Narrative Report

Supporting Local Regulation for Sustainable

Oil Palm in East Kalimantan

Kredit Foto: Rustam (2016)

Prepared by:
Pusat Pengembangan Infrastruktur Informasi Geospasial (PPIIG)
Lembaga Penelitian dan Pengabdian kepada Masyarakat (LP2M)
Universitas Mulawarman

For:
Center for International Forestry Research (CIFOR)

February 2017
Supporting Local Regulation for Sustainable Oil Plam in East Kalimantan

Narrative Report

Version 4 February 2017

Pusat Pengembangan Infrastruktur Informasi Geospasial (PPIIG)

Lembaga Penelitian dan Pengabdian kepada Masyarakat (LP2M)
Universitas Mulawarman, Samarinda, Indonesia

Research Team
Principal Investigator
Co-Principal Investigator
Research Team
: Yohanes Budi Sulistioadi
: Rustam
: Deni Wahyudi
: Rachmad Mulyadi
: Ulfah Karmila Sari

Pusat Pengembangan Infrastruktur Informasi Geospasial (PPIIG)

Lembaga Penelitian dan Pengabdian kepada Masyarakat (LP2M)
Universitas Mulawarman, Samarinda, Indonesia

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 Preface

We are grateful that we can complete this narrative report to accomplish the
deliverables listed in the research project entitled “Supporting local regulation for
sustainable oil palm in East Kalimantan”. This research project was initiated by a
consortium of development partner for East Kalimantan Province, which consists of
CIFOR, GIZ-GELAMA-I, WWF Indonesia, The Nature Conservancy, Yayasan STABIL,
Yayasan Konservasi Katulistiwa and Universitas Mulawarman who met on 24 th
August 2016 and conclude the importance of having a common document and map
of High Conservation Value Forest in the Estate Plantation areas in East Kalimantan.

It is crucial to note that this study covers only part of the High Conservation
Values, similar to those addressed in the East Kalimantan provincial regulation draft
on estate plantation, i.e. hydrology, biodiversity and ecology. Therefore, the study
team highly recommend to extend the study to cover the social and cultural issues as
listed in HCV 5 and HCV 6.

The study team extends its thanks to the development partners consortium,
especially CIFOR for its funding commitment. Appreciation also goes to the
Directorate of Planology and Environmental Management of the Ministry of Forestry
and Environment (Ditjen Planologi dan Tata Lingkungan KLHK), GIZ-GELAMA-I, The
Nature Conservancy, WWF Indonesia, Yayasan STABIL and many others for their
contribution, input and advice on data, methodology, meeting facilitation and review
of the results.

This study applies and documents a set of methods that can be re-iterate by
any parties using the same input datasets, with consistent results. Finally, the study
team deliver this report along with the full report in Indonesian to whoever concern
with the High Conservation Value management, hoping that this study contributes to
sustainable development in agricultural and forestry sectors.

Samarinda, 4th February 2016

Y Budi Sulistioadi

Principal Investigator

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 Table of Contents
PREFACE ....................................................................................................................................... II
TABLE OF CONTENTS ............................................................................................................. III
LIST OF TABLES........................................................................................................................ III
LIST OF FIGURES ...................................................................................................................... III
1. INTRODUCTION ..................................................................................................................... 1
1.1. RATIONALE ...................................................................................................................................... 1
1.2. STUDY OBJECTIVES ......................................................................................................................... 2
1.3. HIGH CONSERVATION VALUES ..................................................................................................... 2
2. IDENTIFICATION OF HIGH CONSERVATION VALUE AREAS ................................... 4
2.1. PROCESS AND TIMELINE ................................................................................................................ 4
2.2. METHODS AND RESULTS ............................................................................................................... 5
2.3. FOLLOW UP...................................................................................................................................... 7

List of Tables

Table 1. The six high conservation values .............................................................................. 3

Table 2. Extent of the Identified HCV within the Estate Crop Plantation Area in
East Kalimantan Province ............................................................................................ 5

List of Figures

Figure 1. Spatial Distribution of the Identified HCV within the Estate Crop
Plantation Area in East Kalimantan Province ...................................................... 6

