 68.1 14.9 16.1

Urban areas householders 65.4 65.3 13.9 14.0

Rural areas householders 73.8 74.8 17.3 21.2

Householders in Kurzeme 73.7 72.6 16.9 18.4

Householders in Zemgale 74.8 73.4 18.3 17.7

Householders in Latgale 75.1 77.8 17.9 21.7

Householders in Vidzeme 70.1 71.3 15.6 17.1

Householders in Riga 61.1 61.0 12.2 12.7Source : Pilot Regional Development Plan for the Latgale Region: Regional Report (EU Phare, September 1999)

2.3 Economic and Financial Conditions

2.3.1 National and Regional Economy

The independence of Latvia and the transition to market economy are linked with radicalstructural changes in national economy. A considerable part of production infrastructurehas gone to waste, unemployment rate has grown in towns and the countryside. Manypeople find it difficult to adjust to the new conditions, especially in the countryside wherethere is a limited variety of economic activity, high communication and transportationcosts, as well as an unfavorable demographic situation.

Due to small farms, unsuitable household buildings and facilities, lack of informationabout marketing possibilities as well as high production costs, low-income households andsubsistence agriculture pervade in the rural areas. Lack of possibilities for employment hasmotivated educated and young people to leave the rural area. As LWC mainly consists ofprimary industries, its economic conditions are the same or more severe than the abovementioned situations. The following tables present representative economic indicatorssuch as GDP, foreign exchange rate, consumer price index, and capital investment level.The capital investments had increased in the four districts between 1995 and 1997.

Gross Domestic Product of Latvia

Year Total (million LVL) Per Capita (LVL)

At current prices At 1995 price At current prices At 1995 price

1980 37 3,154 14.9 1,255.8

1985 42 3,746 16.4 1,452.5

1990 62 4,737 23.4 1,773.5

1991 143 4,243 53.8 1,593.8

1992 1,005 2,764 381.7 1,050.4

1993 1,467 2,353 567.3 910.1

1994 2,043 2,368 801.7 929.6

1995 2,249 2,349 933.9 933.9

1996 2,829 2,428 1,135.8 974.8

1997 3,211 2,587 1,300.5 1,047.6Source: Statistical Yearbook of Latvia (CSB, 1998)

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Foreign Exchange Rates Set by the Bank of Latvia

Currency 1992 1993 1994 1995 1996 1997LVL/USD 0.835 0.595 0.548 0.537 0.556 0.590LVL/100 JPY 0.675 0.533 0.549 0.524 0.486 0.453

Source: Statistical Yearbook of Latvia (CSB, 1998)

Consumer Price Indices in Latvia

(Unit: % of previous year)Year 1991 1992 1993 1994 1995 1996 1997

General 272 1,051 209 136 125 118 1081. Goods 280 796 189 134 121 115 107 1-1. Food 276 861 190 132 118 113 103 1-2. Non-food 284 752 188 137 131 122 1112. Services 221 2,824 340 141 137 124 116


Capital Investments by District Related to LWC (Unit: million LVL at 1997 price)

District / City 1995 1997Balvi District 0.8 1.7Gulbene District 1.7 3.4Madona District 2.0 5.0Rezekne District 1.6 1.7Riga City 175.4 301.1Daugavpils City 8.8 16.7Rezekne City 2.1 4.0Whole Latvia 326.6 612.6


However, the national economy has been successful, implying possibilities for furthereconomic growth since 1997 when a stable and significant increase of gross domesticincome (6 %) was achieved. In comparison with the previous year, inflation decreased to8.4 %, and real increase of important macro economic indicators was noted. This alloweddecreasing of registered unemployment rate in the country. In 1997 it was 7.2 % (7.0 % in1996).

2.3.2 Employment and Income

According to an investigation on labor force carried out by SSC in May of 1997, 80 % wereemployees, 3 % were employers, and 10 % were self-employed. The registeredunemployment rate in Latvia in 1998 was 7.0 % as shown in the next table, fluctuatingbetween 3.1 % in Riga city to 29 % in Rezekne district. But there are a number of joblesspeople who are seeking for a job but are not registered as unemployed persons. The actualunemployment rate in Latvia is thus higher than officially registered. For instance, in 1997,the number of the officially registered unemployed was only 53 % of all the unemployedpersons, according to the Employment State Department (ESD).

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Registered Unemployment Rate in Latvia

Year 1992 1993 1994 1995 1996 1997 1998Rate (%) 0.9 4.6 6.4 6.4 7.0 7.2 7.0

Note: They are shares of the registered unemployed people to economically active population.Source: Statistical Yearbook of Latvia (CSB, 1998)

As shown in the next table, average gross monthly wages of 1995 and 1997 in Latvia were90 LVL and 120 LVL, respectively. But difference of income growth between urban andrural citizens has increased. People’s incomes are based mainly on two types of sourcessuch as payment from hired work and social remittances. The later type of income exceedshalf of income of farmers’ households whose income from agricultural production is41 %.

Average Monthly Wages by Activity Kind in Latvia

(Unit: LVL)Activity 1995 1997

Gross Net Gross NetTotal Average 90 73 120 88 - Agriculture, hunting and forestry 64 55 83 63 - Fishing 119 94 150 117 - Industry 95 77 132 97 - Construction (mining, manufacturing, etc.) 87 71 113 83

Note: “Net” refer to wages excluding social and personal income taxes paid by employed persons.Source: Statistical Yearbook of Latvia (CSB, 1998)

In Latvia the proportion of those engaged in agriculture, hunting, fishery and forestry in1997 was about 19 % as shown in the table below. At present, agricultural production andrelated services provide jobs and income to only one-fifth of rural inhabitants, as theproportion of agriculture in the Latvian economy decreases. In order to eliminate socialtension in rural areas, it is necessary to develop viable farms and to increase income ofrural inhabitants. Lessening of the number of jobs in agriculture causes labor migrationfrom the countryside to towns.

Employed Persons in Latvia by Kind of Activity(Unit: 1,000 persons)

Kind of Activity 1990 1995 1996 1997Total 1,409 1,046 1,018 1,037- Agriculture, hunting and related service activities 218 174 167 172- Forestry, logging and related service activities 15 14 14 15- Fishing 12 5 5 6- Industry (mining, manufacturing,, gas supply, etc.) 391 214 202 209- Construction 136 56 58 60- Others (trade, transport, education, services, etc.) 637 583 572 575


For the moment, there is no statistics of the income and employment for LWC. But basedon the following statistics for the four districts and 13 town/townships concerned as wellas the field reconnaissance, it is supposed that situation of LWC is worse than the districtaverages and even than the town/township averages because a considerable number of

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residents are involved in agricultural, forestry and fishery sectors. For instance, theregistered unemployment levels of Rugaji, Lazdukalns and Berzpils townships in Balvidistrict were more than 40 %, and the average rate among the 13 town/townships was 26 %in 1997. Such a phenomenon signifies low education level and the undevelopedproduction sector in the area. The origin of the unemployment is the state-ownedindustrial companies which have discontinued their activity or limited their production,and jobless people who do not possess their own farm after the re-organization of thecollective farms.

