| Publication Form | Research Report |
| Publication Title | Initiating an Integrated Benefit Sharing Mechanism for Customary Forest Conservation in Bungo, Jambi |
| Projects | This study proposes an integrated Benefit Sharing Mechanism (BSM) for customary forest conservation in Bungo District, Jambi, following the change in status of customary forests to rights forests based on Constitutional Court Decision No. 35/2012. This study emphasizes the importance of ensuring that indigenous communities receive equitable benefits from their forest conservation efforts, by criticizing public finance approaches that do not match their needs. Three proposed funding instruments—Special Allocation Funds (DAK), Natural Resource Revenue Sharing Funds (DBH), and Village Funds (DD)—are expected to support customary forest conservation equitably. Bungo District was chosen as the research location because of the existence of indigenous communities recognized through Regional Regulations and adequate data, and Jambi is one of the pilot provinces for the REDD+ program. |
| Funding | USAID ProRep |
This study discusses the importance of designing a benefit sharing mechanism (BSM) for the conservation of customary forests in Bungo Regency, Jambi, involving the Datuk Sinaro Putih indigenous community. Along with the change in the status of customary forests to rights forests after the Constitutional Court's decision, indigenous communities now have full rights to the forests they have managed so far. This study aims to ensure that indigenous communities receive equitable benefits from the forest conservation they have carried out, which has so far benefited many parties but the costs have only been borne by themselves.
The existence of a benefit-sharing mechanism is very important, especially to meet the socio-economic needs of indigenous communities who often feel they do not receive proper compensation for the existence of customary forests in their areas. Although various proposals for benefit-sharing mechanisms already exist, many do not reflect the conditions and institutional context in Indonesia and the aspirations of indigenous communities themselves. This study proposes three potential funding instruments to support customary forest conservation: Revenue Sharing Funds (DBH), Special Allocation Funds (DAK), and Village Funds (DD), which are expected to facilitate fair benefit sharing.
Bungo Regency was chosen as the case study location because it has regional regulations that recognize indigenous communities, as well as adequate data and information related to customary forests. In addition, Jambi is included in the 11 pilot provinces for the REDD+ program in Indonesia, which provides a great opportunity for the implementation of this model. This study is expected to provide operational recommendations in designing a benefit-sharing mechanism that is in accordance with the principles of fiscal decentralization and state financial management, which can be applied in other districts/cities that have customary forests in Indonesia.
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