INTERIM SESA DOCUMENT
MINISTRY OF ENVIRONMENT AND
FORESTRY
JAMBI PROVINCE
REPUBLIC OF INDONESIA
October 2019
TABLE OF CONTENTS
TABLE OF CONTENTS ...... I
LIST OF TABLES...... III
LIST OF FIGURES ...... IV
LIST OF APPENDICES ...... V
LIST OF ACRONYMS ...... VI
1.0 INTRODUCTION ...... 1 1.1 BACKGROUND...... 1 1.2 OBJECTIVE ...... 4 1.3 SCOPE OF THE SESA...... 5
2.0 APPROACH ...... 6 2.1 DATA COLLECTION ...... 6 2.2 SCREENING AND SCOPING FOR THE SESA...... 7 2.2.1 Formulation of Drivers of Deforestation and Forest Degradation ...... 7 2.2.2 Identification of Environmental and Social Issues under the Project Document for J-SLMP ...... 10 2.3 STAKEHOLDER ANALYSIS ...... 12 2.3.1 Stakeholder Identification ...... 12 2.3.2 Stakeholder Mapping ...... 15 2.3.3 Institutional Capacity Assessment ...... 24 2.4 DATA ANALYSIS ...... 25 2.4.1 Risk and Impact Analysis...... 26 2.4.2 Gap Analysis ...... 27 2.5 PUBLIC CONSULTATION ...... 27 2.6 LIMITATIONS ...... 27
3.0 STRATEGIC CONTEXTS OF REDD+ IN INDONESIA ...... 27 3.1 KEY PROCESSES OF REDD+ READINESS ...... 28 3.2 STRATEGIC RATIONALE ...... 34 3.3 SAFEGUARD INITIATIVES IN INDONESIA ...... 37 3.3.1 SIS-REDD+ Indonesia ...... 37 3.3.2 Safeguards Formulation ...... 37 3.4 SELECTION OF JAMBI PROVINCE ...... 38 3.5 REDD+ CONSULTATION PROCESSES ...... 39 3.5.1 Consultation Process ...... 40 3.5.2 Summary of the Consultation Outcomes ...... 42 3.5.3 Next Plan for Consultation and Engagement ...... 43 3.6 LESSONS LEARNED FROM PREVIOUS ER PILOT ACTIVITIES ...... 43 3.6.1 Policies to Protect Natural and Forest Resources ...... 44
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3.6.2 Participatory Planning and Spatial Planning ...... 46 3.6.3 Government Capacity to Protect and Supervise Forest Areas ...... 47 3.6.4 Incentives and Capacity for Sustainable Forest and Plantation Management ...... 48 3.6.5 Alternative Livelihoods, Productivity of Agriculture, and Access to Technology and Finance ...... 50 3.6.6 Lessons Learned on Conflict and Dispute Resolution ...... 52
4.0 DESCRIPTION OF THE ERP ...... 52 4.1 COMPONENT 1: STRENGTHENING POLICY AND INSTITUTIONS ...... 53 4.1.1 Sub-component 1.1: Institutional Strengthening ...... 53 4.1.2 Sub-component 1.2: Enabling Environment for ER Program ...... 53 4.1.3 Sub-component 1.3: Policy and Regulation ...... 54 4.2 COMPONENT 2: IMPLEMENTING SUSTAINABLE LAND MANAGEMENT ...... 55 4.2.1 Sub-component 2.1: Integrated Forest and Land Management ...... 55 4.2.2 Sub-component 2.2: Private Sector Partnership for Improved Forest and Land ManagementInvestments and Partnerships ...... 57 4.3 COMPONENT 3: PROJECT MANAGEMENT, MONITORING AND EVALUATION, AND REPORTING ...... 58 4.3.1 Sub-component 3.1: Project Management ...... 59 4.3.2 Sub-Component 3.2: Monitoring, Evaluation, and Reporting ...... 60
5.0 BASELINE CONDITIONS ...... 60 5.1 GEOSPATIAL DATA QUALITY ...... 60 5.2 LAND COVER AND LAND STATUS IN PERFORMANCE EVALUATION AREA (WPK) ...... 65 5.2.1 Forestry Sector ...... 66 5.2.2 Plantation Sector ...... 69 5.2.3 Mining Sector ...... 71 5.3 ENVIRONMENTAL BASELINE ...... 72 5.3.1 Biodiversity ...... 72 5.3.2 Critical Land and Watershed Areas ...... 74 5.3.3 Social Forestry ...... 76 5.3.4 Forest Fire ...... 77 5.4 SOCIAL BASELINE ...... 78 5.4.1 Demographics, Livelihood and Socio-cultural Diversity ...... 78 5.4.2 Forest and Local Communities ...... 83 5.4.3 Land Tenure and Natural Resource Conflicts and Disputes ...... 86 5.4.4 Relevant Gender Aspects in the ER Areas ...... 96 5.5 ECONOMIC ASSESSMENTS RELATED TO THE ERP ...... 97 5.5.1 Economic Situation in Jambi ...... 97 5.5.2 Political Economy of Jambi ...... 99 5.6 ENVIRONMENTAL AND SOCIAL RISK INDICATORS ...... 100 5.6.1 Scenario Analysis ...... 100 5.6.2 Environmental and Social Components ...... 106
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5.6.3 Environmental and Social Indicators ...... 107
6.0 POLICY AND REGULATION FRAMEWORK ...... 111 6.1 GOI REGULATIONS ...... 111 6.2 REGULATORY ENFORCEMENT AND CAPACITY ASSESSMENT ...... 114 6.3 IMPLEMENTATION OF SAFEGUARD POLICIES ...... 118 6.4 GAP/COMPATIBILITY ANALYSIS...... 119
7.0 ENVIRONMENTAL AND SOCIAL IMPACT AND RISK ASSESSMENT ...... 128 7.1 COMPONENT 1: STRENGTHENING POLICY & INSTITUTIONS ...... 129 7.1.1 Sub-component 1.1: Institutional Strengthening ...... 129 7.1.2 Sub-component 1.2: Enabling Environment for Emission reduction Program ...... 133 7.1.3 Sub-component 1.3: Policy and Regulation ...... 136 7.2 COMPONENT 2: IMPLEMENTING SUSTAINABLE LAND MANAGEMENT ...... 139 7.2.1 Sub-component 2.1: Integrated Forest and Land Management ...... 139 7.2.2 Sub-component 2.2: Private Sector Partnerships for improved Forest and Land Management ...... 144 7.3 COMPONENT 3: PROJECT MANAGEMENT, MONITORING AND EVALUATION, AND REPORTING ...... 148 7.3.1 Sub-Component 3.1 and 3.2: Program Management, Monitoring and Evaluation, and Reporting ...... 149
8.0 POLICY IMPLICATIONS AND PROPOSED RECOMMENDATIONS ...... 151 8.1 KEY ENVIRONMENTAL AND SOCIAL CONSIDERATIONS ...... 151 8.1.1 Environmental Considerations ...... 151 8.1.2 Social and Political Considerations ...... 151 8.1.3 Policy Analysis ...... 153 8.2 CAPACITY BUILDING NEEDS AND ENGAGEMENT STRATEGIES ...... 154 8.3 FINANCIAL REQUIREMENTS AND RESOURCES (INDICATIVE) ...... 155 8.3.1 Resources ...... 155 8.3.2 Indicative Financial Requirements ...... 157
9.0 SUMMARY OF CONSULTATIONS ...... 158
LIST OF TABLES
Table 4 Composition of land status within the WPK in Jambi...... 66
Table 11 Areas certified as HCV...... 74
Table 12 Critical land areas in Jambi watershed (Batanghari)...... 74
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Table 13 Social Forestry allocations in Jambi Province (2017)...... 76
Table 14 Time series data of forest and land fires in Jambi...... 78
Table 15 Ethnic groups in Jambi as of 2014...... 79
Table 16 Terms of Trade (Nilai Tukar Petani) within agriculture sub-sector...... 81
Table 17 Targets and achievements for food security in Jambi Province...... 81
Table 18 Summary of livelihood issues relevant to the J-SLMP and ERP...... 83
Table 19 Land use of customary people within the WPK...... 84
Table 19 Overlapping forestry, plantation and mining concessions in the WPK (preliminary data)...... 87
Table 20 Summary of ongoing conflicts in Jambi Province...... 87
Table 21 Deforestation occurring in APL in Jambi Province 2000-2017...... 95
Table 22 Summary of livelihoods issues and tenurial conflicts...... 96
Table 23 Summary of relevant environmental and social (E&S) indicators to monitor/track impacts over the course of J-SLMP and ERP implementation...... 107
Table 24 Summary of institutional and regulatory issues for the ERP...... 114
Table 25 Summary of regulatory and institutional frameworks relevant to the ERP...... 115
Table 26 Compatibility analysis between existing safeguards (including GoI relevant regulations) and the World Bank safeguard policies...... 120
Table 27 Summary of analysis of issues related to Sub-component 1.1...... 129
Table 28 Summary of analysis of issues related to Sub-component 1.2...... 133
Table 29 Summary of analysis on policy and regulations...... 137
Table 30 Summary of analysis of issues related to Sub-component 2.1...... 140
Table 31 Summary of analysis of issues related to Sub-component 2.2...... 144
Table 33 WPK areas in each district in Jambi Province ...... 148
Table 35 Summary of analysis relevant with Sub-component 3.1 and 3.2 ...... 149
Table 36 Summary of consultations on the ERP...... 158
LIST OF FIGURES
Figure 1 Summary of themes in identification of key issues...... 11
Figure 2 Stakeholder mapping for the SESA process...... 15
Figure 3 Stakeholder analysis based on interest and influence...... 20
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Figure 4 Relationship between main drivers of deforestation and degradations with ERP components...... Error! Bookmark not defined.
LIST OF APPENDICES
Appendix A1 Issues
Appendix A2 Spatial Analysis Maps
Appendix A3 Records of Consultation Processes
Appendix A4 SESA Terms of Reference
Appendix A5 Data Tabulations
Appendix A6 Institutional Capacity Assessment
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LIST OF ACRONYMS
AMAN Indigenous Peoples’ Alliance of the Archipelago (Aliansi Masyarakat Adat Nusantara) AMDAL Anasis Mengenai Dampak Lingkungan/Environmental Impact Assessment APBD Anggaran Pendapatan Belanja Daerah APBN Anggaran Pendapatan Belanja Nasional APL Area penggunaan lain Other Use Areas ATR Agraria dan Tata Ruang ATR Agrarian dan Tata Ruang, Ministry of Agrarian and Spatial Plan Bank World Bank BAU business as usual BI Bank Indonesia BLU Badan Layanan Umum BMP Best Management Practice BP Bank Policies BPDASHL Watershed and Protected Forest Management Authority BPN Badan Pertanahan Nasional BPSKL Balai Perhutanan Sosial dan Kemitraan Lingkungan BRG Badan Restorasi Gambut Peat Restoration Agency BSM benefit sharing mechanism CBFMMS Community-based fire management and monitoring system
CO2 Carbon Dioxide
CO2e carbon dioxide equivalent COP13 Chief of Parties 13 CSF Center for Social Forestry CSO Civil society organizations CSOs Civil society organizations DG PHPL Directorate General of Sustainable Production Forest Management DGCC Directorate General for Climate Change DGPPI Directorate General of Climate Change Mitigation (Pengendalian Perubahan Iklim) DGPPI DG of Climate Change DNS Debt for Nature Swap DPMD Community Development Agency DPMPD District Community Empowerment and Village Government Service (Dinas Pemberdayaan Masyarakat dan Pemerintahan Desa)
DPMPTSP Provincial Investment and Licensing Integrated Service EBA Ecological Biodiversity Approach ER emissions reductions ERP Emissions Reduction Program
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ERPD Emission Reduction Program Document ERPD ERP Document ERPIN Emission Reduction Program Idea Note ESMF Integrated Environmental and Social Management Framework FCPF Forest Carbon Partnership Facility FGD Focus Group Discussion FGRM Feedback Grievance Redress Mechanism FMT Facility Management Team FMU Forest Management Unit FMU Forestry Management Unit FOERDIA Forestry and Environmental Research Development and Innovation Agency of the Government of Indonesia FORCLIME Forests and Climate Change Programme FPIC free, prior and informed consent F-REL Forest Reference Emission Level GCF Governor’s Climate and Forest Task Force GFW Global Forest Watch GGGI Global Green Growth Institute GHG Greenhouse gas GoI Government of Indonesia GPD Gross Domestic Product ha hectares HCV high conservation value HCVF High Conservation Value Forest HGU Hak Guna Usaha, Plantation license HKm Hutan Kemasyarakatan HKm Community forest (Hutan Kemasyarakatan HTI Hutan Tanaman Industri HTR Community plantation forest (Hutan Tanaman Rakyat IBA Important Biodiversity Area IMN Impartial Moderator Network INCAS National Carbon Accounting System IPCC Intergovernmental Panel on Climate Change IPM Integrated Pest Management IPPF Indigenous Peoples Planning Framework ISFL BioCarbon Initiative for Sustainable Forest Landscape ISO International Organization for Standardization ISPO Indonesian Sustainable Palm Oil IUPHHK-HA natural forest concessions
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IUPHHK-HT timber plantation companies KAT Isolated Indigenous CommunityFREL KBA Key Biodiversity Areas KBK Kawasan Budidaya Kehutanan KCFP Kalimantan Climate and Forest Partnership KLHS Kajian Lingkungan Hidup Strategis/Strategic Environmental Assessment KPH Kesatuan Pengelolaan Hutan Forest Management Unit MAASP Ministry of Agrarian Affairs and Spatial Planning MHA masyarakat hukum adat MHA Masyarakat Hukum Adat (customary community?) MoEF Ministry of Environment and Forestry MoF Ministry of Finance MOLA Multi Objective Land Allocation MRV monitoring reporting verification MRV Monitoring, Reporting, and Verification MT Metric Tons NDC Nationally Determined Contribution NFMS National Forest Monitoring System NGO Non-governmental organizations NGO non-government organizations NTFP Non-timber Forest Product OP Operational Policies P3SEKPI Center for Social Economic Forest Policy and Climate Change (Pusat Penelitian dan Pengembangan Sosial Ekonomi Kebijakan dan Perubahan Iklim) PAD provincial/district revenue (Penadapatan Asli Daerah) PDO Project Document Output Perpres Presidential Regulation PF Process Framework PHPL Sustainable Production Forest Management PIAPS social forestry allocations (Peta Indicatif Alokasi Perhutanan Sosial) PIPPIB moratorium on licenses PMP Pest Management Plan PP Peraturan Pemerintah Program Emission Reduction Program PSKL Social Forestry and Environmental Partnership (Perhutanan Sosial dan Kemitraan Lingkungan) PSP Permanent Sample Plot PSP Permanent Sample Plots PTSL Complete and Systematic Land Registration
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RAD GRK Greenhouse Gas Emission Reduction Action Plan RAD-GRK Rencana Aksi Daerah – Gas Rumah Kaca REDD+ Reducing Emissions from Deforestation and Forest Degradation REL reference emission level RIL-C Reduced Impact Logging RKU social forestry work plans RPHJP long-term management plan RPHJPende short-term development plans k RPJMD medium-term development plan RSPO Roundtable on Sustainable Palm Oil RTRW Rencana Tata Ruang Wilayah / Spatial Planning SEA Strategic Environmental Assessment SESA Strategic Environmental and Social Assessment SFM sustainable forest management SIGAP Aksi Inspiratif Warga untuk Perubahan ?? SIS Safeguard Information System SIS Safeguard Information System SNI Standar Nasional Indonesia SOP standard operation procedures SRAP Strategi & Rencana Aksi Provinsi Strategy and Action Plan STRANAS National Strategy of Emission Reduction TFCA Tropical Forest Consevation Aggrement TNC The Nature Conservancy ToR Terms of Reference TORA Agrarian Reform Program (Tanah Obyek Reforma Agrarian) UN United Nations UNDRIP United Nation Declaration of Rights for Indigenous People UNTAG Universitas Tujuh Belas Agustus Samarinda UPT Unit Pelaksana Teknis, Technical Implementation Units WHO World Health Organization WPK Wilayah Penilaian Kinerja – Performance Evaluation Area WWF World Wide Fund for Nature
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1.0 INTRODUCTION
1.1 BACKGROUND
The BioCarbon Fund Initiative for Sustainable Forest Landscapes (BioCF-ISFL) is a multilateral fund, supported by donor governments and managed by the World Bank. It promotes reducing greenhouse gas emissions from the land sector, from deforestation and forest degradation in developing countries (REDD+), and from sustainable agriculture, as well as smarter land-use planning, policies and practices. The Bio Carbon Fund-Inititive for Sustainable Forest Landscape (BioCF-ISFL) has provided the Government of Indonesia (GOI) with a grant to support the preparation of REDD+ (Reducing Emissions from Deforestation and Forest Degradation) implementation.
The Emission Reduction Program (hereafter ERP) will advance the implementation of REDD+ at the national level, and thus contribute to the achievement of nationally and internationally significant emissions reductions. This Program is also expected to assist Indonesia in achieving its climate resilience targets and international commitments.
National REDD+ Development: The GoI has made significant international commitments to reduce Indonesia’s greenhouse gas (GHG) emissions and recognizes that the primary source of these emissions is the land use and forestry sector. At the Conference of Parties (COP) meeting in Paris in 2015, the GoI pledged to reduce its GHG emissions by 41% by 2030 with international assistance (29% with its own resources). According to Indonesia’s nationally determined contribution (NDC), submitted in 2016 under the Paris Climate Agreement, emissions from the forestry sector, including peat fires, made up 49% of national emissions in 2010. For Indonesia to reach its commitment of a 41% reduction below business as usual (BAU) emissions in 2030, it will need to decrease emissions by 1,082 million
MT CO2e (metric tons of carbon dioxide equivalent), with 60% of this target expected to come from the forestry sector.
Indonesia has made progress toward national REDD+ readiness. Following COP13, Indonesia has been an active participant in REDD+ negotiations and in important international REDD+ programs, including the FCPF Readiness Fund and the United Nations (UN)-REDD Program. In 2010 the country signed the above-mentioned bilateral agreement with Norway. Significant progress has been made in developing the necessary enabling environment for REDD+. Through the resources provided under the FCPF Readiness Fund since 20101, Indonesia has progressed and effectively engaged with the international community on REDD+. In September 2017, Indonesia presented its readiness package to the Participants Committee of the FCPF, which is an important and internationally recognized milestone towards REDD+ implementation centered on a comprehensive assessment of progress. The FCPF Participants Committee (representing 47 REDD+ countries and 29 donor countries) commended Indonesia for the progress made to date and encouraged Indonesia to take important steps towards REDD+ implementation at the sub-national level, which is now under final preparation for East Kalimantan Jurisdictional Emission Reduction Program (EK-JERP). This includes strengthening the framework to mitigate potential environmental and social risks associated with REDD+ implementation and the effective implementation of the ongoing policy reform process in relation to forests.
1 The World Bank signed two grant agreements to support Indonesia’s REDD+ readiness. The first grant (USD 3.6 million from 2013 to 2016) focused on the analysis of drivers of deforestation, strengthened the forest monitoring system and supported a strategic environmental and social assessment for REDD+. A second grant (USD 5 million from 2016 to 2019) provides resources to complete national REDD+ readiness and to strengthen sub-national implementation capacity in two priority provinces, East Kalimantan and Jambi.
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While continuing to advance the national framework, Indonesia is now shifting its focus towards implementation of REDD+ programs at the provincial level, which has the potential to leverage significant payments for emissions reductions (ER) if successfully implemented. Work at the jurisdictional (provincial) level is aligned with Indonesia’s REDD+ readiness process and decentralization efforts, and provides an opportunity to demonstrate how policies, programs and systems can be strengthened to reduce emissions and improve natural resource-based livelihoods. In terms of scope, implementation through the provinces facilitates coordination of district-level activities, while providing a sufficiently large accounting area with sizeable potential emissions reductions.
Building on this experience, including through the preparation of an ER Program with the FCPF Carbon Fund, the GOI requested support in replicating these approaches in another province and with other sectors.
Jambi Jurisdictional Emission Reduction Program (ERP: the GoI has proposed a jurisdictional emission reduction program that focuses on jurisdictional landscape approach in Jambi Province. This, when implemented, will complement another ERP initiative in East Kalimantan which is under preparation through funding support from the FCPF2. Jambi Province covers and administrative area of 4,898,993 ha3 with 2,179,4404 million ha (approximately 42% of the total province area) of state forest land , but only 1,057,206 forested area and 0.6 million ha of peatland. Together these areas form 1.7% of Indonesia’s total forest area designations and therefore could potentially contribute a significant reduction of land-based emissions.
Jambi is currently being proposed for financing under the BioCarbon Fund Initiative through Integrated Sustainable Forest Landscape (ISFL)5. The ERP builds on the substantial commitments of the GoI and the Government of the Province of Jambi to reducing emissions from deforestation and forest degradation.
The ERP aims to reduce deforestation and forest degradation in an area that includes forest designations, forested areas (forest cover in other use area or Area Penggunaan Lain – APL), and peatland. Around half of the forest area area in Jambi is covered by tropical forests, which are home to a wealth of globally significant biodiversity (including endangered species such as tigers, elephants and orangutans) and support numerous indigenous and other local communities. More than 20% of Jambi’s remaining forest was lost in the period of 1990 to 2015, and this was mainly caused by the expansion of palm oil plantations, forestry plantations, timber plantations, and mining, as well as by other drivers6. Besides loss of habitat and other key ecosystem services, deforestation and degradation have led to 7 emissions of CO2 averaging 48 million MT per year. Business as Usual (BAU) scenario predicted increase to 53 million MT per year by 2030.
2 The World Bank has been supporting the GOI in the development of a sister FCPF jurisdictional ER Program in East Kalimantan to pilot activities to generate ER benefits consistent with its NDC and access results-based REDD+ financing. 3There is slight variation in provincial size from different references. However, the one used here is from the latest data used by MRV for Jambi-Sustainable Landscape Management Project (J-SLMP). 4 Based on MoEF Decree (SK) No, 421/1999. This is the designation of forest, and may not reflect the actual/physical forest cover in Jambi Province. 5 BioCarbon ISFL is designed to expand the scope for emissions reductions from forests to the wider landscape (i.e., to include agriculture and pastures). A key objective of the ISFL is to support countries in decoupling commodity production from emissions. Currently, the Jambi Province is being proposed as a pilot jurisdiction for BioCarbon ISFL. 6 Data from GIS analysis done by KKI-WARSI 7 Consisting of peatland and land-based emissions based on Data from 2005 stated in Strategi dan Rencana Aksi Provinsi (SRAP) REDD+ Jambi 2012-2032
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The ERP will address deforestation by addressing underlying governance issues through policy reforms, by engaging with palm oil and forestry companies, and by engaging with local communities. The ERP is expected to support emission reductions up to 48% and 38.2% form peatland and land- based sectors respectively, over the five-year ERPA period (2025–2030). Around 60-70 % of this effort is directed towards implementation of sustainable land management (including forest fire prevention).
The ERP was developed through a participative process involving all relevant stakeholders. Stakeholders in Jambi helped identify the local drivers of deforestation, which are the basis of the ER activities proposed by this program, together with the information from GIS analysis done by BioCF. The proposed ERP is also closely linked to Indonesia’s and Jambi’s REDD+ plans (Strategi dan Rencana Aksi Provinsi – SRAP) 2012-2032. Consequently, the ERP will be the outcome of a comprehensive consultation process.
The activities of the ERP are aligned with Jambi’s vision (Jambi TUNTAS) which includes low forest carbon emission. Jambi is currently developing a Green Growth Plan (GGP) that outlines the vision for low-carbon development in the province. The GGP contains six intervention areas, including: 1) sustainable land use planning; 2) community access to capital development and livelihoods; 3) increased productivity, diversification, and sustainable value chains; 4) improved connectivity and economies of scale; 5) landscape restoration; and 6) environmental services incentives and innovative funding.
The overall cost of the program is expected to be USD 85 million consisting of USD 1.5 million technical assistance grant; USD 13.5 million implementation grant (proposed for strengthening policy institutions and implementing sustainable land management); and up to USD 80 million for ERP (performance- based payments). Priority non-carbon benefits of the ERP include the protection of biodiversity and other ecosystem services, livelihood benefits to local communities, reduced conflict over land, and improved recognition of indigenous land claims.
Jambi Sustainable Landscape Management Project (J-SLMP): The World Bank’s BioCarbon Fund Initiative for Sustainable Forest Landscapes (BioCF ISFL) supported the GoI to implement a jurisdictional ERP in Jambi by providing phased financing. First, US$1.5 million in preparation funding was provided to the GOI to prepare a Project to improve the enabling environment for reducing emissions in Jambi. Second, an initial pre-investment grant (US$13.5 million), namely the Jambi Sustainable Landscape Management Project (J-SLMP), is currently being prepared to support improvements to the enabling environment of the future results-based payments for verified ERs. The BioCF ISFL has further committed to purchasing emission reductions (ERs) from Jambi through a forthcoming Emission Reductions Purchase Agreement (ERPA) with a contract value of up to US$70 million.
Included as part of the pre-investment grant under J-SLMP, financial and technical support include cross-sectoral coordination, testing land use approaches to reduce emissions in Jambi and development of an ER framework to meet technical requirements of the BioCF ISFL, including safeguards and benefit sharing. Further detailed description of this pre-investment grant can be found in Chapter 4. In order to achieve ERs at scale, the Project will need to leverage resources from complementary programs in Jambi. The private sector, in particular, has an essential role to play in land management in Jambi, especially considering plantation crops alone cover almost one-third of the land area in the province.
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A Stategic Environmental and Social (SESA) is being commissioned to assess the potential risks and impacts from the preparation of an Emission Reduction Program at scale in Jambi. The SESA serves as a platform to enhance decision-making process around the design of the ERP, including formulation of program alternatives and mitigation strategies. The SESA is deemed to be an adequate tool for this purpose as it offers a platform for consultation with a broad range of national and sub-national stakeholders, including potentially affected communities to integrate social and environmental concerns into the upstream policy-making process.
The SESA process consists of a staged approach, starting from early preparation of a jurisdicitional ERP funded under the pre-investment grant financing. In line with the purpose of the SESA, the process will continue as part of the overall architecture of the ERP and is expected to be conclude prior to appraisal of the Jambi’s ERPA. The SESA serves as a tool to ensure that environmental and social considerations are integrated in the selection of key underlying activities towards emission reductions in the final Emission Reduction Program Document (ERPD). This will also include understanding of relevant risks along with recommended measures to mitigate potential adverse impacts and leverage positive benefits that may accrue from the proposed activities.
The SESA will inform the overall management of the future ERP, which builds on the existing Environmental and Social Management Framework (ESMF) along with its associated instruments, including the Indigenous Peoples Planning Framework (IPPF), Resettlement Planning Framework (RPF) and Process Framework (PF) and Feedback and Grievance Redress Mechanism (FGRM) which will be supported under J-SLMP. Implementation of these safeguard instruments, together with relevant capacity building measures will be assessed as part of the SESA process, on the basis of which additional resources and environmental and social measures will be proposed.
This interim SESA report provides documentation of the existing environmental and social assessment and consultations to date in the context of J-SLMP and early preparation of the ERP. This report will be updated and finalized prior to the ERPA appraisal.
1.2 OBJECTIVE
The REDD+ readiness process, herewith refered to prepara should ensure that implementation of REDD+ programs and activities will not cause adverse social and environmental impacts, while striving to enhance benefits for local communities and the environment. All countries participating in the FCPF/IFSL Readiness Mechanism are required to perform a strategic environmental and social assessment (SESA) to assess the potential impacts from national REDD+ programs and policies, formulate alternatives and mitigation strategies, and enhance the decision-making process around the design of the national REDD+ framework. The SESA is considered to be an adequate tool for this purpose, as it offers a platform for consultations with a broad range of national and sub-national stakeholders, including potentially affected communities, to integrate social and environmental concerns into the upstream policy-making process. Since Jambi has been selected as a pilot province through IFSL support, the SESA outcomes reflect:
▪ Environmental and social risks and concerns, and the extent to which such risks and concerns have been integrated into the development and implementation processes of REDD+ and the ERP;
▪ Consultations and engagement with relevant stakeholders, and how their views have informed the decision-making process related to REDD+ and the ERP;
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▪ Recommendations for addressing gaps in relevant policy and legal frameworks, as well as institutional capacity to manage environmental and social impacts/risks associated with REDD+ and the ERP; and
▪ Measures to leverage positive benefits that may accrue from the proposed activities under the ERP.
The SESA forms the basis for an integrated Environmental and Social Management Framework (ESMF), which will guide potential investments in the proposed emission reduction programs toward compliance with World Bank safeguards policies. The ESMF sets out the principles, guidelines, and procedures to assess environmental and social risks and proposes measures to reduce, mitigate, and/or offset potential adverse environmental and social impacts and enhance positive impacts and opportunities of said projects, activities, or policies/regulations. The ESMF is presented as a standalone document, with reference to the SESA.
1.3 SCOPE OF THE SESA
The SESA represents a consultative process under REDD+ readiness at both national and provincial levels to ensure that environmental and social concerns are integrated into the decision-making process around the design of REDD+ framework.
As guided by the Terms of Reference (ToR – see Appendix A4), the SESA was developed to address the following aspects:
▪ Analysis of strategic context of REDD+. This was done through identification and shortlisting of issues to determine drivers and root causes of deforestation;
▪ Analysis of environmental and socio-cultural characteristics in priority emission reduction locations in Jambi Province. This was carried out by analysing secondary data (from reports, lessons learned, and publications) relevant to the REDD+ preparation to date and verified through a series of public consultations;
▪ Stakeholder analysis through interviews and focus group discussions with key stakeholders, including community representatives in Jambi Province. An initial grouping of stakeholders is as follows:
o Central government agencies;
o Regional (provincial and district) governments;
o Academics and regional councils;
o Non-government organisations;
o Private companies and association; and
o Community and/or customary (Adat) representatives.
▪ Assessment of legal and institutional frameworks. A gap analysis is provided to assess the GoI’s legal and institutional frameworks and capacity and the safeguard requirements under the ERP;
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▪ A scenario analysis in sample priority areas; and
▪ Policy implications and proposed recommendations, based on the basis of existing analyses of strategic issues, environmental and social characteristics, stakeholders, legal and institutional aspects, the SESA proposed policy, and legal and technical recommendations to address potential risks and impacts. Such recommendations are further elaborated on in the ESMF developed under the ERP.
The SESA will be carried out in two phases. For the SESA Phase 1, the focus is on REDD+ readiness at the national level and in Jambi Province. The SESA Phase 2 will incorporate assessments on Jambi Province, which is currently being proposed by the GoI for ISFL’s BioCarbon Fund.
This report is based on the both phases of SESA for Jambi Province. The SESA Phase 2 for the Jambi Province will be developed in parallel with the province’s ERP preparation and be presented in a separate timeframe. 2.0 APPROACH
The overall framework of SESA development for Jambi Province is aligned with Government Regulation (Peraturan Pemerintah [PP]) No. 46/2016 on Strategic Environmental Assessment (SEA). Although there is no one way or single method to conduct a SESA, it has been agreed that under the ERP, the overall SESA process should include the following elements:
▪ Iterative diagnostic consultative processes and analytics on socio-economic, environmental and social aspects of REDD+ readiness, including assessing existing capacities and gaps to address identified environmental and social issues;
▪ Consultations with different stakeholders, identifying various views, perceptions and concerns, as well as identifying any exclusion of relevant stakeholders during the ERP preparation; and
▪ Identification of relevant mitigation measures to address identified environmental and social issues, as well as provincial and district institutional arrangements to address safeguards.
Each of the above key elements and processes are further described in the following sections.
2.1 DATA COLLECTION
Data were obtained through primary and secondary data analyses from various sources. Primary data sources include focus group discussions (FGDs), distribution of questioners, and semi-structured interviews with stakeholders’ representatives. Additionally, the primary data, as well as key assumptions and findings from the above FGDs and interviews, were verified through a series of public consultations, which also involved community representatives. A record of these consultations is appended in Appendix A3.
Secondary data were collected from various research projects and assessments, as well as from previous consultations and analyses provided by the Jambi working group on REDD+. Both primary and secondary data analyses were used to inform the screening and scoping processes for the SESA.
The data used in the Jambi’s medium-term development plan (RPJMD), as well as spatial data analysis (i.e., land cover, forest fire, logging, production forest and palm oil concessions), were specifically
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collected to support the analysis of sustainable development issues. In accordance with these issues, data were collected from the following sample districts:
▪ Merangin District. This district represents mineral forest with challenges consisiting of: unsustainable practices of forest plantations, palm oil, and agriculture/plantation in transmigration areas; Illegal activities such as artisanal gold mining, and encroachment to national park area by migrants from other provinces. These migrants reach 60,000 households, and create conflicts with local people, as well as tenurial conflicts with production forest, indigenous peoples, and palm oil plantations. Challenges include high dependency of indigenous peoples and local communities on forest resources and extensification agriculture that may cause deforestation and degradation; and
▪ Tanjung Jabung Timur District. This district represents peatland with challenges consisting of: fire due to draining of peatland for agriculture; overlapping forest plantation and palm oil concessions; massive land-use change (due to plam oil plantation), infrastructure development, illegal logging. Forest encroachments, and high dependency of indigenous peoples and local communities on forest resources and extensification agriculture that may cause deforestation and degradation.
Secondary data sources consisted of:
▪ Existing and valid regulations and laws related to forestry, social, and environmental management in Indonesia;
▪ Capacity for performing environmental and social management (institutional analysis based on secondary data and primary data;
▪ Data and information used in developing the ERP Document (ERPD);
▪ Spatial data provided by Jambi Province; and
▪ Results of research and studies that have been validated by scientific communities and/or consensus among key stakeholders.
2.2 SCREENING AND SCOPING FOR THE SESA
Following the nomination of Jambi Province as a pilot jurisdiction, qualitative data on the drivers of deforestation and forest degradation, as well as key issues were collected through analysis of provincial documents (spatial plan, medium term development plan and Strategic Enviornmental Assessments) and a series of consultative meetings with local stakeholders between February 2019 and April 2019 (Section 3.5 and Appendix A3).
2.2.1 Formulation of Drivers of Deforestation and Forest Degradation
Consultation process and review of provincial strategic plan on emission reduction identified that the major contributions to emission come from peatland and Land Use, Land Use Change and Forestry (Agriculture, Forestry and Land-Use – AFOLU) sectors with approximately 85% of total emissions in Jambi Province8.
8 Various researches cited in Strategi dan Rencana Aksi Provinsi (SRAP) REDD+ Jambi Province 2012-2032
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Peatland Emission originates from two sources namely fire (66%) and peatland decomposition (36%). Underlying causes of peatland emission are:
▪ Fire from human activities (anthropogenic), and lack of capacity to prevent such occurrences; and
▪ Conversion of peatland into agriculture, palm oil plantation and plantation forest concessions.
Land Use, Land-Use Change and Forestry (LULUCF) emision is caused by :
▪ Degradation of production forests;
▪ Degradation of wood forest in production forest; and
▪ Low sequestration / carbon sink capacity (Loss of large biomass) due to encroachment, Illegal logging and unsustainable timber harvest. Such loss is replaced by plantation and/or forest commodities with smaller biomass.
Spatial analysis and stakeholder consultation suggest that palm oil plantation, plantation forest, transmigration settlements, activities in Other use Area (APL), and production forest areas have the highest rate of deforestation9. Considering the source of emissions and their respective underlying causes, the driver of deforestation and degradation in Jambi can be clustered as:
▪ Forest Encroachments;
▪ Illegal logging, plantation and mining activities;
▪ Forest and peatland fire;
▪ Unsustainable agricultural practices in Other Use Area / APL (food sustenance);
▪ Land degradation and ecological imbalance due to threats to wildlife and their habitat (Map of IUCN Red List Species is provided in Appendix A2);
▪ Increasing migrants causing social tensions;
▪ Indigenous peoples’ activities beyond the control of customary laws;
▪ Tenurial conflict;
▪ Infrastructure and development in forest areas;
▪ Weak forest governance; and
▪ Limited facilities, equipment and human resources for forest protection and management.
The above spatial analyses were then followed up and verified through consultations with key stakeholders to understand the underlying causes of deforestation and forest degradation. On the basis of the above, planned actions and interventions to address the identified drivers as well as underlying causes in the forms of key issues were proposed and shortlisted in the next chapter
In summary, shortlisting was done using the following qualitative variables:
9 GIS analysis by KKI-WARSI
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• Deliberative process to put emphasis on specific issues:
• Relevance with the drivers of deforestation; and
Relevance with the components of the Project Design for J-SSLMP and future ERP.
By 2002, the allocation of palm oil plantation (including areas released from forest area) is 344.932 ha. By 2012 this area increased to 515,300 ha, and by 2017 plantation allocation increases to 716.638. Increasing allocation for plantation (palm oil) is considered as a driver of deforestation in Jambi. Addtionally, contribution of plantation sector to the provincial GDP may encourage further expansion of plantation areas. At the same time, forest encroachment (national parks and production forest) for coffee plantation increases with the average rate of 7% per year, mostly taking lace in Merangin and Kerinci Districts.
Forest fire is showing a trend of decrease from 2,102 hotspots in 2013 to 614 hotspots in 2018. However, fire is still considered as a driver of deforestation, due to the wide application of burning methods in preparing plantation areas.
Activity of indigenous peoples refers to the specific claims of indigeneous communities over a land parcel within conservation, protected, or production forest. This is particularly crucial for Marga Serampas who has received formal recognition, and has claimed approximately 54,000 ha of Kerinci Seblat National Park as an indigenous/customary land right.
Social conflicts above refer to conflict between communities (horizontal conflict) that may include indigenous communities. Conflicts usually occur in the customary land of indigenous peoples included in the concession or conservation area as well as between local communities, indigenous peoples and migrant communities.
Below is a chart showing the quantitative analysis of deforestation in Jambi by using GIS, comparing forest and land use change in 2006 and those of 2017.
Figure 1. Result of Quantitative Analysys of Forest Change in Jambi 2006-2017
Source: BioCF FREL and MRV analisis
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Table 1. Land Cover Change from Forest to Non Forest in Jambi 2006-2017
Land Cover Changes Hectare % Potential Drivers
Shrubs 193.144 22.78 Logging, fires, encroachments
Barelands 172.376 20.33 Coal mining, fires, logging
Timber plantation 162.744 19.19 Acacia or other pulp plantation
Estate crops 162.387 19.15 Mostly oil-palm plantation
Agriculture 155.355 18.32 Encroachments, shifting agriculture
Mining 1.324 0.16 From more than 360,000 hectares of mining areas, only 5,000 hectares has been exploited, not inlcuding illegal gold mining and oil drilling
Settlements 278 0.03 Encroachments or expansion of existing settlements
Aquaculture 211 0.02 Fish or shrimp ponds development in the coastal mangrove areas
Paddy rice 87 0.01 Development of paddy rice cultivation
Total 847.906 100 Source: BioCF FREL and MRV analisis
Figure 1 and Table 1 show a quantitative land use change, mostly from forest to non forest areas including plantation, open area, agriculture, settlement, etc. Although this analisis has not incorporated source of deforestation qualitatively, but discussion with the MRV consultant producing this analisis and also local stakeholders in Jambi, the change has been mainly caused by expansion of plantation, plantation forest, encroachment, illegal logging, mining, and fires. Most of this are in line with the qualitative analysis above.
2.2.2 Identification of Environmental and Social Issues under the Project Document for J-SLMP
Project Document for J-SLMP envisages the components for future Emission Reduction Program (ERP). Therefore, identification of environmental and social issues was done based on this document. A long list of environmental and social issues was established through data analysis and consultations with relevant stakeholders. This process was then followed by scoping and screening of the most relevant issues under each planned action and intervention (based on the PDO) to generate a final list of environmental and social issues that will be addressed through the ESMF. The key themes during the identification of key issues are presented in Figure 2. Additionally, the need for increased capacity for REDD+ implementation (i.e., safeguards for addressing environmental and social risks) were previously identified during the discussions on mainstreaming the BioCarbon Fund (2017) and the evaluation of readiness (2018). The results of recent FGDs and interviews in Jambi have also been incorporated into the analysis below, while the summary of the consultation process is provided in Section 3.5.
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Figure 2 Summary of themes in identification of key issues.
Identifying drivers Regional Long list Short list / key of deforestations development issues issues
• Peatland • Medium-term • Infrastructure • Environmental • LULUCF development • Poverty • Social • Underlying plan (RPJMD) • Degradation of • Capacity causes • Spatial Plan Land and forest • Institutional & • Drivers of resources regulatory deforestation • Vulnerable area frameworks • Overlapping licenses • Improving governance • Capacity of human resources
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In the deliberative process involving analysis of development policies (Strategic Envionrmental Assessment for Medium-term development plan/RPJMD 2016-2021 and Spatial Plan 2011-2031) at the scoping stage, a long list of issues described below:
▪ Availability & Quality of Infrastructure related to Transportation, Energy, Market, and Telecommunication;
▪ Poverty and welfare related to poverty of farmer; Service of basic needs; Food availability; Gender equality; diminishing local/indigenous wisdom;
▪ Degradation of land and forest resource, consisting of land degradation, land conversion in forest area; exploitation of natural resources; conservation of biodiversity, habitat & wildlife, endangered species, land disputes, and pollution.
Taking into account the analysis on drivers of deforestation and components of PDO, the scoping finalization process stipulates that poverty10 and welfare, as well as degradation of land and forest resource are two strategic issues to be discussed further in SESA. The medium list of issues consist of poverty and welfare, and degradation of land and forest resources. Further screening process on the medium list resulted in the following short list of key issues:
1. Forest Encroachment;
2. Unauthorised activities (logging, mining & plantations);
3. Peatland and forest fire;
4. Tenurial conflicts;
5. Social conflict potentials;
6. Lack of community participations; and
7. Activity of indigenous rights.
Matrix of analysis leading to the identification of key issues is provided in Appendix A1, where all available information from exissting development documents of Jambi has been incorporated and has lead to the above issues.
2.3 STAKEHOLDER ANALYSIS
2.3.1 Stakeholder Identification
The approach adopted for the identification of stakeholders has been mainly through assessments of forest-related activities/programs in Jambi for the past five years. At the national level, the Ministry of Environment and Forestry (MoEF) coordinates with relevant ministries and agencies to nominate relevant stakeholders for consultations. At the sub-national level, such assessment has been supported by local agencies. Indigenous Peoples have been engaged through civil society organizations (CSOs),
10 Deforestation is also caused by greed, but the PDO focuses on poverty issues. Poverty issues are more realistic to address compared to greed.
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as well as through Indigenous Peoples’ institutions at the village level. Result of these consultaions can be seen under Appendix 3.
The deforestation analysis11 shows that the deforestation in Jambi Province is caused by transformation of land forest into palm oil, industrial forest land, transmigration, coal mine, forest encroachment, and forest fires. Such land use changes were observed in palm oil concession, production forest plantation / production forest and national parks. The preliminary deforestation analysis is helpful for identifying stakeholders’ activities relevant with deforestation. These stakeholder roles include government authorities as regulators and executors; private companies, local communities and indigeneous people as land users, and NGOs conducting donor programs and activities in reducing deforestation. Relevant stakeholders are compiled in Table . For more information related to location of deforestation, institutional arrangement, level of contribution to deforestation and potential influences and capacities, please see Appendix A7. In Appendix A7, Likert scale (1-5) is used to describe level contributions of stakeholders to deforestation where 1 is low or no contribution, and 5 is high contribution.
Table 2 List of stakeholders by potential contributors to deforestation in Jambi Province.
Stakeholders Locations of NGO / Donor Deforestation Regulators and Executors Land users Programs
Palm Oil - District Plantation Agency ▪ Plantation companies - KKI Warsi - District Environmental Agency ▪ Serikat Petani Indonesia - Walhi Jambi - Provincial and district agrarian (Indonesian Farmers - Setara Jambi agencies Union) ▪ Orang Rimba Customary Group
IUPHHK-HTI - Provincial Forestry Agency Forestry companies - KKI Warsi - Provnicial Environmental - Walhi Jambi Agency - CAPPA - Forest Management Unit - Perhimpunan Hijau
Transmigration - District and provincial Transmigran Communities transmigration agencies - District and Provincial Environment Agency - District and Provincial Public Works and Housing Agencies - District’s Civil Registry Office (Dukcapil)
Mining - Provincial Energy and Mineral ▪ Mining companies - KKI Warsi Resources Agency ▪ Artisanal miners - Walhi Jambi - Provincial and District Environmental Agency - Governor’s office
APL - District and provincial ▪ Private companies - KKI Warsi plantation agencies (plantation and mining) - Walhi Jambi
11 The deforestation analysis has been done since 1990 until 2015 by GIS KKI team as land cover map series
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Stakeholders Locations of NGO / Donor Deforestation Regulators and Executors Land users Programs - District and provincial ▪ Serikat Petani Indonesia - Mitra Aksi Agriculture and Horticulture (Indonesian Farmers - Gita Buana Agencies Union) - JMGJ - District and Provincial Public - Walestra Works and Housing Agencies - District and Provincial Environment Agencies - Provincial and district agrarian agencies - Village governments
Production forest - Provincial Forestry Agency ▪ Forestry companies - KKI Warsi - Forest Management Units ▪ Social forestry groups - Walhi Jambi - Production Forest Management - Amphal ▪ Coffee farmers Authority (BPHP) – Jambi - Forest Programme II (KfW)
National Park - MoEF (Directorate General of ▪ Coffee farmers - KKI Warsi Conservation of Natural ▪ Serampas Customary - Walhi Jambi Resource and Ecosystem) Group (Kerinci Seblat NP) - Lahar - Kerinci Seblat NP - Gita Buana ▪ Talang Mamak Customary - Berbak-Sembilang NP - Walestra Group (Bukit Tigapuluh NP) - Bukit Tigapuluh NP - Pundi Sumatera - Bukit Duabelas NP ▪ Nature tourists (public) - WWF Indonesia ▪ Hydropower plants - ZSL Indonesia ▪ Geothermal companies Program - FZS ▪ Academics/researchers - FFI Indonesia ▪ Serikat Petani Indonesia - Forest (Indonesian Farmers Programme II Union) (KfW) ▪ Orang Rimba customary group (Bukit Duabelas NP)
Protected - Dinas Kehutanan Provinsi ▪ Coffee farmers (Liberica) - KKI Warsi forest/peatland - Forest Management Unit ▪ Private companies (forest - JMGJ - Watershed & Protected Forest concessions) - Gita Buana Authority (BPDASHL) - Walestra - Peatland Restoration Agency - Forest (Badan Restorasi Gambut) Programme II (KfW)
Grand Forest Park - Dinas Kehutanan Provinsi Nature Tourists (public) - Provincial Agency for Grand Forest Park
Nature Reserves - MoEF (DG Conservation of Academics / researchers Natural Resources and Ecosystem) - Conservation of Natural Resource Agency (BKSDA – Jambi)
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Strategies to reach local stakeholders, including vulnerable groups, involved coordinating with local government agencies and non-governmental organizations (NGOs) which provide services to these groups. An analysis of stakeholders’ influence and impact (both positive and negative) on the ERP is provided in Section 2.3.2 on Stakeholder Mapping.
