MANGROVE RESTORATION AND COASTAL GREENBELT PROTECTION IN THE EAST COAST OF ACEH AND NORTH SUMATRA PROVINCE, INDONESIA

Transcription

1 MANGROVE RESTORATION AND COASTAL GREENBELT PROTECTION IN THE EAST COAST OF ACEH AND NORTH SUMATRA PROVINCE, INDONESIA Document Prepared By YAGASU & UNIQUE forestry and land use Project Title Mangrove Restoration and Coastal Greenbelt Protection in the East Coast of Aceh and North Sumatra Province, Indonesia Version 4.0 Date of Issue Prepared By Contact YAGASU YAGASU Jalan Sei Kuala No 25 Medan Represented by: Bambang Suprayogi Tel/Fax : (061) YAGASU@indo.net.id 1

2 Table of Contents 1 Project Details Summary Description of the Project Sectoral Scope and Project Type Project Proponent Other Entities Involved in the Project Project Start Date Project Crediting Period Project Scale and Estimated GHG Emission Reductions or Removals (Pending) Description of the Project Activity Project Location Conditions Prior to Project Initiation Compliance with Laws, Statutes and Other Regulatory Frameworks Ownership and Other Programs Right of Use Emissions Trading Programs and Other Binding Limits Other Forms of Environmental Credit The grouped project is not being used to create other environmental credits Participation under Other GHG Programs Projects Rejected by Other GHG Programs Additional Information Relevant to the Project Application of Methodology Title and Reference of Methodology Applicability of Methodology Project Boundary Baseline Scenario Additionality Methodology Deviations Quantification of GHG Emission Reductions and Removals Baseline Emissions Project Emissions Leakage Net GHG Emission Reductions and Removals Monitoring Data and Parameters Available at Validation Data and Parameters Monitored Monitoring Plan Environmental Impact Stakeholder Comments APPENDIX I: INFORMATION on YAGASU

3 1 PROJECT DETAILS 1.1 Summary Description of the Project Goal Statement Targeted outcomes Means of verification Project Goal: Increasing the environmental carrying capacity of coastal ecosystems for carbon sequestration, natural disaster risk reduction and local livelihood improvement Mangrove reforestation contributes to the longterm conservation of coastal green-belt ecosystem, climate change adaptation and sustainability of local community livelihood Rehabilitation of degraded areas and protection of mangrove green-belt are integrated into wetland carbon programs: Over 20 years the project will offset at least 100,000 tco 2 per year. Community development programs on sustainable uses of local natural resources The VCS ARR project activity of this grouped project is restoring mangrove ecosystems in Sumatra, Indonesia contributing to climate change adaptation, biodiversity conservation and GHG emission reductions. The project proponent will implement the project together with an Indonesian NGO, YAGASU and local communities. 3

4 The project region has up to 456,896 of potential hectares for plantation and mangrove restoration. Within the first project instances of this project, the project activities will be carried out over an area of 5,000 hectares. The goal of this project is to increase the environmental carrying capacity of mangrove ecosystems in the east coast of Northern Sumatra for carbon sequestration, natural disaster risk reduction and local livelihood improvement. Ecological improvement, climate change mitigation, economic consideration and local community participation will be the main-stream and the spirit of this proposed project. By helping to ensure that the mangrove and more generally the coastal green-belt are well maintained, the project will support Sumatra s future ecological, social and economic development. Without the project, carbon stocks in the project sites would decrease continuously because of land conversion and illegal logging of mangroves. During the first 3-4 years of mangrove restoration, the project will restore more than 5,000 ha of degraded mangrove ecosystem by planting at least 16.5 million new mangrove trees. This will further facilitate the income generation for the local community groups in developing village business related to silvofishery and other local products. The combination of mangrove reforestation and coastal green belt protection will improve the ecosystem values as a natural disaster risk reduction asset from natural phenomena such as strong sea wave or tsunami, will act as a carbon sink to reduce the greenhouse gas effects of global climate change, and will promote sustainable local economic development. This project will strongly link with past and current projects on mangrove restoration and community development under the program Coastal Carbon Corridor in the East Coast of Northern Sumatra. The NGO YAGASU is implementing this project in the Sumatra region represented by Mr Bambang Suprayogi. YAGASU has been implementing the project on behalf of the French food and beverage company Danone, who is the developer of the project. In July 2011, Danone, together with Credit Agricole, Schneider Electric and CDC Climat, has decided to launch an innovative carbon investment fund, the Livelihoods Fund, which fundamental goal is to create social value for rural communities and contribute to their food security through the restoration of their ecosystems. The Livelihoods Fund provides investors access to biodiversity friendly carbon credits that aid the rural poor through large scale and social impact projects. Danone agreed to transfer all its rights and obligations under the contract signed with YAGASU to the Livelihoods Fund, under the terms and conditions in respect of these contracts which shall remain unchanged. As a result, the Livelihoods Fund replaces Danone as the project developer of Mangrove restoration project. The Livelihoods Fund replaces Danone as project participant in any relevant project documentation and is fully committed to support the further development and implementation of the Mangrove restoration project as initially agreed and planned. YAGASU agrees that it remains fully bound by the terms of the contract it has originally signed with Danone. Ex-ante estimations were done based on the already implemented first project instances comprising of a total area of 5,000 ha. Assuming a conservative annual carbon sequestration rate of 24.9 tco 2 e/ ha which considers above and below ground biomass, dead wood and soil organic carbon (SOC) the project will sequester 124,706 tco 2 e per year. Based on this ex-ante estimation, the project will sequester around 2,494,121 tonnes of tco 2 e over 20 years. 4

5 Total carbon offsets (20 years) 2,494,121 tco 2 -e Annual carbon offsets (tco 2 /year) 124,706 tco 2 -e Carbon sequestration rate (tco 2 /ha/year) 24.9 tco 2 -e 1.2 Sectoral Scope and Project Type The activity implemented corresponds to the VCS sectoral scope 14: Agriculture, Forestry and Other Land Use as Afforestation, Reforestation and Revegetation (ARR) AFOLU project category. The project is a grouped project. As indicated in section of VCS AFOLU requirements, when soil organic carbon pool in project scenario is not deemed below de minimis, all ARR projects shall comply also the WRC requirements (Wetlands Restoration and Conservation). Soil Organic Carbon pool is an important part of the total amount of the carbon sequestration of this project, therefore this project will comply not only ARR requirements but also WRC. It is important to observe, though, that the present project do not consider GHG emissions reductions and therefore do not fall under the description of WRC project in section of AFOLU requirements (version 3.4). 1.3 Project Proponent Organization name Contact person Title Address Livelihoods Fund Mr. Jean-Pierre Rennaud General manager Telephone rue de Helder; 75009; Paris; France jprennaud@livelihoods-venture.com 1.4 Other Entities Involved in the Project Organization name YAGASU Role in the project Project development and implementation Contact person Bambang Suprayogi Title General manager Address Jalan Sei Kuala No 25 Medan 20154, Indonesia Telephone bambang@yagasu.org Organization name UNIQUE forestry and land use GmbH 5

6 Role in the project Contact person Title Carbon project development support Matthias Seebauer AFOLU carbon project development expert Address UNIQUE forestry and land use GmbH Schnewlinstraße Freiburg, Germany Telephone Project Start Date The start data of the project activity is: , which is the date of the first project activity on ground of planting campaign. 1.6 Project Crediting Period Project crediting period: Total numbers of years: 20 years renewable 1.7 Project Scale and Estimated GHG Emission Reductions or Removals (Pending) Project Scale Project X Large project Year Estimated GHG emission reductions or removals (tco 2 e) Buffer contributions by vintage year (13% buffer) (tco 2 e) , ,071 1, ,184 3, ,546 6, ,933 8, ,512 9, ,241 10, ,115 11, ,094 13, ,136 14,708 6

7 ,383 16, ,422 17, ,655 18, ,675 20, ,640 22, ,276 24, ,709 27, ,885 29, ,784 31, ,389 34,111 Total estimated ERs 2,494,121 Total number of crediting years 20 Average annual ERs 124,706 Based on the Non-permanence Risk Assessment of this project, 13% buffer credits are to be deposited in the AFOLU pooled buffer account. 1.8 Description of the Project Activity Mangrove restoration in the project area is undertaken by YAGASU supported by Livelihoods Fund. Activities are implemented in a defined outer boundary in the coastal side of the Sumatra and Aceh provinces as shown below. 7

8 Figure 1. Outer boundary for the YAGASU project in red In this grouped project, the outer boundary delimits an area of approximately 456,896 ha of potential mangrove restoration areas. 5,000 ha have been already implemented as first instances which are eligible for this VCS ARR project activity. The table below shows the timetable for YAGASU plantation and restoration for these first project instances. More information on stratification is provided in section 4.3. Year Planted area (ha) First project instances Total 4, Table 1. YAGASU first project instance plantation areas The assets of the project are based on (a) a strong link with the UNFCCC target on global climate change mitigation and adaptation; (b) no-/very minimum- significant impact on environmental, ecological, political and social issues; (c) an effort towards equity addressing local gender/socioeconomic imbalances; (d) a consistency with economic objectives and strategies of the Government of Indonesia at national, provincial and district level; and (e) a lessons learned approach taking into account past failed projects experiences. YAGASU will be responsible for implementation of this ARR project activity together with the local communities (See Appendix II for more information on YAGASU). It has more than 25 permanent staff working in three offices in Banda Aceh, Medan and Jakarta, with high diversity in their 8

9 respective backgrounds: PhD, Master and Bachelor on environmental science, economic and social science, computer science, finance, forestry, marine and fishery, biology/veterinarian, GIS & land-use plan, and management. The following are the key members of YAGASU: Bambang Suprayogi, proposed as Program Coordinator. He has a 27 year-experience working in conservation and environmental sectors as a government official; a university lecturer, an International NGO Director working for a World Bank project, and a founder of several SMEs in Indonesia. Linggom Sari Hutabarat. Contribute on administration and financial management, public relation, database, procurement and sub-contracts. Meilinda Suriani. After her Master Degree on Environmental Science and 10 years of working experience in NGOs and University, she will manage capacity building, awareness program and local economic development. Rangga Bayu Basuki. With his background on forestry science he will be responsible for managing village land-use and action plan, mangrove restoration and coastal green belt protection. Local Stakeholder Forum Program Coordinator Bambang Suprayogi Technical experts Administration & Finance Linggom Sari Hutabarat Technical team: Mangrove restoration & protection Rangga Bayu Basuki Community development Meilinda Suriani Field Team: Yagasu field officers Village stakeholder liaisons Casuals from the villages University students and volunteers Figure 2. Overall organizational structure of the project The proposed project activities can be divided into four major components: Component A: Capacity building and awareness program 9

10 a) Training local community in the skills necessary to involve in the project activities b) Improving the capacity (through comparative study and workshop) of project staff and government partners on technical and project management, and climate change mitigation issues c) Implementing awareness programs among local communities to increase their appreciation of the long-term value of biodiversity and their understanding of the impact of their activities to the mangrove ecosystems d) Conducting a campaign (workshop and exhibition) at local, provincial and national levels to promote the attraction and value of mangrove ecosystem (biodiversity, watershed value, natural disaster protection, economic value, recreation etc.) e) Establishing Stakeholder Forum for discussing the mangrove management issues between local government, local community and private companies f) Conducting radio / TV talk-show and writing press articles to promote the project Information and educational materials will be delivered to villagers, teachers, school children and wider public. These materials will include maps, booklets, videos, posters, and power point presentation explaining coastal ecosystem management and protection. The project will also organize awareness raising competitions on themes relating to management and conservation of mangrove ecosystems. Component B: Mangrove restoration & coastal green-belt protection a) Conducting village meetings and land-owner consultations b) Mapping the coastal green belt boundaries and the mangrove restoration sites, in order to incorporate key-habitat areas into the ecosystem - so that it can be managed as a single unit c) Providing clear information of each planting site (sign board, map of each planting site, etc.) d) Building the Field Team for Mangrove Patrolling Unit and providing equipment and facilities for their operations e) Facilitating the production of policy guidelines and technical guidelines for Mangrove Patrolling Unit operations : preventing, detecting and controlling illegal activities f) Conducting field survey to identify mangrove spots threatened by illegal logging and land encroachment g) Cooperating with Forestry Department and Local Police if necessary to enforce the law on coastal green belt protection 10

11 h) The project will carry out a mangrove habitat classification and mapping, based on satellite imagery, aerial photos and GIS information. Component C: Community development a) Beneficiary assessment for the development of local Small and Medium Enterprises (SMEs) and local cooperative development b) Identifying the competitive products, assessing the market and the business partners of the local community SMEs c) Providing business incentive (capital) on silvo-fishery, mangrove food-beverage processing, handicraft and other small local business d) Developing market for local products to access local shops and supermarkets and conducting trade promotions at local and national level The project proposes to provide financial incentives to a rural development finance institution in the targeted villages through micro-credits in line with the needs and capacities of the community groups. Weaker groups should not be pushed into loans as long as they are not creditworthy. If they do not possess a minimum amount of assets, they would first need grants in terms of production tools (mangrove food and beverage production and fish processing for a women group) and materials in order to enable them to become micro entrepreneurs. There will be a clear distinction between grants (for example for establishing sustainable silvo-fisheries or rehabilitating mangroves) and loans in order not to confuse the target population and to threaten the credit discipline of the institution s clients. Village business: Activities include assessment of existing beneficiaries on felt-needs, attitudes, capacities and entrepreneurial skills and marketing development. An entrepreneurial skill assessment is vital for sustainable business management. The assessment will be conducted by the YAGASU team with technical assistance from consultants. A profile of the fisheries situation in the villages will derive from this assessment. The efforts will provide an overview of the condition of the village s near shore marine ecosystems, including living marine resources, habitat and environment. The results will be published for public access and use. Component D: Project management, monitoring and evaluation a) Day-to-day project management (administration, financial management, procurement, public relation and project reporting) b) Delivering project operation supports for the field team c) Producing Project Management Manual, policy and technical guidelines d) Conduct regular project monitoring programs based on the scheduled plan e) Carbon monitoring according to standard operating procedures 11

12 With regards to the component B Mangrove restoration & coastal green-belt protection, which represents the carbon relevant component of this holistic project approach, the standardized YAGASU approach includes the following steps: Preliminary observation and planting roadmapn (site selection, species selection, planting design, labor need and field organization) Negotiation with land-owner and agreement signing Land preparation and geo-localization (mapping) Producing mangrove seedlings at the nursery Transporting seedlings to the planting site Planting mangroves based on the agreed density Field-checking and dead trees replacing Maintaining the plantation (weeding, pruning and tending, controling of pest and diseases, and protection from human disturbances) and growth monitoring Species and varieties selected for the proposed ARR project activity The candidate sites promote on-site biodiversity primarily through use of plantation methods supplemented by natural recruitment in beach systems; a minimum of eight indigenous species will normally be present in the final stands. The generic model adopted for this program expects that the original plantation area will be dominated by 90% Rhizophoraceae but that eventually natural regeneration plus diverse infill planting will create a mosaic that will characteristically also include Avicennia and other species. After three years of plantation management efforts, densities should be stems per hectare across all target areas.the main species of mangrove trees used for reforestation program include, Rhizophora mucronata Rhizophora apiculata Rhizophora stylosa Avicennia marina 12

13 Site selection & establishment Site selection To select a good planting site is a critical action since not all bare mudflats in the ponds, river banks, estuarines and coastal areas can be planted with mangroves. Criteria for site selection include: A location between sea level and average spring-tide where the planted seedlings will receive a regular inundated sea water. A stabilized muddy soil with sloping areas that allow tidal water flow back to the sea rather than a flat area with stagnant water. A site cleaned from waste, sea-grass or shrubs. A site protected from direct strong water currents, waves and winds, and also from land erosion. As the survival rate is less in black-soil sediment with high H 2 S gas, this type of soil should be washed using tidal waves to reduce gas odour before planting. Factor R. mucronata R. apiculata R. stylosa Bruguiera Elevation Low - high Medium Medium Medium-high Salinity Low-medium Low-medium Low-medium Low-medium Soil Clay Clay Clay Sandy clay Location Pond & river bank Pond & river bank coastal River bank Factor Cariops Avicenia Soneratia Xylocarpus Elevation High Medium-high Medium-high High Salinity Low High Low Low Soil Sandy Sandy clay Clay Clay Location River & coastal River & coastal River bank River bank Table 2. Soil factors determining the selection of mangrove species. Source: Manual Silvikultur Mangrove untuk Bali dan Lombok Land suitability criteria The following criteria will be assessed in the field for each plating site: 1. Location: River bank, fish/crab/shrimp pond, or coastal area for green-belt purposes 2. Percentage of vegetation cover: Rehabilitation can occur whatever the mangrove vegetation cover: from open area (no natural mangrove forest) to 75% of natural mangrove forest still standing 3. Land status: private land-owner, green-belt area or government land 4. Land elevation: linked to tidal level (low, medium or high); frequency and duration of sea water cover in the planting site 5. Plant species: the selection of mangrove species is related to the land elevation 13

