Norway can pay 530 million NOK for decreased deforestation in Indonesia

After 10 years of laborious work, deforestation in Indonesia goes down. Emissions from deforestation and forest degradation in Indonesia had been decrease in 2016-17 than within the previous decade. In response, Norway can pay as much as 530 million NOK (approx. $56 million) for the nice outcomes. That is the primary time Norway pays for Indonesia’s ends in emission reductions.

This yr, Norway and Indonesia are celebrating 70 years of diplomatic cooperation. Since 2010, Norway and Indonesia have cooperated to cut back Indonesia’s emissions from deforestation, forest degradation and peatland conversion. An impartial third celebration has now verified Indonesia’s outcomes for the forest yr 2016-17.


The report confirms that Indonesia – dwelling to the world’s third largest rainforest – has decreased emissions amounting to roughly 17 mill tons CO2. This is the same as one third of all annual emissions from Norway.


– This can be a groundbreaking second. Indonesia has launched into a outstanding journey, and the forest and land use reforms undertaken by President Joko Widodo and Surroundings and Forestry Minister Siti Nurbaya are yielding spectacular outcomes, says Norway’s Minister of Local weather and Surroundings, Sveinung Rotevatn.


– These are excellent news for Indonesia, for the world, and for our partnership. Indonesia is all set to proceed delivering additional decreased deforestation, and we’re delighted to make our first results-based cost and enter a brand new section of our partnership, says the Minister.

The disbursement is the primary manifestation of the 2 nations having accomplished the 2 first phases of their partnership and entered the results-based section, as introduced in 2019. The calculation of Indonesia’s outcomes is predicated on collectively agreed guidelines.

Just lately revealed figures from the Indonesian authorities point out that deforestation has stayed on the similar stage or decrease in 2017-18 and 2018-19.


– Encouraging

– That is very encouraging. These numbers will, if and when verified, be the premise for additional results-based funds from Norway to Indonesia, enabling us – if Indonesia continues to ship over the following few years – to proceed to satisfy our 6 billion NOK pledge from 2010 by means of results-based funds, says Rotevatn.

Indonesia is working to finalize the institution of the federal government’s Surroundings Fund (the BPDLH), which will probably be Indonesia’s official channel for receiving results-based funds. The complete disbursements will occur when the Fund turns into operational and a grant settlement is signed, which is deliberate to occur this fall.


Indonesia and Norway are additionally working carefully to comply with a framework for continued collaboration past 2020 by means of an addendum to their Letter of Intent from 2010, to information their partnership with even increased ambition into the Paris Settlement interval.

Outcomes -based cost
The utmost variety of emission reductions Indonesia might be rewarded for by Norway and different financiers is 11,2 mill tons CO2, after the deduction of a 35% set-asides for uncertainty, different danger elements, and Indonesia’s personal ambition, as agreed between the 2 nations. For the consequence yr 2016-17, Norway will present result-based cost for all outcomes obtainable. The value is 5 USD per ton CO2 of the decreased emissions, totaling 530 million kroner (56 million USD) to Indonesia.

Supply: / Norway Right this moment



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