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REDD+ Pilot Project Development in Indonesia - Forest Climate ...

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<strong>REDD+</strong> <strong>Pilot</strong> <strong>Project</strong> <strong>Development</strong><br />

<strong>in</strong> <strong>Indonesia</strong><br />

Dewi Rizki, Ahmad Kusworo, Cahyo Nugroho<br />

Fauna & Flora International – <strong>Indonesia</strong> Program<br />

11 October 2011


Objectives<br />

1. Reduce emissions from peat and natural forest<br />

conversion<br />

2. Identify and secure high conservation value forest<br />

3. Secure economic benefits for local communities to<br />

protect high conservation value forest<br />

4. Encourage the private sector and community to<br />

operate to strengthen biodiversity conservation<br />

5. Identify susta<strong>in</strong>able f<strong>in</strong>anc<strong>in</strong>g mechanisms through<br />

REDD<br />

Innovative Conservation S<strong>in</strong>ce 1903


<strong>Project</strong> Overview<br />

Developer Partner Location Size Status<br />

Community<br />

<strong>Forest</strong><br />

Restoration<br />

Ecosystem<br />

HCVA <strong>in</strong> Oil<br />

Palm<br />

FFI<br />

Packard<br />

Foundation,<br />

AusAID, FCO-<br />

UK, USAID, EU<br />

Ketapang,<br />

Kapuas Hulu<br />

(Kalbar)<br />

FFI, LTB Darw<strong>in</strong>, ICAF Merang<strong>in</strong><br />

(Jambi)<br />

PT Wana<br />

Hijau<br />

Nusantara<br />

PT Wana<br />

Hijau<br />

Nusantara<br />

FFI/Macquarie<br />

FFI/Macquarie<br />

Ketapang<br />

(Kalbar)<br />

Kapuas Hulu<br />

(Kalbar)<br />

FFI, KAL, AUSAID, FCO KAL<br />

(Ketapang)<br />

Total 50,000 ha<br />

Hutan<br />

Produksi<br />

20,000 ha Hutan<br />

Produksi<br />

10,300 ha Hutan<br />

Produksi<br />

Konversi<br />

39,000 ha Hutan<br />

Produksi<br />

Konversi<br />

7,000 And APL<br />

Innovative Conservation S<strong>in</strong>ce 1903


Kapuas Hulu <strong>Project</strong> consist of:<br />

Merang<strong>in</strong> <strong>Project</strong> -1 Ecosystem Restoration<br />

