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Indonesia Extends its Forest Moratorium: What Comes Next?

Indonesia’s President Susilo Bambang Yudhoyono made a bold and courageous decision this week to extend the country’s forest moratorium. With this decision, which aims to prevent new clearing of primary forests and peat lands for another two years, the government could help protect valuable forests and drive sustainable development.

Enacted two years ago, Indonesia’s forest moratorium has already made some progress in improving forest management. However, much more can be done. The extension offers Indonesia a tremendous opportunity: a chance to reduce emissions, curb deforestation, and greatly strengthen forest governance in a country that holds some of the world’s most diverse ecosystems.

Boosting Achievements from Indonesia’s Forest Moratorium

Indonesia ranks as one of world’s biggest greenhouse gas emitters, largely due to the clearing of forest and peat lands. The forest moratorium aims to address this problem by prohibiting any new licenses to log, clear, convert, or otherwise alter pristine forest and peat lands, an area encompassing more than 43 million hectares of land. Forest users with existing licenses are still allowed to operate in these regions, and there are several exceptions to the rule.

Here at WRI, we are constantly working to understand and minimize the environmental impacts of our work. Using research and expertise from around the Institute to guide us, WRI is committed to limiting the resources we use and purchasing products that reflect our environmental and social mission.

Our guidelines at our Washington, D.C. office require paper products to be certified[^1] and have high recycled fiber content. However, we had not identified other requirements beyond product certification, nor had we effectively communicated these guidelines or any paper purchasing standards with our non-D.C. offices. We also found that we were not maintaining records on all our offices’ paper purchases.

Considering our ongoing work to help companies comply with U.S. Lacey Act requirements, we decided it was time to examine the paper products in our own offices. We wanted to better understand our supply chains and use fiber analysis to test the paper content.

The Climate Investment Funds (CIFs), one of the world’s largest dedicated funding facilities for climate change mitigation/adaptation projects, have now been in operation for five years. It’s a good time to step back and evaluate what lessons we’re learning from these important sources of climate finance.

WRI recently did just that, inviting a group of representatives from countries accessing CIFs funding to speak at our offices. It became clear from the discussions that while some valuable progress has been made, there is still plenty of room for improvement. In particular, lending institutions involved with the CIFs could deploy climate finance more effectively by fostering a stronger sense of country ownership over mitigation/adaptation projects.

The Good News: Climate Investment Funds Are Contributing to Change on the Ground

We’re starting to see some countries make progress on implementing climate change mitigation and adaptation projects with funds from CIFs programs (see text box). Panelists at the WRI event highlighted a few examples:

This post originally appeared on Bloomberg’s “The Grid” blog.

This piece was co-authored with Rainer Baake, director of Agora Energiewende and former State Secretary in Germany’s Ministry of the Environment, where he led the drafting of the Renewable Energy Act.

“Energiewende” may not be a household word in the United States today, but U.S. citizens and policymakers are likely to hear more about it. It’s the name of Germany’s ambitious energy transformation, which aims to move the country to at least 80 percent of electricity from renewable energy sources by 2050.

Germany already gets nearly 25 percent of its electricity from renewable sources, up from just under 7 percent 13 years ago. That is no small feat. Germany is a manufacturing powerhouse: It’s the world’s fifth-largest economy and third largest exporter.

Germany’s commitment to renewables has helped create jobs and drive economic opportunities. Since 2004, clean energy investments grew by 122 percent. Jobs in the renewable energy sector have more than doubled to around 380,000 jobs in the same timeframe.

Since 2009, more than 30 countries have submitted proposals for REDD+ readiness grants to start addressing the social, economic, and institutional factors that contribute to forest loss. Many countries have made encouraging strides in defining their plans to become “ready” for REDD+.

Yet, in a new WRI analysis of 32 country proposals, we identify the need for stronger commitments and strategies to address land and forest tenure challenges. While most countries identify secure land tenure as critical to successful REDD+ programs, relatively few outline specific objectives or next steps to address weaknesses in land laws or their implementation. Lack of clear strategies to address land tenure challenges could significantly hinder efforts to reduce emissions from deforestation and forest degradation.

The new working paper from WRI’s Governance of Forests Initiative reviews 32 readiness proposals submitted to two grant programs supporting REDD+ readiness: the Forest Carbon Partnership Facility (FCPF) and the UN-REDD Programme. We reviewed these documents to assess how REDD+ countries plan to address eight core issues (see Box 1 below). The analysis sheds light on how REDD+ issues are understood and prioritized, as well as where more technical and financial support is needed.

Germany is in the midst of an unprecedented clean energy revolution. Thanks to the “Energiewende,” a strategy to revamp the national energy system, Germany aims to reduce its overall energy consumption and move to 80 percent renewable energy by 2050. The country has already made considerable progress toward achieving this ambitious goal.

In fact, other countries like the United States can learn a lot from the German clean energy experience. That’s why WRI is hosting a German energy speaking tour in the United States this week, May 13th-17th. Rainer Baake, a leading energy policy expert and key architect behind the Energiewende, and WRI energy experts will travel to select U.S. cities to share lessons, challenges, and insights from the German clean energy transformation. They will be joined by Dr. Wolfgang Rohe and Dr. Lars Grotewold from Stiftung Mercator.

