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Responsible Responsible Peatland Peatland Management Management Positive Outcomes for Carbon, Conservation Positive Outcomes for Carbon, Conservation, , Community Community and and Economic Economic Development evelopment December 2009 December 2009 Dr. Neil Franklin Dr. Neil Franklin Sustainability Director Sustainability Director Asia Pacific Resources International Ltd (APRIL) Asia Pacific Resources International Ltd (APRIL) NF Presentation to Gov Riau Jan 2009 1
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Responsible Responsible PeatlandPeatland ManagementManagementPositive Outcomes for Carbon, ConservationPositive Outcomes for Carbon, Conservation, ,

Community Community and and Economic Economic DDevelopmentevelopment

December 2009December 2009

Dr. Neil FranklinDr. Neil Franklin

Sustainability DirectorSustainability Director

Asia Pacific Resources International Ltd (APRIL)Asia Pacific Resources International Ltd (APRIL)

NF Presentation to Gov Riau – Jan 2009 1

Challenges• Some stakeholders hold negative view on all peatland development (due to

perceived carbon emissions liabilities) but this position ignores the scientific basis for benefits of responsible forest management.

• Internationally, intensive plantation forest management in Indonesia still suffers from poor reputation, while the sector itself is not fully recognized as a means of sustainable development and Carbon emissions avoidance.

OpportunitiesResponsible Peatland Management can deliver:

• Significant Social, Environmental and Economic benefits

• Integrated management in support of peat “Dome” conservation

• Positive image of Indonesia in addressing climate change

• Win-win solution based on Sustainable Development and REDD+

3

Mosaic Plantation Forest:Planning Based on Micro & Macro Delineation with High Conservation Values

High

Conservation

Value Production

Forest

Unproductive

Production

Forest

Secondary

Production Forest

Protected by Mosaic

Plantation

Managed and

Developed

Managed and

Developed

Acacia Plantation

Conservation Area

Vigorous plantation forest and mosaic landscape protect biodiversity, provide ecosystem services, and uplift

community well-being

Acacia Plantation

Research for Sustainable DevelopmentScience-Based Solutions for

Responsible Management of Peatlands.

APRIL’s Science Based Management Support Project• Independent team from Delft Hydraulics and world-leading

peatland, conservation and emissions experts

• US$ 1 Million; 3 year program, 2006-2009.

• Eco-Hydrological and HCVF spatial planning to optimiseplantations and minimise impact on conservation forests

• Develop SOPs for Responsible Peatland Management

Pioneering Research on Responsible Peatland Management

5

Planning Guidelines for Peat Landscapes

• Key objective is to protect the important hydrology core water source from external impacts by a narrow hydro buffer and a wider plantation ‘ring’ that have well managed water tables

• Peat Swamp Forest can be conserved only where its wet condition is maintained. Landscape planning must define how central core and all designated Conservation areas will be protected from plantation drainage impacts, including dealing with the ineviatable subsidence of drained plantation lands

• Limit drainage impacts on conservation ideally by conserving whole catchment areas, develop others: minimum fragmentation (eco-hydrology principles)

• Plantation landscape water management is designed to minimize subsidence & GHG emissions and maximize lifespan of productive plantations.

Science Based Peat Management ProjectAPRIL in partnership with NGO and Academic stakeholders

• Monitor water & gas stock & flux in large acacia & jungle areas

• Derive an annual water & Carbon balance

• Construct a hydrology process model

• Predict seasonal water surplus & deficits

• Preemptive control adjustments to keep the system at optimal water level

• Understand the subsidence & Carbon release process

Ground water flows

Deep ground water flows

Surface flows

water tablewater inflow

photosynthesisRoot respiration

Root decay

oxidationdewatering

consolidation

Peat formation

Peat bulk density

Soil temp

Litter to humus

interventions

Crop growth

Eco-Hydro ManagementWater control for reduced carbon emissions

99

Eco-Hydro Ring ManagementCarbon Protection and Peat Conservation

Eco-Hydrology Planning and Peatland Profile• Central Dome or ‘bog plain’ porous /low density peat, must conserve as water

source (upstream, deep peat).• Mid-slopes with adequate peat density: hydro buffer to prevent drainage

impacts on the upslope central conservation core and Dome.• Mid-lower slopes with adequate topographic gradient / peat porosity: acacia

plantation ring under best practice water management• Lowest elevation riparian and seasonal flood plain: conserve high biodiversity

peat swamp forest in riparian corridor and basin peat ‘water sinks’ (hydrology conservation function as well)

• Alluvial / mineralized peat fringe: high priority to conserve biodiversity but largely occupied by community: promote sustainable livelihoods

10

Eco-Hydrology Buffers• Function: Buffer 0 cm water depth in Conservation Core from 50 cm water depth in

plantation• Location: on the slope edge of bog plain, not inside the zone flatter than 2.0 km

between 0.5 m contours. Where 1.5 km contour spacing, 1200 m wide buffer• Science data: buffers hold water gradient of 15cm / 400 m : 45 cm over 1200 m• Where flatter than 1.5 km contour spacing need the 1600 m buffer• Monthly monitoring of all hydro buffers for ground water levels, surface water control

