The National Convention has adopted the following two basic principles in respect of land, sea, air space and natural resources:

(1) The State is the ultimate owner of all the land, and all the natural resources on and under the land, on and beneath the waters, and in the air space of the nation

(2) The State shall promulgate necessary laws to supervise exploitation of State-owned natural resources by economic forces.

Energy is categorized into two groups — oil and natural gas, and electricity.

Regarding the energy, electric power, mineral and forestry sector, some points are stipulated in the Union Legislative List as a detailed basic principle. They are:

(1) Oil, gas and other liquid and solid products considered dangerously inflammable according to Pyidaungsu Law

(2) Union electricity production and distribution

(3) Minerals, mines, safety of mine workers, and environmental conservation and reconstruction

(4) Gems

(5) Pearl

(6) Forest, and

(7) Conservation and protection of wildlife, natural trees and natural areas including the environment.

Region or State Legislative List are:

(1) small electricity production and distribution industry under the supervision of the Region or the State, except big and medium electricity production and distribution under the supervision of the Union

(2) salt and salt products

(3) the cutting and polishing of precious stones in the Region or State

(4) village-owned fuel wood plantations, and

(5) recreation centres, zoological gardens and botanical gardens.

Today is such an important time for democratic transition, so the government has been taking measures through various ways for extensive supply of electricity necessary for national development. It has also been constructing more hydropower stations, coal-fired and diesel-fired power stations, recycled bio-gas power stations, steam-power stations and underground hot spring power stations.

Another encouraging point is that such points as minerals, mines, safety of mine workers, and environmental conservation and reconstruction, gems, pearl, forest, and conservation and protection of wildlife, natural trees and natural areas including the environment are prescribed in the Union Legislative List so that they are in force across the nation. That programme is aimed at conserving natural resources for the prospects for the development of the nation.

The government will have to nurture and conserve all the forest resources and extend them throughout the Union. Accordingly, a principle will be prescribed in the matter of village owned fuel wood plantations so that the Region or State effectively takes preventive measures against depletion of forests and conserves the environment.

Recreation centres, zoological gardens and botanical gardens are to be established at appropriate places for widening the scope of knowledge of the people and public rest and recreation. A point is embodied in the Region or State Legislative List so that if necessary, a law can be enacted regarding recreation centres, zoological gardens and botanical gardens. One of the detailed basic principles the National Convention has adopted says that “The economic system of the State shall be the market oriented economic system”. And there has been adopted a basic principle that “The State shall, as far as it can, assist to acquire technology, investments, machinery and raw materials ect. for industrial development”.

The points embodied in the Union Legislative List regarding the industrial sector are:

(1) Industries to be undertaken by the Union level

(2) Industrial zones

(3) Standardization and specification of manufactured commodities

(4) Science and technology and research on science and technology

(5) Standardization of weights and measures, and

(6) Intellectual properties such as copyrights, patents, trademarks, and industrial designs.

In the Region or State Legislative List, the legislative power is shared regarding:

(1) Industries other than those designated to be undertaken by the Pyidaungsu Level, and

(2) Cottage industries.

In the industrial sector, the State undertakes heavy industries only. So, some assume that the point that medium and small industries should be enumerated in the Region or State Legislative List.

To be brief, the point “Industries other than those designated to be undertaken by the Pyidaungsu Level” is stated in the Region or State Legislative List. And the point “Industries to be undertaken by Union level” is stipulated in the Union Legislative List, so there is no need to classify the industries into heavy, medium and small in the Union Legislative List. Such a matter will have to be under discussion only when respective laws are going to be adopted.

The State engages in the industries that are not within the reach of the people, and encourages the cooperative and private sectors to operate the remaining industries with speed.

Necessary paces are to be made to earn a great deal of income from the agricultural sector that is the fundamental factor for the development of the nation, and then such incomes are to be used as investments in the industrial sector for transition to an industrialized nation.

The government has now privatized many State-owned enterprises and allowed national entrepreneurs to do businesses more freely for the industrial development. And it’s transferred some factories and mills to relevant ministries or reconstituted them so as to beef up production harmoniously.

The government has handed over and rented many factories and mills for the development of the private sector and the industrial sector, and for proper evolution of the market- oriented economic system. The government is paving the way for the industrial development, and at the same time it is adopting basic principles so that it will be able to continue to lay down policies and render assistance regarding the points stipulated in the Union Legislative List.

The Tatmadaw Government that has been discharging a broad range of duties and responsibilities, is laying the foundation to introduce an enduring democratic system in the nation and for ensuring fundamental factors such as the stability of the State, national economic development, and the development of human resources.