Harmonizing land-based investment (MIFEE) and GHG reduction policies in Papua
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Harmonizing land-based investment (MIFEE) and GHG reduction policies in Papua

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This presentation given by K. Obidzinski, H. Komarudin, A. Dermawan and A. Andrianto focuses on the the gap between development targets and ENV sustainability and the way to harmonize DEV and ENV......

This presentation given by K. Obidzinski, H. Komarudin, A. Dermawan and A. Andrianto focuses on the the gap between development targets and ENV sustainability and the way to harmonize DEV and ENV agendas. It also aims to stimulate discussion about the relationship between DEV and Climate Change initiatives in the province. Papua is one of Indonesia’s 6 economic centers. The main economic activities are the extraction of energy and mineral resources, but also food agriculture. But MP3EI (Masterplan Percepatan dan Perluasan Pembangunan Ekonomi Indonesia)-goals clash with environmental sustainability. Concerns exist especially relating to concessions for land with primary and secondary forest, given to companies. This calls for a “green economy” approach, whose challenges are still to be overcome.

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  • 1. THINKING beyond the canopy Harmonizing land-based investment (MIFEE) and GHG reduction policies in Papua 6-7 April 2013, Merauke Obidzinski K., Komarudin H., Dermawan A., Andrianto A.
  • 2. THINKING beyond the canopy Objectives •Stimulate discussion about the relationship between DEV and Climate Change initiatives in the province •Ask questions about the ‘gap’ between development targets and ENV sustainability •Is there are a ‘gap’? If so, how to bridge? How to harmonize DEV and ENV agendas? •Food for thought for Group Discussion •Identify research needs/areas for CIFOR’s projects
  • 3. THINKING beyond the canopy Indonesia Today Source: McKinsey 2012
  • 4. THINKING beyond the canopy ….and in 2030 Source: McKinsey 2012
  • 5. THINKING beyond the canopy MP3EI: quantum leap forward Source: MP3EI
  • 6. THINKING beyond the canopy USD 400 bln in overall investment Kalimantan Source: MP3EI
  • 7. THINKING beyond the canopy Emphasis on resource extraction and processing Main economic activity Sumatera Java Kalimantan Sulawesi Bali-Nusa Tenggara Papua – Kep. Maluku Steel   Food and beverages  Textile  Transportation equipment  Shipping   Nickel   Copper  Bauxite  Palm oil   Rubber  Food agriculture   Tourism  ICT  Coal   Oil and gas    Jabodetabek Area  Sunda Straits National Strategic Area  Defense equipment  Animal husbandry  Timber  Cocoa  Fishery   
  • 8. THINKING beyond the canopy MP3EI Papua Source: MP3EI
  • 9. THINKING beyond the canopy MP3EI Papua = MIFEE
  • 10. THINKING beyond the canopy But there are some challenges Source: Strategic Asia 2012
  • 11. THINKING beyond the canopy … and there are some concerns
  • 12. THINKING beyond the canopy Calls for a greener approach
  • 13. THINKING beyond the canopy Steps towards a greener approach • 26% GHG national emission reduction target, or 41% with International assistance • LCGS - Low Carbon Growth Strategy • RAD-GRK - GH emission reduction action plan • SRAP REDD+ - Strategy and Action Plan REDD+ • Harmonization of economic development and GHG emission reduction KOMPAS: Aspek Lingkungan Diadopsi MP3EI,7 July 2012 BISNIS INDONESIA: MP3EI Usulan konsep ekonomi hijau disambut baik, 12 August 2012 Maybe something from Papua Pos??? BAPPENAS: MP3EI Hijau Tidak Hambat Investasi….. selama ini perusahaan sudah memiliki rencana bisnis yang ramah lingkungan (greening), 16 Jan 2013
  • 14. THINKING beyond the canopy “Green Economy” • Allows for: economic growth but significantly reduces environmental risks and ecological scarcities • Understands that: • We are reaching limits in our use of the natural resources • Environmental and social costs of our current economic model must be taken into account in devising future development solutions • Need for a balance between growth, income, jobs, environmental quality and equity
  • 15. THINKING beyond the canopy “Green economy” challenges to MIFEE in Merauke, Papua •Since 2007 MIFEE has undergone evolution, and it still continues… •Downsizing, staged approach •What is the current design and how does it relate to GHG emission reduction policies? •How does MIFEE respond to national targets of food and energy security? •How does MIFEE do for local food security and welfare? •What gaps are there and how to help bridge them?
  • 16. THINKING beyond the canopy Proposed activities and input into policy process •Review of MIFEE “evolution” •Current state of MIFEE investments under MP3EI •Examination of investment operations in key commodities (oil palm, HTI, cassava, sugar cane) •Analysis of: •Impacts (social, economic, environmental) •Community engagement and hak ulayat • Progress with adoption of best management practices •Gap analysis of best management practices vis-à- vis GHG reduction targets •Bottlenecks and enabling conditions •Recommendations and policy options