Impact of Land Use Change on Carbon Stock and GHG Emissions in New Oil Palm Plantings - Case Studies from Musim Mas Group -

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Impact of Land Use Change on Carbon Stock and GHG Emissions in New Oil Palm Plantings - Case Studies from Musim Mas Group - By Dr Gan Lian Tiong, Musim Mas Group Head of Sustainability

Introduction Over the past few decades the oil palm has been one of the most rapidly expanding tropical crops in the world. It has become the driver of land use change leading to degradation of habitats for biodiversity and ecological services (Koh & Wilcove 28). Oil palm is reported to be responsible for 16% of total GHG emissions from land use change and peat oxidation in Indonesia (Agus et al. 213). Expansion of oil palm is expected to continue to feed increasing world population: an additional 12 million hectares will be needed by 25 (Corley, 29).

It is an imminent RSPO requirement that new plantation developments must estimate land use change, identify major potential sources of emissions and develop a land use plan to minimize net GHG emissions. The revised P&C 213 requires new plantation developments to conduct land use change (C 7.3.2) and estimate the carbon stock of the proposed development area (C. 7.8.1). Major potential sources of emissions that may result directly from the development be identified and estimated (C. 7.8.1). A plan to minimize net GHG emissions by avoidance of land areas with high carbon stocks and /or by sequestration options must be developed (C 7.8.2).

RSPO Carbon Assessment Procedure for New Plantings Provides a practical methodology to growers. For estimating the carbon stock changes (above and below ground) and GHG emissions in new oil palm development. Developing plans to minimise loss of carbon stocks and GHG emissions with land conversion..

Two case studies are reported in this presentation. Case study 1 is a new oil palm plantation located in West Kalimantan. This was reported in NPP on 7 January, 211. The land use change analysis is based on a 21 Landsat 7 ETM+ satellite image for the before commencement of planting data and after oil palms have been planted from 212 214 using 8 TTM+ satellite imagery 214. Case study 2 is located in Central Kalimantan involving new oil palm planting, reported in NPP on 13 December, 212. The land use change analysis is determined by mapping the planned oil palm expansion areas from 213 215 on the 7 ETM+ satellite imagery 212.

Remote sensing is used to determine land cover and land use change in new oil palm development. The impact of land use change on carbon stock and GHG emissions is examined using the following methods: Land cover analysis is based on Lansat satellite imageries. Land use change analysis is based on change in land cover arising from the new oil palm planting. Carbon stock values are calculated using default values of the RSPO PalmGHG calculator. GHG emissions are calculated using the RSPO PalmGHG calculator (v 1.2. and v 2).

Approach to Estimation of GHG Emissions Lansat Satellite Imagery Land Cover Analysis Land Use Change Analysis Carbon Stock Analysis GHG Emissions Analysis

Approach to Estimation of GHG Emissions Lansat Satellite Imagery Land Cover Analysis

An example of land cover analysis using satellite image Case study 1 Land cover estimated from 7 ETM+ Landsat satellite Land Cover Degraded secondary forest Mixed rubber cultivation Shrub land Open land Total Ha 544.14 5,562.89 2,695.65 197.31 9,. % 6.5 61.81 29.95 2.19 1. Landsat 7 ETM+ Satellite 21

Verification of land cover based on the data from participative survey by the Public Relation Team Land Cover Degraded secondary forest Mixed rubber cultivation Shrub land Open land Total From Landsat Data Ha % 544.14 6 5,562.89 62 2,695.65 3 197.31 2 9,. 1 From Survey Data Ha % 4,248.49 47 4,59.87 5 241.64 3 9,. 1 Verification was carried out as follow: Overlaying HCV map on Landsat image. Overlaying Landsat images and participatory survey map. Overlaying the Landsat images and HCV maps over the participatory survey map.

Reconciled Land Use Classification in 21 Land Cover Degraded secondary forest Mixed rubber cultivation Shrub land Open land Total Ha 544.14 4,248.49 3,965.73 241.64 9,. % 6 47 44 3 1

Approach to Estimation of GHG Emissions Land Use Change Analysis

Land use planning Case study 1 Case study 2

Land Use Change Analysis Case Study 1 Land Cover Total Area (ha) 21 Degraded secondary forest Changes in 214 Mixed rubber cultivation Shrub land Planted area (Oil palm) Degraded secondary forest 544.14 41.76 56.35 86.3 Mixed rubber cultivation 4,248.49 1,6.95 2,677.49 564.6 Shrub land 3,965.73 1.57 1,993.57 1,961.59 Open land 241.64 25.52 192.78 23.34 Total 9,. (1%) 41.76 (4.5%) 1,43.4 (11.6%) 4,92.18 (54.7%) 2,635.2 (29.2%) 275 ha of peat land and 42 ha of degraded secondary forest were left unplanted and set-aside.

