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Indonesia: Move to Reduce GHG Emissions from Deforestation and Forest Degradation

(Mar. 20, 2009) It was reported on March 4, 2009, that Indonesia has submitted an application to join the World Bank's Forest Carbon Partnership Facility [FCPF]. The goal of the FCPF is to help developing countries “design and create projects” under the U.N.-supported Reduced Emissions from Deforestation and Degradation scheme, or REDD. Participation in the scheme “could eventually earn poorer nations billions of dollars a year by protecting their forests.” (David Fogarty, Indonesia Applies for World Bank Forest CO2 Scheme, REUTERS, Mar. 4, 2009, available at REDD may become part of a more comprehensive climate treaty that will succeed, from 2013, the Kyoto Protocol. About 20 percent of world-wide greenhouse gas emissions (GHGs) are attributable to deforestation and forest degradation; the latter accounts for 80 percent of Indonesia's GHGs. (Id.)

Indonesia is the largest country to join FCPF/REDD to date and “among the most crucial … given the size of the country's remaining forests as well as the rapid rate at which they have been lost.” (Id.) The government is formulating new forestry regulations in connection with REDD that may be issued by mid-2009. According to the World Bank, about 20 REDD projects are underway in Indonesia, which “has become a leader in developing rules governing the scheme.” (Id.) A 2007 report by the World Bank and the U.K. Department for International Development pointed out that Indonesia “has become one of the three largest emitters of greenhouse gases in the world …largely due to the significant release of carbon dioxide from deforestation” (illustrated in a chart comparing GHG emissions from energy, agriculture, forestry, and waste of the United States, China, Indonesia, Brazil, Russia, and India). (Indonesia and Climate Change: Working Paper on Current Status and Policies 1 (Mar. 2007), available at