2.3.2 Stakeholder Mapping
Stakeholders consisting of government and non-government agencies at the national, provincial, district and grass root levels will be identified in the ERP Document. On this basis, further analysis of stakeholders was conducted to refine analyses of environmental and social aspects and their influence. This was carried out as part of the SESA, through a mapping process described in in Figure below.
Figure 3 Stakeholder mapping for the SESA process
Stakeholder Stakeholder mapping Identify impacts from identification (interest and influence) REDD+ implementation
Recommendation for Engagement strategies participations
These stakeholders are categorised into:
▪ Stakeholders who influence the implementation of the ERP. These stakeholders are further categorised into:
o Positive influencer: stakeholders who support the ERP implementation. These include stakeholders who play an essential role for the success of ERP implementation;
o Negative influencer: stakeholders who can potentially oppose the ERP, and/or create constraints and/or barriers to the ERP implementation; and
o Neutral: stakeholders who are relevant to the ERP, but neither support nor constrain the ERP implementation.
▪ Stakeholders who may be impacted by the ERP implementation. These stakeholders are further categorised into the following:
o Positively impacted: stakeholders who potentially receive benefits from the ERP. These include stakeholders who are involved in the implementation;
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o Negatively impacted: stakeholders who can potentially bear the risks and receive negative consequences from the ERP implementation; and
o Neutral: stakeholders who are relevant to the ERP implementation, but neither receive benefits nor face adverse impacts from the ERP implementation.
Furthermore, in the development of the SESA, stakeholders who hold relevant information for identifying drivers of deforestation and degradations were also engaged. These include those who were involved in identifying environmental and social risks relevant to the ERP.
It is important to note that such stakeholder categorization is fluid due to various possible factors that may affect perception, the nature of impacts, and the level of interest and support. This stakeholder analysis will continue to be revisited as the ERP is being prepared, and a stakeholder engagement strategy will be developed as part of the ERP implementation.
In conjunction with the categorization above, an assessment of two main groups of stakeholders (i.e., stakeholders who could influence the ERP and those who would benefit from the ERP) was done to assess which roles will create the most influence, as well as feel the most impact (benefits or loss), from ERP implementation.
2.3.2.1 Stakeholders Influencing ERP Implementation
Government Stakeholders
Government stakeholders relevant to the ERP implementation include:
▪ Central Government: MoEF (Directorate General of Climate Change Mitigation [Pengendalian Perubahan Iklim (DGPPI)] and Center for Social Economic Forest Policy and Climate Change [Pusat Penelitian dan Pengembangan Sosial Ekonomi Kebijakan dan Perubahan Iklim (P3SEKPI)] as the host for Carbon Fund and Bio Carbon Fund) and Ministry of Finance (MoF) for negotiating and establishing the ERP agreement. MoF plays a crucial role in formulating the ERP’s benefit sharing mechanism (BSM) and therefore, needs to be engaged prior to and throughout ER implementation. Central government agencies are positive influencers that are essential for ensuring the ERP implementation. Additionally, DGPPI and P3SEKPI represent stakeholders who are key to ERP’s knowledge management.
Other directorate generals under the MoEF include:
o Directorate general for sustainable production forest management (Pengelolaan Hutan Produksi Lestari - PHPL) who has main task to give and observe permit access forest utilization on a big scale in permit business of utilization forest production and conservation forest. The role of this Directorate General is important in permit management in forestry sector as one of deforestation trigger;
o Directorate General for Watershed Management and Conservation Forest (Pengelolaan Daerah Aliran Sungai dan Hutan Lindung – PDASHL). The rehabilitation of critical land as effort to restore degradation and deforestation is a important task of this directorate related with ERP;
o Directorate General of Natural Resource and Ecosystem Conservation (Konservasi Sumber Daya alam dan Ekosistem – KSDAE) also has important role to manage the
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conservation areas at site level through technical implementation unit such as national park and conservation of natural resource Agency (Balai Konservasi Sumber Daya alam – BKSDA); and
o Directorate General of Social Forestry and Environmental Partnership (Perhutanan Sosial dan Kemitraan Lingkungan – PSKL) is equipped with capacity for FPIC and conflict resolution. They are also mandated with establishing social forestry groups that will allow access and involvement of local communities in managing and protecting forests.
Policy Influence at the central government level may also include other ministries, such as: Agrarian and Spatial Planning (for land reform and palm licenses), Energy and Mineral Resources (mining sector), Ministry of Economy, Ministry of Village and Under-Developed Region (village fund allocation), Ministry of Agriculture (horticulutre, food crops, and plantation commodities), Ministry of Home Affairs (capacity building and governance aspects), Ministry of finance, and Ministry of Transportation (transport and opening of seaports).
Implementation of ERP will also be relevant with Peatland Restoration Agency (Badan Restorasi Gambut – BRG). This is a government institution who formed by President Joko Widodo through Presidential Regulation (Peraturan Presiden – Perpres) No. 1/2016. The main tasks of BRG are peat restoration activities consisting of: rewetting, revegetation, and revitalisation of peatland areas in Indonesia. BRG is established as Government respond from forest fire incident and peat land which occurred on 2015. The peat restoration is a effort to restore ecology function of peat land and increase public welfare. Peat land has high carbon stock, so, peatland fire is considered as a main driver if deforestation (peat decomposition may be negligible). Jambi Province is one of the priorities of BRG implementation.
▪ Provincial Government: BAPPEDA, Forestry, Plantation, Environment, Energy and Mineral Resources, Information and Office for National Unity and Politics (Kesbangpol), Communication Agency (Infokom), Office of Manpower and Transmigration, Food crop and Horticulture Agency, Sekda/Governor and Provincial Land Agency (Kanwil BPN) for implementation. Forestry Agency in Jambi is also coordinating peat restoration activities. All of these provincial agencies (with the exceptions of Infokom and Kesbangpol) are positive influencers and are essential in ERP implementation. At the stage of the ERP preparation, Infokom and Kesbangpol may remain neutral, but upon engagement, these agencies may potentially play a crucial role in synchronizing various systems under the Program’s FGRM, as well as in knowledge management. Additionally, Sekda/Governor are currently positive influencers, as they determine the political conditions suitable for ERP implementation.
▪ Village Government: Village governments are proposed to be involved in managing forested areas in other use areas (APL), as well as in organising aquaculture initiatives in the villages. In keeping with the practices of local communities and customary communities, the village government is crucial in the ERP implementation.
It is worth noting that there are jurisdictional issues in coordinating, mediating, and intervening in cases occurring in areas without clear designation (forestry, plantation, or mining) due to map discrepancies. Approach may require interventions by MoEF and ART/BPN simultaneously, which can only be facilitated by having an integrated cross-sectoral conflict resolution mechanims / FGRM.
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Non-Government Stakeholders
Non-government stakeholders relevant with the ERP implementation consist of (but are not limited to):
▪ Joint Secretariat (SEKBER) of forest resource management (Pengelolaan Sumber Daya Hutan - PSDH): This is a joint cross-sector secretariat initiated by the Jambi Provincial Forestry Office in 2017. Sekber PSDHA was legalized through Decree of the Head of the Jambi Province Forestry Service No. 96 / Kota / Dishut-5.3 / IV / 2017 dated April 3, 2017. The SEKBER is not only filled by regional officials but also there are representatives from private sector and NGOs. SEKBER is very strategic as a media for consolidating and coordinating forest resource management programs in Jambi Province;
▪ NGO have important role in efforts to reduce community-based emis. National NGOs (Inisiatif Dagang Hijau – IDH and ICRAF) are supporting the Bappeda on establishing green growth plan to be part of the provincial development plan. NGOs also carry out activities at community level in an effort to minimize deforestation, rehabilitation and restoration of forests and peatlands in Jambi Province. These NGOs include KKI Warsi, Walhi Jambi, Gita Buana, Walestra, Action Partners, Cappa, Setara, Perhimpunan Hijau, Amphal, Jambi Peat Community Network (JMGJ ), Lahar, LTB, LTA, and Pundi Sumatra;
▪ University & Research Institute: Jambi University is very instrumental in providing an academic perspective related to emissions reduction projects in Jambi Province. Jambi University academics have carried out research related to the forestry, agricultural and legal sectors in the management of environmentally friendly natural resources. The Faculty of Forestry is particularly active in assisting FMUs in the process of providing RPHJP and other forestry planning documents in Jambi Province;
▪ Private sector: Plantation, forestry and mining companies are concession holders that are strongly associated with ERPD implementation. Because these three sectors are the biggest drivers of deforestation in Jambi Province. This implementation will depend on company collaboration (for example, best management practices, high allocation of conservation values and social / gender inclusion). Several concession holders have now begun to lead to the management of sustainable concessions. For example, Asian Pulp and Paper as the largest forestry concession group in Indonesia has developed the Forest Conservation Policy, (FCP), PT Lestari Asri Jaya is also developing the Wild Conservation Area (WCA) concept, Asian Agri and Smart GAR have obtained the Rountable on Sustainable Palm Oil (RSPO) certificate to increase the selling value of CPO products in the global market;
▪ Local communities: Local communities are key stakeholders that determine the feasibility of ERP implementation. In addition to their involvement in the agriculture and forestry sector, they are also involved in sustainable livelihood scenarios. Therefore, their involvement is very important for ERP implementation. Their involvement must be preceded by FPIC;
▪ Indigenous people: In SESA context, it is considered as a separate entity with the local community. Because local people tend to be heterogeneous and have gained relatively good access and services. Local people also tend to have undergone a process of acculturation with immigrant communities so that the value used has tended to be general / formal values. While indigenous people still tend to be homogeneous by arranging life based on ancestral / origin values. They tend to have a value of harmony with natural resources. Orang Rimba, Batin
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Sembilan, Talang Mamak and other indigenous people do not have access and public services. They are considered as vulnerable groups that may be affected in the ERP implementation process. Therefore, FPIC process determines their influence and their interests are not disturbed by ERP implementation;
▪ Associations: Palm oil associations (Indonesian Palm Oil Association - IPOA), coal mining associations and worker associations will play an important role in encouraging companies to participate in the ERP. A specific example is supporting the implementation of Roundtable on Sustainable Palm Oil (RSPO) or Indonesian Sustainable Palm Oil (ISPO) standards.
The above stakeholder analysis, factoring in the nature of their potential impact (both positive and negative) and their level of interest in and influence over the ERP, is presented in Figure . As the diagram demonstrates, positive influencers tend to be located in the upper portion of the diagram. Whereas those who may act as negative influences are located in the bottom left handside of the diagram. Impacts of ERP implementation includes political economic aspects (discussed in Section 5.5.2) where provincial government stakeholders may have stronger influence and interests.
Based on the result of this assessment, the ERP needs to consider the following approach / engagement strategies:
▪ Active involvement and consultation with high influence and high interest stakeholders. Expectations from these stakeholders need to be mapped in order to ensure that their expectations are met, to increase collaboration among stakeholders, and to enable effective ERP implementation;
▪ Involvement of stakeholders with high interest but low influence. These stakeholders may support ERP implementation, though they do not have the authority to decide policies. The implementation of the ERP needs to ensure that most of the stakeholders’ expectations are met;
▪ Consultation with and persuasion of stakeholders with high influence and low interest. These stakeholders are capable of influencing other stakeholders, as well as influencing the course of ERP implementation. Engagement is intended to increase (positive) influence over the ERP; and
▪ Consultation with and information for stakeholders with low interest and low influence. This is done to increase interest and positive influence of these stakeholders in the ERP.
Feedback from the stakeholders above was properly addressed and ways to mitigate the potential impacts of the ERP were discussed and consulted. The process involved the provincial government (BAPPEDA, the Office of the Environment, and government offices responsible for the relevant land- based sectors), district governments (BAPPEDA, environmental agencies, and estate crop agencies), local and international NGOs in Jambi, academics (UNJA, Universitas Batanghari & IAIN Jambi), and employers' associations (including some forestry and plantation companies). All inputs were compiled, and discussed with the SEKBER, Forestry and Environmental Research Development and Innovation Agency of the Government of Indonesia (FOERDIA) and the Directorate General for Climate Change (DGCC). A summary of the consultation processes, together with an assessment of the extent to which key concerns and views from relevant stakeholders have been incorporated in the ERP design, is presented in Chapter 3 of the SESA.
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Figure 4 Stakeholder analysis based on interest and influence.12
HTI Permit holders BioCF; DGPPI; ATR/BPN, BRG. Village and under-developed areas Provincial Oil Palm permit holders Agencies (BAPPEDA, Forestry, Mining permit holders Plantation, Horticulture, HIGH Environment, Mining Agencies, Smallholder plantations (Palm, coffee, Village Development, Manpower & cocoa, rubber, coconut, cinnamon)
transmigration); Indigenous People INFLUENCE
NGOs (KKI Warsi, Gita Buana, Walestra, Concession Holders Ecosystem Walhi Jambi, Perhimpunan Hijau, Restoration PT ABT & PT REKI); Cappa, Setara, Amphal, JMGJ, Action Provincial Agencies (Infokom and Partners) , WWF, FZS, Jambi University, Kesbangpol) - To be confirmed in public FMU, national parks (TNBD, TNKS, LOW consultation & FGDs TNBT, TNBS), BKSDA, SEKBER, local Community
HIGH LOW INTEREST
2.3.2.2 Stakeholders Impacted by the ERP Implementation
Impacts from ERP implementation may result in benefits or losses that constitute positive or negative impacts respectively.
Government Stakeholders
▪ Central Government: The DGPPI and P3SEKPI represent stakeholders who will benefit from the ERP (by achieving the performance index and targets specified in their respective strategic plans, as well as by enhancing budgetary efficiency to address environmental issues at a sub- national level). ERP implementation can help the MoEF in structuring a sustainable forestry sector. The Ministry of Finance received assistance in increasing state revenues from foreign grants. The Ministry of Village, and Under-Developed Areas and Transmigration are may receive positive impacts in the case of forested Other Use Areas (Area Penggunaan Lain - APL). However, negative impacts may be received by ministries of Village and Under- developed areas and Transmigration, as ERP my hamper the process of infrastructure development, especially those in state forest areas. The BPN and ATR ministries will also have a positive impact on conflict resolution and support for agrarian reform.
▪ Provincial Government: BAPPEDA, Forestry, Plantation, Horticulture, Environment, Mining, Information and Office for National Unity and Politics (Kesbangpol), Communication Agency (Infokom), Village Development, and Provincial Land Agency (Kanwil BPN) for implementation. ERP implementation will have a positive impact on Bappeda in the form of strengthening and
12 Needs to be re-confirmed during public consulation and discussions with relevant stakeholders, specifically those at district level.
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support for a sustainable planning system. Positive impacts may also be received by Forestry Agency, as ERP would provide assistance in capacity building, forest management, social forestry, rehabilitation of degraded forest areas, conflict resolution, FMU development, and forest security patrols and forest fire prevention. Whereas in the Plantation Agency, ERP implementation will have an impact on the support of sustainable plantation systems and conflict resolution. ERP implementation will also help the Environmental Agency in an effort to strengthen the monitoring system of permit production activities, be it mining, plantations, forestry, residues of hazardous materials from agriculture, factory waste and households. The Mining Agency will also get a positive impact from ERP implementation in the form of strengthening monitoring of reclamation of mining permit holders, renewable energy development and possibly also law enforcement for violations committed by mining permit holders. The Land Office will also get a positive impact on conflict resolution efforts, and support the agrarian reform program, clarity of forest and non-forest boundaries. The Office of Food Crops and Horticulture can have a positive impact in the form of increasing capacity to develop organic agriculture and intensification of land.
▪ District Government: The ERP will likely generate positive benefits to the following agencies: BAPPEDA (improved planning, sustainable district development), Environmental Agency (conflict resolution and environmental compliance), Plantation Agency (conflict resolution and sustainable plantation management), Community Development Agency (DPMD; potential channelling of carbon benefits to the villages, village empowerment), and District Land Agencies (Kantor Pertanahan; conflict/dispute resolution, clarity over forest and non-forest boundaries). These stakeholders will also receive capacity building as part of the ERP implementation, which represents positive benefits from the Program.
▪ Village Governments: The Village Government that has been involved in managing social forestry schemes will have a positive impact from ERP implementation. The ERP implementation can support sustainable forest management efforts designed by village forest management institutions / HKm (Community forest) and HTR (community commodity forest) groups and customary forest management. In addition, the Village Government that has managed social forestry has the potential to obtain positive impacts from benefit sharing mechanism13.
Non-Government Stakeholders
▪ Joint Secretariat for Forest Resource Management (PSDH Sekber): SEKBER will get a positive impact from ERP implementation. The ERP will support SEKBER’s mission to improve forest governance;
▪ Non-Government Organizations (NGOs): NGOs are part of the stakholders who will receive positive impact from ERP implementation, as long as there is active involvement of the community around the implementation of the ERP. NGOs may oppose ERP implementation if indigenous peoples’ rights are not properly respected;
▪ Academics: Academics / higher education instituions such as Jambi University (UNJA) can also get a positive impact from ERP implementation in form of involvement in conducting
13 To be developed and agreed among stakholders
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studies starting from the planning process, implementation to monitoring the ERP implementation;
▪ Private sector: Positive impacts for these stakeholders may include resolution of unclear boundaries between concessions. However, plantation, forestry and mining companies may receive negative impacts from ERP implementation. This is because ERP implementation will limit the production process of existing concession of plantation, forestry and mining permits, as the production activity in these sectors was considered as contributor to deforestation. Therefore, compensation for these restrictions (opportunity cost) must be considered in ERP implementation scenario. Otherwise, the ERP will receive rejection from the permit holders. The permit holders must be included in a sustainable permit management scheme such as the Timber Legality Verification System or Forest Steward Council certificate for the forestry sector and RSPO or ISPO certificate for the oil palm plantation sector. One interesting model is Smart GAR and Asian Agri which have received RSPO certificates. Their CPO has been well received in the European market due to sustainable management and harvest of the plantation;
▪ Local community: Local communities, especially those involved in social forestry schemes will receive a positive impact on ERP implementation. Formalisation and establishment of social forestry provide schemes for receiving benefits (i.e., facilitations and market support). Social forestry scheme will contribute to emission reduction by addressing driver of deforestation. Negative impacts may also be received by local communities, as there will be potential limitation to economic activities related to agriculture and plantation due to ERP (Access restriction) is implemented. Therefore, efforts to intensify land-use (intensification for agricultre), and increase the added value of local community products must be considered in the ERP design and implementation;
▪ Indigenous peoples: Indigenous peoples, especially those managing customary forests will receive a positive impact on ERP implementation. Formalisation and establishment of social forestry provide schemes for receiving benefits (i.e., facilitations and market support), if they contribute to reducing emissions. Indigenous people may receive negative impacts due to limited by economic activities if ERP is implemented. Indigenous peoples’ access for opening new land agriculture and plantations (Access restriction) is expected. Therefore, efforts to intensify land-use (intensification for agricultre) and increase the added value of indigenous peoples’ products must be considered in the ERP design and implementation. Specific attention must be given to the indigenous people in Jambi Province such as Orang Rimba, Talang Mamak and Batin Sembilan because they are considered as vulnerable groups. Indigenous peoples such as Marga Serampas in Merangin has established a customary area within Kerinci Seblat National Park.
Stakeholders impacted by ERP implementation can also be identified by their dependency on forest or natural resources. The baseline data suggest that forest dependent communities impacted by the ERP may consist of:
▪ Adat/customary communities/indigenous peoples that still practice hunting and gathering of natural resources for subsistnce. These communities are known to exist in National pakrs, forest and plantation areas. This group influences the outcome of FPIC, tenurial conflicts resolution and benefit sharing mechanism. This group has interest in maintaining customary land rights (for access and/or use) that may be targeted by ERP. Engagement strategies may include:
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o Involvement in ERP socialisation and FPIC procedures;
o Involvement in conflict resolution mechanisms and FGRM; and
o Obtaining consent on benefit sharing mechanism.
▪ Local communities (including some customary communities) involved in social forestry programs. This group influences the outcome of FPIC, tenurial conflicts resolution, reduction of deforestation and benefit sharing mechanism. Additionally, this groups shares interest in NTFPs and REDD+ benefits. Engagement strategies may include:
o Involvement related to sustainable timber harvesting;
o Involvement in promoting NTFPs; and
o Consent on benefit sharing mechanism.
▪ Smallholder palm oil planters. Similar to adat and local communities, this group influences the outcome of FPIC, tenurial conflicts resolution, reduction of deforestation and benefit sharing mechanism. This group may share interest in sustainable palm oil mechanism. Engagement within the ERP include (but not limited to);
o Involvement in sustainable palm oil mechanism;
o Involvement in social and environmental safeguards; and
o Consent on benefit sharing mechanism.
Other forest stakeholders include:
▪ Private companies holding logging or forestry plantation licenses. They may be impacted by license revocation / moratorium and may influence the outcome sustainable forest management mechanisms (e.g., HCV and RIL-C). Engagement strategy within the ERP may consist of:
o Encouraging improvement on forest governance, specifically for licensing, monitoring and evaluation;
o Involvement in conflict resolutions and FGRM; and
o Encouraging implementation and adoption of safeguard mechanisms such as PHPL, a moratorium and RIL-C (logging concessions).
▪ Forest management units in charge of the management of production and protected forests. This group influences the outcome of FPIC, tenurial conflicts resolution, reduction of deforestation. This group shares interest in capacity building and improvement on forest supervision. Engagement strategy for these groups under the ERP may consist of:
o Capacity building to improve forest governance;
o Encourage involvement in implementation of safeguard mechanisms; and
o Encourage involvement in implementation of FGRM.
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2.3.2.3 Stakeholders with Potential Vested Interests
While it seems that none of the above stakeholders constitute negative influencers14, there may be some vested institutional interests related to the mandate on increasing provincial/district revenue (Penadapatan Asli Daerah [PAD]). A large portion of Jambi’s PAD comes from plantation and mining sectors, so a decrease in plantation and mining productivity may affect the PAD. Therefore, government agencies such as the Forestry Agency, Agriculture & Horticulture Agency, Energy and Mineral Resource Agency, provincial/district tax offices, licensing offices, investment/asset agencies, and provincial/district councils (or even Bupati) may have vested interest in ERP implementation. Vested interest may become more prominent during district/provincial election time.
2.3.3 Institutional Capacity Assessment
Assessment was done to recognise institutional capacity in managing environmental and social risks identified in sections above. Details of the assessment is provided in Appendix A6 of this report. This assessment was done on stakeholders at national and sub-national levels with the following summary:
▪ National Level requires strong capacity for coordination between Indonesian government and FCPF, as well as between national and sub-national levels, as well as political and management supports for one-map policy, sustainable forest management, ensuring timber legality, sustainable palm oil, sustainable mining, and integration of envrionmental and social safeguards into the development strategies. Benefit sharing mechanism needs to be defined and agreed upon to ensure effective flow of Carbon Fund to the eligible beneficiaries;
▪ Provincial Level requires strong capacity for developing strong regulations (i.e., PERDA) to support Green Growth Plan of Jambi (supported by IDH). This level also requires capacity for coordinating ERP implementation (including safeguards mechanism) with technical support from national government, as well as proper implementation of benefit sharing mechanism (e.g., through BLU). Technical capacity is needed to ensure optimal operation of FMUs (management of forestry areas and HCV), plantation agency (sustainable estate crop plantation), and environmental agency. Specifically, strong capacity for conflict resolution (FGRM), sustainable palm oil plantation, and participatory planning is required.
▪ District Level requires capacity relevant with recognition of indigenous peoples (District PERDA), as well as application of sustainable plantation, mining and forestry practices. Capacity at district level will also include recommendations for HGU and HCV for plantation. Such recommendation needs to consider potential risks such as access restriction and/or involuntary resettlement.
▪ Village Level requires capacity relevant with implementing ERP (mainly in APL), as well as taking part in administering FGRM. Participatory planning such as Participatory Rural Appraisal (PRA) and Village Land-Use Planning (VLUP) need to be implemented at this level to allow social and gender inclusion in development planning.
▪ Private sector’s need to increase the capacity for engaging with local communities and local government, as well as for mitigating environmental and social risks. Private sectors need the
14 Interview with various stakeholders describes in this section shows that none of these stakeholders oppose of the BioCF concept and approach. Despite some infamiliarities with the comcept, all stakeholders agree that sustianble development and sustainable forest management is an important agenda for Jambi Province. Therefore, it can be concluded that the risk of stakeholder opposition is low, and none of these stakeholders constitute negative influences.
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capacity for sustainable forest management practices such as wildlife corridor and HCV, as well dispute resolution and the implementation of relevant safeguard mechanisms.
2.4 DATA ANALYSIS
Upon establishing a shortlist of environmental and social (key) issues under Section 2.2.2 a follow-up analysis was carried out to understand specific environmental and social risks associated with the ERP’s components and sub-components15, which covers:
▪ Component 1: Strengthening Policy Institution. The ER Program will focus on three key aspects that support improved land governance. Component 1 consists of the following sub- components:
o Sub-component 1.1: Institutional strengthening,
o Sub-component 1.2: Enabling environment for emission reduction program, and
o Sub-component 1.3: Policy and regulatioins.
In addition to leading to significant emissions reductions, this Component is expected to provide capacity improvements to local stakeholders at provincial and district levels, as well as to Forest Management Units throughout Jambi;
▪ Component 2: Implementing Sustainable Land Management. The ER Program will facilitate the development of long term management plan of 12 Forest Management Units. This component will also encourage stakeholders’ participation (including local communities) in forest management and fire prevention. Additionally, incentives for local communities are included within this component to ensure sustainability. Component 2 consists of the following sub-components:
o Sub-component 2.1: Integrated forest and land management;
o Sub-component 2.2: Private sector partnership for improved forest and land management.
▪ Component 3: Result-based parments and Program Management. Component 3 aims for the implementation of J-SLMP and future emission reduction program (ERP). This component will focus on program management, and Monitoring-Evaluation of the overall program implementation. Component 3 consists of the following sub-components:
o Sub-component 3.1: Project management
o Sub-component 3.2: Monitoring, evaluation, and reporting.
Identification of key risks under these ERP’s components and sub-components forms the basis for the development of the Program’s ESMF. Ultimately, this process fed into improvements in the ERP.
15 A slightly new ERP components and sub-components has been developed and being discussed. Since the new ERP component and sub-components has not been finalized, the old version is used in this report.
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2.4.1 Risk and Impact Analysis
The key objective of the SESA process is identifying environmental and social implications from the implementation of plans, policies and programs proposed under the J-SLMP and future ERP. A risk and impact analysis were carried out as a deliberative exercise based on stakeholder consultations and formulation of strategic issues as above. Plans, policies and proposed interventions under the ERP were examined in light of the contextual risks based on the result of consultation with stakeholders and analysis of spatial data.
The baseline conditions and socio-economic characteristics presented in the SESA serve as a starting point for a preliminary analysis of potential risks and impacts from each program component and sub- component. This process was then followed by a shortlisting of environmental and social issues through assessment of secondary data (medium term plan and spatial plan of Jambi Province) and a series of stakeholder consultations (village, district and provincial levels) in Jambi with the purpose of:
▪ Verifying key issues;
▪ Obtaining additional data relevant to the assessment of risks and impacts;
▪ Identifying new stakeholders for future engagement; and
▪ Forming the basis for the ESMF.
Once the risks are identified, the next step includes impact assessment to forecast the potential impacts if risks are not mitigated or managed. Impacts identified in this step are descriptive, and may be ranked using categories (low, medium and high). Quantification of impacts will be done through stakeholder participations and/or expert judgement.
Subsequently, as part of the shortlisting process, impacts identified using the above process will be grouped into the following clusters:
▪ Positive environmental impacts;
▪ Negative environmental impacts;
▪ Positive social impacts; and
▪ Negative social impacts.
Cross referencing between risks and impacts clusters is designed to identify relevant World Bank Operational Policies (OP) and Bank Policies (BP) that can potentially be triggered. These OPs and BPs consist of:
▪ Environmental Assessment (OP/BP 4.01);
▪ Natural Habitats (OP/BP 4.04);
▪ Forests (OP/BP 4.36);
▪ Pest Management (OP 4.09);
▪ Physical Cultural Resources (OP/BP 4.11);
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▪ Involuntary Resettlement (OP/BP 4.12) in the context of access restriction, and potential resettlement risks; and
▪ Indigenous Peoples (OP/BP 4.10).
Risk and impact analysis and identification of World Bank’s OP/BPs that can potentially be triggered by ERP lead to the gap analysis.
2.4.2 Gap Analysis
Gap analysis was done by comparing the risks identified in the interim SESA (and further analysed in the SESA) with existing safeguards and World Bank’s OP/BPs. Gap analysis is done to ensure that all risks caused by the ERP are addressed by the existing safeguards and to ensure compliance with the World Bank’s standards. Gap analysis was also done to identify shortcomings in the current regulatory framework to address the safeguards’ requirements.
This analysis aims to identify whether existing national regulations and safeguards (e.g., SIS REDD+, and PRISAI) are relevant to address the above-mentioned risks. Safeguard mechanisms to address these risks will be formulated in ESMF documents that will be developed separately from the SESA.
2.5 PUBLIC CONSULTATION
Public consultation is done to ensure input and subsequent buy-ins from relevant stakeholders. These will be used to formulate recommendations for:
▪ Addressing key environmental and socio-cultural issues (i.e., avoiding, mitigating, or offsetting negative impacts), as identified in the scoping process;
▪ Implementing capacity building and engagement strategies to allow proper action to address key environmental and socio-cultural issues; and
▪ Identifying (indicative) financial requirements for the above recommendations and subsequent REDD+ implementation. This may also be linked with potential emission reduction payments.
2.6 LIMITATIONS
Strategic Environemtal and Social Assessment and the ESMF were developed during the initial phase of ERPD development in Jambi. Due to the lack of ERPD document, SESA was done mainly based on the PDO. Data collection covered limited geography as samples to represent mineral forests and peatland. The analysis based on sample villages and districts may not be able to reflect the overall environmental and social conditions in Jambi Province. Further consultations with sample districts (Merangin and Tanjung Jabung Timur to represent mineral and peatland, respectively) were already conducted to enrich the analysis. 3.0 STRATEGIC CONTEXTS OF REDD+ IN INDONESIA
This chapter presents:
▪ Key REDD+ and readiness processes;
▪ Strategic rationale of REDD+ in Indonesia;
▪ REDD+ consultation process;
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▪ Safeguard Initiatives;
▪ Selection of Jambi Province;
▪ REDD+ consultation process; and
▪ Lessons learned from previous REDD+ implementations.
3.1 KEY PROCESSES OF REDD+ READINESS16
Indonesia is a globally important country in terms of reducing GHG emissions from forest carbon sources. The successful implementation of REDD+ initiatives in Indonesia will contribute substantially to global efforts to contain climate change. Although much is still to be done in terms of implementation, Indonesia has made significant progress toward REDD+ Readiness (MoEF, 2018). The country has been an active participant in REDD+ dialogues and programs since 2007. In 2009, Indonesia committed to reduce GHG emissions by 26% through its own efforts and by up to 41% with international support, below the business as usual scenario by 2020. Later in 2015 (at COP 21 in Paris) Indonesia committed to reduce 29% of its emissions through its own efforts, and up to 41% with international support, below the business as usual scenario by 2030, through submission of the Nationally Determined Contribution (NDC).
Indonesia has made significant progress toward developing national REDD+ architecture and is at a point where a jurisdictional program will provide added stimulus and practical knowledge for finalizing the national system. A critical next step toward national REDD+ implementation is the finalization and implementation of sub-national REDD+ frameworks. The proposed program offers to test a comprehensive approach to REDD+ that covers policy-level changes as well as field-based activities, and that addresses drivers of deforestation that are prevalent in most of Indonesia’s forested regions. At the national level, the ERP is placed under the responsibility of the MoEF.
Funding from ISFL, together with other funding sources, are used to improve Indonesia’s readiness in implementing REDD+. In January 2017, Indonesia’s Readiness Package was submitted and endorsed by the ISFL and FCPF Participants Committee. Readiness process has provided Indonesian government with exposures to safeguard mechanism required by the UNFCC, as well as hands-on experience in developing the safeguard mechanisms suited for the Indonesian national and sub- national contexts. Additionally, readiness package also enabled sharing of experience among different countries (Indonesia, Vietnam, and many other countries) as a collective learning process in preparing the ERPD. Improvement on SIS-REDD+ Indonesia, improvement on capacity for implementing and monitoring of safeguards, and quality assurance to ensure proper safeguard implementations are needed to ensure the robustness to address environmental and social aspects throughout REDD+ initiatives at national and sub-national levels. Key progress in terms of REDD+ readiness is summarized in Table .
16 Source: Emission Reduction Program Document (ERPD) Jambi Province
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Table 3 Summary of REDD+ Readiness in Indonesia.
Components Progress Key Gaps
Component 1. Readiness Organization and Consultation Sub-component 1a. National Since 2015, all REDD+ related matters are managed under the Coordination among institutions and agencies (the Ministry of REDD+ Management Arrangement Ministry of Environment and Forestry’s Directorate General for Finance, the National Planning Agency, and other sectoral Climate Change (DGCC). agencies such as in agriculture, mining, agrarian or other At the sub-national level, DGCC has 5 technical implementation sectors) needs to be further improved. units to speed up the readiness progress at the sub-national level. Human resource capacity for local governments and DGCC One of these is responsible for the Kalimantan Region. regional offices needs to be strengthened. Sub-national REDD+ institutions have been developed in 11 A Feedback and Grievance Redress Mechanism is available but provinces. Sub-national REDD+ institutions in 23 further provinces needs to be better adapted to REDD+ and further tested. are under development.
Sub-component 1b. Consultation, Participation, engagement and consultation processes for various The existing consultation, participation and outreach processes Participation and Outreach REDD+ readiness aspects have taken place at the national and need to be further extended to reach all relevant entities across sub-national levels. This is summarized in Section 3.5. the country. Component 2. REDD+ Strategy Preparation Sub-component 2a. Assessment of Numerous studies related to land use and land use change, forest Unclear tenure rights remain a constraint to the implementation Land Use, Land-Use Change law, policy and governance have been undertaken. These studies of land-use regulations. Drivers, Forest Law, Policy and have led to improved policies, such as the One Map Policy, the The data management system for spatial and statistical Governance. forest and peat land concession moratorium policy, forest and land information related to the ERP needs to be put in place. fire prevention policy, and increased recognition of local community rights.
Sub-component 2b. REDD+ National strategy for implementation of REDD+ Indonesia was Not all local political interests at the sub- national levels support Strategy Options developed in 2010. the REDD+ strategy. By 2012, eleven pilot provinces had completed REDD+ strategies. Understanding of the National REDD+ Strategy across sectors Safeguard Information System (SIS) REDD+ was developed in needs to be strengthened. 2013 and is operational in 3 provinces (Jambi, and West The role of REDD+ within Indonesia’s NDC has not been Kalimantan). finalized. Indonesia’s National Forest reference emission level was submitted in 2015 and assessed by the UNFCCC.
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Components Progress Key Gaps Guidance for National and sub-National FREL was developed in 2017 (Ministerial Regulation number 70 year 2017) and Sub- national FRELs for several provinces have been established (including Jambi Province). Indonesia’s REDD+ MRV system and National Registry System for Climate Change were developed in 2016. Training and capacity building in these systems are in progress. Funding instruments have been in progress since 2015.
Sub-component 2c. Implementation Numerous regulations and policies related to REDD+ programs Laws and regulations related to low carbon development have Framework and activities have been drafted, enacted, adopted, and not been fully adopted by the private sectors. implemented. These include the following: Institutional, authority and procedures in issuing the REDD+ ▪ Ministerial regulations on REDD+ implementation guidance; business permit at the protected forest areas are not yet clear. ▪ The Moratorium on new licenses in primary forest and The National REDD+ Registry System has not yet been fully peatland (this is reviewed every 6 months); disseminated to the responsible and relevant entities. ▪ The One Map Policy; ▪ Forest management units (FMU) as the platform for the implementation of the REDD+ framework currently being developed; and ▪ The REDD+ National Registry is ready to be operated.
Sub-component 2d. Social and Indonesia has developed several safeguards instruments to Further consultations at the district and community levels and Environmental Impacts address social and environmental impacts. These include the secondary data collection will still be needed as part of the PRISAI, the national Environmental Impact Assessment System finalization of the SESA and ESMF. (AMDAL), Strategic Environmental Assessments (KLHS), and the Safeguard Information System (SIS) for REDD+. In 2016, the Ministry of Environment and Forestry produced a compilation of background information for the development of SESA and preparation of the ESMF was initiated. The SESA and ESMF (together with other frameworks) are available and will be finalized prior to the World Bank’s appraisal.
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Components Progress Key Gaps Sub-component 2e. Funding Strategic plan for financing climate change mitigation and Participation by the private sector in REDD+ financing needs to Instrument and Benefit Sharing adaptation has been developed. be enhanced. Mechanism Funding Instrument Presidential Regulation on Environmental Economic Instrument (as The funding scheme needs a stronger legal basis. an umbrella for General Services Agency) has been enacted The benefit sharing mechanism needs to be finalized and (Presidential Regulation No. 46 year 2017). adopted at the national and sub-national levels. Component 3. Reference Emission Levels/Reference Levels Component 3. Reference Emission Indonesia’s FREL document was developed based on a robust Jurisdiction boundaries used by the national and sub-national Levels/Reference Levels methodology, and a participatory process and has been submitted systems are not fully aligned. to the UNFCCC. Measurement timeframes across various schemes need to be FREL for sub-national has been formalised through The Decree of harmonized. DG Climate Change (SK Dirjen PPI) No. 8/2019.
Component 4. Monitoring System for Forest and Safeguards Sub-component 4a. National/Sub- A National Forest Monitoring System (NFMS) and other forest There are still uncertainties in the data. national Forest Monitoring System. monitoring-related systems have been established. The system excludes forest regrowth and degradation within National and sub- national institutions are available to implement secondary forests. the NFMS. Methodologies for assessing displacement and reversal have not There are other activities on forest and carbon monitoring yet been developed. developed by projects, Demonstration Activities and other REDD+- The data validation process is still under development. related programs (such as the FCPF, INCAS, etc.) that provide Other initiatives related to measurement and monitoring at the important additional data. ground level need to be harmonized and aggregated to the national level.
Sub-component 4b. Information National regulations and environment assessment instruments are SIS-REDD+ needs a legal foundation to improve legitimacy. System for Multiple Benefits, Other available. Coordination among agencies that possess forest related data at Impacts, Governance and SIS-REDD+ is ready to be operated. the national and sub-national levels needs to be improved. Safeguards The REDD+ safeguards-related systems need to be better coordinated. Capacity of institutions at the sub-national level to operate the SIS REDD+ needs strengthening. Community involvement in the SIS needs to be improved.
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The Concept Note for BioCF Jambi was developed on March 18, 2017. This document outlines an important role for the provincial and district/city governments in implementing the Indonesian approach to REDD+, which is based on national accounting and sub-national implementation. Upon acceptance of the Concept Note by the World Bank, Jambi was selected for ER implementation in 2017 (entry into IFSL pipeline). The Concept Note was to be developed into ERPD for province-level/jurisdictional REDD+ implementation in Jambi. The ERPD is scheduled for completion by 2020, and the ERPA by 2021.
Provincial governments will have an important role in REDD+ implementation, for example through their responsibility for managing most Forest Management Units. The province-level approach will be scalable to other provinces across Indonesia. Previous REDD+ implementation included support from UNDP to establish baseline and cadastral map of Jambi Province. The project was to coordinate the collection and assessment of data relevant to the requirement of REDD+ projects. The project was part of the Indonesian Government program to reduce CO2 emissions through a REDD+ mechanism.
Jambi Province was selected as a 'high potential project' due to the state and threats of its forests, availability of local and traditional community groups, and presence of other initiatives being implemented by local, national and International NGOs. The proposed J-SLMP and ERP will cover the entire province of Jambi which includes diverse forest and land types, including coastal forests, lowland forests, and upland forests, and peatland which have been a significant source of national emissions. By 2020, Jambi’s annual emissions from deforestation, forest degradation, and peat degradation are predicted to reach more than 52 million MT CO2e/yr (or +/- 8% of the equivalent emissions at the national level). Over the ERPA period (2022 to 2026) the ERP is estimated to lead to contribution to province’s emission reduction target of 48% and 38% from peatland and LULUCF respectively.
The development of the province-level REDD+ framework involved further multi-stakeholder engagement processes. Key documents and plans that were developed with inputs from provincial and local stakeholders include the Jambi REDD+ Strategy and Action Plan (SRAP REDD+), the Jambi Greenhouse Gas Emission Reduction Action Plan (RAD GRK), and the Jambi Environmentally Sustainable Development Strategy (part of Jambi TUNTAS Vision). Forestry Agency of Jambi Province established a Joint Secretariate for Management of Forestry Resources through the Decree of Forestry Agency No. 96//2017. The role of this The Joint Secretariat (Sekretariat Bersama - SEKBER) is to support the TUNTAS Vision, specifically in forestry sector. The SEKBER is a multi-stakeholder platform consisting of government, NGO and business representatives.
The SEKBER in Jambi has been closely involved with the development of the Jambi Environmentally Sustainable Development Strategy, and the SRAP (2012-2032). Selected members of SEKBER participated in SESA and ESMF exercise conducted in Kutai Kartanegara District, East Kalimantan Province. The exercise provided insights for the proposed ER activities that might have environmental and social impacts. Such exercise also emphasize the needs to mitigate those impacts, and to consult with relevant stakeholders at the district level.
In Jambi, the REDD+ consultation series started with identification of stakeholders, defining the roles and authorities, as well as the institutionalisation of J-SLMP and ERP and benefit sharing. There is a legal basis for emission reduction strategy (Governor’s Regulation – Peraturan Gubernur No. 36/2012 on Provincial Strategy of Emission Reduction) used as the baseline framework to legitimise ERP in Jambi.
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This program will be a performance-based payment system, and financing by way of on-budget off- treasury arrangements will be sought. This system requires a valid carbon accounting mechanism (i.e., determination of reference emission levels and subsequent monitoring, reporting and verification) and allows funds from this payment to be incorporated into the government’s budget to be disbursed from national to sub-national levels. It was suggested that implementation of a Carbon Fund at the site level will involve Forest Management Unit (Production Forest) and village administration. Additionally, sustainable palm oil plantation is proposed as a component of the BioCarbon Fund. Implementation of this program will be aimed to support provincial strategies for reducing greenhouse gas (Rencana Aksi Daerah – Gas Rumah Kaca [RAD-GRK]) and achieving the Nationally Determined Contribution (NDC) for emission reduction.
Various meetings were held to gather inputs from the provincial government on the institutional arrangements for the ERP. Consultations with the key sectors were held to gather inputs to the program design and relevant stakeholders. On 20 November 2017, a focus group discussion was conducted to kick-off program preparation within Jambi. Drivers of degradation and deforestation, ERP activities, and the benefit sharing mechanism were discussed with the key stakeholders in Jambi in series of discussions from November 2017 until April 2018.
Past activities included the establishment of Regional Comission (Komisi Daerah/Komda) REDD+ working groups in in Jambi. The aim was to ensure implementation of provincial strategy for emission reduction. Under BioCF, the same function will be done by a Provincial Task Force who will be responsible for guidance and decision-making on provincial-level policy and for program issues in Jambi Province. This was done as a crucial step in building common understanding among stakeholders in the process of reducing emissions and deforestation and degradation. District commitments on the ERP were observed through the integration of REDD+ programs in district’s RPJMD.
By 2014, demonstration activities (DA) for REDD+ in Jambi included Berbak and Bukit Tigapuluh national parks, Harapan Rainforest, and Durian Rambun Village Forest (Rio Kemunyang) in Merangin District. Activities consisted of Monitoring, Reporting & Verification (MRV), as well as Forest Reference Emission Level (FREL). In regard to technical aspects, method for FREL measurement was also tested in Grand Forest Park (Taman Hutan Raya – Tahura) Orang Kayo Hitam in Muaro Jambi and Tanjung
Jabung timur district in 2017. This measurement indicated that the Tahura releases 7,883,439.85 CO2e between 2009 and 201517. The methodology needs to be replicated in more sites, in order to obtain reliable FREL measurements that represent condition in Jambi. Capacity for FREL measurement needs to be included as parameter for self-assessment on readiness to implement REDD+ in Indonesia.
Implementation of the BioCarbon Fund as a performance-based payment system now needs to be formalised through a MoU between MoEF and the Governor of Jambi. Such an MoU will need to regulate the organisation of data, as well as identify the data custodian/s. Data management should allow access by FCPF, DGPPI, P3SEKPI, and SEKBER, according to a data sharing agreement that outlines copyright and data protocols.
Ultimately, the ERP will be equipped with safeguard mechanisms to ensure that negative impacts can be prevented or mitigated, while the positive impacts of the program can be amplified. Following the COP in Cancun, Mexico (29 November – 11 December 2010), seven safeguard principles were established as the main/global reference for any REDD+ implementation. The GoI adopted the Cancun
17 Source: Febriani, I. 2017. Analisisi Forest Reference Emission Level (FREL) berdasarkan deforestasi tidak terencana di Taman Hutan Raya Sekitar Tanjung. Institut Pertanian Bogor, [Master’s Thesis]
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principles into PRISAI, a safeguard mechanism adjusted to the Indonesian context. PRISAI was established through a series of consultations that took place between January and February 2012. These consultations consisted of ten FGDs at national and provincial levels, followed by public consultations at national and provincial levels.
In parallel, the GoI set up a system to register the safeguard implementations. This Safeguard Information System (SIS REDD+) was developed between 2011 and 2013 by analysing compatibility of existing mechanisms (e.g., FPIC, SESA and HCV) to accommodate safeguard principles and criteria (based on Cancun and PRISAI). A series of consultations was done to analyse these existing mechanisms and set up seven principles (consisting of 17 criteria and 32 indicators) as the basis for registry in SIS REDD+. SIS REDD+ became operational in May 2015. Key progress on safeguards is included in the summary of consultation processes in Section 3.5
3.2 STRATEGIC RATIONALE
Participation in REDD+ initiatives are highly relevant to Indonesia’s commitment to reduce emission levels by 41% with international support. Implementation of the Carbon Fund as an ERP is intended to contribute to this commitment, which is reflected in the National Strategy of Emission Reduction (STRANAS). The ERP will advance the implementation of REDD+ at the national level; will contribute to the achievement of nationally and internationally significant emissions reductions, helping Indonesia achieve its climate targets and international commitments; and will support Jambi’s path toward a green economy.
Jambi has produced a provincial strategy for emission reduction (Strategi & Rencana Aksi Provinsi [SRAP]) derived from the STRANAS. Moreover, Jambi has received support for several REDD+ initiatives such as the Berbak Carbon Initiative Project, Danish International Development Agency (DANIDA) Support for Harapan Rainforest, Community Forest Ecosystem Services Indonesia, and UNDP Cadastral that provided Jambi with exposure to REDD+ initiatives. These previous interventions have provided the province with enabling conditions, documentation, and lessons learned on REDD+ initiatives. As a consequence of this past work, Jambi Province is seen as a strategic platform for continuing and scaling up REDD+.