8 village <strong>Forest</strong>s total: 20,000 ha Total 39,000 ha<br />

-11 Vilage forests<br />

total 25,000 ha<br />

Ketapang /Kayong Utara <strong>Project</strong><br />

-<br />

consist of:<br />

1 Ecosystem Restoration<br />

total10,300 ha<br />

9 Village forests<br />

total 25,000 ha<br />

1 HCVAs <strong>in</strong> oil palm concession ,<br />

total: 7,000 ha<br />

Innovative Conservation S<strong>in</strong>ce 1903


Community <strong>Forest</strong>s<br />

Innovative Conservation S<strong>in</strong>ce 1903


Kapuas Hulu District, West Kalimantan<br />

Innovative Conservation S<strong>in</strong>ce 1903


Ketapang District, West Kalimantan<br />

Innovative Conservation S<strong>in</strong>ce 1903


Case of Pematang Gadung<br />

• Part of extended corridor<br />

located south of Ketapang.<br />

• 21,000 Hectares.<br />

• Communities motivated for<br />

conservation.<br />

• Multiple drivers of<br />

deforestation (Logg<strong>in</strong>g, oil<br />

palm, m<strong>in</strong><strong>in</strong>g).<br />

• Consists of peat forests.<br />

• Areas of high biodiversity.<br />

Innovative Conservation S<strong>in</strong>ce 1903


Merang<strong>in</strong> District, Jambi<br />

• 8 Villages<br />

• Total: 20,000 ha<br />

• Model: Adat<br />

based Hutan Desa<br />

• Hutan Produksi<br />

• M<strong>in</strong>eral soils<br />

• Buffer for Ker<strong>in</strong>ci<br />

Seblat National<br />

Park (TNKS)<br />

Innovative Conservation S<strong>in</strong>ce 1903


Restoration Ecosystem<br />

Innovative Conservation S<strong>in</strong>ce 1903


Kapuas Hulu, Danau Siawan/Belida<br />

• Proposed project conserves<br />

landscape adjo<strong>in</strong><strong>in</strong>g RAMSAR-listed<br />

Danau Sentarum National Park<br />

• 39,000 ha site identified for ERC<br />

(IUPHHK-RE)<br />

• Currently zoned HPK<br />

• Peat swamp forest, peat depths up<br />

to 17m<br />

• Significant pressure for clearance<br />

and conversion to oil palm<br />

• Significant community and<br />

biodiversity benefits , <strong>in</strong>clud<strong>in</strong>g<br />

preservation of orangutan habitat,<br />

ma<strong>in</strong>tenance of water supplies and<br />

fish species<br />

• Local benefit shar<strong>in</strong>g mechanisms<br />

Innovative Conservation S<strong>in</strong>ce 1903


Progress IUPHHK-RE<br />

• PT WHN has to re-submit the proposal<br />

accord<strong>in</strong>g to P.50/2010<br />

• Await<strong>in</strong>g for Governor’s Recommendation<br />

• Resubmit the Technical Proposal to the MOF<br />

Innovative Conservation S<strong>in</strong>ce 1903


Ketapang, West Kalimantan<br />

• Proposed project surrounds Sungai-Putri<br />

peat forest, West Kalimantan<br />

• 57,000 ha site identified for ERC<br />

(IUPHHK-RE)<br />

• Currently zoned HPK and HP<br />

• Last rema<strong>in</strong><strong>in</strong>g example of mixed peat<br />

swamp <strong>in</strong> the region with significant<br />

biodiversity ~500 Orangutan<br />

• Peat swamp forest, peat depths up to<br />

14.5m recorded<br />

• Area under significant pressure for<br />

clearance<br />

– overlapp<strong>in</strong>g oil palm concession<br />

– Illegal logg<strong>in</strong>g activities<br />

– Subsistence agriculture clearance<br />

• <strong>Project</strong> activities<br />

– Application for ERC over the 10,300<br />

ha<br />

– Negotiat<strong>in</strong>g to acquire logg<strong>in</strong>g<br />

concession over the rema<strong>in</strong><strong>in</strong>g<br />

46,700 ha<br />

• Local benefit shar<strong>in</strong>g mechanisms<br />

Innovative Conservation S<strong>in</strong>ce 1903


Scope of Work:<br />

1. Control illegal logg<strong>in</strong>g and agricultural expansion<br />

2. Fire monitor<strong>in</strong>g and control<br />

3. Restoration of the vegetation – natural regeneration should be possible<br />

4. Monitor<strong>in</strong>g and evaluation<br />

5. Develop alternative livelihoods for the local communities, <strong>in</strong>clud<strong>in</strong>g susta<strong>in</strong>able<br />