& response SOP (sandbags), quarterly monitoring of subsidence

Integrated Forest Management for Conservation

Teluk

Meranti

Village

Plantation

buffer

Water

management

zones

Plantation buffer and protected boundaries

No plantation buffer and community encroachment

Kerumutan

Nature

Reserve

Comparison of Eco-Hydrology Plantation Forest Management against “Business as Usual”

Degraded forests exposed to

external factors

•Illegal logging

•Encroachment

•Uncontrolled drainag

•Forest tree die-back

• Forest & Land Fire

= 60 ton/ha/year CO2 emission

Managed Eco-hydrology Plantation

Forest

-

•No forest & land fire

•Productive acacia plantation

•Managed water level

•Hydrologic buffers

•Protected Conservation Areas

= 45-55% avoided emissions

Berdasarkan data: APRIL, Delft/SBMSP 2009; Swedish Env. Research Institute (IVL) Oct 2009

Al Hooijer (Delft Hydraulics, Holland),

Dr. Susan Page (Leicester University, UK),

Dr. Ruth Nussbaum (ProForest, UK).

• The independent team supports APRIL’s commitment to management of peatlands through the SBMS Project for Sustainable Peatland Management.

• Forests and carbon sinks in peatland can only be sustainably managed if the hydrological system is protected or rehabilitated. This is of importance for conservation, and also vital for long-term economic production on peatland.

• Degraded land contains low conservation value and is of marginal potential for agriculture, but holds huge carbon deposits. Such land needs to be properly managed to minimize forest loss, land fires & carbon emissions.

• A new approach must be developed through the establishment of buffer zones and water control infrastructure (to balance water requirements, maximise production and minimise impact on intrinsic or adjacent conservation landscapes).

CONSERVATION

PRODUCTION

Statement on Sustainable PeatlandManagement by SBMS Project Team

June 2008

Practical SolutionsKampar Peninsular: Using Plantations to Secure a

conservation landscape and reduce carbon emissions.

Current Degradation in Kampar Core

Hydrology is a Liability

Still intact forested Core

area, not impacted by

hydrology degradation

Based on 300 sample points

0-50 cm

> 50 cm (>100 tCO2/ha/yr)

Kampar Ring PlantationIntegrated Landscape Management Planning

Estate Meranti (South Ring)

Estate Tasik Belat(North Ring)

Total concession area of approx. 56,000 Ha

Plantations: 35,000 Ha

Conservation: 15,000 Ha

Community: 6,000 Ha

250,000 Ha of Deep Peat Swamp Forest protected within Plantation & Community Ring

With Ring plantation and optimised water levels, current CO2 emissions can be reduced by 50% (or by 3 Million tons CO2/year).

Indigenous trees (also

functions as hydro buffer to

Indigenous trees (also

functions as hydro buffer to

river conservation areas)Livelihood zone (for

community agriculture)

Production (with hydro

management in canals) Livelihood zone Livelihood zone (for

community agriculture)

Hydro buffer (controlled Hydro buffer (controlled

and raised water levels)

Conservation (upstream deep peat)

Plantation Ring Plan – Meranti Estate(Kampar Ring South)

Hydro buffer (for minimal impact Hydro buffer (for minimal impact

on adjacent natural forests)

Water control

gates to

optimise at 50-

60cm in

plantations,

and 0-20cm in

conserv. areas

Eco-Hydro ManagementWater control for minimum impact conservation

boundaries and reduced carbon emissions

Controlled raising of water levels in

Eco-Hydro buffer zone between

planted and conservation areas

Investment in Forest Protection and Fire Prevention

Kampar Ring: Reduced Emissions

from Deforestation and Degradation

• Protective Ring of responsibly

managed plantations

• Reduced emissions impact

right across the landscape

• Protection of ecosystems and

biodiversity in core area

• Creation of several thousand

additional jobs

• Prevention of illegal logging

and opportunist settlers

• Collaborative management

with stakeholders

• Poverty alleviation and

participation by local

communities

• Avoided Emissions of 3 Million tons CO2

/year with Ring

• REDD Voluntary Market carbon credits up to US$15-20 Million /year

Social and Economic DevelopmentEnsuring that climate change commitments are

integrated with development objectives

Private Sector: Bridging the Social Gap

Active in social development and poverty alleviation in order to raise the standards and quality of living through the promotion of the following community empowerment programs:

- Integrated Farming System (80 villages; 3,000 families)

- Micro Small & Medium Business Program (development of 1,200 people)

- Community Fiber Farming 30,000 Ha (9,800 people in 32 villages)

- Social & Infrastructure Program (education, free health services for 20,000 people every year, building of mosques, schools, sports and cultural facilities)

- Vocational Training Program (689 trained persons) and Teacher Quality Enhancement Training in several schools.