Registered Unemployment Rates and Wages in the 4 Districts

District Year Rezekne Balvi Madona GulbeneUnemployment rate 1997 29.0 21.6 13.1 9.9(%) 1998 28.2 22.1 12.5 10.2Average gross wage 1997 74 82 83 84(LVL/month) 1998 80 92 92 92Source: Administrative Districts and Major Cities of Latvia : Statistical Yearbook (CSB, 1998 and 1999)

Registered Unemployment Rates of the 13 Town/Townships in 1997

Town/Township Unemployment Rate(%)

Town/Township Unemployment Rate(%)

1. Gaigalava 24.0 8. Varaklani 4.92. Nagli 16.7 9. Indrani 17.33. Deksare 28.2 10. Osupe 25.74. Rugaji 40.2 11. Barkava 14.75. Lazdukalns 44.3 12. Murmastiene 29.76. Berzpils 77.3 13. Gulbene 7.07. Lubana town 7.4 Average 26.0Source: Ministry of Economy, 1999

2.3.3 Industry

(1) Agriculture

In 1990, agricultural production made up one-fifth of the general domestic product ofLatvia. Its proportional decrease was caused mainly by changes of prices in differentsectors. In total during the period 1990-1997, prices in national economy have increased 90times, prices of agricultural production are 50 times. The production in livestock breedingmost rapidly decreased by 60 %. The amount of product in crop production decreased by30 %. The decrease of agricultural production in the 1990s was determined by differentfactors: those influencing national economy on the whole, and those which wereespecially unfavorable for agriculture considering its specific character. The main reasonsare rapid narrowing of outer and inner market and changes in prices unfavorable foragriculture.

At the beginning of 1997 there were about 300,000 farms of different size in Latvia. Theabsolute majority of them are small farms that do not produce any agricultural products, orthey sell products in small amounts. Only about 5 % of all farms may be called thoseproducing goods. According to the data of CSB, on the average there is 13.7 ha ofagricultural land in one farm. The total area of sown area decreases from year to year. Atpresent, small scale production is dominating in agriculture : 30 % of total sowing area is in

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small farms with sowing areas under 5 ha, 69 % in farms with sowing areas up to 20 ha.Such farms are short of current assets. Quite often cereals are not cultivated in accordancewith agro-technical demands and harvests are rather small. 48 % of milk cows are in farmswhere there are 1 or 2 cows. It does not promote production of cheap milk.

Agricultural sphere is of great importance in LWC. The effectiveness of farming isinfluenced by peculiarities of local relief and soils. In this sense, more convenient situationis in the Lubana lowlands, although hydrological route is rather risky for agriculture withpoor fertile and moisture areas. The peasant farms predominate among agricultural landusers. Main activities are production of wheat, rye, barley, potato and flax as well as cattlebreeding for meat and milk. But, there is a lack of meat processing enterprises aroundLWC. Agricultural land division in LWC reflects economical situation in the country. Thepresent agriculture is mostly subsistence farming, which is not engaged into agriculturalprocessing route. This kind of management is unprofitable and endangers the liquidationof many farms. However, it has an important role in local economy securing the existenceof unemployed countrymen.

A considerable amount of subsidies have been used for supporting farmers in LWC, inorder to overcome the agricultural crisis where the agricultural products are not able tocompete. The peasants can receive financial support from a special credit line in “Zemesand Hypothere Bank”, although long term credits are not available for farmers.

(2) Forestry

The total area of forests is 2,882 million ha or 45 % of the national area. Annual growth inall forests is 16.5 million m3. The estimated allowable cut by the law for the period 1995~2000 is 8.35 million m3 a year. In 1996, 6.76 million m3 of wood were felled, including66.3 % in state forests and 33.7 % in other forests. In the total amount of timber products37.3 % was firewood, 29 % were sawn logs, and 21.3 % was round timber. Specialassortment such as packing blocks and veneer blocks for matches accounted for only11.1 %.

There is 1.16 ha of forest area per one inhabitant or on average 197 m3 of wood stockvolume in Latvia. After the finalization of land reform, about 56 % of forests will be in theproperty of state, 42 % in private property, and 2 % in municipal property. These forestsconsist of different tree species, age, thickness, and quality. At present about 900enterprises are operating in forestry and lumbering. About 1,500 wood processingenterprises are functioning in the countryside. Forestry and further wood processing givejobs and income to local residents, and it thus performs economic social functions in ruralareas. For those private forest proprietors who do not carry out agricultural activities,forests serve as a capital.

Forests cover about 30 % and idle land comprises about 15 % of Latgale region. Thedominating tree species are pine (40 % of the inventory), spruce (20 %) and birch (25 %).The timber is mainly used for the paper and construction industries. Modernmanufacturing facilities, such as paper-mills and sawmills, are only in the course of

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establishment. Wood products represent the biggest group of exports, reaching about athird of total exports in 1997. Forests are a great part of natural resources in LWC,protecting biological habitat and giving working places. There is enough area of woodswhich is a good stimulus for the new wood processing enterprises. Wood processingaround LWC is very disunited and seldom effective, and production of wood goodsdepends on requirements. The rest part of production is sown materials for export needs.Places for wood sawing are placed in each township. Small part of the remainder of woodsawing is used for heating. 4-5 m3 of this can be substituted for 1 ton of coal. Craft industrywith wood exists around LWC, being mainly oriented on domestic market.

(3) Fishery

Latvia is rich in waters and there are 2,256 lakes at its area with the water-surface area ofabout 100,000 ha. Main fish resources are concentrated in approximately 800 water bodiesand in the large rivers. The most part of these waters is characterized by high fishproductivity. About 40 species of fish are met in the internal waters of Latvia, 26 of themhave been recognized in industrial fishing. In the end of the 1930s, fish breeding existedmainly as an auxiliary sector of almost 1,000 of farms. The state granted its support for thedevelopment of breeding and fish fry in ponds. In the post-war period, breeding andreleasing of fish fry developed. After the restoration of independence, social economic andlegal situation of fish farming has changed. Land reform in rural areas and turn to marketeconomy has brought deep depression in breeding of market fish – trout and carp. In thelatest years market carp production in Latvia was about 500 tons, including trout 5 ~ 10tons a year.

Fishery in Latgale region is limited to fish caught in inland waters. The most importantkinds are carps, breams, pikes, sanders, perches, eel and other fish. Taking into account thelarge number of water bodies in Latgale, the inland water resources may be regarded asuntapped potential of fish. The Licensing Commission of the National Board of Fishery(NBF) gives the fishing licenses for 1~5 years. There are three types of activities such ascatching, aquaculture and tourism opportunity. As Latgale region has 40 % of all lakes inLatvia, the possibility to develop fishery is quite realistic.

Fishery in LWC is largely connected with Lake Lubana. However, catching of fish is nowan additional activity mostly for home consumption and also for sales on the local market.The aquaculture is limited to the Nagli fishponds. In 1980s, about 700 to 1,000 tons ofcarps were produced. Due to privatization and lack of capital and market development, theproduction decreased to about 150 tons in 1998. The demand for carps is quite good butthe decreasing purchasing power resulted in lower prices and poor profitability. In the midand long term, perspectives are rather good and restocking is necessary. In this way themanagers of Nagli look for foreign direct investment. Another positive point to improvethe technical and economic opportunity of aquaculture is the training of specialists in the“Razna Vocational School”. Also, these are ideas to start some processing of fish aroundLWC. In addition, good infrastructure and facilities for angling around the lake areimportant for further development including eco-tourism and rural tourism.