A provincial jurisdictional approach was selected as the best strategy for the ERP, as it allows integration of REDD+ into development planning and licensing18. The decision to use a provincial level approach (rather than a district level approach) was strategic, to ensure wide land coverage and a significant contribution to the national commitment on emission reduction.
In addition to Indonesia’s commitment to international conventions (i.e., ratification of Kyoto Protocol), political commitment at the national level is reflected in the establishment of the:
▪ Directorate General of Climate Change (DGCC) as the national institution to manage and coordinate REDD+ implementation in Indonesia;
▪ Technical Management Unit of Climate Change to facilitate REDD+ implementation at the province level;
18 Lessons on Jurisdictional REDD+ from Berau District, Jambi. The Nature Conservancy
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▪ Peat Restoration Agency (Badan Restorasi Gambut – BRG), established through Perpres No. 1/2016, to develop a national peat land map, then restore and rehabilitate the degraded peat land; and
▪ Centre for Research and Development on Socio-Economic, Policy and Climate Change (P3SEKPI) as a research institution that has a mandate to provide scientific recommendations to inform climate change policy.
At the sub-national level (i.e., province level), the political commitment is reflected in the:
▪ Provincial Vision (Jambi TUNTAS) that includes low forest carbon emission, green development, and peatland restoration / fire prevention. Provincial and MoEF commitment also includes target for net reforestation of 6,000 ha by 2022 (supported by Forest Programme II / MoEF);
▪ Appointment of a provincial REDD+ Task Force / Regional Comission (Komda), to undertake REDD+ pilot projects (based on provincial strategy for emission reduction / SRAP) and to embrace a Governor’s priority policy for a transition to a low carbon economy;
▪ Sustainable peatland management (15,000 ha) that aims for fire prevention, community development programs, and involvement of local communities.
▪ Integration of emission reduction strategies into the Medium-Term Development Plan, and budget allocation (APBD, APBN) for activities related to reducing deforestation and land degradation;
Reflections of political commitment at the district level are limited to Sarolangun District. In 2016, Sarolangun has agreed to participate in the operationalisation of SIS-REDD+. This participation was expected to scale up to the provincial level.
Despite the previous exposure to and political commitment on REDD+ at the sub-national level, there remains a need to increase the capacity of provinces to manage environmental and social risks (i.e., implementation of safeguard mechanisms). The needs for capacity building within FMUs (forest management at the provincial level), plantation agencies (sustainable palm oil), and for management of forest cover in APLs emerged during the discussion on the project document output. This is discussed further in Section 8.2. Additionally, there are governance risks that need to be considered when implementing a Carbon Fund as an REDD+ initiative, such as:
▪ Carbon benefits from REDD+ initiatives are not tangible, and are not felt at a grassroots level (e.g., village administration, indigenous peoples or social forestry groups). This creates some degree of scepticism among potential beneficiaries;
▪ There are several mechanisms under REDD+ initiatives such as Debt-for-Nature Swap (DNS) and performance-based payments (e.g., Carbon Fund, BioCarbon Fund). The former is often used as a means to compensate for emissions from developed countries, while the latter is explicitly designed to promote emissions reductions (primarily land-based emissions). This requires an understanding of the mechanisms among stakeholders to prevent misperceptions and over expectations of REDD+ initiatives;
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▪ REDD+ initiatives, especially performance-based payments, require technical capacity on carbon accounting that relies on carbon stock assessment, defining FREL and MRV. This may create issues due to the lack of technical knowledge among program implementers; and
▪ REDD+ initiatives are designed to produce positive environmental and social impacts. However, care must be taken to anticipate potential negative impacts, and to formulate measures to prevent or mitigate the negative impacts using environmental and social management framework (ESMF).
Considering the above challenges, REDD+ initiatives such as the BioCarbon Fund require conducive political conditions, adequate economic support for preparation, and strong buy-in from stakeholders at national and sub-national levels. In Indonesia, political buy-in at the national level was formalised by establishing the BP REDD+ agency. Upon the dissolution of this agency, Indonesia’s commitment to REDD+ initiatives were transferred to MoEF, DG of Climate Change (DGPPI). At the provincial level, commitments to REDD+ and emission reductions are reflected in the commitment to protect areas with high carbon value. Jambi’s strategy and action plan for emission reduction target 1.6 million hectares of forest cover (approximately 33% of total province area), in addition to 15,000 ha peatland as a protected forest under FMU management. However, despite intensive NGO activities, in 2018 Jambi was only able to retain 920,000 ha, or 18% of total province area19 if no significant efforts are added (Business as Usual scenario).
Forest cover in Jambi is below the threshold of 30% forest cover for ecosystem balance (Article 18 of Forestry Law No. 41/1999). This is due to existing tenurial issues where estate crop sector dominates with 1.8 million ha (36% of province area). Meanwhile forestry sector consists of timber plantation with 776,652 ha, and logging concession with 67,140 ha or 16% and 1.3% of total province area respectively20. The strategic rationale for REDD+ in Jambi lies in private sector engagement. Such engagement encourages sustainable private sector investment & partnership. This engagement has strategic value, as private sector is the dominant stakeholder in estate crop and forestry concessions. Additionally, empowerment of provincial government agencies (e.g., FMU) would promote better forest and peatland management practices. Both approaches are expected to contribute to the increase of forest cover.
Political buy-ins and commitments need to be supported by the proper technical capacity to design, implement, and monitor REDD+ implementations. Land-based emissions reductions in Jambi will rely on protected forest, national parks, production forest, nature tourism park, and Tahura. These areas are the five largest components of the Performance Evaluation Area (Wilayah Penilaian Kinerja – WPK) of the ERP in Jambi Province (map of WPK is shown in Appendix A2). This suggests capacity needs among FMUs (protected and production forests), national park authorities, BKSDA, and Provincial Forestry Agency. Capacities needed for the BioCarbon Fund were identified during public consultation processes (Section 3.1). Political buy-ins also require the establishment of grievance handling, as well as mitigation of environmental and social risks (e.g., institutionalising ESMF).
Additionally, funding is needed to ensure that the abovementioned requirements are achieved. ISFL, through World Bank, has provided readiness funds (and pre-investment funds in Jambi Province) to ensure that preparations for the implementation of the Carbon Fund can be completed. The Carbon Fund offers opportunities to channel carbon benefits to implementers at the grassroots level (FMU,
19 source: Jambi Independent, December 18, 2018: 20 Data from KKI WARSI
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social forestry groups, village administration) thus providing tangible benefits. Challenges in Carbon Fund implementation include designating safeguard principles, defining accounting areas (to avoid double counting), and agreeing on benefit sharing mechanisms.
3.3 SAFEGUARD INITIATIVES IN INDONESIA
Conference of Parties (COP) 16 in Cancun, Mexico resulted in the agreement to formulate safeguards mechanisms for future REDD+ implementation. Safeguard implementations must refer to the seven principles formulated in COP 16 (i.e, Cancun Safeguards) that consisted of seven principles and the requirement to develop transparent Safeguard Information System (SIS-REDD) as a web-based platform to monitor safeguards performance across program interventions.
3.3.1 SIS-REDD+ Indonesia
Indonesian SIS-REDD+ was developed based on existing policies and other instruments from COP 16 and additional REDD+ guidance from COP 17 and COP 19. SIS-REDD+ Indonesia was administered by the Directorate General of Climate Change (DG of CC) of MoEF and was developed to enable accessible and direct reporting of safeguards performance across implementing entities. SIS-REDD+ Indonesia was designed to be transparent, inclusive, in line with national legislations, and in accordance with national contexts. SIS-REDD+ Indonesia is simple, and it ensures completeness, accessibility and accountability of information contained therein. Establishment of SIS-REDD+ Indonesia included development of database structure, mechanisms for data update/retrieval and institutionalisation of the system under DG CC, MoEF. SIS-REDD+ Indonesia contains safeguard principles (including ESMF and FGRM) and tools to assess safeguards implementation in Indonesia.
3.3.2 Safeguards Formulation
3.3.2.1 National Level
In compliance with the Cancun Safeguards, Indonesian government formulated PRISAI that outlines ten principles (translated from Cancun Safeguards), 27 critera and 99 indicators. PRISAI was initially designed as a framework to filter, monitor, and evaluate REDD+ activities at the project and jurisdiction levels. In 2017, PRISAI was tested in Bukit Panjang – Rantau Bayur landscape in Jambi21 (Bungo District) and was mainstreamed into the SIS-REDD+. PRISAI does not explicitly address the sustainable palm oil approach. Therefore, PRISAI needs to be supported by other safeguards instruments adjusted to the local context in Jambi Province.
3.3.2.2 Jambi Province
Throughout 2013 – 2014, GIZ/FORCLIME supported Jambi Province in piloting SIS in Jambi. The activities consisted of workshop on socialising SIS-REDD+ to stakeholders in Jambi, and exercise for operationalisation of SIS-REDD+. Additionally, the Forest Information Center from MoEF provided support for organisation and infrastructure related to information technology. This support is essential for building a system for collecting safeguards data from the field. Similar initiative on forestry information system was done by WARSI and Berbak National Park. This system can potentially be aligned with SIS-REDD+ system. Challenges identified from these exercises include limited funding, limited authority, and lack of attention and participation from various stakeholders.
21 Source: https://forestsnews.cifor.org/51023/community-participation-as-redd-safeguard-what-matters?fnl=en
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There is a need to ensure that local context of Jambi is accommodated in the safeguard information system. There is also a need to ensure consistencies of information on safeguard implementation at provincial level with the structure and requirements at national level, as mandated by COP 16 agreement.
3.4 SELECTION OF JAMBI PROVINCE
Earlier at the Emission Reduction Program Idea Note (ERPIN) stage, the GoI proposed a jurisdictional approach to ER with two provinces participating in the ERP22. Since then, a critical next step toward national REDD+ implementation has been the finalization and implementation of sub-national REDD+ frameworks. The proposed ERP offers to test a comprehensive approach to REDD+ that covers policy- level changes as well as field-based activities that address drivers of deforestation that are prevalent in most of Indonesia’s forested regions.
With the recent issuance of Law No. 23/2014, which replaced the previous Local Government Law No. 32/2014, there have been major shifts of authority and distribution of governmental functions among the central, provincial, and district governments, especially with regards to land-based sectors, including forestry, land, agriculture, and spatial planning. In the old law, most governmental functions were distributed between the central and district/municipal governments. In the new law, most governmental functions are distributed between the central and provincial governments. District/ municipal governments retain the authority for several functions, but to a much lesser degree than that was allowed under the previous law.
With these political shifts, the provincial governments will have an important role in REDD+ implementation, for example through their responsibility for managing most FMUs. This provides a strong rationale that the province-level approach will be scalable to other provinces across Indonesia. Lessons gained from implementing the ERP in Jambi will be valuable in finalizing the design of the national REDD+ framework, including the national MRV system, safeguards approaches, benefit sharing and ER registration.
In 2016, the GoI justified the involvement of Jambi Province for ERP with support from ISFL (BioCF initiative). Such justification was based on the following considerations:
▪ The enabling environment as reflected through political goodwill, support and stability of the local government;
▪ Agricultural drivers of land use change are relevant with conditions in Jambi where encroachment for planting commodities (e.g., coffee, horticulture and cinnamon) occurs throughout the province;
▪ Readiness of local institutions, including a Provincial Council on Climate Change in place, and the existence of a provincial strategy for equitable and sustainable green growth (Jambi’s TUNTAS vision). This has been supported by key documents on strategy and planning on low carbon development (Jambi Green Development Strategy, and Provincial Strategy and Action Plan for REDD+ implementation [legalized through Governor’s decree 352/2013]);
22 These districts include Merangin and Bungo from Jambi Province, Kapuas from Central Kalimantan Province, Berau and Kutai Barat from Jambi Province, and Tolitoli and Donggala from Central Sulawesi Province. Together these districts encompass 12.5 million hectares, or roughly 9% of Indonesia’s total land area, and are home to around 1.5 million people.
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▪ Support from local and international NGOs and/or CSOs working in Jambi;
▪ Presence of other complementary investments, including existing bilateral donor supported programs; and
▪ Significant potential of verifiable emissions reduction based on the Indonesian National Carbon Accounting System (INCAS) calculation. Jambi was also part of the socialisation process on Paris Agreement.
This justification was in line with commitment of Jambi Province and Merangin, Muaro Jambi and Tebo districts to support REDD+ implementation dated June 21st, 2013. This commitment predates ISFL / BioCF commitment for readiness and pre-investment in 2017.
The ERP is therefore envisaged to advance the implementation of REDD+ at the national level and eventually contribute to the achievement of nationally and internationally significant emissions reductions, helping Indonesia achieve its climate targets and international commitments23; and will support Jambi’s path toward a green economy.
3.5 REDD+ CONSULTATION PROCESSES
Various consultation processes were held at national and sub-national levels to develop the ERP through identification of key stakeholders, issues, as well as safeguards mechanisms to address the issues. The following is a summary of the consultations and associated progress. Prior to the introduction of BioCarbon Fund, there have been several consultation processes such as:
▪ Development of Strategy and Action Plan for REDD+ Jambi Province 2012-2032 (2013). This process produced a document (formalised by Governor’s Decree No.
▪ Focus Group Discussion on strengthening economic sector (estate crop plantation) to support low emission development, biodiversity conservation, and sustainable development (November 9, 2012). Discussion on estate crops commodities such as rubber and palm oil, and timber plantation/logging business;
▪ Joint agreement among Jambi Province, Merangin, Muaro Jambi and Tebo districts (2013). This agreement set the landmark for acceptance of REDD+ implementation in Jambi Province;
▪ Cadastral mapping and institutionalisation of spatial data to support REDD+ (2013-2014). This was a technical assistance and capacity building on remote sensing, spatial analysis and knowledge / database management;
▪ Focus Group Discussion on the development and operationalisation of SIS REDD+ (13-14 May 2014). This is the initial communication to link REDD+ and safeguards principles with instruments and personnel at provincial level. Integration with local context includes alignment with national forestry targets; transparent and effective forest governance; respect for the rights of indigenous peoples; stakeholders’ participation; consistent with forest conservation; avoiding the risk of reversals; and actions for emission reduction;
23 Under the NDC, the GoI has committed to a reduction of 29% of its emissions through its own efforts, and up to 41% with international support, by 2030,
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▪ REDD+ to improve forest governance and peatland to reduce greenhouse gas emission (2014). This consultation process resulted in the agreement of governors from 11 provinces (including Jambi) to implement REDD+;
▪ Socialisation on Paris Agreement on climate Change and Indonesian carbon emission reduction target (2016). This consultation process discussed the implication of Paris Agreement on provincial development, and the needs for Strategic Environmental Assessment (SEA) to support low emission development; and
▪ Strengthening the legitimation of indigenous peoples (April 2016). This process resulted in the formal recognition of Serampas community in Merangin Sub-district as a distinct customary group.
Stakeholders from these consultation sessions were recorded in stakeholder registry (developed by UNDP through Cadastral Mapping project in 2013). This was used for identifying stakeholders relevant with BioCF.
The process continued with stakeholder engagement and consultation process to identify key issues based on issues listed in the strategic environmental assessment, medium-term development plan and spatial plan of Jambi Province. Stakeholder consultation also needs to be done at the district level to encourage participation of district level stakeholders. However, participation needs to be improved by conductig consultations with specific groups (e.g., customary and vulnerable groups).
3.5.1 Consultation Process
Records from consultation process indicate that key stakeholders are involved in the discussion. These key stakeholders are the ones with high influence and high interest on the ERP (as described in Section 2.3.2). Moreover, these stakeholders also represent those influencing the ERP (e.g., national and sub- national governments, NGOs, Customary councils), as well as those impacted by the ERP (e.g., Indigeneous peoples, plantation companies). However, mining companies that will be impacted by ERP are not adequately represented.
Consultation process was done through FGDs, interviews and presentation of ideas and concepts. This allow dissemination of ideas. Further, the process was done to encouraged clarifications, questions and in-depth discussions to put more weights in analysing the key issues. Brainstorming sessions within the consulation process allowed concerns from participants (representing each of the stakholders) to be compiled as key issues, and were considered under the ERP. Consultation to-date is sufficient to consolidate ideas, develop program design and agree on the envrionmental and social risks. However, further consultations are needed to ensure FPIC and formulation of benefit sharing mechanism. Consultation process in Jambi Province cosisted of:
▪ Kick-off meeting / joint preparation mission World Bank, FCPF and DGCC (September 25-27, 2018). This meeting discussed grant agreement process, formulation of ERPD (from PDO as the basis), social and environmental safeguards, and development of pre-investment activities. Representatives from central government (MoEF), provincial governments, NGOs and private sectors were present during this meeting. Customary (adat) representative was not present but was scheduled for consultation in the upcoming stakeholder mapping exercise. The results of this meeting were:
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o Identification of stakeholders (including plan for consultation with Adat communities), and roles and authorities appropriate for the institutionalization of ERPD development, MRV, safeguards and benefit sharing;
o A Draft Project document Output was developed based on input from the stakeholders’ representatives. The PDO will be developed further into the ERP design; and
o Alignment of MRV, Safeguards, Registry System and FGRM, with the provincial mechanism and capacities.
▪ World Bank Mission (19-21 March 2019). This meeting was designed to gather input for indicative SESA, and to gain concensus on the data requirements. Provincial agencies and technical implementing units of MoEF agreed to provide data for developing SESA and ERPD;
▪ Focus Group Discussion (FGD) to identify area fro REDD+ implementation using Performance Evaluation Area – Wilayah Penilaian Kinerja / WPK as a reference (4-5 April 2019). This meeting was designed to gather inputs on potential impacts and issues faced by provincial and national authorities in Jambi. Inputs from stakeholders were compiled in matrix to identify potential REDD+ areas (See Appendix A3);
▪ Interviews with FMUs, district BAPPEDA (Merangin, Bungo, Kerinci, Sarolangun and Tanjung Jabung Timur districts), Kerinci District Environmental Agency, and Kerinci Seblat National Park authority (March – April 2019). This interview was intended to capture perception and expectations of the respondents (government officials) on BioCarbon Fund, drivers of deforestation, and capacity needs assessment to address these drivers;
▪ Focus Group Discussion in sample villages (19-20 April 2019). This FGD was done to verify key environmental and social issues described in Section 2.2.2. The FGD was also done to identify stakeholders at grass root level, and to identify risk of conflicts; and
▪ Focus Group Discussion with Orang Rimba and Marga Serampas to represent indigenous peoples (20 April 2019). This FGD was done to verify key environmental and social issues described in Section 2.2.2. The FGD was also done to identify stakeholders at grass root level, and to identify risk of conflicts and issues related to customary rights.
▪ Two public consultations were done at the district levels, namely District of Tanjung Jabung Timur in May and District Merangin in June 2019. In these meetings, draft safeguards documents were presented to the public, in this case, various government offices at the district level, related FMUs, National Park Authorities, local NGOs, head of sub district and some heads of villages, and WB staff. Besides, presenting the draft safeguard report, discussion were also done to capture inputs and further analysis of environmental and social impacts as well as capacity to deal with the impatcs (especially in Merangin District).
▪ One big public consultation on safeguards was also conducted at the provincial level in early July 2019 attended by a varieties of stakeholders including govermnet officiasl from Jambi and Jakarta, FMUs and National Park Authorities from district level, NGO, academics discussing drivers of deforetations, environmentak and social impatcs of BioCF intervention during the pre investment period, and capacity at the provincial and district levels to deal wuth these impatcs.
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▪ Two more consultation processes were conducted in late July 2019 in Jambi on the issue of risks of reversal and risks of displacement, involving national park authorities, FMUs, Provincial Government Offices, and NGOs.
Records from each consultation session is provided in Appendix A3.
3.5.2 Summary of the Consultation Outcomes
Based on records obtained during consultation process, the following outcomes are noted:
▪ Aspects on land conversions are discussed as part of the readiness evaluation. This included review of policies on land ownership and licensing process. Most of the drivers of deforestation are linked with the expansion of palm oil, conversion of natural forest into timber plantation, and encroachment in national parks and production forest;
▪ Discussion with WARSI defines indigenous peoples, including relevant adat claims and tenure. Definition of Indigenous Peoples, and existing regulations to support Indigenous Peoples include Perda Merangin District No. 8/2016 regarding recognition of Marga Serampas Customary community;
▪ Assessment on provincial spatial plan identified vulnerable area, or areas that are prone to disaster such as landslide. This type of disaster, as well as mining operations may cause land degradation; thus posing risk of reducing forest cover (i.e., risk of leakage);
▪ Analysis on spatial data provided by provincial agencies indicate overlapping licenses between production forest and palm oil and mining concessions. Reviews and meticulous examintation are required prior to issuing licenses;
▪ Improved governance (accountability and public services) related with supervision, law enforcement, benefit sharing, coordination across agencies, and vertical coordination with central agencies, as well as with NGOs and private sectors;
▪ Lack capacity of human resources in forest management, institutional arrangements, and institutional capacity are often mentioned during interview with FMUs. There is also a need for knowledge management system that will allow shared learning among implementing agencies; and
▪ Respondents indicated the need for a management model that balances economy, social and environmental aspects. In addition, increasing awareness is also required to complement economic aspect.
▪ Public consultation in early July 2019 in Jambi revealed that more than 280,000 hectares of plantation (oil palm, rubber, coffee, and cassiavera mostly belong to small holders) are already inside the state forest land. The question is how to deal with these issues. One solution is to apply the social forestry approach to make these intruders follow the legal system but at the same time can make their livelihood legalized with conditions, including for oil palm species to stop the activities after the first harvesting period (or 12 years) and change the plantation into forest. On the other side, NGOs in Jambi was also discussing similar issues to link oil palm farmers with processing plants for one harvesting periode. To further discuss this issue, coordination between plantation, forestry, and other agencies dealing with licensing is badly
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needed. This should be included one one set of activities in the intervention for the pre- investment stage in for J-SLMP.
Outcome of consultation process provides qualitative information to support definition of key issues. The key issues will be quantified and contextualised in Chapter 5.0 on baseline conditions. Details on the context of the consultation process is provided in Chapter 0.
3.5.3 Next Plan for Consultation and Engagement
Following the series of public consultation and FGDs in Jambi, the plan for consultation and engagement consisted of:
▪ Public consultation on safeguards to provincial stakeholders in Jambi;
▪ Information disclosure during socialisation of the ERP to district stakeholders (government and non-government) scheduled for August or September 2019 in two or three districts in Jambi;
▪ Initiate awareness raising and introduction of REDD+ concept in at least two districts/cities (Merangin and Tanjung Jabung Timur districts). This is designed as a preliminary step that can be further expanded into FPIC to precede the ERP. Responses from the communities will provide ERP with anticipations of communities’ perception on the ERP (positive or negative responses); and
▪ Consultations with Adat/customary institutions for specific issues such as tenurial rights and access to natural resources.
District agencies during this process will consist of BAPPEDA, Plantation Agency, FMU, Energy & mineral resource, District Land Office and Environmental Agency. Representatives of Adat communities will be involved in this process to ensure proper representation of indigenous peoples.
3.6 LESSONS LEARNED FROM PREVIOUS ER PILOT ACTIVITIES
Jambi has experience in implementing carbon and emission reduction programs in various districts. Lessons learned from these activities have been documented and are relevant for adoption into the Carbon Fund ERP. Referring to the underlying causes and potential impacts identified in the consultation process, the following sections summarize the lessons learned that will be applicable for the ERP.
Before discussing in more detail in the sub chapter below, it is worth mentioning the practical experience related to REDD+ that Jambi has already experienced called: Voluntary carbon scheme (e.g. Plan Vivo in Durian Rambun and Bujang Raba landscapes) Durian Rambun24.
FFI supported A social forestry group in Durian Rambun Village (Merangin District) to be registered in voluntary carbon market – Plan Vivo in order to obtain carbon benefit for protecting the forest. The project has 'Hutan Desa' status securing land tenure and community rights for local communities. The overall size of the Hutan Desa is 3,616 ha, with a 2,516 ha protection zone and a 1,100 rehabilitation zone. Estimated carbon benefits are 6,618 tCO2e per annum. Project activities include enrichment planting, tree planting, agroforestry improvement, and the protection of the natural regeneration of native species. The communities are involved through forest patrolling activities and sustainable forest
24 Source: http://www.planvivo.org/project-network/durian-rambun-indonesia/
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management. This includes the establishment of sustainable enterprises focusing on improving coffee production and onsite processing.
The project aims to protect the habitat of many of the local fauna and flora while at the same time improving the soil quality of the forest. Through avoided deforestation and better forest protection, soil fertility is likely to improve whilst reducing the risk of soil erosion. Moreover, through sustainable forest management, ecosystems will become more resilient, leading to better water quality for local communities and minimising the risk of flooding or drought.
The project has been key in securing rights for participating communities. It also intends to open up diverse income streams for local communities through the sale of non-timber forest products, which will be sustainably managed by local communities. Other project activities include several agroforestry interventions aimed at strengthening local agriculture that will lead to increased food security, better nutrition and health for project participants.
Bukit Panjang Rantau Bayur (Bujang Raba)25 in Bungo District: This program is initiated by KKI-WARSI with main theme of Payment for Environmental Services (PES) through voluntary carbon market. The area is managed by communities under a 'Hutan Desa' programme which recognises and secures land tenure and allows community members to sustainably manage the forest. Moreover, by engaging local communities in protecting their local forest, the project actively plays a part in reducing forest fires, illegal poaching and unsustainable harvesting of timber and non-timber forest products.
Over 5,339 ha of primary forest will be protected by the participating communities, leading to a net carbon benefit of approximately 40,000 tCO2 per year. The Bujang Raba project site is rich in biodiversity and is home to threatened species and other species of high conservation value. These species include the Malayan Tapir (Tapirus indicus), Sun Bear (Helarctos malayanus), and the critically endangered Sumatran tiger (Panthera tigris sumatrae).
The project has also initiated a number of activities to diversify income for participating communities by introducing high value crops such as cardamom, cocoa, and other NTFPs that can be integrated into smallholder agroforestry plots. The project will also work with community members to build bamboo and rattan processing capacities to open up other income streams.
3.6.1 Policies to Protect Natural and Forest Resources
Loft et al (2017)26 identified that without clearly defined REDD+objectives, there are risks of overlapping and contradicting policies (e.g., policies on expanded agribusiness, mining, transportation and energy infrastructure may contradict REDD+ vision). In Indonesia, contradiction between policies for emission reduction and development has been observed in 2013 when Master Plan for Acceleration and Expansion of Indonesia’s Economic Development (Presidential Decree No. 88/2011) or MP3EI threatened Indonesia’s remaining forests. This contradict Government’s Emissions Reduction Plan (26% without foreign support and 41% with foreign supports) from the forest sector27.
To date, REDD+ efforts have been primarily voluntary rather than regulated. An assessment of the Berau Forest Carbon Program suggested that a clear policy framework that outlines the government’s
25 Source: http://www.planvivo.org/project-network/bujang-raba/ 26 Loft, L, et al. (2017). Risks to REDD potential pitfalls for policy design and implementation. Environmental Conservation, Volume 44, Issue 1 (Thematic section: Forest Ecosystem Services). pp. 44-55 27 Source: https://redd-monitor.org/2013/12/20/redd-fails-to-address-the-drivers-of-deforestation-in-indonesia/
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responsibilities on management of protected forests (i.e., to support clearly-defined REDD+ objective) is lacking. Consequently, there is a need to establish policies on carbon accounting, forest reference emission levels, and decision making processes28. Policies are also needed to strengthen existing methodologies for reducing emission from the forestry sector. This may include strict licensing procedure or moratorium to halt conversion of natural forest into monoculture / plantation forests. Provincial government has the regulatory instrument to support REDD+ in form of Governor Regulations on provincial emission reduction strategy. However, legal framework for development (RPJMD) is supported by provincial regulation (Perda) that overpowers the governor’s regulation. Therefore, legal basis for REDD+ needs to be upgraded in order to gain the same legal strength as the development policies.
Regulatory frameworks for HCV designations as a measure for protecting natural and forest resources in forest areas, as well as in other use areas (APL) is relevant for ERP in Jambi. A study done by a HCV assessment team at Mulawarman University East Kalimantan indicated that policies on nature and forest protection can be based on classification of HCV to protect ecosystems, as well as livelihood and cultural values.
These examples support the notion that development of a regulatory framework, followed by issuance of relevant regulations (e.g., Perda) at the provincial level will strengthen the application of low-emission methodologies. The regulatory framework may need to include a mandate for implementing certain methodologies for sustainable forest management and sustainable plantation in forest area and APL respectively. Consequently, training and capacity building are needed to ensure proper implementation of the mandated methodologies.
In other cases, Government also stricter law enforcement to protect the forest. in 2012 the national REDD+ task force identified forest related crimes consisting of overlapping plantation license in forest area and moratorium areas, as well as burning method for preparing plantation estate. In Jambi there are 52 plantation cases and 31 mining cases relevant with these categories. The national REDD+ task force coordinated with relevant law enforcement agencies to process these violations. It was estimated that the country lost IDR 7.62 billions due to these violations in Jambi.
An example of conflict settlement is done under Forest Programme II (REDD+ initiatives on biodiversity and integrated watershed management) in Kerinci Seblat National Park. The Park approach includes working with local communities in Giri Mulyo and Kebun Baru villages (Kerinci District) and Nilo Dingin Village (Merangin District). Communities in Kerinci District encroach the Park for potato plantation, while communities in Merangin District encroach the Park for coffee plantation. Conflict settlement is started with partnership agreement (Perjajian Kerjasama – PKS) between NP authority with farmers’ groups within these communities.
Conflict settlement strategy was instructed by the DG of KSDAE, and was implemented as “Role Model” Program for settlement of tenurial conflict. Settlement strategy involved creating partnership that encourage encroachers to reduce their area of encroachment, and to help the Park in restoring the damaged ecosystem. While currently, the people are still allowed to continue their agriculture activities inside the Park, long-term partnership with local communities is designed to gradually reduce area of encroachment, and increase forest cover through replanting activities (ecosystem restoration) conducted by the local communities. Such partnership is in complience with Regulation from DG KSDAE (Perdirjen No. 6/2018 on partnership with local communities for ecosystem restoration and community empowerment within conservation area)
28 Berau Forest Carbon Program
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Contextual Lessons Learned Various cases shows that Jambi Province has experience in implementing REDD+ initiatives, as well as carbon market mechanism. Lessons learned provided in this report suggest the following: • Implementation of of REDD+ initiatives at provincial level involved provincial agencies (UNDP REDD+ cadastral mapping in 2012), as well as central government (i.e., MoEF) in Forest Programme II; • Funding mechanisms and financing agreements for these REDD+ initiatives consist of on- budget and on-treasury – MoEF’s DIPA allocation; off-budget and off-treasury – UNDP’s grant; direct grant in voluntary carbon mechanism – Plan Vivo; as well as low carbon development support from MCA-I; and Synchronisation of low emission development with provincial policies (e.g., RAD-GRK and SRAP REDD+ integration into RPJMD)
3.6.2 Participatory Planning and Spatial Planning
Participatory planning at the village level has previously been done (e.g., implementation of village development planning / Musyarawah Rencana Pembangunan Desa – MusrenbangDes) to ensure that the program was well suited to the biophysical, as well as socio-economic conditions of the village. Various planning mechanisms such as village development planning (musyawarah rencana pembangunan desa – Musrenbagdes) have been part of the procedure prior to receiving the Village Funds (Dana Desa). Implementation of REDD+ has explicitly included FPIC as a method for gaining local community acceptance of a REDD+ mechanism. The process of Musrenbangdes provides lessons learned on how community addresses common needs, and ensure representation of community members in decision making. In many cases, Village Land Use/Spatial Planning (or Participatory Rural Appraisal-PRA) was used to encourage participatory planning at village level. The development of village sketch from this exercise can be regarded as a step toward village spatial plan. Validation of village spatial plan by village government formalised the village spatial planning process. In line with participatory process, National Program on Community Empowerment (Program Nasional Pemberdayaan Masyarakat – PNPM Mandiri) has implemented participatory planning, and trained village facilitators to support its implementation at village level.
Indonesia is a signatory of United Nation Declaration of Rights for Indigenous People (UNDRIP). This declaration recognises FPIC as a specific right that pertains to indigenous peoples. It allows them to give or withhold consent to a project that may affect them or their territories. Once they have given their consent, they can withdraw it at any stage. Furthermore, FPIC enables them to negotiate the conditions under which the project will be designed, implemented, monitored and evaluated29.
FMUs are seen as the government representative that works with local communities surrounding (or within) the forest area. Social forestry schemes are part of the ERP to provide sustainable livelihoods for local communities (Component 5). Currently, the FMUs rely on support from MoEF (Directorate General of Social Forestry and Environmental Partnership). However, in the ERP the FMUs are expected to have in-house expertise for conducting FPIC30, so that they can conduct proper FPIC independently within the ERP.
29 FAO (2016). Free Prior and Informed Consent: An Indigenous Peoples’ right and a good practice for local communities. 30 Implementation of FPIC by UN-REDD (2012)
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3.6.3 Government Capacity to Protect and Supervise Forest Areas
Forest areas fall under the jurisdiction of FMUs (Kesatuan Pengelolaan Hutan [KPH]). Efforts to strengthen the FMUs have been done through various programs such as GIZ-FORCLIME and the Forest Investment Program (FIP). Such efforts are implemented in response to the needs for increasing government capacity on forest protection and supervision. This includes strengthening capacity for resolving tenurial conflicts that often occur in the FMU areas31. Spatial analysis showed the following:
▪ More then 20% of the Performance Evaluation Area/Wilayah Penilaian Kinerja - WPK (Accounting Area) are licensed concessions;
▪ These management licenses aren’t monitored and evaluated optimally. Violations are seldom properly prosecuted due to the lack of law enforcement capacity (now under the jurisdiction of Directorate General for Law Enforcement, whose aoffice is located in Medan, North Sumatra Province); and
▪ Tenurial conflicts (i.e., encroachment) occur, primarily in the forest concession of PT Lestari Astri Jaya and Wira Karya Sakti (Timber plantation), and PT Alam Bukit Tigapuluh (Ecosystem Restoration). Elephants are also using the same area, so human-wildlife conflict cases are inevitable.
Mainstreaming forest management efforts emerged as issues that need to be addressed by the FMU. Efforts to address these issues include (but are not limited to) multi-stakeholder workshops, establishment of FMU forums, mediation and establishment of MoUs/agreements among conflicting parties. This should also includes the BKSDA as an authority responsible for wildlife management. The capacity of the FMU (as a decentralised structure for forest management), specifically related to on- the-ground operational experience with multi-stakeholder forest management needs to be built32. This will strengthen the government’s capacity to protect and supervise forest areas.
Efforts for increasing government’s capacity to protect and supervise forest areas are also seen in the implementation of Forest Investment Program (FIP) 2. The project development objective of the Indonesian Forest Investment Program 2 (FIP 2) is strengthening institutional and local capacity for decentralized forest management. Decentralization is mandated by Government Regulation (PP) No. 38/2007 to increase/improve efficiency in governance. In order to increase the success of the project, it is imperative that forest management scenarios are linked with the livelihood aspects in the target areas.
Challenges identified prior to the development of FIP 2 included: coordination among government agencies; lack of or weak regulatory framework to justify REDD+ vision in relevance with forest management; lack of knowledge management system; capacity for identification of environmental and social risks; and capacity for formulating and implementing safeguards measures. The general strategy of FIP is an improved forest management approach, and improved forest-based livelihoods. Based on the abovementioned challenges, FIP 2 contains the following components:
31 Working Group on Forest-Land Tenure (2015). Tenurial Conflicts on FMU Development Lessons learned from rapid assessment on Production Forest Management Unit in Berau Barat and Kapuas Hulu. 32 Mid-term progress report on the REDD+ readiness in Indonesia ( 2013)
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▪ Component 1: Strengthening Strengthening Legislation, Policy, and Institutional Capacity in Decentralized Forest Management
o Sub-component 1.1: Forest policy and legislation development, revision and amendment
o Sub-component 1.2: Institutional development and capacity building
▪ Component 2: Developing the Knowledge Platform
o Sub-component 2.1: Knowledge Management and Information System
o Sub-component 2.2: Capacity-building and knowledge exchange
▪ Component 3: Improving Forest Management Practices
o Sub-component 3.1: Advance FMU operationalization
o Sub-component 3.2: Community empowerment in up to 10 FMUs
o Sub-component 3.3: FMU-based knowledge exchange centers.
▪ Component 4: Management
Specific approach for institutional capacity building is contained in Sub-component 1.2, while community empowerment is addressed in Sub-component 3.2. FIP 2 ensures that all project activities conducted by FMUs and relevant implementers under the FIP 2 Project include consideration of potential adverse environmental and social impacts. Environmental and social safeguards are developed to mitigate potential effects. Grievance Redress Mechanism is also developed to respond to grievances from stakeholders at community/district level. Additionally, FPI 2 supports the development of Knowledge Management and Information System (KMIS) to support Component 2 (knowledge management) and Component 4 (Management). The KMIS aims for:
▪ Establishing information management system that allows sharing of information among government and World Bank; and
▪ Developing a communication strategy for outreach, targeting appropriate audiences and communication channels, to facilitate the needs for FPIC, and minimize potential grievances.
The KMIS in this activity does not explicitly correspond with the PDO. However, knowledge management is relevant for FGRM and benefit sharing mechanism to ensure tranparency of information.
3.6.4 Incentives and Capacity for Sustainable Forest and Plantation Management
The main constraint of REDD+ implementation for forestry and plantation companies is the high opportunity cost associated with deforestation. Opportunity costs for reducing global deforestation by 2030 would reach USD 17–33 billion per year33. Therefore, it is imperative that the incentives for sustainable forest and plantation management offset the opportunity cost. Mechanisms for creating
33 The Eliasch Review (2008)
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incentives under REDD+ initiatives (including consideration from private sectors/concession holders/agri-business) may include34:
▪ A rent system with the following conditions:
o “Inflated” baseline (overstatement of deforestation threats) allowing for non-additional carbon crediting. An inflated baseline puts a rent value of a plantation HGU and/or forest concessions at a significantly higher than conventional land value. This is expected to provide concession holders with economic benefits for setting aside certain areas for reducing deforestation/degradation. Rent system using over-inflated (predictive approach) has been implemented in Guyana in 2008 based on examinations of various documentations. Although the use of inflated baseline can overcome the high opportunity costs (even when carbon price is low)35. Previous REDD+ implementations in Democratic Republic of Congo and Madagascar indicated inflated baseline as a feasible option for REDD+. This option for Indonesian context needs to be explored further to asses the possibility to link with Voluntary Carbon Standards (VCS) and third party verifier in establishing the baseline. Consequently, risk of “land grabbing” for REDD+ rent needs to be considered as part of the social risks; and
o Low forest users’ opportunity costs (for conserving the forest) combined with: i) carbon- rich threatened forest; and ii) high carbon prices. Opportunity costs can be lowered by using payments for environmental services mechanisms to offset some of the opportunity costs.
▪ A benefit system that may be associated with reducing the opportunity costs, which could include:
o Potential reallocation of the work force (deforestation activities are dropped) into alternative activities or leisure. This may be addressed by introducing alternative livelihoods for local communities (Component 2 of the PDO);
o Maintenance of provisioning and regulation services depending on forest needs (bush meat, NTFPs, water quality, reduced erosion, etc.); and
o Potential for employment opportunities in the restoration of degraded ecosystems and tree planting.
A rent system has not been explicitly identified as a strategy in the PDO. However, this system may be linked with incentives for sustainable forest/plantation management (proposed under Sub-component 2.2 of the PDO [sustainable Investments]). Environmental services (including eco-tourism and those associated with HCV areas) are potential measures for reducing opportunity costs, and the ERP identified community forests (Hutan Kemasyarakatan [HKm]) as social forestry schemes that can be optimised for managing environmental services.
34 CIRAD-EU. (2012). Financing options to support REDD+ initiatives. 35 Karsenty, A. et al. (2014). ‘‘Carbon rights’’, REDD+ and payments for environmental services. Environment Science & Policy 35: 20–29.
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3.6.5 Alternative Livelihoods, Productivity of Agriculture, and Access to Technology and Finance
Policy analyses36 indicate that the REDD+ implementation will be more effective if targeted toward small-scale dispersed activities that enhance carbon stocks. This is in line with strategy that targets smallholder farmers in the plantation sector. High opportunity costs may render REDD+ financing unappealing to large companies, so the offset for the high opportunity cost for the forestry and plantation sector needs to be addressed by benefit mechanisms to generate buy-ins from private companies. Private companies can be linked with carbon market through rent system described in Section 3.6.4 to offset high opportunity costs. Smallholder farmers and private companies are identified as stakeholders in jurisdictional REDD+ activities proposed in the PDO.
Saito-Jensen (2015) indicated that to ensure reduction of deforestation and degradation, there is a need for forest tenure reform, particularly on recognition of customary forest tenure through communal titles. This is deemed more effective compared to transfer of titles to households. Land under communal titles have the following advantages over household title:
▪ The size of the area tends to be larger that that of household titles. This allow larger coverage / intervention when using communal titles;
▪ Communal titles are managed collectively to allow participatory decision making, as such that the decisions will address the interests of a wider audience compared to household titles; and
▪ Customary group in Jambi has stronger legality compared to the households. Therefore, management authority under communal title (i.e., customary groups) allows stronger protection of the land areas.
If communal titles do not exist, they can be substituted by forest tenure through social forestry mechanisms (community groups). This strengthens the notion that the future ERP at the grass root level needs to be based on villages or community groups, rather than individual households.
Additional topics on livelihood are related to gender and/or social exclusions. Women and men depend on forest resources in different ways, so the risk and impacts of the program on both genders need to be considered in the context of sustainable forest management37. Therefore, REDD+ initiatives need to ensure that gender consideration is included in the safeguard mechanisms. Such consideration is crucial in building institutional capacity for gender-equitable REDD+ program, and considering gender- related risks and opportunities in REDD+ program38.
An example of a REDD+ livelihood program can be seen in the Kalimantan Forests and Climate Partnership (KFCP), Central Kalimantan39. The livelihood program was implemented based on village agreements that entitle the villages to funding support for development programs integrated in the village development plan. Under the village agreements, KFCP and local communities agreed on a set of work packages designed specifically for emissions reductions, such as establishing seedling
36 Saito-Jensen et. al. (2015). Policy options for effective REDD+ implementation in Indonesia: the significance of forest tenure reform. International Forestry Review Vol.17(1) pp 86-98. 37 Marin & Kuriakose. (2017). Gender and Sustainable Forest Management: Entry Points for Design and Implementation. Climate Investment Funds 38 Gurung, Giri & Setyowati. (2011). Getting REDD+ Right for Women. An analysis of the barriers and opportunities for women’s participation in the REDD+ sector in Asia. USAID. 39 CIFOR (2014) REDD+ on the ground
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nurseries and reforestation. KFCP provided technical guidelines, monitoring and financial support, while communities provided materials, labor and other services. All of the communities were engaged in establishing nurseries and producing seedlings, which were later used in reforestation. Livelihood packages (e.g., small livestock, rubber cultivation, agroforestry) were made available as a “reward” for participating in the program. Compensation and incentive mechanism can be further developed in a benefit sharing mechanism under the ERP.
REDD+ initiatives beyond Jambi have shown examples of climate-smart agriculture to increase productivity. The following climate-smart agriculture40 approaches may be applicable to the ERP (primarily Component 2 of the PDO [implementing sustainable land management]):
▪ Restore cultivated organic soils for increased vegetation cover, reduced tillage, use of crop residues or manure or compost;
▪ Improve cropland management for improved agronomy, nutrient management, reduced tillage, water management (including irrigation and drainage), set-aside land, agroforestry;
▪ Improve grazing land management for increased cover of high-productivity grasses and overall grazing intensity, nutrient management, fire management and species introduction;
▪ Restore degraded lands for erosion control and organic and nutrient changes;
▪ Improve rice cultivation techniques to reduce methane emissions such as periodic drainage, intermittent irrigation and shallow flooding;
▪ Improve livestock management with better feeding practices, dietary additives, breeding and other structural changes, improved manure management; and
▪ Agroforestry tree crops, integrating trees into fallow cycles, forest fragments and trees integrated into agricultural systems (e.g. silvopastoral systems).
These approaches may require additional technology (i.e., agriculture intensification, compost production, erosion control, rice cultivation and livestock management). Transfer of knowledge and introduction to technology were done during REDD+ / Forest Programme II implementation in Jambi through Sekolah Lapang (Field School) programs that introduced knowledge and technology for producing organic fertilisers to improve agriculture productivity.
The REDD+ readiness phase in Indonesia already involves large and growing public funding and private investment41. Examples of financing approaches include Primary Cooperative Credit, where a contract is signed between a company, smallholder cooperatives and banks, under the supervision of the government. Through this approach, farmers entrust their land to the company, which plants, manages and harvests the crops. The landowners are paid a percentage of the harvest revenue after deduction of plantation establishment and management costs42. In palm oil plantations, a similar mechanism known as Plasma-Inti is commonly practiced. This system offers financial access to local communities / smallholders farmers, while ensuring better agriculture management (assuming the participating companies are in compliance with sustainable agriculture practices).
40 REDD Net (2011). REDD+ and agriculture: A cross-sectoral approach to REDD+ and implications for the poor. 41 Dermawan, A., Petkova, E., Sinaga, A., Muhajir, M. and Indriatmoko, Y. 2011. Preventing the risks of corruption in REDD+ in Indonesia. Summary report. United Nations Office on Drugs and Crime and CIFOR, Jakarta and Bogor, Indonesia. 42 GIZ. Agriculture and REDD+ The main driver of deforestation and a key sectorfor successful implementation of REDD+
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3.6.6 Lessons Learned on Conflict and Dispute Resolution
Tenurial Conflicts are commonly found on FMU and national parks in Jambi. Process for conflict and dispute resolution started with the identification of Object of conflict (i.e., forest area under FMU or national park jurisdiction); stakeholders/actors involved in the conflict; and conflict style. Result from this process defined the causes of conflicts (i.e., lack of clear boundaries, lack of monitoring in licensed areas, and needs for land for subsistence/agriculture) and willingness of stakeholders to resolve the conflict. Conflict and dispute resolution required mediation by a “neutral” party that had no interest (would not gain any advantage from the object of conflict). Mediation processes were done:
▪ At community level to mediate and resolve conflicts between local communities and forest authorities (FMU or national park), or between local communities and concession holders;
▪ To establish partnership with local communities using social forestry or conservation partnership in forest or national park areas, respectively; and
▪ At national level to resolve conflicts between concession holders.
4.0 DESCRIPTION OF THE ERP43
Jambi has articulated its vision for low-carbon development in the Green Growth Plan (GGP) through six intervention areas that the J-SLMP and forthcoming ER Program are consistent with. The J-SLMP and ER Program form a critical part of the GGP given that they are a strategic umbrella for multi-sector, multi-stakeholder interventions across land uses in Jambi. Together, they will contribute to a transformation in how landscapes are managed in Jambi to deliver multiple benefits such as climate change mitigation, improved livelihoods and environmental services, and strengthened coordination and partnerships with key stakeholders.
