Will funding to Reduce Emissions from Deforestation and (forest) Degradation (REDD+) stop conversion of peat swamps to oil palm in orangutan habitat in Tripa in Aceh,Indonesia?

Tripa is the last remaining peat-swamp forest that harbours a potentially viable Sumatran orangutan (Pongo abelii) sub-population in a formally but not effectively protected area. It appears to be a simple showcase where current efforts to financially support reducing emissions from deforestation and forest degradation (REDD+) converge with biodiversity and social co-benefits. In practice, however, situation is more complex. REDD+ efforts interact with global palm oil trade and regulatory approaches (the moratorium) to achieve national goals for emissions reduction under umbrella of nationally appropriate mitigation actions (NAMA). To contextualize this debate, we assessed (i) land-use history and formal basis of palm-oil companies’ rights; (ii) carbon (C) stocks, historical emission levels and potential emissions that can be avoided; (iii) economic benefits of land-use options and opportunity costs of avoiding emissions; (iv) biodiversity and environmental services; and (v) alternative options for “high C stock development” and employment generation. Natural forest cover declined (54 % in 1995, 18 % in 2009) while oil palm increased 4–39 %. Aboveground C stocks decreased from 148 Mg ha^?1 in 1990 to 61 Mg ha^?1 in 2009, leading to average annual emissions of 14.5 Mg (carbon dioxide) CO₂e ha^?1 year^?1. While 41 % of these emissions yield less than American Dollar (USD) 5 of current economic benefits per Mg CO₂e emitted and might be compensated by REDD+, nearly all new emissions derive from a breach of existing laws, regulations and voluntary palm-oil standards. Substantial investment in alternative employment is needed, rather than carbon payments per se, to support livelihoods in a low carbon emissions economy.     

Low carbon emission development strategies for Jambi,Indonesia: simulation and trade-off analysis using the FALLOW model

Economic growth in rural areas has to align with preservation of land uses that optimise environmental services. This means that trade-offs between economic and ecological priorities need to be understood, quantified and managed. We aimed to estimate the trade-off in the Tanjung Jabung Barat district of Jambi province Indonesia, where traditional agroforestry systems on both peat and mineral soils and logged-over forests give way to monocultural plantations of pulpwood and oil palm (Elaeis guineensis). Simulations of a 30-year time period of four scenarios using the FALLOW (Forests, Agroforests, Low-value-Landscape, Or, Wastelands) model show that a business-as-usual scenario of economic growth unhindered by the application of conservation scenarios will lead to high carbon dioxide CO₂ emissions. The forest and agroforest protection scenario, with moderate assumptions for peat-based emissions, had opportunity costs of 3–100 USD/t CO₂e. This occurred especially when the establishment of oil palm plantations, which are currently the most profitable land use option in the area, is directed solely to under utilized mineral soils. The high trade-off values are difficult to reconcile when relying only on C trading mechanism to offset economic opportunity costs of not converting forests and/or agroforests to plantations. We conclude that law-based protection of existing forests, investment in intermediate intensity agroforestry options that utilize locally adapted trees and do not require drainage of peatlands, and re-introduction of tapping Jelutung (Dyera sp) latex as non-timber peat forest product, are needed in the Tanjabar district to provide options that are sustainable from both ecological and economic perspectives.