Shrub land Open land Land Cover Degraded secondary forest Cultivated land Planted area (oil palm) Total Percentage Area in 212 (Ha) 739.88 11,2.49 1,466.91 382.86 2,47.71 16,62.85 Land Use Change Analysis Case Study 2 % 5% 68% 9% 2% 15% 1% Land use change from oil palm planting 213 215 (Ha) Degraded secondary forest 739.88 739.88 5% Shrub land 6,49.39 6,49.39 37% Cultivated land 92.43 92.43 6% Planted area (oil palm) 4,953.1 546.48 258.94 2,47.71 8229.23 51% Open land 123.92 123.92 1% 7,637.35 ha of peat land and 74 ha of degraded secondary forest are left unplanted and set-aside

Approach to Estimation of GHG Emissions Carbon Stock Analysis

Above and Below Ground Carbon Stock (Ton C) Case Study 1 Land Cover Total Area (ha) 21 214 Carbon Stock/ ha (Ton ha 1 )* Total Carbon Stock (Ton C) 21 214 Degraded secondary forest 544.14 41.76 128 69,649.92 51,425.28 Mixed rubber cultivation 4,248.49 1,43.4 75 318,636.75 78,228. Shrub land 3,965.73 4,92.18 46 182,423.58 226,328.28 Open land 241.64.... Planted area (Palm Oil). 2,635.2 5. 131,751. Total 9,. 9,. 57,71.25 487,732.56 C Stock/Ha 63.41 54.19 *Source : RSPO Carbon Assessment Tool for New Oil Palm Planting, June 214.

Above and Below Ground Carbon Stock (Ton C) Case Study 2 Shrub land Open land Land Cover Degraded secondary forest Cultivated land Planted area (oil palm) Total Total Area (Ha) 212 739.88 11,2.49 1,466.91 382.86 2,47.71 16,62.85 C Stock/Ha 215 739.88 6,49.39 92.43 123.92 8,229.23 16,62.85 *Source : RSPO Carbon Assessment Tool for New Oil Palm Planting, June 214. Carbon Stock/ ha (Ton C/ Ha)* 128 46 75 5 Total Carbon Stock 212 215 94,74.64 94,74.64 56,114.54 278,271.94 11,18.25 69,32.25.. 123,535.5 411,461.5 834,372.93 853,47.33 51.94 53.13

Approach to Estimation of GHG Emissions GHG Emissions Analysis

Sources of GHG emissions from new oil palm planting Case Study 1 (PalmGHG v 1.21) Plantation/Field Emissions and Sinks No Emissions Emissions Sources tco2e tco2e/ha 1 Land Conversion 21,53.92 9.18 2 Fertilizer (mineral) manufacture & transport 762.64.33 3 Fuel Consumption 944.4.41 4 Peat Oxidation Sinks 5 Crop Sequestration 36,342.9 15.84 6 Sequestration in Conservation Area Total** 13,582.25 5.92

Sources of GHG emissions from new oil palm planting Case Study 2 (PalmGHG v 1.21) Plantation/Field Emissions and Sinks No Emissions Emissions Sources tco2e tco2e/ha 1 Land Conversion 39,428.26 6.85 2 Fertilizer (mineral) manufacture & transport 6,31.82 1.1 3 Fuel Consumption 153.64.3 4 Peat Oxidation Sinks 5 Crop Sequestration 129,535.14 22.49 6 Sequestration in Conservation Area Total** 83,642.42 14.51

No 1 2 3 4 5 6 7 8 9 Sources of GHG emissions from new oil palm planting Case Study 2 (PalmGHG v 2) Description tco2e tco2e/ha tco2e/t FFB tco2e/tcpo Land Use Emission Land Conversion 39,428.26 6.85.27.94 Crop Sequestration 129,535.14 22.49.9 3.13 Sequestration in conservation areas.... Peat oxidation.... Estate Operation Emission Fertiliser (mineral) manufacture transport 6,31.82 1.1.4.14 N2O from fertilizer (mineral) application 7,26.26 1.25.5.17 Fuel consumption 153.64.3.. Mill Operation Emission POME (Methane capture).... Mill Fuel Consumption 78..1.. TOTAL 74,358.16 13.26.53 1.88

Discussion and Conclusions The case studies have indicated that land cover change has a significant impact on the carbon stock values and GHG emissions in new oil palm plantings. Forest areas and peatland are associated with high emission factors. Avoidance of these from planting will significantly help reduce the GHG emissions in the new oil palm planting. Land cover change from those with a higher carbon stock value (e.g. mixed rubber areas) to those with a lower carbon stock value (e.g. shrub land) will results in lower carbon stocks in the after planting period.

Remote sensing methods provide a quick, practical and a relatively low cost way to determine land use and analyze land use change. The method provides a good indication of outcomes. The PalmGHG Calculator is designed to estimate GHG emissions from oil palm cultivation and field operations. It is also designed to estimate GHG emissions from new oil palm plantings. It enables identification of the potential sources of emissions that may result directly from the development.

Reducing GHG emissions from land use change will help mitigate climate change and contribute significantly to national emission reduction targets. Accounting for potential emissions from new oil palm plantation expansion is essential in arriving at a planting plan which would minimize net GHG emissions.