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(4) Tourism

Direct income from tourism in Latvia in 1996 was only 3 % of GDP. Tourism is a sectorhaving very high competition between the countries. For Latvia it is not easy to present aproduct competitive to other countries. The state funding for tourism in Latvia is thelowest in Baltic States. It is approximately a half of what is provided by Lithuaniangovernment and only one-fourth of Estonia’s. The institution responsible forimplementation of the national tourism policy is the Latvian Tourism Agency.

The rural tourism has started to develop, as the statistics data show that the number oftourists is growing constantly. At the end of 1999 the number of the dwelling houses forrural tourism was 116, and in April 2000 there were 125 houses in Latvia as shown in thenext table. The average duration of visitors’ stay was 3.4 days. The highest number oftourists has been recorded during May to September as well as in December. In 1999, 11 %of the visitors were foreigners who had arrived from 25 countries, including Scandinaviancountries (19 %), USA and Canada (16 %), Germany (14 %), India (13 %), UK and Ireland(7 %), Holland (7 %) and France (6 %). The local tourists spent 1.6 days on average, whileforeign tourists stayed for 1.3 days (Finland), 4.8 (Germany) and 6 (Russia).

Past Increasing Trend of Farms and Visitors for Rural Tourism

Year 1994 1995 1996 1997 1998 1999 April 2000No. of Farms 20 38 46 70 98 116 125No. of Beds n.a. 167 200 416 494 732 n.a.No. of Visitors 228 880 2,486 3,630 6,200 7,642 n.a.Note : n.a. = data is not availableSource : Association of Rural Tourism, May 2000

Tourism in LWC and even in the entire Latgale region is of the primary stage.Geographical situation, nature peculiarities, culture objects and unpolluted environment ofthe study area will promote eco-tourism and rural tourism industry. In particular, there arepossibilities to develop water active tourism around Lake Lubana. But there is a lack oftrained staff in tourism industry, and limited knowledge of languages is an obstacle.

There are information centers in the four districts concerned, which were established byeach district council. They are concerned with the information generalization and theresearch of tourism objects. The main problem of the centers is lack of any unitedinformation system of tourism in the entire area.

2.3.4 Financial Sources for Environmental Management

(1) Fund sources for environmental investment projects in Latvia

Fund sources for the environmental investment projects in Latvia are Public InvestmentProgram, Natural Resources Tax, grant, loan, and municipalities’ budget.

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1) Public Investment Program (PIP)

PIP was established and started in 1995 to fund for high priority projects and programs setby the government. The main objective of PIP is to coordinate finances in the country withinvestment needs for infrastructure as shown in Figure 2.3.1. The priority sectors aredesignated as energy, transport, and environment. As for the environmental sector, PIPfocuses on the improvement of water supply and waste water treatment, establishment ofmunicipal and hazardous waste management, and modernization of hydrometeorologynetwork. MEPRD coordinates and supervises the funding allocated from PIP toenvironmental sector as state subsidies to municipalities and ministry investment projects.Environmental budget from PIP is shown as follows.

Environmental Budget from PIP(Unit: million LVL)

Year 1995 1996 1997 1998Total Budget of PIP 13.8 14.9 34.3 42.2Environmental investments from PIP(% of PIP)

2.4(17.4 %)

3.3(23.5 %)

3.6(10.6 %)

6.2(14.8 %)

- State subsidies to municipalities 1.9 2.0 1.7 4.2- Ministry investments 0.5 1.3 1.9 2.0

Source : Environmental and Sustainable Development Projects in Latvia, MEPRD, 1998

2) Natural Resources Tax

Based on the Law on Natural Resources Tax (1995, revised in 1996), the tax is imposed onuse of natural resources polluting the environment, pollutants, and products harmful to theenvironment including imported products and packaging. REBs verify the calculationsand sign the completed form based on the resource use declared by user. The tax iscollected by the Income Department of MOF, and it is used for environmental protectionpurposes. The Natural Resources Tax was mostly used for following purposes:

- Purchase, repair, and reconstruction of water purification equipment,

- Repair of water supply and sewerage system, purchase of water pump,

- Maintenance of dumping sites, solid waste collection, and

- Analysis of drinking water.

Collected tax is allocated to municipalities' government as Special MunicipalitiesEnvironmental Budget (SMEB) and channeled to the Special State Environmental Budgetaccruing to the Latvian Environmental Protection Fund (LEPF) as shown in Figure 2.3.2.

3) Grant and loan

Funds for environmental projects are provided from donor countries and EU Phare asgrant or loan scheme. MEPRD coordinates and allocates the grant and loan to the priorityenvironmental investment projects in whole country. Main donor countries are Sweden,Denmark, Finland, Norway, Germany, Belgium, Netherlands, USA, and Switzerland.Main international financing institutions include Nordic Environmental Finance

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Cooperation (NEFCO), World Bank, Nordic Investment Bank, and European Bank forReconstruction and Development.

Usually the donor countries provide grants in the case of investment schemes when theirfinancing is not more than 30 % of total investments. Banks like World Bank, normallytake the role as lead financier in the project funding. Additional funding is supplied asbilateral grants or equity. Regarding the loan scheme, local funding of about 20 % of theproject costs is also always required. NEFCO provides project funding as loans, but itshould be less than 30 % of the required funding. The projects funded by NEFCO shouldhave environmental benefits for the Nordic countries as well as involving at least oneNordic country.

As a part of the Municipal Services Development Project, financed through a loan fromthe World Bank, US$3.5 million is made available under the Municipal Development Fund(MDF). The MDF channels loan funds to a number of small-scale investments inmunicipal services. The MDF pilots a mechanism for channeling loan funds tomunicipalities for infrastructure investment in order to reduce the dependence ofmunicipalities on state grants for such investment.

(2) Financing mechanism for environmental investment project

There are three main financing mechanisms for environmental investment projects:Latvian Environmental Protection Fund (LEPF), Latvian Environmental Investment Fund(LEIF), and Fish Fund.

1) LEPF

LEPF is a state-administered establishment subordinated to MEPRD. LEPF revenue isaccrued from the use of natural resources tax as Special State Environmental Budget. Themain objectives of the fund are:

- to provide additional financial resources in grant-base for funding environmentalprotection activities and projects,

- to ensure proper use of these funds and supervision of projects, and

- to provide financial resources in order to soften loans for the environmentalprotection projects.

Public and private organizations that want to apply for LEPF have to submit an applicationform. A private company who wants to apply to the LEPF needs a recommendation letterby REBs to get approval. However, in the case where the proposed project is not suitablefrom an environmental viewpoint, REBs refuse it and the company can not get approval ofLEPF. Recent planned and realized projects funded by LEPF around LWC are shown inTable 2.3.1. Total annual investment provided by LEPF to Rezekne REB are shown asfollows.

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Investment by LEPF to Rezekne REB(Unit: LVL)

Year 1997 1998 1999LEPF 27,529 5,699 6,939

Source: Rezekne Regional Environmentally Board, Nov. 1999

2) LEIF

With assistance from the EU Phare National Program 1995, a feasibility study about thenecessity of the investment fund, target groups and methods of management has beenmade. On the basis of the feasibility study, LEIF was established by the decision ofCabinet of Ministers in April 1997 as a non-profit limited liability company.