14 6. Sediment: mud capacity, salinity (low, medium or high), ph-naf, Electrical Conductivity and RedOx 7. Soil texture: 4 fractions (clay, muddy or sandy + very fine clay) 8. Soil chemical analysis: CaCO3, heavy metal extract ppm (Pb, Cd, Co, Cr, Ni, Mo, Ag, Sn, Se and As), total potential acidity, macro- and micro-elements (P, K, Na, Ca, Mg, S, Fe, Mn, Cu, Zn, Al and B) 9. Soil physical analysis: permeability, particle density (ruang pori total) and optimum water content 10. Water analysis: COD, BOD, pollution content from the river, oil pollution, fertilizer in the pond, etc. 11. Wind speed: low, medium, strong 12. Sun-heat: low, medium, strong (extreme weather) 13. Presence of pests or competitors: insects, worms, grass or other tree competitors Land preparation and planting procedures 1. Planted area should be free from floating weeds and litter during tides that may damage the seedlings. 2. A water gate needs to be built in the fish/shrimp pond areas to allow free watermovement. 3. Unpleasant soil odour should disappear prior the planting action by washing with tidal water. 4. Preparing the in-between-seedlings planting distance requires planting lines using plastic ropes that should be parallel between them, perpendicularly-oriented to tide direction. The rope is marked with color at regular intervals to measure the planting distance. Both ends of rope are tied to a bamboo or wooden stick. 5. Make a planting hole using a tugal at each marked point identified by the plastic rope 6. Open the polybag carefully to avoid damages on mangrove roots 7. Put the seedlings in the hole and then fill up with mud 8. Remove the empty polybag from the planting site 9. If the planting site has a soft soil composition, it is necessary to use a stake ( ajir ) to prevent the seedling from falling down. Spacing and Plantation density Planting method in the community land for silvo fishery: Before planting, two main physical factors should be considered: the time and frequency of tidal pattern, and the land suitability for each species of mangrove. Planting should be conducted during low tide or with maximum of 10 cm water height, to allow easy planting distance measurement. Additional action may be needed, such as ditch construction, water channel and water gate. The final plant densities will range between trees after three years. Equilibrium density of populations will typically vary from 1500 to 2000 plants per ha. Planting method in the river bank and in coastal areas to restore natural forest: Due to strong currents and waves, planting mangroves in the river banks and in the coastal areas need special treatment: 14

15 bamboo pools may be used to protect seedlings from breaking because of water current a water or wave breaker may be needed to protect the seedlings from strong water current or sea wave by planting young Avicenia spp (fast growing mangrove species) inside a basket in a bamboo pool If the water depth is more than 1 meter during the low tide, it may be necessary to build a land-base plot fenced by bamboo stick or gulutan. Figure 3 Mangrove plantation in fish pond Plantation maintenance Clearing other vegetation: It is important to clear or cut the unnecessary vegetation gulma, or the disturbing vegetation at least twice a year. This action will allow the seedlings to grow without competing with other trees that may cause mortality. The vegetation is not removed from the sites and serves as natural mulch. Selecting trees that should be removed penjarangan : It is necessary to perform selected cutting in order to keep a healthy growth and to maintain an optimal distance for canopy expansion and to build enough space for the growing mature trees. The selected cutting is usually conducted when the plantation is 3 (three) years old. After that, no cutting is done nor required. Replanting Replacing the dead trees with the new seedlings is conducted at least twice a year to allow a stable high density of trees in the field. YAGASU has conducted various scientific studies and produced operational guidelines (SOPs) for its project activities such as a Standard Operation Procedure for planting and growth monitoring in this project. The SOPs are available as supporting documentation. YAGASU has conducted a preliminary study of Climate Community and Biodiversity (CCB) Standard to identify coastal based projects that can simultaneously deliver compelling climate, biodiversity and community benefits. 15

16 The project is not located within a jurisdiction covered by a jurisdictional REDD+ program. 1.9 Project Location The project site stretchs along 497 km from Aceh to Percut, crossing eleven districts of Aceh Besar, Pidie, Bireun, Lhoksemawe, Aceh Utara, Aceh Timur, Langsa, Aceh Tamiang, Langkat, Medan and Deli Serdang. Aceh province (Aceh Coast Core Zone). This area follows the northern tip of Sumatra island and is close to Banda Aceh. A 40 km shoreline was severely damaged by the 2004 Asian Tsunami, with entire communities lost. Prior to the tsunami, the area had been converted to fishpond or other near-shore agriculture. North Sumatra province (Pangkalan Susu Core Zone). As with all the other zones, this area was historically under aquaculture and is now abandoned. It consists of a mosaic of shoreline, interior and island areas. Ongoing pressures include further conversion to oil palm. Priority is being given to rehabilitating Pulau Sembilan, an island system with abandoned ponds that are also proximate to accreting shorelines. North Sumatra province (Paluh Kurau Core Zone). This area consists of numerous potential plots close to the Karang Gading/Langkat Timur Lawat Wildlife Reserve. The entire habitat has been degraded since the 1960s or 1970s; the Reserve itself has only recovered in the past 25 years, but unprotected areas nearby remain under pressure. The area is available for reforestation in interior abandoned ponds and along estuary embankments. North Sumatra province (Percut/Pantai Labu Coastal Core Zone). This area features long accretion zones along about 20 km of beaches and estuaries. Previous attempts at reforestation have been successful, with thick mangrove forests being re-established in under 3 years through plantation methods augmented by natural regeneration. The first project instances will encompass around plantation and restoration sites. The project area is divided into different zones to organize the activities and YAGASU field coordination. The table summarizes the YAGASU first activity instances for each zone. Zone Zone I - Aceh Besar; Banda Aceh Zone II - Aceh Utara; Bireun Pidie; Pidie Jaya Zone III - Aceh Tamiang; Aceh Timur; Langsa Zone IV - Aceh Tamiang; Langkat Zone V - Deli Serdang No of plots Total area (ha) Average size (ha) Grand Total Table 3. First project instances per zone and average plots 16

17 The geographic locations and boundaries of each discrete project activity instance is determined using a GPS and are identified with a unique number and geographic coordinate. The Google Earth Map below shows the YAGASU first instance plantation area Figure 4 Map showing restoration sites in the first project activity instance (red coloured) The details of each parcel of land are enclosed in the supporting documentation where the location of the planting sites in each village including detailed information for each planting plot is shown on Google Earth image (kml file) or shape file. 17

18 Figure 5 Map showing delineated restoration sites in the first project activity instance (red coloured) 1.10 Conditions Prior to Project Initiation Mangrove forest in Indonesia occupy one fourth of mangroves in the world. Unfortunately, the destruction rate in the mangrove swamps is higher than in the tropical forests. Those ecosystems, occurring in the coastal areas of the tropical districts, have been long neglected by the governments. Always seen as useless lands, mangrove swamps have not been protected until the last decade. Yet, these ecosystems play an important part, as they protect the coastal areas from erosion, storms, waves, and, of course, tsunamis. Studies show that the strength of a wave can be reduced by 75% after it crosses 200 meters of mangroves. In Indonesia, deforestation goes quicker than anywhere else in the world. Most loss of mangrove ecosystem is due to anthropogenic causes: land conversion for intensive aquaculture (fish- and shrimp-pond), illegal logging for wood and charcoal, costal construction and settlement, water pollution and tourism activities. All those threats have affected the Indonesian mangroves swamps, where the deforestation rate in the past was very high. More than two million hectares of mangrove ecosystems were destroyed during the last 50 years in Indonesia. Type of wetland. The coastal vegetation types in North Eastern Sumatra Province are mangrove onshore, coral reef and sea grass offshore. The type of wetland in the proposed project is mangrove ecosystems. It is a home for endemic birds and a destination for other rare migratory birds, and a niche for IUCN red-list species, such as Brahminy kite eagle and leaf monkey, flag-species of 18

19 Malacca Straits biodiversity. Many other fish, threatened mammals and bird species also live in the ecosystems. The east coast of North Sumatra gets sediments brought by rivers. This results in alluvial sediment precipitation in the ocean. The coastal profile in Langkat and Labuhan Batu is dominated by muddy shores, while in Deli Serdang and Serdang Bedagai it is dominated by sandy beaches. The tidal pattern in the east coast of North Sumatra is dominantly semi-diurnal with an amplitude of 0,5 2,5 m in Langkat, 3 m in Deli Serdang and Serdang Bedagai. Such hydrodynamic conditions are good for shrimp pond development. Due to the shallow water depth, there are no differences in temperature for the water column. The east coast of North Sumatra is the coast that has the most sediment input from rivers, and the most ocean alluvial sediment precipitation. The coastal waters in North Sumatra are so heavily influenced by turbid rivers. It should be noted that high turbidity is unsuitable for mariculture. Water salinity in the east coast of North Sumatra ranges between ppt, and is influenced by fresh water from rivers while far offshore salinity reaches 30 ppt. Therefore the East Coast of North Sumatra province is potentially used for the development of fisheries, agriculture, forestry, tourism and industry. The potential sustainable yield of marine fishery is approximately tons per year for pelagic fish, tons per year for demersal fish, tons per year for coral fish and tons per year for shrimp. Hence the importance of natural resources in the east coast of the province; they are a source of revenue for the provincial government and income for local communities. Commercial fish species in North Sumatra are: tuna, red snapper, grouper, mackerel, sardinella, spine-foot, scad, fusilier, silver pomfret, greenback mullet, striped pony-fish, kawa-kawa, sharks, indian scad, bigeye fusilier, yellow-back fusilier, anchory and long-fin trevally. Most mangrove ecosystems in the project sites belong to the individual communities and are currently used as shrimp/fish pond, while the river banks and coastline are managed by government as green-belt areas. Key findings provide basic information on past and present deforestation of mangrove ecosystem due to shrimp pond conversion and high charcoal demand. Over the last 30 years, the natural mangrove forest in the project region has lost more than 70 % of its cover to become ponds and bare-land (land that was deforested but not replaced by any crop-cover). Mangrove degradation in the project sites is still occurring due to lack of intensive awareness for local people, lack of law-enforcement by government through regular patrolling by local communities and forest rangers. District Major mangrove uses Major problems Deli Serdang Capture fisheries, cultured fisheries, firewood, timber, conversion to ponds, housing, plantations, paddy fields, Charcoal production. Conversion into shrimp ponds, housing, estate plantation, and paddy fields, Uncontrolled fishing activities; Sedimentation processes in river mouths disturbing water transportation, Lack of human resources for mangrove rehabilitation programs, Lack of demarcation and zoning of mangroves. 19

20 Langkat Capture fisheries, charcoal production, construction materials, ponds, firewood, and Nypa products for Nypa processing industry and roof materials, conversion for housing, paddy fields, and estate plantations. PROJECT DESCRIPTION: VCS Version 3 High degradation rate due to conversion to fish and shrimp ponds, paddy fields, and housing, oil palm plantation and shrimp-ponds, illegal logging for charcoal, illegal harvest in conservation areas, Weak community awareness on the totality of the functions of mangroves, Lack of mangrove demarcation and zoning Lack of actual mangrove rehabilitation programs Services lack control and monitoring means (speed boat, communication equipment). Table 4. Typical conditions and use of mangrove ecosystems prior to the project (based on YAGASU study) Climate: North Sumatra has a tropical climate. The temperature in the coastal area reaches 31.8 C, while the minimum temperature in the highlands is 14.2 C. There are only two seasons: dry season from May to September, and the wet season, while the heavy rains fall between November and March. The average annual rainfall in the east coast of North Sumatra, including its swamplands varies between mm per year. The project sites are influenced by all years Asian s wet monsoon (October to March) and Australia dry monsoon (April to September). Related to the rainfall patterns, the inner margins of the tidal wetlands can dry sufficiently, in contrary extensive flooding of the lowlands occurs during the wet season Landscape and hydrology: The project sites with their hinterland are part of the broad sedimentary plain which comprises eastern coast of Sumatra island. The geomorphology of the area is very young. An average of coastal accretion due to delivery of sediment affected significantly the rate of coast expansion, especially in the river mouth. The accretion is occurring along the coastline as indicated by the presence of extensive mud banks extending up to 2 kilometers to seaward. The width of the mudbanks may be related to the size of the river catchment and also depends on the river carried sediments throughout the year, especially during the rainy season. The river mouths dominate the coastal and wetland environments of project sites, not only in hydrological terms, but also in its influence on the pattern of coastal change. Erosion contributes high sediment loads which are deposited around the river mouths. The erosion of the coastline is most significant at the location of several rivermouths where the mudflats are least extensive and small blackwater estuaries deliver little or no sediment. The locations of coastal accretion and coastal erosion are related to the sediment budget in the coastal waters. The extent to which the rates of sedimentation have increased as a result of deforestation and agricultural activities in the upperland is unknown. Sedimentation from the several rivers are the engine driving the most dynamic geomorphic processess effecting the coastline. Types and condition of mangrove vegetation 20

21 A classification of the vegetation types along the East coast of North Sumatra: Rhizophoraceae communities (mangrove dominated by Rhizophora/Bruguiera) Complex mangrove communities (mixed communities of Avicennia or Rhizophora or Bruguiera or Ceriops or Xylocarpus spp) Transitional to freshwater communities: species group of Sonneratia, Nypa/Acanthus spp., with transitional vegetation of Excoecaria; exists in higher ground Transitional communities to upland vegetation: species group of Excoecaria in ripe soils, together with Lumnitzera/Scyphipora/Nypa/Heritiera spp Cleared mangrove areas with secondary invasion: shrubs of Avicennia with low densities, group of Excoecaria which experiencing regrowth and invasion by Lumnitzera spp Bare sediment: comprises of mudflats, beaches, and sand swales area Shrimp ponds and cleared margins Cleared mangrove forest Furthermore, it is reported that the zonation pattern of mangrove ecosystem in the east coast North Sumatra relies on the physiognomy of the coastline and the sedimentation pattern. Consequently, North Sumatran mangroves were divided into two ecotones: Coastal basin mangroves, which forms wide intertidal area, several kilometers landward and has dendritic drainage pattern. Coastline mangroves, which develops parallel patterns with 2 km thickness. This pattern is commonly observed along the coast of east North Sumatra. In North Sumatra there are 23 species of true mangroves with associate species. Some species of true mangroves are good for charcoal (Rhizophora spp, Bruguiera spp, Ceriops spp, and Heritiera spp). Young Nypa palm leaves are utilized for tobacco paper in Tanjungpura, Langkat District, and for roofs in local construction. The CCB study shows the vegetation of project sites consists of low, medium and high density of natural stand mangrove, bare land and agriculture land. High density mangrove is not really dense, because it only has a basal area of 20 m 2 /ha. Basal area in medium density is 15 m 2 /ha and in low density it is 3 m 2 /ha. Bare land mainly consists of fish ponds left by their owner because of its lower productivity. Carbon stock is therefore very low, around 0.2 tc/ ha. Planting 100% of the surface (3.000 seedling/ha) with mangrove trees is the main objective in this project within this type of land. 21

22 Community information Various jobs are represented in the villages such as farmer, fishermen, working in industry, government service, trader and others. Fishing, managing traditional fish pond and searching shrimps and crabs are main fisheries activities; and there is no special treatment in the pond. Traditional shrimps and crabs collection is carried out based on the seawater level and condition. Planting mangroves in this area provides positive impact to the shrimps and crabs yield. District Sub-district Total areas (km 2 ) Population Density (people/km 2 ) Langkat Pangkalan Susu Tanjung Pura Gebang Babalan Secanggang Besitang Deli Serdang Percut Sei Tuan Pantai Labu Labuhan Deli Hamparan Perak Table 5. Total population living along the project sites (based on YAGASU study) 1.11 Compliance with Laws, Statutes and Other Regulatory Frameworks Indonesia ratified the United Nations Framework Convention on Climate Change (UNFCCC) on August 1994 and signed the national law to ratify Kyoto Protocol on June 23, It means that Indonesia participates in Clean Development Mechanism (CDM). The project design of the project will strongly link with Bali Action Plan and Copenhagen Accord. The Ministry of Environment has designed the CDM implementation on energy and forestry under framework of UN s Land Use, Land Use Change and Forestry (LULUCF). National Strategy Study of Forestry CDM shows the forestry sector is promising regarding generation of carbon benefits. The project also links to the United Nations Convention on Biological Diversity (CBD) 1994 under the national law of UU No. 5/1994, Ramsar Convension under the Keppres No.48/1991 and Indonesia Biodiversity Strategy and Action Plan (IBSAP) The detailed Indonesian Laws and regulations to support the project activities can be seen in the list below. In addition, the project also takes into account Indonesia s Decentralization Law No 32/2004 as far as the arrangements for its implementation are concerned at the provincial, district and village level. To demonstrate that the mangrove restoration project activity is in compliance with all the applicable legal and regulatory requirements, the applicable laws and regulations which are implemented prior to 2011 are scrutinized. The following are the list of such laws which are implemented: Law No. 5 Year 1960, Land Management 22

