Research suggests Indonesia can reduce emissions with sustainable benefits
Conversion of forests and peatlands for various land uses in Indonesia has generated very little economic benefit while releasing huge amounts of greenhouse gases into the atmosphere.
This is the finding of a recent study by researchers from the World Agroforestry Centre (ICRAF), CIFOR and Indonesian partners across the three provinces of East Kalimantan, Jambi and Lampung in Indonesia.
Using data collected from 1990 to 2005, the study by the Partnership for Tropical Forest Margins (ASB) looked at land-use changes and subsequent carbon dioxide emissions. These were compared with the economic benefits derived from different types of land use, such as oil palm, rubber, coffee and mixed agroforestry.
Combined, the three provinces, on 16 percent of Indonesia’s land area, emit 400 megatons of carbon dioxide (CO2) per year from the conversion of forests and peatlands. This is consistent with estimates of 2.5 gigatons for Indonesia as a whole.
The study found that less than two per cent of these emissions resulted in clear economic benefits generating more than US$15 per ton of CO2 emitted.
Six per cent of the emissions generated between US$5 and US$15 per ton of CO2, a little more than half of emissions generated between $1 and $5 and about 40 per cent between 0 and $1 per ton of CO2.
According to Meine van Noordwijk, Southeast Asia Regional Coordinator of the World Agroforestry Centre, the study clearly demonstrates that CO2 emissions in Indonesia can be substantially reduced without impacting on the country’s economy.
“With hundreds of megatons of CO2 being emitted for less than $1 per ton, economic benefits are not being realized from land uses that require trees to be removed from the landscape,” van Noordwijk said.
“If negotiations at the Bali COP find a way forward on the issue of Reducing Emissions from Deforestation and Degradation (REDD), then activities with high emissions for low benefits can be stopped.”
In mid-November the European market was paying 23 Euros per ton of CO2. This is promising news for Indonesia when much of the country's emissions see benefits of just 0.23 Euro per ton of CO2.
If a market for REDD is established, then buyers stand to gain with cheaper emission reduction credits. Sellers, too, will gain if they receive substantially more through the carbon market than for crops such as rice or rubber or fastwood trees.
At a November presentation of the research findings, Indonesian officials from forestry and agriculture departments and research institutions called for the study to be extended to all of Indonesia and a standardized method of carbon measurement to be implemented across the country. The need for broader cooperation between forestry, agriculture and local government was highlighted in order to ensure clarity on baselines and alternative livelihood options for forest-dependant communities.
The unique aspect of this study is that it uses data which covers the whole range of land uses between agriculture and forestry. Van Noordwijk strongly believes international mechanisms for REDD must not only look at ‘forests’ but all types of land uses for their potential to reduce emissions.
Daniel Murdiyarso, Senior Scientist with CIFOR warns that while additional funding through an international carbon market will provide incentives, Indonesia has to make a real commitment to emission reduction.
The Indonesian study forms part of a larger investigation into opportunity costs for avoided deforestation across what is known as the ‘tropical margins’. Case studies have also been carried out in Cameroon and Peru.
More information and a full copy of the study are available from M.vanNoordwijk@cgiar.org or B.Swallow@cgiar.org
By Kate Langford World Agroforestry Centre Southeast Asia and VIDA-AusAID