POLICY
JAKARTA (FORESTHINTS.NEWS) - Indonesian Environment and Forestry Minister Siti Nurbaya has identified a number of carbon projects underway in the country's state forest areas - which serve as sources of carbon offsets - that are or could be associated with illegal forestry operations. Such projects, if allowed to go ahead, would inevitably result in forestry crimes.
"Law enforcement efforts are being carried out against all carbon projects already or potentially linked to illegal forestry operations. We consistently prevent these projects from continuing by issuing strict warning letters, imposing sanctions, and ordering them to pay non-tax state revenues (including penalties)," said Minister Nurbaya in a policy discussion on law enforcement of carbon projects in Indonesia (Apr 7).
"These are all part of the government’s preventive efforts to force carbon projects to fully comply with Indonesia's laws and regulations," she explained.
New case
Minister Nurbaya cited a new case of a carbon offset deal from a giant oil and gas company operating in Sumatra’s Riau province involving an ecosystem restoration concession in Central Kalimantan.
“An investigation is ongoing given that there are indications the deal is linked to illegal forestry operations. This will be followed by appropriate law enforcement measures," she cautioned.
“In fact, I have reported several cases to the President, including this new case. The President again ordered that carbon governance be consistently enforced on the front line to bring it into alignment with the presidential regulation (on the arrangement of Indonesia's economic value of carbon)," the minister said.
In the landmark presidential regulation referred to by the minister, which was signed by President Joko Widodo at the end of October last year, Indonesia prioritizes fulfilling its NDC target in utilizing its economic value of carbon while also keeping the door open for some business opportunities in voluntary carbon markets.
The minister pointed out that her legal moves are all about making sure that any carbon offset deal definitively or even possibly linked to illegal forestry operations is shut down with immediate effect.
"Indonesia's good governance practices in relation to carbon must be upheld without negotiation," she stressed.
SRN registration a priority
Minister Nurbaya gave a reminder of the preventive law enforcement actions she has taken, notably her imposition of legal and financial sanctions on forestry companies associated with carbon projects with the aim - she reiterated - of forcing them to comply with Indonesia's laws and regulations.
"Our ongoing efforts will continue to be intensified to ensure that Indonesia's carbon good governance stays firmly in the legal corridor and aligns completely with the landmark presidential regulation," she asserted.
“Carbon projects that performed transactions before the landmark presidential regulation was in place have a two-year transition period to ensure they align with the presidential regulation and are registered with our SRN (the National Registry System for all of Indonesia's carbon projects)," the minister elaborated.
Meanwhile, she continued, carbon projects that are still underway but whose validation process is yet to incorporate the landmark presidential regulation must immediately align with it.
“There is no other option but for these carbon projects to align themselves legally with the presidential regulation, as well as with other existing laws and regulations, so that they don’t end up committing forestry crimes due to their links with illegal forestry operations. These carbon projects need to be registered in the SRN first as a priority,” Minister Nurbaya emphasized.
Ongoing preventive efforts
Minister Nurbaya also pointed to the preventive efforts made against four ecosystem restoration concessions in Sumatra’s Riau province, where the Indonesian forestry authorities have sent two serious warning letters to the companies concerned which are part of a giant pulp and paper group.
These companies, she added, have been instructed to immediately stop the validation process of their carbon projects because they are not in compliance with Indonesia’s laws and regulations, and have also been told to take concrete steps to align themselves with the landmark presidential regulation.
"International entities involved in the validation process and carbon credit issuance need to be aware that they are promoting carbon projects linked to illegal forestry operations," said the minister.
Minister Nurbaya appealed for carbon projects not to try create fake legal compliance reports in the validation process, especially those using international methodologies, by involving global entities (such as consultants and verifiers), because their illegal practices are very easy to detect and someday will be announced publicly.
She also told forestry businesses linked to carbon projects, in particular ecosystem restoration companies, not to deviate from their legally approved business work plans and, instead, to follow the legal procedures as clearly outlined in the circular letter sent to them by the Indonesian forestry authorities in May last year.
According to the minister, when it comes to their business plans, including in this case those related to carbon projects, every forestry company must first ensure it has a track record of reporting to and obtaining approval from the country's Environment and Forestry Minister in her supervisory capacity and also as the national focal point for matters relating to climate change and carbon in Indonesia.
