sabah development corridor _168 CHAPTER 7

Embracing the Future by Conserving Age-Old Natural Endowment

development corridor _169 sabah development corridor _170 CHAPTER 7 Conserve and Protect the Environment for Future Generations

Protecting the environment is one of the three principles of this Blueprint to enable sustainable growth in industries such as eco-tourism, agriculture and manufacturing, as well as to leverage Sabah’s biodiversity to flourish. In the case of Sabah, biodiversity is a vital asset and major natural endowment of the state. Here in the north of , the range of flora, fauna and coral life is one of the most extensive in the world.

Clearly, maintaining the health of the environment through conservation of land, forests and biodiversity is vital to the SDC. Environmental monitoring, land-use planning, education and awareness, and mitigation measures to address possible environmental impacts are key areas of focus for managing the environment during the implementation of the SDC Blueprint.

7.1 Overview of Sabah’s Forest Reserves and Biodiversity

Geographically, Sabah is fortunate to have two-thirds of its borders as coastline - over 1,440 km in length, with the South China Sea to the north-west, the Sulu Sea to the north-east and the Sulawesi Sea to the south-east.

Apart from the mainland, Sabah also has over 497 islands36, including ’s only oceanic island, Sipadan Island. In terms of physical characteristics, Sabah has a rugged topography. It has cultivated coastal plains, while further inland it has forests and mountain ranges.

A part of the state also features an enormous swampy, forest-covered flood plain along with the longest river, the Kinabatangan, which is dotted with ox-bow lakes and limestone outcrops, and contains the richest natural freshwater fisheries in Malaysia.

36 Jabatan Pemetaan Malaysia

sabah development corridor _171 As of 2005, 59% of Sabah’s land mass was covered with forest. The composition of Sabah’s forest (known as forest estate) is listed in Figure 7.1. The forest of Sabah is classified into seven classes. The Class II Commercial Forest Reserve (or Production Forest) has the largest hectarage (2.7 million hectares), followed by Class I Protection Forest Reserve and Class V Mangrove Forest Reserve.

Figure 7.1: Permanent Forest Estate in Sabah (2007*)

Permanent Forest Estate in Sabah (2007) 132,653 Hectares 92,401

7,355 21,284 320,522

2,682,636 3,604,867

348,016

Protection Commercial Domestic Amenity Mangrove Virgin Wildlife Total forest forest forest forest forest forest reserve reserve reserve reserve reserve reserve reserve

Class I Class II Class III Class IV Class V Class VI Class VII

Note: *Includes areas to be gazetted as PFE Source: Forestry Department Sabah

In terms of biodiversity, there have been numerous research studies conducted to determine the status of Sabah’s biodiversity in the past three decades. Table 7.1 details some of the works initiated pertaining to this subject matter.

sabah development corridor _172 Table 7.1: List of Authors and their Research on Sabah’s Flora and Fauna

No. Authors Number of Research Items Species

1. Van Steenis (1950), Kiew (1984), 10,000 – 20,000 Flowering plants (represent Mat Salleh et al., (1992) 5-6% of the world’s total) 2. Payne et al., (1985) 220 Wild land mammals 3. Otsuka (1988) 900 Butterflies 4. Rajaratnam (1997) 449 Birds 5. Inger and Chin (1990) 155 Freshwater fishes 6. Inger and Stuebing (1997) 140 Frogs 7. Inger and Tan (1996) 145 Snakes 8. Thapa (1981) 103 Termites 9. Beaman and Beaman (1990) 4,000 Vascular plants

Source: IDS (1998) ”Sustainable Utilisation of Non-Timber Forest Products: Issues and Prospects”

Sabah’s rich flora and fauna must be protected for future generations.

sabah development corridor _173 7.2 Key Challenges

As the state develops, a number of critical challenges will impact the stability of the environment in Sabah. The environment will continue to be strained if economic development is not planned with sustainability in mind. On the outset, the key challenges that need to be tackled include: sustainable harvesting of natural resources (especially timber), lack of integrated approach to conservation, habitat fragmentation, inadequate wastewater treatment systems, pollution from industries and absence of statutory regulation on Good Agricultural Practices (GAP).

