Policy NoteSocial Development

Initiate National Recommendations on Forestry Sector Benefit Sharing Mechanisms

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There are two important mandates of the emission reduction scheme through preventing deforestation and forest degradation, namely first, distribution of incentives and second, involvement of local communities around the forest. Both refer to strengthening the social and economic sectors which are expected to improve the ecological function of forests (Nagiah & Yasmi, 2011).

In line with the mandate above, the Directorate General of Climate Change and Control at the Ministry of Environment and Forestry has established a Work Plan that
One of the program performance outputs is the availability of a benefit sharing mechanism in handling deforestation and forest degradation.

The implementation of benefit sharing mechanisms in the forestry sector is mostly carried out by civil society organizations/NGOs, with funding outside the state budget. Especially those that are run under a work program scheme with a certain time span and funding amount funded by donor agencies. This makes funding unsustainable.

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