| Publication Form | Research Report |
| Publication Title | Political Economy of Benefit Sharing Mechanism for Mitigating Deforestation and Forest Degradation: The Case of Kutai Kartanegara, East Kalimantan |
| Projects | This study explores the political economy of benefit distribution mechanisms (BSM) for mitigating deforestation and forest degradation in Kutai Kartanegara District, East Kalimantan, by assessing weaknesses in the allocation and distribution of Forest Resource Provisions (PSDH) and Reforestation Funds (DR) through the Revenue Sharing Fund (DBH) scheme that has not provided effective incentives. This study proposes the design of a BSM based on forestry and mining revenues that combines institutional and public participation approaches, taking into account the conditions of public financial management in Indonesia. A political economy analysis is conducted to map the roles of actors inside and outside the bureaucracy, such as civil society organizations, political parties, and local governments, in order to understand who is more influential in implementing policies to mitigate deforestation and forest degradation at the local level. |
This study explores the political economy of benefit distribution mechanisms (BSM) for mitigating deforestation and forest degradation in Kutai Kartanegara, East Kalimantan. The main focus of this study is to overcome the limitations of the Revenue Sharing Fund (DBH) scheme which currently does not provide enough incentives for forestry sector actors to prevent forest destruction. Although deforestation in Indonesia remains high, this study proposes a BSM scheme based on forestry and/or mining revenues as an alternative to provide more effective incentives.
The proposed BSM scheme combines institutional and public participation approaches, with the aim of creating policies that are not only in line with existing public financial management, but also involve various relevant actors in decision-making. This is expected to strengthen deforestation and forest degradation mitigation at the local level, through more targeted management of the Reforestation Fund (DR) and Forest Resource Provision (PSDH).
To understand the acceptance and implementation of the BSM scheme at the regional level, this study conducted a political economy analysis by distinguishing actors within and outside the bureaucracy, such as civil society organizations, indigenous groups, and local governments. Through this analysis, the study aims to find policy formulations that can be adopted to support more effective deforestation mitigation in Kutai Kartanegara Regency.
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