Summary of Floresta’s history, objectives and strategy in AcehBuilding a prosperous,green future for AcehDr. Charles EhrhartJakarta25 April, 2013
About FlorestaSocially and environmentallysustainable business headquarteredin London, England.Our mission is to enhance the welfareof current and future generationsthrough the rehabilitation andsustainable stewardship of tropicalforest landscapes.We put private sector finance andknowhow behind government led,citizen shaped plans to reducetropical deforestation and build greeneconomies.We have been active since 2010 inAceh, Indonesia and in Acre, Brazilsince 2011.
CredentialsFloresta is a recognised impact entrepreneur,harnessing the power of private enterprise togenerate measurable benefits for local communitiesand the environment.Finalist in the WWF Tropical Forest Challenge toidentify the world’s best for-profit solutions toconserve tropical forest biodiversity.Listed by leading impact investor networks,including MaxiImpact, the Global ImpactInvesting Network (GIIN) and Toniic.TrustLaw Connect (Thomson ReutersFoundation) partner.I
Floresta’s engagement in Acre, BrazilThe Brazilian State of Acre is developing theworld’s first Jurisdictional REDD Programme aspart of the Verified Carbon Standard’s Jurisdictionaland Nested REDD Initiative.Floresta is responsible for implementing aReforestation Sub-programme (RSp) under Acre’sJurisdictional Programme.The RSp has been designed with the State toaddress poverty reduction goals, facilitate greeneconomic growth, increase forest cover andconserve Acre’s natural forest ecosystems.Floresta will be allocated Verified Caron Units(VCUs) for implementing the RSp. The sale ofthese VCUs will help finance our activities in Acre,including green industry start-up costs (e.g. farmer-owned, renewable energy and timber plantations).The RSp is expected to create between 25,000 and30,000 permanent green jobs.I
Floresta’s history in AcehFloresta’s CEO met Aceh’s previousGovernor at the Bali Climate Conference andwas asked to support the Province’s plan forgreen growth and sustainable conservationof the Leuser Ecosystem.An MoU was signed with provincialauthorities and a formal partnership initiatedwith BPKEL in 2010.Feasibility study completed in 2011.Substantial financial support for conservationof the Leuser Ecosystem provided byFloresta in 2010, 2011 and 2012.Draft Sustainable Development andConservation Programme (SDCP) documentcompleted in 2012.
Overview of SDCPThe SDCP aims to improve the lives ofAceh’s people by building a vibrant greeneconomy that conserves the integrity,hydrological functions, and long-termproductivity of the Province’s naturalforests, especially in and around theLeuser Ecosystem.The SDCP is government-led butimplemented by a consortium of publicinstitutions, private-sector companies andcivil society organisations.The SDCP was initially designed to build upon and strengthen linkages between the Green Economic Development and InvestmentStrategy for Aceh, Indonesia (“Aceh Green”) and the 2009-2014 Management Plan for the Leuser Ecosystem.The underlying objectives of Aceh Green (i.e. green economic growth) and the Leuser Management Plan (i.e. the conservation andsustainable use of forest ecosystem goods and services) remain crucial to improving people’s lives, even if Aceh’s policyenvironment has moved on.
Major programme componentsProtecting and restoring Aceh’s forest andpeat swamp ecosystems.Strengthening natural resourcemanagement institutions, structures andprocesses.Creating socially and environmentallysustainable forest-product supply chains.Improving the productivity and profitabilityof smallholder farming.
Planned investments in green economic growth &sustainable supply chains for forest productsRestart Kertas Kraft Aceh.Rehabilitate 46,800 ha of Tusam HutaniLestari pine plantations to supply KKA.Establish 12,000 ha community-owned pineplantations to supply KKA.Rehabilitate at least 35,000 ha of the PTAcehnusa Indrapuri plantations for sawnwood, pellet and cellulosic ethanol.Develop up to 20,000 ha of community-ownedplantations to make Aceh’s local saw millingindustry sustainable.Develop up to 7,500 ha of community-ownedplantations and mills for veneer export.Build at least two 10 MW biomass powerplants and establish 8,000+ ha of community-owned biomass plantations.
Planned investments in sustainable farmingImprove the productivity & profitability ofagricultural livelihoods.Provide vocational and small-businesstraining.Support community-based smallbusinesses.On-farm investments are designed to improve the productivity and proﬁtability of family farms. This is primarily about doingconventional activities better (in terms of higher yields, more predictable proﬁts and greater environmental sustainability) so thatpeople aren’t forced to cut forests in order to make a decent living. However, in some cases, on-farm investments will be aboutrestoring household income levels after reducing access to fragile forest ecosystems.