A coalition of government, business and community actors understand tools, approaches, incentives and policy frameworks for sustainable palm oil development and pilot implementation towards a district-level low-emission oil palm development in Berau.
Low-Emissions Oil Palm Development (LEOPALD) project interventions focus on reducing emissions from land-use change. The project applies a landscape approach with a district jurisdictional focus. It strengthens Berau District Government capacity to perform critical functions in land-use governance and plantation management; i.e. planning, monitoring, and controlling (including licensing). It also works with five villages on land-use and development planning, whilst simultaneously developing the capacity of stakeholders to establish partnerships and resolve conflicts between communities and palm oil companies.
The project supports the East Kalimantan Provincial Government—particularly the Estate-Crops Office and BAPPEDA—in providing tools and data to help the districts with planning, monitoring and controlling oil palm development. In addition, the project works with the Ministry of Finance to explore possible fiscal incentives for regional governments, companies, and communities to implement sustainable palm oil approaches at a site-specific or jurisdictional level.
GIZ is implementing the project under a collaboration with The Nature Conservancy (TNC) and Climate Policy Initiative (CPI) on behalf of the German Federal Ministry for Environment, Nature Conservation and Nuclear Safety (BMU). The leading implementation partner is the National Development Planning Agency (BAPPENAS), while at the sub-national level the project is working with the East Kalimantan Provincial Government and the Berau District Government.
Approach/Field of intervention
Land use planning, monitoring, and controlling
Jurisdictional approach to reducing land-based emissions associated with oil palm area development
Sustainable supply-chain partnership facilitation
Conflict management and resolution
Fiscal incentive through policy frameworks development
East Kalimantan Provincial Government
Berau District Government
Local communities in oil palm landscapes
Oil palm smallholders in Berau district
Palm oil companies in Berau district
Spatial datasets necessary for sustainable oil palm development planning and land-use monitoring (land cover, indicative HCV areas, plantation permits, land suitability map and spatial plan) are being developed, hosted, and endorsed by the provincial government through the web-geospatial tool available on the East Kalimantan Provincial Estate Crops Office’s official website.
Together with the heads or secretaries of the five districts, the Governor of East Kalimantan has signed the Sustainable Plantation Declaration to protect 640,000 ha of natural forest in areas designated for oil palm development.
The Governor and Provincial Legislative Assembly have agreed on a provincial regulation on sustainable plantation development, which stipulates the obligation for growers to protect and manage conservation areas (including oil palm areas), apply FPIC approaches and resolve conflicts.
Indicative HCV areas in province jurisdiction landscapes have been identified.
Implementation of the SIGAP Sawit approach (the land use and development planning at village level) has commenced in two villages.
Partial mapping of the supply chain and palm oil actors in Berau and recommendations on making the supply chain more efficient to support sustainable land use are identified.
Diagnosis of fiscal conditions; feasible policy options to adjust fiscal flows and create better incentives have been studied and identified.
The Ministry of Finance, East Kalimantan Provincial Government and Berau District Government have been consulted on and acknowledge the need to improve fiscal policies for regionally sustainable land use.