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Potential of Reducing GHG Emission from REDD+ Activities in Indonesia

Rizaldi Boer

Abstract Loss of forest cover in large scale in tropical region will have impact on climate significantly. This will change air pressure distribution and shift the typical global circulation patterns and change rainfall distribution. Its contribution to the increase of greenhouse gas emission will also enhance global warming and may increase the frequency and intensity of extreme climate events. Deforestation in the three tropical regions, Amazon, Central Africa, and Southeast Asia, still continues. Without significant change in forest protection efforts, the loss of forests in these three regions by 2050 will reach about 29, 98, and 44 %, respectively.

Indonesia has the largest tropical forest in SEA; the contribution of emission from land use change and forest (LUCF) reached 60 % of the total national emission, much higher than energy sector. During the period 1990–2013, the total loss of natural forest reached about 19.7 million hectares or about 0.822 million ha per year. Without significant change in forest protection program, within the period 2010–2050, Indonesia may lose 43.4 million ha of forest or equivalent to deforestation rate of 1.08 million ha per year. Potential of reducing emission from REDD+ activities is quite big. By increasing expenses of the government by 1 % annually on top of the external investment for technology change, without necessity of direct forest protection (e.g., increasing agriculture productivity reduces pressure on forests), the deforestation rate could reduce to about 0.337 million ha per year.

The issuance of innovative financing and incentive policies for improving land

and forest management may further increase the potential of reducing emission from REDD+ activities. Some of the policies include the use of debt-for-nature swap (DNS) scheme for accelerating the development of forest management units in open access area, incentive for permit holders for accelerating the development of timber plantation on degraded land, and increase community access to fund for green investment. The incentive system for the permit holders is for handling land tenurial issues or conflicts. The incentive could be in the form of reducing or exemption of administration/retribution fees for certain period of time depending on the level of conflicts. Policy allowing for transferring the funds to a financing system is relatively easy to be accessed by the community such as blending financing, a financing system that synergizes all financial sources such as CSR funding; government funding such as state budget (APBN); and local government budget (APBD) funds, banking, and international funding. This system can help leverage private funding and supports regional development by supporting community activities in urban agriculture and agroforestry including building human resource capacity through assistance and training activities.

Keywords Extreme weather/climate events • Tropical forest • Greenhouse gas emissions • REDD+ activities • Financing policies • Incentive and disincentive policies

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