The SLMP supports Indonesia to address the key drivers of unsustainable landscape management.
To support this objective, to date the SLMP has supported analytical studies and policy advisory on key issues ranging from deforestation, fire prevention, social forestry, and participatory land tenure and registration processes.
Activities under the World Bank Sustainable Landscape Management Program include:
Supporting the GoI to achieve a unified land register and a map of all land rights in Indonesia.
Integrated land administration and governance enhances clarity over land rights and land use, which will strengthen sustainable landscape management, social stability, inclusive growth, conflict resolution, environmental protection and conservation, and women's awareness and access to land.
The One Map project (US$200 million, IBRD, started in 2018) aims to provide clarity on land rights and land use by conducting village-based participatory mapping and registration of land rights (the project targets to register 4.3 million land parcels) in seven fire-prone provinces in Sumatra and Kalimantan. It contributes to the implementation of the GoI's Agrarian Reform Program. While the One Map Project is focused on covering the designated non-forest area, the SLMP also supports the GoI to implement land registration processes within the designated forest area, and therefore achieve one unified land register and a map of all land rights within a territory.
The Strengthen Social Forestry project in Indonesia (US$14.3 million, Global Environment Facility, since 2020) provides technical assistance to communities, the GoI, and non-governmental and community organizations serving as facilitators of social forestry. The project works with stakeholders to formalize land use rights and supports activities to restore priority degraded forests.
Supporting sustainable lowlands management, and addressing the key barriers to the production of environmentally sustainable and commercially viable agricultural commodities and value chain development to improve rural livelihoods.
The SLMP provides technical assistance, analytics and capacity building to support sustainable lowlands governance and agricultural practices. The program supports the Government of Indonesia to develop a National Landscape Management Strategy and sustainable agricultural investment plans.
Supporting sustainable management of forest resources through economic and policy instruments to reduce emissions and deforestation and to improve the management of fire.
The SLMP provides technical assistance, capacity building, advisory services, results-based payments, and grant-funding to enhance the GoI’s vision to improve inclusive and sustainable management of forests through an integrated approach targeted at public, private, and civil society actors. This includes supporting the implementation of integrated fire management, the building of sustained capacity to reduce deforestation and supporting the use and implementation of key policy and economic incentive mechanisms.
Making landscape decisions based on the costs that arise from the degradation of natural assets and improving incentives for critical ecosystem services can lead to reductions in deforestation and emissions. Robust incentive mechanisms at the national, subnational, and local levels can complement and strengthen existing emissions reduction efforts. Results-based payments, ecological fiscal transfers at the provincial and district levels, functioning domestic carbon markets, and the implementation of payments for water services can complement existing regulatory approaches.
On top of incentive mechanisms, to support sustainable forests management, the SLMP through the Forest Investment Program (US$22.42 million, started in 2016) supports the GoI to strengthen the institutional and local capacity for decentralized sustainable forest management that generates improved forest-based livelihoods through the establishment and operationalization of forest management units (KPH)
The Dedicated Grant Mechanism (DGM) project (US$6.33 million, Dedicated Grant Mechanism, started in 2017) supports the inclusion of Indigenous Peoples and Local Communities (IPLC) in forest management. The DGM aims to enhance the capacity of participating IPLC to strengthen forest tenure security and improve their economic well-being, while supporting Indonesia's efforts to reduce greenhouse gas emissions.
Jurisdictional Performance-based Emission Reductions Programs
The World Bank supports the Gol in promoting the reduction of greenhouse gas emissions from the forest and land-use sector through jurisdictional performance-based emission reductions programs.
The Forest Carbon Partnership Facility (FCPF) (up to US$110 million, started in 2020). The first large-scale jurisdictional results-based REDD+ program in Indonesia, aims to lower rates of deforestation and forest degradation across 12.7 million hectares of land rich in tropical rainforests and biodiversity in East Kalimantan.7
The BioCarbon Fund Initiative for Sustainable Forest Landscapes (BioCF ISFL) (up to US$85 million, started in 2020) promotes the reduction of greenhouse gas emissions from the forest and land-use sector through sustainable agriculture and climate-smart land-use planning, policies and practices in Jambi. The project will support community-based participatory land mapping, and the conservation and enhancement of biodiversity. The project takes a landscape approach to reducing emissions and improving livelihoods, and is working with GoI to strengthen policies and institutions to enhance effective land management regulation and enforcement, focusing on harmonizing policies and approaches across sectors. The project is also designed to provide payments and incentives for verified emissions reductions.
Identifying opportunities and constraints for community participation in natural resource management and sustainable agricultural practices to improve rural livelihoods while reducing forest encroachment, habitat degradation, and preventing the spread of zoonotic diseases.
Natural resource dependency has a direct link with vulnerability, with communities that depend on agricultural and forest-based livelihoods not always reaping optimal benefits from natural resource development. Identifying opportunities for rural populations to benefit from and sustainably manage the natural resource base is key to reducing overall poverty, and safeguarding forest assets for future generations. At the same time, the cost of doing business in rural areas is often higher than in urban areas and this can disincentivize private-sector driven development. A central part of the GoI's strategy for rural development is through direct fiscal transfers to villages (the Village Fund), which provides a strategic entry point for including sustainable landscape management priorities in village-level decision making.
The SLMP supports equitable and inclusive economic growth at the village level and improved livelihoods through the identification and development of key information, incentive schemes, instruments for participatory planning, and institutional arrangements to promote natural resource management, alternative sustainable agricultural products and value chain development. This is done through identifying and sharing best practices on sustainable and inclusive community management of landscapes and agriculture.
Supporting the GoI to raise, manage and disburse domestic and international environmental and climate funds through support to operationalize the Indonesia Environment Fund (BPDLH)
The GoI has pledged to reduce GHG emissions by between 29% (unconditional) and 41% (conditional) against the 2030 Business as Usual scenario. The financing gap to meet this target is estimated at US$70.5 billion to US$100 billion, with US$60 billion required to implement the NDC in the forestry and land use sector alone. To bridge this gap, the GoI launched the Indonesia Environment Fund (BPDLH) in October 2019. Operating under the Ministry of Finance, BPDLH aims to become the primary mechanism to manage and distribute domestic and international climate and environment funds in Indonesia.
BPDLH has the potential to unlock significant financing for environmental protection and climate change, particularly starting in the land use sector, while allowing different instruments to be tested to incentivize reduced deforestation. BPDLH is set to operate according to internationally recognized fiduciary, safeguards and technical standards, and its governance includes mechanisms for transparency and multi-stakeholder participation. Strong fund management systems, project prioritization mechanisms, technical capacity and support from key stakeholders will be fundamental to ensure the success of the BPDLH.
Providing wide-ranging support to different GOI ministries at national and provincial levels to support coordination and communication activities on sustainable landscape management. The SLMP also supports cross-cutting communication activities (for example, webinars, workshops, publications, press releases, knowledge exchanges) across all its focus areas, reinforcing the approach to integrated landscape management and bringing different stakeholders together to discuss and develop shared solutions to support sustainable landscape management.
