Forests Now

To protect efficiently 750,000 ha of a well conserved forest coined a “carbon forest” by Carbon Conservation, with buffer zones designated on surrounding degraded land for reforestation programmes and agriculture.
In addition to carbon credit revenues, planners hope to develop and market “Aceh Green” forest products such as sustainable palm oil, coffee and cacao from the forest’s outer buffer zone. This joint income is due to help fund both the conservation of Ulu Masen’s rich biodiversity and health and education projects across Aceh’s local communities, some of Indonesia’s poorest.

How it will work:

The project is forecasting an 85% cut in current deforestation rates, reducing CO2 emissions by 100 million tons over 30 years. At a projected price of US$5 per ton, the Ulu Masen project could earn Aceh’s semi-autonomous government US$26 million over the first five years. The investment bank Merrill Lynch is already interested in investing in Ulu Masen and Carbon Conservation propose to work with them on the credit monetization strategy.

Deforestation will be monitored remotely by satellite and on the ground.

Start: February 2008.Who is in charge:

The project has been developed through collaboration between Fauna & Flora International (FFI), the largest conservation NGO project in Asia; Carbon Conservation, an established global leader in avoided deforestation voluntary carbon credit creation and financing; and Aceh’s Governor Irwandi Yusuf. The Wildlife Warriors Worldwide and Humane Society International are partners of the initiative.

Endorsers

The project received the world’s first independently validated Climate, Community & Biodiversity (CCB) certification. The project is now considered likely to produce tradable carbon credits in the voluntary market for REDD projects from 2009.

The project design has been examined by the Forest Stewardship Council (FSC) forest management certifier, Rainforest Alliance's SmartWood programme, and found to meet the CCB’s criteria for land use projects “to mitigate climate change and deliver compelling community and biodiversity benefits".

Why is this project important for Forests Now?

The 2004 Indian Ocean tsunami placed a huge premium on timber for rebuilding, sparking dramatic illegal logging throughout Aceh’s relatively substantial intact forests. WWF warned of “a second ecological disaster stemming from deforestation” unless rates were rapidly curbed (“Tsunami relief risks rainforest destruction”). Furthermore, forest ecosystem services that have been severely undermined by this deforestation – from clean water production to flood prevention – are vital in underpinning the health and resilience of local communities and economies across the region.

The Aceh Initiative is at the forefront of commercial efforts to trial REDD in the voluntary market ahead of its formal adoption under the UNFCCC, expected at COP 15 in Copenhagen.