Leuser Public Private REDD Project

1
Leuser Public Private REDD Project An Overview
2
Table of Contents

• Section 1 The Leuser Ecosystem
• Section 2 Project Strategy
• Section 3 REDD Project Development
• Section 4 Investment Project Development
• Section 5 Expectations of GCF

3
Section 1 The Leuser Ecosystem
4
Leuser Ecosystem Total Area 2,280,000
ha Forest land 1,920,000 ha
5
Deforestation Historical Deforestation
5,500ha/year (3 MtCO2e) Forest land
threatened 49
6
Threats Roads Palm oil conversion Mining Encroac
hment Illegal logging
7
Communities 690,000 people living inside or
adjacent to 8 ethnic groups Some of the
poorest communities in Indonesia
8
Biodiversity One of the last places in SE Asia
that is of sufficient size and quality to
maintain viable populations of many rare and
charismatic species such as tigers, orangutans,
rhinos, elephants, and clouded leopard.
9
Low Carbon Investment Opportunities Sustainable
timber plantations, community agro-forestry,
renewable energy, eco-tourism
Extend arrow
10
Section 2 Project Strategy
11
Integrated Landscape Approach

• Project nested in a provincial wide REDD
  approach.
• The financial flows created by carbon credits
  will be used to fund sustainable development and
  conservation activities.
• Project aims to address the root cause of
  deforestation unsustainable approaches to
  economic development.
• Holistic land management strategy employed, in
  line with the Governors Aceh Green vision, which
  calls for hard investments in electrification
  projects, agro-forestry and timber plantations as
  well as soft investments in education, healthcare
  and community work.
• Aim is to refocus communities neighboring forests
  away from inefficient forest utilization and
  agricultural practices and employ them in higher
  value-added and ecologically balanced economic
  activities.
• This holistic approach is best positioned to
  address the issues of Additionality, Permanence
  and Leakage.

12
Timeline
13
Section 3 REDD Project Development
14
REDD Implementation Steps
15
Carbon Accounting Updates

• IPCC Carbon stock estimates 1,400 million
  tonnes CO2-e
• Spatial analysis forest type stratification in
  line with IPCC completed
• Indicative historical deforestation rates
  determined
• Leading service providers have defined the
  baseline and project scenarios, identified the
  complexities posed by deforestation pressures
  confirmed a compatible methodology that is as
  close to market ready as possible selected a
  business as usual reference approach suitable for
  addressing the deforestation drivers in Aceh and
  developed a clear and definitive list of data
  parameters to complete the Project Design
  Document (PDD).
• The full preparation of the baseline will be
  consistent with best current international
  practice and experience. The service providers
  identified for this work represent the best and
  most dynamic available in this field.

16
Carbon Accounting contd.

• Key outputs and points to consider
• Based on our definition of the project and
  baseline scenarios, combined with our assessment
  of the methodologies emerging from the Voluntary
  Carbon Standard double approval process,
  compatible methodologies were found to be
• Methodology for Estimating Reductions of GHG
  Emissions from Mosaic Deforestation Developed by
  World Bank BioCarbon Fund
• Methodology for Estimating Reductions of GHG
  Emissions from Frontier Deforestation Developed
  by Amazonas Sustainable Foundation
• These methodologies were selected as they met the
  following key selection criteria
• Allow assessment of both mosaic and frontier
  deforestation representative of deforestation
  trends in Aceh
• Are in the final stages of the first validation
  phase and are likely achieve double approval
  within the next 3-6 months
• Accept a forward-looking baseline approach to
  developing the business as usual baseline map
• The business as usual reference methodology
  selected is the Terrestrial Carbon Groups Three
  Filters approach. This meets the key criteria
  forward-looking, spatially explicit, regional and
  national estimates, compatible in Indonesia,
  allows greatest flexibility in data requirements,
  and appears to be transparent in its application.
• Some destructive sampling of aboveground biomass
  pools is required.
• Currently there are limitations in methodologies
  for projects that avoid forest degradation
• A strong focus will be placed on the MRV system.

17
Social and Community Assessment Updates

• Local Acehnese company Mitra Koalisi have
  conducted a comprehensive Social and Community
  Assessment. The intention of the study is to
  fulfill the requirements of the CCB standards and
  to guide project decisions concerning community
  consultation, benefit-sharing and grievance
  mechanisms

• Key outputs and points to consider
• 50 villages have been sampled across the Leuser
  Ecosystem.
• Essential assessment areas
• Social Baseline What are current levels of
  wellbeing?
• Impact from the Project How will the project
  affect the wellbeing of the affected communities?
• Impact from the Community How will current
  community activities affect the success of the
  carbon project i.e. What are the local drivers
  of land use and forest change?
• Community Expectations what project
  interventions do local communities want and what
  are most likely to reduce deforestation
  pressures?

• These essential elements will be central to
  formulating the Leuser Public Private REDD
  Project in line with international requirements,
  meeting Indonesian government guidance and
  regulation and partnering with the Government of
  Aceh and others.

18
Section 4 Investment Project Development
19
Investment Implementation Steps
20
(No Transcript)