Projects supported from LEIF are in line with the national environmental policy and theannual priorities of MEPRD. Other criteria look at foreseeable improvements in theenvironmental sector for both public and private projects, financial viability afterimplementation of projects and ability of project to take soft loans from LEIF.

NEFCO and LEIF have signed an Intention Protocol in 1998 about cooperation in order todistribute NEFCO loans with assistance of LEIF. A representative of NEFCO is a memberof the Board of Supervisors of LEIF. Financing sources of the LEIF are shown as follows.Interest rate for financing by LEIF ranges from 5 to 8 %.

Financing Sources of LEIF

(Unit: million Euro (million LVL))Name of Source Investment*

1) Latvian Environmental Protection Fund (LEPF) 5.0 (8.3)2) EU Phare 2.0 (3.3)3) Nordic Environmental Finance Corporation (NEFCO) 3.5 (5.8)4) Danish Environmental Protection Agency 0.2 (0.3)5) Technical Assistance from EU 1.0 (1.7)Total 11.7 (19.4)Note: * total investment as of Nov.1999Source: Investment Department of MEPRD, 1999

3) Fish Fund (FF)

The FF established in 1996 funds for fishery-related projects and activities. Fish breedingand plant cultivation, fish transport and import are subject to a fee and a license. The Lawon Fishing (1995) requires those fees to be paid into the fund. FF can be applied for somekinds of environmental project, which contribute the fish resources protection such asriver water quality improvement project. Annual total amount of FF provided to RezekneREB is shown as follows.

Investment by Fish Fund to Rezekne REB(Unit: LVL)

Year 1997 1998 1999Fish Fund 7,055 15,675 5,500

Source: Rezekne Regional Environmentally Board, Nov. 1999

4) Special Accession Program for Agriculture and Rural Development (SAPARD)

This new financial program sponsored by EU is planned to support small enterprises orfarmers to improve the quality of the services in the rural area for such development fieldsas agriculture, forestry, fish-breeding and rural tourism. The financial subsidies from the

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program will be EUR 2,000 (1,150 LVL)~EUR 100,000 (57,500 LVL)/project. Theexpected total financing of EU to Latvia will be about 22 million EUR (or 13 millionLVL)/year. The subsidy amount for profitable and non-profitable projects is 50% and80 % of the total project cost, respectively. But the remaining expenses must be coveredby the proposing individuals or enterprises themselves.

5) Environmental budget in local government of the study area

General budgets of town and townships in LWC are limited. Those local governmentshave to apply for the financial sources explained in the previous section to implementenvironmental protection activities with assistance by REB.

2.4 Infrastructure

2.4.1 Water Supply and Sanitation

While 49% of the total water resources in Latvia derives from surface water, 41% is fromgroundwater. In Rezekne district, 89% of water resources is extracted from surface water.Rezekne district has two main rivers, the Rezekne and the Malta rivers, both of which pourinto LWC. At the end of the two rivers, several fishponds located in the Nagli townshipextract surface water from the Malta river. Groundwater is used for drinking or householdusage in LWC, due to its comparative cleanness to surface water.

Households of local municipalities are the biggest producer of wastewater in Latvia, whileindustry wastewater has remained the second. In order to solve water supply andwastewater treatment problems in small Latvian towns, the Project of Water Supply andWaste Water Treatment in Small and Medium Sized Towns of Latvia was planned from1995 to 1996. The strategy elaborated within the framework of this project was acceptedby the Cabinet of Ministries in 1997. In order to implement this strategy, the State programof Water Supply and Waste Water Treatment in Small and Medium Sized Towns of Latvia(800+) was established as a part of the National Baltic Sea Protection Program.

In Rezekne city located upstream of LWC, about 9,000 m3 of wastewater is treated in aday. The effluent concentrations of organic substances and nutrients often exceed thewater quality standards. The coverage of the sewage system is lower than 70% in Rezeknecity, and it is even lower in other towns and townships of LWC. Households unconnectedto the sewer systems and agricultural lands remain the main non-point sources of waterpollution. In line with the 800+, the project of Improvements to Water Supply andWastewater Management in Five Municipalities in Eastern Latvia financed by Denmark isnow in progress. Rezekne city, Vilani town, and Malta township are included in the 5municipalities and located in Rezekne district.

MEPRD initiated the solid waste management program called "500-" to reduce the totalnumber of landfill sites to less than 500 and to integrate waste management in Latvia. Eachmunicipality is responsible for organizing waste management within its territory. Therewere 2.6 million m3 of municipal waste in 1996, which showed 50% decrease from 1992

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(5.1 million m3) in all Latvia. Hazardous waste has also shown a decreasing trend since1991 in Latvia. 240,000 tons of hazardous waste were produced in 1991, while 50,000 tonswere generated in 1996.

Rezekne district generated 9,000 m3 of municipal waste and 1.9 tons of hazardous waste in1998, and Balvi district 16,000 m3 and 16.9 tons, respectively. Due to less industrialactivities in Rezekne, Madona, and Balvi districts, municipal waste generation iscomparatively small. Rezekne city has one landfill site for municipal waste in its suburbwhere hazardous waste had been accumulated during the Soviet era. The landfill putsthreats on ground water close to it. Improvement of the existing landfill and separation ofhazardous waste from municipal waste are prioritized by Rezekne REB.

2.4.2 Transportation

The road network with international importance runs southward of LWC. The A-12freeway is crossing Jekabpils, Vilani, and Rezekne city, heading for Moscow. To the eastof the study area, the A-13 freeway from St. Petersburg and Ostrov in Russia is crossingRezekne city, heading for Daugavpils city. These roads are well developed and maintained.The local roads in and around LWC are not so well developed except the roads connectingmain cities and towns like Rezekne city, Madona town, Gulbene town, and Balvi town.Roads connecting township centers in LWC are mostly unpaved, and their maintenance isnot well conducted due to financial shortage.

The total length of all the railway lines in Latvia is 2,413 km, of which 534 km is in theLatgale region. The railway connecting Ventspil, Riga and Rezekne runs southward ofLWC, heading for Moscow. Rezekne city is one of the 6 largest railway terminals in Latvia.The existing railway infrastructure is sufficient to cover the present demand fortransportation of cargoes and passengers.

2.4.3 Energy

Latvia is scarce in energy resources. Approximately 40% of electricity is imported fromLatvia’s neighboring countries. Three hydropower plants are located along the Daugavariver with the total capacity of 1,510 MW. The two largest combined thermal power plantsare located in Riga with the capacity of 500 MW. Latvenergo, which is the largest powergeneration enterprise and is now in a process of privatization, provides electricity in Latvia.Oil and natural gas are imported mainly from Russia and their prices are set high, whichcauses less use of oil and agricultural equipment.

2.4.4 Environmental Education

There is no formal curriculum on environmental education in primary and secondaryschools of Latvia. Through only school camps and special projects such as NationalOlympiad of Environmental Projects, students learn various aspects of environmentalissues. About 200 classes in different regions of Latvia participated in an environmentaleducation project "Air Pollution in Europe" from 1995 to 1997. Students made

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observations of precipitation, identified the air quality, and studied the lower ozone layer.The project has received high evaluation at several international environmental protectionand education competitions in Europe and USA. In Latvia the project has been continuedas a national project "Air Observation Network".