7.2.1 Sustainable Utilisation and Harvesting of Natural Resources

Forest Activities For the last three decades, the volume of logs extracted from the natural forest has been far greater than the natural timber regeneration rate. This conventional practice has over time reduced the raw material supplies to feed downstream industries, resulting in the substantial closure of various timber processing mills throughout the state.

Mindful of the issue, the Sabah Government has taken a positive step by embarking on a sustainable forest management policy where only the tree growth volume is extracted from the forest. Following a lengthy effort and substantial amount of investment, was certified and internationally recognised as the first natural forest managed in a sustainable manner. Moving forward, more forests would be harvested based on the Deramakot model to encourage sustainability.

Fishery Activities Related to the excessive harvesting of natural resources is the need to contain the risks of excessive fishing which impacts the sustainable development of the aquaculture industry. This has a direct impact on the fishery industry resulting in the need for the Sabah State to import fish, with an associated loss in foreign exchange and reduction in food security.

The use of destructive fishing methods such as small-sized nets, illegal pump boats, fishing using electricity and poison, encroachment of medium-sized trawlers on inshore waters and incidental catching of endangered marine species such as dugong and turtles are urgent issues confronting Sabah’s fishing industry.

Environmental protection efforts will continue to focus on prevention against incidental catching of endangered marine species and illegal, destructive fishing methods such as fish bombing which destroys precious coral reefs. sabah development corridor _174 Agriculture Activities The development of industrial crop plantations such as oil palm, if unregulated in the absence of systematic management, will have significant bearing on the environment. Oil palm plantations located too close to a river system and road side, without proper provision for riparian and buffer zones, would result in environmental impact such as riverbank erosion, surface water run-off with fertilisers and herbicides flowing into the river system, water pollution and loss of riverine biodiversity.

In some cases, fragmented development of agriculture activities without proper planning and management could result in habitat fragmentation which is a threat to wildlife movement and survival.

The absence of a riparian reserve or buffer zone along river systems is a threat to wildlife communities inhabiting the river ecosystem. Irresponsible agricultural development has in the past extended up to the riverbanks. In addition, open burning activity on private land adjacent to forest reserves and land clearance adds to biodiversity loss.

Swamp and Mangrove Areas The biggest threat to swamp and mangrove areas is the complete clear felling of tracts of the swamp especially along the coastline and along the river banks. Activities resulting in such clearing include (a) property development by reclamation of swamps; (b) aquaculture in earthen ponds; (c) bunding and draining of swamps for the planting of oil palm; and (d) resort development where construction is extended to the edge of the river bank.

During the SDC implementation period, there will be systematic planning against future loss of biodiversity in terms of terrestrial (including forest and peat swamp) and marine (including mangroves) biodiversity.

Biodiversity on land in Sabah is contained in the forest37. Thus, every hectare of forest converted to alternative land-use may result in loss of biodiversity from that hectare. In the past, repeated logging has resulted in the loss of biodiversity, in favour of weedy “pioneer” plants.

It is fortunate that no species has yet become extinct in Sabah, but there have been historical losses of intra-species genetic diversity. Some plants and invertebrate animal species most sensitive to disturbances are likely to drift to extinction in the absence of active forest restoration efforts. This is an area that will be mitigated through the SDC plan.

37 Several different types including (lowland dipterocarp forests, hill dipterocarp forests, conifer forests, lower montane forests, upper montane forests, peat swamp forests, freshwater swamp forests, kerangas forests, kerapah forests, transitional forests, mangrove forests and forests on ultrabasic soils).

sabah development corridor _175 7.2.2 Industrial Pollutants (‘Brown’ Environmental Issues)

Aside from the ‘green’ environmental issues highlighted in the previous section, there are several key risks in terms of the ‘brown’ environment which are associated with industrial development. Programmes will be designed to mitigate these risks which include inter alia: • Enhancing the treatment of palm oil mill effluent (POME) by providing incentives for companies to adopt cleaner technologies • Enforcing requirements for buffer zones on rivers near plantation estates • Strengthening DOE monitoring stations along major rivers in Sabah to check against excessive sedimentation • Ensuring stringent adherence to zoning and better waste treatment in industrial estates (for example, food separated from heavy industries) • Ensuring systematic management of organic waste in industrial farms (for example, checking against manure dumped into rivers and streams) • Allocating more resources for efficient solid waste handling systems • Providing facilities in Sabah to handle scheduled waste (used oil and toxic waste among others)