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1. Introduction
1.1. Rationale
Estate crop plantations and the industries producing its derivative are some
of the development priority in East Kalimantan Province. This is futher confirmed by
the release of Provincial Act No. 1 Year 2016 regarding the Provincial Spatial Plan
that reserves about 3.27 million hectares of areas for estate crop plantations.
Specifically, oil palm plantation development is currently the main solution
in the decreasing trends of other extractive industries, i.e. timber and mining.
Despite the fluctuative price of oil palm products, the estate plantations can intensify
their management toward a significant boost in their production rate through
innovative plantation technology. Nevertheless, estate crop plantation is a land
requiring industry, thus the expansion of estate crop plantation is truly challenging
various sectors especially environment and socio-economic of local people.
According to the Ministry of Environment and Forestry (KLHK), the forest in
East Kalimantan is losing its forest at the annual rate of 177 thousands of hectares,
while the remaining forest is degrading and 202 thousands of hectares.
Deforestation and forest degradation not only caused by overlogging, but it is also
due to overlapping land use and permits, especially those extensively converting
forest area into other use such as mining, estate crop plantation, small pieces of land
for agriculture and physical infrastructure like toll and state roads. Interestingly,
even the Provincial Government of East Kalimantan allocates 3.27 million hectares
for estate crop plantations, a study says that the province still possess as large as
530 thousands hectares of good forest stands within that allocated plantation area.
This calls for a further study to identify which forest areas are very important for
environmental, ecological and social services within this remaining forest patches.
High Conservation Value Forest is a concept developed by forest scientists to
guide the forest managers and local governments to carefully manage areas that are
significantly important for conservation of ecosystems, ecological and environment
services. So far, there are a number of guide to identify and manage such areas, and
it is even adopted by other land-based industries such as oil palm plantation and
coal and other mineral mining industries. The High Conservation Values (HCV)
consists of six main criteria ranges from biodiversity (HCV 1), landscape (HCV 2),
ecosystem services (HCV 3), environmental protection (HCV 4), as well as social
(HCV 5) and cultural protection (HCV 6).
CIFOR, along with a number of development partners such as GIZ, TNC,
WWF, and some other non-governmental organisations see the identification of HCV
areas within the allocated areas for estate crop plantation is a strategic approach to
ensure that agricultural development moves forward along with environmental
protection in East Kalimantan Province. Therefore, CIFOR ties a cooperation with
the University of Mulawarman through its Spatial Data Infrastructure Development

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Center (PPIIG UNMUL) to work around in this issue. Due to short time frame, lack of
supporting data, budget and resource limitation, this study deals with biodiversity,
landscape, ecosystem and environmental services only, while leaving behind the
social and cultural protection issues to be addressed in the other project.

1.2. Study Objectives

This study is conducted with the following objectives:
 To identify areas that possess high conservation values according to the
current toolkit, with specific emphasis on hydrology, biodiversity, landscape
and areas with high risk of disaster such as flood, landslide, and forest and
land fire. Due to various limitations, HCV 5 and 6 are not addressed in this
study
 To support the development of provincial regulation regarding sustainable
plantation in East Kalimantan by providing an indicative map of identified
high conservation value area within the allocated estate crop plantation area
 To prepare a reliable database and information to refer to regarding the
release of new estate crop plantation permits and any other land-based
industries
 To integrate the identified HCV areas along with their argument into the
academic draft of the sustainable

1.3. High Conservation Values

High conservation values are identified using attributes that can be assessed
through a well-documented toolkit, which has been developed since early 2002 by
the Forest Stewardship Council (FSC). FSC first proposed the concept of HCV in
forest area to support sustainable forest management system. This toolkit then
repeatedly improved until it reached the latest version in 2008, which is used as the
guidance in this study. The principle of high conservation value (HCV) is now also
adopted by estate crop plantation as well as mining industries. The overall high
conservation values (HCV) are listed in the following table. As mentioned before,
only high conservation values 1 to 4 are assessed in this study due to shortage of
resources. Additional study is still needed to complete the analysis with the
identification of HCV 5 and 6.

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Table 1. The six high conservation values

High Conservation Sub Description

Values Values
HCV 1 – Important 1.1 Biodiversity Support Funvtions to Protection or
Levels of Conservation Areas
Biodiversity 1.2 Critically Endangered Species
1.3 Habitat for Viable Populations of Endangered,
Restricted Range or Protected Species
1.4 Habitat of Temporary Use by Species or
Congregations of Species
HCV 2 – Natural 2.1 Large Natural Landscapes with Capacity to
Landscapes and Maintain Natural Ecological Processes and
Dynamics Dynamics
2.2 Two or More Contagiuous Ecosystems
2.3 Representative Populations of Most Naturally
Occuring Species
HCV 3 – Rare or 3 Rare of Endangered Ecosystems
Endangered
Ecosystems
HCV 4 – 4.1 Provisions of Water and Prevention of Floods for
Environmental Downstream Communities
Services 4.2 Prevention of Erosion and Sedimentation
4.3 Natural Barriers to the Spread of Forest and
Ground Fire
HCV 5 – Basic 5 Natural Areas Critical for Meeting the Basic Needs
Needs of Local of Local People
People
HCV 6 – Cultural 6 Areas Critical for Maintaining the Cultural Identity
Identity of Local of Local Communities
Communities

