ABSTRACT
Approaches and instruments focused on market mechanisms and private enterprises, including private protected areas, are promoted as ways to resolve global environmental and developmental problems. In Indonesia, Ecosystem Restoration Concessions (ERCs) have been developed as a new market-oriented governmental instrument to counter current deforestation processes and to restore forest ecosystems. Conservation and development organizations, along with state authorities, view ERCs as a highly promising instrument in Indonesia and in other countries as well. Experiences with ERCs are still limited, however, and their viability is uncertain. The implementation of ERCs in Indonesia has been controversial and the impact of ERCs on forests and forest-dependent communities has been fiercely disputed. This article explores these conflicts and disputes with a focus on the Harapan ERC and weighs the relevance of ERCs for German development cooperation. The improvement of the accountability of such projects and the implementation of mediation facilities are emphasized as prerequisites to establishing such market-oriented instruments according to international standards of nature conservation, the rights of indigenous and local populations, and sustainable development. The author concludes that decisions about strategies and instruments applied in forest-related development cooperation must involve a reconsideration of the mindsets that currently determine conservation approaches and development cooperation.
Disclosure statement
No potential conflict of interest was reported by the author.
Notes on contributor
Reiner Buergin holds a Ph.D. in anthropology and is currently affiliated with the Institute of Forest Sciences at the University of Freiburg, Germany. His research interests focus on forest-dependent people living in areas claimed for forest conservation in the context of international environmental policies as well as on modern discourses regarding interdependencies between biological and cultural diversity. His recent publications include (2015) “Contested Rights of Local Communities and Indigenous Peoples in Conflicts Over Biocultural Diversity.” Modern Asian Studies 49 (6): 2022–2062, and (2014) “German Forest Related Bilateral Development Cooperation in the Global Context and in the Case Study Countries Cameroon, Democratic Republic of the Congo, and Indonesia.” Research report, Institute of Forest Sciences, University of Freiburg (https://www.freidok.uni-freiburg.de/data/10306).
Notes on contributor
Reiner Buergin holds a Ph.D. in anthropology and is currently affiliated with the Institute of Forest Sciences at the University of Freiburg, Germany. His research interests focus on forest-dependent people living in areas claimed for forest conservation in the context of international environmental policies as well as on modern discourses regarding interdependencies between biological and cultural diversity. His recent publications include (2015) “Contested Rights of Local Communities and Indigenous Peoples in Conflicts Over Biocultural Diversity.” Modern Asian Studies 49 (6): 2022–2062, and (2014) “German Forest Related Bilateral Development Cooperation in the Global Context and in the Case Study Countries Cameroon, Democratic Republic of the Congo, and Indonesia.” Research report, Institute of Forest Sciences, University of Freiburg (https://www.freidok.uni-freiburg.de/data/10306).
Notes
1For a comparison of the three major “rainforest basins” in Indonesia, the Congo and the Amazon see FAO Citation2011.
2All percentages quoted in this article should be read as best approximations.
10This article is based on a research project assessing the scope, impacts and efficiency of bilateral German development cooperation in the forest sector in Indonesia, Cameroon and the Democratic Republic of the Congo, which was carried out in 2014/2015 (see Buergin Citation2014a, Citation2014b).
16For a study regarding the legal framework for ERCs and its development, see Walsh et al. Citation2012a.
24All dollars are US dollars unless otherwise indicated. A cost–benefit analysis regarding the economic feasibility of ERCs and their attractiveness as a business opportunity indicates that the benefits of natural ecosystems are not sufficient to attract funds or investment for ERCs. In the study, benefits from carbon sequestration have been assessed as the most important and promising possibility to secure economic efficiency of ERCs to an extent that makes it difficult to imagine how ERCs without a REDD+ component could be economically viable at all. The study concludes that policy support, sustainable funding mechanisms, and financial incentive schemes such as tax breaks are needed to ensure their viability of ERCs (see Rahmawati Citation2013).