Lack of Integrated Approach to Conservation Currently, there are active programmes across the full spectrum of conservation needs which are anchored by the respective government agencies (Forestry Department and among others), local district councils and NGOs. While this has served the state thus far, moving forward, there is a need to bind these conservation efforts into an integrated approach towards environmental monitoring, conservation and enforcement. This would ensure better co-ordination, systematic planning and better utilisation of conservation resources.

Currently, there is an overlap in jurisdiction and responsibility for natural resource management. National Parks and Forest Reserves cover similar assets where the boundaries of the land between park and forests are often not clear-cut.

Elements of the integrated approach should include: • Integrated environmental information management system • Integrated water resources management spanning catchment areas, water supply and enforcement against water pollution

sabah development corridor _176 • Overall programme management oversight anchored by key government agencies, for instance the Department of Environment (‘Brown’ environment) and Environment Protection Department (‘Green’ environment) • Clear definition of scope and targeted outcomes for each respective stakeholder

7.2.3 Habitat Fragmentation

Apart from logging and conversion of former forest to alternative land uses, there is an additional threat to biodiversity and the survival of large animals – fragmentation of forest habitat into small patches. The empirical rule is that the larger a piece of forest, the more species it contains. If large tracts of forest are divided by land-use changes, it is just a matter of time before large animals, naturally rare species and species sensitive to change will drift to eventual extinction. Only very large areas of continuous forest (for example, greater than 1 million hectares) in good condition will be able to retain the full complement of their original species composition.

7.2.4 Inadequate Wastewater and Sewerage Treatment Plants

Inadequate sanitation facilities in major urban centres such as Kota Kinabalu, Sandakan and have a direct bearing on the environment. Most urban towns in Sabah lack centralised wastewater and sewerage treatment plants. This is compounded by the lack of maintenance of the present wastewater treatment system, such as leakages in the main sewerage lines due to aged sewerage pipes and insufficient funds.

With regard to sanitation and public health in rural districts, (for example, Sipitang, Kudat and Tambunan) gravity water and rain are the main sources of treatment for sewerage in the villages.

The capacity of the current water treatment and processing plants will be enhanced to take into account planning for adequate waste treatment systems in major island resorts and diving sites such as Sipadan Island and the various marine parks across Sabah.

sabah development corridor _177 7.2.5 Sustainable Agriculture Practices

Currently there are insufficient guidelines and enforcement capacity relating to the following: • Excessive use of pesticides and fertilisers on plantation estates • Conformance to relevant state legislation with regard to riparian reserves (in the vicinity of rivers), buffer zones and social displacements • Best practices or code of conduct for aquaculture • Agriculture enactment to regulate pesticide use, which limits the export potential of agriculture products

Measures will be put in place to mitigate the above pollution risks during the SDC implementation. These measures are not meant to impede the agriculture sector but are in line with the overall vision to develop Sabah into a centre of excellence for sustainable agriculture practices. There may be initial costs to plantation owners but this will be mitigated by access to more discerning markets and possibility of commanding premium pricing in future.

Co-ordination with the State Department of Agriculture will be undertaken to address the above issues, leveraging on standards issued by the Roundtable on Sustainable Palm Oil (RSPO). If necessary, these standards can be translated into law with a management authority to address such issues like implementation of better practices, control over toxic chemicals used in agriculture, and so forth.

