Kalimantan Forests and Climate Partnership (KFCP) Design ...

important means to ensure flexibility is to engage IPs with experience in the demonstration area, doing
the same types of activities they will be called upon to carry out in the KFCP. This will facilitate
moving from the Early Implementation Phase into the Implementation Phase with no loss of
momentum and will aid rapid design adjustments.
2.2 INDONESIAN AND AUSTRALIAN GOVERNMENT REDD POLICIES
AND PROGRAMS
Indonesia and Australia are both actively supporting international efforts on REDD and are strong
advocates for a REDD market mechanism to be included in a post-2012 global climate change
outcome. Indonesia has taken a leading role among developing countries in developing a national
framework for REDD, including progress on REDD policy and regulations and the development of a
national carbon accounting system.
The Indonesia-Australia Forest Carbon Partnership was agreed between the President of the
Republic of Indonesia and the Prime Minister of Australia on 13 June 2008. Funding of $40 million has
been committed to the IAFCP to date, including a $10 million package on forests and climate and $30
million for the KFCP (refer Box 2.2). The IAFCP builds on and formalises existing long-term practical
cooperation between Indonesia and Australia on REDD in three key areas:
Policy development and capacity building to support participation in international negotiations
and future carbon markets;
Technical support for Indonesia to develop its national forest carbon accounting and
monitoring system; and
Further development of demonstration activities, and the provision of related enabling
assistance, to trial approaches to reduce emissions from deforestation and forest degradation.
There has been excellent progress under the IAFCP to date, including agreement at the Australia–
Indonesia Ministerial Forum in November 2008 on the Roadmap for Access to International Carbon
Markets, and to develop a second REDD demonstration activity under the IAFCP. Indonesia and
Australia‘s pioneering joint submission on REDD at the UNFCCC Conference of Parties 14 (COP 14)
meeting in Poznan in December 2008 (which included early lessons learned from the KFCP) was well
received by countries as a leading example of developing-developed country cooperation on REDD
(see Attachment 12).
Australia’s $200 million International Forest Carbon Initiative (IFCI) funds the IAFCP. The IFCI
is Australia‘s contribution to the global effort on REDD and aims to demonstrate that REDD can be
part of an equitable and effective post-2012 global climate change outcome. A central element of the
IFCI is taking practical action on REDD through the IAFCP and the Papua New Guinea–Australia
Forest Carbon Partnership. These partnerships demonstrate possible ways to address the technical and
policy hurdles to REDD and provide lessons learned for input to REDD negotiations under the
UNFCCC.
The IFCI works in three key areas:
Increasing international forest carbon monitoring and accounting capacity;
Undertaking practical demonstration activities to show how REDD can be included in a
post-2012 global climate change agreement; and
Supporting international efforts to develop market-based approaches to REDD.
The Australian DCC and AusAID jointly lead the IFCI. See Attachment 3 for latest fact sheet on the
IFCI.
Australia is playing a playing a key role in international climate change forums and in working with
other countries to promote the development of market-based approaches to REDD. In March 2009,
Australia submitted a comprehensive proposal for a future forest carbon market mechanism to the
UNFCCC. The proposal is available at
http://www.climatechange.gov.au/international/publications/Australia_REDD_submission.pdf.
KALIMANTAN FORESTS AND CLIMATE PARTNERSHIP (KFCP) DESIGN DOCUMENT 9