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Increased industrialization in Asia has created countless hurdles for communities to protect themselves from pollution. Important government information—such as the amount of pollutants being discharged by nearby factories or results from local air and water quality monitoring—still isn’t readily accessible in user-friendly formats. This practice often leaves the public entirely out of decision-making processes on issues like regulating pollution or expanding industrial factories. In many cases, the public lack the information they need to understand and shield themselves from harmful environmental, social, and health impacts.

This state of affairs recently prompted a group of government officials, NGOs, local community representatives, and academics to demand government action to change the status quo. Last week, representatives from China, Indonesia, Japan, Mongolia, the Philippines, and Thailand released the Jakarta Declaration for Strengthening the Right to Environmental Information for People and the Environment. The Declaration urges governments to improve access to information on air and water quality pollution in Asia—and offers a detailed road map on how to do so.

The Declaration stemmed from a meeting organized by WRI’s the Access Initiative and the Indonesian Center for Environmental Law, held last week in Jakarta. Representatives will now bring the list of findings and recommendations to government officials in their home countries and ask for commitments on increasing transparency.

Chinese overseas investments are rapidly increasing. As of 2011, China’s outward foreign direct investments (OFDI) spread across 132 countries and regions and topped USD 60 billion annually, ranking ninth globally according to U.N. Conference on Trade and Development statistics. A significant amount of this increasing OFDI goes to the energy and resources sectors—much of it in Asia, Africa, and Latin America.

But there are two sides to China’s OFDI coin. On the one side, these investments can benefit China and recipient countries, generating revenue and improving quality of life. However, like any country’s overseas investments, without the right policies and safeguards in place, these investments can fund projects that harm the environment and local communities.

WRI‘s new issue brief surveys the progress and challenges China faces in regulating the environmental and social impacts of its overseas investments. I sat down with WRI senior associate and China expert, Hu Tao, to talk about China’s overseas investment landscape. Before joining WRI, Tao worked as a senior environmental economist with China’s Ministry of Environmental Protection (MEP). Here’s what he had to say:

U.S. natural gas production is booming. According to the Energy Information Administration (EIA), production grew by 23 percent from 2007 to 2012. Now—with production projected to continue growing in the decades ahead—U.S. lawmakers and companies are considering exporting this resource internationally. But what are the climate implications of doing so?

This is a topic I sought to address in my testimony yesterday before the U.S. House of Representatives Energy and Commerce Subcommittee on Energy and Power. The hearing, “U.S. Energy Abundance: Exports and the Changing Global Energy Landscape,” examined both the opportunities and risks presented by exporting liquefied natural gas (LNG). I sought to emphasize a number of points that are often overlooked in this discussion; in particular, fugitive methane emissions and cost-effective options for reducing them.

Environmental Impacts of Natural Gas Production

While burning natural gas releases half the amount of carbon dioxide as coal, producing the fuel comes with considerable environmental risks (see: here, here, and here). We’re already seeing these risks play out domestically. In addition to habitat disruption and impacts on local air and water quality, one of the most significant implications of natural gas production is fugitive methane emissions.

How can Indonesia—the world’s fourth-most populous country and an emerging economic powerhouse—reduce deforestation and promote sustainable development across its vast, rapidly changing landscape?

That was a question recently posed by Nirarta “Koni” Samadhi, Deputy for the Indonesian President’s Delivery Unit on Development Monitoring and Oversight and Chair of the REDD+ Task Force Working Group on Forest Monitoring. At an informal meeting of forest and development experts at WRI’s offices in Washington, D.C., Koni explored possible answers, while reporting on the Indonesian government’s efforts to map and monitor forests and improve land use policies across the country.

Koni shared some of his insights with us in a video interview. Check it out below.

The U.S. Environmental Protection Agency (EPA) recently released its annual greenhouse gas (GHG) inventory report. Using new data and information, the EPA lowered its estimate of fugitive methane emissions from natural gas development by 33 percent, from 10.3 million metric tons (MMT) in 2010 to 6.9 MMT in 2011. While such a reduction, if confirmed by measurement data, would undeniably be a welcome development, it doesn’t mean that the problem is solved.

There are still many reasons why reducing fugitive methane is important. Even better, WRI’s recent analysis finds that we have the technologies and policy frameworks to do so cost effectively.

Here are five big reasons we should care about fugitive methane emissions:

1) Emissions Are Still Too High.

Methane is a potent greenhouse gas and a key driver of global warming. Methane is 25 times stronger than carbon dioxide over a 100-year time period and 72 times stronger over a 20-year period. In fact, 6.9 MMt of methane is equivalent in impact to 172 MMt of CO2 over a 100-year time horizon. That’s greater than all the direct and indirect GHG emissions from iron and steel, cement, and aluminum manufacturing combined. Reducing methane emissions is an essential step toward reducing U.S. greenhouse gas emissions and slowing the rate of global warming.