7.3 Strategies

To enhance the conservation and protection of the environment in Sabah, a number of strategies need to be developed: • Formulate a State Policy on the environment in line with the National Policy on the same • Enhance monitoring and enforcement in terms of capacity building and manpower training • Manage development impacting the rainforests, marine life, wildlife and water resources • Designate or gazette specific areas as ‘Special Management Areas’ within which all development will be regulated to comply with best practices in terms of sustainability; key sites are Kundasang and Kinabatangan

sabah development corridor _178 • Ensure better infrastructure planning – in particular, there should be “ecological corridors” mandated or restored across major roads • Explore the use of unused land in rural areas and clearly demarcate environmentally sensitive areas • Partner with high quality NGOs and large corporations for funding, capacity building and positive perception management • Cultivate and increase awareness, education and training for the general public, tourists and industry

Figure 7.2: Summary of Key Strategies for Balanced Conservation of Environment

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Biodiversity Infrastructure s0RESERVEMARINEAND s-ANAGESEWAGEAND "Y WILDLIFE SOLIDWASTE MOSTLIVEABLE s0RESERVEFLORAANDFAUNA s0ROTECTSETTLEMENTS PLACEIN!SIA s''AGREEMENTSON RIVERSYSTEMS MANGROVE PROTECTIONOFHIGHLY MIGRATORYSPECIES

Sustainable development s0ROMOTECERTIFICATIONOF Physical conservation AGRICULTUREPRODUCETO s3HORELINEMANAGEMENT COMPLYWITHCREDIBLE s#ONSERVE7ORLD(ERITAGE SUSTAINABLESTANDARDS SITES EG230/

7.4 Programmes and Projects

The following section depicts the main programmes and projects currently on-going that contribute towards preservation of Sabah’s environment for future generations. New conservation programmes will be planned in line with the strategies that are identified in this Blueprint.

sabah development corridor _179 7.4.1 Heart of Borneo

On February 12, 2007, a tri-country declaration was signed between the Governments of Brunei Darussalam, Indonesia and Malaysia to conserve the ‘Heart of Borneo’ – one of the most important centres of biological diversity in the world, covering around 220,000 square kilometers of equatorial rainforests. While Borneo has a long history of research and exploration, there are still thousands of plants and animal species yet to be discovered.

sabah development corridor _180 Sabah has one of the most diverse biological resources in the world.

The ‘Heart of Borneo’ initiative seeks to manage and conserve the second largest contiguous forest landscape in the world by leveraging on trans-boundary collaboration of governments, engaging local interests in short- and long-term planning, and securing sustainable and long-term finance, with the co-operation led by the Bornean governments and supported by a global effort.

‘Heart of Borneo’s’ Vision is to: …co-operate in ensuring effective management and conservation of a network of protected areas, productive forests and other sustainable land-uses within the area called ‘Heart of Borneo’, thereby maintaining Bornean natural heritage for the benefit of present and future generations, with full respect of each other’s sovereignty and territorial boundaries, and also without prejudice on the on-going negotiations on land boundary demarcation. as signed by the three Ministers during the ‘Heart of Borneo’ Declaration February 2007, Bali

The initiative is aimed at conserving and sustainably managing the biological diversity of the ‘Heart of Borneo’, especially the endangered orang utan, elephant, rhinoceros, bay cat (catopuma badia) and banteng.

sabah development corridor _181 7.4.2 Kinabatangan Corridor of Life

The Kinabatangan Corridor of Life (KCoL) includes a floodplain stretching from the upland forests of the Deramakot Forest Management Unit to the coastal mangroves at the mouth of the . The 27,000 hectares below the Kinabatangan floodplain was declared a protected area in 1997 and later upgraded to Wildlife Sanctuary in 2001 through the efforts of the World Wildlife Foundation (WWF).

Aerial view of the Kinabatangan River.

sabah development corridor _182 This sanctuary is home to many rare and endangered species, including the proboscis monkey, elephant, orang utan, rhinoceros, and a great variety of birdlife. It is arguably the last forested floodplain in Asia and Malaysia’s largest floodplain which acts as a water filtering system to the environment and water catchment area to the Eastern Sub-Region.

At present, WWF Malaysia has two Memoranda of Understanding (MoU) with oil palm plantations in Kinabatangan. With the MoU, efforts are being made to return parts of the oil palm land back to the natural forest to provide a Corridor of Life for wildlife within the area.

