Tropical Deforestation in Indonesia
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Tropical Deforestation in Indonesia Katrina Severin [email protected] Energy Law Professor Fred Bosselman December 8, 2010. Presentation Overview. Impacts of D eforestation - Climate Change Indonesia - New democracy

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Tropical Deforestation in Indonesia Katrina [email protected] LawProfessor Fred Bosselman December 8, 2010


Presentation overview
Presentation Overview

  • Impacts of Deforestation

    - Climate Change

  • Indonesia

    - New democracy

    - Demand for timber, palm oil, biofuels

    3. International Policy

    -REDD, Reduced Emissions

    from Deforestation and Degradation

    4. Future Prospects


1 the role of tropical forests
1. The Role of Tropical Forests

  • Filter air

  • Store and sequester carbon

    • Afforestation pluses

    • Store 50% more carbon

  • Keep the earth cool

    • Regulate temperature

    • Adaptation to climate change

  • Regulate rainfall

  • Nurture its biodiversity

  • Provide valuable resources


Deforestation trends
Deforestation Trends

  • In 2010, Indonesia fastest deforestation rate in the world

  • 40% lost since 1950

  • In 1900, 170 million hectares, today 98 mh

  • Losing 2% each year, 1.8 million hectares=7,000 sq miles


2 indonesia
2. Indonesia

  • Sumatra

  • Kalimantan

  • Sulawesi


Top greenhouse gas emitters mtco 2 e
Top Greenhouse Gas Emitters MtCO2e

  • peat decomposition

  • peat fires/slash and burn

  • forestry/land use changes

2007 World Bank


Causes of forest loss in indonesia
Causes of Forest Loss in Indonesia

  • Corrupt rule

  • Weak protection of

  • communities rights

  • Unenforced laws

  • Short term economic growth


Suharto s kleptocracy
Suharto’s Kleptocracy

  • 1967 ousted communists

  • “New Order” regime

    • Development agenda

    • natural resource exploitation

  • State claimed 90% of country’s forest

    • Military as overseer of forests

  • Timber concessions as political favors

    • 62 million hectares to cronies

  • Subsidies to timber industry


President yudhoyono any better
President Yudhoyono: any better?

  • Former army general, elected in 2004

  • “Collusive Democracy”

  • Pledged 26% GHG emissions cut by 2020

  • Transparency International

    • Corruption Perception Index 110/178 countries

    • In Suharto’s day, top 5

  • Tenure disputes and violent conflicts

    over ownership rights


Government promises yawn
Government Promises...yawn

  • 1980 Ban on log exports

    • Suharto cornered market

  • Government Reforestation Fund

    • $5 billion embezzled

  • Industrial tree plantation policy

    • Permits are pretext to liquidate natural forest

  • 2007 Announced plan to cut forest fires in half

    • Up 60%

  • 2011 2 year moratorium on new concessions

    • New sizeable concessions just granted


  • Demand for timber palm oil and biofuels
    Demand for Timber, Palm Oil, and Biofuels

    • Pulp and paper exports

      -Demand 4.9 million m3/yr in 1990 to 36.7 million m3/yr in 2008

      -APP and April largest exporters

      -Forestry revenues $20 billion

    • Largest producer of palm oil

      • Home to young tree population, increased yields

        and acreage

    • Biofuels

      • Rising global demand for alternatives to carbon-based fuels

      • Cheap availability of feedstock


    3 international help
    3. International Help?

    • REDD-Reduced Emissions from Deforestation and Degradation

      • Outcome of governments, NGOs, scientists, and investors

      • Rich countries pay poor ones

  • 2005: COP11 Montreal, Papua New Guinea and Costa Rica propose including tropical deforestation into UNFCCC CDM mechanism

  • 2007: COP13 Bali , REDD approved

  • 2009: COP15 Copenhagen

    • Developed countries pledged $4.5 billion for REDD

    • INVEST –PES


  • How do you count it
    How Do You Count It?

    • Recognizing seriousness of trend complicated by difficulties in:

      1. Creating baseline inventory

      2. Determining area

      3. Accounting for different rates of deforestation

      4. Ineffective, inefficient and immature carbon markets

      5. Old growth primary v secondary forest


    Redd in indonesia
    REDD in Indonesia

    • Indonesia has 17.5% of all REDD projects globally

    • Norway promises $1 billion

    • APP will not move ahead with a 15,000 hectares project in Riau province

    • Indonesia’s National Council on Climate Change puts opportunity cost of forgoing oil-palm plantation at $30/ton.


    Cop16 cancun focus redd
    COP16: Cancun, Focus REDD

    • 2010: REDD Partnership, Oslo

      • 58 countries

      • Norway and UK pledged cash by 2012

      • Forest-carbon credits or carbon tax?

      • EU- ETS needs to be updated

  • Need to secure financing

  • Mechanism for Measuring, Reporting and Verification (MRV)

  • But.... high level of mistrust


  • Prospects for success
    Prospects for success?

    PNG

    Indonesia

    Ownership by state in flux

    Private sector ill-developed

    Heavy NGO presence

    Poor political will

    Government subsidies for timber plantation development only increasng

    Uniliver, Kraft, P & G

    FSC dropped major timber players

    • Ownership is customary

    • Private sector developed

    • Heavy NGO presence

    • Political will

      • Office of Climate Change senior officials suspended

    • Forest Authority instituted timber-legality tracking system

    • FSC active


    4 prospects for slowing deforestation
    4. Prospects for Slowing Deforestation

    • Clearer definition of land ownership, title tracts, and

      contracts

    • Accountability of local government officials

    • Withdrawal of development assistance if sustainability goals not met

    • US needs to show leadership


    4 the future
    4. The Future?

    • Begin a slow phase out ineffective subsidies of fossil fuels and timber products

    • Provide free legal assistance clinics in indigenous areas

    • Develop partnerships between big multinationals

      • Reign in China who is planting trees by the millions!

  • Invest in a monitoring, verification, and auditing mechanisms

  • ... Reformists are gaining ground !


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