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April 19, 2012




HEART OF BORNEO
INVESTING IN NATURE FOR A GREEN ECONOMY

An Overview




                                               Anna van Paddenburg
                                            apaddenburg@wwf.or.id
                       Sustainable Finance and Policy Strategy Leader
                             WWF Heart of Borneo Network Initiative
HoB landscape: A mosaic of different land-uses and Part of 29 River Basins



  Official PAs                                                   Logging




  Large scale                                                   Palm Oil
     HEP



                            >200 Palm oil,
                            logging, mining                        Local
                            and timber                          livelihoods
    Mining
                            plantation      >50% of HoB is or
                            business        could be used by
                                           the private sector
HoB Governments are committed to Heart
         of Borneo, but how can investments be
         sustainable?




The challenge: HoB’s biodiversity and ecosystems are not recognized as important
to the economy so the HoB Initiative is not fully integrated within economic
development plans.
Is the answer ‘A GREEN ECONOMY’?
•   WWF and a few partners initiated the process of better understanding the value of natural
    capital into economic and development plans
•   Stakeholder engagements and several workshops have been held to explore the potential for,
    and local views on, a Green Economy in Borneo and HoB’s role in the Economy (more than
    600 people have taken active part in the dialogues so far)
•   Green Business Network Dialogues – e.g. HoB session at B4E
•   Workshops on development of scenarios, defined drivers and cause and effect relations,
    collated data input into models and explored the prospects of future development (LCM,
    InVEST, Systems Dynamics)
•   Report and Website currently in development to present findings based on workshops and
    consultations at national and local levels as well as on models
A possible ‘GREEN ECONOMY’… is one that recognizes the
value of HoB’s biodiversity and ecosystems in the Economy

•   An economy at the service of people
•   An economy ready for climate change

                                        Green Economy
    Coherent ecosystem based spatial planning, Category Degraded Land, PAs, Community
    Forests
    Integrated Watershed Management
    Certified logging, reforestation
    Certified palm oil, permits only allocated for cultivation on degraded land, reduced fertilizer
    and pesticide application.
    International standard of practice, Improved waste management treatment

    Improved ecological practices

    Energy efficiency prioritized, Investments in renewable energy power plants

    Sustainable biodiversity products from legal community forests (NTFP and agro-forestry)
    Added value generated in region and markets accessible.
    New business models build local economies from effectively utilizing “waste products” of
    current industries in the Heart of Borneo.

                                                                                                  5
A possible ‘GREEN ECONOMY’… is one that recognizes the
value of HoB’s biodiversity and ecosystems in the Economy

• The biggest obstacle to mobilizing green economy solutions is
  the need to overhaul the current economic infrastructure
•   Rewarding good behaviour and penalizing bad behaviour
•   Policy Intervention Economic Instruments Change of Behaviour

KEY POLICY INTERVENTIONS:
• Regional Incentive Mechanisms to reward/penalize good governance on natural
   capital
• PES at scale
• Sector-specific incentives and disincentives to reward/penalize business on
   sustainability
• ‘Green’ Government Investment Programs
• Policies to encourage ‘Green’ Banking



                                                                                6
An economic policy package for Green Growth and
  sustaining Natural Capital linked to KSN HoB
April 19, 2012




Thank you




                                Anna van Paddenburg
                             apaddenburg@wwf.or.id
        Sustainable Finance and Policy Strategy Leader
              WWF Heart of Borneo Network Initiative
Government Ownership

• National Working Groups in Indonesia




                                         12
Investing in nature for a green economy - an overview

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Investing in nature for a green economy - an overview

  • 1. April 19, 2012 HEART OF BORNEO INVESTING IN NATURE FOR A GREEN ECONOMY An Overview Anna van Paddenburg apaddenburg@wwf.or.id Sustainable Finance and Policy Strategy Leader WWF Heart of Borneo Network Initiative
  • 2. HoB landscape: A mosaic of different land-uses and Part of 29 River Basins Official PAs Logging Large scale Palm Oil HEP >200 Palm oil, logging, mining Local and timber livelihoods Mining plantation >50% of HoB is or business could be used by the private sector
  • 3. HoB Governments are committed to Heart of Borneo, but how can investments be sustainable? The challenge: HoB’s biodiversity and ecosystems are not recognized as important to the economy so the HoB Initiative is not fully integrated within economic development plans.
  • 4. Is the answer ‘A GREEN ECONOMY’? • WWF and a few partners initiated the process of better understanding the value of natural capital into economic and development plans • Stakeholder engagements and several workshops have been held to explore the potential for, and local views on, a Green Economy in Borneo and HoB’s role in the Economy (more than 600 people have taken active part in the dialogues so far) • Green Business Network Dialogues – e.g. HoB session at B4E • Workshops on development of scenarios, defined drivers and cause and effect relations, collated data input into models and explored the prospects of future development (LCM, InVEST, Systems Dynamics) • Report and Website currently in development to present findings based on workshops and consultations at national and local levels as well as on models
  • 5. A possible ‘GREEN ECONOMY’… is one that recognizes the value of HoB’s biodiversity and ecosystems in the Economy • An economy at the service of people • An economy ready for climate change Green Economy Coherent ecosystem based spatial planning, Category Degraded Land, PAs, Community Forests Integrated Watershed Management Certified logging, reforestation Certified palm oil, permits only allocated for cultivation on degraded land, reduced fertilizer and pesticide application. International standard of practice, Improved waste management treatment Improved ecological practices Energy efficiency prioritized, Investments in renewable energy power plants Sustainable biodiversity products from legal community forests (NTFP and agro-forestry) Added value generated in region and markets accessible. New business models build local economies from effectively utilizing “waste products” of current industries in the Heart of Borneo. 5
  • 6. A possible ‘GREEN ECONOMY’… is one that recognizes the value of HoB’s biodiversity and ecosystems in the Economy • The biggest obstacle to mobilizing green economy solutions is the need to overhaul the current economic infrastructure • Rewarding good behaviour and penalizing bad behaviour • Policy Intervention Economic Instruments Change of Behaviour KEY POLICY INTERVENTIONS: • Regional Incentive Mechanisms to reward/penalize good governance on natural capital • PES at scale • Sector-specific incentives and disincentives to reward/penalize business on sustainability • ‘Green’ Government Investment Programs • Policies to encourage ‘Green’ Banking 6
  • 7. An economic policy package for Green Growth and sustaining Natural Capital linked to KSN HoB
  • 8.
  • 9.
  • 10. April 19, 2012 Thank you Anna van Paddenburg apaddenburg@wwf.or.id Sustainable Finance and Policy Strategy Leader WWF Heart of Borneo Network Initiative
  • 11.
  • 12. Government Ownership • National Working Groups in Indonesia 12