The intent of the Corridor of Life is to create an area of sustainable development where industries (currently palm oil and tourism), local communities and nature can thrive together in harmony. It is already a tourism and agriculture icon for the region.

There is a need for effective management of land, water and the aquatic environment in Sabah with particular attention to the Kinabatangan floodplain. The management of the Kinabatangan Basin will take into account the wide range of ecological, economic and social factors and needs. There is an urgent call for better co-ordination and co-operation among relevant agencies involved in water resources and environmental management. To this end, the Department of Irrigation and Drainage (Sabah) is developing an Integrated River Basin Management (IRBM) Plan for the Kinabatangan River Basin with assistance from WWF. The IRBM Plan incorporates sustainable management of land and water resources and the environment in a total system. IRBM is a method for resolving land-use and water-related issues in a sustainable manner.

A programme to acquire and/or offer incentives that would enable Sabah to restore the KCoL by restoring natural vegetation along the river banks will also be considered. Some of the restored forests should strictly be for biodiversity conservation purposes, which will support responsible eco-tourism and bio-prospecting, while other parts could be used for sustainable wood production.

7.4.3 Sulu Sulawesi Marine Eco-Region

The Sulu Sulawesi Marine Eco-Region (apex of the Coral Triangle) is a seascape that stretches from Southern Philippines to Sabah, Sulawesi and Eastern Kalimantan. It is part of the Coral Triangle which is well known as a centre of marine biodiversity globally.

sabah development corridor _183 Marine life thrives in the waters of Sabah.

There are efforts underway by the various governments involved, to manage and protect these areas in better ways. Towards this end, currently there are multiple international organisations also working in the Coral Triangle, which is an area of extreme global importance for fisheries and other marine resources.

7.4.4 Marine Parks as World Heritage Sites

Marine parks such as Sipadan Island and (encompassing eight islands) should be gazetted as World Heritage Sites.

Sipadan Island Sipadan Island’s uniqueness and remarkable geological features, diversity in species of hard and soft coral reefs, and other marine flora and fauna have led to it becoming a world-class diving destination.

Marine parks offer visitors an opportunity to appreciate Sabah’s marine ecology first-hand.

Tun Sakaran Marine Park This park is unique as it contains people living within its boundaries and is a multiple-use area designed to protect biodiversity and manage fisheries. Residents of the park are

sabah development corridor _184 allowed to fish and grow seaweed in designated zones. It is the only marine protected area in Sabah to include private land and to cater for various types of resource use not permitted in other marine parks.

The stunning coastlines of Manukan Island.

These marine parks are managed by Sabah Parks with the following objectives, namely to: • protect the environment • safeguard livelihoods • promote sustainable use of natural resources • encourage environmentally sensitive development • build public awareness on the importance of the parks

sabah development corridor _185 7.4.5 Semporna Islands Darwin Project

Following the successful completion of the Sipadan Island Project, Sabah Parks and Marine Conservation Society are now working together on a new programme called Community Action for Sustainable Use and Conservation of Coral Reefs which was launched in 2005. This is known as the Semporna Islands Darwin Project, acknowledging the link with the previous project and the initiative through which it is funded. The project is being implemented within the Marine Park, but will have a wider impact by building the capacity to apply similar concepts in other sites in Sabah.

7.4.6 Tun Mustapha Marine Park

The waters surrounding Pulau Banggi, Balambangan and Malawali, including Teluk Marudu and the northeast coast of Sabah, contain significant global biodiversity. The area constitutes Malaysia’s second biggest concentration of coral reefs and hosts other significant habitats such as the nationally rare sea grass beds and extensive mangrove forests.

Currently, this area is heavily threatened by over-fishing, destructive fishing and uncontrolled coastal development. Recent studies also suggest that fish resources are heavily over-used and tropic structures severely degraded.

In 2003, the Sabah Government declared its intention to gazette the area as a marine park. The proposed Tun Mustapha Marine Park will be a revolution for marine conservation and fisheries management not only in Sabah but also Malaysia. This project aims to support the development of the park and ultimately, restore fish populations and a healthy ecosystem to these globally important reefs.