23 Law No. 9 Year 1985, Fishery Law No. 5 Year 1990, Conservation of Nature Resource and Ecosystem Law No. 9 Year 1990, Tourism Law No. 24 Year 1992, Landuse Planning Law No. 23 Year 1997, Environmental Management Law No. 22 Year 1998, Autonomy of Local Government Law No. 41 Year 1999, Forestry Law No. 27 Year 2007, Management of Coastal Areas and Small Islands 1Government Regulation No. 28 Year 1985, Forest Protection Government Regulation No. 29 Year 1986, Environmental Impact Assessment Government Regulation No. 20 Year 1990, Water Pollution Control Government Regulation No. 35 Year 1991, Rivers Government Regulation No. 45 Year 1992, Autonomy of District Government Government Regulation No. 31 Year 2004, Fishery President Decree No. 32 Year 1990, Management of Protected Areas Regulation of Minister of Forestry No. 37/Menhut-II/2007, Community Forest Management Decree of Minister of Forestry No. 239/Menhut-V/2007, National Mangrove Task Force 2007 In addition, the project implementation is also supported by: Letter of Approval (LOA) for Mangrove Restoration and Coastal Green-belt Protection in the East Coast f Aceh and North Sumatra Province, by the National Committee on CDM of the Republic of Indonesia, dated October 29, 2012 Letter of Recommendation from Minister of Forestry Republic of Indonesia on Mangrove Restoration, dated April 17, 2012 MoUs with provincial governments: (a) Environmental Agency, (b) Forestry Department, and (c) Natural Resource Management Agency MoUs with 121 village governments along the project sites 23

24 MoUs with 174 local community groups who operate on the field project 1.12 Ownership and Other Programs Right of Use The ownership of project sites is 92% private lands owned by the local communities and 8% communal lands that are managed by the village governments. The abandoned private lands usually have arisen after the intensive shrimps collapse. Under MoUs with local community groups and village governments, the local community groups plant the mangroves in community and village lands. In many plots, the mangroves are planted as part of silvo-fishery system (70% mangrove vegetation and 30% open water for fish/shrimp/crab farming. Rights of access to the sequestered carbon: Distribution of all benefits resulting from the mangrove restoration carried through the project for the beneficiary community. The communities have agreed that the plantation mangrove is carried out for the benefit of the local communities who have recognized the benefits generated out of such plantations, including mangroves as a bio-shield, increased biodiversity, to protect embankments against climate change consequences, increased productive activities like fishing, crab production, organic silvo-fishery, mangrove foods, mangrove inks for batik, eco-tourism, etc. and increased new income generating options, with the only exception being the carbon credits generated by project. The communities have agreed that the property rights on the carbon credits generated by this restoration are exclusively allocated to the proponent of the project. Under this agreement, the beneficiary community is committed not to assert any property rights over the carbon credits generated and/or to be generated. The sharing of VCUs between project stakeholders is governed by a series of agreements that extend over all activities in Aceh and North Sumatra. A copy of the community agreement is available as supporting documentation. A Contract Transfer Agreement informs the local communities involved in this project of the shift from Danone to the Livelihoods Fund and of its effects. In that respect, this shift does not affect the rights and obligations of the local communities arising from the above mentioned arrangements they agreed with YAGASU for the purpose of implementing the project Emissions Trading Programs and Other Binding Limits As a developing nation, the country of Indonesia has no binding limits on GHG emissions or compliance requirements under international multilateral agreements. GHG removals generated by this project will not be used for compliance with binding limits to GHG emissions since such limits are not enforced in Indonesia. There are no emissions trading programs in place in the country. Consequently, this project will only generate net GHG emission reductions on an additional and voluntary basis. 24

25 Other Forms of Environmental Credit PROJECT DESCRIPTION: VCS Version 3 The grouped project is not being used to create other environmental credits Participation under Other GHG Programs This grouped project is not participating under other GHG programs Projects Rejected by Other GHG Programs The project has not been rejected by any other GHG programs Additional Information Relevant to the Project Eligibility Criteria Grouped project requirements: The eligibility criteria for inclusion of new project activity instances are demonstrated in accordance with the paragraph of the VCS Standard (Version 3.4). Any new instance will meet the following criteria: 1) VCS: Meet the applicability conditions set out in the methodology applied to the project All the new instances will comply with the applicability conditions of the methodology AR- ACM0014: Afforestation and reforestation of degraded mangrove habitats, version 03.0: a) The land subject to the project activity is degraded mangrove habitat. The planting areas of this ARR project activity are sited in a coastal location where the population pressure increased the degradation of the mangroves since several decades. For the selection of the project areas, mostly abandoned fish ponds were selected as well as degraded coastal / river mudflats. Average crown cover of these areas is lower than 2%. All new instances will be within the outer boundary of this grouped project which is subject to the definition of the degraded mangrove habitats. b) More than 90 per cent of the project area is planted with mangrove species. If more than 10 per cent of the project area is planted with non-mangrove species then the project activity does not lead to alteration of hydrology of the project area and hydrology of connected up-gradient and down-gradient wetland area. Only mangrove species ware selected and will be selected for all future project instances. c) Soil disturbance attributable to the ARR project activity does not cover more than 10 per cent of area. As for the first instances, the plantation techniques for all future instances in this project will not involve soil disturbance, mangrove seedlings are planted by direct planting of seeds or planting of nursery-raised seedlings. 25

26 2) Use technologies or measures similar to the specified in this project description for the first instance and apply them in the same manner. New instances will consist of wetlands and abandoned fish ponds restoration through planting and/or assisting natural regeneration using native species and involving local communities; 3) Be subject to the baseline scenario of this project description for the specified project activity and geographic area, and therefore be established on lands where baseline scenario is degraded wetlands. The whole geographic project area within which the project instances shall be located is subject to the baseline scenario determined in this project description. All project instances as well future instances are classified as fish ponds and partially river mudflats.. 4) Have characteristics with respect to additionality that are consistent with that of the first instances, facing similar barriers. The baseline scenario and the demonstration of additionality are determined for the entirety of the geographic project area within which project activity instances are developed. All new areas shall present similar barriers than the first instance project, namely investment barriers, other than economic/financial barriers; technological barriers; and barriers due to social conditions. The whole project occurs within the outer boundary delimited, and only fish ponds or very degraded zones are selected for the planting activities. Therefore, all legal characteristics and protections of the areas will be equal. The first project instances have been selected to be representative for the entire project region. 5) Have the project boundary consistent with the physical/geographical boundary of the grouped project. All new instances will be developed and implemented within the geographic delineation of the YAGASU outer project boundary. In future monitoring reports accuracy information about the technologies or measures applied as well as the geographic information of the new project areas will be included. All polygons will be georeferenced and compiled in a GIS based database system. 6) Have documentary evidence of the starting date; 7) Be included in the monitoring report with sufficient technical, financial, geographic and other relevant information to demonstrate compliance with the applicable set of eligibility criteria and enable sampling by the validation/verification body. VCS WRC project requirements: VCS Wetlands Restoration and Conservation (WRC) project requirements shall also be met according to section of VCS AFOLU requirements: 1) VCS: There is no hydrological connectivity to adjacent (non-project areas) or 2) VCS: It is not possible for hydrologically connected areas to have a negative impact on the hydrology within the project area that could cause a significant increase in GHG emissions, or 26

27 3) VCS: Where projects are hydrologically connected to adjacent areas that may have a negative impact on the hydrology within the project area, projects shall demonstrate that such impacts will not result in a significant increase in GHG emissions, as follows: a) Peatland projects shall establish a buffer zone to ensure that potential negative impacts to the hydrology in the project area, such as causing the water table in the project area to drop or otherwise negatively impacting the hydrology, are mitigated. The buffer zone may be inside or outside the geographic boundary of the project area. Where it is outside of the project area, the buffer zone shall be adjacent to the project geographic boundary and binding water management agreements with land holders in the buffer zone shall be in place by the time of the first verification. The size and shape of the buffer zone shall be sufficient to avoid such negative impacts on the project area, which may be demonstrated through peer reviewed literature or expert judgment. b) All other wetland projects shall establish a buffer zone as set out in Section 3.4.3(3)(a) above, or implement project activities or establish a mitigation plan to ensure that impacts to the hydrology (eg, interrupted water or sediment supply) do not result in a significant increase in GHG emissions. Emphasis shall be placed on hydrological connectivity that is immediately adjacent to the project area. Coastal wetlands shall consider hydrological connectivity originating from adjacent lands and shall follow the applied methodology with respect to oceanic impacts. Where a project activity to mitigate impacts from hydrological connectivity causes an increase in GHG emissions in the project area or buffer zone, such emissions shall be included in GHG accounting where above de minimis (as set out in Section 4.3.3) Requirement has been created specifically to avoid potential impacts on GHG emissions. This is not a project claiming for GHG emission reductions and is not a typical WRC project as described in section (is not a RWE.a project restoring or managing water table depth, nor a RWE. project avoiding peat fires, and nor a CIW project). The hydrology within the region of this grouped project is that the coastal area is influenced by tidal wetlands of marine and estuarine alluvium which extend from the west coast to the east coast of Sumatra. The coast along the project site with its hinterland is part of the broad sedimentary plain which comprises Eastern Coast of Sumatra Island. Coastal accretion, due to delivery of sediment, affects significantly the rate of coast expansion especially in the river mouth. The accretion occurs along the coastline as indicated by the presence of extensive mud banks extending up to 2 kilometres to seaward. The width of the mud banks may be related to the size of the river catchments and also depends on the river-carried sediments throughout the year, especially during the rain seasons. The Belawan river and the Deli river dominate the coastal and wetland environments of Sumatra coasts not only in hydrological terms but also in its influence on the pattern of coastal change 1. 1 See also Inception Project Information provided to the national DNA. Available as supporting documentation. 27

28 As this mangrove restoration project is scattered in a large number of smaller abandoned fish ponds, there is no continuous connectivity with adjacent areas. The average of each plot is very small, between 1.94 and 5.81 ha depending on the project zone. This scattered nature of smallsized project parcels will not have significant changes on GHG emissions due to potential impacts in hydrology and potential impacts will not contribute to the draining of flooded areas or to the flooding of drained areas. In total in the first project instance, 5,000 ha have been planted and the potential project region is approximately 456,896 ha of potential mangrove restoration areas. This means that only 1% of the potential mangrove areas have been modified. The interior plantations on abandoned fishponds might require some minor alteration in pond-hydrology (mainly through repairing and operating sluices) and will generally be operated as a mixed system of mangrove and natural fishery harvest (often crab capture). The entire area is inter-tidal, but often protected from surges. Plantation methods involve leaving creeks and passages open within the plantation to improve access for harvesting sustainable products. Leakage Management VCS AFOLU indicates that Activities to mitigate ecological leakage in WRC projects may include the establishment of a leakage management zone inside the project boundary and section 3.4 considers ecological leakage in WRC projects as: Ecological leakage occurs in WRC projects where a project activity causes changes in GHG emissions or fluxes of GHG emissions from ecosystems that are hydrologically connected to the project area. Additional information about leakage is provided in the relevant sections. Commercially Sensitive Information None. Further Information Additional information is provided in the relevant sections and as supporting documentation 2 APPLICATION OF METHODOLOGY 2.1 Title and Reference of Methodology AR-AM0014: Afforestation and reforestation of degraded mangrove habitats (Version ). ARR methodological tools: Combined tool to identify the baseline scenario and demonstrate additionality in A/R CDM project activities (Version 01)

29 Estimation of non-co2 GHG emissions resulting from burning of biomass attributable to an A/R CDM project activity (Version 04.0) Estimation of carbon stocks and change in carbon stocks in dead wood and litter in A/R CDM project activities (Version 03.1) Estimation of carbon stocks and change in carbon stocks of trees and shrubs in A/R CDM project activities (Version 04.2) Estimation of the increase in GHG emissions attributable to displacement of pre-project agricultural activities in A/R CDM project activity (Version 02.0) Other methodological ARR CDM tools which are applied include, Demonstrating appropriateness of allometric equations for estimation of aboveground tree biomass in ARR CDM project activities (Version ) Calculation of the number of sample plots for measurements within ARR CDM project activities (Version 2.1.0) 2.2 Applicability of Methodology Applicability conditions of the methodology AR-AM0014: Afforestation and reforestation of degraded mangrove habitats (Version 03.0) a) The land subject to the project activity is degraded mangrove habitat The selected approved afforestation and reforestation baseline and monitoring methodology AR- AM0014 Afforestation and reforestation of degraded mangrove habitats (Version 03.0) defines degraded mangrove habitat as wetlands 3 where, in their natural state, mangrove vegetation can grow and have soil or sediment that is usually water-logged with water that is saline or brackish, and that were subjected to impacts resulting in decrease of forest cover below that reported by the host Party to the CDM Executive Board according to paragraph 8 of annex to Decision 5/CMP.1 (A/R CDM modalities and procedures). According to the 2003 IPCC GPG LULUCF guidance wetland category includes land that is covered or saturated by water for all or part of the year (e.g., peatland) and that does not fall into the forest land, cropland, grassland or settlements categories. The fish ponds and mudflats which will be planted or restored with mangroves are all inundated twice per day, during high tide and are all influenced by ambient salinity; therefore all areas fall under the wetland category. All project areas are assessed as part of the standardized site selection procedure (see section 1.8). b) More than 90 per cent of the project area is planted with mangrove species. If more than 10 per cent of the project area is planted with non-mangrove species then the project activity 3 Wetlands as defined in Annex A: Glossary of the IPCC GPG LULUCF

30 does not lead to alteration of hydrology of the project area and hydrology of connected upgradient and down-gradient wetland area; 100% of the project area is planted with site specific, multi-species mangrove communities according to the YAGASU SOPs where the potential mangrove community in the project area is multi-species and/or zoned, and planting should, as far as possible, be designed to re-establish the multi-species composition and/or zonation, taking into account the ecological requirements of each species concerned. Project activities will not lead to any changes in hydrology of land subjected to reforestation. The only project activity/measure is planting. Therefore, there will be no flooding, digging, drainage, ditch blocking or any other direct activity involving the alteration of the hydrology. c) Soil disturbance attributable to the A/R clean development mechanism (CDM) project activity does not cover more than 10 per cent of area. There will not be any aerial site preparation in this reforestation project activity. The plantation will be realized manually and will consist in preparing a small hole for the roots of the seedling, respecting the complete structure of the soil. Applicability conditions of the tool: Combined tool to identify the baseline scenario and demonstrate additionality in A/R CDM project activities (Version 01) a) Forestation of the land 4 within the proposed project boundary performed with or without being registered as the ARR CDM project activity shall not lead to violation of any applicable law even if the law is not enforced. This grouped project is in compliance with applicable legal and regulatory requirements as outlined in section b) This tool is not applicable to small - scale afforestation and reforestation project activities. "Small-scale afforestation and reforestation project activities under the CDM" are those that are expected to result in net anthropogenic greenhouse gas removals by sinks of less than 16 kilotonnes of CO2 per year and are developed or implemented by low-income communities and individuals as determined by the host Party (9/CMP.3). This grouped project will generate more than 16 kilotonnes of CO 2 per year, so it is not a smallscale afforestation and reforestation project. Applicability conditions of the tool: Estimation of non-co 2 GHG emissions resulting from burning of biomass attributable to an A/R CDM project activity (Version 04.0) 4 In the context of this tool, forestation is used for the identification of possible land use scenarios that go beyond afforestation and reforestation as defined in the Marrakech Accords and includes the any establishment of forest through natural or artificial means. 30

31 a) The tool is applicable to all occurrence of fire within the project boundary. b) Non-CO2 GHG emissions resulting from any occurrence of fire within the project boundary shall be accounted for each incidence of fire which affects an area greater than the minimum threshold area reported by the host Party for the purpose of defining forest, provided that the accumulated area affected by such fires in a given year is 5% of the project area. Burning biomass is very unlikely, all the areas are abandoned fish ponds or river/coastal mudflats and no fire occurs. Therefore this tool does not apply. Applicability conditions of the tool: Estimation of carbon stocks and change in carbon stocks in dead wood and litter in A/R CDM project activities (Version 03.1) This tool has no internal applicability conditions. Applicability conditions of the tool: Estimation of carbon stocks and change in carbon stocks of trees and shrubs in A/R CDM project activities (Version 04.2) This tool has no internal applicability conditions. Applicability conditions of the tool: Estimation of the increase in GHG emissions attributable to displacement of pre-project agricultural activities in A/R CDM project activity (Version 02.0) a) This tool is not applicable if the displacement of agricultural activities is expected to cause, directly or indirectly, any drainage of wetlands or peat lands. Nearly all areas of the project are abandoned fish ponds which, under the help of the project will be rehabilitated as silvo-fishery system restoring fish/ shrimp farming opportunities as well as additional benefits from mangroves. The communities agreed with the project objectives and activities by signing a legally binding MoU and are interested in the benefits derived from the combination of both activities. The project will not apply any activity that implies any drainage of wetlands or peat lands directly or indirectly. Applicability conditions of the tool: Demonstrating appropriateness of allometric equations for estimation of aboveground tree biomass in A/R CDM project activities (Version ) This tool has no internal applicability conditions 31