Rather than the introduction of environmental education curriculum to schools, there arebasic problems to be solved such as underpaid teachers, insufficient teachers' training, andlack of textbooks. Environmental Education Association releases an informationdocument "Celabiedrs" for schools and other environmental education institutions sixtimes a year. An organization “Children Environmental School” has published suchteaching materials as "Find trees and bushes in winter", "Find trees and bushes in summer",and "Let's live alive life!"

Environmental education at university level is concentrated at the Center forEnvironmental Science and Management of the University of Riga. Master degreeprogram on environmental science and management in the University of Latvia wasstarted in 1993. This is the first MSc program providing interdisciplinary approach to solveenvironmental problems and to acquire new environmental protection methods.According to hearing from Rezekne and Madona REBs, they have no formal program ofenvironmental education. However, REBs conduct seminars and lectures in the schoolsand vocational centers when they are requested.

2.4.5 Activities of Donors, NGOs, and NPOs

(1) Donors

The National Program of Baltic Sea Environmental Protection has been worked out. Thefirst three phases of the program were completed in September 1996 within the frameworkof EU Phare project. The program is performed by using several financial resources suchas State Investment Program, Environmental Protection Fund, municipal budgets andbudgets of enterprises, means of EU Phare Program, foreign bilateral assistance (stategrants of Finland, Sweden, Denmark, Norway and Germany) and loans with lightenedterms of repayment (NEFCO and Danish government).

The EU Phare National Program 1997 under the heading regional development containsthe “Pilot Regional Development Plan for Latgale Region”, which was completed inSeptember 1999. For Balvi district, the following two energy pilot projects have beenimplemented through the “Activities Implemented Jointly” network : Balvi DistrictHeating, and Balvi Boiler Conservation. In addition, Rezekne district has establishedtwinning city relationship with Aust-Agdere and Arendale in Norway to cooperate inhealth and environmental protection, social sphere, education and culture.

In 1989, EU Structural and Cohesion Funds were created, the aim of which is to financeand equalize development of different regions of Europe. Creation of these funds allows topay more attention to rural development and financing. Since 1992 when the reform ofCommon Agricultural Policy including objectives of environmental protection was

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initiated, rural development became an important part of it. As Latvia is in the status ofCandidate State of EU at present, it is important to promote cohesion between regions,cities and rural areas. Even more important is to create ways through which resources ofEU Structural and Cohesion Funds could flow into Latvia in the future. These funds arenow not available for candidate states but in the period of accession support for rural areasfrom Phare programmes will gradually shift to Structural Funds.

The World Bank Latvian Rural Development Project (approved in September 1998) andthe EU-Phare SAPARD Program managed by MOA (under preparation at present) offerfinancial support for agricultural producers and processors and for small enterprises inrural areas. These financial resources are earmarked for the development of efficientagricultural production as well as for promoting non-traditional agricultural sectors andcompetitive alter-native businesses.

(2) Non-governmental Organizations (NGOs) and Non-profit Organizations (NPOs)

The Concept of the Regional Development Policy of Latvia (1996) defines objectives andtasks for the regional development policy, as well as basic objectives of the regional policyof Latvia and the framework for its creation and implementation. As one of the basicstandpoints of regional policy of Latvia is the principle of partnership, such that “the stateregional policy is part of the general development policy of the state. The stateimplements the regional development policy in co-operation with local authorities,entrepreneurs, the society and NGOs.”

There are 60 environmental NGOs regularly active in Latvia. The EnvironmentalProtection Club has a membership of 3000, while the oldest environmental NGO, theLatvian Society of Nature and Monument Protection, is supported by 2000 members.Most environmental NGOs in Latvia engage in environmental education and training(39%), collection and dissemination of environmental information (37%), environmentalfieldwork and monitoring (35%), alternative environmental expertise (27%), and so forth.The Ecological Center and the Center for Environmental Science and ManagementStudies of the University of Latvia working for information dissemination, training, andpublication in the field of environmental education are the examples of active NPOs. InLWC, the Latgalian Ecological Society, the Center for Nature Research & EnvironmentalEducation of Daugavpils Pedagogical University did the ecological researches in 1999.NGOs and NPOs are highly informative and have a possibility of active participation in theenvironmental management of LWC.

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2.5 Land Use

2.5.1 Land Use Status and Change

(1) Present land use conditions

The most fertile soils can be found in the plains south of Riga, where most of the domesticsugar beets in addition to fruit, crops and vegetables are produced concentively. The totalarable land in Latvia is about 41,000 km2, but only 60 % of which is now under actualagricultural activities. In the 4 districts surrounding LWC, this figure is lower except forRezekne district (i.e. Rezekne district: 64 %, Balvi district: 57 %, Madona district: 51 %,and Gulbene district: 57 %). This means that potential arable land in and around LWC isfurther abandoned than the national average, because of low intensity of the land usage,multi-shaped terrain, and improper hydrological conditions as well as a lack of agriculturalmarkets. Present land use data focusing on LWC are tabulated in the next table. Thefigures were calculated and processed based on the Satellite “SPOT” data in 1998 (refer toFigure 2.5.1) and the existing topographical maps in 1:50,000 scale.

The total width of LWC is about 814 km2, which is consisting of parts of 12 townships andLubana town in Rezekne, Balvi, Madona and Gulbene districts. Madona district occupiesnearly a half (45 %) of LWC followed by Rezekne and Balvi districts, while Daukstitownship of Gulbene district belongs to the area only with 12 km2. Therefore, LWC onlycovers 8 % of the 4 districts’ area (10,264 km2) or 36 % of the summed territory of these 13local municipalities (2,272 km2). Gaigalava and Nagli townships in Rezekne district as wellas Indrani and Osupe townships in Madona district are 4 major municipalities totallyoccupying 60 % of LWC.

The greatest treasure in LWC is natural resources. Forests cover 47 % of the area, which ishigher than the national forest ratio of 44.6 % figured out by MEPRD in 1998. Wetlandsand water bodies (Lake Lubana and fishponds) account for 13 % and 12 % respectively.The water surface of Lake Lubana belongs more to Rezekne district than to Madonadistrict. Besides, the rest (28 %) of the area is mainly agricultural land that is regarded as akind of semi-natural resources. This land use structure dominated by such naturalresources provides local people with environmental goods and services, while LWCcarries the agrarian characteristics and landscapes because of the agricultural areas. Thereprevail turf bog and marsh soils in the lowlands.

According to Figure 2.5.1 showing the present land use of the whole LWC, the waterbodies are located in the southern half of the area, centered by Lake Lubana with the fishponds eastward. The major part of forests is in the north half of the area, while somepatched woodland is scattered around the lake. The wetlands mainly spread on thenortheastern part and the south side of Lake Lubana. The agricultural area surrounds thesethree major natural resources (water bodies, forests and wetlands) covering all over LWC.