This project is intended to create greater awareness as well as support for the development of the park and its objectives of protecting biodiversity, restoring fisheries and enhancing community livelihoods. The project will: • Engage local communities in marine conservation, including consultations on park zoning and management plans and establishing a community-based small Marine Protected Area • Enhance the biological baseline that has been in development for three years and establish a monitoring system to track the success of management programmes • Maintain and enhance institutional support for the park and its development process

sabah development corridor _186 7.4.7 Yayasan Sabah Conservation Areas - Danum Valley, and Imbak Canyon

In 2003, Yayasan Sabah voluntarily designated the Imbak Canyon as a Conservation Area for the purposes of research, education and training, similar to Maliau Basin and Danum Valley. Currently, both Maliau Basin and Danum Valley are classified as Class I Protection Forest Reserve, while Imbak Canyon is still part of Yayasan Sabah’s one million hectares of Class II Commercial Forest Reserve.

Danum Valley

Maliau Basin

With a total of approximately 133,000 hectares of protected areas, the Yayasan Sabah conservation areas (Maliau Basin, Danum Valley and Imbak Canyon) have a significant bearing on the protection of Sabah’s endangered animal species such as the elephant, orang utan, rhinoceros, bay cat, banteng, proboscis monkey and an array of bird species endemic to Borneo. These protected areas are also home to several different and rare forest habitats as well as a myriad of flora species ranging from orchids and pitcher plants to an array of undiscovered plant species.

sabah development corridor _187 The Yayasan Sabah conservation areas are considered vital for: • Seed source or gene bank to facilitate forest rehabilitation and restoration • Research, education, training and eco-tourism/wilderness recreation • Protection and conservation of rich biodiversity and pristine forest habitats • Preservation and conservation of cultural heritage • Catchment areas for the Kinabatangan River • Wildlife Corridor linking Danum Valley, Imbak Canyon and Maliau Basin

7.4.8 Carbon Sequestration Projects

In December 1997, more than 160 countries participating in the Framework Convention on Climate Change adopted the Kyoto Protocol with the aim to reduce greenhouse gas (GHG) emissions. The Protocol requires industrialised countries to reduce its emissions of six GHGs by the period of 2008-2012 to a specified level relative to 1990 emissions. To achieve this, the Protocol provides three mechanisms that would allow transfer or crediting of emission reductions achieved in other countries: • Developed countries may share emission credits resulting from joint implementation (JI) of projects that result in net reductions of GHG emission • A clean development mechanism (CDM) establishes funding of approved projects in developing countries to promote sustainable development and also generate emission credits • Credits or allowances may be transferred through international emission trading. For example, one industrialised country can purchase emission reduction credits from another

In Sabah, the potential for managing carbon levels through forestry is significant. Sequestration of carbon can be achieved via forest preservation thus reducing deforestation through a number of ways: using forest management techniques to enhance existing carbon sinks; creating new carbon sinks by planting on pasture, agricultural land, or degraded forest sites; and storing carbon in wood products38.

38 Kinsman, J. and Kaster, G. (1999). Flexibility Mechanisms for Dealing with Air and Climate Change – Emissions Trading and Carbon Sequestration. In Proceedings of the Electric Utilities Environmental Conference, Tuscon, AZ, 1999.

sabah development corridor _188 Sabah is one of the leading states in Malaysia in terms of carbon sequestration. There are a number of international collaborations for carbon trading and sequestration projects which have been carried out to date, including: • UtiliTree Carbon Company which funded a Reduced Impact Logging (RIL) Project on 2,500 acres with Rakyat Bersatu Sdn Bhd (RBJ)/Yayasan Sabah in collaboration with New England Power Company, FRIM, CIFOR and Rainforest Alliance • Infapro-Innoprise/RBJ and Face Foundation39 on a carbon sequestration project to rehabilitate 25,000 hectares of logged and degraded forest in Yayasan Sabah’s forest concession

7.4.9 Rhino Rescue Programme

The total population of the Bornean subspecies of the Sumatran rhino (dicerorhinus sumatrensis harrissoni) is estimated to be fewer than thirty.

The Bornean rhino species is under the threat of extinction.