32 Applicability conditions of the tool: Calculation of the number of sample plots for measurements within A/R CDM project activities (Version 2.1.0) This tool has no internal applicability conditions VCS eligibility requirements VCS AFOLU Requirements: Activities that convert native ecosystems to generate GHG credits are not eligible under the VCS Program. Evidence shall be provided in the project description that any ARR, ALM, WRC or ACoGS project areas were not cleared of native ecosystems to create GHG credits (e.g., evidence indicating that clearing occurred due to natural disasters such as hurricanes or floods). Such proof is not required where such clearing or conversion took place at least 10 years prior to the proposed project start date The YAGASU project activities are designed to assist the communities to establish new plantations within abandoned fish ponds and restoring/ regenerating areas with very scattered existing mangroves in coastal and river mudflat areas which were created by the local system dynamics. Consequently, no existing mangrove vegetation is cleared within this project. VCS AFOLU Requirements: Activities that drain native ecosystems or degrade hydrological functions to generate GHG credits are not eligible under the VCS Program. Evidence shall be provided in the project description that any AFOLU project area was not drained or converted to create GHG credits. Being a restoration project of degraded mangrove areas (fishponds and river mudflats), the project areas were not drained or converted to create GHG credits. Since the beginning of their activities, YAGASU invests a lot of effort in the scientific understanding of hydrological environment, to ensure the identification of sustainable and persistent mangrove restoration areas (see detailed description in section 1.8). After selection of the sites according to the YAGASU SOPs, no land preparation is generally required. Some areas may have abandoned residue from abandoned traditional fishing structures or lines; these remnants will be removed. No disturbance of substrate is done during preparation. The SOPs site identification and plantation guidance is available as supporting documentation. 2.3 Project Boundary The project boundaries of the first project activity instances are described in section 1.9. Kml files and shape files of all project parcels are available. A full project inventory of all parcels is available as supporting documentation. Selection of carbon pools and greenhouse gases accounted: 32

33 Carbon pool Whether selected Justification/Explanation Above-ground biomass Yes This is the major carbon pool subjected to project activity Below-ground biomass Yes Carbon stock in this pool is expected to increase due to the implementation of the project activity Dead wood Yes Carbon stock in these pools may increase due to implementation of the project activity Litter No Litter biomass is subjected to high turnover and displacement due to tidal currents. It is a conservative choice to exclude the pool from accounting because the project activity will not decrease the rate of accumulation of litter. Soil organic carbon Yes Carbon stock in these pools may increase due to implementation of the project activity Table 6 Carbon pools selected for GHG net emissions reductions in the baseline and project Sources Gas Whether Selected Justification/Explanation Burning of woody biomass CO 2 No CO 2 emissions due to burning of biomass are accounted as a change in carbon stock CH 4 Yes Burning of woody biomass for the purpose of site preparation, or as part of forest management, is allowed under this methodology N 2 O Yes Burning of woody biomass for the purpose of site preparation, or as part of forest management, is allowed under this methodology Table 7 Project emissions sources accounted 2.4 Baseline Scenario To identify the baseline scenario and demonstrate additionality of this project activity the Combined tool to identify the baseline scenario and demonstrate additionality in A/R CDM project activities (Version 01) is applied. Applicability The afforestation project does not lead to violation of any applicable law even if the law is not enforced. This is evidenced by the Letter of Approval (loa) provided by Host Country. Procedure 33

34 STEP 0. Preliminary screening based on the starting date of the A/R activity A contractual agreement between YAGASU and the Livelihoods Fund became effective in June As part of this agreement Livelihoods is funding the planting and maintenance of the mangrove restoration activity. In return, the Fund is entitled to all VCUs relating to the reduction in greenhouse gas emissions generated by the ARR activity. Therefore, the incentive from the planned sale of VCUs (partly as up-front funding) was seriously considered in the decision to proceed with the project activity. The project start date marks the starting point of mangrove afforestation and restoration activities in the field. STEP 1. Identification of alternative land use scenarios to the proposed A/R CDM project activity Sub-step 1a. Identification of alternative land use scenarios to the proposed project activity The following alternatives to the project activity will be evaluated: 1. Continuation of the pre-project land use 2. Natural mangrove regeneration of the land within the project boundary 3. Mangrove afforestation of the land within the project boundary performed without being registered as Livelihoods VCS grouped project activity Sub-step 1b. Consistency of credible alternative land use scenarios with enforced mandatory applicable laws and regulations To demonstrate that identified alternatives to the project activity are in compliance with all the applicable legal and regulatory requirements, the applicable laws and regulations which are implemented prior to 2011 are scrutinized. The following are the list of such laws which are implemented prior to Law No. 5 Year 1960, Land Management Law No. 9 Year 1985, Fishery Law No. 5 Year 1990, Conservation of Nature Resource and Ecosystem Law No. 9 Year 1990, Tourism Law No. 24 Year 1992, Landuse Planning Law No. 23 Year 1997, Environmental Management Law No. 22 Year 1998, Autonomy of Local Government Law No. 41 Year 1999, Forestry 34

35 Law No. 27 Year 2007, Management of Coastal Areas and Small Islands Government Regulation No. 28 Year 1985, Forest Protection Government Regulation No. 29 Year 1986, Environmental Impact Assessment Government Regulation No. 20 Year 1990, Water Pollution Control Government Regulation No. 35 Year 1991, Rivers Government Regulation No. 45 Year 1992, Autonomy of District Government Government Regulation No. 31 Year 2004, Fishery President Decree No. 32 Year 1990, Management of Protected Areas Regulation of Minister of Forestry No. 37/Menhut-II/2007, Community Forest Management Decree of Minister of Forestry No. 239/Menhut-V/2007, National Mangrove Task Force 2007 All the above regulatory framework is taken into consideration while evaluating the alternatives to the project activity and the following alternatives listed are in compliance with the applicable laws and regulations. STEP 2. Barrier analysis Sub-step 2a. Identification of barriers that would prevent the implementation of at least one alternative land use scenarios The barriers included are: Investment barriers, other than insufficient financial returns Institutional barriers, Technological barriers; Barriers related to local tradition; Barriers due to prevailing practice; Barriers due to local ecological conditions, Barriers due to social conditions and Barriers relating to land tenure, ownership, inheritance, and property rights. 35

36 The table below displays the barrier analysis matrix which identifies alternatives and barriers. A more complete discussion of the barriers follows Table 8 Barrier analysis matrix Alternative land use scenarios Investment Institutional Technological Local tradition Prevailing practice Ecological conditions Social conditions Land tenure Continuation of the pre-project land use Natural mangrove regeneration of the land within the project boundary X Mangrove afforestation of the land within the project boundary performed without being registered as Livelihoods VCS grouped project activity X X X Sub-step 2b. Elimination of land use scenarios that are prevented by the identified barriers Scenario 1: Continuation of the pre-project land use The land subject to the project activity is degraded mangrove habitat. The planting areas of this ARR project activity are sited in a coastal location where the population pressure and short-term economic incentive of aquaculture increased the degradation of the mangroves since several decades. For the selection of the project areas, mostly abandoned fish ponds were selected as well as degraded coastal / river mudflats. Since the project is implemented as a grouped project stretching along a coastal corridor of around 500 km, a regional land classification approach is followed which is also in line with the CDM EB approved tool Tool for the identification of degraded or degrading lands for consideration in implementing CDM A/R project activities 5. This means that pre-project land use - further degradation of mangroves is classified at the regional level and even if most of the project sites within the project are already abandoned fish-ponds without or only scattered mangrove trees the regional trend of this scenario is for degrading land quality as demonstrated below. Plantings usually occur on un-vegetated ponds in front of existing mangroves, along beach fronts, or along narrow fringes of mangroves bordering such ponds constructed in former mangroves and therefore will help to protect any exciting mangroves from further degradation by creating larger mangrove corridors

37 The status and reason for abandoned fish ponds mainly due to the fact that former mangrove areas are generally not ideal for intensive or semi-intensive shrimp farming, because the soils that typically support mangroves are highly organic and/or potentially acidic. Poor water and soil quality often lead to ponds being left idle and in some cases to the abandonment of entire farms (Stevenson and Burbridge, 1997, Stevenson et al. 1999). Ponds may be left idle for various reasons, but declining environmental quality leading to increased incidence of shrimp disease is commonly quoted as a cause of pond failure 6. Key findings of a study conducted by Yagasu provide basic information on past and present deforestation of mangrove ecosystem due to shrimp pond conversion and high charcoal demand. The land cover change analysis resulted in the following mangrove ecosystem areas and changes for the North Sumatra project region (refer also to the maps in Appendix II): Year ,762 ha Year ,152 ha; -37% Year ,458 ha; -56% Over this period of 20 years, the natural mangrove forest in this project region has lost more than 70% of its cover to become ponds and bare-land (land that was deforested but not replaced by any crop-cover). And mangrove degradation in the vicinity of the project sites is still occurring until now due to lack of intensive awareness for local people, lack of law-enforcement by government through regular patrolling by local communities and forest rangers. Deforestation of mangroves occurred also before this assessment period. The IUCN project due diligence study (available as supporting documentation) reports that by 1990 only 2.5 million hectares of an original 4.2 million hectares of mangrove forests remained in Indonesia. Most of the damage was caused by conversion to aquaculture, In Aceh and North Sumatra, for example, the high of conversion in the 1960s to 1980s focused on pond aquaculture. Many of the remaining systems were just small bands, with very few intact contiguous mangrove ecosystems remaining on the eastern coast of Sumatra. While public policies have encouraged protection of mangroves, most laws were oriented to protecting narrow greenbelts (as opposed to entire ecosystems), which in turn were intended to protect adjacent aquaculture operations. It can be concluded that the current pre-project land use scenario would not be prevented by barrier and without the project degraded and abandoned fish ponds would remain bare land regional mangrove contributing to further fragmentation and degradation of mangroves and deforestation of the mangroves mainly due to land conversion for intensive aquaculture (fish- and shrimp-pond), illegal logging for wood and charcoal, costal construction and settlement, water pollution and tourism activities. Scenario 2: Natural mangrove regeneration of the land within the project boundary 6 See page

38 Ecological barriers: The continued use and conversion of mangrove habitats into other land uses, predominantly aquaculture ponds within the project region will further fragment existing mangrove remnants which will decrease significantly the likelihood of natural reclamation of such ponds. This will be aggravated by the increase of population pressure on land and occupation of new area for settlements, farming and fishery activities which occurs without proper land use planning. Further, in some cases current abandoned ponds may be left as fallow to allow the soil and water quality conditions to recover to reclaim as fish pond. In any case natural regeneration would only occur if the natural hydrology is restored through, say a natural or storm caused breach in a dike, and otherwise ponds may remain unproductive for decades. 7.According to Field (1998), if the degraded site is a disused shrimp pond there may be accelerated soil erosion due to increased surface run-off, a decrease in soil water storage capacity, a reduction in the biodiversity of soil fauna, a depletion of soil organic matter, the presence of acid sulphate soils and the addition of toxic chemicals 8. Scenario 3: Mangrove afforestation of the land within the project boundary performed without being registered as Livelihoods VCS grouped project activity Investment barriers, other than economic/financial barriers: The basic rational behind the project is twofold: wetland restoration of degraded wetlands and to provide an economic stimulus in a depressed area and to revitalize the important livelihood function fishery for local communities. There is neither credit nor credit funding for non-profitable activities. The reforestation is possible because of the benefits that the project provides to the Livelihoods Fund. The project is developed and implemented by YAGASU and local communities. YAGASU has demonstrated capacity in environment conservation awareness and in mobilizing local people but needs funding to finance such activities. Local communities do not have the capacity for implementing the project without the support of YAGASU. Technological barriers: The contribution of the technical assistance for mangrove restoration is necessary for the project s success. Most of the population of the region are fisherman. They catch for fishes, breeding ponds fishes and crabs traditionally which meant that nutrient for fisheries are gathered from ocean water that came with the tidal system. To maintain these kinds of traditional fisheries, having a good mangrove habitat is essential which significantly supports the local livelihood. The constant mangrove conservation would set up leverage pro poor economic sustainably, improve the existence community based institutions, and reduce potential conflicts. Nevertheless, capacity 7 See page

39 building and training is key to restore the region with a mangrove ecosystem providing multiple benefits, both economically as well as ecologically. YAGASU with the help of the carbon benefits and financing from the Livelihoods Fund, is investing in a participatory training and capacity building process in the project region. Thereby YAGASU is investing in communities and ensures long-lasting results. By means of these trainings it shows the locals how to go about the plantation and naturally regenerated mangroves in a scientific manner, so that these resources have better chances of survival, and the people are equipped with the knowledge base to manage their forests in the future. On the other hand, as mentioned in the previous paragraphs, without the infrastructure provided by YAGASU (which depends on funds from Livelihoods), local communities would not be able to develop a restoration project on a significant scale. Sub-step 2c. Determination of baseline scenario (if allowed by the barrier analysis) In applying the decision tree to the outcome of sub-steps 2a and b, the following baseline scenario has been identified: Is forestation without being registered as an ARR project activity included in the list of land use scenarios that are not prevented by any barrier? If yes, then: Does the list contain only one land use scenario? If yes, then the proposed A/R CDM project activity is not additional. If no, then continue with Step 3: Investment analysis. If no, then: Does the list contain only one land use scenario? If yes, then the remaining land use is the baseline scenario. Continue with Step 4: Common practice test If no, then through qualitative analysis, assess the removals by sinks for each scenario and select one of the following options: Option 1: Baseline scenario is the land use scenario that allows for the highest baseline GHG removals by sinks. Continue with Step 4: Common practice test,. Option 2: Continue with Step 3: Investment analysis. According to this the baseline scenario is identified: Continuation of the pre-project land use STEP 4. Common practice analysis At a regional scale within the grouped project region, no systematic tree planting and restoration efforts are underway that will generate a forest. Government efforts to reforest using plantation practices have typically been abandoned; recent incentives have in fact been structured to encourage land clearing for palm plantation. National reforestation targets through the past decade have approached 1 million hectares annually for all forest types, but these have not generally been reached and have focused on upland systems and species. 39

40 It is reported 9 that to date most attempts to restore mangroves in Indonesia have failed. The majority of attempts (over 90%) simply jab seedlings of one mangrove genus (Rhizophora) into inappropriate habitats - in mud flats below mean sea level - where mangroves do not grow. Typically, attempts at mangrove restoration fail for two reasons: Land tenure and ownership issues make it difficult to put mangroves back where they belong. Poor understanding of the ecological requirements of mangroves, and the ecological and water processes that promote their establishment and early growth. Communities in the project region have started to plant mangroves on their own initiative but these are typically limited in extent and suffer from a lack of experience and understanding of plantation techniques (usually they suffer from excessively high planting densities.) In summary, current and anticipated planting efforts in the absence of this project are not significant. Yagasu has worked on post-tsunami coastal rehabilitation, reconstruction and economic restoration, and manage Mangrove Education Center (MEC) in Muara Angke Jakarta. These actions created significant positive impacts among groups of local people in some villages in Aceh and North Sumatra. Up to end 2011 Yagasu has planted around 6.4 million mangrove trees (including the trees planted in this project activity in 2011) with a survival rate around 75%. The donors supporting the mangrove rehabilitation program are UNESCO-Jakarta, Wetlands International, Conservation International, KEHATI Foundation, Atlas Logistique-France, HELP- Germany, Keidanren-Japan, Islamic Relief, Muslim Aid, Rahmat Foundation, Waspada-local media, Newmont Company, BRR Aceh-Nias, District Forestry Department and Indonesian Environmental Department and Planete Urgence 10. These previous mangrove restoration activities enabled Yagasu to develop the community based mangrove restoration model which is implemented in this large-scale project activity. Although these previous activities had similar objectives compared to this project activity, the timeframe of 3-5 years management and monitoring after planting 11 was significantly shorter and significantly smaller areas have been planted 12. For Yagasu, this previous program was important to create knowledge and capacity to successfully establish and maintain site-adapted plantations as well as engage communities in sustainable mangrove restoration which will sustain and will grow into mature mangrove forests. This restoration project, however, is considered as the first large scale restoration and ARR project (grouped project) in the forestry sector in Indonesia and the third mangrove carbon project 9 see also: page 2: Various projects have attempted to halt and reverse the loss of mangroves in Indonesia, but many failed or became unsustainable 10 Refer to Inception Project Information submitted by Yagasu to Livelihoods and the national DNA, available as supporting documentation For instance, the study Mangrove reforestation and community development project, North Sumatra, Indonesia: Lessons learned states that 500 hectares have been restored with 2,5 millions of mangroves propagules; see online: 2/14A_GarnierP_Mangroves%20reforestation.pdf 40