The Project’s proposed development objective (PDO) of J-SLMP is to improve sustainable landscape management that reduces land-based GHG emissions in Jambi. Specifically, the J-SLMP will foster equitable and low-carbon development by addressing drivers of emissions, deforestation, and land degradation primarily through strengthening policies and institutions and implementing sustainable land management approaches. The achievements of the PDO will be measured through the following indicators: a) land area under sustainable forest management and/or restoration practices (ha), b) GHG Emission reductions in Jambi (MtCO2e), and c) number of people reached with benefits (assets and/or services) (% women).
The J-SLMP and its activities have been designed to address identified gaps and to scale successful approaches throughout Jambi to maximize available Project financing. As part of this process, the GOI, including national and provincial governments, conducted an analysis of activities that would support the above PDO. Specifically, activities were prioritized based on five criteria: 1) expected impact on reducing emissions; 2) geographic prioritization given the landscape in Jambi (including a spatial planning approach); 3) livelihood impacts for communities and smallholders; 4) complementarity and ability to leverage other programs and initiatives being implemented by government, CSOs, development partners, communities, and the private sector; and 5) the unique value that the World
43 Since there is no final ERPD for the ERP program yet, it is envisaged that the ERPD will be a scaling up of the J-SLMP with some variations in project activities.
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Bank Group provides on sustainable land use, particularly as it relates to governance, policy, and regulations.
Below is a summary of the three project components under J-SLMP.
4.1 COMPONENT 1: STRENGTHENING POLICY AND INSTITUTIONS
This component will address issues concerning the lack of institutional capacity to ensure good forest and land-use governance. This Component aims for improving the regulatory and institutional frameworks in forestry and other land-based sectors, as well as strengthening the instrument for enforcing such policies. Specific gaps in governance that will be addressed by the Project include those related to: consistent approaches and tools (including spatially explicit information) for peatland, forest, and fire management; coordinated enforcement and implementation of sustainable land use approaches; transparent monitoring of changes and social issues related to land use; and stakeholder capacity to engage and manage their natural resources sustainably, including through alternative livelihoods to ensure their continued development. Furthermore, this component will support national and provincial governments, communities, and other stakeholders to effectively achieve the objectives of the Project. This component will be implemented through technical assistance and capacity building activities.
4.1.1 Sub-component 1.1: Institutional Strengthening
This Sub-component aims to strengthen coordination and decision making across sectors (forestry, plantation and mining). Under the jurisdictional ERP, this Sub-component will support the preparation of policies to support green development (i.e., green investment) in line with Jambi TUNTAS vision. Specifically, institutional strengthening will target forestry, plantation and mining sectors. These sectors are often associated with drivers of deforestation from land use, land use change, and forestry (LULUCF), and from forest/land fire. Furthermore, institutional strengthening will also include translation of policies into technical guidelines to allow field-level implementation. Vertical coordination between provincial and district governments will also be strengthened in the context of law enforcement and conflict resolution. Synchronisation of these policies and regulations will involve stakeholder consultation to gather input on institutional management. Additionally, policy synchronisation with Peat Restoration Agency (Badan Restorasi Gambut – BRG) is needed to ensure institutional strengthening for managing peatland beyond forest designations
Institutional strengthening will also encourage clear definition of institutional mechanism to allow collaboration among government, private sector, and civil societies. Collaborations will also be established between Forest Management Unit (Kesatuan Pengelolaan Hutan – KPH) and the surrounding communties to promote sustainable forest management. Sustainable forest management will include stakeholders’ involvement in reporting and monitoring of policy implementation (will be part of the proposed FGRM). Effective FGRM will support this component to continously improve policies and its implementation through relevant institutions.
4.1.2 Sub-component 1.2: Enabling Environment for ER Program
Support improvements to the enabling environment for an ER Program represents the key aspect in bridging International REDD+ standards for implementation at local scale under jurisdictional approach. REDD+ readiness includes preparation of comprehensive system to measure GHG emissions. Valid
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methods for such measurements may require transfer of knowledge and skills from experienced professionals to the local experts/institutions. The following activities will create conditions and a framework to enable development of results-based ERP:
a. GHG emissions accounting for Agriculture, Forestry, and Other Land Use (AFOLU);
b. Monitoring and reporting of land and forest resources changes, including a functioning MRV system;
c. Development of a Benefit Sharing Plan (BSP);
d. Development of a Feedback and Grievance Redress Mechanism (FGRM); and
e. Support for implementation of environmental and social safeguards.
Capacity building to implement REDD+ plays important role to support forest protection and monitoring, as it will be the responsibility of relevant management unit such as the FMU. Proper measurement of GHG emission will involve inventory and estimation of forest biomass in peat and mineral ecosystems. This will also involve sample selection in peat and mineral ecosystem to monitor the carbon stock. REDD+ readiness requires that institutions in Jambi Province are capable of finalizing and legalizing the FREL (Forest-Reference Emission Level)44. Upon finalization, the system will continue to be used in the process of monitoring land and forest resources, reporting changes and verifying of emissions reductions (MRV). Valid carbon accounting will be the basis for benefit sharing mechanism as the part of incentive scheme in implementing the ERP.
REDD+ readiness also requires that the safeguard framework and instruments are prepared for Jambi context. A comprehensive and robust safeguard system will need to be developed by provincial institutions with supports from consultants, NGOs, communities and private sector. Implementation of the safeguard frameworks being prepared with support from J-SLMP needs to be assess during ERP readiness phase, where relevant aspects of legal frameworks, capacity building, and access to finance are considered to ensure effective implementation and monitoring of safeguard measures
Risks of reversals and displacement will need to be considered in readiness phase. Communication and coordination mechanisms among stakeholders are required to address these risks. Strategies for mitigating the risks of reversals and displacements need to be documented as parts of the requirements from ISFL and World Bank. Additionally, FGRM will also contribute to addressing the risks by providing means for identifying potential grievances and conflicts that may lead to reversals and displacement.
4.1.3 Sub-component 1.3: Policy and Regulation
This component will support the consolidation and strengthening of policies and regulations for sustainable land use, including at national and provincial levels. Particular focus has been given to policies and regulations for green growth, private sector development, fire, and peatland management in order to effectively address drivers of emissions, improve livelihood opportunities for land users, and ensure the long-term sustainability of approaches in Jambi. Specific activities include support for provincial regulations (Perdas) for fire and peatland management, a permanent moratorium on peatland
44 Also includes the decision if peat decomposition will be a significant emission factor.
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conversion, and improvement of land-based licenses and modifications to Ecosystem Restoration Concessions (ERCs) to increase private sector investment
Approach in this sub-component is designed to assist sub-national government in reviewing policies and regulations to ensure effective implementation of future ERP in Jambi. Such policies will include establishment of a fiscal incentive system to channel funds to sub-national level and communities. Stakeholder consultation processes have identified that timber plantation and peat land fires contribute to the deforestation from LULUCF and peatland sources respectively. Evaluation on moratorium for new timber plantation licenses will be done to define the contribution of this policy towards protection of the remaining forest. Evaluation will also be done to identify socio-political implications of this moratorium.
Evaluation of policy and regulation will also be done to identify the status of peatland management practices. It is expected that the provincial regulations support the peatland rewetting, revegetating and revitalization strategies of peatland restoration agency (BRG). Additionally, this sub-component will assist provincial government evaluate the possibilities to support national level policy such as peatland moratorium.
Evaluation of policy and regulation will also be conducted in the context for supporting multi-stakeholder collaboration on sustainable forest management system. Additional context will include evaluation of policies and regulations to ensure institutional capacity to support biodiversity protection as non-carbon benefits and enhancing private sector participation in generating ER benefits.
4.2 COMPONENT 2: IMPLEMENTING SUSTAINABLE LAND MANAGEMENT
This component addresses the lack of sustainable practices in land management. This issue was raised during stakeholder consultation, and is related with tenurial conflicts involving agricultural practices in forest area (encroachment). This issue is relevant with the drivers of deforestation from both LULUCF and peatland.
The objective of Component 2 is to integrate forest and land management in Jambi, particularly through sustainable forest management, agriculture intensification and diversification, conservation and restoration, and value chain sustainability. As with Component 1, peat management, fire prevention and management, and green growth, including through private sector engagement will be priorities. Component 2 will be supported primarily through physical investments, though complemented by technical assistance and capacity building. Together with Component 1, these activities aim to address the drivers of emissions, including weak governance, by providing resources to test sustainable land use management practices and enforcement in Jambi, including in support of the Project’s objectives.
4.2.1 Sub-component 2.1: Integrated Forest and Land Management
This component will provide support for integrated forest and land management through the consolidated and coordinated management of forest and land resources, targeting peatland and fire as
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key sources of emissions. Engagement of government, communities, private sector, and civil society are central to achieving this objective.
Specific activities include:
a. Sustainable forest management to support the remaining natural forest, forest rehabilitation, strengthening of FMU’s institutional capacity including procurement of facilities and infrastructure and monitoring the implementation of sustainable production forest management (PHPL); and;
b. Conservation and restoration activities implemented by the government (at various levels) to reduce emissions, working with smallholders, communities and plantations in or near High Conservation Value (HCV) areas (i.e. forests, peat, and mangroves). In particular, restoration and management of priority peatlands, promotion of alternative crops in degraded areas, and development of incentive mechanisms to prevent encroachment of smallholders are approaches that are likely to have significant impacts on ER targets. These activities will also include clarification of smallholder land use rights to promote sustainability over the long-term.
c. Social forestry support will be provided to facilitated new licences, strengthening of institutional capacity and developneg of social forestry business strategy. To support social forestry, the J- SLMP and ERP needs to prepare a process that includes socialization, FPIC, and conflict resolution mechanism. Conflicts may arise due to overlap between forest and plantation concessions. Conflict resolution mechanism needs to be integrated in the FGRM. Multi- stakeholder forum or association may also be optimized for FGRM and conflict resolution mechanism.
Sustainable forest management may also include High Conservation Values (HCV) and/or biodiversity conservation. Conservation areas (e.g., nature reserves and national parks) are present in the Performance Evaluation Area (Wilayah Penilaian Kinerja – WPK), so collaborations with conservation area authorities such as BKSDA and National Park is included as part of this strategy. Additionally, biodiversity conservation may be regarded as non-carbon benefit of the ERP.
To complete the process of improvement, monitoring and evaluation of HCV (High Conservation Value) areas in production forests by the private sectors/concession holders will be included in the management plan. J-SLMP will benefit from involvement of local communities and private sector to protect the conservation forests, including compliance with zero-burning policy. Additional values from biodiversity conservation includes conservation of forest wildlife flagship species, enhancing capacity of staffs of BKSDA and national parks on SMART patrol, resort-based management, as well as human- wildlife conflict resolution.
On the peatland issue, J-SLMP will consider a) restoration of degraded peat lands, b) ecosystem restoration (on peat and mineral forests); and c) development of concept on planting for land rehabilitation, conservation of soil and water, and agroforestry. Improvement of forest management will also benefit from infrastructure development (for conservation of soil and water), and decentralized forest management system through FMUs. Decentralization will allow adjustment to the local context and needs, as well as integration of community empowerment, social forestry, and recognition of indigenous rights.
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4.2.2 Sub-component 2.2: Private Sector Partnership for Improved Forest and Land ManagementInvestments and Partnerships
This sub-component will also support private sector partnerships for improved forest and land management which will leverage private sector funding, investment and expertise to support GHG emissions reductions in Jambi. Specifically, these activities aim to create engagement models and mechanisms that could be replicated and scaled up with private sector actors.
Specific activities include:
a. Agriculture, plantation, and agroforestry intensification and diversification that target smallholders to facilitate productivity enhancements to reduce emissions in priority areas (e.g., HCV areas, peatland, primary forest borders, etc.), including through replanting, agroforestry and intercropping. The aim will be to leverage commercial bank financing, private sector offtake, and expertise to ensure sustainable investments; and
b. Value chain sustainability targeting private sector actors, including large corporates, who are potential change agents, including through support for traceability and sustainable sourcing, coordination of stakeholders in key value chains, and support for standards that promote sustainable practices, including the Indonesian Sustainable Palm Oil (ISPO) and Roundtable on Sustainable Palm Oil (RSPO) certifications, as well as other sustainability standards, including a potentially new standard for rubber.
This sub-component focuses on private partnerships to implement productivity-enhancing technology and farming practices. This approach is aimed to promote intensification that would reduce the demands for land expansion. In parallel, sustainable investment and partnership mechanisms will be introduced to encourage green development. This sub-component will benefit from good governance (Component 1), as it will provide clear information on land use policy, licensing process, and clear demarcation for subsequent GHG inventory. This will also be strengthened through value chain coordination, multi- stakeholder dialogue, and capacity building to encourage sustainable practices.
Under this Sub-component, the ERP needs to provide support for private sector to establish partnership with farmers’ groups. This approach will help enhance the knowledge on sustainable forest management among farmers’ groups and develop supply chain management tools to facilitate compliance with certification standards including “no-deforestation and no-fire” sustainability aspects.
Partnership will also include the needs to balance conservation and economic goals. Ecological aspects in HCV management are applicable for business ventures under ISPO certification for plantation sector. Additionally, such balance will also be achieved through jurisdictional management tools to ensure compliance with “no-deforestation and no-fire” principles. Capacity for conflict resolution and FGRM will contribute to achieving optimal partnerships.
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4.3 COMPONENT 3: PROJECT MANAGEMENT, MONITORING AND EVALUATION, AND REPORTING
This component envisages overall management of the ER implementation, and highlights the roles shared among stakeholders in sustainable forest management. Due to the variation of activities and multi-stakeholder involvements, benefit sharing mechanism as incentive scheme needs to be considered.
Effective and efficient management of program activities become the backbone for the success of ER implementation. Management, monitoring, and evaluation applies to multi-stakeholder operation to ensure that sustainable forest management and all components of the ERP are properly implemented. Under public-private partnership mechanism, monitoring and evaluation system needs to be transparent and accessible to all stakeholders.
This component will finance activities related to national and provincial‐level Project coordination and management, particularly to achieve the Project’s objectives, including AWPB; fiduciary aspects (FM and procurement); human resource management; safeguards compliance monitoring; M&E; knowledge management and sharing; and implementation of strategies for communication and stakeholder engagement.
Funds will cover a portion of the costs for the PIUs/PMUs’ contractual staff, and operations and maintenance costs, such as office space rental charges, vehicles and fuel, and office equipment, among others. It will also finance the costs of Project supervision and oversight provided by the National Steering Committee, Provincial Task Force, and Project Preparation Team, as well as other Project administration expenses.
Program management and subsequent monitoring will refer to how J-SLMP contributes to addressing the drivers and underlying causes of deforestation and forest degradation and how the project supports enabling environments for the future ERP (refer to figure 2).
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Figure 1 Relationship between main drivers of deforestation and degradations with J-SLMP components.
4.3.1 Sub-component 3.1: Project Management
Effective and efficient management of program activities become the backbone for the success of ER implementation. Management, monitoring, and evaluation applies to multi-stakeholder operation to ensure that sustainable forest management and all components of the ERP are properly implemented. Under public-private partnership mechanism, monitoring and evaluation system needs to be transparent and accessible to all stakeholders.
Plan, policy and program on future results-based payments under the ERP are expected to motivate low-carbon development in Jambi. Benefit sharing mechanism from REDD+ will likely involve the establishment of village-based business venture (Badan Usaha Milik Desa – BUMDes) and eco- villages.
Result-based payment will depend on how much carbon emission is reduced based on the FREL. Emission reduction (carbon accounting) will be based on certain areas defined as the WPK, and will be measured using specific MRV methodologies. Therefore, ERP will need to establish the best model of intervention for optimum ER benefit generation. Such model may include social forestry, conservation of peatland (rewetting, revegation and revitalisation of peatland area), establishment of role model for ecosystem restoration in protected areas.
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The ER will consider the establishment of institution for benefit sharing mechanism, and monitoring and evaluation mechanism for benefit sharing among stakeholder (may also be included in the FGRM). To support establishment of BUMDes, benefit from ER may be received in form of village budget allocation (Dana Desa), access for marketing of commodities produced by social forestry, as well as by local communities around FMU, and TAHURA.
4.3.2 Sub-Component 3.2: Monitoring, Evaluation, and Reporting
Program management and subsequent monitoring will refer to how the J-SLMP and ERP addresses the drivers of deforestation and/or their relevant underlying causes. Correlation between main drivers of deforestation and degradation with the ERP components is shown in Error! Reference source not found.. This sub-component will also looking after the monitoring of the safeguard implementation.
More specifically, this sub component will contribute to measuring the progress of J-SLMP and future ERP during ERPD implementation through monitoring, evaluation, and reporting of ER process in Jambi.
Consultation process will be done to discuss and evaluate the impacts of ERP components and sub- components towards the drivers of deforestation and degradation. Additional aspects to consider during program monitoring and evaluation are support for the recognition of Customary Communities within Forest Area, Sustainable Livelihood, and Program Socialization & Community Empowerment that will strengthened all the components of ERP that are currently envisaged in the PDO.
5.0 BASELINE CONDITIONS45
5.1 GEOSPATIAL DATA QUALITY
According to Intergovernmental Panel on Climate Change (IPCC) principles for the reporting of national emissions and GHG removals, information should be transparent, coherent, comparable, consistent and accurate.46 Geospatial data quality has become a crucial element of forest management used to pursue the ER target, because it is consistent with those principles. According to ISO 19157:2013 on geographic information data quality, which was adapted into Standar Nasional Indonesia (SNI) 19157:2015, there are six groups of data quality elements: completeness, logical consistency, positional accuracy, thematic accuracy, temporal quality and usability elements (Vullings et al. 2015).
Indonesia has implemented one map policy since 2011 through the issuance of Law No. 4/2011 on geospatial information, strengthened by Presidential Regulation (Perpres) No. 27/2014 on the National Geospatial Information network, and Perpres No. 9/2016 on the acceleration of one map policy implementation at 1:50.000 scale. In line with IPCC and SNI requirements on spatial data quality, the data used should be up to date, accurate, consistent between time series, and obtained from the official data custodian. In addition to those aspects, proper metadata must be embedded into the spatial data in order to make data traceability easier.
An assessment of geospatial data quality related to the ERP has been conducted and is summarized in Table . Further calculations and analysis described in this document will use geographic information
45 New data and information about baseline condition have been acquired from MRV analysis and will be used during revision of this SESA document and will be submitted to the Bank accordingly. 46 http://www.fao.org/3/a-bc395e.pdf
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system (GIS) data, unless attributed to other sources. All information related to GIS data presented in this report is embedded in the data, and is listed on the maps provided in Appendix A2.
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Table 4 Quality assessment of some geospatial data used for the SESA.
Category Data Source / Data custodian Year Notes
Administrative Province Spatial Plan 2013 - 2033 2014 Verification with data from Indonesian Geospatial Information Agency Boundary Boundary (Perda No 10/2013) (Badan Informasi Geospasial – BIG) from website (based on http://tanahair.indonesia.go.id/portal-web/inageoportal/#/, indicated District Spatial Plan 2013 - 2033 2014 provincial discrepancies and gaps in district boundaries. This resulted in the Boundary (Perda No 10/2013) Spatial Plan) differences of area size between the map abd the legal documents Subdistrict Spatial Plan 2013 - 2033 2014 (Perda/Provincial Regulation for provincial spatial plan) Boundary (Perda No 10/2013)
Village Bappeda 2017 Only point data are available, as village boundaries are in the process of verification by BIG. There will be revisions of the 2018 village boundaries
Hydrology Watershed MoEF Updated year is not stated Boundary
River Spatial Plan 2013 - 2033 2011 (Perda No 10/2013)
Big River Spatial Plan 2013 - 2033 (Perda No 10/2013)
Infrastructure Road Spatial Plan 2013 - 2033 2014 (Perda No 10/2013)
Port BIG 2016
Airport BIG 2016
Land cover Land cover MoEF 2000, 2003, 2006, 2009, 2011, 2012, 2013,
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Category Data Source / Data custodian Year Notes 2015, 2016, 2017
Forest Status Forest Status MoEF 2017
Fire Hotspot Hotspot NASA FIRMS 2010- 2017
Mining and Oil Mining Ministry of Energy and 2016 & Gas Concession Mineral Resources
Oil and Gas Petrominer (digitizing data) 2011
PalmOil Palmoil 2015
Forestry Permit IUPHHK – HA MoEF 2018 (Logging concession)
IUPHHK – HTI MoEF 2018 (Timber Plantation)
HD (Village MoEF 2018 Forest)
HA (Customary MoEF Forest)
PIPPIB MoEF (Decree Revision (Moratorium) No.8599/MENLHK- XV, 2018 PKTL/IPSDH/PLA.1/12/2018)
KPH KPHL KPHP MoEF 2016 (Production and Protected forests)
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Category Data Source / Data custodian Year Notes
IUPHHK - RE IUPHHK – RE MoEF 2018 (Ecosystem restoration)
IUPHHK - HTR IUPHHK – HTR MoEF 2018 (Community Commodities)
IUPHHK-Hkm IUPHHK-Hkm MoEF 2017 (community Forest)
PIAPS PIAPS (Social MoEF Revision forestry II, 2018 allocations)
MHA Marga WARSI 2018 (Customary Serampas area)
MHA Marga WARSI 2019 (Customary Serampas area)
TORA TORA (Agrarian Digitised from MoEF map 2017 TORA map from MoEF was downoladed from: reform) http://webgis.menlhk.go.id:8080/kemenhut/index.php/id/peta/tora
IBA IBA (Important BirdLife 2017 Biodiversity Area)
EBA EBA (Ecological BirdLife 2017 Biodiversity Area)
Habitat Amphibians IUCN 2018 Data downloaded from https://www.iucnredlist.org/resources/spatial-data- download in shapefile format Reptiles IUCN 2018
WPK WPK / KLHK Accounting Area
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Considering the possible discrepancies between maps, and with the conensus among stakeholders in Jambi, SESA was done based on spatial data provided by Jambi Province, MoEF and BIG. To avoid further discrepancies, ground check/verification on the carbon accounting areas will need to be done once these areas are agreed. Ground check can employ fit-for-purpose approach based on planned activities on the ground (Free and Prior Informed Consent/FPIC and Village Land Use Planning /VLUP).
Without the One Map Policy, discrepancies are inevitable due to the differences in accuracy and precision of the spatial data. Accuracy refers to the degree or closeness to which the information on a map matches the values in the real world. Therefore, when we refer to accuracy, we are talking about quality of data and about the number of errors contained in a certain dataset. In GIS data, accuracy can refer to a geographic position, but it can also refer to an attribute or conceptual accuracy. Precision refers to how exact is the description of data. Precise data may be inaccurate, because it may be exactly described but inaccurately gathered (possibly the surveyor made a mistake, or the data was recorded incorrectly in the database).47 Sources of inaccuracies and imprecisions in Jambi spatial plan may be due to the scale used in spatial analysis, outdated data, data formatting, or other errors generated during the digitizing process.
The implications of such discrepancies will be potential discrepancies in the spatial pattern (pola ruang) in the spatial plan. These were also observed in the administrative boundaries between districts. Therefore, it is crucial for the ERP to conduct ground checks and verification to ensure that carbon accounting areas is well defined and delineated. With regards to conflict and dispute potential, consistencies need to be established for mining and plantation concessions (data from ATR/BPN), while for forestry sector, the map needs to refer to forest and concession maps validated by the MoEF. Discrepancies in district boundaries may create confusion if enforcement of regulations and environmental protection were done at the district level. Therefore, this needs to be done at the provincial level in order to ensure smooth coordination and avoid such confusion.
5.2 LAND COVER AND LAND STATUS IN PERFORMANCE EVALUATION AREA (WPK)
Baseline analysis, as well as analysis of environmental and social risks were done based on the definition of Performace Evaluation Area (Wilayah Penilaian Kinerja – WPK). The WPK was designated by the MoEF and the characteristics of each land/forest designation were compiled from consultation processes (Appendix A3). This WPK area covers 1,550,446.33 ha (approximately 30% of Jambi Province). The size of the WPK corresponds with the requirement to maintain at least 30% of forest area in the province for ecological balances. This Performance Evaluation Area (Wilayah Penilaian Kinerja – WPK) may be proposed as accounting area in the ERP. Composition of land status within the WPK is described in Table 1. Map of the WPK is provided in Appendix A2.
47 Pascual. 2011. GIS Data: A Look at Accuracy, Precision, and Types of Errors.
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Table 1 Composition of land status within the WPK in Jambi.
Area size within Percentage of Land Status Authorities the WPK (Ha) Total WPK
Other use area (APL) Provincial / district government 526,991 23%
Nature Reserve Nature Conservation Agency (BKSDA) 3,489 0.15%
Protected Forest Provincial Government - FMU 175,673 8%
Production Forest Provincial Government - FMU 655,409 29%
Convertibel Production Provincial Government - FMU 2,485 0.11% Forest
Limited Production Forest Provincial Government - FMU 229,558 10%
Grand Forest Park Provincial government 31,971 1%
National Park Central Government/MoEF – National 636,583 28% Park
Nature Tourism Park Nature Conservation Agency (BKSDA) 265.90 0.01%
Total - 2,262,723 100%
This table shows that the WPK consists mainly of national parks, production forests, APL, and protected forest. This would require the ERP to be implemented with the involvement of provincial governments (production forests, protected forests and APL/other use areas) and central governments / MoEF (national park authorities). In APLs, the J-SLMP and ERP will address plantation areas (as a driver of deforestation / forest conversion), as well as APLs with relatively good forest cover (14% of the total WPK/Performance Evaluation/Accounting area are APL).
5.2.1 Forestry Sector
As discussed in Section 2.2.2, driver of deforestation also occurs in land conversion from natural forest into timber plantation in Production Forest. Therefore, the ERP will also address the environmental and social issues in production forest and forest concession areas in Jambi. A compilation of forest designations within the WPK is provided in Table 6. This table shows that 58% of the production forest areas are not yet licensed. This suggests that it is equally important for the ERP to work with FMU, and with the private companies (forestry license holders).
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Table 6 Forest Designation and licences in within the WPK (preliminary).
License areas Convertible Limited License areas License areas Production Ecosystem Unlicensed District Production Production timber Community Forest (Ha) Restoration areas (Ha) Forest (Ha) Forest (Ha) plantation (Ha) Forest (Ha) (Ha)
Batanghari 17,145.50 26,045.18 24,499.80 13,443.94 5,246.94
Bungo 44,141.90 92.42 27,630.73 16,603.59
Kerinci 7,737.82 0.47 7,737.35
Merangin 54,105.56 25,849.20 16,188.80 63,765.96
Muaro Jambi 19,799.70 1,457.17 56,669.39 14,353.46 63,572.80
Sarolangun 46,091.00 34,591.57 7,084.35 46,806.95 26,791.27
Tanjung Jabung Barat 57,657.53 0.05 26,199.16 0.37 54,801.76 29,054.61
Tanjung Jabung Timur 40,163.50 0.62 32,784.94 7,379.18
Tebo 85,533.27 15,465.84 34942.82 50,248.13 1,766.66 14,041.50
Sungaipenuh 78.33 78.33
Total 372,454.12 1,550.25 184,820.34 66,527.34 256,258.71 1,767.13 234,271.53
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Of the 324,553.18 ha of the licensed area, 256,258.71 ha (or 79%) are timber plantation concessions. This corresponds with the needs to engage with timber plantation companies, as driver of deforestation is associated with timber plantation operation due to conversion of heterogeneous natural forest into homogeneous plantation forest.
Component 1 (Sub-component 1.1 on institutional strengthening) of the ER addresses the needs for improving land or forest governance. This includes postponing new licenses or a moratorium on licensing is seen as an option to achieve the component. Areas subject to the moratorium are listed in Table . A moratorium involves the suspension of forestry licenses in the specified areas. Suspension of forestry licenses is closely tied with increased opportunity costs in the associated sector. Therefore the highest forestry opportunity cost for the ERP in Jambi will come from forest concession in Merangin District (most moratorium area).
Impact of moratorium in Merangin District is associated with the following perspectives: • Forest cover will not significantly decrease, as the concession areas are few. In 2014, Merangin has the second largest natural forest cover in Jambi with 241,648 ha (the highest is Tanjung Jabung Timur with 263,013 ha). There is an increase by 20,566 ha between 2013 and 2014; • More areas will be under the responsibilities of FMUs, as the FMUs are mandated with forest management (and protection) in the unlicensed forest areas. This may require capacity improvements within the FMUs; • Political will to support conservation is expressed by the Head of Bappeda of Merangin District (personal communications). Merangin District has worked with many conservation NGOs (including FFI, GeCinde, Tiga Beradik, and WARSI), and is famililar with conservation strategies in forestry sector.
Maps of moratorium is provided in Appendix A2.
Table 7 Moratorium areas in Jambi Province48.
Moratorium Type / District Area (Ha)
Peatland Moratorium 133,102.76
Merangin 678.97
Muaro Jambi 45,441.13
Sarolangun 4,721.95
Tanjung Jabung Barat 46,543.14
Tanjung Jabung Timur 35,426.82
Jambi City 290.75
Forest Concession 880,826.22
Batanghari 51,209.62
48 Based on indicative map of moratorium, Ministry of Environment and Forestry.
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Moratorium Type / District Area (Ha)
Bungo 59,947.08
Kerinci 194,729.35
Merangin 202,191.41
Muaro Jambi 61,975.57
Sarolangun 67,419.47
Tanjung Jabung Barat 27,058.21
Tanjung Jabung Timur 148,444.48
Tebo 44,267.38
Sungai Penuh City 23,583.64
Primary Forest 30,881.99
Bungo 13,144.03
Kerinci 203.40
Merangin 12,946.29
Sarolangun 4,553.92
Tanjung Jabung Timur 31.87
Sungai Penuh City 2.48
GRAND TOTAL MORATORIUM 1,044,810.97
5.2.2 Plantation Sector
Plantation sector in Jambi is associated with land conversion and driver of deforestation in Jambi. Specifically, palm oil and coffee are the two commodities causing land coversion in APL, and encroachment in national park respectively.
5.2.2.1 Palm Oil
Most of the palm oil concessions consist of logged forest, agroforest, shrubland and peatland. A study done by Bogor Agriculture University, Jambi University and BPDAS Batanghari49 shows that within the last 25 years in Bungo and Merangin districts, 8% of Palm oil development was done by clearing intact forest. Palm oil concessions wer mostly done on logged forest, agroforest and shrub lands. Conversion
49 Tarigan, SD., Sunarti, Widyaliza, S,. 2015. Expansion of oil palm plantations and forest cover changes in Bungo and Merangin Districts, Jambi Province, Indonesia. Procedia Environmental Sciences 24 ( 2015 ) 199 – 205
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of intact peat swamp forest to oil palm plantation also occurs in Jambi50. This underlines the significance of palm oil plantation as a critical source of carbon emission from peatland. Composition of plantations in WPK of Jambi Province are summarised in Table (maps in Appendix A2).
Table 8 Areas allocated for palm oil plantation permits (HGUs) within the WPK (preliminary). District / City Area (ha)
Batanghari 482.13 Bungo 218.00 Merangin 819.82 Muaro Jambi 26,062.63 Sarolangun 17,371.60 Tanjung Jabung Barat 1,008.26 Tanjung Jabung Timur 13,866.35 Tebo 105.19 Grand Total 59,933.98
This table shows that Muaro Jambi District shows the largest allocation of palm oil plantation within the WPK / performance evaluation area. The overall palm oil plantation in the WPK is approximately 7.5% of the total palm oil plantation in Jambi. Overall, 72% of the palm oil plantation in Jambi is productive. The rest are either damaged/old plantation, or new plantation that has not yielded any fruits.
A study by Jambi University suggests that palm oil plantations in Jambi are managed by three actors consisting of small holder estates (65% of the plantations); large private plantations (30%), and by state- owned plantation company – PT Perkebunan Nusantara (5%)51. Approach to facilitate small holder palm oil farmers in Component 1 of the PDO is consistent with this fact in plantation sector.
Responding to the sustainability of the smalholder palm oil plantation, the Plannation Agency of Jambi has supported the farmer groups to get their areas certified under the ISPO system. A few groups have been facilitated prior to 2019, and two more groups are under process for 2019. These are: one group in Village Mudo, Tanjung Jabung Barat District consisting of 75 households with the total plantation area of 300 hectare. The second one is inVillage Suban, Tanjung Jabung Barat District cosisting of 100 households with a total area of 300 hectares. The later one is facilitated by a prvate company called PT. Fortisius. This is a good case whre big company supporting smalhlder to be more sustainable in their production system. However, it needs to be observed and reviewed whether those already receiving the ISPO certifivation are really practicing sustainability principles as directed by the ISPO system or not and find ount what can be done to improve similar process in the future..
Similar trends in oil palm development in Bungo and Merangin are the roles of smallholder farmers in establishing palm oil plantation. Transmigrants in Rimbo Bujang (Bungo District) and local farmers (Merangin District) have different historical background. Transmigrants were brought in (mainly from Java) and were given the title of 2 ha land for farming (which may include palm oil), whereas local farmers do not necessaily have such titles. Positive trends are that transmigrants do not tend to increase their plantation, while local farmers still see expansion of plantation as a potential for increasing their production/income. Additionally, since 2017 Rimbo Bujang Sub-district received subsidy for
50 Comeau, L-P,. Et. al., 2013. Conversion of intact peat swamp forest to oil palm plantation. Effects on soil CO2 fluxes in Jambi, Sumatra. Working Paper 110. CIFOR, Bogor, Indonesia 51 Erfit. 2017. Analysis of palm oil industry cluster in Jambi Province. Jurnal Perspektif Pembiayaan dan Pembangunan Daerah Vol. 5. No.1, July – September 2017
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encouranging independent housing, which may contribute to the halt of expansion of palm oil plantation (some of the housing needs are provided from this subsidy program, rather than from revenue/expansion of plantation). In Tebo District the total recipients fo this program is 1,060 houses/households, including Rimbo Bujang Sub-district.
5.2.2.2 Coffee Plantation
Robusta and Arabica Coffee are the prime commodities in plantation sector in Jambi. In Kerinci Seblat National Park, coffee plantation is causing deforestation of 5,200 ha52 national park area in Merangin District. Altogether, due to encroachment (including coffee plantation), Kerinci Seblat National Park shows an average deforestation rate of 7% per year based on data from 2010 to 2018.
In the case of coffee farmer, observation in other areas (Central Aceh, well-known area for Arabica coffee plantation; Sindoro-Sumbing highlands in Central Java) have shown that farmers are moving to a higher altitude to find more suitable locations by clearing the land for coffee plantation.
In the case of Kerinci and Serolangun areas in Jambi (main coffee production areas in Jambi), it has to be found out first what kind of coffee species mostly planted by farmer. If it is Arabica, then law enforcement measures should be taken to restrict land clearing and at the same time introducing suitable arabica species that can grow best in lower altitude.
If it is Robusta species, then government will need to support intensification by providing incentives/subsidy to maximize the production in the existing land. At the same time, law enforcement measures are taken to prevent the movement to higher altitude, especially if it involves land clearing.
Other potential approach is to use the social forestry scheme to support agroforestry system by planting coffee in the forest areas without or with limited land clearing. However, this approach will need to be further explored, especially to see the effectiveness and success stories of similar system at another places, or in Jambi if exist.
5.2.3 Mining Sector
Mining is associated with the driver of deforestation, and is an important sector for the ERP to consider. Concessions within the WPK are listed in Table , and are showing that 558,626.65 ha (or 36%) of the WPK have mining concessions. This table also shows that Muaro Jambi District has the largest overlap between its WP and the mining concessions (Maps in Appendix A2).
It is interesting to observe that from around 319,000 hectares of licensed mining areas in Jambi, less than 5,000 hectares has actually been exploited for mining (less than 2%)53. At the same time, from 45 active mining licenses in Jambi, ten have been revoked due to a number of issues including no activities in the field and/or do not follow proper legal mining practices. Therefore, with proper approaches, there is considerable space for halting deforestation from mining sectors. Not only that, the mining law requested post maining reclamation to the exploited areas. Up to now, from around 5,000 hectares of exploited areas, more than 250 hectares have been reclamated.With regards to the revocation of mining licences, this aspect may result in displacement risks outside the WPK that will need to be addressed as well.
52 Data from Kerinci Seblat National Park 2017 53 Information shared by the ESDM staff during public consultation in Jambi, July 4th, 2019.
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Table 9 Overlap between mining, oil & gas concessions and the WPK.
Districts Hectare
Batanghari 1,142 Bungo 24,959 Merangin 25,625 Sarolangun 78,439 Tanjung Jabung Barat 77 Tebo 53,041 TOTAL 183,283
5.3 ENVIRONMENTAL BASELINE
5.3.1 Biodiversity
Environmental baseline data include information on the habitat of sumatran elephant (Elephas maximus sumatrensis), sumatran tiger (Panthera tigris sumatrae), and orangutan (Pongo abelii) as the flagship species in Jambi Province. Areas identified as habitat of these key species in Jambi are listed in Table , while the distribution of these flagships species is shown in Figure 6.
Table 10 Habitat areas for the flagship species.
Species Describtion District Core Area (ha)54
Orangutan Sumatran orangutans (Pongo abilii), classified as Tebo 144,000 critically endangered, are found in primary tropical lowland forests, including mangrove, swamp forests, and riparian forests. They live almost completely in the trees, building nests in which they nap or sleep for the night. Preferred elevations are 200 to 400 m, the area in which their preferred fruiting trees occur, but Sumatran orangutans can be found at a higher alttitude (Rijksen, et al., 2003). Sumatran Elephants The Sumatran elephant (Elephas maximus Tebo 99,70055 sumatrensis), classified as critically endangered, is a subspecies of Asian elephant and is classified as endangered. The Sumatran elephant is under serious threat from illegal logging and associated habitat loss and fragmentation in Indonesia. The elephant population’s long-term viability is jeopardized by rapid forest conversion to commercial plantations.
Sumatran Tiger Sumatran tigers (Panthera tigris sumatrae), Merangin 32,00056 classified as critically endangered, are the smallest
54 Defined based on existing surveys by various organisations 55 Mossbrucker, AM., Fleming, CH., Imron, MA., 2017. AKDEC homerange size and habitat selection of Sumatran Elephants. Wildlife Research 43(7) 56 Kerinci Seblat Sumatran Tiger Protection and Conservation. 2017. Fauna & Flora International – Kerinci Seblat National Park
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surviving tiger subspecies and are distinguished by heavy black stripes on their orange coats. The last of Indonesia’s tigers—less than 400 today—are holding on for survival in the remaining patches of forests on the island of Sumatra, including Jambi. Accelerating deforestation and rampant poaching have threatened this species.
Bungo 23,70057 Grand 299,400 Total
Environmental baseline data also included areas designated for high conservation value (HCV 1 to 4)58, which are presented in
Source: BKSDA Office Jambi, 2019.
Figure 6 Dustribution of Flagship Species in Jambi
Table .
57 Linkie, M., Haidir, IA., Nugroho, A., Dinata, Y,. 2008. Conserving tigers Panthera tigris in selectively logged Sumatran Forests. Biological Conservation 141. 2410-2415. 58 HCV 1: Areas that contain globally, regionally or nationally significant concentrations of biodiversity values (e.g. endemism, endangered species, refugees); HCV 2: Areas that contain globally, regionally or nationally significant large landscape-level areas where viable populations of most, if not all, of a naturally occurring species exist in natural patterns of distribution and abundance; HCV 3: Areas that are in or contain rare, threatened or endangered ecosystems; and HCV 4: Areas that provide basic ecosystem services in critical situations (e.g., watershed protection, erosion control)..
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Source: BKSDA Office Jambi, 2019.
Figure 6 Dustribution of Flagship Species in Jambi
Table 21 Areas certified as HCV.
Company Type of Concession District Area (Ha)
PT Wirakarya Sakti Timber Plantation (HTI) Tanjung Jabung Barat 293,812
PT Rimba Hutani Mas Timber Plantation (HTI) Tanjung Jabung Barat 65,714.75 Tanjung Jabung Timur
Batanghari 19,014.26
PT Tebo Multi Agro Timber Plantation (HTI) Tebo 19,770
PT Kresna Duta AgroIndo Plantation Merangin Assessment in progress
PT Satya Kisma Usaha Plantation Bungo Assessment in progress
PTPN VI Plantation Kerinci Assessment in progress
Batanghari Assessment in progress
Grand Total 398,311.01
5.3.2 Critical Land and Watershed Areas
Critical land is the target for forest rehabilitation, and it may contribute to the performance of Jambi Province under the ERP. Rehabilitation of forest cover in APLs falls under the jurisdiction of the Watershed and Protected Forest Management Authority (BPDASHL) Batanghari. Watershed areas in Jambi are described in Table , which shows the work area of the BPDASHL Batanghari, including the
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WPK. The table shows that the largest APL is located in Merangin District (364,903.49 ha). This table also shows that 87% of area in Jambi are categorised as critical land.
Table 32 Critical land areas in Jambi watershed (Batanghari)59.
District Status Area (ha)
Batanghari Production Forest 132,931.03
Other Use (APL) 258,801.26
Conservation Forest 23,597.44
Limited Production 29,189.79 Forest
Muaro Jambi Other Use (APL) 238,096.75
Conservation Forest 47,475.67
Production Forest 49,382.39
Limited Production 55,932.91 Forest
Protected Forest 23,131.34
Tanjung Jabung Barat Other Use (APL) 235,003.98
Conservation Forest 11,068.80
Protected Forest 15,993.61
Production Forest 186,363.30
Convertible production 3,126.68 forest
Limited Production 42,289.45 Forest
Tanjung Jabung Other Use (APL) 253,508.91 Timur
Conservation Forest 122,988.78
Production Forest 54,619.52
Tebo Conservation Forest 30,815.29
Production Forest 224,212.05
Limited Production 30,082.87 Forest
Convertible Production 468.61 Forest
Other Use (APL) 292,252.15
Protected Forest 8,042.55
Bungo Other Use (APL) 325,350.36
Conservation Forest 38,531.42
Protected Forest 13,004.98
59 Source: https://bpdasbatanghari01jambi.wordpress.com/2013/03/16/das-batanghari-jambi/
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District Status Area (ha)
Production Forest 101,980.94
Kerinci Other Use (APL) 104,431.53
Conservation Forest 145,652.70
Production Forest 26,084.86
Merangin Other Use (APL) 364,903.49
Conservation Forest 79,025.08
Protected Forest 29,581.44
Production Forest 140,105.07
Limited Production 46,144.64 Forest
Sarolangun Other Use (APL) 321,835.00
Conservation Forest 13,394.68
Protected Forest 50,398.40
Production Forest 87,189.49
Limited Production 78,331.23 Forest
Grand Total 4,335,320.44
5.3.3 Social Forestry
Data related to the social baseline consist of existing social forestry licences. Social forestry is intended to encourage a community’s involvement in forest management, and at the same time provide alternative livelihood for communities. Community forestry schemes consist of:
▪ Community plantation forest (Hutan Tanaman Rakyat – HTR), which allows timber utilization and plantation commodities (e.g., rubber plantation) in production forest area;
▪ Community forest (Hutan Kemasyarakatan - HKm), which allows timber utilization and agroforestry commodities (e.g., coffee) in production forest area;
▪ Village forest (Hutan Desa - HD), which allows timber utilization in production forest area or non-timber forest product in protected forest. Village forests are managed by village governments; and
▪ Customary forest (Hutan Adat - HA), which allows timber utilization in production forest area, or non-timber forest products in protected forest.
The link between forestry and communities is made through social forestry mechanisms. The Directorate General of Social Forestry and Environmental Partnership (Perhutanan Sosial dan Kemitraan Lingkungan [PSKL]) has established indicative maps for social forestry designations (Map in Appendix A2). The national social forestry program by MoEF targets for 12.7 million hectares of social forestry licenses throughout the country in 2015-2019. Of this national target, 368,253 ha (2.9%) is located in Jambi province with the composition listed in Table 3.
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Table 43 Social Forestry allocations in Jambi Province (2017).
License type Area (ha)
Village Forest (Hutan Desa) 83,579
Community Forest (Hutan Kemasyarakatan) 5,461
Community Plantation Forest (Hutan Tanaman Rakyat) 7,771
Partnership Forest (Hutan Kemitraan) 9,211
Lincensing in progress 155,684
Unallocated 115,758
Grand Total 368,253
This table shows that most of social forestry designation is Village Forest (Hutan Desa). In addition, 912 hectares (not part of the PIAPS allocatioin) has been designated as Customary Forest (Hutan Adat) in Kerinci and Merangin districts. Marga Serampas community have a customary land tenure within Kerinci Seblat National Park with 22.33 ha and 54,359.63 ha in Kerinci and Merangin districts. These tenurial claim has not been awarded with social forestry licenses, as it is located within a conservation area that prohibits social forestry designations. Social forestry approach is in line with Component 2 (Sub-component 2.1) envisaged in the PDO. Indicative maps of social forestry in Jambi shows a total area of 368.232 ha. As of October 2018, there are 188 social forestry licenses for 136,402.71, or 37% of the total allocation. The challenges include the process for obtaining the licenses that required facilitation from organisations such as KKI WARSI and FFI. Another challenge include the limited personnel in Bureau for Social Forestry and Environmental Partnership in Medan, North Sumatra that must cover the entire Sumatra Island.
Critical analysis of the current social forestry practices in Jambi showed that most of the efforts have been allocated to obtaining the licenses and very little effort allocated to supporting those already obtaining the licenses. This has led to the thinking that the Ministry of Environment and Forestry is only interest in achieving its target to allocate 12,7 million hectares of forest nationally for social forestry activities60. Therefore, future efforts should be made balance between obtaining licenses and supporting silviculture and off farms activities, including NTFP processing and marketing. The BioCF project has the potential to support these efforts so that pressure to the forest can be reduced through working and beneficial social forestry activities.
5.3.4 Forest Fire
The number of cases of forest fires in Indonesia is primarily due to human factors. The vulnerability of forest ecosystem to fires causes fires to occur annually in Jambi. This is sometimes aggravated by periods of prolonged drought, such as those linked to El Niño - Southern Oscillation (ENSO) events that can lead to severe and large-scale fires that cover significant areas. ENSO is an increase in sea surface temperature in the Pacific Ocean around the equator, especially around Chile and Peru, which is followed by a decrease in water surface temperature in some territorial waters of Indonesia. The impact is the occurrence of drought in a number of regions of Indonesia.
60 See Jamal M. Gawi, The Paradoxes of Social Forestry Activties in Indonesia, Opinion article, Jakarta Post, 2017. https://www.thejakartapost.com/academia/2017/10/20/the-paradoxes-of-social-forestry-in-indonesia.html
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In addition to impacting forests, fires create smoke and haze that affect the health of people nationally and regionally. This has led to significant negative attribution for Indonesia from neighboring countries and globally.
In Jambi, fire is applied in agriculture and pastoralism practices (man-made fire), while the occurrence of natural wildfires (natural fire regimes) are established elements in natural ecosystem processes. Based on the above reasons, fires are part of sustainable and productive traditional land-use systems. Excessive application of fire due to rapid land-use changes leads to the destruction of productivity, carrying capacity, biodiversity and vegetation cover. Climate variability such as periodic extreme droughts caused by the ENSO phenomenon adds to the severity of fire impacts (Global Forest Monitoring Center, 2000)61.
