East Kalimantan Environmentally Sustainable Development Strategy

90
Exhibit 63
ha of peatland, which is partially degraded and decomposing. Finally, on average fires cover
32,000 ha across forest and peatland per year (EXHIBIT 63). The 1.5 million ha of HPHs contribute
over 8 MtCO2e from forest degradation. The fires, particularly those on peatland, contribute an
additional 15 MtCO2e. Mining causes 5 MtCO2e of emissions, more than 80 percent of which stem
from the associated deforestation to open the mine.
Kutai Barat has the potential to reduce business-as-usual emissions by 34 MtCO2e in
2030. A zero burningpolicy could end the 32,000 ha of fires and abate almost 11 MtCO2e. The
implementation of RIL in the 1.5 million ha of HPH could abate an additional 8.7 MtCO2e. Palm oil
expansion onto 160,000 ha of degraded land, rather than forest land, would yield a reduction of 2.3
MtCO2e.
Kutai Barat’s fires are dispersed on peatland and along the borders of
timber concessions and intact forests
Intact forest
Peat
2003 fires
2004 fires
2005 fires
2006 fires
2007 fires
Fires in 50,000 ha
on edge of intact
forest should be
priority
170,000 ha of fires
in and around
peatlands should be
priority target
DRAFT
* 2005 data
SOURCE: WRI Interactive Atlas of Indonesia Forests
Timber concessions*
Timber plantations*
2003 fires
2004 fires
2005 fires
2006 fires
2007 fires
Over 1 million ha
of land pocketed
with fires
The district has the potential to benefit from additional sources of GDP. As coal mining
continues in the district, the development of CBM would yield more GDP from each concession.
Kutai Barat has the potential to improve its forest sector; more than half of its 150,000 ha of HTI are
currently inactive. These could be brought into production, and increasing productivity of all HTI
could further boost output in this district.
KUTAI KERTANEGARA
Kutai Kertanegara is an economic powerhouse in the province with the greatest GDP
of any district at IDR 28.3 trillion in 2006. The district contains much of the upstream oil and
gas fields in East Kalimantan, and they account for 75 percent of GDP. There is substantial coal
production as well, over 12 million tons in 2008 and the third highest in East Kalimantan. Kutai
Kertanegara’s large natural resources, large amounts of land, and large population distinguishes it
from its neighbors. While most of the large districts in East Kalimantan have low populations, Kutai
Kertanegara’s 530,000 population is second only to Samarinda and greater than Balikpapan. With