41 in the world after Senegal and India and is designed for over 20 years project contracting periods with the communities (10 years contracting cycles with renewal) and Livelihoods. Outcome: The proposed project activity is not the baseline scenario and, hence, it is additional. 2.5 Additionality Demonstration and assessment of additionality has been done in section 2.4. using the Combined tool to identify the baseline scenario and demonstrate additionality in A/R CDM project activities version 01, as it is required in the selected methodology. 2.6 Methodology Deviations No deviations 3 QUANTIFICATION OF GHG EMISSION REDUCTIONS AND REMOVALS 3.1 Baseline Emissions Under the applicability conditions of the applied methodology AR-AM0014 Afforestation and reforestation of degraded mangrove habitats (Version 03.0), it is expected that the baseline carbon stocks in litter and soil organic carbon pools will not show a permanent net increase. The baseline net GHG removals by sinks are therefore calculated using Equation 1 of the methodology: Where: ΔC BSL,t = Baseline net GHG removals by sinks in year t; t CO 2 -e ΔC TREE_BSL,t ΔC SHRUB_BSL,,t ΔC DW_BSL,t = Change in carbon stock in baseline tree biomass within the project boundary in year t; t CO 2 -e = Change in carbon stock in baseline shrub biomass within the project boundary in year t; t CO 2 -e = Change in carbon stock in baseline dead wood biomass within the project boundary, in year t; t CO 2 -e A baseline of scattered degraded mangrove trees is defined for the complete project area: Most of the afforestation activities in YAGASU are in abandoned fish ponds and some on coastal/river mudflats. Many of the planting sites were bare land with very few and scattered existing mangrove vegetation below the definition of forest in Indonesia, i.e. minimum area 0.25 ha, minimum crown cover 30%, and minimum tree height 5 m. Therefore, a classification method for the year 2011 was applied to assess the crown cover of the shrubby vegetation as well as the crown cover of any scattered pre-existing mangrove trees. 41

42 The average crown cover for trees and shrubs was assessed separately by visual interpretation using Google Earth applying the following method: A random sample of 223 point clusters 100 points each, 4x4m grid, was laid over the entire project area. Figure 6. Cluster point identification method for baseline estimation Each point was visually analysed in Google Earth for the year 2011, if the point falls on a shrubby mangrove, a pre-existing mangrove tree or on a blank area. The following land covers classes were identified based on this method: o Blank areas: 97.59% o Dwarf mangrove shrubs: 0.99% o Pre-existing trees: 1.42% According to the methodology, the baseline emissions have to be calculated with the AR-Tool 14 A/R Methodological tool Estimation of carbon stocks and change in carbon stocks of trees and shrubs in A/R CDM project activities (Version 04.1). Chapter 5 of this tool outlines the conditions that an ARR project has to fulfil in order to estimate the carbon stock and change in carbon stock in the baseline as zero. 42

43 1. Carbon stock in trees in the baseline can be accounted as zero if all of the following conditions are met: (a) The pre-project trees are neither harvested, nor cleared, nor removed throughout the crediting period of the project activity; (b) The pre-project trees do not suffer mortality because of competition from trees planted in the project, or damage because of implementation of the project activity, at any time during the crediting period of the project activity; If any existing trees are available prior to project activity start, they form part of the overall restoration approach. (c) The pre-project trees are not inventoried along with the project trees in monitoring of carbon stocks but their continued existence, consistent with the baseline scenario, is monitored throughout the crediting period of the project activity. As a holistic mangrove restoration project, all trees are monitored as part of the carbon inventory permanent sampling system. 2. Changes in carbon stocks in trees and shrubs in the baseline may be accounted as zero for those lands for which the project participants can demonstrate, through documentary evidence or through participatory rural appraisal (PRA), that the following indicators apply: (a) Observed reduction in topsoil depth (e.g.as shown by root exposure, presence of pedestals, exposed sub-soil horizons); (b) Presence of gully, sheet or rill erosion; or landslides, or other forms of mass-movement erosion; (c) Presence of plant species locally known to be indicators of infertile land; (d) Land comprises of bare sand dunes, or other bare lands; (e) Land contains contaminated soils, mine spoils, or highly alkaline or saline soils; (f) Land is subjected to periodic cycles (e.g. slash-and-burn, or clearing-regrowing cycles) so that the biomass oscillates between a minimum and a maximum value in the baseline; As a mangrove restoration project in a heavily degraded mangrove ecosystem most of the typical degradation indicators in the baseline apply for the degraded fish ponds which have been abandoned due to declining fish production as a result of mangrove destruction, overuse of pesticides causing soil contamination etc. Therefore, changes in carbon stocks in baseline tree and shrub biomass including dead wood within the project boundary can be estimated as zero. A shrub and tree baseline is calculated for this stratum in order to account for pre-project mangrove vegetation and pre-existing trees. For the calculations of carbon stocks of the baseline the following equations are used: 43

44 Baseline carbon stocks in shrubs are calculated following the equation of the AR-TOOL14 Estimation of carbon stocks and change in carbon stocks of trees and shrubs in A/R CDM project activities (Version 4.2): Where: = Carbon stock in shrubs within the project boundary in the baseline; t CO 2 e = Carbon fraction of shrub biomass, tc (t.d.m.) -1 = Root-shot ratio for shrubs; dimensionless =Area of shrub biomass estimation stratum I, ha = Shrub biomass per hectare in shrub biomass estimation stratum I, t d.m.ha -1 = Ration of shrub biomass per hectare in land having a shrub crown cover of 1.0 and the default above-ground biomass content per hectare in forest in the region where the project is located = Default above-ground biomass content in forest in the region/country where the A/R CDM project activity is located, t d.m.ha -1 = Crown cover of shrubs in shrub biomass estimation stratum I at the time of estimation, expressed as a fraction Crown cover: Following the shrub CC analysis, 0.99% of the project areas are covered with shrubs. Bforest: For the calculation of this first monitoring period, the default value for Indonesia presented IPCC table 3.A.1.4. is applied. b FOREST = t d.m. ha -1 Next, default values taken from the tool AR-TOOL14 are applied. Carbon fraction of shrub biomass CFs 0.47 Root-shot ration for shrubs R/S 0.4 Ratio of shrub biomass per hectare in BDR land having a shrub crown cover of Pre-existing tree baseline biomass The estimation of carbon stock in pre-project tree biomass was done following equation 20 and 21 of the methodological tool Estimation of carbon stocks and change in carbon stocks of trees and shrubs in A/R CDM project activities (Version 04.2): 44

45 Where: C TREE_BSL C TREE_BSL,i = Carbon stock in pre-project tree biomass; tco 2 e = Carbon stock in pre-project tree biomass in stratum i; tco 2 e CF TREE = Carbon fraction of tree biomass (tc (t.d.m.) -1 b forest R TREE CC TREE_BSL,i A i Crown cover (CC tree ) = Mean above-ground biomass in forest in the region or country where the A/R CDM project is located; t d.m.ha -1 = Root-shoot ratio for trees in the baseline; dimensionless = Crown cover of trees in baseline stratum i, at the start of the A/R CDM project activity, expressed as a fraction; dimensionless = Area of baseline stratum i, delineated on the basis of tree crown cover at the start of the A/R CDM project activity; ha According to the crown cover analysis, the crown cover of pre-existing trees in the baseline represents 1.42% of the area in the project b FOREST : The same value as for the shrub baseline was applied. b FOREST = t d.m. ha -1 For the following parameters, default values taken from the tool AR-TOOL14 are applied: Parameter Denotation Value Carbon fraction of tree biomass CF T 0.47 Root-shot ratio for tree R T 0.25 Dead wood of pre-existing trees in the baseline According to the methodological tool Estimation of carbon stocks and change in carbon stocks in dead wood and litter in AR CDM project activities (Version 03.1), when there are pre-existent trees in the baseline, dead wood carbon shall be account as baseline carbon. The baseline carbon in dead wood is calculated using the conservative default-factor based method included in AR-TOOL12. The following equation is applied: C DW,i,t = C TREE,i,t * DF DW Where: C DW,i,t C TREE,i,t = Carbon stock in dead wood in stratum i at a given point of time in year t; t CO 2 -e; = Carbon stock in trees biomass in stratum i at a point of time in year t; t CO 2 -e; 45

46 DF DW = Conservative default factor expressing carbon stock in dead wood as a percentage of carbon stock in tree biomass; per cent. As stated in the PD, the conservative default factor for dead wood biomass for this project according to the corresponding biome, elevation and annual precipitation is 6% of carbon stock of pre-existing tree biomass. Hence, this value is applied. As result, the baseline carbon estimation is summarized in the table below: Year Project year Areas planted/ restored per year (ha) C TREE,t1 Preexisting biomass of trees (tco 2 e) C DW_BSL Dead wood Preexisting trees (tco 2 e) C SHRUB_BSL Preexisting shrub biomass (tco 2 e) C BSL Total biomass baseline (t CO 2 e) , , , , , , , , , ,419.5 Total 4, , , , ,669.1 Changes in the carbon stocks in baseline dead wood biomass - ΔC DW_BSL,t As already demonstrated, baseline of living biomass is accounted as zero. Consequently, changes in carbon stocks in dead wood in the baseline may also be estimated as zero. 3.2 Project Emissions The ex-ante actual net GHG removals by sinks are estimated using the equation 2 described in section 5.5 of the methodology AR ACM0014 (Version 03.0): Where Actual net GHG removals by sinks, in year t, tco 2 -e Change in the carbon stocks in project, occurring in the selected carbon pools, in year t, t CO 2 -e Increase in non-co 2 GHG emissions within the project boundary as a result of the implementation of the A/R CDM project activity, in year t, t CO 2 -e Further: Where: 46

47 = Change in the carbon stocks in project, occurring in the selected carbon pools, in year t; t CO 2 -e = Change in carbon stock in tree biomass in project in year t; t CO 2 -e = Change in carbon stock in shrub biomass in project in year t; t CO 2 -e = Change in carbon stock in dead wood in project in year t; t CO 2 -e =Change in carbon stock in litter in project in year t; t CO 2 -e No litter biomass will be accounted in this project = Change in carbon stock in SOC in project, in year t; t CO 2 -e Estimation of the changes in carbon stocks in tree biomass: C TREE _ PROJ, t The change in carbon stock in tree biomass in this grouped project within the project boundary is estimated using the A/R methodological tool estimation of carbon stocks and change in carbon stocks of trees and shrubs in A/R CDM project activities (Version 04.2). Based on the tool the stock difference method is applied and the ex-ante tree biomass is estimated using the method of Estimation by modelling of tree growth and stand development, presented in section 8 of the tool. For the estimation of the changes in carbon stocks in tree biomass ex-post, field measurements in permanent sample plot at two points of time will be realized, and the calculations will be done following the difference of two independent stock estimations method, available in section 6 of the tool. The ex-ante estimation of carbon stock changes is based on an average growth assumption for the entire project area. The ex-ante growth model was developed based on the following assumptions: The mean annual increment in diameter of individual mangrove trees in Indonesia for this project is estimated based on Sukardjo, S et al. (1992) 13. This growth estimation is reflecting the multispecies plantations since the share of the major mangrove species contributing to the biomass in the study sites of Sukardjo was Rhizofora mucronata, which it is the main specie of this grouped project. The following allometric biomass equation is used to convert the diameter (DBH) into aboveground biomass: ;jsessionid=F CD54A5CD1B2D349042AC41B2 47

48 (Amira 2008) 14 Again, this equation reflects the species condition in Indonesia with Rhizophora spp.. For belowground tree biomass, the default equation of the Appendix 1 of the tool is used: Where: b = Above-ground tree biomass per hectare (in t d.m. ha -1 ) The equation was applied for each year and then the average R/S values for three age classes were used for the ER calculations since the WB TARAM Tool was used: Table 9 Table 7 Estimated ex-ante root-shoot ratio Range of years (yr) Average R/S The assumed ex-ante planting density is 3,000 plants ha -1 which is reduced to 2,100 after year 3 due to natural mortality sanitary tending activities during early phases of stand establishment. Default carbon fraction: 0.47 as per A/R methodological tool Age (year) Table 10 Ex-ante tree biomass growth model per ha DBH AGB Mortality N/ha Total (cm) (kg) AGB R/S ratio (t/ha) % % % % % % % % % % % Allometric equation recommended for the region in the Carbon Accounting study realized by YAGASU, available as supporting documentation (in Indonesian), see also Protocols for the measurement, monitoring and reporting of structure, biomass and carbon stocks in mangrove forests (CIFOR 2012): 48

49 % % % % % % % % % The following planting years are assumed for the first activity instance on the project area when applying the average mangrove growth model: Table 11 Ex-ante plantation and YAGASU activity strata Year of plantation/ restoration start Total area (ha) , , Total 4, The total annual estimation of tree biomass GHG removals by sinks is shown below. Table 12 Annual estimation of tree biomass GHG removals by sinks in the project scenario for the first project instances Year Annual estimation of tree biomass GHG removals by sinks; tco 2 -e Year 1 35 Year Year 3 1,399 Year 4 3,960 Year 5 8,163 Year 6 14,053 Year 7 21,444 Year 8 29,930 Year 9 39,471 Year 10 50,029 Year 11 60,749 Year 12 70,219 Year 13 77,843 Year 14 91,214 Year ,493 Year ,408 Year ,085 Year ,469 Year ,544 Year ,293 Total estimated actual GHG 1,369,119 49

50 removals by sinks; t CO 2 -e This value is very conservative, with a rate of 13.7 tco 2 e and probably more carbon will be obtained from the tree biomass. YAGASU performed a non-published study to estimate the carbon in the project region, Percut and Secanang, where the carbon sequestration rate for tree biomass is 15.6 tco 2 e 15 Estimation of the changes in carbon stocks in shrub biomass: C SHRUB _ PROJ, t As no shrubs are planted as part of this grouped project this carbon stock will be accounted as zero for the ex-ante and ex-post estimations. Estimation of the changes in carbon stocks in dead wood: C DW _ PROJ, t Change in carbon stocks in dead wood in the project is estimated based on the A/R Methodological Tool Estimation of carbon stocks and change in carbon stocks in dead wood and litter in A/R CDM project activities (Version 03.1). The method selected for the calculation of this carbon pool is the conservative default-factor based method for estimation of carbon stock in dead wood. In each strata it is required to use equation 9 of section 6 of this tool for the calculation of dead wood: Where: = Carbon stock in dead wood in stratum I at a givewn point of time in year t; t CO 2 -e = Carbon stock in trees biomass in stratum I at a point of time in year t; t CO 2 - e = Conservative default factor expressing carbon stock in dead wood as a percentage of carbon stock in tree biomass; per cent According to the tool, DF DW is selected from table 5 of section 8 of the tool. Based on biome, elevation and precipitation data, a value of 6% for DF DW is chosen. 15 Inputs from the study and Excel sheet available as supporting documentation 50

51 Table 13 Annual estimation of dead wood GHG removals by sinks in the project scenario for the first instance project Year Annual estimation of dead wood GHG removals by sinks; tco 2 -e Year 1 2 Year 2 15 Year 3 64 Year Year Year Year Year 8 1,371 Year 9 1,808 Year 10 2,291 Year 11 2,819 Year 12 3,388 Year 13 3,998 Year 14 4,646 Year 15 5,331 Year 16 6,053 Year 17 6,810 Year 18 7,600 Year 19 8,425 Year 20 9,281 Total estimated actual GHG removals by sinks; t CO 2 -e 66,082 Estimation of the changes in carbon stocks in soil organic carbon (SOC): SOC, PROJ t Changes in carbon stocks in the SOC pool is calculated as indicate in the Methodology AR- AM0014: Where: = Change in SOC stock within the project boundary, in year t; t CO 2 -e = Area planted in year t, ha = The rate of change in SOC stocks within the project boundary, in year t, tcha-1yr-1. 51

52 Calculation of dsoc has been done based on the publication Murdiyarso et al (2015) 16, where the potential of Indonesian mangrove forest has been analyzed, providing evidence that mangroves in Indonesia are among the ecosystems with the highest carbon accumulation in the world and that soil carbon accounts for close to 80% of all carbon pools in these systems. The analysis of this study estimates soil carbon in mangroves until 2 m of soil depth. In order to be conservative, calculations for this project only considers 50 cm. In addition, in order to account for allochthonous soil carbon buried at the project sites, the default approach of the recently accepted VCS Methodology VM0033 Methodology for Tidal Wetland and Seagrass Restoration is applied 17. With this approach a deduction factor for allochthonous soil carbon for each of the soil layers up to 50 cm measured in the Murdiyarso et al. study was derived. A detailed justification of the dsoc is provided in Appendix III. Based on this study, dsoc was estimated as 3.32 t C/ha/year. As indicated in the IPCC supplement for wetlands, where activity results in patchy or patches of biomass, the emission factor recommended as default value can only be applied when the mangrove cover is at least 10% of the overall area. All areas in the project with less than this mangrove cover were excluded of the project, so all the area under plantation for the first monitoring period can be included in the SOC calculations with this default value. This methodology was applied to the areas of this project. Table 14 Project area planted per year Year of inclusion of project area Area under plantation and SOC area (ha) Total Table 15 Annual estimation of soil organic carbon GHG removals by sinks in the project scenario for the first instance project Year Annual estimation of soil organic carbon GHG removals by sinks; tco 2 -e Year 1 2,349 Year 2 12,811 Year 3 37,222 Year 4 57, Murdiyaso et al. (2015). The potential of Indonesian mangrove forest. Nature Climate Change. Available as supporting documentation V% pdf. In particular, section of this new methodology and equations 32, 33, 34, 37,