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2. Identification of High Conservation Value Areas
2.1. Process and Timeline
In the effort of identifying the high conservation values within the estate
crop plantation areas in East Kalimantan, the study team tried their best to collect
the most reliable data and information to develop strong arguments on preserving
the areas as HCV in a short period of time.
The first step was a focus group discussion (FGD) to gather initial
information such as the availability of previous studies on HCV, identifying current
status of the datasets available for the scale of East Kalimantan province, as well as
collecting inputs on the methodology of HCV identification. One initial FGD in this
phase was the one conducted on August 24, 2016 as facilitated by the Provincial
Office of Climate Change and held in East Kalimantan Provincial Development
Planning Office. Following this FGD, many involved institutions started to collect and
submit any spatial and non-spatial data they possess to the study team to support
the analysis and HCV identification.
By September 16, 2016, most spatial and non-spatial data needeed for pre-
assessment of landscape-scale HCV have been collected and therefore, the data
analysis for HCV identification begun. For the rest of the period, the study team were
analyzing the data and information and meeting up consistently to cross check and
discuss their findings regarding the identified HCV. We noted that the team
internally met up on September 24, October 8, October 12, October 22, November 2
and November 9. The study team presents its first draft of the identified HCV on
November 10, 2016 in GIZ-GELAMA-I office in Samarinda. This FGD provided a lot of
inputs to the study team and led to crucial improvements on the draft as they
presented in front of the development partner consortium on December 5, 2016.
This is the final FGD before the draft being finalized and presented to the Provincial
Office of Estate Crop Plantation on December 20, 2016.
Soon after the identified HCV areas presented to the Provincial Government
on December 20, 2016, the study team rewrite the arguments of each identified HCV
areas into a compact writing with less technical terms and finally integrated the text
into the academic draft of the Estate Crop Plantation. This draft was accepted by the
academic drafting team represented by a lecturer from the Universitas Mulawarman
on January 17, 2017 with the commitment to assert the arguments into some
chapters of the academic draft. The academic draft has been submitted to CIFOR on
the same day.
Following the completion of this study, The Nature Conservancy committed
to extend the study to cover the remaining high conservation values left behind in
this study (i.e. HCV 5 and HCV 6) in an extra work with the same study team. This
initiative is well-accepted and seen as an accomplishment to the result of this study,
and would complete the analysis of the HCV in East Kalimantan Pronvicial at the
landscape scale.

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2.2. Methods and Results
The study team adopted the approach described in the latest version of High
Conservation Value area assessment toolkit for Indonesia, released on 2008 by the
consortium for HCV Indonesia. This toolkit served as the main guidance in assessing
each sub-value in the HCV principle. In more detail, the study team wrote down a
detailed method completed with a very easy to read flowchart for assessing the HCV
sub-values included in the final report submitted to CIFOR. Due to time limitation,
this full report is only available in Indonesian.
Following the guidance of this 2008 toolkit for HCV in Indonesia, the study
team found that all sub-values within HCV 1 to 4 exist in the areas allocated for
estate crop plantation in East Kalimantan Province. This confirms the needs for the
provincial government to carefully look at these identified HCV areas before it
releases any new estate crop plantation permit, as well as reinstate any abandoned
plantation permit. In more detail, the identified HCV areas reached the extent of 2.06
million hectares out of the whole 3.27 million hectares of the estate crop plantation
area. The following table and map show the spatial distribution of the identified HCV
along with their values/attributes.

Table 2. Extent of the Identified HCV within the Estate Crop Plantation Area in
East Kalimantan Province

High Conservation Values Extent (Ha)

HCV 1 5.077,88
HCV 2 139,49
HCV 3 15.536,96
HCV 4 817.653,70
HCV 1, HCV 2 28.052,41
HCV 1, HCV 3 62.757,61
HCV 1, HCV 4 4.493,48
HCV 2, HCV 3 1.438,75
HCV 2, HCV 4 27,57
HCV 3, HCV 4 239.467,93
HCV 1, HCV 2, HCV 3 27.510,37
HCV 1, HCV 2, HCV 4 1.341,33
HCV 1, HCV 3, HCV 4 189.535,29
HCV 2, HCV 3, HCV 4 924,92
HCV 1, HCV 2, HCV 3, HCV 4 667.713,85
Total Extent 2.061.671,55

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Figure 1. Spatial Distribution of the Identified HCV within the Estate Crop
Plantation Area in East Kalimantan Province

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2.3. Follow Up
As the follow up, this study, along with its resulting map, will be completed
with the result of HCV 5 and 6 area as identified in the study commissioned by The
Nature Conservancy. In addition, the study also will improve the identification
process for HCV 1-4 with the most updated datasets. Once this map is complete, the
consortium of development partners will setup several meetings with stakeholders
to legitimate this indicative map and include it into the current regulation regarding
estate crop plantations in East Kalimantan.