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Land Use Situation of LWC in 1998(Unit: km2)

Land Use in LWCTownship Whole Forests Wetlands Water Bodies Agriculture Lands Total

/ Town Area Area % Area % Area % Area % Area %RezekneGaigalava 193 44 46 18 19 12 12 20 23 94 100Nagli 138 38 29 30 22 52 39 13 10 133 100Deksare 103 14 66 2 12 0 0 5 22 21 100BalviRugaji 318 39 78 2 5 0 0 9 17 50 100Lazdukalns 195 33 41 20 25 0 0 27 34 80 100Berzpils 128 20 33 11 18 0 0 28 49 59 100MadonaLubana Town 3 0 10 0 0 0 0 2 90 2 100Varaklani 99 5 37 0 0 0 0 7 63 12 100Indrani 343 101 81 7 6 0 0 17 13 125 100Osupe 224 44 32 12 9 30 22 48 37 134 100Barkava 188 16 29 6 11 0 1 32 59 54 100Murmastiene 175 17 44 0 0 0 0 21 56 38 100GulbeneDauksti 165 8 67 0 0 0 0 4 33 12 100Total 2,272 379 47 108 13 94 12 233 28 814 100

Notes: 1)Forests include broad-leaved forest, coniferous forest, mixed forest, natural grassland, transitional woodland & scrub,and sparsely vegetated area;2)Wetlands include inland marshes, and peat bogs;3)Water bodies include lakes, and fish ponds;4)Agricultural lands include non-irrigated arable land, pastures, complex cultivation patterns, and land principally occupiedby agriculture with natural vegetation, in addition to urban area of 2 km2.

Sources: Satellite “SPOT” data in 1998, and 1 : 50,000 Topographical Maps

(2) Land use change

In 1935, nearly 60 % and 30 % of Latvian lands were occupied by agricultural area andforests, respectively. Afterward, some agricultural area had been gradually converted intoforestry use. But, during the 1980s this land-use conversion tendency from agriculture toforestry had stopped, and up to now ratios of both the agricultural and forestry lands havecontinued to keep more or less 40 % of the national territory. It means that total lands foragriculture and forestry have been around 80 % of Latvia. At present, a third of theagricultural lands are pastures.

As for LWC, land use patterns have altered mostly in the similar process to the wholecountry, keeping a certain ratio of agricultural lands and forests with some conversionbetween them. The next table summarizes land use patterns of LWC in 1995 and 1998.Area figures by major land use were calculated through computer processing based on theland use maps in Figures 2.5.1 and 2.5.2.

According to these land use data, the total amount of forests, water bodies and agriculturallands has been decreased while wetlands have been added in the last several years.Although these look quite minor land use changes (less than 2 % of the total LWC area),increase of the wetlands implies natural succession from the idle fish ponds and inundatedagricultural/forestry lands.

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Land Use Pattern in LWC in 1995 and 1998 (Unit: km2)

Land use Forests Wetlands Water Bodies Agriculturallands

Total

Year Area % Area % Area % Area % Area %1995 381 47 94 12 101 12 238 29 814 1001998 379 47 108 13 94 12 233 28 814 100Change -2 - +14 - -7 - -5 - 0 -

(3) Relation with socioeconomy in LWC

The near industrial centers such as Valmiera, Jekabpils, Daugvpils and Riga are still a longdistance from LWC so that forest and agricultural lands prevail with small populationdensity and without severe industrial impacts. Agricultural pollution on water and soil hasdecreased during the last years because of the increase of uncultivated area. A part of theexisting forests is forbidden to use for economical activities because they are locatedwithin the restricted areas with objects of scientific resources. Such socioeconomic andgeographical situation has facilitated the preservation of clean and healthy environment,with little urbanization. Therefore, there are no urgent problems connected withenvironmental degradation.

Only 50~60 % of the arable land is now under actual agricultural activities in the fourdistricts surrounding LWC. This high proportion of idle land results partially from the factthat there are large areas of low-quality boggy and marshy soils with peat. The poor soilshad been forced into production before independence and parts have never come backinto agricultural production. The share of acid soils requiring liming has increased, andsome soils also contain insufficient natural phosphorus. The improvement of soil requiresbig investments. In addition, improvement of drainage situation is necessary for somearable lands. For instance of Balvi district with the drained land occupying 66% of the totaldistrict area, ratios of the drained lands in a good technical condition, on average, andunsatisfactory are 68 %, 15% and 17%, respectively.

Such situation of agricultural land use is also because of privatization and the existingeconomic conditions such as high production costs, low purchase prices, and marketshrinkage reflecting the economic depression at the national level after its independence.This results in spread of weeds or overgrowing with shrub. It causes the decline of half-artificial meadow, which is an important biotope for many rare wild species.

There is another possibility of land use change of LWC. The state energy program issupposed to increasingly utilize local resources suitable for heating. It will cause theincrease of peat mining, which probably results in the decrease of the swamp area in LWC.

Thus, land use pattern in and around LWC has been and will be significantly affected bythe national and local socioeconomic conditions. Pollution problem on the localenvironment has become much less at present compared with the Russian times when in-land fishery and agricultural activities were at full scale inputting a lot of harmful chemicaland organic matters. This implies that the local environment will be re-degraded as theprimary industry activities in the former polluting manner are repeated, when the Latvian

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economy gets prosperous in the future. In this sense, today’s economic recession period isa good opportunity to formulate and commence an environment-cum-developmentprogram which can conserve important ecosystem of LWC even during the economicprosperity times.

2.5.2 Constraints on Land Use

(1) Contradictions in land use planning between national and local levels

Preparation of land use plans in local municipalities has begun and is rapidly expanding inLatvia. Land use or spatial planning at the national level is also carried out at the moment.But there arises contradictions in the local-level and national-level land use planning, andthey can not be solved only at local municipal levels. In the future these contradictionsmay cause unforeseen consequences and hinder a harmonious and sustainabledevelopment of LWC as well.

(2) Lack of land use coordination among different sectors

At present the national directions in land use are not clearly formulated. Territories of stateinterests are marked with the aid of sector development plans and programs or separatelegislation acts. Such examples are specially protected nature areas, cultural monuments ofnational significance, minerals of national significance, and free economic zones. Theexisting legislation acts contain no united approach to land use conflicts, so that land use isdirectly or indirectly regulated by a number of different legislation acts which are notconnected with each other. Individual sector development plans or programs do not payenough attention to mutual connection from the spatial point of view, contradictingpotentials and goals of local municipalities including LWC.

(3) Balance of interests of local stakeholders

In contrast with the public lands belonging to the state or local municipalities, change ofprivate land owned by individuals or private sectors will bring sensitive problems to localprivate land owners. It will happen especially when the private lands include areas ofnational significance or of mutual interests such as objectives of infrastructure, objects ofenvironmental protection, and protected nature area. LWC includes tenureship of privateland which is proposed to be utilized in environmentally friendly manners, because ofecological importance there. Therefore, it is essential to take appropriate means to balanceall local stakeholders’ interests for obtaining active agreement and participation of theowners in following an established land use plan, such as substitute land, financialcompensation, and special technical support for conservation technology.

2.5.3 Land Tenure and Privatization

Land tenure is an important socio-economic factor which greatly affects the localresidents’ decision regarding land use, land conservation, and rural development.

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Individuals make their own decisions about how land is to be used. Security of ownershipor the right to use the land and hand it on to children is a strong incentive to husband thesoil, plant trees and so on. Clarification, adjudication and registration of land tenure is acrucial basis for planned land use.