Fires occur across administrative land use zones, and are linked to several of the drivers described above, in particular to land-clearing for estate crops and agriculture. Fires occur annually in Jambi, but periods of prolonged drought, such as those linked to ENSO events, can lead to severe and large-scale fires that damage significant areas. While the causes of fire are complex and are not exclusively anthropogenic, the use of fire for land clearing appears to be an important proximate cause. Fire is used for large-scale land clearing, for example for pulpwood (timber plantation) and oil palm estates, as well as by farmers to clear land and burn agricultural waste (Schweithelm, 1998, Boonyanuphap et al. 2001). Areas that have been previously logged-over are particularly prone to burning, as logging leaves behind dead biomass, which serves as fuel for fires (Lennertz and Panzer, 1983). Peat fires are linked to clearing and drainage of peat areas for cultivation, including for oil palm and timber plantations.
Forest fire (and land fires) are considered drivers of deforestation and may contribute to the risk of reversals. Time series data from 2013 to 2018 show a trend of increasing numbers of fire hotspots (fire occurrences) from 2013 to 2015. Most of fires occurred in 2015, but the subsequent years show a significant reduction in the number of hotspots. These data are summarised in Table (Map of hotspot is available in Appendix A2).
Table 54 Time series data of forest and land fires in Jambi62.
Numbers of Hotspots Districts 2013 2014 2015 2016 2017 2018 Total
Batanghari 97 59 678 61 45 52 992 Bungo 238 51 262 30 31 25 637 Kerinci 15 3 69 16 11 11 125 Merangin 252 188 529 67 55 58 1,149 Muaro Jambi 97 155 2,700 50 15 122 3,139 Sarolangun 227 147 1,204 63 81 71 1,793 Tanjung Jabung Barat 216 104 495 58 110 124 1,107 Tanjung Jabung Timur 121 257 1,397 62 68 53 1,958
61 http://gfmc.online/intro/About1.html 62 Source: NASA (2013) & LAPAN (2014-2018)
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Tebo 832 251 1,353 79 124 76 2,715
Jambi City 2 1 4 3 1 11 Sungai Penuh City 5 10 46 8 3 22 94 Grand Total 2,102 1,226 8,737 497 544 614 13,720
Based on the above table, we can see an increase in the number of hotspots in 2015 (8,737 hotspots). This is due to the phenomenon of ENSO which prolongs the dry season and reduces rainfall. The number of hotspots will be in line with the increase in the number of land fires.
Based on the years for which land cover data is available, the average annual forest area burned was 2,286.67 ha, with substantial variation between years. Thus in 2013, 2014, and 2015 the forest area burned was greater than 4,000 ha, while in 2016, 2017, and 2018 the area was less than 1,000 ha. Muaro Jambi District experiences most hotspots in Jambi Province.
5.4 SOCIAL BASELINE
5.4.1 Demographics, Livelihood and Socio-cultural Diversity
5.4.1.1 Demographics
Jambi has a population of 3,570,272 (2018) that includes ethnic groups such as Malay, indigenous Orang Rimba, Marga Serampas, and Talang Mamak, as well as Javanese, and chinese descendants (Table ). Malay, who is mostly Muslim, dominates the province (95.44%), Christians (Protestants) follow with 2.37% who are mainly resides in Jambi City. Customary groups or Adat communities (Orang Rimba, Talang Mamak and Serampas) continue to practice traditional or customary law, including for conflict resoultion with their own communities. The majority of people in rural areas practice agriculture and plantation (mostly rubber, palm oil, coffee and cinnamon).
Population density in Jambi is 70.08 people/km2, and around 7.8% of Jambi’s population was classified as poor in 201763. The distribution of poverty is skewed towards urban areas, where 6.8% of rural population was classified as poor, compared to 10% of the urban population64.
Table 65 Ethnic groups in Jambi as of 2014.
Percentage Ethnic group of the population (2014) Malay 38% Javanese 28.8% Kerinci 10% Minangkabau 5.2% Batak 3.43% Banjarese 3.3% Buginese 3.1% Sunda 2.56%
63 Center of Statistics Bureau for Jambi, 2018. 64 Data 2018
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Chinese 1.2% Others 4.41% Total 100.00
Source: census by Bureau of Statistics.
Dominant ethnic migrants in Jambi Province are Javanese who were brought in for tea plantation between 1925 and 194065. Some Javanese migrants were participants of trans-migration program started in 1970s in areas such as Rimbo Bujang (Bungo District) and Pemenang (Merangin District).
Ethnic communities (customary groups) include Kerinci that consists of sub-groups such as Lekuk 50 Tumbi Lempur in Gunung Raya Sub-district and Tamiai in Batang Merangin Sub-district. These are agricultural communities with commodities mainly consisting of coffee and cinnamon. Other ethnic groups are Marga Serampas that also practices agriculture, and Orang Rimba66 and Talang Mamak who practice hunting and gathering for livelihood.
Data from the Bureau of Statistics indicate that the population of Jambi Province grew from 3,107,610 people in 2010 to 3,515,017 in 2017, or by 2.18% per year. Statistics also shows that the numbers of poor people decreased from 281,570 people in 2013 to 278,170 people in 2017. Compared to the total population of Jambi Province, the percentage of poor people decreased fro 9.1% in 2013 to 7.9% in 2017.
5.4.1.2 Livelihoods
Based on the contribution of economic sectors to gross domestic product (macro-economy), the economic structure of Jambi Province 2017 consists of: 67
▪ Agriculture, forestry and fisheries (29.41%);
▪ Mining and Quarrying (17.66%);
▪ Wholesale and retail trade, repair of automobiles and motorcycles (12.12%);
▪ Manufacturing (10.28%);
▪ Construction (6.96%);
▪ Public administration and social security (4.48%);
▪ Informationa and communication (3.87%);
▪ Education (3.3%);
▪ Transportation and Storage (3.26%);
▪ Financial Services (2.45%);
▪ Accommodation and food services (1.2%); and
▪ Other sectors (6.01%).
65 Sihotang, EBS,. 2018. Perkebunan Teh Kayu Aro di Kerinci 1925 – 1940. Jurnal Prodi Sejarah 3(5) 66 Some members of Orang Rimba or Suku Anak Dalam have embraced modern lifestyle and live in urban areas. 67 Based on statistics of Jambi Province 2018.
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This structure suggests that the Agriculture, forestry and fisheries sector is a dominant contribution to the economy of Jambi Province (29.41%), followed by mining and quarrying (17.66%) and wholsesale (12.12%). This corresponds with the numbers of people working in this sector where 805,086 people (48.56% of the workforce) are involved with agricutlure, forestry and fishery sector.
Agriculture and mining sectors have been associated with drivers of deforestation in Jambi, yet it is a significant economic sector for the provincial economy. Therefore, the context of these sectors as a driver of deforestation needs to be explored for further intervention in the ERP, as well as its impacts on the PDRB and livelihood of almost half of the workforce in Jambi Province.
At a micro-economic level, it is assumed that most of villagers are engaged with the agriculture sector (as shown in high percentage of workforce involved in this sector). Except for subsistence farming, agriculture is often coupled with the need for expansion. Therefore agriculture (including plantation commodities) is seen as one of the drivers of deforestation in the ERP. The economic significance of agriculture is indicated by the Terms of Trade (Nilai Tukar Petani)68 that reflect the economic strength of the villagers (i.e., farmers). The Terms of Trade are compiled in Table .
Table 76 Terms of Trade (Nilai Tukar Petani) within agriculture sub-sector69.
Terms of Trade Commodities Changes 2014 2015 2016
Food crops 96.15 97.93 100.41 4.26
Horticulture 96.02 93.21 95.13 (0.89)
Community estate plantation 99.49 94.15 93.59 (5.9)
Livestock 96.88 99.47 99.93 3.05
Fisheries 99.05 100.01 100.73 1.68
Catch Fisheries 99.10 102.51 105.71 6.61
Aquaculture 99.01 102.51 95.3 (3.71)
Cumulative Terms of Trade 97.96 95.65 96.21 (1.75)
This table shows a trend of overall decrease in farmers’ Terms of Trade from 2014 to 2016. While food crops, livestock, fisheries, and catch fisheries show an increase within this period, horticulture, community estate plantations, livestock, and aquaculture show values less than 100 in 2016, which suggest deficits in farmers’ income in relevance with these commodities. Offsetting the deficit may include changes from horticulture, community estate plantations, livestock, and aquaculture to food crops, fisheries, and aquaculture. Although there is no guarantee that further agricultural and fisheries
68 For Terms of Trade, 100 is considered a break event point. Values below 100 indicate deficits in farmers’ economic capacity. 69 Based on data from Bureau of Statistics (Biro Pusat Statistik – BPS) Jambi Province website.
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exploitation can overcome this deficit, there is a risk of expansion of agriculture land that may be conducted by these farmers, especially to expand on the community estate plantation. Alternatively, farmers may need optimise income through agricultural intensification strategy, or from optimising the forestry sub-sector. Therefore, an increase in dependency on the plantation commodities such as coffee, rubber, palm oil and cinnamon needs to be anticipated.
Food security is one of the targets of the Jambi Province Medium-Term Development Plan (RPJMD) 2016–2021. Achievements on food security based on parameters in Jambi are presented in Table .
Table 87 Targets and achievements for food security in Jambi Province.
Achievement % of Target Target Annual Target (as of 2015) Achieved Numbers of Food-independent 202 97 48% villages (cumulative) Expected Food Pattern70 Score 93.2 83.4 89.5% Calorie availability 2,200 3,146 143% (kkal/capita/day) Food security in all villages 1,372 840 61.22% Protein availability (gr/capita/day) 57 76.43 134% Terms of Trade 104 95.65 92% Overall Achievements 95%
This table shows the overall achievement is slightly below 100% on provincial development targets relevant to food security. This suggests that, consistent with the low terms of trade in several agriculture commodities, Jambi Province has yet to improve its food security. Calorie and protein availability are exceeding the targets, but the data suggest that approximately 30% of the villages in Jambi are still below sustenance level. This may suggest uneven distribution of food across areas in Jambi Province.
Productivity of prime agricultural commodities suggests that the strength of food security rely on this agricultural aspect. However, the food available in Jambi are dominated by carbohydrate (rice), oils/fat, oily seeds and sugars. Animal protein, vegetables and fruits are scarce71. Some of the members of Orang Rimba and Talang Mamak customary people still rely on traditional ways of hunting and fishing. Therefore, ERP should incorporate traditional livelihood practices (such as hunting, fishing, NTFP collection, etc.) in an overall development strategy to ensure subsistence income from various sources, as well as food security for the long term72. REDD+ may offer new agricultural land as part of the co- benefit mechanism, but these customary communities and poor households may not have enough capital to participate, and will still be forced to collect forest products for subsistence purposes73.
Other aspects relevant to livelihood are access to markets and access to financial assistance or banking. Access to markets relies on the transportation sector to ensure that products can be delivered in a cost-efficient manner, and the value in the market chain is proportionally distributed. The main
70 Food pattern based on composition, nutritional values, taste, and digestibility. The score is determined by national survey on socio-economic. National target for the score is 93.2 71 Performance report of Jambi Province, 2015. 72 Loaiza, T.; Nehren, U.; Gerold, G. 2015. REDD+ and incentives: An analysis of income generation in forest-dependent communities of the Yasuní Biosphere Reserve, Ecuador. Appl. Geogr. 62, 225–236 73 Bayrak & Marafa (2016). Ten Years of REDD+: A Critical Review of the Impact of REDD+ on Forest-Dependent Communities. Sustainability, 8, 620.
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economic links consist of Jambi-Palembang and Jambi-Padang, as these hubs allow transportation of goods into and from Jambi. In 2017 the total road length is 2,447.83 km or 48.96 km of road / 1,000 km2 area. This is below the national standard of 115 km road/1000 km2 area. This condition is shown by the fact that good road infrastructure is only 56.573% of the total length of the road. The implication of this is the high logistics cost for transporting goods to and from some areas of the province, which is the condition that causes the price of goods from these sub-districts to be relatively more expensive compared to other areas. Therefore, there is a risk of decreasing Terms of Trade in these areas. In some cases (e.g., national parks and protected forest areas) access restrictions may be linked with forest conservation /protection.
In 2017, the numbers of financial institutions (banks) consists of 62 branches, and 455 sub-branches and cash offices. The composition of financial institutions in Jambi consists mainly of government banks (287), followed by private banks (219) and provincial banks (51). Relevant issues to the ERP may include the lack of credibility and/or collateral of villagers/indigenous people to apply for financial assistance, and the lack of bank representatives in remote areas. Issues relevant to livelihoods and the ERP are summarised in Table .
Table 98 Summary of livelihood issues relevant to the J-SLMP and ERP.
Livelihood Source Summary of Issue Relevance to ERP Potential Risk Income from timber Timber harvesting The need to increase Lack of capacity for best harvesting (illegal harvesting) is community involvement in management practices (e.g., associated with a managing forest areas HCV, PHPL) among local company hiring local (e.g., social forestry); communities and license people to harvest the The need for harvesting holder; timber (e.g., four cases technology that does not Lack of access to of illegal logging in Tebo require cutting (e.g., technology; District – PT Alam Bukit harvesting the bark) to Tigapuluh and Bukit 30 halt deforestation NP)74; Commodities such as cinnamon (Casiavera sp) need to be cut for harvesting, and the timber is used for other purposes NTFPs Not yet optimised as an Potential source of Cost for production and income generating alternative livelihood transport may be higher in mechanism (Avocado, Macademia, remote areas. This would honey, Pangium edule, create a competitive Dyera sp) disadvantages in the market Agriculture Decreased economic Agriculture intensification Cost for production and capacities among and improving transport may be higher in farmers (low terms of aquaculture to support remote areas. This would trade / Nilai Tukar economic capacities; create a competitive Petani) Diversification of disadvantages in the market agricultural commodities Lack of capacity to ensure as buffer from price best practices (i.e., fluctuations environmentally friendly practices) Lack of access to innovative agriculture technology (e.g.,
74 Antara News,8 January 2019
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Livelihood Source Summary of Issue Relevance to ERP Potential Risk organic farming technologies) Access to financial Lack of credibility or Green banking and Inaccurate business planning support collateral to be eligible benefit sharing that cause losses for for bank loans mechanism that ensures community ventures receipt of financial support Constraints and delays in in local communities / by loan repayment (instalments) indigenous people participating in the ERP
5.4.2 Forest and Local Communities
Interactions between forests and local communities are shown by the size of forest areas used by local communities (including customary or adat communities). Land used by customary and rural settlements is the overlap between current uses with forest and conservation areas designations (i.e., some customary and rural land uses still occur outside these areas. Land used by customary and rural settlements in Jambi can be qualitatively categorised as:
▪ Settlement areas, housing or residential areas;
▪ Agriculture / Cultivation which normally involves shifting agriculture (ladangs);
▪ Areas for traditional subsistence activities such as hunting for meat and gathering of fruits, seeds (Orang Rimba and Talang Mamak communities);
▪ Conservation areas such as customary forest and primary forest (Marga Serampas)
Land used specifically by customary/ indigenous people within the WPK is summarised in Table 9 (Map is provided in Appendix A2).
Table 109 Land use of customary people within the WPK.
Numbers of Forest Designations Customary Communities District Sub-district locations
Orang Rimba Batanghari Bathin XXIV 1 Production Forest Marosebo Ulu 5 Production Forest Merangin Renah Pemberap 1 Production Forest Tabir Barat 1 Production Forest Sarolangun Air Hitam 1 Bukit 12 NP Mandiangin 1 Production Forest Muaro Limun 1 Production Forest Tebo Muaro Tabir 3 Production Forest Serai Serumpun 1 Production Forest Sumay 8 Production Forest / Bukit 30 NP
Tengah Ilir 1 Production Forest VII Koto 1 Production Forest
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VII Koto Ilir 2 Production Forest Talang Mamak Tebo Sumay 1 Production Forest/Bukit 30 NP Marga Serampas Merangin Jangkat 1 Kerinci Seblat NP Kerinci Gunung Raya 1 Kerinci Seblat NP Batin Sembilan Batanghari Bajubang Production Forest, Palm Oil Plantation
The table shows that overlapping areas may trigger tenurial conflict between production forest, national parks and the customary people. Conflicts have potential to occur in five of the ten districts within the WPK. It is likely that that ERP implementation within these districts and/or forest designations will affect the existing land-use by these people and settlements (e.g., access restriction). This underlines the importance of FPIC and subsequent FGRM as part of the safeguards for the ERP in Jambi.
The aggregated rural and urban annual population growth in Jambi Province between 2016 and 2017 is 1.62%. The largest growth is observed in Muaro Jambi District. (2.64% per year). These numbers suggest that growth is small and will not massively impact forest and natural resources. Moreover, subsistence farming conducted by rural communities is still considered the most secure and sustainable livelihood75. Largest area of deforestation between 2000 and 2017 is observed in Muaro Jambi with 84,692.33 ha, or approximately 30% of the total deforestation in Jambi Province within this period. This may be associated with the presence of palm oil allocation in this district (47% of the total palm oil allocation found in the WPK). Therefore, palm oil plantation (rather than population growth) needs to be considered as driver of deforestation to be addressed in the ERP.
Demographic baseline of forest dependent community; Orang rimba (2010 data-BPS) shows 1,603 males and 1,602 females. This ratio suggests an equal ratio between males and females; 1,484 Orang Rimba or 46% of the population consists of age 15 years and younger. While 85 people (2.6% of the population) is older than 60 years old. This suggests that almost half of the population is below productive age (by normative standard where age 15 to 60 is considered productive). This composition indicates that half of the population (productive age) supports the other half (non-productive age);
Orang Rimba population relies on forest resources directly from hunting and gathering. However, a portion of Orang Rimba has now adopted a “modernised” livelihood trading; It is assumed that population in Jangkat Sub-District represent Marga Serampas population in Renah Alai, Pulau Tengah, Tanjung Kasri, and Rantau Kermas villages. In 2017 (Data BPS) There are 5,000 males and 4,798 females which suggests an almost equal ratio between males and females; Approximately 29% of the population is younger than 15 years old, while 6.1% is older than 60 years old. This suggests that approximately 65% of the population is productive age; Marga Serampas depends on the forest to preserve water supply for agriculture and livelihood. Marga Serampas has customary forest (Hutan Adat) to ensure this forest function;
Based on Agriculture Sensus 2018, other community groups depend on forest resource for cultivation of forestry plants (8,522 households in Jambi) and other forestry services (1,419 households). Kerinci District shows highest forest use with 4,398 households (44% of forest dependent households in Jambi),
75 Sponsel, L.E.; Headland, T.N.; Bailey, R.C. Anthropological perspectives on the causes, consequences and solutions of deforestation. In Tropical Deforestation: The Human Dimension; Sponsel, L.E., Headland, T.N., Bailey, R.C., Eds.; Columbia University Press: New York, NY, USA
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followed by Tebo District and Sungai Penuh City with 1,344 (13.5% of forest dependent households) and 1,318 (13.3% of forest dependent households) respectively.
Overlap with plantation sector is mainly observed with Orang Rimba in Batanghari (five locations in two sub-districts), Merangin (two locations in two sub-districts), Sarolangun (three locations in three sub- districts); and Tebo districts (16 locations in six sub-districts). No land claim is filed, but this overlap resulted in conflicts between Orang Rimba communities and plantation companies. This data show that Tebo District has the highest frequency of overlaps.
Mining and extractive industries are not the main economic drivers (main contributors to the provincial economy). However risk of deforestation may be associated with these industries. Additionally, conflicts may be triggered by the mining sector, as well as by the forestry and plantation sectors (most notably palm oil plantations). This also suggests that risk of deforestation largely occurs in rural areas where agriculture, forestry and plantation are located.
Interventions by WARSI, Forest Programme II (FP II) dan FFI show that promoting forest tenure security through social forestry mechanism (community forests, customary forest, conservation partnership) can help strengthen management of forest areas (including reforestation and forest rehabilitation). This can be achieved by conducting conflict resolution, establishing community protected areas, strengthening collaborative management mechanisms, and helping to monitor operation of forestry/plantation concessions. Forest tenure security strengthens the rights of the indigenous people, and allows them to practice their local wisdom for managing the land. This can potentially prevent land grabbing by outsiders. As shown in Durian Rambun (Merangin District) and Bukit Panjang Rantau Bayur (Bungo District), social forestry mechanims can potentially generate carbon credits.
5.4.3 Land Tenure and Natural Resource Conflicts and Disputes
5.4.3.1 Spatial Plan of Jambi
The ERP targets land-based emissions largely from forestry and plantations in Jambi Province. Consequently, the ERP will deal with land tenure issues in Components 1, 3, 4, and 5. The main reference for land tenure is the provincial spatial plan formalised in Provincial Regulation (Peraturan Daerah [PERDA]) No.10/2013 on Jambi Spatial Plan 2013-2033 The spatial plan contains the spatial pattern that regulates land use and land allocation, including forestry and plantation allocation in forest and other use areas respectively.
The provincial spatial plan identifies disaster-prone areas76 that may be relevant to tenurial aspects. These disaster-prone areas are associated with various risks, such as loss of property, loss of life, injury, and disturbances to daily activities. Disaster-prone areas are designated as protected areas under the Spatial Plan. Implementation of the ERP needs to consider disaster-prone areas as uncertainties that may result in unforeseen changes in accounting area due to changes in landscape and/or land cover. Additioinally, Jambi Spatial Plan also aims to improve management of protected areas consisiting of protected forest, water catchment areas, peatland, water springs, and buffer areas (rivers, lakes and coast).
Provincial spatial plan and spatial data analysis confirmed the presence of production forests (i.e, timber and forestry plantation concessions) in 102 sub-distritcs in the WPK. This condition offers two
76 Evaluated based on geological, biological, hydrological, climatological, geographical, social, cultural, political, economic, and technology point of views.
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possibilities consisting of negative and positive interaction between local communities with the concession holders (companies), and the possibility of establishing community partnerships such as social forestry schemes77 relevant to Component 2 of the ERP; thus encouraging positive interactions.
Jambi Spatial Plan 2013-2033 includes program for protected forest areas such as land rehabilitation and conservation, as well as encouraging community participation in managing protected area. Additionally, Jambi Province also sets up incentive mechanism for protected area management. This approach is expected to control utilisation of forest resources from protected forest areas. The Spatial Plan also recognises the significance of national parks and nature tourism parks (managed by central government). The Spatial Plan supports the efforts for national park delineation, optimising the function of national park zones (rehabilitation, utilisation, wilderness, and core zones).
5.4.3.2 Tenurial Conflicts
Enforcement of the spatial plan regulation needs to be improved. Overlapping forestry, palm oil, and mining licenses suggest inconsistencies in the licensing process, and this is assumed to be an indication of weak enforcement of the spatial plan regulation. This assumption is supported by spatial analysis shown in Table 11.
Table 11 Overlapping forestry, plantation and mining concessions in the WPK (preliminary data).
District / Sub-district Hectare District Batanghari 0.45 Sub-District Bathin Xxiv 0.45 District Jabung Barat 322.85 Sub-District Batang Asam 11.42 Sub-District Beram Itam 165.02 Sub-District Pengabuan 142.11 Sub-District Tebing Tinggi 4.30 District Tanjung Jabung Timur 124.98 Sub-District Geragai 114.71 Sub-District Mendahara 10.27 TOTAL 448.28
Tenurial conflicts may arise due to discrepancies between spatial plan policies with the actual land use and licensing. Conflicts may be related with overlap between community needs (including customary rights) and forest/plantation/mining concessions. Analysis of conflict risks in the WPK is done based on the following categories of tenurial conflicts:
▪ Potential conflict areas between forestry plantation and palm oil concessions (155.33 ha);
▪ Potential conflict areas between forestry plantation and mining concessions (143,695.77 ha); and
77 Ministry of Environment and Forestry allocates certain areas within production forest as social forestry allocations (Peta Indicatif Alokasi Perhutanan Sosial - PIAPS)
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▪ Potential conflict areas between forestryplantation, palm oil and mining concessions (448.28 ha).
Overlapping areas may trigger tenurial and natural resource conflicts according to the above categories. Overlapping areas represent land uses by two or more parties at the same geographic locations. The overlap size corresponds to the the risk and scale of potential conflict. In addition to the risk of conflicts based on the overlap. Conflicts to date are summarised in Table 12.
Table 12 Summary of ongoing conflicts in Jambi Province78.
District Location Conflict types Conflicting parties Progress / Status Kerinci Sungai Medang Company and civil Petalangan Bathin Desk Study society Hitam Customary organisations Group with PT Arara Abadi Merangin Air Liki Individuals / Civil Marga Serampas Unresolved society Customary Group Organisations with Kerinci Seblat NP Air Liki Ministry / Institution Merangin District Unresolved (Bupati) with MoEF Bungo Tanjung Bungo Company and civil Panglimo Duo Sum Desk Study society Customary with PT organisations/ Wanamukti Wisesa, customary group PT LAJ, and PT TMA Lubuk Tenam Ministry / Institution Bungo District resolved (Bupati) with MoEF Sarolangun Lidung Company and civil Lidung villagers and unresolved society PT KDA and Tiga organisations Serumpun Cooperative Ladang Panjang Company and civil Ladang Panjang Pre-mediation society villagers and organisations PTSamhutani Sungai Butang Company and civil Farmers’ association Mediation society with PT AAS, PT organisations WN Batanghari Sengkati Baru Company and civil Sengkati Baru Mediation society villagers with PT organisations / WKS customary group Kampung Pulau Company and civil PT Wana Perintis Desk Study society and Orang Rimba organisations Bungku Company and civil Orang rimba / Kubu Pre-mediation society with PT Asiatic organisations / Persada customary group Bungku (eight Company and civil Farmers’ association Resolved cases) society with PT REKI organisations / customary group
78 Based on indicative maps of conflict potentials. MoEF
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District Location Conflict types Conflicting parties Progress / Status Muara Singoan Company and civil Orang rimba with PT society Unresolved Indo Kebun Unggul organisations Awin Company and civil PT REKI with Mediation society villagers of Tanjung organisations Mandiri & alam Sakti Tebo Balai Rajo Company and civil Balai Rajo villagers Pre-mediation society with PT LAJ & PT organisations Wana Mukti Wisesa Pemayungan Company and civil Orang Rimba with Desk Study society PT. LAJ (HTI) organisations / customary group Napal Putih Company and civil Farmers’ association Pre-mediation society with PT LAJ organisations Tanjung Jabung Pematang Company and civil Farmers’ association Desk Study Barat Tembesu society with PT WKS organisations Terjun Gajah Company and civil Farmers’ association Mediation society with PT WKS organisations Muaro Jambi Suko Awin Company and civil PT Rimba Hutani Resolved society Mas with farmers’ organisations association Sungai Landai Company and civil PT REKI with Sungai Pre-mediation society Jerat villagers organisations Teluk Jambu Company and civil Melayu community Desk study society with PT LAJ organisations / customary group Danau Lamo Company and civil Farmers’ association Resolved society with PT WKS organisations Tanjung Lebar Company and civil PT REKI with Assessment society Farmers’ association organisations and Indonesian Farmers’ Union (SPI) Tanjung Jabung Simpang Ministry / Institution Berbak-Sembilang Assessment Timur NP and communities in five villages
This table shows 32 recorded conflicts in Jambi where 11 (34.37%) of the total cases are resolved, and four ( 11.43%) of the total cases are unresolved. This also shows that approximately half of the cases are in the process of mediation, pre-mediation, assessment, or desk study. There are 22 (68.75%) of the total cases involving companies (timber plantation and plantation companies) with local communities (including eight cases involving customary groups).
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Forestry Sector
Designation of forest areas is formalised by the Decree (SK) of ministry of Forestry No. 863/2014 regarding forest areas in Jambi. The forest areas are assigned a license to manage (Ijin Usaha Pemanfaatan Hasil Hutan Kayu [IUPHHK]) logging (Hutan Alam [HA]) or forestry plantations (Hutan Tanaman [HT]). The licensing procedure is regulated in the Regulation of Ministry of Environment and Forestry No. 9/2015 regarding licensing procedures for logging, forestry plantation and ecosystem restoration in production forest areas. Conflicts in forestry sector are mainly space use conflicts due to policy disagreements among actors consisting of government institutions, local communities and corporations79.
An example of a conflict in production forest area in Jambi can be seen in the case of ecosystem restoration concession (ERC)80. As seen in Table 12, PT REKI is involved in 11 of the 32 recorded cases, where eight cases are resolved. PT REKI is a license holder for ecosystem restoration concession in Jambi Province. The concession of PT REKI is known as HarapanRainforest, and spans over a total area of 98,555 ha (46,385 ha is located in Batanghari and Sarolangun distris of Jambi Province). The Harapan Rainforest contains rich biodiversity, including endangered species (sumatran tiger and sumatran elephant). Additionally, HarapanRainforest is also used by Batin Sembilan customary communities who still practice slash and burn agriculture. There are 3.201 families living in and around Harapan Rainforest.
The roots of conflict are central and local government policy that prioritizes the company as the manager of the production forest. This creates land tenure inequalities between PT REKI and the local communities. Policy on forest partnership with surrounding oil palm and timber plantations was not successfully implemented / enforced. In the end, there are licensing overlaps between local and customary rights with the Harapan Rainforest. Moreover, there is no strong regulatory instrument to support the recognition of these customary rights.
Due to the lack of strong law enforcement from the government and from PT REKI, Harapan Rainforest begins to suffer from encroachment. Migrants purchased the land from local elite, and started to plant oil palm in the concession area of Harapan Rainforest. Additioinally, different perceptions, interests and needs among stakeholders deepen the nature of conflicts in this area. Actors also include NGOs and CSOs that bring various themes such as poverty, land reform, indigenous rights, and environment. The primary stakeholders in this conflict situation are PT REKI, community, MoEF, local government. The secondary stakeholders are NGOs, local elites and law enforcers. The primary stakeholders are required in the mediation process, while the secondary stakeholders are involved in the subsequent engagement process.
The nature of the conflict is land acquition done by local elite and investor in order to increase their wealth (not for subsistence). The commodities planted in the encroached area are palm oil, rubber, rice paddies and agricultural plants. These commodities are suited to this area, and generates high income. Conflict resolution needs to be done in persuasive way consisting of socialisation, registration, establishment of government integrated team, negotiation and mediation. Considering the nature of the
79 Rustiadi. E, et al., 2018. Chapter 15: Land Use and Spatial Policy Conflicts in a Rich-Biodiversity Rain Forest Region: The Case of Jambi Province, Indonesia. Exploring Sustainable Land Us ein Monsoon Asia. Springer Nature, Singapore 80 Source: Silalahi. M, Erwin, D., 2015. Collaborative Conflict Management on Ecosystem Restoration Concession: Lessons Learnt from Harapan Rainforest Jambi, Indonesia. Forest Resource 4(1)
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conflict, Harapan Rainforest Management Unit are equipped with strategic options ro resolve the conflict consisting of:
▪ Milestone A: Entry to the conflict, supported by independent facilitator or conflict resolution experts. This milestone is achieved through the following steps:
o Preparing entry;
o Entering Conflict scene; and
o Analysing conflict.
▪ Milestone B: Broadening Stakeholder Engagement to follow up from previous milestone. This process is mediated by independent facilitator. This milestone is achieved through:
o Broadening stakeholder engagement to help conflicting parties share their respective posistions;
o Assessing the option to produce alternative to resolve the conflicts; and
o Clarify the object and subject of the conflict.
o Milestone C: Negotiation. This step is intended to reach an agreement on the resolution strategy. Facilitators and mediators are implementing the following steps:
o Preparation for negotiation to set and agree on the ground rules (e.g.,no black campaign, no repressive law enforcement measures, etc.);
o Facilitation of negotiation; and
o Designing the agreement.
▪ Milestone D: Exit strategy and set up mechanism for monitoring the agreement and preparing for the exit.
These four milestones are achieved through the collaborative conflict management (CCM) process. The CCM needs to be adjusted/adapted to the context of each conflict case to allow flexibility and continous improvement of this method. The roles of Harapan Rainforest Management Unit in identifying strategic options and involving independent facilitator/conflict resolution expert are applicable for Forest Management Unit (FMU) in resolving tenurial conflict.
Examples of unresolved conflict include encroachment in Kerinci Seblat National Park in Merangin District. This encroachment is concentrated mainly in Sipurak Hook consisting of Lembah Masuari and Jangkat sub-districts. Encroachment in this area is coffee plantation that started to increase in 2002 due to arrival of migrants for other provinces (e.g., South Sumatra, Bengkulu, and Lampung). By 2012, the encroached areas are 8,169 ha in other use area (1,420.5 ha) , production forest (4,209 ha), limited production forest (83.5 ha), and Kerinci Seblat National Park (1,660 ha)81. By 2018, encroachment in Kerinci Seblat National Park increased by almost ten-fold and reached 11,000 ha82. Influx of migrants
81 Straegi Rencana Aksi Provinsi (SRAP) REDD+ Provinsi Jambi 82 Encroachment survey using Drone and spatial analysis, Forest Programme II-Kerinci Seblat NP 2018.
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into this area also created frictions (conflicts) with Marga Serampas, the local/indigenous communities in this area.
Estate Crop Plantation Sector
Most of conflicts in this sector are related to land grabbing. This notion is supported by the fact that, in the plantation sector, 84% of the reported conflicts (nationally) are categorised as land grabbing83. Land grabbing is a controversial large-scale land acquisition. Land is seized illegally and unfairly, using underhand and manipulative methods. Licensing for plantations (including palm oil) is regulated under Regulation of Ministry of Agriculture No. 29/2016 which was revised in Regulation of Ministry of Agriculture No. 21/2017 regarding procedures for plantation licensing. However, the risk of land grabbing may still occur due (but not limited) to the following factors84:
▪ Capital investment of large corporations that allows land acquisition at massive scales;
▪ Lobbying power of corporations with local governments (Governor, Bupati or Mayor); and
▪ Governance risks such as:
o Allocation for economic growth from plantation sector in the spatial plan;
o Targets for district revenue affecting recommendations on licensing; and
o Lack of mediation and facilitation with local/indigenous communities by the local government.
Based on the data from Ministry of Agriculture, by 2019 the total area for palm oil plantation in Jambi Province reached 1.8 million hectares, or 27% of total area in Jambi Province85. However, only approximately 400,000 ha of this area has licenses for 53 companies, while the remaining are smallholder plantations. The total area for palm oil is already exceeding the one-million-hectare provincial target. Therefore, expansion of palm oil company is not likely to occur. However, since most of the palm oil plantation are smallholder farmers, expansion of smallholder palm oil plantation is inevitable. With such expansion, land conflicts will tend to be scattered throughout the province.
It is worth noting that conflicts occur between palm oil plantation and the local communities. The classic example is conflict between Batin Sembilan customary communities with PT Asiatic Persada in Bungku Village, Batanghari District86. This conflict is entering the mediation phase. Another example is between PT Bukit Bintang Sawit (PT BBS) with local communities in Kumpeh Village, Muaro Jambi District. License for PT BBS was issued by the Environmental Agency of Muaro Jambi District, but the socialisation process prior to the licensing was allegedly lacking87.
Another example of conflict between FMU and smallholder palm oil farmers occur in Tanjung Jabung Barat District. Approximately 60% of production forest (previously licensed to PT Hatma Hutani) is currenlty encroached by migrant palm oil farmers (mostly from North Sumatra Province). In Tebo
83 Meri Persch-Orth dan Esther Mwangi. 2016. Konflik perusahaan-masyarakat di sektor perkebunan industri Indonesia. No. 144, Juni 2016 10.17528/cifor/006144. CIFOR, Bogor 84 Sekolah Tinggi Pertanahan Nasional (STPN). 2013. Membaca Ulang Politik dan Kebijakan Agraria 85 Berita Satu, 9 april 2019 86 Beckert. B, Dittrich. C, Adiwibowo. S,. (2014). Contested land: An analysis of multi-layered conflicts inJambi Province, Sumatra, Indonesia. ASESA – Austrian Journal of South-East Asian Studies, 7(1). 75-92. 87 Mongabay 21 February, 2019
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District, production forest under license of PT Alam Bukit Tigapuluh (ABT) is currently encroached by PT Tonton that conducted illegal land transaction and set up palm oil plantation. Government authorities (FMU) and license holders are not capable for resolving this conflict.
This fact urges the ERP to consider ATR/BPN and its technical implementation units (province and district plantation agency), as well as village government as key stakeholders. Engaging with these stakeholders needs to be aimed at:
▪ Thorough examination of recommendations from the Bupati/Mayor/Governor on th eplantation licenses;
▪ Ensuring proper environmental and social impact assessment prior to HGU issuance;
▪ Requiring implementation of environmental and social safeguards, especially in ERP locations; and
▪ Provision of alternative livelihood and/or intensification of smallholder palm oil plantation.
Mining Sector
As described in Section 5.2.3, mining concession constitutes 24% of the WPK area. By april 2018, Jambi province issued 159 mining licenses, but only 32 are in operation. Conflict between mining companies and local communities occur in Sarolangun District. Local communities in Gunung Kembang protested PT Karya Bumi Pratama and PT Charitas Energi Indonesia for limiting access / destroying the community plantation. This indicates that mining is associated with social issues. In 2014, Jambi has issued licenses to 138 companies, and totalling in more than 1 million ha of mining areas. Approximately 480,000 ha of this licensed area is located in protected and production forests. Since 2015 Jambi provincial government (i.e., Energy, Mineral Resource Agency) has revoked mining licenses due to the lack of activities and indicative of corruption cases.
The problem with mining includes illegal mining conducted in and around protected area (e.g., protected forest and national park) in Bungo and Merangin District. Illegal mining activities are also conducted in Sarolangun and Tebo districts. Social issues related to illegal / artisanal mining includes loss of life due to unsafe mining practices, as well as environmental issues such as changes in landscape, deterioration in soil and water quality, and deforestation. Artisanal and illegal mining activities are intensive in five sub-districts in Merangin District. These areas consist of 655 ha in Pangkalan Jambu; 260 ha in Sungai Manau; 2 Ha in Renah Pembarap; 125 ha in Tabir Lintas; and 185 ha in Tabir Barat88. Currently, there are reported cases of illegal oil drilling activities inside the Grand Forest Park (Taman Hutan Raya / Tahura) Sultan Thaha Syaifuddin / Senami in Batanghari District89.
Considering the significance of mining in the ERP, it is important to consider Ministry of Energy and Mineral Resources and Energy and Mineral Resources Agency of Jambi as influential stakeholders at national and provincial levels respectively. Additionally mining companies may also be included as influential stakeholders in ERP of Jambi. In relevance with land use in Other Use Area (APL), the roles of Ministry of Agraria and Spatial Plan / Land Agency, as well as its technical implemeting units at provincial and district levels become crucial in the ERP.
88 Source: WALHI 2018: https://www.walhi-jambi.com/2019/01/catatan-akhir-tahun-walhi-jambi-potret.html 89 Source: Tempo.co.id (https://foto.tempo.co/read/71299/intip-lokasi-pengeboran-minyak-ilegal-di-jambi)
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Conflicts in Other Use Areas (APL)
Other use area (APL) constitutes 216,420.14 ha, or 7.8% of the WPK. Spatial data from year 2000 to 2017 shows a total of 291,524 ha of deforestation in Jambi Province (Table 13). Map of deforestation in APL is provided in Appendix A2. This data indicate the needs to manage land-use outside forest areas in order to reduce the rate of deforestation. Consequenlty, this needs to be placed into consideration in the ERP.
The ability to use land outside forest areas (i.e., in other use areas, Area Penggunaan Lain [APL]) is administered through the Ministry of Agrarian and Spatial Plan (Agrarian dan Tata Ruang [ATR]). This authority is further mandated to the province (kantor wilayah or regional) and district offices (kantor pertanahan) through Presidential Decision (Keputusan Presiden) No. 34/2003 that vests the agrarian and land authority (including those for plantation licenses or Hak Guna Usaha [HGU]) to these offices.
As discussed in Section 2.3.2, stakeholders in APLs include the Bupati/Walikota, licensing office (Kantor Perijinan), relevant provincial/district agencies, and Technical Implementation Units (Unit Pelaksana Teknis [UPT]) of the Ministry of Agrarian and Spatial Plan, namely provincial and district offices of the Agrarian and Spatial Plan (Kantor Wilayah Provinsi and Kantor Pertanahan Kabupaten, respectively). These are the stakeholders that influence the implementation of the ERP in APL, as they are essential in providing recommendations for the issuance of plantation permits, and issuance of tenurial rights to indigenous peoples. Having such roles, these stakeholders will also be crucial in the implementation of safeguards for environmental and social risks. provincial and district offices of the Agrarian and Spatial Plan (Kantor Wilayah Provinsi and Kantor Pertanahan Kabupaten, respectively) may also contribute to preventing conflicts by evaluating conflict potentials prior to issuing recommendations for HGU. Additionally, this agency may also be involved in facilitating Feedback Grievance and Redress Mechanism (FGRM) associated with the need to effectively resolve the conflicts.
Feedback Grievance and Redress Mechanism (FGRM)90 is developed to facilitate conflict resolution by sectors (i.e., forestry, plantation and mining), as well as by jurisdiction (forest areas and other use areas). The FGRM mechanism will allow documentation of conflicts and the measures to resolve these conflicts.
90 Separate document is prepared as part of the Environmental and Social Management Framework (ESMF).
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Table 13 Deforestation occurring in APL in Jambi Province 2000-2017.
YEARS (HECTARES) DISTRICT/CITY 2000- 2003- 2009- 2011- 2012- 2013- 2015- 2016- TOTAL 2006-2009 2003 2006 2011 2012 2013 2015 2016 2017
Batanghari 5,940.86 173.04 17,214.98 2,646.16 768.07 520.03 107.97 740.93 33.31 28,145.37
Bungo 845.06 5,013.85 6,734.98 3,797.14 104.08 2,076.07 179.45 349.21 93.29 19,193.13
Kerinci 187.16 13.83 2.27 137.60 - 95.56 108.06 121.43 812.79 1,478.71
Merangin 475.09 2,527.00 6,769.35 1,189.76 274.50 1,632.94 1,126.92 2,074.79 1,584.16 17,654.53
Muaro Jambi 2,792.25 - 78,403.20 101.79 1,344.36 1,552.55 487.00 11.18 - 84,692.33
Sarolangun 746.47 3,674.84 10,577.19 1,396.32 2,622.03 1,324.48 776.82 1,207.63 1,586.69 23,912.46
Tanjung Jabung Barat 7,631.27 590.26 18,326.58 3,057.87 718.22 249.01 22.95 926.14 345.81 31,868.11
Tanjung Jabung Timur 10.68 5.93 33,629.47 2,141.59 1,997.04 2,104.62 1,486.79 1,146.89 857.46 43,380.48
Tebo 970.07 11,366.87 14,449.20 4,236.57 36.56 6,520.90 907.59 443.02 2,246.32 41,177.11
Jambi City ------
Sungai Penuh City ------22.01 22.01
Total 19,598.90 23,365.61 186,107.24 18,704.81 7,864.87 16,076.17 5,203.56 7,021.23 7,581.84 291,524.25
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Table 14 Summary of livelihoods issues and tenurial conflicts.
Frequency Summary of Responsible Relevance to the ERP Root Cause/s and/or Issues Entities (including risks) Prevalence
Overlapping Sub-optimal Rare Provincial and Forest management to uses procedures for (approximately district support improvement of license issuance; 12% of the governments; land governance Sub-optimal area), mainly License monitoring and overlap between holders; evaluation by timber plantation license holders and mining concessions
Unclear border Minimum Frequent FMU, national Capacity building on of FMUs and information on park forest management; national parks forestry authorities Boundary delineation; programs/policies
Conflict between Tenurial conflicts Rare, but the Indonesian Conflict resolution and migrant and (see below) intensity may be Farmers’ FGRM local high when it Union (SPI); communities occurs Local (damages to governments properties, and (task force); potential National injuries/loss of government life) (MoEF);
Tenurial Lack of capacity to Frequent FMU, national Capacity building on conflicts resolve cross (approximately 9 parks & forest management; sectoral conflicts of 10 districts in License holder Conflict resolution / (forestry with the WPK); FGRM; plantation, or Concentrated, Rapid and massive forestry with but rapidly deforestation that may mining); increasing in the become risk of leakage Migrants past seven during ERP encroaching years implementation; customary forest
area for expansion of coffee plantation
5.4.4 Relevant Gender Aspects in the ER Areas
Legal and regulatory frameworks on gender mainstreaming are provided in the medium term development plan of Jambi Province. Since 2015, this aspect has been undertaken by the Agency for Women’s Empowerment, Child Protection and Population Control. Gender participation and engagement in Jambi is only seen in the composition of provincial government employees that consist of 5,940 males and 6,004 females to accommodate an equal gender representation.
Gender aspects can be defined based on gender development and empowerment indices91 where:
91 Ministry of Women Empowerment and Child Protection & Bureau of Statistics. 2016. Pembangunan Manusia Berbasis Gender (Gender-based human development) 2016.
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▪ The gender development index considers “long and healthy life”, “knowledge”, and “decent living” for each gender. An index of 100 indicates equal development among genders. The gender development index in Jambi in 2015 was 87.88, with development slightly favouring males; and
▪ The gender empowerment index shows gender participation and roles in politics and economy. Parameters used in this index are: “involvement in parliament”, “roles in decision making”, and “income distribution. An index of 100 indicates equal empowerment among genders. The gender empowerment index in Jambi was 61.93 in 2015, suggesting unequal empowerment among genders.
5.5 ECONOMIC ASSESSMENTS RELATED TO THE ERP 5.5.1 Economic Situation in Jambi
The “TUNTAS” vision of Jambi Province includes the target to be a “Green Province” that provides a global example of how to combine GHG emission reduction goals with economic development, while ensuring that development is sustainable and environmentally friendly. The long term development plan has six overarching goals:
▪ Improving the overall quality of life in the province to produce competitive advantages;
▪ Developing advanced society with religious and cultural strengths;
▪ Developing domocratic and law abiding society;
▪ Ensuring safe, peaceful, and orderly conditions;
▪ Ensuring equality and justice in the development; and
▪ Ensuring sustainable development throughout the province.
Political commitment to reducing GHG is formalised through Governor’s Decree No. 352/2013, which states that the carbon emissions from forest loss and land degradation are to be reduced by 55 MtCO2e by 2030. 47.3 MtCO2e, or 86% will be the contribution from peatland land and LULUCF. Despite the goal of Jambi’s TUNTAS vision and the political commitment to reduce GHG emission, Jambi’s economy is dependent on agriculture and plantation sectors consisting of rubber and palm oil. Palm oil plantation was identified as the drivers of deforestation and degradation in the ERP.
The Bank Indonesia (BI) recorded economic growth of Jambi Province at 4.77% in the last quarter of 2018. This is due to an increase in oil and coal prices.92 This growth suggests that mining sector will continue its contributioin to the GDP of Jambi. On the other hand, Forestry, agriculture and fisheries (the main contributor of the GDP) shows a decreasing trend due to the decrease in rubber and palm oil prices in this period. It is predicted that the economic growth of Jambi Province in the first and second quarters of 2019 will be at 4.58 to 4.98% due to improvements on forestry, agriculture and fishery, especially palm oil commodities. This positive trend indicates that provincial economic growth heavily relies on the palm oil commodity, rather than on rubber.