• Generate employment opportunities and SME development towards alleviating poverty and upgrading community well-being.

Based on results of 2006 University of Indonesia Faculty of Economics LPEM study:

• Supporting local development through infrastructures (roads, bridges, ports) reaching remote areas.

• One of the largest export earners in Indonesia – up to US$ 1.5 billion/year, and capital

intensive within APRIL Indonesia with total assets of USD 5 billion.

Case-Study PT RAPP: Economic Contribution

*) Output: Market value of goods and services resulting from production activities to supply intermediate and end demands. Figures

in table represent economic output/revenue resulting from the presence of Riaupulp in Riau Province

**) Gross Domestic Product - Regional

Riau Pelalawan

Indicator 1999 2005 1999 2005

Value (%) Value (%) Value (%) Value (%)

Output (Rp billion)*) 6,347 (4.53) 17,400 (7.43) 2,773 (76.04) 9,315 (54.22)

Gross Domestic Product - Regional

(Rp billion**)2,405 (2.89) 6,593 (4.74) 1,052 (72.29) 3,533 (51.54)

Family Income

(Rp billion)622 (4.25) 1.705 (6.97) 263 (69.03) 883 (49.22)

Employment Opportunities

(people)137,780 (8.00) 249,241 (9.39) 18,571 (13.48) 36,125 (14.49)

Economic Impact Indicator – Riaupulp Actitivites, 1999 dan 2005

Scaling-UpNational and global contribution of responsibly

managed forest and peatland resource

• Consensus position of 200 of the worlds forestry stakeholders (Govt, Private, NGO, Community)

• Forests have a unique ability to simultaneously reduce greenhouse gas emissions, capture carbon, & reduce the vulnerability of people and ecosystems to climate change.

• Sustainably managed forests support livelihoods of millions of rural people and deliver products, ecosystem services and biodiversity protection.

The Forests Dialogue 2009:

Co-Benefits of Managed Forests

Potential Co-Benefits of Indonesian Plantation Forestry

If Indonesian develops additional 9M Ha land (15% of production forest) into HTI, Mosaic Plantation Concept will result in:

– 2.1M Ha protected natural forest in conservation areas

– 2.3M Ha land managed by villagers for social development

– 4.6M Ha plantations

– 161M m3 of sustainable fiber/yr for world market.

– 38 M Adt pulp production

Total carbon impact: net reduced emissions of 150 Mt CO2/year

• “In the long term, a sustainable forest management strategy aimed at maintaining or increasing forest carbon stocks, while producing an annual sustained yield of timber, fiber or energy from the forest, will generate the largest sustained mitigation benefit.”

Source: IPCC 2007. Fourth Assessment Report.

Forestry as a Climate Change Solution

• A new science-based approach must be developed through the establishment of buffer zones and water control infrastructure (to balance water requirements, maximise production and minimise impact on intrinsic or adjacent conservation landscapes). [Source SBMSP Project 2009].

• Sustainable Plantation Ring Management in Kampar is essential for protecting the Kampar Peninsula Core peatland, reducing carbon emissions by 50% (compared to present condition, reducing from 6 to 3 Million Tons CO2/year) and achieving balanced social, environmental and economic benefits in a Sustainable Development context

• Sustainable Peatland Management in Kampar Ring can become the model for Government to showcase during COP XV UNFCCC summit), with a “Win-Win” solution which integrates the national development and climate change mitigation objectives.

• Positive outcomes from landscape level planning of Indonesia’s peatlands can provide maximum benefits to society – including environmental protection, economic & social development and carbon (REDD+).

SUMMARY

*Based on data: APRIL, Delft/SBMSP 2009; Swedish Env. Research Institute (IVL) Oct 2009

Acknowledgements of Best Practice

• Quality Management System (QMS) Certification

Pulp Production

Paper Production

• ISO Certification

Paper Permanence

• EMS Certification

Integrated Paper Production

• Environmental Management System (EMS) Certification

Riaupulp Fiber Estates

• OHSAS Certification

Riaupulp Fiber Operations

APRIL Mill Operations

• Runner-Up, Environmental Excellence Award –

HTI & HTR Development – Conservation and Community Aspects

• GREEN Rating PROPER 2005-2006; 2006-2007; 2008-2009 by the

Ministry for Environment

Program for Rating Environmental Management Performance

• 1st Place – Best Practice, Social Programs Overall

• 1st Place – Best Practice Social Program (Social Category)

• Audit Certification, Occupational

Health and Safety Management

System

• Verification Statement, Acacia Chain of Custody

• Certification, Sustainable

Plantation Forest Management

System (LEI)

• Eco-label Certification

for Paper Products

31

Thank youThank you

SUSTAINABLE FOREST MANAGEMENT

Balancing Carbon, Social, Environmental

and Economic Imperatives for Sustainable

Development in Indonesia


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