In Latvia, the second turn of land reform is going on, i.e. privatization of land. Accordingto the State Land Service data, the local Land Commissions had renewed land ownershipto 116,300 former owners by December 1997, and public land had been newly sold to106,000 citizens. A total of 158,000 land properties were registered in the Land CadastreCenter. The land use changes in rural areas of Latvia are connected with land reform andformation of new peasantry. The total number of land claims reflects the situation beforeWorld War II. There are more claims in localities where the number of farms was bigger.Out of the total number of farms, 64.8 % are small farms (2 ~ 10 ha) and only 0.2 % offarms are those larger than 100 ha. Small farms are mostly located in the central part ofLatvia such as Riga and Jelgava districts, and in remote regions of Kurzeme and Latgale.

In LWC, agricultural products have been decreased rapidly in association with landprivatization after the independence, and ownership of the fishery area has been oftenclaimed. It has destroyed large scale farms, making the local unemployment rate higher.There is no statistical data on land ownership only for LWC. Ownership components forthe whole LWC are measured as below, using GIS with the land registered maps manuallyprepared by the Offices of Land Registered Service of Madona, Balvi, Gulbene andRezekne districts.

More than 60 % of the whole LWC is owned by the state (57 %) and the townships (7 %),while 36 % belongs to private persons. Many land use conflicts cannot be simply resolvedbecause there are basic differences in goals and vested interests. This is whyimplementation of a land use plan requires the authority of government, which can useincentives such as subsidies, tax incentives, prestigious awards and the like, anddisincentives including regulations, taxes and penalties, to bring about changes in land use.Moreover, in case some private land within LWC is proposed to be conserved, thefollowing measures for smooth land use change should be duly considered:

- Dissemination on importance of the conserved area in LWC to obtainunderstanding and cooperation of the private land owners,

- Conclusion on conservation agreement for the conserved area with the private landowners, and

- Public purchase of the conserved area from, or compensation for the lost incomefrom the conserved area to the private land owners.

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Land Tenure Component within LWC

(Unit: km2)District Township/Town Total Area in LWC State Land Township Land Private Land

Rezekne Gaigalava 94 70 7 17Nagli 133 106 7 20Deksare 21 14 1 6

Balvi Rugaji 50 21 0 29Lazdukalns 80 32 22 26Berzpils 59 20 14 25

Madona Lubana town 2 0 0 2Varaklani 12 3 1 8Indrani 125 86 0 39Osupe 134 67 1 66Barkava 54 23 2 29Murmastiene 38 14 0 24

Gulbene Dauksti 12 12 0 0Total 814 468 55 291

% in Total 100 57 7 36Source: Offices of Land Registered Service of Madona, Balvi, Gulbene and Rezekne Districts, 1999/2000

2.5.4 Present Land Use Plan

The Law on Spatial Development Planning of Latvia was adopted in October 1998.According to this new law, land use planning in Latvia is to be carried out, as such:

1) Local governments of districts, state cities, towns, and townships should prepareland use plans of their administrative areas;

2) Land use plans of higher level should be observed when producing the plans oflower levels; and

3) Land use plans of regional and local municipal levels should be prepared inaccordance with the relevant development plans.

Land use plans for LWC, therefore, has to observe and coordinate with the directions andstrategies mentioned in the existing national-level, regional-level district-level andtownship-level plans. There is no land use plan exclusively for LWC, while land useconcept of Latgale region and land use plans of Osupe and Murmastiene townships havebeen drafted. In LWC, individual regulations on protection and management have beenrecently prepared for 3 out of 11 nature protection areas designated by the state. Theseregulations implicate land use directions with a zoning map attached for the protectionareas from the environmental point of view.

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Table 2.1.1 Four Districts' Budget and Expenditure between 1995 and 1997

(Unit : LVL 1,000)Government Budget (Revenue) Government Expenditure

District/

yearTax

RevenueNon-taxRevenue

Sub-sidies

TargetSubsidies

MutualAccounts

Total PerCapita(LVL)

Financingof

Economy

SocialSecurity

HealthCare

Edu-cation

Culture Admini-stration

Others Total PerCapita(LVL)

Balance

Rezekne 1995 - - - - - - 87 - - - - - - - - 84 -1996 1,112 53 2,633 (total of 3 items) 3,798 90 149 433 785 1,372 211 667 131 3,748 89 50(%) 29 1 69 (total of 3 items) 100 - 4 12 21 37 6 18 3 100 - -

1997 1,178 329 1,589 1,708 120 4,924 117 341 456 129 2,865 209 794 205 4,999 119 -75(%) 24 7 32 35 2 100 - 7 9 3 57 4 16 4 100 - -

Balvi 1995 - - - - - - 96 - - - - - - - - 95 -1996 1,139 86 1,813 (total of 3 items) 3,038 94 338 383 595 919 206 508 93 3,042 94 -4(%) 37 3 60 (total of 3 items) 100 - 11 13 20 30 7 17 3 100 - -

1997 1,143 474 1,255 1,235 103 4,210 134 392 494 102 2,208 235 555 136 4,122 131 88(%) 27 11 30 29 2 100 - 10 12 2 54 6 13 3 100 - -

Madona 1995 - - - - - - 92 - - - - - - - - 88 -1996 2,140 56 2,157 (total of 3 items) 4,353 90 344 492 1,085 1,446 334 644 167 4,512 93 -159(%) 49 1 50 (total of 3 items) 100 - 8 11 24 32 7 14 4 100 - -

1997 2,127 1,261 1,372 1,810 159 6,729 141 718 508 869 3,196 421 738 275 6,725 141 4(%) 32 19 20 27 2 100 - 11 8 13 48 6 11 4 100 - -

Gulbene 1995 - - - - - - 107 - - - - - - - - 108 -1996 1,499 84 1,551 (total of 3 items) 3,134 106 515 415 596 879 250 485 132 3,272 111 -138(%) 48 3 49 (total of 3 items) 100 - 16 13 18 27 8 15 4 100 - -

1997 1,420 661 727 940 76 3,824 131 1,253 164 157 1,939 318 554 209 4,594 157 -770(%) 37 17 19 25 2 100 - 27 4 3 42 7 12 5 100 - -

National 1996 - - - - - - 104 - - - - - - - - 106 -Total 1997 180,230 39,357 32,828 74,590 4,227 331,232 135 66,526 26,536 8,642 145,539 16,329 32,790 39,978 336,340 137 -5,108

(%) 54 12 10 23 1 100 - 20 8 3 43 5 10 12 100 - -Sources : Towns and Civil Parishes in the Administrative Districts of Latvia, Part 1 & 2, CSB, 1998

Administrative Districts and Major Cities of Latvia, CSB, 1998

Table 2.1.2 Local Budget and Expenditure in 1996, Excluding District Budget

(Unit : LVL 1,000)District/ Government Budget (Revenue) Government ExpenditureTown/

TownshipTax

RevenueNon-taxRevenue

Subsidies Total PerCapita(LVL)

Financingof

Economy

SocialSecurity

HealthCare

Edu-cation

Cul-ture

Admini-stration

Others Total PerCapita(LVL)