92 Bank Indonesia> Assessment of Regional financial and economy of Jambi Province, February 2019
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An analysis of the contributions of Jambi’s economic sector to the GDP indicated that forestry, agriculture and fishery is the dominant sector. The role of this sector in provincial economy is further analysed using input-output analysis93. This analysis focuses on the multiplier effect (income, production factor, and output) and the linkages between sectors. This study shows that the biggest income is derived from palm oil, other goods industries and beverage industry. Future linkages are foreseen between agriculture sector with oil, gas & geothermal refinery, financial institutions, banks and other food industries. The study concluded that the overall economic structure in Jambi changed throughout 2007 to 2016. Agricultural sector plays role in changing the style of the economy towards deindustrialization (reduction of industrial capacity such as heavy industry or manufacturing industry).
The efforts towards green development (i.e., reducing GHG emissions) in Jambi pose a governance risk, as palm oil offers immediate economic benefits (income) compared to the reduction of GHG emissions. The ERP needs to strengthen engagement with key stakeholders to ensure that GHG emission reduction considerations outweigh economic considerations. This strategy is relevant to Components 2 envisaged in the J-SLMP, which aim to improve forest management and to promote sustainable private sector partnership and investment. However, specific activities are needed to directly address smallholder farmers, for they constitute the largest stakholders in this sector.
The Agrarian Reform Program aims to re-structure the licenses for unproductive production forest, and allow for use by local communities. The map of agrarian reform released by MoEF in 2017 indicates the presence of 12,919.2 ha land allocation in Bungo (838,612 ha), Kerinci (2,498.7 ha), Merangin (321,257 ha), Muaro Jambi (3,360.98 ha), Sarolangun (656,489 ha), Tanjung Jabung Barat (4,227.3 ha), and Tanjung Jabung Timur (1,015.86 ha). Map of this allocation is provided in Appendix A2. These data show that the largest allocation is in Muaro Jambi District, where the existing land use are unproductive Convertible Production Forest; settlements with social and public facilties; and dry land agriculture. These allocations offer opportunities for strengthening the tenurial rights of indigenous people through social forestry mechanisms (Component 2 of the PDO).
Additionally, the restructuring of licenses can also be used to improve land and forest governance (Component 1 of the ERP). To implement the activities outlines in Component 1 of the ERP, it is important for the FMU (as the management authority of the production forest under the Agrarian Reform Program) to increase its capacity to support license restructuring, including license revocation and conflict/dispute mediation as required.
The application of sustainable palm oil principles, such as RSPO, has been initiated in Jambi Province. Asian Agri represent plantation company that applies RSPO and ISPO certification to its 41,000 ha of palm oil plantation in Jambi. Asian Agri obtained the RSPO certification in 2016, but the company has practiced zero burning policy since 1994. This policy avoids fire during land preparation, and may contribute to the reduction of fire hotspot in Jambi. Since april 2018, IDH and Jambi government has assisted 30,000 smallholder palm oil farmers in Tanjung Jabung Barat in obtaining ISPO license. This example shows promising relevance that can be achieved by introducing sustainable palm plantations (Component 2 of the PDO).
93 Yanuar, F., Amri, A., Saad, M., Syafaruddin., 2019. Using Input-Output Analysis approach to identify the role of agricultural sectors in Jambi economy. RJOAS 1(85)
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5.5.2 Political Economy of Jambi
Political economy of Jambi is shaped by the macro-economic profile (Gross Domestic Products, economic growth, inflation rate, and export-import) and political commitment of the Governor to support national development targets. Medium Term Development Plan (Rencana Pembangunan Jangka Menengah Daerah – RPJMD) of Jambi Province (2016-2021) was formulated based on 11 strategic issues that include improvement of governance; quality of human resources; strategy to increase investment; management of natural resources; Quality of public infrastructure; economic disparity; optimising international trade relations; price fluctutation of agriculture and plantation commodities; climate change and reduction of greenhouse gas; Food and energy sovereignity; and strengthening and justifying provincial boundaries.
Jambi Province still relies on plantation and forestry sectors (specifically plantation sub-sector consisting of Palm Oil, Rubber, Cinnamon and Coffee). Of these subsectors, palm oil and coffeee commodities are associated with encroachment (deforestation). Commodity if rubber is its low (only Rp. 5,000 per kg sheet). Therefore, Jambi ust rely on palm oil and coffee as primary commodities to support the GDP. Implementation of BioCF may be associated with high opportunity cost for Jambi Province, as BioCF may aim for reduction or halting of palm oil and coffee expansions.
All of the above issues are considered as causes for sub-optimal economic growth and welfare of people in Jambi Province. Implementation of ERP will be relevant with human resources, governance and environmental issues. Improving environmental quality (including improvement on licesing regime, community awareness, and companies’ compliance to environmental regulations) and reducing greenhouse gas emission are part of the political commitments to achieve good and healthy environmental quality. Jambi TUNTAS Vision and Governor’s decree on action plan for emission reduction are examples of these political commitments.
The main challenge in political economic situation of Jambi is to balance the needs for economic growth and environmental sustainability. In this context, ERP may be able to contribute to at least four of the 11 strategic issues by providing support for:
▪ Human resource quality and livelihood (Component 1 and 2);
▪ Good governance on forest and estate crop (Component and 2); and
▪ Environmental quality by preventing fire, biodiversity loss and encroachment/degradation (Component 1, 2, and 3).
This alignment supports the justification of ERP as jurisdictional emission reduction program in Jambi Province. Improvement on capacities of relevant provincial government agencies (e.g., environmental, forestry, mining and mineral resources and plantation agencies) is needed. Indirect support to forestry, agriculture and fishery sector (e.g., sustainable land management and effective benefit sharing to buffer the fluctuation of prices of important commodities) may strengthen the role of the ERP in supporting the Jambi development plan.
Interventions to the forestry and estate crop sectors are feasible due to political enabling conditions at national and provincial levels. Implementation of ERP may gain leverage in forestry sector from moratorium (Peta Indikatif Penundaan Pemberian Ijin Baru – PIPPIB). In addition, forest fire prevention is guided under Perda no.2/2016 on prevention and control of land and forest fire that applies to plantation and forestry sectors
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Challenges in implementing ERP in forestry sector may include aligning licensing mechanism and moratorium with provincial policies. This will be needed to ensure consistent application by FMU on site. Another challenge may include agrarian reform at national level (Tanah Object Reformasi Agraria – TORA). This policy was aimed towards improving community access to “dormant” or mismanaged forestry concessions in production forest. From ERP’s point of views, this policy may support welfare of local communties. However, application of TORA will result in changes of land status from forest to other use area. Ultimately, such land parcel will become individual property that may have the following implications to the ERP:
▪ Shifting of policy stakeholders from FMU (provincial) into land agency / land office when dealing with environmental and social risks. Such shift and subsequent stakeholder engagement needs to be anticipated; and
▪ Shifting of ERP target groups from private companies (forestry concession holders) to individual person or household. Shifting of approach and strategy may need to be anticipated. Benefit sharing mechanism also needs to be considered if such shift occurs.
In the context of political economy in Jambi, ERP needs to consider two main market forces consisting of conventional and carbon markets. Conventional market still play major role in macro-economic factor of Jambi Province (i.e., GDP contribution from agriculture and estate crop sectors). Conventional market may act as negative influencers to the success of the ERP, as conventional sectors may still be crucial to provincial economy. On the other hand, carbon market may serve as positive influencer that supports the success of ERP. Carbon market or carbon mechanism may be able to provide incentives and benefits to complement (or substitute) those from conventional market. However, much still needs to be done to prepare Jambi to enter carbon market (e.g., setting up baseline, registration, and carbon accounting capacities).
5.6 ENVIRONMENTAL AND SOCIAL RISK INDICATORS
This section analyses the potential environmental and social output based on the drivers of deforestation and degradation addresses by the PDO. Analysis was done using scenario analysis (comparing business as usual and PDO/ERP scenario); identification environmental and social components addressed by the PDO (and the corresponding drivers therein); and establishing environmental and social indicators based on the previous steps; thus aligning the environmental & social components and their indicators with the drivers of deforestation.
5.6.1 Scenario Analysis Based on the availability of data and information from the BioCF-ISFL MRV team, three scenarios are developed for supporting the J-SLMP and ERP in Jambi. These are: Baseline Scenario, Pre-investment Scenario, and ERP Scenario. These scenarios are in the process of development and will therefore have the possibilities for changes in the future if new information and other considerations are included in the analysis.
5.6.1.1 Baseline Scenario Current analysis of historical deforestation in Jambi (2006-2017) showed that the main contributor to GHG emission are deforestation, vegetation degradation and peat decomposition which the total of 307,512,646 Mt CO2, 204,962.287 MtCO2, and 196,895,241MtCO2 respectively. At the same time, total CO2 emission from agriculture is much lower or around 12,539,740 MtCo2 from 2006-2017. On
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the other hand, vegetation and forest growth together contribute significant amount of CO2 removal, which are 201,553,124 MtCO2 and 14,913,661 respectively from 2006-2017 (please see Table 22.a).
Table 22.a. Composition of CO2 Emission in Jambi94
The above table also show that on a yearly basis (baseline for 2020 and 2025), the average emissions are 30,838,651 MtCO2 for LULUF, between 21,798,489 MtCo2 and 24,069,909 MtCO2 for peat decomposition95, and 1,120,235 Mt CO2 for agriculture.
Another close look at deforestation in Jambi in 2017 (see Table 22.b) shows that forest cover change into shrub, bare land, estate plantation, and agriculture have been the main drivers of deforestation in Jambi.
Based on the above data and analysis, future scenario can be drawn focusing on emission reduction and also CO2 removal which is described in the following section.
Table 22.b. Forest Cover Change and Potential Drivers of Deforestation in Jambi
94 There is still no data for emission from forest fire. 95 There is a slight increase in peat decomposition emission every year due to the specific calculation of emission for peatland available in the literature.
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5.6.1.2 Scenario for Pre-investment (J-SLMP) Based on the above analysis of the drivers of deforestaion, it is crucial to stop deforestation by protecting the remaining natural forests to reduce emissions from the largest source of emissions. The remaining forests in 2017 was 1.1 million hectares, resided in conservation areas (53.4 %), forest management units (40.9 %) and other non-forest uses (5.6%). The historical deforestation occurred in primary and secondary forests with percentage of 13% and 87%, respectively. The largest historical deforestation occurred in production forest and protection forests managed under FMUs, with average of 54.0 thousand hectares annually. Reducing the annual historical deforestation in the FMUs areas to 10% will achieve about 5,4 thousand hectares avoided deforestation annually, which equals to emission reduction of approximately 2.0 MtCO2 annually. Avoiding annual deforestation of 10% in areas outside FMUs (conservation areas and APL), however, will provide additional emission reduction to about 0.77 MtCO2 annually (please see Figure 1 and Table 22.a.).
Based on the ERP target for Jambi as included in the planned LOI, which is around 14,000,000 MtCO2 or around 2,300,000 MtCo2 per year, a simple analysis can be concluded that by only reducing 10% of deforestation and forest degradation which is equal to 2,770,000 MtCo2, Jambi will be able to surpass the annual target of emission reduction as will be stipulated in the LOI. Further emission reduction target can be achieved from vegetation and forest growth as shown under Table 22.a.
However, it should be noted that beside forest fire, Jambi forests poses potential threats due to road network development, including the planned roads crossing the Kerinci Seblat National Park96 and seaport development in the coastal area of Jambi. The road development will potentially increase deforestation in the area about 3 km from the roads. Forest and peatland fires will be a potential threat during the prolonged dry seasons boosted by strong El Nino. Fire management which involve communities and private sectors are pivotal to reduce the use of fires for land clearing in peatlands and to put out fires when it is still small.
In conclusion and based on the aggrement from a number of stakeholder meetings in Jambi, the scenario for J-SLMP will focus on areas under management units that still have high forest cover97, areas with low level of land use conflicts and areas to represent peat soil. Based on this and also based on the data from Table 22.c, four FMUs will be selected for intervention under J-SLMP. These four FMUs represents 70% of the total remaining forest in Jambi. They are KPHP Bungo Unit 11 and III, KPHP LImau Unit VII Sarolangun, KPHP Merangin Unit IV, V, and VI, and KPHP Tanjung Jabung Barat Unit XV, XVI, and KPHL. While the first three represent the mineral soil, the last one represents the peat soil.
96 http://www.conservationandsociety.org/article.asp?issn=0972- 4923;year=2014;volume=12;issue=3;spage=280;epage=293;aulast=Bettinger 97 These criteria are in line with the forest transition theory presented in the ERP Emission Scenario (below).
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Table 22.c. Forest Cover. Degraded Land, and Agriculture Land within FMUs in Jambi in 2017
Agricultural Degraded Forested Grand FMUs land98 land99 area100 Total KPHP Batang Hari Unit XI dan XII 28,634 24,556 24,592 77,782 KPHP Bungo Unti II dan III 4,660 31,751 63,146 99,557 KPHP Kerinci Unit I 5,133 2,934 7,254 15,321 KPHP Limau Unit VII Sorolangun 7,895 5,884 91,963 105,741 KPHP Merangin Unit IV, V, VI 18,509 40,569 99,429 158,507 KPHP Muara Jambi Unit XIII 402 40,740 30,205 71,347 KPHP Tanjung Jabung barat Unit XV, XVI dan KPHL U* 20,608 50,249 41,861 112,717 KPHP Tanjung Jabung Timur Unit XIV 4,451 24,701 12,325 41,477 KPHP Tebo Barat Unit IX 44,469 69,396 11,687 125,552 KPHP Tebo Timur Unit X 30,522 39,449 22,669 92,640 KPHP Unit VIII Hilir Sorolangun 24,322 31,208 14,382 69,912 Grand Total 189,603 361,435 419,512 970,550 Highlighted with yellow are names of selected FMUs.
In line with the above, there are four National Parks that still have high forest cover that are in line with the above described approach. These are Berbak, Bukit Dua Belas, Bukit Tiga Puluh, and Kerinci Seblat as shown in the following table.
Table 22.d. Forest Cover. Degraded Land, and Agriculture Land within National Parks in Jambi in 2017
Conservation areas Agricultural land Degraded land Forested area Grand Total TN Berbak 42 39,975 97,059 137,076 TN Bukit Dua Belas 1,019 3,455 48,110 52,584 TN Bukit Tiga Puluh 629 545 34,566 35,740 TN Kerinci Seblat 12,799 21,072 376,648 410,518 Grand Total 14,489 65,054 556,729 636,271
Pre-investment phase and ERP may provide Jambi Province with carbon (and non-carbon) benefits. This may encourage political support from Jambi provincial government to support ERP scenario.
Consequently, regulatory regime under the J-SLMP’s Pre-investment (and also ERP) scenarios will consist of provincial and district PERDA and Governor’s decree (and Bupati’s Decree) to support low carbon development such as RAD-GRK, SRAP REDD+, and future Green Growth Plan for Jambi.
Under the J-SLMP’s Pre-investment scenario, institutional capacity will increase to meet the requirements for ERP implementation, as well as safeguard measures. This has already been happening as the preparation phase starting. Many trainings and workshops have been conducted for stakeholders in Jambi in both provincial and district levels. Training and workshops related to safeguards alone during the preparation face (excluding those conducted by PT. Hatfield as safeguards
98 Agricultural areas cover agricultural land covered with tree canopy suitable for agroforestry, which include mixed agriculture, dryland agriculture, ponds and transmigration area 99 Degraded land including bare lands, grasslands, and shrubs 100 Forested areas cover all-natural forests from primary and secondary succession, thus excluded plantation forests
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consultant) have been conducted at least 6 times followed by hundreds of stakeholders from provincial and district levels (please see Appendix A3) on the number of stakeholders segregated by gender and also summary of issues discussed).
5.6.1.3 Scenario for ERP Although mostly overlapped with the Pre-invstment phase, emission scenario for ERP will use forest transition theory as the basis of laying out playing field in Jambi.101 This theory (Mather, 1992) is based on the common transition proses that: evolving land use patterns, drivers of deforestation and human- induced changes are characteristic of certain stages of economic development within a country or region. The concept is used to explain the U-shaped evolution from high forest cover to decreasing forest cover to expanding forest cover that has taken place in many developed countries. Similar trend with slower reforestation/forest expansion is also taking place in some developing countries including Indonesia.
Figure 6.a. Forest Transition Theory
Based on the above forest transition figure, similar process is used to develop deforestation process in Jambi based on management unit, i.e. FMUs and NPs. Focus of intervention will mainly be in Forest Frontier areas and also Less Disturbed Forest Areas. The reasons to do so are:
• Forest Frontiers are areas with high forest covers and high deforestation, therefore protecting the remaining forest in this area from further deforestation will contribute to reducing significant amount of CO2 emission. These areas are mainly under the management of FMUs.
101 This theory has also been used partly during the design of intervention under Pre-investment phase/scenario as described above.
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• Less Disturbed Forest are mainly under the management of NPs. Although there are strongly protected under the Indonesian regulation, however, encroachment are still taking place in many fronts. At the same time, intervention in these areas will provide positive benefits for the NP management to continue efforts to protect the forest.
Using similar logic, the following diagram was drawn based on four quadrants, but intervention will only be prioritized in the first two quadrants. However, this will not close the windows for intervention in the last two quadrants, especially for the existing efforts by management units and when resources are available mainly for reforestation and avoiding further deforestation.
• Quadrant 1, showing areas with high deforestation and high forest cover (primary target for intervention); • Quadrant 2, showing areas with less deforestation but high forest cover (secondary target for intervention).
In this diagram, the name and location of each management units are listed to make it easier to select the location of intervention. Further analysis will determine the kinds f intervention to address driver of deforestation and its underlying cuases.
Further analysis will be done in collaboration with the MRV team during the finalization of the SESA document, expected before the signing of the ERPA in 2021.
Other environmental components to consider in ERP scenario are:
▪ Environmental aspects such as risks of leakage and reversals. Leakage may occur due to increased emission-inducing activities (Baseline Scenario) than cannot be offset by ERP. Reversal may occur due to deforestation and degradation that occurs after ERP is completed, or due to those ocurring outside the WPK. Reducing the risk of fires (plantation sector and peatland) will help reduce the risk of reversals;
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▪ Transboundary FMU between Jambi and South Sumatra (e.g., FMU Batanghari) combined with weak law enforcement may cause deforestation to increase on South Sumatra side; and
▪ Social aspects such as access restrictions and loss of jobs need to be considered when implementing stricter law enforcement. Political economy aspects may need to be considered, as decrease in provincial revenue is anticipated as the result of ERP. However, this is already anticipated by the Provincial Government with the adoption of the New Green Growth Plan for Jambi.
▪ The implementation of the BioCF activities must provide direct benefits for local communities and indigenous peoples. This reduces the potential for conflicts arising from BioCF activities as well as a clear understanding of the community about BioCF and the benefits to be gained
▪ Providing alternative livelihood sources and recognition of customary lands have important functions for meeting the basic needs of local communities (adat) and have important functions for traditional cultural identity of local communities (adat).
5.6.2 Environmental and Social Components
Based on the scenario analysis, potential environmental components may include increase in forest cover by also preitecting the remaining forest, increase in HCV areas, and decrease in fire hotspot. Additional components may include protection of biodiversity (under HCV and increased habitat protection). Social components may include increased participation of local communities and indigenous peoples in forest mangement, increase of livelihood quality, participation of smallholder farmers in sustainable plantation / agriculture, and increased institutional capacities for managing environmental and social risks.
Risks include loss of natural habitats and key biodiversity species at areas designated as non-forest and/or through increased human activities, contamination of soil and water, and health risks associated with the use of pesticides and as result of poor waste management practices, successes in reducing impacts on forests could lead to displacements of these impacts to other areas.
Potential social risks include risks associated with activities conducted in areas under existing and potential conflicts and/or disputes or areas with overlapping boundaries and/or claims, between customary and common/formal laws and processes, potential conflicts between migrants and locals, in areas with competing claims especially with concessions, livelihoods impacts including displacement due to bans on timber logging, oil palm plantation and artisanal mining activities, impacts to indigenous peoples, loss and/or damage to physical cultural resource (including megalithic artifacts), community and health safety risks for fire prevention and suppression activities, lack of awareness, management capacity and participation of community in managing social forestry, institutional capacity constraints to manage potential environmental and social risks at field level, as well as gender inequalities and social exclusion.
In addition to the environmental and social components, ERP implementation needs to consider the following aspects:
▪ Regulations to support and/or strengthen mitigation of environmental and social risks (e.g., AMDAl, UKL-UPL regulations to support mitigation of negative environmental impacts, and guidelines on conflict resolutions from MoEF). There are also potentials for conflicting policies
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and regulations such as policies on improving agricultural production that does not explicitly encourage the use of organic fertilisers or pesticides (integrated pest management); and
▪ Law enforcement to uphold the policies and regulations may need to be considered. Recent seperations between conservation and law enforcement (DG of conservation and law enforcement, respectively) may add another layer of bureacracy in protecting biodiversity. Conservation area managers do not have authorities to conduct law enforcement activities. This will have to be done through coordination of two directorate generals.
5.6.3 Environmental and Social Indicators
Indicative environmental and social risks that can be analysed in the SESA are summarised in Table 15. The analysis includes relevant drivers of deforestation identified in Section 2.2.1. These will be discussed further in the social and environmental impact assessment provided in Section 7.0.
Table 15 Summary of relevant environmental and social (E&S) indicators to monitor/track impacts over the course of J-SLMP and ERP implementation.
E&S Indicators Summary of Issues Data Sources Timeline for Monitoring
Occurrences of conflicts ▪ Tenurial conflicts ▪ Plantation Agency Monthly and disputes in forest and between ▪ FGRM institution non-forest areas (e.g., communities and ▪ Environmental plantation conflicts, palm oil plantations Agency revocation of mining (e.g. Batin Sembilan permits, encroachments) communities with PT ▪ Energy and Mineral Resource Agency Asiatic Persada in Batanghari District) ▪ SEKDA/Governor Drivers: ▪ Accumulation of ▪ Web information ▪ Unauthorised / illegal unresolved problems system from MoEF activities (Palm oil plantation ▪ Tenurial conflict in Production forest in Tebo and Tanjung Jabung Barat, ▪ Conflicting licenses (Timber plantation, palm oil and mining) ▪ Capacity building for smallholders in implementing sustainable estate crops that will reduce the potential for land disputes
Cases of Access ▪ Forest and ▪ FGRM institution Quarterly restriction to land and plantation ▪ Concession holders natural resources concessions are ▪ ATR/BPN for restricting access to plantation HGU livelihood/cultural Drivers: activities (e.g., local ▪ Village ▪ Food sustenance communities, Orang administration ▪ Activities of Rimba & Talang ▪ FMU Indigeneous people Mamak);
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E&S Indicators Summary of Issues Data Sources Timeline for Monitoring ▪ Customary area of Marga Serampas in Kerinci Seblat NP ▪ Unclear boundaries (FMU, mining and plantations)
Numbers of cases, and ▪ The arrival of ▪ Kesbangpol; Annually intensity of social migrant workers and ▪ Sub-district records conflicts subsequent claim on local people’s / indigenous people’s Drivers: properties ▪ Tenurial conflict ▪ Competition ▪ Influx of migrants between migrants and locals over other natural resources
Numbers (quantity) and ▪ Previous and ▪ FMU Quarterly or annually frequency of Impacts existing uses by ▪ NGO Reports received by indigenous local communities peoples and indigenous people (e.g., hunting by Orang Rimba and Drivers: Talang Mamak) ▪ Activity of indigenous ▪ Customary forests of peoples Marga Serampas and Lekuk 50 Tumbi Lempur) ▪ Indigeneous community is persuaded to conduct illegal logging by companies (e.g. Tebo / Bukit 30)
Numbers and intensity of ▪ Anticipation of ▪ Education and Annually Loss/Damage to physical undiscovered cultural agency & cultural resources cultural resources (Province) ▪ Karst ecosystem in ▪ Tourism Agency Drivers: Sarolangun District (Province) ▪ Infrastructure ▪ Megaliths artifact in ▪ Bureau of development in Kerinci District Archeology forest area ▪ Geopark site in ▪ Academic Merangin District reports/journals
Numbers of cases of ▪ Health and safety ▪ Health Agency Quarterly Community Health & aspects in fire (Province) Safety control / prevention ▪ Energy and mineral measures resources agency Drivers: ▪ Artisanal mining practices ▪ Forest & peatland fire;
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E&S Indicators Summary of Issues Data Sources Timeline for Monitoring ▪ Unauthorised/illegal activities ▪ Food sustenance / livelihood
Lack of awareness, ▪ Lack of cross- ▪ FGRM institutions Quarterly management capacity sectoral conflict ▪ DGPPI and participation resolution
(qualitative indicators on mechanisms (e.g., the presence of capacity plantation, building, accessibility, andforestry sectors, and incentives) environmental disturbances) Drivers: ▪ Limited capacity for government staff to ▪ Weak forest access alternative governance livelihood options for ▪ Tenurial conflict local people ▪ Lack of accessibility for all social strata of the community to be involved in the plantation process ▪ Lack of incentives in sustainable forest management is expected to facilitate social inclusion ▪ Lack of agreement on benefit sharing mechanism
Institutional capacity to ▪ Capacity building ▪ FMU Quarterly manage potential needs for FMU ▪ Forestry agencies environmental & social officers is needed, ▪ Plantation agencies risk (qualitative especially to assessment on capacity implement and ▪ Concession holders building and capacity monitor the process improvements) to manage HCV forests, and to implement Drivers; RSPO/ISPO ▪ Weak governance standards for ▪ Limited facility, companies and equipment and smallholders resources for ▪ Lack of ability to effective forest mediate protection & environmental management conflicts ▪ Lack of capacity to implement sustainable palm oil plantation
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E&S Indicators Summary of Issues Data Sources Timeline for Monitoring
Numbers of cases on ▪ Sub-optimal District agencies: Annually Gender and social involvement of BAPPEDA, Women inclusion women in forest Empowerment management will help reduce Drivers: encroachment and ▪ Food sustenance deforestation ▪ Forest ▪ Lack of application Encroachment of gender mainstreaming program at grassroot level (villages)
Area of Forest ▪ Encroahment in National Park Authority Quarterly Encroachment Kerinci Seblat reports National Park in FMU reports Merangin District Drivers: (Coffee) and Kerinci ▪ Forest District (Horticulture, Encroachment cinnamon); ▪ Lack of effective ▪ Encroachment in forest protection and KPH Tanjung management Jabung Barat (Palm oil), Tebo Barat and Tebo timur (Palm Oil) ▪ Lack of facilities, equipment and personnel to conduct effective forest protection and management
Numbers and locations of ▪ Burning methods are ▪ Peatland restoration Quarterly (or monthly Forest fire hotspots used by smalholder agency; during prolonged dry farmers (majority of ▪ LAPAN season / ENSO) palm oil plantation Drivers: ▪ NASA operator) Forest and peatland fire ▪ Coverage of early warning system is still limited, causing forest fire to occurs in some areas that are not equipped with this system
Cases, areas, and ▪ Overlapping with key ▪ FMU Quarterly or annually severity of Loss of natural biodiversity areas ▪ BKSDA habitat and Biodiversity and endangered ▪ ATR/BPN for species population plantation HGU (tiger, elephants, Drivers: Raflesia sp, ▪ National Parks ▪ Threats to species Amorphophalus t) and their habitat ▪ Community-based monitoring efforts are not optimised
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E&S Indicators Summary of Issues Data Sources Timeline for Monitoring ▪ Lack of clear conservation guidelines Numbers of ▪ Use of pesticides in ▪ Environmental Quarterly cases/frequency and agriculture and agency (Province) severity of Contamination plantation sector and Pollution ▪ Small-scale civil/construction Drivers: works and waste management ▪ Food sustenance (agriculture) ▪ Infrastructure & regional development in forest area
Numbers of cases ▪ Shifting carbon ▪ Ditjen PPI Annually indicating risks of emissions to other ▪ Safeguards Leakages and reversals areas outside WPK Committee/DLH or to neighbouring ▪ SEKBER provinces Drivers: ▪ Lack of participation ▪ Unauthorised / illegal in fire activities control/prevention ▪ Forest & peatland resulting in fire increased carbon emission
6.0 POLICY AND REGULATION FRAMEWORK
6.1 GOI REGULATIONS
Activities under the ERP should adopt sustainable development principles, including environmental, social, cultural, and economic considerations, following applicable national and regional regulations. This SESA document adopted the GoI’s laws and regulations to the extent that they are in compliance with the World Bank Policies on Environmental Assessment (OP 4.01), Indigenous Peoples (OP 4.10) and Physical Cultural Resources (OP 4.11). Specific provisions are described in the ESMF to address any aspect of the World Bank policies that are not fully addressed through GoI laws and regulations. Applicable national and regional regulations for the ERP related to environmental and social aspects are outlined below:
▪ Law (UU) No. 32/2009 concerning Environmental Management and Protection. For the government executing agency (national and regional level), this law mandates that provinces and districts develop a strategic environmental assessment that will guide the regional spatial planning for development. This law also obligates any development program in the private sector to implement proper environmental and social considerations, including an environmental assessment, a management plan and a monitoring plan;
▪ Law No. 41/1999 concerning Forestry. The 1999 law includes some conservation-oriented policies. It divides forests into three categories: conservation forests, protected forests and
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production forests. It also empowers the Ministry of Forestry to determine and manage Indonesia’s Kawasan Hutan (National Forest Estate). This regulation is also used as the basis for the recognisiton of customary forest;
▪ Law No. 6/2014 on Villages. This law has enormous implications for the forestry sector by expanding the authority of villages to manage their own assets and natural resources, revenue and administration. It reallocates a specific portion of the state budget to village administrations, providing all of Indonesia’s villages with annual discretionary funding for making local improvements that support poverty alleviation, health, education and infrastructure development;
▪ Law No. 23/2014 on Regional Governance. This law effectively weakens Indonesia’s system of regional autonomy by withdrawing authority over natural resource management (including forestry) from district and city governments and shifts it to provincial and national-level governments;
▪ Law No. 26/2007 concerning Spatial Planning. It amends Law No. 24/1992 (Spatial Planning Act) in the context of decentralization, urbanization and other factors. It grants authority over spatial planning to provincial governments (pemerintah propinsi) and district governments (pemerintah kabupaten and pemerintah kota). Provision of this authority is not stipulated within previous spatial planning laws. It also provides some new ways for enhancing development control, including zoning, planning permits, implementation of incentives and disincentives, administration and criminal sanction. Law No. 26/2007 also acknowledges the importance of public participation in spatial planning;
▪ Law No. 18/2013 on the Prevention and Eradication of Forest Degradation. This law strengthens law enforcement by providing additional legal certainty and defining the penalties for those engaged in forest destruction. It clearly defines which activities are banned for individuals and organized groups who log in forests, as well as for organizations involved in the illegal timber trade and officials engaged in the falsification of permits;
▪ Government Regulation (PP) No. 27/2012 concerning Environmental Permit, Regulation of the Minister of Environment No. 16/2012 concerning Guidelines for Preparing Environmental Documents (AMDAL, UKL/UPL, and SPPL);
▪ Ministry of Environment and Forestry Regulation No. 83/MENLHK/SETJEN/KUM.1/10/2016 concerning Social Forestry;
▪ Ministry of Environment and Forestry Regulations No. 31/2015 regarding private forests. This provides the procedure for recognition of customary forests by MoEF;
▪ Presidential Regulation (Perpres) No. 88/2017 concerning Resolution of Land Conflict within Forest Area (PPTKH);
▪ Presidential Regulation (Perpres) No.. 86/2018 regarding Land for Agrarian Reform (Tanah Obyek Reformasi Agraria – TORA);
▪ Ministry of Agrarian and Spatial Plan/Head of National Land Agency No. 6/2018 concerning a Complete and Systematic Land Registration (PTSL);
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▪ Ministry of Agrarian and Spatial Plan/Head of National Land Agency No. 10/2016 concerning communal land titles;
▪ Ministry of Environment and Forestry No. 32/2016 regarding control and prevention of land and forest fire;
▪ Ministry of Environment and Forestry No. 83/2018 regarding roles of DG Law enforcement at sub-national level;
▪ Regulation from DG Conservation of Natural Resources and Ecosystem (KSDAE) No. 6/2018 regarding conservation partnership with local communities; and
▪ Other applicable environmental standards on water quality, air quality, erosion control, etc.
The ERP activities will potentially involve and have an impact on indigenous peoples. The project should provide benefits to and manage its impacts on indigenous peoples. The GoI’s policy on indigenous peoples includes:
▪ Presidential Decree (Keppres) No. 111/1999 concerning Development of Isolated Indigenous Community (KAT) which provides a broad definition of indigenous peoples and the need for government assistance;
▪ UUD 1945 (Amendment) Chapter 18, clause #2 and Chapter 281 clause # 3;
▪ Law No. 41 on Forestry (plus Constitutional Court Decision No. 35/PUU-X/2012);
▪ Ministry of Home Affairs (MOHA) Regulation No. 52/2014 on the Guidelines on the Recognition and Protection of MHA (Masyarakat Hukum Adat);
▪ MoEF Regulation No.43/2013 regarding delineation and designation of forest areas under the jurisdiction of Forest Management Units; and
▪ Regulation of the Minister of Land Agency and Spatial Development No. 9/2015 on the Procedures to Establish the Land Communal Rights on the MHA Land and Community Living in the Special Area.
The above regulations will support the ERP, and no contradiction is foreseen in the regulatory framework. Implementation of Presidential Regulation No. 88/2017 must be carefully planned, so the modification of forest areas (e.g., into other use areas) and the Agrarian Reform Policy (TORA) will not cause deforestation or land degradation. Additionally, Constitutional Court Rule (Putusan Mahkamah Konstitusi [MK]) No. 35/2012 should be interpreted responsibly, so it does not provoke massive land claims within forest area.
Baseline data on forest areas (production, protection and ecosystem restoration) in Section 5.3 show that Jambi Province consists of less than 30% forest area; therefore, according to Presidential Regulation No. 88/2017, resettlement may be used as a very last measure for resolving conflicts over forest areas, or to increase forest cover. Consequently, it is important that the forest tenurial conflict resolution team strengthens the strategy for social forestry and environmental partnership in production and protected forests. Additionally, the team may also refer to the Regulation of Director General (Peraturan Dirjen) KSDAE No. 6 /2018, which provides specific, guidelines for establishing partnerships with communities in protected areas such as nature reserves, wildlife reserves and national parks. Summary of institutional and regulatory issues are provided in Table 16.
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Table 16 Summary of institutional and regulatory issues for the ERP.
Regulation/Policy Issue Relevance to REDD+ Relevant E&S Risks
Conflict resolution in Implementation of FGRM and conflict ▪ Access restrictions forest areas Presidential Regulation resolution mechanism ▪ Overlapping land No. 88/2017 to ensure “clean-and- uses clear” conditions prior ▪ Loss or restriction to implementation of livelihood
Conflict resolution in Implementation of FGRM and conflict ▪ Access and/or non-forest areas (Other conflict resolution resolution mechanism livelihood Use/APL) mechanism by the to ensure “clean-and- restrictions Plantation Agency and clear” conditions prior ▪ Overlapping land Environmental Agency to the implementation uses does not allow concerted ▪ Gender and social efforts on conflict exclusions resolutions in APL
FGRM Lack of regulation that FGRM and conflict ▪ Unresolved leads to an integrated resolution mechanism conflicts and FGRM mechanism (i.e., to ensure “clean-and- disputes forest and other use clear” conditions prior ▪ Accumulation of areas) to allow cross- to implementation conflicts and sectoral grievance disputes mechanism
Land for Agrarian Requires careful Preventing ▪ Forest conversion Reform Program interpretation and deforestation and for agricultural execution of Presidential degradation triggered practices Regulation No. 88/2017 by land conversion ▪ Land grabbing and 86/2018 within forest area
MK 35/2012 on Requires careful Preventing ▪ Abuse of MHA customary land rights interpretation of the rule deforestation and attribution for land to avoid massive land degradation triggered claims claims by land conversion within forest area
Commitment to Land based emissions Designation of roles ▪ Proper FREL and emission reduction are the largest and responsibilities of MRV application as contributor of GHG DGPPI (MoEF) on objective measures emissions in Indonesia emission reduction of GHG emissions
6.2 REGULATORY ENFORCEMENT AND CAPACITY ASSESSMENT
Implementations of the policy and regulatory framework have been assigned to the following levels of governance:
▪ National level policies (forest and protected areas): Policies mainly fall under the jurisdiction of MoEF. Policies are related to forest area designation, issuance of licenses, moratorium on licenses (PIPPIB), moratorium on peatlands, agrarian reform (TORA), social forestry, and environmental/conservation partnership mechanisms. The policy of the Ministry of Home Affairs is relevant to national policy on recognition of customary community (MHA);
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▪ National level policies (other use areas/APL): Policies related to land allocation validation falls under the jurisdiction of the Ministry of Agrarian and Spatial Planning. Authorities for this ministry are mandated to offices at the provincial level (Kantor Wilayah - Kanwil) and at the district level (Kantor Pertanahan);
▪ Provincial level policies: BAPPEDA plays an important role in ensuring synergy between forestry and plantation sectors. Policies on forest management fall under the jurisdiction of the Forestry Agency, while grass root implementation is administered through the FMUs (KPH). Kesbangpol (National Unity and Political Stability Agency) and Infokom (Information and Communication Agency) can potentially serve as support for provincial level policies, especially on FGRM implementation. The Joint Secretariat for Forest Resource Management (SEKBER) is not a regulatory instrument, but is essential in supporting the BAPPEDA and Forestry Agency; thus playing a crucial role the implementation of the J-SLMP and future ERP in Jambi Province. Capacity gaps include the lack of capacity for FGRM, conflict resolution, and FREL, MRV, and HCV assessment and management; and
▪ District level policies: BAPPEDA/SEKDA plays an important role in the recognizing customary (Adat) communities and in ensuring proper implementation of ER at the grass root level. The District Agency for Village Empowerment and Development (Dinas Pemberdayaan Masyarakat dan Pemerintahan Desa – DPMPD) is essential in ensuring policies for channelling funds to the villages under the village fund (Dana Desa – DD) and village fund allocation (Alokasi Dana Desa – ADD) from provincial and national government authorities. These institutions have the capacity to support provincial policies on FGRM, conflict resolution, and HCV assessment and management. Additionally DPR-D (local legislative), district heads (bupati) and mayors are also involved in mediating plantation conflicts.
Recent changes in forestry regulations (e.g., social forestry, indigenous people/customary access, environmental partnerships) and in ERP requirements, such as FPIC, FREL and MRV, mean that a new approach at national and sub-national levels is required. These new regulations and requirements may not be familiar to government officials at national and sub-national levels; therefore, relevant capacity building sessions may need to be conducted. However, the most important aspect, considering the new developments, is the need to establish collaboration with NGOs. Such collaboration would allow knowledge sharing between government and non-government organisations. A summary of the roles and relevance of government agencies is provided in Table 17.
Table 17 Summary of regulatory and institutional frameworks relevant to the ERP.
Relevant Relevance to J- Capacity Agency Key Gaps Mandate SLMP & ERP Assessment
DGPPI Implementation of ▪ Development ▪ Technical ▪ Adequate REDD+ initiatives of documents capacity to knowledge, but to support develop need support for ERPD and documents and additional subsequent conduct FREL manpower ERPA measurements (quantity of ▪ FREL, MRV and MRV human resources)
BAPPEDA Synergy of ▪ Lead the ERP ▪ Coordination ▪ Requires (Province) REDD+ initiatives implementation capacity additional knowledge of
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Relevant Relevance to J- Capacity Agency Key Gaps Mandate SLMP & ERP Assessment with regional with support ▪ Analysis using REDD+ development plan from SEKBER multi-objective initiatives ▪ FGRM at land allocation (possibly from provincial level to ensure that DGPPI/FCPF) economic and ecological objectives are accommodated in the spatial planning
Governor/Provincal Implementing ▪ Benefit sharing ▪ Establishment ▪ Expansion of Secretary (SEKDA) Green mechanism of BLU, and palm oil as part Development in ▪ Revocation of development of of the provincial Jambi (Vision of licenses (e.g., profitable development RPJMD) mining) that do business plan plan outweighs not meet for the BLU the ERP clean-and- ▪ Establishment clear criteria of conflict ▪ FGRM at resolution desk provincial level to address (forestry, forestry-related mining, conflicts plantations and ▪ Lack of conflict environment) resolution regulation for mining sector ▪ Unequal benefit sharing
Environmental Making sure the ▪ FPIC at ▪ Establishment ▪ Possible lack of Service (DLH) application of provincial level of Safeguards human resource Indonesian’s ▪ FGRM at Committee issues to handle regulation related provincial level safeguards to the (forestry, implementation environment/ mining, and monitoring safeguards plantations and environment) ▪ Monitoring
Provincial Land Overseeing land ▪ Issuance of ▪ Sustainable ▪ Preventing land Office (Kanwil) issues and HGU (e.g., for palm oil grabbing ensuring plantations) in practices ▪ Preventing alignment with the APL area ▪ Environmental issuance of spatial plan and social risk HGU that were assessment not based on ▪ Safeguards proper environmental and social assessment
Forestry Agency Synergy of ▪ Implement ▪ Technical ▪ Requires (Province) REDD+ initiatives ERP relevant capacity for additional in forestry sector / with forestry forest knowledge of forest areas sectors management REDD+ (through initiatives
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Relevant Relevance to J- Capacity Agency Key Gaps Mandate SLMP & ERP Assessment ▪ FGRM at FMUs), (possibly from provincial level including DGPPI/FCPF) (forestry FGRM/conflict ▪ Capacity for sector) resolution tenurial conflict involving ▪ Network for resolution concession conflict and/or holders, local resolution and mediation communities mediation and government
Plantation Agency Synergy of ▪ Implement ▪ Technical ▪ Requires (Province) REDD+ initiatives ERP in non- capacity for additional in plantation forest/other plantation knowledge of sectors/other use use areas management, REDD+ areas ▪ FGRM at including initiatives provincial level FGRM/conflict (possibly from (plantation resolution DGPPI/FCPF) sector) ▪ Effective ▪ Proper response and documentation resolutions to of conflict conflict (i.e., resolution disturbance to process as part plantation of the proposed business) FGRM ▪ Multi-sectoral approach to address economic, social, legal, social, cultural and environmental aspects of the conflicts
BAPPEDA Synergy of ▪ Implement ▪ Coordination ▪ Requires (District) REDD+ ERP at district and planning additional implementation at level and capacity knowledge of grass roots level ensure synergy REDD+ across relevant initiatives agencies (possibly from ▪ FGRM at DGPPI/ district level FCPF/SEKBER)
BPMPD/K (District) Synergy of ▪ Implement ▪ Technical ▪ Requires REDD+ ERP at sub- capacity for additional implementation district and community knowledge of with village village levels empowerment REDD+ development and initiatives funds channelled (possibly from to village level. DGPPI/ FCPF/SEKBER)
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Relevant Relevance to J- Capacity Agency Key Gaps Mandate SLMP & ERP Assessment ▪ Environmental and social risk assessment ▪ Safeguard mechanism for agriculture and aquaculture initiatives
Women Synergy of ▪ Implement ▪ Technical ▪ Requires Empowerment and REDD+ ERP at sub- capacity for additional Child Protection implementation district and gender knowledge of with gender village level to inclusion/ REDD+ mainstreaming/ ensure gender gender initiatives gender and social mainstreaming (possibly from empowerment inclusion DGPPI/ FCPF/SEKBER)
6.3 IMPLEMENTATION OF SAFEGUARD POLICIES
There have been cases of safeguard implementation in Indonesia. Cases that are comparable with safeguard for ERP include:
▪ Safeguard mechanism for International Fund for Agricultural Development (IFAD) supported by ADB. Safeguard under IFAD is to mitigate environmental and social impact risks (e.g., environment, involuntary resettlement and indigenous people). The program is designed to help improve institutional capacity and governance to contribute to sustainable operation of irrigation system102;
▪ Integration of environmental safeguard mechanisms into existing Indonesian government policies (i.e., Law 32/2009);
▪ Application of World Bank’s OP/BPs in financing mechanism for infrastructure through Indonesian Ministry of Finance. This includes setting up Environmental and Social Safeguards (ESS) for a state-owned infrastructure company. PT Sarana Multi Infrastruktur (SMI) to ensure environmentally-and-socially-friendly business activities103; and
▪ Private companies seeking financial support (loans) from IFC will need to adopt performance standards required therein.
These experiences provided Indonesia with familiarity with multilateral bank’s safeguard policies among government (including state-owned companies) and private sectors. All cases indicate that the safeguard mechanisms were built upon exsiting system/mechanism. Moreover, the mechanisms of safeguards are always suited to the environmental and social risks identified in a dedicated assessment.
102 Integrated Participatory Development and Management of Irrigation Program (2017). 103 Environmental and Social Safeguard (ESS) Procedure of PT SMI (2016)
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6.4 GAP/COMPATIBILITY ANALYSIS
Chapter 4.0 describes that the PDO consists of three components. Sub-components and activities under each component are grouped under Category B (EA is required, but its scope corresponds to the limited environmental impacts of the project). However, since indigenous peoples (e.g., Marga Serampas, Orang Rimba, and Talang Mamak), especially in the village area where the ERP will be implemented, are present, the World Bank sees that the Indigenous Peoples aspect of the project falls under Category A. A full Indigenous Peoples Planning Framework will be needed.
A summary of the key gaps in the regulatory framework are:
▪ Lack of policies that regulate or enforce the development of the ESMF for the J-SLMP and ERP. The development of SESA, ESMF and other related framework documents are mainly mandated by donor agencies, rather than by the GoI;
▪ Potential contradicting provincial policies on GHG emissions (i.e., Green Development/Jambi TUNTAS vision) with policies for expanding palm oil production (1.8 million ha). The PERDA on spatial plan (Perda No.10/2013) seems to address the needs for increasing plantation productivity through intensification, as well as to balance plantation sector with ecological aspects. However, on-the-ground supervision and law enforcement seem to be lacking. Similarly, expansion of artisanal mining and extractive sectors are still occurring;
▪ Sustainable palm oil is regulated by Ministry of Agriculture Reg. No. 11/2015 concerning ISPO. There is no specific regulation that enforces RSPO and HCV, and no specific regulations that can prevent land grabbing;
▪ Lack of or weak regulatory framework on the establishment of a conflict resolution desk to address forestry-related conflicts and disputes;
▪ Lack of or weak regulatory framework on conflict resolution in mining sector. Currently the mechanism refers to agrarian and environmental regulations to resolve conflicts/disputes in the mining sector; and
▪ Lack of regulations on the benefit sharing mechanism for ERP.
A gap analysis was conducted to see how adequately the existing safeguards (GoI) address those issues/risks and whether they fulfil WB requirements. An overview of how the existing safeguards address those risks/impacts is outlined in Table 18 below.
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Table 18 Compatibility analysis between existing safeguards (including GoI relevant regulations) and the World Bank safeguard policies.
