Objectives of the Seminar

Transcription

1 Seminar on Ecosystem Restoration Concessions in Indonesia - Potential as a collaborative partner of private sectors for forest conservation June 15, 2017 Embassy of Republic of Indonesia in Tokyo Objectives of the Seminar Hiromitsu Samejima 鮫島弘光 Institute for Global Environmental Strategies 公益財団法人地球環境戦略研究機関

2 Indonesia and Japan have developed closed relationship in recent decades million USD 35,000 30,000 25,000 Trade (Indonesia Japan) 270,957 Indonesian visitors 42,850 Indonesian residents 20,000 15,000 18,214 10,000 Trade (Japan Indonesia) 11,327 5, ,297 Japanese visitors 19,312 Japanese residents 0 Outward FDI (Japan Indonesia) 2,924 (2016) UN Comtrade Database (

3 3 70% 65% 60% 55% Forest cover ratio in Indonesia (FAO 2015) 50% Indonesia has some of the world s richest forest and biodiversity. Intensive logging, conversion to farmland or plantation, and forest fire have degraded and reduced the area of its forests. Deforestation and degradation are now national issues. The Govt. is working hard to reduce the huge vol. of GHG emission from the land sectors, including from peat fires.

4 Japanese private companies are interested in forest conservation in other countries as part of their social contribution No poverty (SDG01) Zero hunger (SDG02) Good health and well-being (SDG03) Quality education (SDG04) Gender equality (SDG05) Clean water and sanitation (SDG06) Affordable and clean energy (SDG07) Decent work and economic growth (SDG08) Industry, innovation, infrastructure (SDG09) Reduced inequalities (SDG10) Sustainable cities and communities (SDG11) Responsible consumption, production (SDG12) Climate mitigation (SDG13) Climate adaptation (SDG13) Life below water (SDG14) Life on land -in Japan (SDG15) Life on land -overseas (SDG15) Peace, justice and strong institutions (SDG16) Partnerships for the goals (SDG17) Number of companies Social contribution activities of 145 listed companies 林野庁委託事業 平成 28 年度途上国森林保全プロジェクト推進事業 (IGES) 林野庁補助事業 平成 28 年度 REDD+ 推進民間活動支援事業 ( 森林総研 ) において共同実施した 熱帯地域の途上国の森林資源利用に関するアンケート による 総回答数 148 社 次ページからも同様 4

5 5 Major activities for forest conservation in other countries by Japanese private companies are green (eco-friendly) procurement, and reforestation and forest conservation as CSR activities Indonesia is one of most popular countries for Japanese private companies to implement forest conservation activities Number of implementing companies Implementing forest conservation activities in overseas Green procurement Mitigation of impact to forest Business contribute forest conservation Self efforts as CSR Support for NGOs or other agents Purcase of REDD+ carbon credit Other Implementation country Indonesia Cambodia Thanland Philippines Vitnam Malaysia Myanmar Other countries

6 Major objectives of private companies to conduct forest conservation overseas are (1) have good reputation in the partner counties, (2) awareness of employee, (3) have good reputation in Japan Implementing forest conservation activities in overseas Green procurement Number of implementing companies Mitigation of impact to forest Business contribute forest conservation Self efforts as CSR Support for NGOs or other agents Purcase of REDD+ carbon credit Other Incentive Risk management Preparation for future regulation Reputaion in partner country Reputaion in Japan Awareness of employees Competitiveness of goods Other

7 Many private companies are conducting forest conservation with partners. Many companies had difficulty to find reliable and capable partners for long-term projects. Number of implementing companies Green procurement Mitigation of impact to forest Business contribute forest conservation Self efforts as CSR Support for NGOs or other agents Purcase of REDD+ carbon credit Other Implementation structure Sole implementation Collaborating with partner country government Collaborating with partner country company Collaborating with partner country NGO Collaborating with internatinal NGO Other

8 8 Total area of Indonesia:1.9 million km 2 Non-forest Including private forests Conservation forest(e.g. national park): State government is responsible for conservation Protected forest: Provincial governments are responsible for protection Forest management in Indonesia Convertible production forest: (to agricultural farm) State forest (Kawasan Hutan) Some areas are not forested any more Production forest: Private companies can get business license (concession) and manage forest themselves Logging concession 天然林木材林産物利用事業許可 (IUPHHK-HA) Maximum 55 years business license million ha (35% of production forest) Industrial timber plantation 産業造林木材林産物利用事業許可 (IUPHHK-HT) Maximum 60 years business license million ha (19% of production forest) Large extent of production forests (mostly ex-logging concession) are open access

9 Ecosystem Restoration Concession / ERC Business License of Timber Products Utilization of Ecosystem Restoration (IUPHHK-RE) Maximum 60 years Restorasi Ekosistem Indonesia (Hutan Harapan) ERC of an oil palm plantation company ERC of coal mining companies ERCs of Industrial timber planation companies(april, APP) Ekosistem Khatulistiwa Lestari Restorasi Habitat Orang Hutan Indonesia Rimba Raya Rimba Makmur Utama Conservation Restorasi Ekosistem Indonesia Restorasi Habitat Orang Hutan Indonesia Launched in 2004 First license issued in 2007(PT Restorasi Ekosistem Indonesia) Most ERCs are ex-logging concession. Restoration of degraded forest is expected and commercial logging is not allowed (at least until the forests are restored) New business based on forest resources including non-timber forest products and ecosystem services are promoted 9 ERC aiming to sell carbon credits (VCS and CCB certified) Rimba Makmur Utama NGO-based/supported ERCs May licenses for 623,075 ha in total issued Ekosistem Khatulistiwa Lestari Rimba Raya Conservation

10 Government of Indonesia has ceased issuing new logging / plantation licenses for primary forests and peatlands since The government is targeting the allocation of 1,932,330 ha for new ERCs New ideas for forest management combine with forest conservation, besides traditional logging and pulp and paper, are required for ERC. (ha) 700, , , ,000 Total area of ERC Different from conservation and protected forest directly managed by government, private companies can have the right to innovate cost-effective and breakthrough ways for forest conservation 300, , ,000 0 Question for this Seminar: What roles can Japan s private sector play in ERCs to promote forest conservation in Indonesia?