53 Year 5 60,815 Year 6 60,815 Year 7 60,815 Year 8 60,815 Year 9 60,815 Year 10 60,815 Year 11 60,815 Year 12 60,815 Year 13 60,815 Year 14 60,815 Year 15 60,815 Year 16 60,815 Year 17 60,815 Year 18 60,815 Year 19 60,815 Year 20 60,815 Total estimated actual GHG removals by sinks; t CO 2 -e 1,082, Leakage According to the methodology AR-AM0014 (Version 03.0), the leakage emission has to be assessed with the tool Estimation of the increase in GHG emissions attributable to displacement of pre-project agricultural activities in A/R CDM project activity (Version 02). This tool evaluates the displacement of crop cultivation and grazing activities. Section 6 of this tool indicates that leakage emissions can be considered insignificant if they meet the following requirements: 1. Leakage emission attributable to the displacement of agricultural activities due to implementation of an A/R CDM project activity is estimated as the decrease in carbon stocks in the affected carbon pools of the land receiving the displaced activity. 2. Leakage emission attributable to the displacement of grazing activities under the following conditions is considered insignificant and hence accounted as zero: (a) Animals are displaced to existing grazing land and the total number of animals in the receiving grazing land (displaced and existing) does not exceed the carrying capacity of the grazing land; (b) Animals are displaced to existing non-grazing grassland and the total number of animals displaced does not exceed the carrying capacity of the receiving grassland; (c) Animals are displaced to cropland that has been abandoned within the last five years; (d) Animals are displaced to forested lands, and no clearance of trees, or decrease in crown cover of trees and shrubs, occurs due to the displaced animals; (e) Animals are displaced to zero-grazing system. Most of the project areas are abandoned fish / shrimp ponds either blank (with no vegetation) or with very few shrubby mangrove vegetation (Crown cover is less than 2.5%). These sites are not 53

54 used anymore for aquiculture and are not able to use for other agricultural activities, including grazing. In addition, the YAGASU standardized approach for site selection, explained in detail in section 1.8 of this document, and community engagement guarantees the minimization of any potential leakage such as grazing. Areas planted were agreed by the communities and weren t used by them in the moment of the plantation. Further, communities shown the interest on recover the areas, since due the plantation form of the project, mangroves will recover water ecosystem and improve the productivity of fisheries and farming in the area, so communities will return to the abandoned fish-ponds. Active participation of stakeholders is one of the essential parts of this reforestation project. Communities live mostly from traditional fish activities, and they understand the importance of having a healthy mangrove habitats to support the local livelihood. Planting mangrove is not something new for most of communities. Most of them indicate that they would have started planting before the YAGASU project, however, mentioned the lack of coordination and capacity as well as financial constraints as the barriers to do so. The communities also commit themselves to manage and protect the mangrove plantation which is documented in the legally binding MoU signed between the community and YAGASU. To ensure that project is well implemented without the risks of displacing other activities, a standardized community consultation is conducted to provide plans for a full engagement once the project is implemented. Active participation of stakeholders and communities always is rolled-out by the development of local institutions (committees, Local Stakeholders Forum) as the core governing body of the project management system. These local institutions are always involved in selection of project sites, development best practices management, and also planning for the mechanism of in sustainable livelihoods for long-term management approach. The standardized project approach including capacity building and awareness program, implementation mangrove restoration, community development and project management, monitoring and evaluation is outlined in detail in section 1.8. Apart from the ecological assessment of plot suitability (section 1.8) the standardized site selection process with local communities is outlined below (refer also to Yagasu SOPs Planting mangrove, available as supporting documentation): Socio-economic assessment An assessment on socio-economics, land status and land tenure is conducted. Understanding the socio-economics of local people is very crucial, especially to assess the real commitment of each land-owner to agree whether his/her land need to be planted with mangroves or not. This information on individuals is necessary to anticipate potential problems when mangrove seedlings become mature trees. If local people s commitment is low, an awareness program needs to be implemented in order to help people understand the importance and value of the mangrove trees in supporting their livelihoods. Actions to build local community awareness: 1. Conduct village meetings to build consensus and agreement on series of field activities 54

55 2. Conduct attitude survey at the beginning of the program PROJECT DESCRIPTION: VCS Version 3 3. Prepare awareness materials (leaflet, poster, presentation, etc.) Ensure that local stakeholders and village leaders advocate and participate in awareness program implementation 5. Build capacity for the field team involved in the awareness program 6. Conduct awareness programs 7. Conduct attitude survey at the end of the year in order to monitor the impacts After getting good response from the community, the technical action plan will define the plots and parcels that will be planted, the planting system that will be implemented, the number of people who will be involved, the time schedule, etc. 3.4 Net GHG Emission Reductions and Removals The ex-ante net anthropogenic GHG emission reductions and removals are calculated using equation 6 of the methodology AR-AM0014: Where: = Net anthropogenic GHG removals by sinks, in year t; t CO 2 -e = Actual net GHG removals by sinks, in year t; t CO 2 -e = Baseline net GHG removals by sinks, in year t; t CO 2 -e = GHG emissions due to leakage, in year t; t CO 2 -e The results for the first project activity instance are shown below. Year Estimated baseline emissions or removals (tco 2 e) Estimated project emissions or removals (tco 2 e) Estimated leakage emissions (tco 2 e) Estimated net GHG emission reductions or removals (tco 2 e) 1 0 1,472 0,00 1, ,071 0,00 9, ,184 0,00 29, ,546 0,00 53, ,933 0,00 67, ,512 0,00 75,512 55

56 7 0 83,241 0,00 83, ,115 0,00 92, ,094 0,00 102, ,136 0,00 113, ,383 0,00 124, ,422 0,00 134, ,655 0,00 142, ,675 0,00 156, ,640 0,00 175, ,276 0,00 192, ,709 0,00 208, ,885 0,00 225, ,784 0,00 243, ,389 0,00 262,389 Total 0 2,494,121 0,00 2,494,121 4 MONITORING 4.1 Data and Parameters Available at Validation Data / Parameter Data unit Description Source of data Value applied: 0 Justification of choice of data or description of measurement methods and procedures applied Purpose of Data Comments - ΔC BSL,t t CO2-e Baseline net GHG removals by sinks in year t N/A Value based on section 5 of AR-TOOL14 as described in section 3.1. of this document. Calculation of ex-ante and ex-post baseline emissions Data / Parameter CF TREE Data unit t C (t d.m.) -1 Description Source of data Value applied: 0.47 Carbon fraction of tree biomass Default value of AR CDM tool Estimation of carbon stocks and change in carbon stocks of trees and shrubs in A/R CDM project activities 56

57 Justification of choice of data or description of measurement methods and procedures applied Purpose of Data Comments - PROJECT DESCRIPTION: VCS Version 3 Default value of AR-TOOL14 is used unless transparent and verifiable information can be provided to justify a different value. Determination of project emission/removals Data / Parameter Data unit Description Source of data Value applied: Justification of choice of data or description of measurement methods and procedures applied R j dimensionless Root-shoot ratio for tree species j AR-TOOL14 Result of the application of the following equation: R j =exp[ *ln(agb)]/agb Where AGB is the above-ground tree biomass per hectare (in t d.m. ha -1 ) For EX-ante calculations the values have been simplified into three groups: AGB (t d.m. ha -1 ) Rj (dimensionless) AGB < <= AGB < AGB >= According to AR-TOOL14, root-shoot ratio for tree species shall be calculated with the followed formula: Rj=exp[ *ln(AGB)]/AGB Purpose of Data Comments - Calculation of project emission removals Data / Parameter f j (x 1,l,x 2,l,x 3,l,...) Data unit Description t d.m. Above-ground biomass of the tree returned by the allometric equation for species j relating the measurements of tree l to the above-ground biomass of the tree Source of data For ex-ante: (Amira 2008) Allometric equation recommended for the region in the Carbon Accounting study realized by YAGASU, available as supporting documentation (in Indonesian), see also Protocols for the measurement, 57

58 For ex-post: more project and species specific equations will be used Value applied: Justification of choice of data or description of measurement methods and procedures applied Purpose of Data Comments - Where: DBH = Diameter at breast height; cm Equation used in ex-ante estimation Calculation of project emission removals Data / Parameter dsoc t Data unit t C ha -1 yr -1 Description Source of data Value applied: 3.32 Justification of choice of data or description of measurement methods and procedures applied Purpose of Data Comments - The rate of change in SOC stocks within the project boundary, in year t. AR-AM0014 Default value derived from publication Murdiyarso et al (2015) 19 See Appendix III for a detailed description and justification Calculation of project emission removals Data / Parameter EF CH4,i Data unit g CH 4 (kg dry matter burnt) -1 Description Source of data Value applied: Emission factor for CH 4 in stratum i CDM A/R Methodological Tool Estimation of non-co2 GHG emissions resulting from burning of biomass attributable to an A/R CDM project activity (Version ) 6.8 (unless transparent and verifiable information can be provided monitoring and reporting of structure, biomass and carbon stocks in mangrove forests (CIFOR 2012): 19 Murdiyaso et al. (2015). The potential of Indonesian mangrove forest. Nature Climate Change. Available as supporting documentation. 58

59 Justification of choice of data or description of measurement methods and procedures applied to justify a different value) Default emission factor for tropical forest from the CDM A/R tool. If transparent and verifiable information can be provided, the different values may be selected from the following sources, in order of preference; a. Regional/national inventories e.g. national forest inventory, national GHG inventory; b. Inventory from neighbouring countries with similar conditions; c. Globally available data applicable to the project site or to the region/country where the site is located; Purpose of Data Comments - Calculation of ex-post project emissions Data / Parameter EF N2O,i Data unit g N 2 O (kg dry matter burnt) -1 Description Source of data Value applied: Justification of choice of data or description of measurement methods and procedures applied Purpose of Data Comments - Emission factor for N 2 O in stratum i CDM A/R Methodological Tool Estimation of non-co2 GHG emissions resulting from burning of biomass attributable to an A/R CDM project activity (Version ) 0.2 (unless transparent and verifiable information can be provided to justify a different value) Default emission factor for tropical forest from the CDM A/R tool. If transparent and verifiable information can be provided, then different values may be selected from the following sources, in order of preference; a. Regional/national inventories e.g. national forest inventory, national GHG inventory; b. Inventory from neighbouring countries with similar conditions; c. Globally available data applicable to the project site or to the region/country where the site is located; Calculation of ex-post project emissions Data / Parameter Data unit GWP CH4 dimensionless Description Global warming potential for CH 4 Source of data CDM A/R Methodological Tool Estimation of non-co2 GHG 59

60 Value applied: 21 Justification of choice of data or description of measurement methods and procedures applied Purpose of Data Comments - PROJECT DESCRIPTION: VCS Version 3 emissions resulting from burning of biomass attributable to an A/R CDM project activity (Version ) Default value Calculation of ex-post project emissions Data / Parameter GWP N2O Data unit Description Source of data Value applied: 310 Justification of choice of data or description of measurement methods and procedures applied Purpose of Data Comments - dimensionless Global warming potential for N 2 O CDM A/R Methodological Tool Estimation of non-co2 GHG emissions resulting from burning of biomass attributable to an A/R CDM project activity (Version ) Default value Calculation of ex-post project emissions Data / Parameter Data unit Description Source of data Value applied: COMF i dimensionless Combustion factor for stratum i CDM A/R Methodological Tool Estimation of non-co2 GHG emissions resulting from burning of biomass attributable to an A/R CDM project activity (Version ) Default value depending on the age, unless transparent and verifiable information can be provided to justify a different value: Mean age (years) Default value 60

61 18 and above 0.32 Justification of choice of data or description of measurement methods and procedures applied Default emission factor for tropical forest from the CDM A/R tool. If transparent and verifiable information can be provided, then different values may be selected from the following sources, in order of preference; a. Project-specific calculation, regional/national inventories e.g. national forest inventory, national GHG inventory; b. Inventory from neighbouring countries with similar conditions; c. Globally available data applicable to the project site or to the region/country where the site is located Purpose of Data Comments - Calculation of ex-post project emissions Data / Parameter E Data unit t d.m. (or t d.m. ha -1 ) Description Source of data Value applied: Justification of choice of data or description of measurement methods and procedures applied Purpose of Data Comments - Acceptable margin of error (i.e. one-half the confidence interval) in estimation of biomass stock within the project boundary AR-TOOL14 10% of the mean value of biomass stock N/A Calculation of ex-post project emissions Data / Parameter Data unit Description Source of data Value applied: Justification of choice of data or description of measurement methods and procedures applied t val Dimensionless Two-sided Student s t-value at infinite degrees of freedom for the required confidence level AR-TOOL14 According to the student s t-distribution table, for confidence level 90% and infinite degrees of freedom N/A 61

62 Purpose of Data Comments Calculation of ex-post project emissions Use the 90% confidence level for determination of biomass stock in A/R CDM project activities, unless a different confidence level is prescribed in a methodology Data / Parameter Data unit Description DF DW Percent Conservative default factor expressing carbon stock in dead wood as a percentage of carbon stock in tree biomass Source of data Value applied: 6% Justification of choice of data or description of measurement methods and procedures applied Purpose of Data Comments - A/R Methodological tool Estimation of carbon stocks and change in carbon stocks in dead wood and litter in A/R CDM project activities Default value depending on the biome, elevation and precipitation of the area. The tool recommended this value unless transparent and verifiable information can be provided to justify a different value. Calculation of ex-post project emissions 4.2 Data and Parameters Monitored Data / Parameter Data unit Description Source of data Description of measurement methods and procedures to be applied Frequency of monitoring/recording Value applied: Monitoring equipment QA/QC procedures to be applied Purpose of data A i Ha Area of tree biomass stratum i GIS and GPS Areas in project area will be tracked in the field using the GPS. Each plot which will be subject to planting is tracked - a standard procedure of the baseline and monitoring inventory Before the start of the project (planting) and adjusted thereafter every three years since the year of the initial verification See project database GPS (Garmin), GPS Smartphones, QGIS software Field-team members are fully aware of all procedures and the importance of collecting data as accurately as possible; all field team members are trained in GPS/GIS application Calculation of project emissions 62

63 Calculation method GIS tool Comments - Data / Parameter Data unit Description Source of data Description of measurement methods and procedures to be applied Frequency of monitoring/recording Value applied: n i Dimensionless Number of sample plots in stratum i Calculated N/A ni is calculated for each monitoring event, at least every five years For the first monitoring the following sample plot numbers are calculated for each stratum: Stratum n Stratum Stratum 2 34 Stratum 3 0 (no decrease stratum for biomass) Stratum 4 17 Monitoring equipment QA/QC procedures to be applied Purpose of data N/A N/A Calculation of project emissions/removals Calculation method The calculation method is described in the tool Calculation of the number of sample plots for measurements within A/R CDM project activities (version ) 20 Comments - Data / Parameter Data unit Description Source of data w i Dimensionless Relative weight of the area of stratum i, the area of the stratum i divided by the project area. Calculated 20 Annex 15 of the Executive Board report at its 58 th meeting. 63

64 Description of measurement methods and procedures to be applied Frequency of monitoring/recording Value applied: N/A Calculated for each monitoring event, at least every five years For the first monitoring the following sample plot numbers are calculated for each stratum: Stratum Stratum n Stratum Stratum 3 0 (no decrease stratum for biomass) Stratum Monitoring equipment QA/QC procedures to be applied Purpose of data N/A N/A Calculation of project emissions/removals Calculation method Comments - Area of the stratum i divided by the project area Data / Parameter s i Data unit t d.m. (or t d.m. ha -1 ) Description Source of data Description of measurement methods and procedures to be applied Frequency of monitoring/recording Estimated standard deviation of biomass stock in stratum i Pre-sampling or default value N/A s i is calculated for each monitoring event, at least every five years 64

65 Value applied: For the first monitoring the following sample plot numbers are calculated for each stratum: Stratum n Stratum Stratum Stratum 3 0 (no decrease stratum for biomass) Stratum Monitoring equipment QA/QC procedures to be applied Purpose of data Calculation method N/A N/A Calculation of project emissions/removals Excel or tool available to calculate standard deviation Comments - Data / Parameter Data unit Description Source of data Description of measurement methods and procedures to be applied Frequency of monitoring/recording Value applied: Monitoring equipment QA/QC procedures to be applied Purpose of data Calculation method A PLOT,i Ha Size of sample plot in stratum i Field measurement After calculating the No of sample plots required to achieve the desired precision level (90/10) a stratified random selection is carried out. A circular plot design (r = 5 m) is chosen. Every three years since the year of the initial verification (5 m radius) N/A Field-team members are fully aware of all procedures and the importance of collecting data as accurately as possible; all field team members are trained in GPS/GIS application Calculation of project emission removals It will be calculated depending on the expected density (trees/ha) in each stratum, with the objective of having around 15 trees per sample plot Comments - 65

