Berau Forest Carbon Program / BFCP

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1 A Hope we can believe in REDD+ Implementation in Berau, Indonesia Berau Forest Carbon Program / BFCP Lessons Learned from the Field Dicky Simorangkir TNC Indonesia

2 TNC Indonesia Forest - Program global ~ largest conservation TNC international Indonesiaprogram MISSION To preserve plants, animals and natural communities that represent the diversity of life on Earth by protecting the lands and waters they need to survive

3 Forest Berau Forest Program Carbon TNC Indonesia Program / BFCP Large sub-national Program Berau Forest Carbon Program Integration across scales and High sectors forest cover; high threat High Landscape biodiversity approach better Strong monitoring, support less from leakage local stakeholders, Support from decentralized particularly local government Strong Could be program a good to example build on/ test case for national implementation

4 BFCP ~ basic concept What is REDD+? A low-carbon development strategy improving management of various land uses / systems integrating economic leading to growth reduced and emission climate change and mitigation ensuring sustainable financing mechanism to support it

5 BFCP ~ goal By 2015, a district-scale forest carbon program that has at least 800,000 hectares under effective management, avoids emissions of at least 10 million tons C02 over 5 years, protects critical watersheds, protects the habitat of 1,500 orangutans, and creates improved economic outcomes and opportunities for communities living near forests Increased human and institutional capacity Model for low carbon development in East Kalimantan, Indonesia, and beyond

6 BFCP ~ program phases Full Implementation (2016 ) Scoping (Apr Dec 08) Political support Situational analysis/drivers Rough program design hypothesis Identification of partners/contractors Development (Jan 09 Dec 10) Baseline scenario and monitoring approach Refine strategies for reducing deforestation Legal issues Stakeholder support Funding sources Business plan Demonstration ( ) Pilot site-based strategies: Improved forest management Forest restoration Oil palm swap Land-use planning, policies, enforcement Monitoring and verification Adaptive management Strategies implemented across Berau Monitoring and verification Expansion to additional districts and provinces

7 BFCP ~ challenges on the ground Total Area ~ 2.2 millions ha 16 Timber concessions 32 Oil palm concessions 27 Mining concessions 3 Timber plantation 7 Protected forests Others 780,000 ha 189,000 ha 185,000 ha 229,000 ha 361,000 ha 456,000 ha

8 BFCP ~ grand strategy R E D D + Reference Emission Level Historic Performance Period 1

9 BFCP ~ grand carbon strategy accounting framework Carbon Credit Transaction R E D D + MR & Verification measurements reporting verification Scoping area strategy standard 1 RL/REL area changes emission factors reference area projection of BAU 6 2 MR & Validation monitoring plan reporting validation & registration 5 4 Buffer & discount estimated leakage estimated permanence 3 Historic Reference Additionality Emission Level costs strategies, effectiveness and co-benefits estimated emission reduction target Performance Period 1

10 Emission(ton CO2-eq) BERAU TOTAL Av. Emission (ton/ha/year) 9.2 Total Emission (ton/year) 20,165,036 PROTECTION FOREST Av. Emission (ton/ha/year) 1.03 Total Emission (ton/year) 2,246,814 PERMANENT FOREST AREA Av. Emission (ton/ha/year) 3.87 Total Emission (ton/year) 8,491,556 NON-PERMANENT FOREST AREA Av. Emission (ton/ha/year) Total Emission (ton/year) 9,791,625 Mean Annual Emission Berau

11 BFCP ~ carbon accounting framework Projected Emission: 1. Historic 2. Adjusted Historic 3. Forward Looking

12 BFCP ~ grand strategy R E D D + Reduced emission from DEFORESTATION: Forested areas outside state forest areas Plantations Better siting, land swaps, HCVF, better management Reference Emission Level Strategy 1 Historic Performance Period 1

13 3% 30% Undisturbed forest 56% Logged-over forest (high density) Logged-over forest (medium density) Other 11% Oil palm concessions cover about 9% of Berau District 44% of the concession areas have undisturbed, high-density, or medium density forest Emission from conversion would be 590 tons per ha

14 BFCP ~ grand strategy R E D D + Production Forest RIL, HCVF, sfm, certification Reduced emission from DEFORESTATION: Forested areas outside state forest areas Reduced emission from FOREST DEGRADATION: Improved management of production forest and plantation forest will reduce forest degradation Plantations Better siting, land swaps, HCVF, better management Reference Emission Level Strategy 1 Strategy 2 Historic Performance Period 1

15 Land Cover Tons C/ha Reduction in C if changed to plantation CO2 Emissions Ha Emissions Undisturbed Forest Logged over Forest ,374 9,642, ,834 31,592,307 Total 74,208 41,234,843 Logging concessions cover about 40% of Berau District Timber Well-managed plantation concessions concessions can store cover 75% about of the 10% carbon of Berau as an undisturbed forest Ca. half of the concession areas have undisturbed, high-density, or Potential medium annual density emission forest reduction 47,000 tons CO2 from a 50,000 Emission ha from forest conversion concession would be 500+ tons per ha

