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47678 Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized The International Bank for Reconstruction and Development / The World Bank 1818 H St. NW Washington, DC 20433 Telephone: 1-202-473-1000 Internet: www.worldbank.org E-mail: [email protected] December 2008, Jakarta Indonesia The World Bank encourages dissemination of its work and will normally grant permission to reproduce portions of the work promptly. For permission to photocopy or reprint any part of this work, please send a request with complete information to the Copyright Clearance Center Inc., 222 Rosewood Drive, Danvers, MA 01923, USA. Telephone: 978-750-8400; fax: 978-750-4470; Internet: www.copyright.com. All other queries on rights and licenses, including subsidiary rights, should be addressed to the Office of the Publisher, The World Bank, 1818 H St. NW, Washington, DC 20433, USA; fax: 202-522-2422; e-mail: [email protected]. The findings, interpretations and conclusions expressed here are those of the authors and do not necessarily reflect the views of the Board of Executive Directors of the World Bnak or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this volume do not imply on the part of the World Bank Group any judgment on the legal status of any territory or the endorsement or acceptance of such boundaries. This report was prepared by a consulting team comprised of Sekala, the Papuan Civil Society Strengthening Foundation and the Nordic Consulting Group under the leadership of Ketut Deddy Muliastra. The study was conceived and managed by Josef Leitmann, with support from Andrew Sembel, both of the World Bank. Administrative assistance was provided by Ms. Anna Widiana. The work was financed by the EAP Strategic Environmental Assessment Program managed by Jian Xie. The peer reviewers were Fernando Loayza (World Bank) and Barry Sadler (external consultant). The World Bank Office, Jakarta Indonesia Stock Exchange Building, Tower 2, 12th and 13th floor Jl. Jenderal Sudirman Kav 52-53, Jakarta, 12190 - Indonesia Ph (62-21) 5299-3000, Fax (62-21) 5299-3111 STRATEGIC ASSESSMENT FOR SPATIAL PLANNING IN PAPUA PROVINCE December 2008 This assessment was supported by The Strategic Environmental Assessment Program of the CONTENTS 1. EXECUTIVE SUMMARY 1 2. INTRODUCTION 5 2.1 Overview 5 2.2 Objective of the Assignment 5 2.3 Scope and Tasks 5 2.4 Methodology 6 3 ASSESSMENT OF SPATIAL DATA ON PAPUA PROVINCE 9 3.1 Provincial and district boundaries 9 3.2 Papua’s geographical zones 9 3.3 Land and forest cover 11 3.4 Forest use categories 12 3.5 Soils 14 3.6 Peat soils 15 3.7 Rainfall 16 3.8 Human populations 17 3.9 Transmigration 19 4 ECONOMIC, SOCIAL AND ENVIRONMENTAL PRIORITIES 21 4.1 Economic priorities 21 4.1.1 Mining 23 4.1.2 Logging 27 4.1.3 Oil palm 28 4.1.4 Industrial timber plantations 29 4.1.5 Agriculture 29 4.1.6 Roads 30 4.1.7 Air and sea transport 33 4.1.8 Fisheries 33 4.1.9 Electricity 35 4.1.10 Telecommunications 36 4.1.11 Tourism 37 4.1.12 Trade 37 4.2 Social priorities 37 4.2.1 Poverty alleviation 37 4.2.2 Health 38 4.2.3 Education 39 4.2.4 Food security 40 4.2.5 Sanitation 40 4.2.6 Improved welfare and rights of indigenous Papuans 41 4.3 Environmental priorities 42 4.3.1 Global warming and climate change 42 4.3.2 Deforestation 43 4.3.3 Peat conservation 45 4.3.4 Watershed management, particularly in Merauke district. 45 4.3.5 Marine conservation. 46 4.3.6 Terrestrial conservation management 46 5 DEVELOPMENT OPTIONS 49 5.1 Transport and access options 49 5.1.1 Business as usual option 49 5.1.2 Prioritize certain road developments 49 5.1.3 Ensure existing roads are well maintained 50 5.1.4 Improve air transport for passengers and cargo 52 5.1.5 Improve sea and river transport 53 5.1.6 Access to education and health services 54 5.1.7 Summary and recommendations 55 5.2 Mining options 56 5.2.1 Business as usual option 56 5.2.2 Utilize mining revenues to promote equitable development that does not result in extensive deforestation 56 5.2.3 Utilize mining revenues to build roads 58 5.2.4 Reallocate protection and conservation forest areas allocated for mining exploration for carbon storage or logging 58 5.2.5 Increase revenue from mining by increasing the tax for utilizing forest lands 59 5.2.6 Summary and recommendations 59 5.3 Forestry options 60 5.3.1 Business as usual option 60 5.3.2 Promote community based logging in production forests 61 5.3.3 Allocate conversion forests for carbon storage and conservation 62 5.3.4 Support and promote best practice 64 5.3.6 Summary