66 Data / Parameter Data unit Description Source of data Description of measurement methods and procedures to be applied Frequency of monitoring/recording Value applied: Monitoring equipment QA/QC procedures to be applied Purpose of data Calculation method Comments A BURN,i,t Ha Area burnt in stratum i Field measurement, remote sensing measurement or any other spatial information available The area shall be delineated either on the ground using GPS, from georeferenced remote sensing data or from any other spatial information available This area is measured whenever forest fire has occurred N/A GPS (if applied) Quality control/quality assurance (QA/QC) procedures prescribed under national forest inventory are applied. In the absence of these, QA/QC procedures from published handbooks, or from the IPCC GPG LULUCF 2003, are applied Calculation of project emissions/removals N/A Only used in case wild fires occur. Data / Parameter Data unit Description Source of data Description of measurement methods and procedures to be applied Frequency of monitoring/recording Value applied: Monitoring equipment QA/QC procedures to be applied X i Variable Variables measured per tree for the calculation of above-ground biomass an allometric equation for species: DBH, height, D 30, Measured Depending on the variable Measured every monitoring event, at least every five years n.a. Depending on the variable (tape, calliper, etc) Quality control/quality assurance (QA/QC) procedures prescribed under national forest inventory are applied. In the absence of these, QA/QC procedures from published handbooks, or from the IPCC GPG LULUCF 2003, are applied 66

67 Purpose of data Calculation method Comments Calculation of project emissions/removals n.a. D 30 or D 10, only for the first verification Data / Parameter Data unit Description Source of data Description of measurement methods and procedures to be applied Frequency of monitoring/recording Value applied: Monitoring equipment QA/QC procedures to be applied Purpose of data Calculation method Comments T Year Time period elapsed between two successive estimations of carbon stock in a carbon pool Recorded time N/A N/A N/A N/A N/A Calculation of project emission removals N/A If the two successive estimations of carbon stock in a carbon pool are carried out at different points of time in year t 2 and t 1, (e.g. in the month of April in year t 1 and in the month of September in year t 2 ), then a fractional value will be assigned to T 4.3 Monitoring Plan Organizational structure Institutionally, a permanent YAGASU Carbon Survey Team has been set up consisting of several field teams consisting of 2-3 field officers and under the supervision of the project coordinator (Mr. Bambang Suprayogi) and carbon monitoring coordinator (Mr. Rangga Bayu). These teams will undertake all surveys in the project to ensure consistency in measurements and will implement the carbon monitoring inventory of permanent sampling points (PSPs). The field measurement is supported with a project based android data collection system (YAGASU survey App) which ensures standardized data collection with QA/QC functions to allow minimizing errors already during this stage. 67

68 Further, YAGASU and Livelihoods have set up a stringent verification system with external tree audits including annual boundary verification and revision, if required. The organizational structure of the monitoring is divided into two layers. The first layer is represented by the YAGASU field staff which are trained in all necessary activities to perform the forest inventory, boundary tracking with GPS, socio-economic monitoring and forest establishment monitoring (survival rate, nursery monitoring, etc.). More than 20 field officers of YAGASU are responsible for the different districts of the project areas ranging east to west of northern coast of Sumatra. Generally they are part of the communities and are well acquainted with the specific conditions within the different planting areas. The forest inventory and monitoring surveys are conducted by them in the field (as part of the carbon survey teams). All results are directly brought to the main office of YAGASU in Medan; the second layer of the project. Bambang Suprayogi and the YAGASU technical program coordinators are responsible for the technical implementation of the whole project. In the main office the data are processed, analyzed and archived following standard operation procedures and good practice guidelines. To guarantee high level of certainty of the results, the YAGASU technical program coordinators will periodically crosscheck the data in the field as an independent survey. It is envisaged to at least verify 10% of the data after each inventory or survey conducted. The project implementation is based on the local presence of YAGASU staff in project area. The main role of the field officers is to manage the reforestation/restoration activity in close cooperation with YAGASU technical program coordinators. Selecting randomly and verify the GPS location of at least 10% of the plots planted during a particular planting season. Comparing the trees planted with the trees recorded in the planting plans Assessing the degree (in %) of the survival of the mangrove seedlings and preparation of a report with the findings considering a minimum precision of 10% at the 90% confidence level. Replanting of mangroves is only necessary if the optimal tree density of 3,000 trees per ha cannot be achieved due to very high natural mortality. This has to be decided on a site-by-site basis due to the varying local tidal and ecological conditions. Area verification. Project parcels will be verified using GPS in the field as well as through Google Earth imagery analysis. Annual tree audit reports are provided as supporting documentation. Livelihoods Standard Monitoring The Livelihoods Fund has established a standard monitoring process for all Livelihoods projects. An extensive monitoring training has been conducted in October 2013 on Standard Operating Procedures (SOPs) for monitoring carbon in land based carbon projects. Generic SOP documents related to various procedures throughout the whole monitoring process have been elaborated from which a sampling and monitoring plan for this project has been compiled. The full monitoring SOP is available as supporting documentation; a short summary is given below. 68

69 Figure 7 Standard monitoring process for Livelihoods projects Establishment of geographic coordinates of the project boundary All project areas subject to mangrove plantations and restoration under this project activity will be delineated using GPS tracking function. For this, an extensive training has been conducted and up-to-date GPS portable devices purchased (e.g. Smartphones, Garmin etrex). Each planting plot, having assigned a unique ID, is tracked and the tracks are downloaded and recorded as Google Earth.kml file, and as Gpx file. This allows for further processing the tracks via GIS applications. The activities that allow for proper management and monitoring of the project areas are: Review of all project boundaries to assess potentially on-going afforestation activities, site by site. Geo-referencing (latitude and longitude) of each land parcel, which is part of the YAGASU project, making use of the GPS. Periodic verification that the project boundaries correspond to the defined boundaries and are consistent with the eligibility analysis. There will be periodic verifications of the project area boundaries during the crediting period. If the boundaries present changes within this period due to natural (pests, diseases, fire, etc.) or anthropogenic damages (harvests or deforestation), these areas will be located and their extent determined, making an assessment of the carbon loss. These areas will be treated as different strata from those initially established. The modified boundaries will be reported to the VVB during the subsequent verification, the 69

70 deforested lands will be excluded from the project and the VCSUs issued for these areas will be deducted. Similarly, the areas where planting fails, or the use of the land changes, will be documented. Analysis of the field information obtained using a GIS system (QGIS), calculating the areas incorporated tree planting plan, and those affected by disturbances will be carried out. All YAGASU staff members have received training in GPS boundary demarcation (GPS tracking) in the field, data processing, data analyzing and data archiving. During this training, a standard operating procedure in geographic boundary demarcation was elaborated. Identification and monitoring of strata Most of the planting sites are completely or partially abandoned fish/prawn ponds. Even though plot types are similar there is variation in soil composition, water salinity and water availability. The manmade activities also have some influence on growth and survival such as fishing, protection, replanting etc. Thus, a stratification employed today may not make sense in the future as community starts managing their ponds. Therefore, final factors considered for the stratification will be the differences in the estimated carbon sinks for each mangrove species species/species group as the project develops. For this reason, strata will be monitored periodically. If a change in the number and area of the project strata occurs, the sampling framework will be adjusted accordingly through the following procedure for monitoring strata and the sampling framework. The ex-ante calculation only considers the logic stratification according to the planting years (2011-early 2015). The ex-post stratification is based on the growth and survival performance of mangroves after the first 4 years of project implementation in the first activity instances. YAGASU Project Total YAGASU project area of the first instances Pre-project biomass stratification Scattered tree baseline biomass Growth stratification Stratum 1 - Fast and consistent growth Stratum 2 - Medium and consistent growth Stratum 3 - New plantations (2015) Stratum 4 - Slow and inconsistent growth The growth and survival performance was assessed during several tree audits, field visits and each YAGASU project parcel was categorized according to when the planted mangroves are 70

71 established and significantly commence to grow. This is not necessarily depending on the year of the plantation. Stratum 1 Fast and consistent growth: This stratum represents plantation areas with observed higher rates of growth and survival, major areas are planted between 2012 and This stratum has zero as well as pre-existing biomass plots at project start date which is identified for each plot. Stratum 2 Medium and consistent growth: This stratum represents plantation areas which were established within the first four years. However, due to higher mortality and replanting activities growth significantly started between 2013 and No baseline pre-existing biomass was present at project start date. Stratum 3 New plantation: This stratum includes plantation areas which are planed recently in early For the first verification, tree biomass in this stratum will be accounted as zero carbon, due the insignificant increase of biomass. No baseline pre-existing biomass was present at project start date. Strata 4 Slow and inconsistent growth: This stratum comprises all areas planted during project period where many of the planted trees were initially not surviving well and the growth is slow in comparison with the first two strata. Table 16 YAGASU project area stratification for the first project instances Stratum Total area (ha) Stratum Stratum Stratum Stratum Total A re-stratification might be necessary after each monitoring of the project, as a function of the carbon sinks and disturbances identified. Since this project activity is designed as phased approach with planting multi-species mangrove trees over a period of 3-5 years since 2011 the database shall be updated periodically capturing the following information: Unexpected disturbance occurring during the crediting period Unexpected disturbances occurring during the crediting period (changes in hydrology, sedimentation, disease, and human factors), affecting differently different parts of an originally homogeneous stratum or stand; Forest establishment (planting, re-replanting) may be implemented at different intensities, dates and spatial locations than mentioned in the PD; 71

72 Mangrove carbon inventory Sampling design and sampling size The sampling design is first of all driven by the precision requirements as outlined in the methodology. The targeted precision level for biomass estimation shall be ± 10% of the mean at a 90% confidence level. The Mangrove Forest Management Guidelines (FAO 1994) 21 and the Protocols for the measurement, monitoring and reporting of structure, biomass and carbon stocks in mangrove forest (CIFOR, 2012) 22 are used as a guidance to establish the sampling design of a continuous mangrove forest inventory with permanent sample plots. The basic sampling design chosen with 1 circular measurement per plot of 5 m radius randomly laid out within the mangrove restoration plots. Random sampling is recommended as good practice in forest inventory when land parcels enrolled in a project are small, irregularly shaped, or narrow which is the case in this project. The size of the circular plots is determined in order to obtain an average of 15 trees per plot. Figure 8 YAGASU Carbon inventory plot layout

73 More detailed guidance how this selection is done in standardized way, can be found in the SOPs Pilot Inventory, Sampling & Monitoring Plan available as supporting documentation. The sampling design is stratified. In the first stage, all planting plots subject to monitoring are assigned to the project specific strata. In the second stage from each stratum a representative No of sample plots is picked randomly. Once established, the sample of planting plots is permanent throughout the lifetime of the project. The survey sample size is determined by the variability of biomass within the samples and the precision level required in the methodology (90/10 precision level). In other words, this means that a sampling strategy will be designed to achieve an error with a mean value of 10% or less and that there is a 90% level of statistical confidence that the true amount of carbon sequestered is at least the claimed amount. The tool Calculation of the number of sample plots for measurements within A/R CDM project activities (Version 01) 23 as well as the Winrock Sampling Calculator (Walker et al. 2007, supporting documentation) is used to estimate the number of permanent sample plots needed (project total as well as No plots per stratum i) for monitoring changes in carbon pools at a desired precision level and to determine the plot locations. The sample size follows method I (samples drawn without replacement) of the tool and considers no information on costs is available or the costs are assumed as constant for all strata. Plot selection & location The sample plot selection and location equally follows the guidance of the Calculation of the number of sample plots for measurements within A/R CDM project activities (Version 01) to ensure that The planting plots assigned as permanent sample plots are evenly distributed in the stratum. This is done by weighting the sample plots according to the shares of that stratum compared to the total project area, and The sample plots will be located randomly in each stratum. To ensure that the process of random selection is unbiased, GIS software is used to randomly select the location of sample plots in each plantation area. Data collection A detailed description of the YAGASU carbon inventory procedures can be found in the SOPs (supporting documentation) including standard operating procedures on work safety, field measurement planning and organization, navigating in the field, and tree measurement procedures. For navigation and data entry of tree and plot variables, a smartphone based inventory application was specifically designed for this project

74 74

75 1. Home Page 2. Set Navigation Target 3. Navigation panel 4. Plot details 5. Tree parameters 6. Sapling parameters 75

76 7. View Plot details 8. View trees recored within Plot 9. Download data as CSV 10. Send data to Server 11. Clear the local DB Figure 9 Screenshots of the YAGASU carbon monitoring App (android based for smartphones) Procedures for internal auditing and QA/QC As stated in the IPCC GPG for LULUCF (page 4.111) monitoring requires provisions for quality assurance (QA) and quality control (QC) to be implemented via a QA/QC plan. The plan will be part of project documentation and cover procedures as described below for: Collecting reliable field measurements; Verifying methods used to collect field data; Verifying data entry and analysis techniques; and Data maintenance and archiving. 76

77 Procedures to ensure reliable field measurements Collecting reliable field measurement data is an important step in the quality assurance plan. Those responsible for the measurement work are trained in all aspects of the field data collection and data analyses. It is good practice for all Livelihoods Projects to develop Standard Operating Procedures (SOPs) for each step of the field measurements, which should be adhered to at all times. These SOPs describe in detail all steps to be taken of the field measurements and contain provisions for documentation for verification purposes so that future field personnel can check past results and repeat the measurements in a consistent fashion. To ensure the collection and maintenance of reliable field data: Field-team members are fully aware of all procedures and the importance of collecting data as accurately as possible; Field teams install test plots if needed in the field and measure all pertinent components using the SOPs to estimate measurement errors; The document will list all names of the field team and the project leader will certify that the team is trained; New staff adequately trained. A monitoring training where all relevant monitoring SOPs have been introduced and extensively trained was held as part of the pilot inventory. A standard training agenda was used which can be found in the annex of the SOPs. Figure 10 YAGASU carbon monitoring training Procedures to verify field data collection To verify that plots have been installed and the measurements taken correctly, it is good practice to re-measure independently every 10 plots and to compare the measurements. The following quality targets should be achieved for the re-measurements, compared to the original measurements: 77

78 Missed or extra trees no error within the plot Tree species or groups no error DBH of tree measurements < ± 0.5 cm or 3 % whichever is greater Height measurements < ± 10/ and -20% Field data collected at this stage will be compared with the original data. Any errors found will be corrected and recorded. Any errors discovered will be expressed as a percentage of all plots that have been re-checked to provide an estimate of the measurement error. Data maintenance and storage Because of the relatively long-term nature of these project activities, data archiving (maintenance and storage) will be an important component of the work. Data archiving should take several forms and copies of all data should be provided to each project participant. Copies (electronic) of all field data, data analyses, and models; estimates of the changes in carbon stocks and corresponding calculations and models used; any GIS products; and copies of the measuring and monitoring reports should all be stored in a dedicated and safe place, preferably offsite. Given the time frame over which the project activity will take place and the pace of production of updated versions of software and new hardware for storing data, it is recommended that the electronic copies of the data and report be updated periodically or converted to a format that could be accessed by any future software application. Copies of all raw data, reports of analysis and supporting spreadsheets will be stored in a dedicated long-term electronic archive for at least 2 years following the end of the last crediting period. 5 ENVIRONMENTAL IMPACT The project is seeking also CCB certification in a later state, probably during the next VCS verification. Therefore environmental impacts have already been analyzed as part of various CCB and other studies conducted by YAGASU. Some impacts a briefly described below: Net positive biodiversity impacts. By planting 16.5 million mangrove seedlings, the project will restore 5,000 ha of degraded mangrove ecosystem by the mid of Our field work showed mangrove restoration can extend the coastline width and regain on the sea up to 20 m per year of land. Value of remnant forest habitat. The study conducted in the Percut and Sicanang mangrove ecosystem indicates a low biodiversity of flora and fauna. Both areas have a bad physical condition. It is important to restore most of the initial biodiversity. A mangrove in good condition not only regenerates degraded lands but also generates income, with an increased fishing productivity. Beside direct ecological 78

79 benefits for the protection from erosion and seawater intrusion, mangrove is therefore a huge potential economic source of income, combining productive fishing, ecotourism and carbon credit. Invasive plant species occur in some mangrove degraded areas, but they will not be able to compete again after mangrove is rehabilitated, their impact on mangrove health and biodiversity is therefore neglectable. To restore the habitat close to its initial condition, mangrove rehabilitation will use native species. Non-native species might be a cause for disease in the project environment. Therefore, all seedlings used for planting are collected from the local area. Value for waterbirds and waders. Its location in Malacca straits makes North Sumatra mangrove an ideal destination for rare migratory birds and a niche for IUCN red-list species such as the Brahminy kite (Haliastur indus) and the leaf monkey (rachypithecus aurat). Improvement of mangrove condition is expected to put a hold on species extinction and to see return key important species. The main biodiversity objective of this restoration is to see migratory red list species come back to the area where they used to rest in numbers during their migration in between the two hemispheres. Although some places in the project site remain good, they are fragmented and spread. The issue with isolated habitat is the threat called edge effect, where biodiversity is to scarce to thrive and will degrade through competitions and lack of food resources. The project supports the creation of corridors to create connectivity among the island habitat and let some key animals move for food, breeding and shelter. Water and soil resource enhancement. Mangrove rehabilitation ensures a better water quality and enriches the soil. The root structure of the mangrove itself is designed to protect from soil erosion and salt intrusion, and to act as a seawave and seasonal flooding protection. This project will develop, evaluate and extend practices which increase the efficiency in mangrove rehabilitation to improve water and soil resources. We first identify current local practices and perceptions in relation to mangrove restoration and water management. Then we increase technical planting capacity related to water and soil science, especially in the coastal area where topographic change is frequent due to the extensive mud and sediments brought from the hinterland to the sea through rivers. Protecting the shoreline from erosion and retaining fertile sediments for small-scale farming is another crucial added-value brought by mangrove ecosystem. Offsite biodiversity impacts. Ecological restoration is a key component of biological conservation. Nevertheless, unlike longexisting protected areas, forest restoration changes the current land use and can therefore be more controversial. Some restoration projects negatively affect surrounding landowners, bringing social constraints to restoration success. Just as negative offsite impacts (i.e., negative externalities) illegal land occupation or garbage flowing from industrial areas to natural areas, restoration projects can generate negative externalities for commercial land uses, such as fisheries or farming. Negative externalities from industry have led to government regulation to protect human health and prevent environmental impacts. Negative externalities from restoration 79

