Central Kalimantan is at a critical point for sustainable land use. Approximately 7.5 million hectares of forests, which account for roughly 10% of Indonesia’s forested area, are located in this area, along with large tracts of degraded lands. It is one of the provinces with the highest deforestation rate in Indonesia which was resulted from mining and agricultural activities—primarily oil palm.

CPI’s Production and Protection Approach to Landscape Management (PALM) aims to make a significant contribution to the development and realization of Central Kalimantan’s green growth strategy. In partnership with the University of Palangka Raya and PILAR Foundation, CPI is supporting the province’s transition towards sustainable oil palm production while protecting vital natural landscapes.

With support from the Norwegian Agency for Development Cooperation (NORAD), PALM project started in 2013 and currently it is on Phase II. The first phase of PALM project laid out the foundation of the provincial green growth strategy by identifying opportunities to increase oil palm productivity, profitability and sustainability gains, assessing areas with high conservation value on a provincial scale, designing a district-level natural capital assessment and examining fiscal policy options to improve land productivity. CPI has also established a Working Group on REDD+ and Production-Protection, and a Technical Team to bridge the results of analysis into policy making and to produce a strategy that would improve land use management.

Building on PALM Phase I results, Phase II works closer with district governments and smallholder farmers to support them in optimizing land use while ensuring sustainable regional economic growth. Funded by the Norwegian Climate and Forest Initiative (NICFI), Phase II began in mid-2016 and will end in 2020 with a focus on Kotawaringin Timur and Katingan Districts. The program’s main areas are:

  • Fiscal policy for sustainable land use management at sub-national level to support local government on sustainable and equitable land use management including to promote high productivity, sustainable agricultural production (particularly oil palm) and protection of high value ecosystems.
  • Policy engagement with key local decision makers with engagement of private sector and civil society organizations to develop framework for adopting sustainable land use policies in oil palm supply chain.
  • Business models of sustainable alternative livelihoods for smallholder farmers in two selected districts to help improve local economy and optimize land use.
  • Local institutional capacity to support production-protection strategy through productive research-policy linkages and public-private-people collaboration.