Balance

Rezekne 984 42 1,213 2,239 53 142 309 4 1,003 182 473 123 2,236 53 3Gaigalava 25 3 36 64 51 3 8 0 32 6 14 0 63 51 1Nagli 18 0 19 37 53 0 1 0 18 4 11 1 35 50 2Deksare 16 0 36 52 52 1 14 0 17 3 15 0 50 50 2Balvi 1,000 80 777 1,857 57 336 228 18 636 136 418 89 1,861 57 -4Rugaji 38 1 69 108 55 3 24 6 44 6 26 0 109 55 -1Lazdukalns 17 1 48 66 50 2 12 4 28 4 16 2 68 51 -2Berzpils 16 0 44 60 48 0 11 2 25 3 15 3 59 47 1Madona 1,880 49 855 2,784 58 325 332 27 1,312 243 493 138 2,870 59 -86Lubana Town 121 4 17 142 65 22 7 0 59 14 26 22 150 68 -8Varaklani 26 0 29 55 51 0 20 1 18 3 9 2 53 49 2Indrani 51 0 30 81 65 2 28 0 26 6 17 3 82 66 -1Osupe 36 2 41 79 48 4 24 1 28 6 16 2 81 49 -2Barkava 45 4 45 94 50 2 10 0 59 9 13 2 95 50 -1Murmastiene 18 8 33 59 56 0 19 0 16 4 20 1 60 57 -1Gulbene 1,314 76 556 1,946 66 501 154 65 727 133 376 129 2,085 70 -139Dauksti 35 1 41 77 54 2 6 4 26 20 16 0 74 52 3Total of 13 462 24 488 974 - 41 184 18 396 88 214 38 979 - -5Townships (%) 47 2 50 100 - 4 19 2 40 9 22 4 100 - -Source : Towns and Civil Parishes in the Administrative Districts of Latvia, Part 1 & 2, CSB, 1998

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Table 2.3.1 Recent Planned and Realized Projects funded by LEPF

Name of Project Fund (LVL) ScheduleRezekne REB in charge1) Reconstruction of sewage water facilities of Stolerovatownship

na 1999 -

2) Stage of clearing facilities reconstruction in Ludza 42,255 completed in1998

3) Garbare river source improvement 1,570 completed in1998

4) Fasterning polder dam of Liela Ludza lake 742 completed in1998

5) Reconstruction project of rain sewerage net, sewageditches, and through flow in Ludza

4,000 not yet started

6) Organization of modern waste management system inAluksne, Balvi, and Gulbene districts

5 % of total cost not yet started

7) Water supply development in Balvi(800+) 30 % of totalcost

1998 -

Madona REB in charge8) Reconstruction of treatment facility in Ranka township 35,000 completed in

19989) Treatment of oil pollution in Aizkraukle concretefactory

na na

10) Treatment facilities of sewage waters in Aizkraukledistrict

na na

11) Protection plan of big dormouse na na12) Plan of Skriveri dendrology park na na13) Children camp 'taka' na na14) Reconstruction of the heating complex in Madona na na15) Ecological education center in Madona na nana: data is not available.Source: Environmental Review of 1998, Rezekne REB, 1999 and Environmental Review of 1998, Madona REB, 1999

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Rezekne District Council

Chairman

ExecutiveDirector

Bookkeeping Dept.

Personnel Dept.

Planning Dept.

Maintenance Dept.

Cultural Dept.

Infrastructure Dept.

Social Issues Dept.

Health Care Dept.

Education Dept.

Sports Dept.

Civil Defense Dept.

Lawyer

Secretary

Registry Office

- Financial Committee- Sports Committee- Development Plan Committee- Health and Social Issues Committee

- Latvian Language Examination Committee- Former Property Issue Committee- Deported People Applications Committee- Latvian Army Soldiers Committee- Administrative Committee- Road Maintenance Committee- Public Transportation Subsidy Committee- Public Transportation Management Committee- Election Committee- Special Issue Commissions

Orphan’s House

Old People’s House

Malta Hospital

Vilani Hospital

Sickness Insurance Fund

Adults in Service Training

Boarding School

Special Boarding School

Source: Rezekne District Council, 1999

Figure 2.1.1 Organizational Structure of the Rezekne District Council Administrative Office

Barkava Township Council

Council Chairman

AdministrationCommittee

Culture andEducationCommittee

Financialand SocialCommittee

LandCommission

InspectionCommission

Leader ofCultureInstitution

Leader ofEducationInstitution

Leader ofOld People’sHouse

Director ofUtilityServices

BoardSecretaryBookkeeperRegisterDept.Land Service

Source: Barkava Township in Madona District, 1999

Figure 2.1.2 Organizational Structure of Barkava Township Council

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Source: Arranged from “Environmental and Sustainable Development Projects in Latvia, MEPRD, 1998”

Energy Project

Ministry InvestmentProjects/Programs:

- Hazardous waste management program- Solid waste management- Hydrometeorological sector projects- Environmental data centre project

Transport Project Environmental Project

State Subsidiesto Municipalities

forEnvironmental

Projects

Figure 2.3.1 Money Flow on PIP

Natural Resources Tax

Extraction charge ofnatural resources

Pollution charge(below the limits)

Penalty charge(exceed the limits)

Product charge(Products harmful for

the environment)

60 % 40 %

Special MunicipalitiesEnvironmental Budget

(SMEB)

Special State EnvironmentalBudget (SSEB)

LatvianEnvironmental

Protection Fund(LEPF)

Municipalities

LatvianEnvironmental

Investment Fund(LEIF)

28 %

EU PHARE

NEFCO

Grants forEnvironmental

Protection

Soft Loans forEnvironmental

Protection

100 %

Source: Rearranged from “Environmental and Sustainable Development Projects in Latvia (MEPRD, 1998)” and “Environmental

Figure 2.3.2 Money Flow on LEPF and LEIF

State Budget Extrabudgetary Fundssuch as LEPF Grant Loan

Public Investment Programme (PIP)

Fishpond

Fish pond

Fishpond

Lake Lubana

Lubana

Daukstu

Indrani

Osupe

Murmastiene

Varaklani

Rugaji

Lazdukalns

Berzpils

Gaigalava

Nagli

Deksares

Barkava

Madona

Balvi

Rezekne

Gulbene

N

0 1 2 3 4 5 km

LEGEND

Urban andindustrial areas

Main road

River

Lake

Study area

Forests

Natural grasslands

Agricultural lands

Uncultivatedagricultural lands

Bogs / marshes


The Study on Environmental Management Planfor Lubana Wetland Complex in the Republic of Latvia

Figure 2.5.1 Land Use in LWC as of 1998

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Fishpond

Fishpond

Fishpond

Lake Lubana

Lubana

Daukstu

Indrani

Osupe

Murmastiene

Varaklani

Rugaji

Lazdukalns

Berzpils

Gaigalava

Nagli

Deksares

Barkava

MadonaBalvi

Rezekne

Gulbene

LEGEND

LEGEND

Urban area andindustrial

Main road

River

Lake

Study area

Forests

Natural Grasslands

Agricultural lands

Uncultivatedagricultural lands

Bogs / marshes

N

0 1 2 3 4 5 km


The Study on Environmental Management Planfor Lubana Wetland Complex in the Republic of Latvia

Figure 2.5.2 Land Use in LWC as of 1995

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Documents

JAPAN INTERNATIONAL COOPERATION AGENCY · JAPAN INTERNATIONAL COOPERATION AGENCY The Study on Environmental Management Plan L oc ati n f S udy Are for Lubana Wetland Complex in the