and recommendations 69 5.4 Mamberamo options 69 5.4.1 Business as usual option 70 5.4.2 Conserve the Mamberamo region for biodiversity and carbon 71 5.4.3 Allow carefully planned exploitation and development 72 5.4.4 Identify alternative electricity providers 73 5.4.5 Summary and Recommendations 74 6 SCENARIO ASSESSMENT 77 6.1 Business-as-Usual Scenario 77 6.1.1 Transport and access 77 6.1.2 Mining 80 6.1.3 Forestry 82 6.1.4 Mamberamo 84 6.1.5 Economic impacts of the business-as usual scenario 85 6.1.6 Social impacts of the business-as-usual scenario 86 6.1.7 Environmental impacts of the business-as-usual scenario 86 6.2 Sustainable Development Scenario 87 6.2.1 Transport and access 87 6.2.2 Mining 88 6.2.3 Forestry 89 6.2.4 Mamberamo 90 6.2.5 Economic impacts of the sustainable development scenario 91 6.2.6 Social impacts of the sustainable development scenario 92 6.2.7 Environmental impacts of the sustainable development scenario 92 6.3 A comparison of the BAU and the sustainable development scenario 92 6.3.1 A comparison of the economic impacts 92 6.3.2. A comparison of the social impacts 94 6.3.3. A comparison of environmental impacts 95 6.4 Summary 97 7 CONCLUSIONS AND RECOMMENDATIONS 99 8 NEXT STEPS 103 8.1 Follow up assessment with multi-stakeholder workshops 103 8.2 Conduct similar assessment on West Papua 103 8.3 Provide assistance for spatial planning 103 8.4 Facilitate multi-stakeholder consultations and political buy in 105 8.5 Engage district governments in spatial planning process 106 8.6 Training 106 8.7 Informing and Influencing Decision Making 106 8.8 Monitoring and Evaluation 106 9. REFERENCES AND LITERATURE REVIEWED 107 ANNEX 1 : ACTIVITIES UNDERTAKEN FOR THIS STUDY 113 ANNEX 2 : STAKEHOLDER QUESTIONNAIRE 119 ANNEX 3 : COMMUNICATION BRIEF 125 ANNEX 4 : MATERIALS FOR TRAINING WORKSHOP ON SEA 127 A Strategic Assessment 1 1. EXECUTIVE SUMMARY The first phase of the strategic assessment for spatial planning in Papua Province, Indonesia, was carried out during the last quarter of 2007 and the first quarter of 2008. This timing coincided with the United Nations Forum on Climate Change, held in Bali in December 2007, which served to inspire the work done in Papua and which was also part of a parallel process where team members were involved both in the strategic assessment in Papua, as well as in the preparations for the Conference. The strategic assessment has followed an analytical and participatory approach for mainstreaming environmental and social issues into the decision-making and implementation process in Papua. However this assessment is only the first stage of the decision-making process. During the process a baseline and stakeholder assessments were carried out, social priorities have been assessed, spatial data has been compiled and maps have been generated. The assessment of spatial data for Papua (and West Papua1) reveals that the majority of (around 85%) of Papua and West Papua are still covered with intact forests and that, to date, deforestation rates have been minimal over the last decade (in comparison with, for example Kalimantan and Sumatra which have seen large scale deforestation, thus contributing to Indonesia’s status is the world’s fourth largest polluter). The forests of Papua are rich in plant and animal biodiversity, but as regards the human population, Papua is sparsely populated (approximately 17/km2). Most of the population live along the coastal areas which have also accommodated many people from other islands coming to Papua as part of several waves of transmigration; the indigenous Papuan population tends to be most dominant in the highland areas. Papua exhibits a much greater diversity of ethnicities and cultures than any other Indonesian province and supports about 250 languages. Economically, Papua has had very high growth rates (between 2001 and 2005 this was at the rate of some 10% per annum) mostly as a result of mining. However, the mining industry is extremely capital intensive employing less than 1% of the workforce. It is the labour-intensive agricultural sector which accounts for most of the work force – this sector is characterised by traditional farming systems, supplemented by hunting and gathering. The forestry sector is extremely important but also a source of dissension. Central government would prefer to see large-scale logging and the conversion of forests to oil palm plantations; the provincial government has committed itself to the development of community-based logging.

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