Indonesian Safeguards* WB Safeguards Recommendation to Fill Aspects Compatibility/Gap Analysis Policies SIS the Gap Applicable GoI Regulations104 PRISAI RED
OP/BP 4.01, 4.04 Environmental Environmental Permit procedures P1,5 P3,6 UKL-UPL (according to AMDAL Environmental assessment Assessment (AMDAL) which strengthen forest, regulation) is based on threshold refers to using the plantation and mining permitting for values but have inlcuded Indonesian Regulations that private sector, and improve consideration of impatc as well require the development of community participation in forest embbeded in the treshold value environmental documents management. nomination while environmental according to the results of Environmental and social assessment of the Bank Policy is screening. UKL-UPL assessments are conducted through based on nature and scale of the assessments are expected the AMDAL process in accordance impact. to be required for the nature with the Ministry of Environment Capacity for administering and scale of the ERP Regulation No. 5 Year 2012 on AMDAL and UKL-UPL is activities.s business activities mandatory to adequate at provincial level, and have AMDAL. in some cases to district level The assessment is also regulated by Government Regulation No. 27 Year 2012 concerning Environmental Permit, where each business and/or activity (project) plan mandates an Environmental Permit if an AMDAL or UKL-UPL assessment is required
OP/BP 4.01, 4.04 Environmental Based on Minister of Environment P1,5 P3,6 The screening process of the Preliminary screening Screening Regulation No 5/2012, Appendix A1, regulation does not consider the process against negative list a screening of potential impacts is presence of social impacts due to for ER activities that include conducted to determine the type of land acquisition/involuntary identification of potential environmental documents that will resettlement, including access impact towards involuntary
104 The overarching regulation is PP No. 46/2016 regarding the precedure for conducting strategic environmental assessments. This regulation requires the identification of risks and relevant mitigation measures, which is similiar to the safeguard principles.
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Indonesian Safeguards* WB Safeguards Recommendation to Fill Aspects Compatibility/Gap Analysis Policies SIS the Gap Applicable GoI Regulations104 PRISAI RED
be required (AMDAL/UKL- restriction, potential impact on resettlement/access UPL/SPPL) based on criteria indigenous peoples and physical restriction, indigenous described in the regulation. cultural resources in relation to peoples, and physical ER activities. cultural resources. There may be lack of capacity for addressing envionrmental and social risks identified in this screening process
OP/BP 4.01, Management of Environmental Permit procedures P2,3, P3,4,5, 6 The management and monitoring Strengthens the 4.04, 4.10 environmental (AMDAL) which strengthen forest, 4 plan developed through the AMDAL/UKL-UPL system by and social plantation and mining permitting for AMDAL/UKL-UPL process, in providing specific impacts private sector, and improve general, supports the Bank Environmental Codes of community participation in forest requirement. Practices (ECOPs) for ER management. Capacity for management of activities such as Environmental and social environmental and social impacts agroforestry, aquaculture assessments are conducted through is needed for FMU, private and ecotourism the AMDAL process in accordance companies and smallholder Setting up integrated FGRM with the Ministry of Environment farmers (villages). under provincial government Regulation No. 5 Year 2012 on There is no integrated system of to allow conflict resolution business activities mandatory to conflict resolution across sectors across sectors have AMDAL. in Jambi. The assessment is also regulated by Government Regulation No. 27 Year 2012 concerning Environmental Permit, where each business and/or activity (project) plan mandates an Environmental Permit if an AMDAL or UKL-UPL assessment is required FGRM under the DG of PSKL
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Indonesian Safeguards* WB Safeguards Recommendation to Fill Aspects Compatibility/Gap Analysis Policies SIS the Gap Applicable GoI Regulations104 PRISAI RED
Government Reg. No. 2/2015 concerning Implementation of UU No. 7/2012 concerning Handling of Social Conflict Joint Reg. between MOHA, MoEF, PWH, and Head of BPN No. 79/2014, 3/2014, 1/2014, and 8/2014 concerning Procedures for Conflict Resolution on Land within Forest Area
OP/BP 4.01, 4.10 Grievance Presidential Decree No. 111/1999 P2, 3 P1, 3, 4 There is no specific and To set up ESMF that Mechanism and MOHA Regulation No. 52/2014 integrated mechanism for provides a Feedback and concerning Isolated Indigenous managing and resolving Redress Grievance Communities. grievances related to ER Mechanism (FGRM) for FGRM under the DG of PSKL activities. managing and resolving grievances related to Government Reg. No. 2/2015 implementation of ER concerning Implementation of UU activities. This mechanism No. 7/2012 concerning Handling of should be able to address Social Conflict cross-sectoral grievances Joint Reg. between MOHA, MoEF, PWH, and Head of BPN No. 79/2014, 3/2014, 1/2014, and 8/2014 concerning Procedures for Conflict Resolution on Land within Forest Area
OP/BP 4.07, Possible Law (UU) No. 32/2009 concerning P5 P6 Strong linkage between estate Avoidance of using harmful 4.09, 4.36 contamination to Environmental Management and crop (plantation) sector as the pesticides. A preferred soil and water as Protection. This law obligates any user of pest management with solution is to use Integrated result of pest development program in the private Bureau of environment. This Pest Management (IPM) sector to implement proper linkage or collaboration is techniques. This refers to
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Indonesian Safeguards* WB Safeguards Recommendation to Fill Aspects Compatibility/Gap Analysis Policies SIS the Gap Applicable GoI Regulations104 PRISAI RED
management environmental and social required to ensure proper and the principles outlined in practices considerations, including an strict monitoring of integrated pest AMDAL/UKL-UPL. environmental assessment, a management techniques. Empower the government management plan and a monitoring Additionally, contamination to soil executing agency (national plan and water is also relevant with and regional level), this law The aspect is also regulated by artisanal / illegal mining activities. mandates that provinces Government Regulation No. 27 Year and districts develop a 2012 concerning Environmental strategic environmental Permit, where each business and/or assessment that will guide activity (project) plan mandates an the regional strategies on Environmental Permit if an AMDAL pest management (i.e., or UKL-UPL assessment is required. integrated pest management)
OP/BP 4.04 Possible loss of Law (UU) No. 32/2009 concerning P5, 6 P6, 7 Laws and regulations are in place Encourage involvement of natural habitats Environmental Management and on protection of forest, threatened concession holders and biodiversity Protection. and endangered species at the (forestry, plantation and Law no. 5/1994 regarding national and provincial levels. mining sectors) to adopt conservation of biodiversity and There is no specific regulation on high conservation value ecosystem. This regulation refers to assessing natural habitats and principles. Sustainable international conventions on key biodiversity areas. High forest management needs to biodiversity conservation values have been be enforced among private companies in forestry Law no 41/1999 regarding forest. identified at non-forest designated sector. This regulation defines forest status land. and functions, including those There is No. effective strategy to Sub-national government related to conserving biodiversity halt massive encroachment into needs to establish measures for protecting abiotic natural MoEF Regulation No.. 83/2018 national park. This encroachmet resources (e.g., geopark defines the roles and responsibilities is allegedly organised by a designations, karst, of DG Law Enforcement at sub- national farmers’ union (SPI) megalithic artifacts, and national level (including conflict other physical cultural resolution) resources)
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Indonesian Safeguards* WB Safeguards Recommendation to Fill Aspects Compatibility/Gap Analysis Policies SIS the Gap Applicable GoI Regulations104 PRISAI RED
OP/BP 4.10 Indigenous Masyarakat Hukum Adat is P2, 3 P1, 3, 4 The analysis provided in the The ESMF provides a risk Peoples and recognized by the constitution SESA document identified based framework for Adat Land (article 18) overlapping areas between Adat addressing the potential Adat land rights stipulated in land and forest and plantation ERP impacts on indigenous Forestry Law No. 41/1999 and concessions (Palm Oil), which peoples, particularly Adat Minstry of Home Affairs No. suggests potential risks (e.g., Land rights 54/2014. tenurial conflicts and access restrictions following improved Jambi Government has issued a forest management). Provincial Regulation on the Guidelines for the Recognition of The realization of Hutan Adat Masyarakat Hukum Adat Melayu in rights is not a clear-cut process. Jambi (Provincial Regulation No. Before the MoEF can transfer 2/2014); Perda no. 8/2016 Merangin Hutan Adat rights to communities, District on recognition of Marga Masyarakat Hukum Adat need to Serampas; and Perda Jambi No. be recognized by their regional 5/2007 that collectively recognises governments, either at the level of all existing indigenous communities district or province. (including Orang Rimba) in Jambi
OP/BP 4.12 Access Presidential Decree No. 111/1999 P2, 3 P1, 3, 4 ERP may involve delineation of Access Restriction Planning Restriction to to and MOHA Regulation No. 52/2014 areas with high conservation Framework (ARPF), designation of concerning Isolated Indigenous values (HCV). These areas may Resettlement Planning areas under ERP Communities. be under protection by forestry Framework (RPF) and FGRM under the DG of PSKL and/or plantation concessions. Process Framework (PF) Such protection may result in need to be developed to Government Reg. No. 2/2015 restriction of access to livelihood identify program-affected concerning Implementation of UU (e.g., access to farmland, hunting people, and ensure that No. 7/2012 concerning Handling of ground, customary forest, or proper procedures are Social Conflict access to cultural sites). There is available to address issues Joint Reg. between MOHA, MoEF, currently no specific mechanims related to access restriction PWH, and Head of BPN No. to address resettlement of forest (and potential relocation that 79/2014, 3/2014, 1/2014, and dependent communities and may be needed). Further,
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Indonesian Safeguards* WB Safeguards Recommendation to Fill Aspects Compatibility/Gap Analysis Policies SIS the Gap Applicable GoI Regulations104 PRISAI RED
8/2014 concerning Procedures for access restriction to natural specific issues on restriction Conflict Resolution on Land within reserves and/or other protected of access among indigenous Forest Area areas (national parks). peoples need to be addressed in IPPF.
OP/BP 4.11 Impacts on Law No. 11/2010 about Cultural P3, 5 P4 Cultural sites that have not been The ESMF needs to provide physical cultural Heritage states that cultural heritage recognized by the government, framework for preserving resources needs to be preserved and but have cultural values need to and reporting unexpected protected. These sites are be preserved by the ERP (e.g., discovery of physical cultural recognized by the government Megalithic artifact in Kerinci and resources through issuance of a decree. Geopark in Merangin).
Notes: * The list of applicable GoI regulations contains the most relevant regulations related to the issues/risks. More regulations at the project implementation level are described in the SESA and ESMF. Between SES-REDD+, PRISAI, and SES-REDD+, SIS-REDD+ is the most recognized and nationally accepted and is most frequently referred to in Indonesia.
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This table indicates that the key gaps in addressing environmental and social management consist of:
▪ Presidential Decree No. 111/1999 and MoHA decree 52/2014 are compatible with OP/BP 4.10 regarding the identification and recognition of Indigenous Peoples by the state, as well as in the inclusion of the Indigenous Peoples in welfare improvement, even though the GoI does not have a regulation that specifies the use of a particular IPPF for a project. In order to be fully compatible with World Bank’s OP/BP 4.10 and 4.11, a more specific FGRM and IPPF for J- SLMP and ERP are needed;
▪ The current regulation on land tenure conflict and social conflict is compatible with OP/BP 4.10 and 4.11, although no specific procedures are required for a project. Joint regulation (MoHA, MoEF, MPW, and ATR/BPN) recognises the tenurial rights of Indigenous Peoples and provides guidance for land acquisition. Although the existing regulation is fully compatible with the World Bank OP/BPs, an ESMF and environmental management and monitoring plan specific to the ERP will be needed;
▪ Current regulations on forest boundary delineation (Regulation MoEF No.43/2013) consider the rights of the communities. Furthermore, Presidential Regulation No. 88/2017 describes options, which consist of the exclusion of existing land claimed by the community from forest designation; land swap with areas elsewhere; rights for use through social forestry and/or environmental partnership; and relocation. Considering the possibility of relocation of communities from the designated forest areas, the ERP needs to consider OP 4.12. Additionally, there is the possibility that access restriction and relocation may also occur in palm oil plantations currently found in APLs. However, Presidential Regulation No. 71/2012 on Land Acquisition for the Public Interest is the only regulatory framework on relocation/resettlement105; and
▪ The lack of dedicated mechanism to address Involuntary taking of land, resulting in relocation or loss of shelter; loss of assets or access to assets; loss of income sources or means of livelihoods, whether the affected persons must move to another location; or involuntary restriction of access to legally designated parks and protected areas resulting in adverse impacts on the livelihoods of the displaced persons. Such mechanism should apply to all sub- projects and/or interventions under the ERP that result in involuntary resettlement, regardless of the source of financing.
This table also shows gaps in the compatibility of existing safeguard mechanisms. The seven safeguards principles from COP 16 (Cancun Principles) were used to develop the national level safeguards. The process of developing the national safeguards consisted of106:
▪ Aligning the Cancun Principles with existing instruments at the national level (e.g., AMDAL, PHPL, HCV, SESA and others). This step resulted in the elements that form the basis for developing PRISAI;
▪ Analysing the practicality and effectivity of the above elements as indicators of REDD+ implementation and achievements. This process resulted in the recommendations of which
105 Palm oil and forestry allocations may not be considered as in the public interest. 106 Pusat Standardisasi dan Lingkungan. 2013. Pinsip, Kriteria dan Indikator untuk Sistem Informasi Safeguards REDD+ (SIS- REDD+) di Indonesia
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elements need to be monitored. The result of this step included the development of parameters for SIS REDD+; and
▪ Conducting a gap analysis between the Cancun Principles and REDD+ elements at the national level to be discussed with key stakeholders. This resulted in the refinement of PRISAI and SIS REDD+.
The above process continued with discussions at the sub-national (provincial) level that consisted of the following steps:
▪ Aligning PRISAI and SIS-REDD+ with the provincial targets and using the Cancun Principles as the main references. This alignment was also aimed to adapt the above principles to address the local context in Jambi. This step identified 11 strategic issues that can be aggregated into three main categories on land tenure, governance, and communities; and
▪ Adopting principles, criteria and indicators with issues specific to Jambi. These principles, criteria and indicators were consistent with PRISAI, SIS-REDD+ and Cancun Principles.
Therefore, it is logical to use the SIS-REDD+ for the ERP in Jambi. It is consistent with the international and national safeguard mechanisms; and it completes the national safeguard by addressing specific issues for Jambi. A specific regulatory framework is needed for developing and validating an agreed benefit sharing mechanism for national to sub-national and grass root levels.
Disaster prone areas are identified in the provincial spatial plan. The spatial plan covers areas with a risk of natural disasters such as floods and landslides. These areas are distributed throughout the province. Policy on spatial pattern takes the disaster-prone areas into consideration in the designation of protected areas in Jambi Province. The structure of Jambi Spatial Plan includes policies for infrastructure development. Unless involved in the revision process, the ERP may not be able to alter this plan, even in the case of infrastructure development (e.g., road) in forest areas. The full assessment of the gap analysis is presented in Appendix A1 of this report.
Overall, except for the lack of principles in PRISAI relevant to the risk of deforestation from over logging and timber plantations, information from Table 18 shows that there are no significant gaps between Indonesian safeguards and World Bank safeguards policies. The gaps that were identified were used to provide guidance on the development of the ESMF. With the gap analysis results as presented in Appendix A1, the SESA and ESMF highlight the need to strengthen the existing safeguards related to Indigenous Peoples participation, grievance mechanisms, access to forest resources, environmental and social management and monitoring programs. Among all environmental and social aspects, indigenous peoples are the most important aspect that needs to be emphasized in ER program design. The development of an Indigenous Peoples Planning Framework and the inclusion of Indigenous Peoples in other management plans are crucial to ensuring that the ERP complies with the World Bank safeguard policies.
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7.0 ENVIRONMENTAL AND SOCIAL IMPACT AND RISK ASSESSMENT107
As part of the assessment in the SESA, the environmental and social impact assessment is based on the identification of environmental and social risks. The impact assessment was conducted to identify the type and severity of impacts (if risks are not mitigated or managed), and to provide the basis for developing an environmental and safeguard management framework.
The strategic issues that have been identified are based on the baseline data in Chapter 5.0. These issues were also identified during the deliberative process during public consultations. Strategic issues are linked with the underlying causes and main drivers of deforestation that will be addressed by the ERP. As described in Section 5.6, social and environmental impact indicators are identified as follow:
Social Indicators
1. Conflicts and disputes in forest and non-forest areas (e.g., plantation conflicts, revocation of mining permits, encroachments);
2. Access restriction to land and natural resources;
3. Social tensions due to influx of migrants;
4. Impacts received by indigenous peoples;
5. Loss/Damage to physical & cultural resources;
6. Community Health & Safety;
7. awareness, management capacity and participation;
8. Institutional capacity to manage potential environmental & social risk;
9. Gender and social inclusion;
Environmental Indicators
10. Area of forest encroachment
11. Fire hotspots occurrences;
12. Loss of natural habitat and Biodiversity;
13. Contamination and Pollution; and
14. Leakages and reversals.
The impact assessment for ERP components and sub-components in this chapter was done by assessing the risk of ERP implementation associated with any of the above categories, as well as with key issued established in Section 2.2.2.
107 A slightly different and new components and sub-components are being finalized and will be used in the final SESA document
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7.1 COMPONENT 1: STRENGTHENING POLICY & INSTITUTIONS
Component 1 consists of the following three sub-components:
▪ 1.1. Institutional Strengthening;
▪ 1.2. Enabling Environment for Emission Reduction Program; and
▪ 1.3 Policy and regulations.
This component will address mainly environmental indicator on leakages and reversal (peat moratorium), as well as social indicators on:
▪ Institutional capacity to manage potential environmental & social risk;
▪ Increasing awareness, management capacity and participation;
▪ Impacts received by indigenous peoples;
▪ Gender and social inclusions; and
▪ Conflicts and disputes in forest and non-forest areas.
7.1.1 Sub-component 1.1: Institutional Strengthening
The output of this component consists of REDD+ readiness in form of regulatory and institutional framework to justify the proposed emission reduction initiatives in Jambi Province. Analysis of linkages between Sub-component 1.1 of the ERP with the above mentioned issues is summarised in Table 19.
Table 19 Summary of analysis of issues related to Sub-component 1.1.
Source of Key Issues Context Analysis Data/Information
Forest Rapid growing Forest encroachment occurs due to land clearing http://jambi.tribunews Encroachment encroachment due for community plantation. This is triggerred by the .com/2018/04/13/mar to lack of cross needs for livelihood and low awareness among ak-perambahan- sectoral local communities. Land clearing also occurred hutan-di-jambi-ahli- coordination due to the lack of cross-sectoral coordination sebut-hal-inilah- (e.g., FMU and plantation agencies, village penyebabnya government with concession holders)
Unauthorized Institutional Forest requires proper protection and Manurung, E, F. Activity strengthening management according to its ecological functions. Penegakan hukum (logging, trough coordination Illegal logging that occurred in Bungo District lingkungan terhadap mining, among stakeholder suggests the weak coordination among agencies, illegal logging dalam plantation) and law the lack of legal repercussions due to ecological upaya perlindungan enforcement will loss, and the lack of law enforcement. hutan di Kabupaten prevent and will Deforestation and loss of forest resource due to Bungo, Propinsi cope with illegal logging and other unauthorised activities in Jambi.http://lib.ui.ac.i unauthorized production forest now expanded to protected d/file?file=pdf/abstrak activities forest, national parks, and other conservation -111113.pdf areas. To address this issue, share of roles and responsibilities among stakeholders is needed. Narindrani, F. 2016. Government provides transparent and conducive Upaya Masyarakat regulations, private sector provides jobs and dalam Pencegahan
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Source of Key Issues Context Analysis Data/Information income for local people, while local communities dan Pemberantasan should take positive roles in social, economic and Pembalakan Liar di political interactions to support development in Indonesia. Jurnal forestry sector. These components should interact Penelitian Hukum. with each other, and run their functions in synergy Akreditasi LIPI: No:740/AU/P2MI- LIPI/04/2016
Peat land & Lack of cross There is a trend of increasing hotspot from 2013 Data analysis by PT Forest Fire sectoral to 2015, but this trend decreases after 2015. Hatfield, 2019. coordination will Nevertheless, peatland and forest fire is still Supriyanto, et all. lead into more considered as a major driver of deforestation in Analisis Kebijakan severe peat land Jambi, as it destroyed 13,720 ha between 2013 Pencegahan dan and forest fire and 2018. Pengendalian The weakness of land and forest fire policies is Kebakaran Hutan dan mainly due to the lack of cross sectoral Lahan di Provinsi coordination. Fire management is often reactive Jambi. Jurnal (responding when fire already occurs), rather than Pembangan preventive. Roles and responsibilities in fire Berkelanjutan. eISSN: prevention and management are not clearly 2622-2310 (p); 2622- distributed or shared among stakeholders. 2302 (e), Volume 1. no Moreover, there is a lack of rewards for local (1) 2018 communities upon successful efforts in Suhendri, et all. overcoming forest fire Penguatan There is a lack of effective institution for Kelembagaan dalam prevention and control of fire. There is weak law Pencegahan dan enforcement related to land and forest fire cases Pengendalian There is no coordinated efforts to educate and to Kebakaran Hutan dan promote sustainable agriculture/plantation Lahan di Kabupaten methods such as the use of non-burning methods Muaro Jambi Provinsi Jambi. Vol. 4 No. 1 February 2017. Journal of Governance And Public Policy Friskarini et all. Persepsi Petugas Sektor terkait tentang Kebakaran Hutan dan Upaya Penanggulangannya di Propinsi Jambi. 2013
Support system Peatland restoration is crucial for achieving the Peatland Restoration needed to NDC. Restoration needs to be done by restoring Agency. 2018. Defining monitoring, the ecosystem conditions and avoiding Reference Level to reporting and deforestation. This is done through proper estimate emission verifying emission planning followed by transparent monitoring, reduction from peatland reduction reporting and verification process according to the regulations.
Tenurial Licensing process & Spatial data analysis shows that 44.85% of the Data Analysis PT Conflict cumulative issue as WPK overlap with mining, plantation and timber Hatfield, 2019. the trigger of plantation concessions. tenurial conflict. And Overlapping land claim over forest area, cross sectoral uncoordinated license issuance, and ignorance to
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Source of Key Issues Context Analysis Data/Information coordination and indigenous peoples’ rights trigger tenurial conflict Epistema Institute. structured in forest areas. Collaborations, transparency, Menuju Kepastian dan institutional accountability and equal participations among Keadilan Tenurial. 2011 mechanism will parties may help resolve the tenurial conflict. https://www.gatra.com/r solving tenurial In 2017, there are 135 conflicts in forest estate ubrik/nasional/pemerint conflict. areas. Conflict resolutions may ensure community ahan-daerah/367023- access to forest areas, as well as increase in Penyelesaian-Konflik- community. Tenurial-Perlu- Partisipasi-Aktif-Para- Pihak
Social Conflict Stakeholder There is a sense of injustice in resolving tenurial https://www.academia.e Potential involvement and conflict in forest area. This is due to the du/26058370/Resolusi_ FMU empowerment imbalance of resource and land allocation from Konflik_Dalam_Pengelo will reduce the risk communities’ perspective. Conflict resolution is laan_Hutan_Untuk_Me of social conflict aimed towards settlements outside judicial court. ndukung_Implementasi This approach is facilitated by organisations that _REDD_ serve as mediators. Conflict resolution schemes need to consider criteria for forest preservation. Involvement of stakeholders in conflict resolution may contribute to persuasive settlements. There is a lack of capacity for preventing social conflict between migrants and local people / customary groups. Such conflicts occur in production forest and national park in Merangin District. Social conflicts also occur in Kerinci (Batang Merangin Sub-district)
Activity of Empowering There are customary communities residing in the Data Analysis by PT Indigenous institutional capacity WPK area. These communities are Marga Hatfield, 2019... People (district) and Serampas, Orang Rimba, Talang Mamak, Tamiai, Epistema Institute, stakeholders and Lekuk 50 Tumbi Lempur communities. Marga 2017. Pengakuan involvement will Serampas has received formal recognition Hukum terhadap help acknowledge through PERDA No. 8/2016 of Merangin District. Masyarakat Adat : the rights of Recognition of customary forest is a monumental Tren Produk Hukum indigenous peoples achievement in the administration of customary Daerah dan Nasional / adat communities rights in Indonesia. However, legal instruments for Pasca Putusan MK in forest area customary communities are still needed. 35/PUU-X/2012 Empowerment of institutional capacity at district level is crucial in ensuring this recognition, as district government is authorised to issue regulations (Perda) to recognise the customary communities.
Capacity building for forest administration provides officials with the capability to effectively manage, supervise forest areas. Strengthened institution will allow relevant authorities to address issues listed in the table above. Government capacity limitations may directly impact environmental management, especially regarding FMU sustainability and emission reduction. In addition, the acceleration of the implementation of the One Map Policy may reduce complexity in mapping for forest administration. Therefore, governments’ implementing the One Map Policy also needs to be encouraged to allow a comprehensive conflict resolution strategy.
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In the environmental sector, the implementation of this sub-component will result in some positive conditions/outcomes, such as:
▪ Improvements of protection of protected areas and peatland;
▪ Prevention of deforestation and degradation due to encroachments;
▪ Improvements of forest management practices / sustainable forest management by the FMUs; and
▪ Improvement of important biodiversity areas and ecosystem services.
Strengthening institutional capacity is linked with expectations such as:
▪ Capacity to handle complaints and resolve tenurial and social conflicts;
▪ Ability to provide access to alternative livelihoods, resulting in improved community livelihoods; and
▪ Social inclusion for vulnerable groups so that they receive benefits from programs.
Positive social impacts of this sub-component include:
▪ Improvements of coordination across sectors in generating ER benefit;
▪ Community empowerment and increased capacity for REDD+ implementation; and
▪ Improved readiness and capacity of government officials and private sectors for emission reduction activities.
Negative social impacts may include: conflicts between formal and customary law, including potential conflicts if incentive mechanism is not clearly understood by local communities and indigenous peoples.
Risks associated with this Sub-component include:
▪ Loss of livelihood upon license revocation (to overcome overlapping concessions), or ceasing the operation of artisanal mining activities (OP/BP 4.12 access/livelihood restriction);
▪ Potential delay in capacity building for conducting Environmental Assessment (OP/BP 4.01) and developing Environmental Action Plan (OP/BP 4.02);
▪ Agrarian reform can potentially alter natural habitat (OP/BP 4.04) and forest ecosystem (O{/BP 4.36); and
▪ Lack of reputable training providers for conducting Environmental Assessment (OP/BP 4.01), Environmental Action Plan (OP/BP 4.02), natural habitats management (OP/BP 4.04), and forest management (OP/BP 4.36).
Stopping of active mining operation will result in termination of mining productivity that affects the macro-economy of Jambi. Local communities may be involved in entry-level positions (e.g., housekeepers, gardeners, and general helpers) in mining operation, so there is a potential loss of livelihood of local people involved in this industry (e.g., employees, vendors and third party contractors). Upon termination of mining operation due to license revocation, mine closure plan (formulated by mining companies) will be used as guidance to deal with environmental and social risks. Similarly, stopping
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artisanal mining will potentially cause the loss of income for local people, as many people in Bungo and Merangin districts rely on this activitiy for their income.
There is a need to increase FMU capacity for the implementation of agrarian land reform (TORA). Allocation for TORA falls under the jurisdiction of FMUs, and will be related to Sub-component 1.1 on institutional strengthening (Map of TORA in Jambi is provided in Appendix A2). Communities obtaining a license under the TORA scheme will need to be facilitated by the FMU to ensure proper forest management. Therefore, skills in facilitating/mentoring for local communities will need to be improved.
At a larger scale, dispute settlement in forest areas follows Presidential Regulations No. 88/2017. These regulations contain strategies for resolving conflicts in forest areas that include social forestry and partnership schemes. Consequently, there is a need to improve National Park and FMUs’ capacity for implementing these schemes.
7.1.2 Sub-component 1.2: Enabling Environment for Emission reduction Program
Implementation of this Sub-component is expected to address several issues such as forest encroachment, unauthorised activities, peat and forest fire, social conflicts, lack of participation, and activity indigenous people. The summary of the impact analysis for Sub-component 1.2 is provided in Table 20.
Table 20 Summary of analysis of issues related to Sub-component 1.2.
Source of Data & Key Issues Context Analysis Information
Forest System for monitoring and Other Use Area (APL) in Jambi within the Pencegahan dan Encroachments reporting on encroachment WPK still has approximately 1,400 ha Pengendalian activities is needed to allow forest cover in 2017. This forest is part of Kebakaran Hutan effective protection the jurisdiction of BPDAS (Bureau of dan Lahan di watershed management) Batanghari. Provinsi Jambi. However, this forest cover decreases at Jurnal an average rate of 1.6% per year. Pembangunan There is a lack of proactive approach in Berkelanjutan. dealing with encroachment. Additionally, eISSN: 2622-2310 there is a lack of cross-sectoral (p); 2622-2302 (e), coordination (e.g., FMU and National Volume 1. no (1) Parks) when addressing encroachment 2018 issues. SMART (Spatial Monitoring and Reporting Tools) has been introduced for patrol activities in protected areas, However, this system is not yet adopted by FMU and BPDAS as a default system for monitoring and reporting on encroachment
Unauthorised Law enforcement Unauthorised activities such as illegal http://jambi.tribunne Activities mechanism is required to logging and mining are relevant with ws.com/2018/04/13/ address unauthorised MoEF. The directorate general of Law marak-perambahan- activities Enforcement (Gakkum) are the hutan-di-jambi-ahli- designated institution to deal with sebut-hal-inilah- unauthorised activities. However, the penyebabnya Gakkum is based in distant province
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Source of Data & Key Issues Context Analysis Information (North Sumatra), and is lacking personnel to respond to all unauthorised activities. Approach to address this issue may include awareness on legal and conservation aspects. Additionally, approach may also include alternative livelihood program to provide income/revenue to substitute the illegal activities.
Peatland and Early warning system and WWF (Rimba Corridor program) was MCA-I forest fire fire prevention systems are supported by MCA-I to installed an early WWF Rimba Corridor needed to anticipate risk of warning system in Londerang Peatland Program fire. Capacity to extinguish protected area (250 ha) in Tanjung peatland and forest fire is Jabung Timur District. In addition to the also a crucial part of detection equipment, this system includes REDD+ readiness in Jambi participation from local villagers and concession holders around Londerang to monitor and report any fire occurrences. This system needs to be replicated in other fire-prone areas.
Social conflict Tranparent benefit sharing Based on the Regulation from Minister of Epistema Institute, potentials potential may help reduce Environment and Forestry No.32/2015 2017. Pengakuan the risk of social conflicts regarding rights of forest, govenment is Hukum terhadap required to provide incentive for Masyarakat Adat : Tren management of customary forest. This Produk Hukum Daerah incentive needs to be distributed using a dan Nasional Pasca fair system. Putusan MK 35/PUU- X/2012
Social conflict between In 2018, there were at least two major Records from Kerinci migrants and local conflicts between migrants and local Seblat National Park communities and communities in Merangin and Kerinci Feasibility Study for indigenous peoples districts. These conflicts were triggered by Forest Programme II – migrants’ claim on customary land. Second location Conflicts of this type needs to be anticipated and resolved in order to comply with REDD+ requirements on clean and clear land status.
Lack of Perception and expectation The concept of performance-based Initial consultation Participation of stakholders on emission emission reduction payment may not be SESA reduction program well understood among stakeholders in FGD with local Jambi. Consequently, expectations may communities vary among stakeholders. Initial survey done as part of SESA in Jambi indicated that many stakeholders in Jambi (district agencies, local communities and customary groups) are not aware of BioCF or the ER Program. Lack of knowledge may lead to the lack of participation in the upcoming ER Program.
Activity of Recognition of customary Based on the Regulation from Minister of HuMa, 2013 Indigenous (adat) land becomes an Environment and Forestry No.32/2015 Perda No. 8/2016 people urgent aspect to ensure regarding rights of forest, govenment is Merangin District
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Source of Data & Key Issues Context Analysis Information inclusion of indigenous required to provide incentive for regarding recognition of people surrounding the management of customary forest. This Marga Serampas forest area. Implementation incentive needs to be distributed using a customary community of this subcomponent may fair system. Feasibility Study for face challenges, such as Marga Serampas customary group has Forest Programme II – tenurial conflicts and claimed 54,381 ha in Merangin and Second location disputes, governance risk, Kerinci districts (part of Kerinci Seblat lack of participation, and National Park) as customary forest area lack of accessible FGRM Orang Rimba is known to use forests in Batanghari, Merangin, Sarolangun and Tebo districts as their homerange
The table above indicates that dispute settlement is a response to tenurial conflict, governance risk (e.g., overlapping concessions), lack of participation, lack of access for FGRM and social exclusion. Cases above also show that cross-sectoral conflict resolution or dispute settlement is needed in the context of ERP. Jambi Province is looking into the possibility of setting up an integrated FGRM mechanism under the Governor, or designated provincial agencies. This is a good option for allowing cross-sectoral conflict mitigation and conflict resolution mechanisms in the province.
Currently, dispute settlement can be achieved through mediation by legal institution or by local leader such as Depati or Temenggung. Existing formal cases indicate that the disputes revolve around issues such as tenurial rights and access for agriculture practices (this also triggers social tension between migrants and local communities). Existing conflict resolution mechanism involves working group for tenurial conflict resolution (forestry sector), task force for resolving disturbances to plantation (plantation sector), and task force for resolving environmental complaints (mining and other sectors).
Yasmi (2012) shows that at least three underlying and interrelated factors enable conflict: (i) contested statutory and customary tenure; (ii) exclusionary conservation and economic development policies; and (iii) poor coordination between land use planning agencies. The range of observed conflict management techniques (negotiation, mediation, coercion, avoidance) reflected varying power relationships and political contexts. The techniques’ success in all cases was relatively low due to the complexity of addressing tenure and exclusion issues. The results underline the need to involve local people in the design of the evolving REDD+ mechanism, as well as to ensure their rights and benefits.108
Conflicts during REDD+ implementation have been documented in Kalimantan. In particular, conflict between indigenous leaders and Kalimantan Climate and Forest Partnership (KCFP) where BHP Billiton (a mining company) is one of the founding members.109 Despite involvement in the REDD+ initiative, BHP Billiton intended to conduct business as usual at the company’s 335,000 hectare coal mining concession in Maruwai, Central Kalimantan. This case provides an example showing the challenges in involving a mining company in the REDD+ scenario. Vested interest may be involved, as there are tax dependencies on mining sector and mining permits in protected areas. Lessons learned can be extracted from the mining moratorium done in Aceh. Under jurisdictional low emission development, the Aceh government issued a ban and revocation of mining licenses in biodiverse areas in the Leuser
108 Yasmi et.al. 2012. The Struggle Over Asia's Forests: An Overview of Forest Conflict and Potential Implications for REDD+. International Forestry Review 14(1). 109 Mining for REDD in Indonesia. World Rainforest Movement, Bulletin No. 167, June 2011.
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ecosystem. This caused a decrease in provincial GDP from mining sectors, but the mining companies owe the provincial government (approximately USD 3 million) non-tax revenue for reclamation obligations.110 A similar approach may be adopted for mining concessions under the ERP in Jambi Province.
Analysis provided in the table above shows that REDD+ readiness will address environmental and social issues. This intervention will have positive environmental impacts consisting of:
▪ Improved protection of forest and peatland areas;
▪ Prevention of forest encroachment due to effective patrolling and monitoring activities; and
▪ Implementation of best management practices on fire prevention to ensure integrity of the ecosystem.
Positive social impacts will include:
▪ Mediation of social conflicts;
▪ Mediation of tenurial conflicts;
▪ Potential benefit sharing from forest management and fire prevention mechanism; and
▪ Recognition of indigenous peoples.
The risks associated with this Sub-component are:
▪ Unauthorised activities may not be handled in timely manner due to the geographic and resource limitation of Gakkum. Delay in handling the illegal activities may create more damages to the natural habitat and forests (OP/BP 4.04, 4.36, and/or 4.10);
▪ Conflict escalation if excessive force (i.e., police and military) is used to handle unauthorised activities. Forceful approach may lead to conflict and legal prosecution towards law enforcement agencies in the name of human rights issues (OP/BP 4.12 should access and/or livelihood restriction occurs);
▪ Accummulation of social conflicts if not properly mediated, or if the benefit sharing mechanism is not accepted. Social conflicts may create risk for natural habitats and forest (OP/BP 4.04, 4.36) due to continued or increased encroachment acitivities resulting from the conflicts; and
▪ Exclusion of customary area from existing forest area (enclave or reduction of protected areas). This risk is relevant with OP/BP 4.10 on Indigenous peoples, as well as OP/BP 4.04 and 4.36 on natural resources and forest.
7.1.3 Sub-component 1.3: Policy and Regulation
This Sub-component is an overarching approach to strengthen regulatory framework. This approach is aimed towards improvement of forest and land governance. Summary of analysis is presented in Table 21 below:
110 M. Komalasari, S. Peteru. 2018. “Aceh, Indonesia” in C. Stickler et al. (Eds.), The State of Jurisdictional Sustainability. San Francisco, CA: EII; Bogor, Indonesia: CIFOR; Boulder, CO: GCF-TF.
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Table 21 Summary of analysis on policy and regulations.
Source of Key Issues Context Analysis Data/Information
Unauthorised / illegal Ineffective law Unresolved cases indlue: Kerinci Seblat Natioinal Park activities enforcement and Illegal mining activities occur in Forest Programme II partnership mechanism Merangin, Sarolangun, Bungo Feasibility study for second prevent optimal cross- and Tebo districts. In Merangin location sectoral coordination in alone, the known illegal mining / Zubayr, Manifas. 2014. dealing with artisanal mining areas reach Implementasi Kebijakan unauthorised activities. 1,227 ha. Penggunaan Kawasan Despite clear guidance Illegal activities within Kerinci Hutan untuk Pertambangan : on law enfocement Seblat National Park. These Perspektif Hubungan procedures, consist of coffee plantation Principal – Agent. IPB. management authorities (5,285 ha) in Merangin District, Bogor (national park, BKSDA, and horticulture (1,070 ha) in FMU and license Kerinci District; holders are not yet capable in prosecuting Palm oil plantation by migrants these illegal activities. (smallholders) and by Directorat General of corporation within production law Enforcement forest in Tanjung Jabung Barat (MoEF) has limited and Tebo districts. personnel to handle all Encroachment in the licensed unauthorised activities. timber plantation forest of PT Occassionally, police Lestari Asri Jaya (LAJ) whose and military are concession is located in Tebo involved in law District. enforcement measures Encroachment (palm oil and to deal with some mining) problem faced by PT cases. alam Bukit Tigapuluh, an ecosystem restoration concession holder in Tebo District.
Tenurial conflict Enforcement of policies Unclear boundary, lack of effective Independent forest and regulations may conflict resolution mechanism, and monitoring network help resolve tenurial unequal benefit sharing contribute to (Jaringan pemantau conflict cases triggering the tenurial conflict. independen kehutanan Conflict resolution can be done – JPIK) through conventional law, or through customary law. However, approach needs to be aligned with both laws to avoid conflicting approaches. Law enforcement approach on agrarian conflict may have implication on human rights claim from local communities towards the law enforcement officers/agencies
Social conflict potentials Partnership among Centralistic forest management Nofriana. 2016. Analisa Pola stakeholders will reduce only focuses on economic Kemitraan Restorasi the risk of social aspect that leads to excessive Ekosistem PT REKI dengan conflicts exploitation. Natural resource Masyarakat Batin Sembilan sustainability and its impact on di Kabupaten Batanghari the surrounding communities Provinsi Jambi. Universitas are often neglected. This Andalas
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Source of Key Issues Context Analysis Data/Information condition triggers social conflicts. Policy and regulation should shift its focus on community development and partnership with local communities to establish community-based forest mangement, or social forestry mechanism.
Lack of community Community or The strategy to increase, Zainuddin, Rosyani & participation stakeholder strengthen knowledge, and Haryadi. 2019. Partisipasi
participation can be promote community participation masyarakat dalam improved (encouraged) can be done through pencegahan dan through partnership socialization, community pengendalian kebakaran development participation, training and lahan gambut di hutan improvement of supporting lindung gambut Londerang, facilities. Provinsi Jambi. Jurnal Community empowerment is Pembangunan crucial to increase knowledge. Berkelanjutan 2(1) Such empowerment will encourage participation in preventing and controlling peat and forest fire.
Implementation of this sub-component will have positive impact to support proper forest & land governance. In addition, policy and regulation on recognition of customary rights will help achieve resolutions of tenurial conflicts in customary land (customary law is well respected in some areas); reduce governance risk; encourage participation; and provide the basis for accessible FGRM. This sub- component will also promote positive impact, as it will help better harmonization among local communities, official government, private sector and other stakeholders.
Implementation of this Sub-component shall support stakeholders’ roles and functions in upholding the regulations. Furthermore, contributions from private sectors in emission reduction can also be defined in this Sub-component. The roles of privates sectors may be crucial in benefit sharing mechanism. Research and policy analysis from credible institution can provide solid bases for establishing policies on carbon trading and emission reduction111.
Positive environmental impacts of this Sub-component include:
▪ Improving prevention to forest encroachment,
▪ Strengthening forest management practices, and
▪ Improved capacity of FMU to manage forest and other ecosystem services [enhancing biodiversity]
111 https://www.cifor.org/acm/download/pub/wk/warta08.pdf
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This sub-component will have positive social impacts such as improved readiness and capacity of government, community and private sector. Negative social impacts may occur if the mechanism of incentive has not been clearly understood and agreed by relevant stakeholders.
Risks associated with this Sub-component may include delay in establishing the policies/regulations. This will cause:
▪ Delay in setting up community empowerment and partnership mechanism needed for conducting Environmental Assessment (OP/BP 4.01) and developing Environmental Action Plan (OP/BP 4.02); and
▪ Delay in formal recognition of Indigeous peoples (OP/BP 4.10), and subsequent conflict resolution process involving customary laws.
7.2 COMPONENT 2: IMPLEMENTING SUSTAINABLE LAND MANAGEMENT
Component 2 consists of the following sub-components:
▪ Sub-component 2.1: Integrated Forest and Land Management ;
▪ Sub-component 2.2: Private Sector Partnerships for improved Forest and Land Management (concessions): and
This component will address mainly environmental indicators on:
▪ Loss of natural habitat and Biodiversity;
▪ Fire hotspots occurrences;
▪ Area of forest encroachment; and
▪ Contamination and Pollution. leakages and reversal (peat moratorium), as well as social indicators on:
▪ Access restriction to land and natural resources;
▪ Institutional capacity to manage potential environmental & social risk;
▪ Community Health & Safety; and
▪ Impacts received by indigenous peoples.
7.2.1 Sub-component 2.1: Integrated Forest and Land Management
Baseline data analysis shows that Sub-component 2.1 is relevant to six Key Issues. A summary of the analysis is provided in Table 22.
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Table 22 Summary of analysis of issues related to Sub-component 2.1.
Source of Data & Key Issues Context Analysis Information
Forest One Map Policy, Forest encroachment is relevant with spatial Supriyanto, et all. Analisis Encroachment and agreement to plan, boundary demarcation, and economic Kebijakan Pencegahan protect forest issues. Considering these issues, in most dan Pengendalian through social cases there are conflicting policies, sectoral Kebakaran Hutan dan forestry, approach and lack of pro-active approach for Lahan di Provinsi Jambi. conservation, and dealing with forest encroachment. Jurnal Pembangan restoration will Forest encroachment threatens the existence Berkelanjutan. eISSN: improve forest of biodiversity and its habitat. Encroachment 2622-2310 (p); 2622-2302 encroachment in Tebo District (within concession of PT LAJ) (e), Volume 1. no (1) 2018 prevention disturbs the elephant corridors (approximately http://jambi.tribunnews.co strategy 150 elephants) m/2018/04/13/marak- Forest encroachment in Merangin and Bungo perambahan-hutan-di- districts may disturb the tiger population in jambi-ahli-sebut-hal-inilah- Kerinci Seblat National Park (approximately penyebabnya. 168 tigers)
Unauthorised Rapid increase of Borrow-use system in forest area allows Zubayr, Manifas. 2014. activities unauthorized expansion of mining operation into production Implementasi Kebijakan activities is due to forest. Within the WPK, more than 140,000 ha Penggunaan Kawasan Hutan unclear boundary of mining license is currently overlapping with untuk Pertambangan : demarcation, and timber plantation concession. The presence of Perspektif Hubungan the lack of mining concession opens door for Principal – Agent. IPB. Bogor commitment in unauthorised activities due to weak conservation and contractual commitments to restore the forest restoration within and implement proper environmental the forest area assessment. In addition, there is limited capacity for law enforcement among management authorities. Mining activities in forest area may cause pollution and contamination that can be harmful to the forest ecosystem (e.g., waste, emission and noise from generators and engines, damage to the landscape due to mining activities, and road/housing construction)
Peatland and Lack of boundary Burning is commonly used for opening and Grand Design Pencegahan forest fire demarcation, preparing land for palm oil plantation by Kebakaran Hutan, Kebun dan commitment for smallholder farmers. Additionally, farmers also Lahan 2017-2019 conservation and use fire for preparing the ladangs, and the Spatial analysis on fire restoration are cycle is repeated every 2 to 3 years. This hotspot, Hatfield Indonesia cumulative issues leads to unsustainable agriculture practices. that trigger peat Fire used in this land preparation may spread land and forest to a larger areas. fires In the WPK, there is 150 ha of palm plantation that overlaps with timber plantation forest concession. This poses risk of forest fire within the WPK. Fire also threatens important carbon sink in peatland area such as Londerang
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Source of Data & Key Issues Context Analysis Information
Tenurial Unclear mapping Tenurial conflict in forest area is often Warman, K et all. Studi conflict and boundary associated with the need for land for Kebijakan Penguatan demarcation will agriculture practices (livelihood aspect). The Tenurial Masyarakat lead into tenurial object of the conflict is the land parcel within dalam Penguasaan Hutan. conflict forest area, and the conflicting parties may ICRAF. ISBN include local people, migrants, indigencous 9789793198613 peoples, and forest management authorities (national Park, FMU and BKSDA). Forest management authorities need need to include neutral facilitators or conflict mediators to resolve the conflict.
Social conflict One Map Policy, Social conflict is often related with tenurial Grand Design Pencegahan potential Social Forestry is conflict. Social conflict is caused by unclear Kebakaran Hutan, Kebun dan needed to reduce boundary and low social capital of conflicting Lahan 2017-2019 social conflict communities. The loosing party may not be potential. able to compete for land outside forest area, and may be driven to claim the lands under forest designation.
Decentralized Escalation of conflicts between local Independent forestry forest communities and company indicate weak monitoring network (Jaringan management commitments of license holders to fulfill the Pemantau Independen needed due to social obligations to the local communities. Kehutanan – JPIK), decrease social There is no effective measures to resolve the Desember 2018 conflict potential conflicts, even by companies with PHPL (sustainable production forest) and VLK (wood legality verification) certifications.