80 projects have elicited similar legal constraint on at least one large-scale mangrove restoration project. More information about this point is available as supporting documentation. Environmental impact assessment Under current environmental legislation is that such community based mangrove planting of this ARR project activity does not require any form of Environmental Impact Assessment (EIA). No significant negative impacts have been envisaged by the project activity. 6 STAKEHOLDER COMMENTS The proposed project finds ground in an appropriate balance between local communities participation at all steps of project planning, implementing, monitoring, and providing economic benefits to these local communities. The project team is working with local government and traditional community leadership structures to establish representative groups at the village and district level to be involved in decision making relevant to the project operations and development. Consultation process. During the phase of project design, various consultations have taken place with local communities, institutions and governments. YAGASU team members have been working in their respective areas for many years and the organization s approaches and practices are well known to local communities. These early consultations provided important inputs and laid the foundation for continuing consultations during the project implementation. Community and local government demand for the services provided by this project were confirmed through meetings during the preparation missions. The project will assist the communities in obtaining official recognition of such agreements through the local and provincial government agencies. This consultation process and the resulting agreements are intended to increase involvement from local communities. Regulations agreed to between local communities and relevant government agencies, and developed with the project s appropriate technical inputs will give legal and enforceable status to the long term restoration and community development program. Likely, the coastal green belt protection strategy introduced through the project will increase livelihood opportunities for local communities, by institutionalizing communal or individual land ownership. Should any issue arise, the problem will be handled through the institutionalized Local Stakeholders Forum. Stakeholder group Local community groups Village government institutions Nature of relationship with wetland Direct involvement on mangrove rehabilitation and protection Coordinating local community on the wetland issues Estimated number of stakeholders in this group 52 groups 44 groups 80

81 Technical government institutions at the district level Government institutions at the province level Government institutions at the national level Education and research institutions Table 17 Local stakeholders in the project sites Managing government lands in coastal green-belt and fishery development Policy coordination and management of national wetland conservation areas Endorsement and approval of CCB validation and Carbon Credit Certification Collaborative research and scientific review 8 groups 3 groups (BPHM, and BLH in Aceh and North Sumatra) 3 groups (Ministry of Forestry, Environment and Fishery) 4 groups (IPB, UNIMED, USU, Litbang Kehutanan) The role of local stakeholders includes: The local people: through the socio-economic survey of YAGASU, they have an opportunity to express their expectations from the project. Their views are an important input in management planning and implementation. Decision makers of relevant national and provincial administrations in possession of reliable data on coastal ecosystems of Aceh and North Sumatra. Provincial staff in charge of coastal resources: the planning process is a learning process for them, as they gain experience in resource management planning and implementation. In addition the project allows them to interact with other agencies with a stake in mangroves for the exchange of information and experience. Scientists, public institutions and local communities with a stake in coastal resource conservation and management. 81

82 Stakeholders Characteristics Problems and needs Potentials Type of involvement in the project Primary stakeholders Local communities Village administrations Derived income from mangrove-based activity and involvement in project activities responsible for designing and implementing village development plans Base for economic activity and livelihoods threatened Lack of capacity for integrated planning. Local knowledge Authority and influence in the village. Primary beneficiaries of the project. Main actors in planned micro-planning at village level. National government Decision makers at national level Intensive consultations Endorsement of Carbon Credit certification Consultation process Secondary stakeholders Local NGOs Provincial and District government Tertiary stakeholders Actively involved in implementing rural development activities Lack enabling framework conditions for effectiveness (law enforcement, etc); lack of coordination Education and research Have education and research institutions missions Table 18 Summary of stakeholders analysis Skills for village development microplanning Insufficient financial means to implement yearly plans; Inter-institutional coordination; exchange of information Scientific skills Have working experience with villages and are trusted by villagers Can mobilize staff for mangrove extension work ; Potential synergies among coastal programme Competences in research, and surveys Sub-contract the implementation of local community development activities and other activities Directly involved in project implementation; High motivation to improve the governance of mangroves. Collaborative research and scientific review 82

83 APPENDIX I: INFORMATION ON YAGASU YAGASU Aceh was initiated as a Non-Government Organization (NGO) under the name of Yayasan Gajah Sumatera at the public notary Risna Rahmi Arifa, SH in Medan on July 17, 2001 ( Akte No 7 ). Since then, the founding members have worked diligently to identify and invite several dedicated people as the management and technical program team. Then, in order to develop the programs on environmental restoration and community development, the Foundation was also registered under the name of Yayasan Gajah Sumatera (YAGASU) Aceh at the Public Notary Sabaruddin Salam, S.H., SpN on 11 May 2006 ( Akte No. 81 ) and it was certified by the Decree of Ministry of Law and Human Right Republic of Indonesia No. C-1192.HT TH2007. YAGASU signed the MoU with the national government body, the Directorate General of Forest Protection and Nature Conservation (Ditjen PHKA), Ministry of Forestry Republic Indonesia on July 16, 2003, and which was followed up by the signing Technical Agreement with Badan Lingkungan Hidup (BLH) in Aceh and North Sumatra. YAGASU was established in order to fulfill a unique role providing space and finance for projects and programs that would enhance the environmental and community development program in three key areas: (a) species and forest conservation, (b) climate change mitigation through restoration of degraded forests and ecosystems which include coastal areas, (c) and facilitation of income generations for local people living within the project areas. YAGASU seeks to build a vibrant community from various background who share a common smart business vision and a culture of cooperation, innovation and professionalism, and where Indonesian nationals play a role as part of global networks. We will pursue this vision through a combination of advocacy, media campaigns and field projects. We will work towards the strategic programs outlined below: YAGASU strategic program Facilitate the presence of a unified, inclusive and active environmental and community development network and capacities of individual agencies and builds a shared knowledge base. Generate government policy support and public mandate for the necessary policies and actions to conduct integrated climate change mitigation, environmental and community development program. Conduct scientific findings and build partnering works with government and other local stakeholders on the field programs that are designed to tackle the local problem-solution issues in surrounding project areas and improve the health and welfare of local sociocultural-economic growth. Conduct awareness and facilitation which include programs and activities to revitalize the revival of local community capacity and to build common heritage, identity and social visions for community development. The target of awareness activities is to 83

84 establish a more positive external image of local stakeholders that is necessary to attract local, national and international supports. Facilitate income generation of local communities that includes programs and projects to support the development of local community business and natural environmental friendly products. YAGASU working principles Address the priority actions that are urgently needed in the field, where there is a total lack of or insufficient support from other organizations; Respect the traditional and local cultural values, and remain politically neutral; Work through partnerships with individuals and institutions at local, national and international levels; Work closely with local stakeholders such as private sector, government, NGOs and local communities, and build local capacity if needed; Monitor and measure the outputs of each project and activity and adjust the implementation to optimize results Relevant expertise and experience Coastal Carbon Corridor. YAGASU participated in the UNFCCC conference in Bali on December 2007 and conducted an exhibition promoting a new initiative of mangrove reforestation and coastal management program: Coastal Carbon Corridor in Indonesia. CCB standard. The mangrove reforestation program was designed using CCB method to identify coastal based projects that can simultaneously deliver compelling climate, biodiversity and community benefits. Field survey in two pilot project sites (Percut and Secanang) was conducted in In addition, we have also managed our own Carbon and Biodiversity Research Center in Percut for permanent plots of carbon and biodiversity study. Local economic development. Since 2006, YAGASU Foundation worked on post tsunami economic development as a direct-related result of coastal restoration for sustainable financing on silvo-fishery, fishing recreation, crab fattening, handicrafts/souvenirs, fishery processing products and value-added mangrove products: Soneratia for syrup, jam and candy-jelly; Avicennia for many different cakes and cookies; Nypa fruticans for pudding, palm-sugar, vinegar and tobaco paper; Acanthus ilicifolius for herbal tea; and Bruguiera for rice mixed suplement of local consumes. We also recently develop the batik mangrove 84

85 The supports of local economic development include basic training sessions on technical production and business skills and assistance to for more than 1,000 local people in Aceh and North Sumatra to start producing, packaging, branding, licensing and marketing various products in Jakarta, under the brand name of AMI ( Asli Made in Indonesia ). They have also been supported through trade-promotions in Medan, Jakarta, Yogyakarta, Bali as well as international exhibitions in Vietnam and Malaysia. Capacity building and awareness program. YAGASU has operated a permanent building for environmental exhibition and Community Learning Center and conducted mobile extension unit for school children and villagers in many areas. Village land-use and action plan. YAGASU has supported the village governments to develop two models of Landuse and Action Plan in the project sites. An effective collaborative field works between the project and local stakeholders has been integrated to maximize potential participation and roles of local communities to develop the village comprehensive plan. Marine Protected Area (MPA). Village communities are currently supported to establish new MPA models. The aim of new MPA is to establish a legal status to the protection of mangrove green-belt ecosystems and traditional fishing areas in the villages. Previous and on-going restoration initiative YAGASU has worked on post-tsunami coastal rehabilitation, reconstruction and economic restoration, and manage Mangrove Education Center (MEC) in Muara Angke Jakarta. These actions created significant positive impacts among groups of local people in some villages in Aceh and North Sumatra. Up to end 2011 YAGASU has planted around 6.4 million mangrove trees with a survival rate around 75%. The donors supporting the mangrove rehabilitation program are UNESCO-Jakarta, Wetlands International, Conservation International, KEHATI Foundation, Atlas Logistique-France, HELP-Germany, Keidanren-Japan, Islamic Relief, Muslim Aid, Rahmat Foundation, Waspada-local media, Newmont Company, BRR Aceh-Nias, District Forestry Department and Indonesian Environmental Department and Planete Urgence. Under the Danone project in January 2012 YAGASU has planted 1.4 million mangrove seedlings on 500 ha in Aceh and North Sumatra province. Short description of project partners YAGASU realizes the need of working in partnership with government, national and international NGOs, University and local stakeholders in implementing project activities. To prepare and implement this proposed project effectively and successfully, YAGASU team had consultations and built collaborative commitment with our partners: Indonesian government partners: Ministry of Forestry Republic Indonesia, Environmental Department at provincial level in and North Sumatra, Mangrove Forest Management 85

86 Institution in Medan, Marine Affairs and Fishery Department at provincial and district level, and Forestry Department at provincial and district level. University and local stakeholders: Bogor Agricultural University in Bogor, North Sumatra University in Medan, formal/informal village leaders in the project sites and local community groups working on mangroves in the villages. 86

87 APPENDIX II: MANGROVE DEFORESTATION MAPS IN THE PROEJCT REGION This analysis was conducted by Yagasu Figure Land use change of mangrove ecosystem in North Sumatra ( ) 87

88 APPENDIX III: JUSTIFICATION OF THE SOC DEFAULT VALUE A. Justification for a higher dsoc value compared to the latest global IPCC default value B. Justification for a higher dsoc value compared to the latest global IPCC default value The IPCC published in its 2013 Supplement to the 2006 IPCC Guidelines for National Greenhouse Gas Inventories: Wetlands 24, a default value of 1.62 tc/ha/year for mangrove ecosystems with a range of tc/ha/year. Regarding the default accumulation timeframe of this value the same guidelines state on page 4.27 Craft et al. (2003) found that (a) soil carbon accumulation, developed almost instantaneously with the establishment of vegetation along a chronosequence of 1- to 28-yr old constructed marshes and (b) a similar soil carbon accumulation rate over 10 years in a natural and created marsh (Craft et al., 2002) and over 20 years in a created mangrove (Osland et al., 2012). In addition, soil depth of this value is not limited to 30 cm (as for mineral soils) according to this IPCC report. The reference studies of the value of 1.62 include various soil depths. This IPCC value is mainly based on the study conducted by Breithaupt et al. (2012) 25 which estimated a geometric mean global organic carbon burial rate of 163 (+39.2; -32) g OC m -2 yr -1 resulting in 1.63 tc/ha/year. This comparative study included 19 studies from Brazil, Columbia, Malaysia, Indonesia, China, Japan, Vietnam, Thailand, Mexico and the United States (Table 2 of this study). The average OC burial rate of the one study included from Indonesia (4 samples taken from Ajkwa River, Irian Jaya) is 581 m -2 yr -1 or 5.81 tc/ha/year which is significantly higher than all of the other sampling site specific averages in the table and only 4 single samples resulted in higher OC burial rates compared to this average. The recently published study by Murdiyarso et al The potential of Indonesian mangrove forests for global climate change mitigation 26 assessed mangrove ecosystem C stocks of 39 mangroves located in eight sites in Indonesia (see map below from the published supplementary information). The mangrove C stocks were partitioned by pools, including aboveground live and dead trees, belowground roots, downed wood, and soils ence=1 26 Available as supporting documentation 88

89 Figure Study sites Murdiyarso et al The following results and implications are derived from this study: 1. The soil organic carbon pool accounts for 78% of the total mangrove carbon pools considered (see graph below) Figure Murdiyarso et al Ecosystem C stocks of mangroves partitioned into dominant pools from eight regions of Indonesia. Vertical bars signify the standard error. 89

90 2. In comparison, Indonesia along with Malaysia and Micronesia (both with significantly lower sample sites) have the highest amount of total mangrove ecosystem carbon stocks of which the majority is stored in the soil. Table Murdiyarso et al Ecosystem C stocks of 10 selected countries 3. The mean C density of soil depths from all sites combined was remarkably similar, ranging from to mgc cm 3. From this, the mean soil C stocks were calculated as 849 ±323 tc/ha for a mean soil depth of around 2m (1.91 m). Applying a conservative estimate of 50 years accumulation (see justification below), this would result in tc/ha/year for this soil depth. 4. The sites are geographically scattered across the Indonesian archipelago and were randomly chosen to be representative for all Mangrove areas in Indonesia. The study sites and the average results obtained from it reflect the conditions of this project, since 5 out of 8 study sites are dominated by Rhizophora species. C. Calculation of default dsoc value for this project 27 General soil carbon stock calculation: In line with Murdiyarso et al (see supplementary information) and standard SOC estimation protocols soil C density is obtained by multiplying soil bulk density by soil C concentration and multiplying with the depth interval: T = Th cm x D x C percent Where T is tons of carbon per hectare, Th cm is the thickness of the sampled layer in centimeters, D is density, and C percent is the percentage of carbon See Excel SOC value justification revised as supporting documentation 28 see page 34 90

91 Based on table S3 of the supplementary information of Murdiyarso et al the dsoc was derived considering a soil layer of 50 cm and using the mean estimates of this study. This soil layer was chosen in order to account for the fact that the age of the mangroves in the study sites could not be derived. Just like aboveground carbon, soil and dead root carbon pools increase in size with increasing age (Donato et al. 2011, Alongi 2012). However, while living biomass eventually reaches a dynamic equilibrium, waterlogged mangrove soils continuously keep on accumulating carbon (Hutchison et al. 2013) 29. Numerous studies have indicated that, with the exception of soils in peatlands, SOC tends to become enriched with soil depth, but usually deeper soil depths need a longer turnover than in the parts where roots biomass have a higher influence 30. Mangrove root systems are very shallow, therefore the selected soil layer of 50 cm is used to derive the dsoc value for this project under the assumption that mangrove net primary productivity (including high litter fall rates and fine root turnover rates) is extremely high for young trees until ages of 20 years slowing down significantly after that (see Ong 1993, attached as supporting document). In addition, for conservative reason the mean values were discounted with 3 standard errors in order to represent the lower bound of the 99% confidence interval. Table S3 Murdiyarso et al Mean bulk density, C content partitioned by depth and site. Numbers are mean ± one standard error. Different superscripted letters denote a significant difference between soil depths (p value = 0.01). 29 See %20and%20mangrove%20ES.pdf 30 carbon+deep+cm&source=bl&ots=4nhmglsi7g&sig=bbv1c6mzz- IyL8NDSZRgPZEhFP4&hl=es&sa=X&ved=0ahUKEwjlto7LhL3JAhUFFg8KHfFiBm8Q6AEIQjAD#v=onep age&q=mangrove%20roots%20soil%20carbon%20deep%20cm&f=false) 91