28The Bukit Tigapuluh ERC, which is particularly promoted by the Frankfurt Zoological Society (FZS), has been supported by ICI funds since the beginning of 2014, and is supposed to get a preliminary license still in 2014, while the approval of the final license is delayed by upcoming government reshuffles (Peter Pratje, FZS program director Indonesia, personal communication, August 2014. See also Sitompul and Pratje Citation2009; WARSI et al. Citation2010; WWF et al. Citation2011). The project has had to face particular difficulties due to efforts of Asia Pulp and Paper – one of the largest pulp and paper companies worldwide, which already holds industrial plantation concessions in the buffer zone of the National Park – to get hold of the area by also applying for an ERC concession using good connections to regional politicians and the economic power of a big business enterprise (Peter Pratje, personal communication, May 2014). See also APP Citation2014, and Effendi Citation2014.
32For the official website of the Harapan ERC, see http://harapanrainforest.org/ (accessed March 1, 2016).
33Major donors include Germany’s BMUB (€7.5 million), DANIDA (€ nine million), EuropeAid (€2.5 million) and Singapore Airlines (US$ three million). The German NGO NABU (Naturschutzbund Deutschland) – German partner of BirdLife International – has supported the project through fund-raising, technical advice and political consulting. See BirdLife International Citation2008; NABU Citation2010, Citation2012.
37For a review of transformations of these conflicts and related discourses on a global scale, see Buergin Citation2013.
38The “Batin Sembilan” (literally “River Nine”) trace their descent from nine brothers who are supposed to have settled along nine local rivers in the border area of what are nowadays the Indonesian provinces of Jambi and Southern Sumatra. Anthropologists generally relate these local groups to a broader category of autochthonous people of Sumatra labeled Orang Rimba. In Indonesia the most common denomination for these groups is “Kubu,” which the groups themselves regard as a highly pejorative term (see, e.g. Steinebach Citation2012).
42The Harapan ERC management estimates that this figure drops to less than 3 percent if limited to the Batin Sembilan people, who may be considered indigenous to this forest area. See REDD-Monitor Citation2012c.
44See Hein Citation2013; Hauser-Schäublin and Steinebach Citation2014. Hauser-Schäublin and Steinebach estimate that about 43 percent of the land use in the Harapan area falls under the “illegal” heading according to state law.
48The SAD 113 conflict at the northern edge of the Harapan ERC – which led to the death of a SAD spokesman in March 2014 – has gained considerable national attention. For informed reviews of the conflict, see Colchester et al. Citation2011; Steinebach Citation2013; Beckert et al. Citation2014; IPAC Citation2014.
49There are indications that the involvement of SPI in the Harapan conflicts, at least to some degree, is also related to rivalries and different approaches of competing organizations within the peasant movement in Indonesia (see IPAC Citation2014).
50See REDD-Monitor Citation2012c. According to PT REKI, no major encroachment occurred on the concession area before 2005. The few settlements of the Batin Sembilan inside the concession area were not regarded as a threat to the ERC. Referring to aerial surveys, PT REKI asserts deforestation of some 9000 ha in the northeastern portion of the ERC due to encroachment during the period 2005–2008, as well as another 4,000 ha for the period between 2009 and 2011.
53Hein Citation2013, but see also Wardah Citation2013 who reports positive experiences of the Batin Sembilan in the Mitra Zone.
55See, for example, “Prince Charles” .
58In public disputes, the issue of being a REDD+ project is challenging and ambiguous (see REDD-Monitor Citation2012d). In this context PT REKI is at pains to reject allegations that it is a REDD+ project, while the BMUB/ICI highlights the importance of the project for carbon sequestration and the development of a REDD+ strategy for Indonesia and other rainforest areas around the world. See BMUB Citation2015. A cost–benefit analysis of ERCs in Indonesia supports doubts about whether ERCs without a REDD+ component may be economically viable at all (see Rahmawati Citation2013).
64See REDD-Monitor Citation2013e, as well as comments on the interview by Kim Worm Sorensen.
71See Buergin Citation2014b for a more comprehensive elaboration of this argument.
73For a review of the development of this approach, see Buergin Citation2013.
75For a more elaborate argument regarding the significance of communal rights for environment and development policies, see Buergin Citation2015.
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Funding
This work was supported by Greenpeace International [grant number ZVK20131206a].