Activity of Local wisdom & Credible (trusted and reliable) customary Oktoyoki, H. 2016. indigenous Social forestry institution can be highly regarded by the Kelembagaan Adat dalam people scheme will help community, and may support sustainable Pengelolaan Sumberdaya the existence of forest management (i.e., customary forest) Hutan (Studi Kasus pada indigenous people Customary institution is capable for socially Masyarakat Kerinci). IPB. within the forest controlling the attitutde of the local Bogor area communities (within the customary group). Traditional forest management in Kerinci (Hutan Adat) shows an example of local wisdom used in forest management. The success of forest management is indicated by the density and diversity of trees within the Hutan Adat.
Government capacity limitations may directly impact environmental management, especially regarding FMU function for sustainability and emission reduction and sustainable forest management. Acceleration of the implementation of the One Map Policy is needed, for it may reduce complexity in mapping for forest administration. Therefore, governments’ implementing the One Map Policy also need to be encouraged to allow a comprehensive conflict resolution strategy. The FMU is the leading stakeholder under this Sub-component.
There is a need to increase FMU capacity to support implementation of agrarian land reform (TORA). Communities obtaining a license under the TORA scheme will need to be facilitated by the FMU to ensure proper identification of forest area (i.e., unproductive area, and changing the forest status to
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other use area), as well as ensuring that principles for preventing environmental and social risks are adopted by the new “owners” of the area. Therefore, skills in facilitating/mentoring for local communities will need to be improved as well within the FMU.
At a larger scale, dispute settlement in forest areas follows Presidential Regulations No. 88/2017. These regulations contain strategies for resolving conflicts in forest areas that include social forestry and partnership schemes. Consequently, there is a need to improve FMUs’ capacity for implementing these approaches as well.
Furthermore, fundamental issues faced by FMUs include conflict with the community over communal rights, either access in and around the forest; limited support for funding sources from the central or regional government; lack of harmony between the FMU and the District, Provincial and Ministry of Forestry officials; Limited synergy among actors in the FMU; and ineffectiveness of performance appraisal at the FMU level on sustainable forest management.112
Challenges in improving the function of FMU include improving the quality and quantity of human resources, especially in recruitment process. Current capacity within FMU revealed that 56% of technically-capable employees were recruited at national level, and only 44% were recruited locally. In addition, subjectivity and personal favouritism still occur during recruitment. Furthermore, FMUs urgently need important capacity in managing conflicts or resolving problem, especially when confronted with dispute settlement in overlapping rights in areas with concessions or customary land.
The role of the FMU in licensing needs to be strengthened and justified. FMUs can provide technical recommendations during licensing process for large corporations. During licensing process for micro / small scale businesses, FMU can be given a more significant role beyond recommendations.113 For this reason, governance guidelines for licensing by FMU are needed. FMU that can operate well (i.e., model FMU), can serve as an instrument in good forestry governance.
In the context of ERP, development of FMU should be strengthened toward sustainable forest management. It will bring positive impacts in environment and social aspects through improvement and resolution in tenurial conflict and dispute; capacity building of official; overcome governance risk; increasing participation of stakeholder; increasing access to FGRM; facilitating social inclusion; and open access to human livelihood surrounding the forest area. Actions to accelerate the development of independent and strong FMU are also relevant with aspects such as infrastructure, capacity building and financial scheme.114
Sustainable forest management can benefit from spatial planning at village level (village spatial plan). Village spatial planning will encourage proper allocation of land-uses within the village. Based on environmental point of view, this will encourage identification proper use of natural resources (existing and potentials), as well as allocation of restricted areas to prevent depletion of resources therein. From social perspective, village spatial planning encourages participatory planning; thus reducing potentials for social conflict, tenurial conflict, and disputes. At the same time, the implementation of this sub- component will decrease the risk of land governance, and will address the lack of participation from
112 Serial Makalah Kebijakan Kesatuan Pengelolaan Hutan. Isu Saat Ini dan Rekomendasi Kebijakan. 2017. TNC & Yayasan Konservasi Alam Nusantara 113 Strategi Pengembangan FMU dan Perubahan Struktur Kehutanan Indonesia. 2014. Direktorat Jenderal Planologi Kehutanan – Kementerian Lingkungan Hidup dan Kehutanan & GIZ. 114 Butarbutar, T. 2017. Percepatan dan Pengarusutamaan Pembangunan FMU menuju Hutan Masa Depan. Rembug Nasional Lingkungan Hidup dan Kehutanan. GIZ
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stakeholders. Additionally, village spatial planning / participatory planning process puts value on social cohesion among stakeholder to collaborate in land utilization.
Challenges in strengthening village spatial plan consist of overlapping land allocation of concession, accumulation of unresolved problems and conflicting licenses. These may pose complications to the village spatial planning process, as these need to be resolved beforehand. Another challenge is the lack of capacity from relevant agencies (e.g., Village Empowerment and Development Agency and FMU) to facilitate proper village spatial planning and participatory planning processes.
Positive environmental impacts from this Sub-component include:
▪ Improved quality of biodiversity as protected areas within forest estate;
▪ Sustainable practices and reduced forest conversion;
▪ clear boundary will improve forest area management by FMU;
▪ Reduced forest degradation and deforestation (reduced carbon emission); and
▪ Better protection or restoration for peat land.
Positive social impacts include:
▪ Improved capacity of community group related to sustainable forest management;
▪ Increased community participation in forest management (gender and social inclusion); and
▪ Improved management on forest conservation.
Risks associated with the implementation of this Sub-component are:
▪ Unequal opportunity to participate among the communities. This is also relevant with benefit sharing mechanism that needs to be agreed among the communities to avoid social conflicts. Such conflict may lead to continued (or increased) use of forest land for cultivation (OP/BP 4.04 and 4.36 on natural habitat and forest);
▪ Conflicting interest between livelihood and conservation may threaten natural habitats and forests (OP/BP 4.04 and 4.36);
▪ One-Map Policy may take a long time to launch, in the absence ot this policy, a concensus is needed to prevent discrepancies or inconsistencies in forest estate management (OP/BP 4.36);
▪ Ineffective restoration model will yield low survival rate, so the forest does not fully regenerate to its natural state (OP/BP 4.36);
▪ Degradation of indigenous values due to modern influences (OP/BP 4.10), so these values can no longer be optimised for managing the local communities, or to maintain forest and ecosystem (OP/BP 4.36 and 4.04);
▪ Resources for village land use planning may be limited, so this participatory process may take longer than anticipated. Limited resources may reduce the quality of environmental assessment (i.e., the presence of ecologically important area) needed in village land use planning (OP/BP 4.01 on environmental assessment and 4.04 on natural habitats).
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7.2.2 Sub-component 2.2: Private Sector Partnerships for improved Forest and Land Management
Summary of the analysis for Sub-component 2.2 is provided in Table 23.
Table 23 Summary of analysis of issues related to Sub-component 2.2.
Source of Data & Key Issues Context Analysis Information
Forest The use of Technology that minimises the needs for land Jambi Forestry Agency Encroachment technology and expansion for agriculture (i.e., intensification of development of post-harvest processing) has not been production chain implemented. Most of the local communities still with sustainable cling on the opinion that wealth corresponds with mechanism to the size of land for cultivation. prevent forest The potential of non-timber forest products, or encroachment wood by-products (e.g., wood vinegar) has not been fully explored
Unauthorised Provision of There are 368,232 ha of social forestry allocation FMU Kerinci; activities alternative in Jambi. Social forestry may be optimised to by FMU Sarolangun livelihood to local communities to prevent land grabbing and IDH The sustainable substitute land claims. The challenge of social forestry trade initiative income from scheme is to generate sufficient income for the illegal activities group, so it motivates the group to maintain sustainable forest management. WARSI, FFI and several other NGOs have provided support for establishing social forestry licenses for community groups in Kerinci, Merangin, Sarolangun and Bungo Districts. FMUs have provided support for production and marketing of NTFP commodities such as coffee, honey, and Kepayang (Panglum edule) IDH and SETARA Foundation supported 30,000 smalholders palm oil farmers in Tanjung Jabung Barat to obtain legal status of their plantations. This is part of the agreement to comply with ISPO and RSPO certification. These certifications provide farmers with access to palm oil market with better price compared to conventional palm oil market.
Peatland and Sustainable MoEF operates a forest fire brigade known as the MoEF, Manggala Agni, forest fires peatland and Manggala Agni for regional Jambi. This unit InfoJambi.com April forest works with community fire prevention team 2017 management, (Masyarakat Peduli Api-MPA) trained for equipped with monitoring and prevention of fire. law enforcement The MPA is currently operates throughout local and fire communities in Jambi. In 2018, MPA in nine prevention villages in Sarolangun District were supported by initiatives Sinarmas Agribusiness. Similarly MPA in two villages in Tanjung Jabung Barat received support from PT Dasa Anugrah Sejati (subsidiary of Asian Agri)
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Source of Data & Key Issues Context Analysis Information Support from private sector (companies) for MPA can be replicated in the context of sustainable peatland and forest management.
Social Conflict Capacity Palm oil plantation company should be Ekonomi & Bisnis, Potential building and encouraged to provide education and capacity March 2017 awareness building support for the surrounding villages. This raising are is done to help strengthen the link and needed to coexistence between the company and local reduce the risk communities as part of palm oil plantation of social conflict business; Thus, decreasing the social conflict potentials. Currenlty, 42% of the plantation companies in Jambi are not integrated with local communities. Fair trade and partnership need to be implemented starting from the initial set up (e.g., compensation mechanism), preparation, maintenance and harvest of the palm oil commodities.
Activity of Capacity Private sector should respect indigenous land Gatra, February 2019 Indigenous people building for tenure. Land grabbing case still occurred in Republika, January indigenous Jambi, as palm oil plantation PT Indo Kebun 2019 people will help Unggul claimed 2,053 ha of customary land increase belonging to Suku Anak Dalam Tribe in participation of Batanghari District. indigeneous In contrast, SKK Migas and PetroChina provided people in educational support to children of Suku Anak production chain Dalam Tribe in Bukit Suban Village, Sarolangun District, as part of their Corporate Social Responsibilities (CSR) program. The two cases show negative and positive influences that private sector imposes on indigenous peoples. The latter example can be expanded or replicated to other indigeneous communities that will potentially be affected by the ERP. This approach is not intended for shift their views away from the traditional knowledge, but rather to allow sufficient capacity for these indigenous people to make decisions during socialization and FPIC of the upcoming ERP.
Implementation of in this sub-component are related to best practices and sustainable management of palm oil plantations. Data show that 1,412 ha of forested area exists in the APL. Therefore, the village government needs to be involved in this scenario. Consequently, strengthening the capacity of the provincial and district government (as well as vilage government) to supervise and monitoring is required in the context of sustainable estate crops done by smallholder farmers and by palm oil companies.
Facilitation of sustainable palm oil plantations will optimize production and promote best practices. Sustainable plantations (e.g., RSPO, ISPO) can help reduce degradation, and it will be achieved when the capacities of the above-mentioned stakeholders are enhanced. Sustainable plantations can be
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achieved with effective cooperation from all stakeholders. Indonesia targets for increase palm oil production to 40 million tons by 2020115, this development needs to be accompanied by environmenal and social considerations. Other principles to support sustainable estate crops include High Conservation Values (HCV). Principles of HCV can be applied in plantation sector and can ultimately contribute to the protection of natural resource at provincial scale.
Sustainable agriculture is the innovation that bring new treatment in agriculture, that can be expected to: (1) conserve the natural resource and prevent the degradation of soil, water, and air quality; (2) contribute to the economic and social well-being; (3) ensure a safe and high-quality supply food and other agricultural products; (4) safeguard the livelihood and well-being of farmers to live harmony with environment.116 Align with the goal of sustainable agriculture, innovation of new technologies usually applied in sustainable agriculture efficiently reach optimum productivity. In palm oil plantation, PPKS (Pusat Penelitian Kelapa Sawit) is developing bio-molecular technology to improve conventional cultivation systems. Application of tissue-culture multiplication can increase production potential to more than 10 tons of crude palm oil per hectare.117 This innovation will diffuse smoothly with the support of village government official to communicate with community, and promote the benefit of innovation with villagers and other relevant stakeholders
Furthermore, increasing the capacity of government officials (provincial & district) will also have a positive effect on social conditions surrounding plantation area, including indigenous peoples residing therein. Positive impacts may include higher participation of stakeholders in protecting the natural resources surrounding forest areas to support sustainable estate crops. This sub-component also seeks to address plantation conflict by supporting the Working Group for resolving disturbances to plantation activities (currently under the administration of Plantation Agency at provincial level. Empowering provincial and district governments mean increasing the numbers and capacity of staffs involved in the conflict resolution. Ultimately, this will improve the mechanism at district level. This can be part of the proposed FGRM (proposed to be integrated under provincial government).
The implementation of this Sub-component will yield positive impacts on the environment consisting of:
▪ Sustainable practices on plantation sector and reduced forest conversion;
▪ Clear boundary will improve forest area management by FMU, and concession management by private companies;
▪ Reduced forest degradation and deforestation, and
▪ Reduced forest & peat land fire.
Meanwhile, the potential negative impacts are:
▪ Mismanagement and improper implementation will reduce the quality forest environment; and
▪ Technogical advance may have negative impacts to the environment (e.g., pollution, contamination and reduced soil/water qualities).
115 https://rspo.org/news-and-events/news/studi-bersama-isporspo-sebuah-pencapaian-penting-dalam-kerjasama-mewujudkan- minyak-sawit-berkelanjutan-di-indonesia 116 Syuaib, F, M. 2016. Sustainable Agriculture In Indonesia: Facts And Challenges To Keep Growing In Harmony With Environment. Vol. 18, No. 2. AgricEngInt: CIGR Journal Open access at http://www.cigrjournal.org 117 https://kalimantan.bisnis.com/read/20170719/452/672684/kelapa-sawit-inovasi-teknologi-pacu-produktivitas
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Potential positive social impacts from this Sub-component are:
▪ Improved access to forest by the forest conservation partnership scheme; and
▪ Sustainable income generation for local communities and indigenous peoples.
Potential negative social impacts are:
▪ Potential obstacle or bottleneck of value chain due to miscoordination among related stakeholders; and
▪ potential social conflict in applying technological advance since will use less community to involve.
Sub-component 2.2 needs to anticipate risks, such as:
▪ Lack of market for Non-timber forest products (NTFP) or forest by-products. This will demotivate the community groups who will return to business as usual activities of encroaching the forest. This risk of reversal is relevant with OP/BP 4.04 and 4.36 on natural habitat and forests;
▪ Social forestry mechanism that does not go beyond licensing (i.e., no post-licensing activities), and do not generate revenue for the groups will have risk of reversal. Group members may not get adequate revenues, and may revert to illegal activities that generate more revenue. Consequently, this will create more damage to natural habitats (OP/BP 4.04) and forest ecosystem (OP/BP 4.10);
▪ Forest fire prevention activities may pose health and safety hazard for the local communities (members of MPA). Combined with the lack of sufficient incentives to compensate the hazards, MPA may become inactive, and fire may not be monitored or prevented properly. This may create damages to the natural peatland and forest ecosystems (OP/BP 4.04 and 4.36);
▪ Unfair arrangement and/or weak partnership between private companies and local communities may drive local communities to expand the plantation in order to gain more revenue. Plantation expansion will create damage to the forest and/or peatland ecosystem (OP/BP 4.04). The use of burning methods will damage the peatland and forest areas (OP/BP 4.10);
▪ Due to the lack of access to organic pesticide, smallholder farmers may still use inorganic pesticides and fertilizers in their plantation. The same case may also applies to palm oil and plantation companies participating in the ERP. Therefore, OP/BP 4.09 on pest management may apply to this Sub-Component; and
▪ Intervention to increase capacity of indigenous peoples poses the risk of “modernisation” that causes the indigenous communities to abandon their traditional values. This is relevant with OP/BP 4.10 on indigenous peoples.
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7.3 COMPONENT 3: PROJECT MANAGEMENT, MONITORING AND EVALUATION, AND REPORTING
Effective and efficient project management will result in tangible benefit for the program and the same time effective monitoring, evaluation and reporting will provide strong basis for emission reduction program and carbon accounting that will provide input to future benefit sharing mechanism.
Result-based payment is a crucial part of the proposed BioCF in Jambi. The so-called result will be defined from a specific performance evaluation area (Wilayah Penilaian Kinerja – WPK). In Jambi, the WPK covers 2,262,722 ha, or approximately 45% of the total area of Jambi Province. The size of WPK in each district is presented in Table 24.
Table 24 WPK areas in each district in Jambi Province118
Districts WPK Area (Ha) Batanghari 151,661 Bungo 194,855 Kerinci 206,857 Merangin 409,626 Muaro Jambi 495,145 Sarolangun 426,012 Tanjung Jabung Barat 443,227 Tanjung Jabung Timur 446,569 Tebo 354,296 Sungai Penuh 23,962 Grand Total 2,262,722
These tables show that the largest area in the WPK is national parks, and the district with the largest WPK is Merangin. Based on these tables, Component 3 of the PDO/ERP will be relevant with authorities in the WPK area consisting of:
▪ Central government agencies (MoEF Directorate General Conservation of Natural Resources and Ecosystem)
o National park authorities; and
o Bureau of Natural Resource Conservation (BKSDA).
▪ Provincial government
o Forest Management Unit (FMU); and
o Grand Forest Park (TAHURA) management.
▪ District government for ERP activities in APL, or at village level.
Component 3 of the PDO consists of the following two Sub-components:
118 As data is still being gathered, there migh be sligh (minor) different in WPK size data.
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▪ Sub-Component 3.1: Result-based payments and benefit sharing; and
▪ Sub-Component 3.2: Program Management and Monitoring & Evaluation.
7.3.1 Sub-Component 3.1 and 3.2: Program Management, Monitoring and Evaluation, and Reporting
Project management is an overarching component to ensure that other components are impelemented properly. All of the activities under this Sub-component deal with managerial concern such as policy, data, institution, and other instruments. The significance of this sub-component is to support functions such as coordination, management, monitoring, evaluation, and communication. Summary of analysis related to the key issues is provided in Table 25.
Table 25 Summary of analysis relevant with Sub-component 3.1 and 3.2
Source of Data & Issues Context Analysis Information
Social and Effective Social conflict can be prevented or resolved using a Law No. 7/2012 tenurial conflict program dedicated mechanism. Social conflict is addressed by Regulation Minister of potential management will Indonesian Law (Undang-undang) No. 7/2012 Environment & Forestry reduce the risk regarding resolution of social conflict. This include 84/2015 of social conflics the establishment of preventive measures (i.e., early Pedoman Teknis warning system on social conflict), and the penanganan gangguan responsibility to keep a peaceful and conducive dan konflik usaha situation. Involvement of village and sub-district perkebunan. Ministry of government in the ERP will facilitate the prevention of Agriculture. 2016 social and tenurial conflicts. In forestry sector, regulation from Minister of Environment and Forestry No. 84/2015 shall be used as guidance to resolve tenurial conflict in forest estate. Involvement of Independent team for tenurial conflict resolution in forest estate (IPKKTH team) is crucial for handling tenurial conflicts. Plantation and mining sectors are also equipped with regulation and technical guidance for resolving tenurial conflict. These should be included in program management and monitoring to help prevent or resolve social and tenurial conflicts.
Lack of Effective Public accountability is seen in the intervention of Grand Design Pencegahan community program Peatland Restoration Agency (BRG). This agency Kebakaran Hutan, Kebun dan participation management, worked in an area of 2.4 million hectares in 731 fire- Lahan 2017-2019 reporting, prone villages nationwide. Performance and lessons monitoring and learned of BRG intervention are documented, and evaluation are disseminated to public. This approach is requires expected to increase awareness of public on involvement of peatland fire. relevant Communication strategy needs to be developed to stakeholders, ensure that information reach the targeted audience. including local Similarly, communication system should also include communities. a mechanism to allow feedback from the audience. This also applies This can be facilitated in a dedicated FGRM for the FGRM mechanism to be implemented as part of the ERP
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For this sub-component, coordination and management will bring positive indirect impact in environmental aspect, for this program will fill in the weakness and challenges in some of the related issues (e.g., social/tenurial conflict and disputes that urgently needed strong coordination among stakeholder). In the process of forest governance and program implementation, conflict and institutional issues would arise, and would need to be addressed. The lack of participation during coordination might be caused by the lack of capacity, incentives, and information related to forest governance and environmental sustainabilitiy.
Potential negative impact on social aspect would include informal (i.e., “under the table”) agreement as illegal procedure between stakeholders in accelerating problem solving in the field. Ideally, the structure of coordination and management mechanism among stakeholders should be well-defined and well- structured to ensure clear and proper role sharing. Such mechanism is expected to minimise the risk of colution and/or corruption.
The implementation of monitoring and evaluation is predicted to help improve social and environmental governance. Therefore, it is expected to have positive indirect impacts in reducing tenurial conflicts; coping with risk of governance system; and tackling the lack of participation of official that might come from constraint in capacity for monitoring and evaluation.
Moreover, this sub-component provides data that stakeholders can use to formulate strategies and actions (adpative mangement), and encourage stakeholders’ involvement to reduce deforestation. In parallel, the capacity of government officials needs to be increased, in order to implement monitoring and evaluation orderly with the standard competence to formulate and implement follow up actions. There is a risk of inadequate quality of data resulting from activities in components 1 to 4. To prevent this, capacity building and proper training are required prior to conducting monitoring and evaluation activities.Communication is a key for success of program implementation. A good communication strategy is expected to bring many indirect positive advantages. Knowledge management and program communication will allow documentations of success and failures in addressing environmental and social risks. Knowledge management system and communication would enhance lessons learned and the knowledge sharing experience. Ultimately, this would provide opportunities for improving the strategies (learning from previous implementations). Program communication would specifically support efforts for resolving tenurial conflicts, as well as increasing participations. Additionally, program communication will allow participation of stakeholders in formulating approaches to prevent deforestation and degradation.
Details of communication process need to be adjusted to ensure comprehensions by stakeholders (that may come from vary type of socio-cultural backgrounds). For this reason, program communication is predicted to support mediation in social conflicts or facilitate resolution process. Ultimately, program communication will encouraege active participation of stakeholders.
Accomplishment of emission reduction requires communication pattern among the stakeholders, as this pattern would facilitate them to solve and find solution for issues and discourses in achieving emission reduction objectives. Additionally, this process also needs knowledge and proper understanding from government authorities, since the substance as communication material should align with policy, plan and program prevailed in the local, district, provincial, national, and international scale. Communication process needs persuasive ability from these authorities as well.
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8.0 POLICY IMPLICATIONS AND PROPOSED RECOMMENDATIONS
8.1 KEY ENVIRONMENTAL AND SOCIAL CONSIDERATIONS
This SESA identifies the risk and potential impacts related to the ERP implementation. The identification process resulted in a set of key environmental and social considerations, which were the basis for developing the ESMF.
8.1.1 Environmental Considerations
Spatial data analyses show that the targets for ER programs (production forest, protected forest, plantation concession and forest cover outside forest areas) overlap with habitats of endangered species, as well as with key biodiversity areas. Therefore, key environmental considerations for ESMF may include:
▪ Development of a Biodiversity Management Framework for the Project, or inclusion of biodiversity management under HCV allocations or non-carbon benefits;
▪ Addressing the risk of access restrictions due to protected area and HCV allocations;
▪ Introduction of sustainable management of forest and palm oil to ensure best practices (including optimising the use of organic and/or biodegradable pesticides); and
▪ The risk of deforestation and degradation due to alternative livelihoods provided in the ERP (e.g., aquaculture).
8.1.2 Social and Political Considerations
The SESA identified the following social and political considerations:
▪ Review and revision (if necessary) of the spatial plan. The Jambi spatial plan was formalised in 2016, and was criticised for favouring the mining and palm oil plantation sector. It is possible to review the spatial plan in 2021. It is recommended that Multi Objective Land Allocation (MOLA) analysis is done to define optimal land use that can accommodate economic growth, as well as reduce emissions;
▪ Provide guidelines and/or technical manuals (Petunjuk Pelaksanaan and Petunjuk Teknis) to follow up on the moratorium, and to anticipate social and environmental risks from license revocation. This may be linked with the needs to institutionalise ESMF applications at provincial and district levels;
▪ Establish a cross-sectoral grievance redress mechanism (e.g., conflict resolution desk) that allows response and mediation on existing or past conflicts. It is important to resolve these conflicts, and to avoid further accumulation of conflicts in carbon accounting areas of the ERP;
▪ Establish a mechanism for addressing involuntary resettlement (if triggered) and access restriction due to forest delineation and/or palm oil HGU; and
▪ Establish and formalise a benefit sharing mechanism to allow proportional fund flows to eligible recipients.
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At the program level, social considerations may include:
▪ Community economic development program to substitute the loss of restriction to forest resources due to boundary strengthening for private sectors;
▪ Enforcing FGRM and establish a project contact person to facilitate any complaints and to use the existing mechanism as the main conflict resolution platform. This may include the development of a one-roof FGRM mechanism (possibly under the Communication and Information Agency) to allow cross sector FGRM (e.g., plantation, forestry and mining sectors);
▪ Establish a social mapping database and regularly update to reflect the dynamics of social issues;
▪ Address the risk of access restriction due to protected area and HCV allocations;
▪ Regular monitoring of the social forestry program to avoid any failures that can be a trigger to open forest areas and/or more deforestation;
▪ Prepare a proper Indigenous Peoples Planning Framework (IPPF) and conduct training with relevant stakeholders;
▪ Create an alternative community economic development program that can substitute livelihoods where trees are currently cut from forests. In the ERP, Component 5 will address this issue through several programs, including alternative livelihoods, ecotourism, and access to finance;
▪ Effective scheduling and planning, which are required to minimise the risk of delay in capacity building activities;
• Proper identification of credible trainers and/or training institutions to deliver the required capacity building sessions;
• Encourage participation of local farmers groups on the forest and land fire management program/community based forest and fire management;
• Encourage participation from private sectors on land and forest fire management; and
• Development of a Gender Action Plan for the ERP.
• Community economic development program to replace restrictions on access to forest resources within the private sector concession area;
▪ Running FGRM and facilitating every complaint using existing mechanisms as a conflict resolution platform, including the development of cross-sectoral FGRM mechanisms;
▪ Develop a social mapping database and regularly update to reflect the dynamics of social problems;
▪ Address the risk of access restrictions due to protected areas and HCV allocation
▪ Regular monitoring of social forestry programs to avoid failures that can be a trigger for opening up forest areas leading to more deforestation;
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▪ Prepare an appropriate Indigenous Peoples Planning Framework (IPPF) and conduct FPIC training with relevant stakeholders;
▪ Develop alternative economic development programs that can replace community livelihoods including access to the financial system;
▪ Effective scheduling and planning of capacity building activities;
▪ Identification and capacity building needed;
▪ Encourage the participation of local groups in forest and land fire management / community based forest and fire management programs;
▪
8.1.3 Policy Analysis
Key policy issues consist of the lack of cross-sectoral collaboration, overlapping boundaries, dual land administration systems between forest and non-forest management, HCV management within concessions (both forestry and non-forestry concessions), operationalization of FMUs, empowering smallholder farmers (palm oil), addressing tenurial conflicts and disputes, including grievances and access restriction.
8.1.3.1 Strength of existing policies
National policy on moratorium in forestry concession (presidential decree no. 6/2017) is is part of forestry management, and is relevant for application to avoid overlapping boundaries among forest concessions. Renewal of moratorium map, currently under Decree of MoEF No, 3588/2018 is underway, and needs to be maintained to ensure updated information. In addition, Presidential instruction (Inpres) No. 8/2018 on palm oil moratorium may help provide leverage for resolving overlapping licenses.
Currently, Governor’s regulation No. 36/2012 and Governor’s Decree No. 352/2013 validates the Provincial Action Plan, and Provincial Strategy and Action on REDD+ respectively. However, the Medium Term Development Plan and the Provincial Development Plan have not fully accommodated the principles in these two regulations119.
Strength of existing policies also include Perda No. 2/16 regarding prevention of forest fire, and Regulation of Jambi’s Governor No. 31/2016 regarding operational manual for forest fire prevention. Policies conducted by Agency of Energy and Mineral Resources to withold / postpone mining license issuance due to incomplete requirements. This can be considered as a strength of the policies to support ERP.
Participatory planning may help reduce the risk of conflicts and disputes. Under Perda No. 1/2018, provincial development planning in Jambi must be developed based on participatory prcess form village, sub-district, district and provincial levels through development planning workshop (Musyawarh Rencana Pembangunan – Musrenbang). This policy would support the planning and implementation of ERP.
119 Study by Kemitraan on Initiative of Green Development. 2019
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8.1.3.2 Improvements to Address Environmental and Social Risks
Based on the above environmental and social considerations, improvements and/or changes in existing policies should consist of (but not limited to):
▪ Strengthening Law No. 4/2009 regarding mining moratorium need to be done at provincial level (through Decree or Perda). Strengthening shall include the requirements for environmental and social audits on existing mining concessions. The regulation needs to allow sufficient period for environmental recovery, as well as to address commodoties other than coal (e.g., limestone and gold);
▪ Overarching provincial policy to support integrated FGRM (initiative was observed within Provincial Secretariat / Sekda) to centralised conflict resolution mechanism from plantation, mining and forestry sectors under coordination of Sekda;
▪ Policies on sustainable forest mangement such as HCV need to be established to enforce their applications among companies in forestry and plantation sectors; and
▪ Policies to encourage capacity building among FMU staffs and village officials. This should address the gaps in human resource capacity for managing forest and non-forest areas, as well as support the operationalisation of FMUs.
8.2 CAPACITY BUILDING NEEDS AND ENGAGEMENT STRATEGIES
Prelimanary analysis done for stakeholders in Jambi, consist of National Park Authorities, Forest Management Unit (FMUs), provincial government offices (OPDs), and NGOs showed that most of them have already had the capacity to deal with REDD issues, either through regulation and enforcement (OPDs), capacity to work with local and adat communities and to solve tenurial conflicts (NGOs), and also to deal with environmental issues (Environment Office for general environmental and social issues and Plantation and Agricultire Offices for matters related to pest management). This capacity analysis is provided under appendix A9.
One of the issues is related to coordination between PPI and Provincial Government in Jambi. Although some improvement has been made, in general there is a need to continue the dialogues between the two groups. The latest development was that there has been a written agreement between the two to work collaboratively, especially with the informal establishment of a special-dedicated team in Jambi to deal with BioCF issues, especially those related to completing the ERPD. These 22 individuals of Jambi team consist of government officials from related offices, NGOs, National Park Authorities, FMU, and Sekber.
To properly implement the ERP, capacity development will be required to ensure readiness of local communities, and district and provincial governments to undertake key activities outlined in the ERP. The capacity building needs identified in the SESA are:
▪ Community training related to management and business development for non-timber forest products, as well as technology to support intensification;
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▪ Community training/capacity development for small holders and private sectors as well as government institutions related to sustainable crop farming and on ESMF;
▪ Community training/capacity development related to access to finance and sustainable agriculture programs (especially on post harvesting technology for added value);
▪ Capacity building for FMUs (provincial government) and relevant government institutions on ESMF;
▪ Capacity building for integrated FGRM to allow cross-sectoral coordination; and
▪ Capacity building for government and private sector related to dispute resolution and handling of complaints, as well as environmental and social management and monitoring programs (ESMF and ESMP).
Engagement strategies recommended to strengthen ERP implementation are:
▪ Enforcement and strengthening of the existing safeguards including ESMF for relevant stakeholders (especially private sectors as well as government institutions). This will be done through provincial and district governments;
▪ Strengthening FGRM for the project level and link to the national FGRM (under the MoEF, DG of PSKL). DGPPI, P3SEKPI and SEKBER are key stakeholders for strengthening of the FGRM;
▪ Provide transparent information on the social forestry licensing process to enable effective monitoring of permit and concession boundary violations. This is done with local communities and FMUs through socialisation and FPIC consultations; and
▪ Development of IPPF with clear definition of Indigenous Peoples, masyarakat hukum adat, and contribution of Adat in social forestry schemes. This will be done with relevant customary institutions in Jambi Province.
8.3 FINANCIAL REQUIREMENTS AND RESOURCES (INDICATIVE)
Indicative financial requirements and resources were identified based on the environmental and social risks, as well the institutional capacity assessment provided in Appendix A6 of this report. Chapter 7.0 has identified 15 environmental and social risks that need to be mitigated using safeguards principles in line with SIS REDD+. Furthermore, Chapter 6.0, sub-chapter Chapter 6.4 provides recommendations fot addressing the gaps for mitigating the abovementioned environmental and social risks.
8.3.1 Resources
Technical resources for mitigating environmental and social risks include:
▪ Assessment of nature and scale of impacts of ERP. This assessment needs to complement the existing AMDAL and/or UKL-UPL;
▪ Screening process to complement exisiting AMDAL and/or UKL-UPL regulations. This process needs to be strengthened for identifiying potential impacts related to involuntary resettlement/access restriction, indigenous peoples, and physical cultural resources;
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▪ Formulation of environmental codes of practices (ECOP), especially for agroforestry, aquaculture and ecotourism activities;
▪ Setting up integrated FGRM to address cross-sectoreal grievances. Provincial Secretariat (SEKDA) of Jambi is working towards integrating conflict resolution mechanism for plantation, forestry and mining sectors;
▪ Inclusion of strategies to avoid the use of harmful pesticides, and encourage the use of organic pesticides through Integrated Pest Management (IPM) techniques. This needs to be built upon the capacity to produce organic pesticides, and introduce its use to farmers and existing plantations;
▪ Application of sustainable forest and plantation management principles including (but not limited to) HCV, ISPO and RSPO;
▪ Protection of natural resources in designated areas (e.g., protected forest, nature reserves, game reserves and national parks) which includes flora and fauna, as well as abiotic components; and
▪ Formulation of access restriction and resettlement plans based on procedures for land aqcuisition for public uses involving findings from land aqcuisition commitee at district and provincial levels.
Institutions120 and relevant resources to ensure ERP implementation and undertake safeguard measures include:
▪ Government institutions involved at central, provincial and district levels (BPSKL, Forestry Agency, Social Forestry Working Group, Social Agency);
▪ Resources required for ESMF training are Provincial Environmental Agency and Forestry Agency;
▪ Partners for implementing the ERP are SEKBER, DKN, NGOs and donor agencies;
▪ There is a potential involvement of governor’s office or provincial secretariat (SEKDA) as a hub for the FGRM mechanism;
▪ DGPPI and P3SEKPI as the authorities for the ERP, and the Forestry Agency as the monitoring agency;
▪ Involvement of conservation NGOs for establishing biodiversity management framework or HCV, and to facilitate its implementation; and
▪ The provincial environment agency will be required to provide resources for training on enforcement of regulations, ESMF, FGRM, IPPF, GAP, and the Biodiversity Management Framework.
120 Details are described in Appendix A6 on institutional capacity assessment
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8.3.2 Indicative Financial Requirements121
The following are indicative financial requirements relevant for mitigating the environmental and social risks of the ERP. Detailed calculation has been completed for the implementation of ESMF and related frameworks for J-SLMP (with possible overlapping with ERP) and included in the revised ESMF main document:
▪ Various assessments and screening processes may include a total of 30 assessments (three for each district / cities), @ 3,000 USD per assessment = 90,000 USD;
▪ Formulation of ECOP and its inclusion into provincial and district development plans in ten districts/cities, @ 6,300 USD per formulation = 63,000 USD;
▪ Setting up integrated FGRM (equipments and infrastructure) @ 12.000 USD; and
▪ Protection of Natural Resources and operation of FMU (patrol in 24 FMUs) ; @ 19,600 USD per FMU per year = 470,400 USD.
Indicative financial requirements for capacity building may include:
▪ Training and capacity building program for private sectors in Jambi (e.g. on HCV and RIL-C): three batches of training in the Province, @ USD 15,000 x 3 training courses = USD 45,000;
▪ Training and capacity building program for private sectors in Jambi related to RPF, FGRM, and IPPF: three batches of training in the Province, @ USD 15,000 x 3 training sessions = USD 45,000;
▪ Training and capacity building program for smallholder plantations and large plantation companies in Jambi related to ESMF, RPF, FGRM, and IPPF: four batches of training in the Province, @ USD 20,000 x 4 training sessions = USD 80,000;
▪ Development of ECOP. The work will be sub-contracted to third parties (university, consultants) at an estimated cost of USD 200,000. The scope will include: baseline data collection, identification of sensitive habitats, workshop on biodiversity program, and development of BAP; and
▪ Training on Non Timber Forest Product business development plan: USD 15,000 each in 10- 11 districts (at the community level).
▪ Training on Conflict Resolutions (Refer to Standard Biaya Kegiatan PKTHA /Government/KLHK’s Standard) at 1,500,000,000 IDR / year consisting of: o Workhop on conflict management 255,000,000 IDR o Software development and operation 315,000,000 IDR o Awareness kit 105,000,000 IDR o Trainings (conflict assessment & management): 615,000,000 IDR; and o Conflict mediation / facilitation: 210,000,000 IDR ▪ Training for FGRM, FCPF, IPPF, and RPF-PF is being calculated.
121 This is indicative cost calculation. Detailed calculation is being provided by BioCF Finance team that will refers to government cost standards.
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9.0 SUMMARY OF CONSULTATIONS
As discussed in Section 2.5, various consultations were done to develop the ERPD, program design, SESA and ESMF. A summary of consultations is provided in Table 26.
Table 26 Summary of consultations on the ERP.
Topic What is the Issue Relevance to REDD+ Recommendations
Kick-Off Meeting Joint ▪ PDO result-chain MRV, Safeguards, and The key point discussed were related to the interna arrangement within government of Preparation Mission BioCF ▪ Annual Work Plan initial design of the ERP Indonesia especially DJPPI, BAPPENAS< and Government of Jambi related to the ISFL implementation of BioCF-ISFL, the role of stakeholder in Jambi in anticipating of BioCF ▪ Procurement Plan ISFL preparation and implementation, cmmittmen t from Jambi Government to ▪ Draft Grant implements BioCG-ISFL, the ole of Consultants in preparing related documents for BioCF- Agreement ISFL, especially on safeguards as strictly followed up by the WB, Grant Agreement ▪ Aide of Memoire preparation and signing for BioCF-ISFL between the World Bank and KLHK. ▪ ToR Individual Some of the emerging concerns are related to the readiness of Government of Jambi to Consultant prepare and implement the BioCF-ISFL and the complicated vertical and horizontal ▪ Concept Note coordination as currently experienced in most cases in Indonesia, including in Jambi. From the meeting it was discovered that the Government of Jambi showed positive development toward the preparation and implementation of BioCF-ISFL as shown from the issuance of Government Decree on the Formation of BioCF Team/Taskforce and increased of understanding on the part of the Jambi Government on the role of BioCF- ISFL as al long term, low carbon, and green development for Jambi; the active participation of key stakeholders in Jambi; finalization of ToR for individual consultants to support the preparation of BioCF-ISFL including the consultant on safeguards. A few followed ups would be conducted especially in relation to increasing communication between Bappenas and Ministry of Finance related to Grant Agreement, better communication between Jakarta and Jambi on the preparation of BioCF-ISFL PDO and other documents, and the widening of stakeholder’s involvement in Jambi.
Joint Mission BioCF-ISFL ▪ PPG Procurement, Part of REDD+ The mission agreed that continued refinements of the results framework and monitoring Lol, Financial readiness process arrangement with interactive follow-up sessions and email communication with the M&E agreement progress, specialist would take place in the next four months and would be presented to the next AWP mission. ▪ ERP Document
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Topic What is the Issue Relevance to REDD+ Recommendations ▪ Result chain & Pre- invesment activities ▪ Agriculture framework ▪ Private sector ▪ ER allocation ▪ Benefit Sharing Mechanism ▪ Safeguards
Focus group discussion ▪ Identification WPK As a document that ▪ The presentation of SEA stated that at this time a program design for Biocarbon (FGD) of identification of REDD+ supports the preparation Fund ISFL is needed, and how to portray the causes/drivers & strategy for handling potential locations for ▪ Deforestasi and of ERP it deforestation and forest degradation ▪ The obstacles to the implementation of the Jambi ERP at this time include, degradation and peat procedurally, the issuance of the Decree regarding the involvement of elements damage (1) from the SKPD (provincial agencies) ▪ Data used for ERP, at least the last 10 years ▪ The existence of data and maps that are likely to be different, even though the data (both) are sourced from Government agencies ▪ In KPH/National Park/Tahura/BPHP Units, generally the problems that occur are community forest encroachment expansion, forest fires, illegal logging, unlicensed plantations (oil & rubber), plantation investors (non local Jambi), forest encroachment for oil palm and rubber, encroachment in the inter-zone buffer zone, lack of implementation of good governance from various relevant stakeholders, tenure conflicts, peat decomposition, illegal mining, land use (mining, gardens, agriculture), unsustainable forest management ▪ The agency mapping for data availability is in accordance with the required basic data (attached ppt slide-13), from the basic data they can be developed again in accordance with the progress of deliberative discussion and process ▪ Pre-identification of the main drivers that cause issues in the forestry sector (attached-xl), will be met again by the audience in accordance with the next plan of follow-up discussion
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Topic What is the Issue Relevance to REDD+ Recommendations
Focus group discussion ▪ Identification WPK ▪ Verification of Main ▪ Participants to complete information on the main causes and things that underlie (FGD) of identification of REDD+ Drivers & Causes of Deforestation and Degradation, with supporting data potential locations for ▪ Deforestasi and Deforestation and ▪ Participants deliver information on the social and environmental impacts of the deforestation and forest degradation degradation arising issues, along with the required program plan directions, this input can degradation and peat ▪ Screening of SESA strengthen PDO and the details of its activities program details in participants' slide damage (2) Issues ▪ As per initial information from the previous info recap and screening support from ▪ Identification of spatial data processing, several issues have been addressed Social & ▪ In the process of ensuring that the issue on the second day was obtained a short Environmental list of agreed issues was 7 points Impacts ▪ Based on cluster issues that arise from the participants' discussion, several ▪ PDO and ERP alternative locations for public consultation areas are proposed, the next screening Consolidation can be arranged in accordance with the consideration of the basis of spatial data ▪ Identification of the processing and expert judgment Area of Public Consultation
Interview the perceptions of Interview related to the ▪ Verification of Main More than half of the respondents stated ignorance of the details of the emission key stakeholders in the Bio Carbon Fund, drivers Drivers & Causes of reduction program, its relevance to REDD +, and its role in the implementation process sample districts (Bungo, of deforestation, related DD later. However, most stakeholders hope that the program can be applied at the local Merangin, Sarolangun, stakeholders, fund ▪ Screening of SESA level at the district level, so that the benefits of the programs and subprograms can be Kerinci and Tanjung Jabung management Issues directly felt by the related units in the field in dealing with the dynamics that occur at this Timur) mechanisms, important time.
issues and future expectations
Focus group discussion know the problems of SESA & ESMF Main issues raised were related to forest conversion to oil palm, illegal logging, (FGD) of six villages natural resource encroachment, limited alternative livelihood, and the use of chemical agriculture inputs (Beringin Tinggi, Guguk, management, the root of Discussions on measures to address environmental and social issues include: improving Kandis Dendang, Pandan the problem, the parties access to markets, stabilising prices for daily needs (sembako), improving skills and lagan, Sungai beras, & involved, and the technoogy for added value, identification of NTFP potentials (non-carbon benefit), Rantau kermas) and 1 solutions offered development of village enterprise (BumDes), improving access for ecotourism, indigenous people community-based patrol implementation, stopping illegal mining operation, community- based peatland rehabilitation, training on prevention and control of forest fire, peatleand rewetting, non-burning method for agriculture, allocation of sustainable agriculture (especially for marginal and isolated communities, including customary communities),
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Topic What is the Issue Relevance to REDD+ Recommendations production and use of organic fertilisers/pesticides, socialisation of social forestry schemes, increasing gender participation in sustainable land use, increasing commitment of companies (inclusion of local communities in companies’ business),
Public consultation at ▪ Introduction of BioCF ▪ SESA & ESMF While in the main purpose of these meetings were to get feedbacks from local district level in Tanjabtim and activities that ▪ Leakages between stakeholders on the draft safeguard documents being prepared by consultants, the and Merangin (attended by can be supported at districts, and meeting also provides an opportunity to introduce BioCF-ISFL for those that were new to representatives from district level. between provinces this planned program. Tanjung Jabung Timur, ▪ Update information ▪ Existing regulatory Some of the issues raised in Tanjbtim District were related to Community economic Tanjung Jabung Barat, on existing social instruments at development aspects, including supports to non-timber forest product (NTFP) marketing Muaro Jambi, and forestry, sustainable district level (e.g., and peatland management. The following were some of the main issues discussed: Batanghari, Kerinci, plantation, and Perda No. 18/2013 • The future focus of the district in next Medium-Term Development Program 2021- Sarolangun, Tebo, and sustainable on land for 2026 is to manage its peatland sustainably under the icon of “Peatland Friendly Bungo) agriculture practices sustainable District”. This is due to the coverage of peatland as much as 62% in this district. ▪ Challenges in agriculture, and FGD will be done to discuss the meaning of “Peatland Friendly District” for peatland 13/2013 on Tanjabtim. management, corporate social and • Some issues in Tanjabtim including land conservation from agriculture to Oil Palm is quite high including fire environmental • There is potential for developing Social Forestry (SF) in Tanjabtim (currently there prevention responsibilities are 8 SF licences in Tanjabtim, but it should be focused on the whole aspect of ▪ Additional driver of social forestry starting from preparation for licencing, forest management, deforestation production, marketing, and up to processing of non timber forest products. (mangrove) outside • Forest fires is still one of the main deforestation issues in Tanjabtim due to its large the WPK peatland coverage. Efforts to prevent and control forest fires were usually ▪ Illegal oil mining in intensified during the long dry season or El Nino years. grand forest park • There is regulation on the protection of prime agriculture land (LP2B), but the implementation is still problematic due to untargeted subsidies from the (Taman Hutan Raya government. Thorough evaluation of the implementation of this regulation will need / Tahura) under to be done to find out best future implementation. provincial forestry • The government has encouraged the communities to plant Jelutong tress, but after agency the latex is collected by communities, there is no market (note: Jelutong is one of the commodities that is going to be supported by BioCF).
In Merangin District, some of the important issues were related encroachment and illegal claims of forest land especially by outside migrant (mostly from South Sumatra, Lampung and Bengkulu leading to further deforestation and social conflicts, the emerging role of
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Topic What is the Issue Relevance to REDD+ Recommendations indigenous people that need recognition from government, unclear boundary of villages leading to conflicts between villages. ▪ It was expected that with the support from BoCF-ISFL, issues related to the markets for some Non-Timber Forest Products (Jelutong in Tanjabtim) and products from social forestry could be resolved as Bio-CF-ISFL has consultant to help with this issue. To deal with forest and social conflicts, beside supporting local institution to deal with these issues especially on capacity building and budget increase, the role of local communities and local wisdoms and local BGOs should be revitalized in solving some issues related to deforestation and social issues.
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APPENDICES
Appendix A1
Issues
Appendix A2
Spatial Analysis Maps
Appendix A3
Records of Consultation Processes
Appendix A4
SESA Terms of Reference
Appendix A5
Data Tabulations
Appendix A6
Institutional Capacity Assessment
Appendix A7
List of stakeholders by potential contributors to deforestation in Jambi Province