forest management<br />

6. Potential for susta<strong>in</strong>able forest management with harvests <strong>in</strong> around 20 years,<br />

creat<strong>in</strong>g local employment<br />

7. Subject to future approval by M<strong>in</strong>istry of <strong>Forest</strong>ry<br />

Innovative Conservation S<strong>in</strong>ce 1903


HCVA <strong>in</strong> Oil Palm<br />

Innovative Conservation S<strong>in</strong>ce 1903


Innovative Conservation S<strong>in</strong>ce 1903


<strong>REDD+</strong> <strong>in</strong> HCVA<br />

with<strong>in</strong> Palm Oil Concession<br />

Goal: Create model to use <strong>REDD+</strong><br />

to f<strong>in</strong>ance conservation of HCV<br />

areas with<strong>in</strong> palm oil concessions.<br />

Analysis:<br />

• HCVF Surveys confirm that parts<br />

of the concession are critical<br />

orangutan habitat.<br />

• Deep peat areas has been<br />

identified<br />

• Draft Carbon Account<strong>in</strong>g Area<br />

(7000 hectares) designed to<br />

preserve critical habitat, deep<br />

peat, and connectivity.<br />

• GHG Emission Reductions from<br />

the Carbon Account<strong>in</strong>g Area<br />

could total 18,000,000 tons CO 2 e.<br />

Innovative Conservation S<strong>in</strong>ce 1903


Overlapp<strong>in</strong>g Concessions<br />

New License to<br />

Bauxite M<strong>in</strong><strong>in</strong>g<br />

Oil palm Concession<br />

License<br />

(MoF released to APL)<br />

BIG THREAT !<br />

Innovative Conservation S<strong>in</strong>ce 1903


M<strong>in</strong><strong>in</strong>g and Access Road Across Peat<br />

HCVA (Peat and<br />

Orangutan<br />

Habitat)<br />

Open pit M<strong>in</strong><strong>in</strong>g<br />

Wide Road Access<br />

Across the Peat<br />

• Involv<strong>in</strong>g<br />

Community to<br />

open the area<br />

and road access<br />

• No AMDAL yet<br />

• In case they<br />

don’t get<br />

license, they will<br />

buy from<br />

“tambang<br />

rakyat”<br />

Innovative Conservation S<strong>in</strong>ce 1903


<strong>REDD+</strong> with<strong>in</strong> Palm Oil: Ongo<strong>in</strong>g<br />

• Create community development<br />

plan.<br />

• Engage communities and ga<strong>in</strong><br />

local support for REDD project.<br />

• Develop REDD revenue shar<strong>in</strong>g<br />

mechanism.<br />

• Ref<strong>in</strong>e carbon account<strong>in</strong>g area<br />

based on ecological, technical and<br />

social assessments.<br />

• Develop project documents under<br />

the Voluntary Carbon Standard<br />

and Community, <strong>Climate</strong>, and<br />

Biodiversity Alliance<br />

• Stop Encroachment to the site<br />

Innovative Conservation S<strong>in</strong>ce 1903


Notes on REDD <strong>in</strong> HCVA Oil Palm<br />

1. Legal Aspect<br />

a. HCVA with<strong>in</strong> concession should be legally strengthen by<br />

District Regulation (from Bupati)<br />

b. HCVA outside concession should be approached by Hutan<br />

Desa/Adat designation<br />

2. Economic and Market Aspect<br />

a. Revenue from <strong>REDD+</strong> on peat cover HCVA protection cost<br />

b. Revenue from <strong>REDD+</strong> couldn’t cover all opportunity cost<br />

of traditional farm<strong>in</strong>g<br />

Innovative Conservation S<strong>in</strong>ce 1903


Challenge and Opportunity<br />

Innovative Conservation S<strong>in</strong>ce 1903


Challenges<br />

• Delay <strong>in</strong> secur<strong>in</strong>g appropriate licens<strong>in</strong>g and<br />

concession<br />

• Address<strong>in</strong>g overlapp<strong>in</strong>g land use claims/plans<br />

• Unclear regulation on REDD and <strong>REDD+</strong><br />

Schemes<br />

Innovative Conservation S<strong>in</strong>ce 1903


Expectation to the Government<br />

• Shorten the process of obta<strong>in</strong><strong>in</strong>g <strong>Forest</strong><br />

Management License<br />

• Clear regulation on REDD and <strong>REDD+</strong> Schemes<br />

Innovative Conservation S<strong>in</strong>ce 1903


Terima Kasih

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