16 BFCP ~ grand strategy R E D D + Production Forest RIL, HCVF, sfm, certification Reduced emission from DEFORESTATION: Forested areas outside state forest areas Reduced emission from FOREST DEGRADATION: Improved management of production forest and plantation forest will reduce forest degradation Protected Areas Better management, sustainable financing, restoration Plantations Better siting, land swaps, HCVF, better management Enhancing CARBON STOCK: Restoration and replanting of degraded areas Reference Emission Level Strategy 1 Strategy 2 Strategy 3 Historic Performance Period 1

17 Protection forests cover about 16% of Berau 32% of protection forest area is degraded Potential for more than 13 million tons CO2 sequestered through enhancement of forest

18 BFCP ~ grand strategy R E D D + Cross-Cutting/ Enabling Conditions: Production Forest RIL, HCVF, sfm, certification Improved spatial planning, Improved governance (capacity & institutional building, policy and legal framework), Sustainable financing Community empowerment and engagement, Improved livelihood Protected Areas Better management, sustainable financing, restoration Plantations Better siting, land swaps, HCVF, better management Reduced emission from DEFORESTATION: Forested areas outside state forest areas Reduced emission from FOREST DEGRADATION: Improved management of production forest and plantation forest will reduce forest degradation Enhancing CARBON STOCK: Restoration and replanting of degraded areas Reference Emission Level Strategy 1 Strategy 2 Strategy 3 Historic Performance Period 1

19 BFCP ~ progress and achievements Launched as 1 of first the 4 Demonstration Activities in Indonesia 5-years strategic plan developed: For the whole program Strategies and approaches for each program component (community, protected areas, production forest) Science and research (data collection, analysis, methodology): District-wide Reference Emission Level (REL) calculated Carbon emission from various management operation Development of MRV (Monitoring, Reporting, Verification) system

20 BFCP ~ progress and achievements Refinement of REDD+ institutional framework at all levels Steering Committee and its Secretariat established, aligned to Provincial and National Frameworks Support to policy development: Advise government in the development of regulations Support the development of national framework and strategy on REDD+, inc. financing mechanism (e.g. LOI Norway) Ongoing development of funding and financing mechanisms including benefit and incentive distribution

21 BFCP ~ progress and achievements Assist stakeholders to improve land/forest management refine district and unit spatial planning: HCVF, KPH timber concessions: RIL, HCVF, SFM, certification protection forest and protected forest: management model, reforestation oil palm: HCVF, better siting, better management practices Community empowerment livelihoods strengthening local capacity and institution Capacity building to key stakeholders

22 BFCP ~ main challenges 1. Lack of understanding and strong misperception 2. Need substantional funding and clear funding mechanism - short-term: Up-front financing is critical - long-term: Mix of public/private sources 3. Requires high commitment from all parties 4. Coordination between sectors and levels of government is difficult 5. High reliance on climate change negotiation 6. Human capacity constraints 7. How to fully engage local community?

23 BFCP ~ community engagement UPPER KELAY Traditional Transitional Modern Villages in the area of forest concessions Long Duhung, Long Pai (Punan Mahakam), Merabu, Lesan Dayak, Long Boy, Long Lanmcin, Long Sului Long Ayan, Villages in the area of oil-palm plantations Merasak, Merapun Sido Bangen Villages in the area of mining concessions Samburakat Tepian Buah, Long Lanuk Bena Baru Villages in the coastal areas Transmigrant villages Mostly traditional Dayak UPPER SEGAH Punan people LOWER A mixture High dependency KELAY of Dayak Punan on forests and Gaai villages families per village LOWER Ambitious Lower SEGAH plans for agricultural dependency All within timber conversion on Various forests; better Dayaktransportation groups, concession COASTAL High areas Shifting transmigrants ethnic AREA diversity agriculture, from Java, and gold conflict, Destruction Fishing mining Lombokinter-group primary communities; of burial economic grounds, mostly competition Semanting Agriculture sago activities recognize palms, importance fruit trees, honey Matarintib important of Diverse trees mangroves by employment: companies plantations, Strong Oil palm village expansion logging, institution bird as nest a Road Heterogeneous-various result openings of previous led conflict to easier collection communities access resolution to rotational divided; many forest agriculture conflicts ethnic groups process from Sulawesi (Bone, Makassar, Toraja, etc) Opportunistic Ineffective community Significant and excessive land development infrastructure Kasai claims program led by oil development palm companies plans Melati Jaya Land Expected Tanjung speculation immigrants Labanan increasing will likely put more pressure on Batu Makarti mangroves

24 BFCP ~ community s situation Capacity is low and institutions at village level are weak Lack of rights limits access to resources and makes relations with other stakeholders conflict-prone Local people often outcompeted by outsiders

25 BFCP ~ community strategy Strong village institutions, decision-making processes, and plans Increased flow of funding to villages from multiple sources Funds used for implementing high-leverage projects Transparency and community monitoring of financial management

26 Terima Kasih

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