The Bornean rhino population has declined as a consequence of a long history of hunting and subsequent habitat conversion, fragmentation and isolation caused by rapid agricultural development. However, guaranteeing the subspecies’ protection from poaching is no longer sufficient to ensure its survival.

Lack of breeding and in-breeding (demographic hazards inherent to small and broadly dispersed populations) now present the most immediate threat. The immediate goal is to prevent the extinction of the dicerorhinus sumatrensis harrissoni and increase its population.

To achieve this objective, it will be necessary to establish a closely-managed rhino population in a designated area and to get as many of the rhinos to breed.

39 FACE (Forests Absorbing Carbon-dioxide Emissions) Foundation of the Netherlands is an organisation set up by the Dutch Electricity Generating Board.

sabah development corridor _189 7.4.10 Philanthropists, Corporations and NGOs

The state has been collaborating with philanthropists, the corporate sector and NGOs to provide technical expertise, technologies and funding vital for protecting and conserving Sabah’s natural resources.

It is the intention of the SDC to attract further assistance from philanthropists, corporations and NGOs. Following are some examples of various initiatives and programmes currently being implemented: • YS/INIKEA – A forestry research project on rehabilitation of degraded forest between ICSB and the Sow-a-Seed Foundation established by the IKEA group of Sweden • RBJ/NEP RIL – A forestry project on the use of Reduced Impact Logging (RIL) between RBJ and New England Power Company (NEP) of USA • UNDP-GEF/DANIDA – A peat swamp forest project in Klias funded by UNDP/GEF and with additional support from Danish International Development Assistance (DANIDA) • JICA/BBEC Programme – A programme to establish sustainable approaches for the conservation of the endangered and precious biodiversity and ecosystems of Sabah • UNDP-GEF/IDS Demo Plot – A programme to promote sustainable utilisation of biodiversity resources through domestication of valuable plants and herbs at SAIP, Kimanis

7.4.11 Sabah Bio-X Programme

Biotechnology offers numerous possibilities to conserve biodiversity, the environment and animal species, through new developments in water treatment, renewable energy, tissue culture, artificial insemination and others. Environmental conservation is absolutely essential to ensure sustainable development, while biodiversity is the key to the future of high-growth biotech industries. Sabah has strengths in these areas as it possesses some of the richest biodiversity in terms of fauna and flora in the world. It is therefore vital for the SDC to develop the necessary human capital to enable the people of Sabah to benefit from biotechnology, inter alia, through its applications in initiatives to conserve biodiversity and reduce carbon emission.

Sabah already has rudimentary framework and experience in related biotech initiatives through agencies under the Ministry of Agriculture and Food Industry, Yayasan Sabah, Forest Research Centre (FRC), UMS, SAFODA and IDS. As a matter of fact, the FRC, Sabah Fisheries Department and IDS have already been receiving biotech R&D grants from MOSTI.

sabah development corridor _190 The Sabah Bio-X Programme is designed as a cross-disciplinary, collaborative network of research centres of excellence in biodiversity and biotech, and transcends tourism, conservation, agriculture and manufacturing interests. It is based on a decentralised structure where the nexus links the dispersed research activities which are on-going across Sabah. Its focus areas include water treatment and environmental management, agriculture biotech, food biotech, bio-prospecting for active ingredients from plants, animal biotech, marine biotech, healthcare and medicine, and industrial biotech. The Sabah Bio-X Programme offers a common platform to engage biotech researchers and tap the expertise in Sabah. This will enable the SDC to have quick access to biotech talents, knowledge of biotech research frontiers and available funds.

This programme shall complement the State Government’s initiatives as spelt out in the Sabah Biodiversity Enactment 2000 and implemented through the Sabah Biodiversity Council. In order to add value to its rich biodiversity, Sabah requires a systematic programme covering research to development up to commercialisation. Sabah should therefore leverage existing conservation work as a sustainable force to draw research and commercialisation activities into Sabah. To cultivate the biotech sector in Sabah, the State Government had formulated and launched in early 2007 the Sabah Biotechnology Action Blueprint to provide a road map and policy framework for the industry.

sabah development corridor _191