"The government will resort to even stricter law enforcement if international entities, along with forestry companies doing carbon business in Indonesia, choose to pretend they are legally compliant," Minister Nurbaya warned.RELATED STORIES
POLICY
JAKARTA (FORESTHINTS.NEWS) - Indonesian Environment and Forestry Minister Siti Nurbaya has identified a number of carbon projects underway in the country's state forest areas - which serve as sources of carbon offsets - that are or could be associated with illegal forestry operations. Such projects, if allowed to go ahead, would inevitably result in forestry crimes.
"Law enforcement efforts are being carried out against all carbon projects already or potentially linked to illegal forestry operations. We consistently prevent these projects from continuing by issuing strict warning letters, imposing sanctions, and ordering them to pay non-tax state revenues (including penalties)," said Minister Nurbaya in a policy discussion on law enforcement of carbon projects in Indonesia (Apr 7).
"These are all part of the government’s preventive efforts to force carbon projects to fully comply with Indonesia's laws and regulations," she explained.
New case
Minister Nurbaya cited a new case of a carbon offset deal from a giant oil and gas company operating in Sumatra’s Riau province involving an ecosystem restoration concession in Central Kalimantan.
“An investigation is ongoing given that there are indications the deal is linked to illegal forestry operations. This will be followed by appropriate law enforcement measures," she cautioned.
“In fact, I have reported several cases to the President, including this new case. The President again ordered that carbon governance be consistently enforced on the front line to bring it into alignment with the presidential regulation (on the arrangement of Indonesia's economic value of carbon)," the minister said.
In the landmark presidential regulation referred to by the minister, which was signed by President Joko Widodo at the end of October last year, Indonesia prioritizes fulfilling its NDC target in utilizing its economic value of carbon while also keeping the door open for some business opportunities in voluntary carbon markets.
The minister pointed out that her legal moves are all about making sure that any carbon offset deal definitively or even possibly linked to illegal forestry operations is shut down with immediate effect.
"Indonesia's good governance practices in relation to carbon must be upheld without negotiation," she stressed.
SRN registration a priority
Minister Nurbaya gave a reminder of the preventive law enforcement actions she has taken, notably her imposition of legal and financial sanctions on forestry companies associated with carbon projects with the aim - she reiterated - of forcing them to comply with Indonesia's laws and regulations.
"Our ongoing efforts will continue to be intensified to ensure that Indonesia's carbon good governance stays firmly in the legal corridor and aligns completely with the landmark presidential regulation," she asserted.
“Carbon projects that performed transactions before the landmark presidential regulation was in place have a two-year transition period to ensure they align with the presidential regulation and are registered with our SRN (the National Registry System for all of Indonesia's carbon projects)," the minister elaborated.
Meanwhile, she continued, carbon projects that are still underway but whose validation process is yet to incorporate the landmark presidential regulation must immediately align with it.
“There is no other option but for these carbon projects to align themselves legally with the presidential regulation, as well as with other existing laws and regulations, so that they don’t end up committing forestry crimes due to their links with illegal forestry operations. These carbon projects need to be registered in the SRN first as a priority,” Minister Nurbaya emphasized.
Ongoing preventive efforts
Minister Nurbaya also pointed to the preventive efforts made against four ecosystem restoration concessions in Sumatra’s Riau province, where the Indonesian forestry authorities have sent two serious warning letters to the companies concerned which are part of a giant pulp and paper group.
These companies, she added, have been instructed to immediately stop the validation process of their carbon projects because they are not in compliance with Indonesia’s laws and regulations, and have also been told to take concrete steps to align themselves with the landmark presidential regulation.
"International entities involved in the validation process and carbon credit issuance need to be aware that they are promoting carbon projects linked to illegal forestry operations," said the minister.
Minister Nurbaya appealed for carbon projects not to try create fake legal compliance reports in the validation process, especially those using international methodologies, by involving global entities (such as consultants and verifiers), because their illegal practices are very easy to detect and someday will be announced publicly.
She also told forestry businesses linked to carbon projects, in particular ecosystem restoration companies, not to deviate from their legally approved business work plans and, instead, to follow the legal procedures as clearly outlined in the circular letter sent to them by the Indonesian forestry authorities in May last year.
According to the minister, when it comes to their business plans, including in this case those related to carbon projects, every forestry company must first ensure it has a track record of reporting to and obtaining approval from the country's Environment and Forestry Minister in her supervisory capacity and also as the national focal point for matters relating to climate change and carbon in Indonesia.
"The government will resort to even stricter law enforcement if international entities, along with forestry companies doing carbon business in Indonesia, choose to pretend they are legally compliant," Minister Nurbaya warned.RELATED STORIES