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may 2009 keepthehabitat it s about forests people and carbon po box 2707 darwin nt 0801 australia

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message from the chairman i first visited the rainforests of indonesia in the early 1990s the virgin forest s dark walls of buttressed tree trunks laced with rattans and vines rose more than fifty metres up to crowns in full sunlight where monkeys squabbled in the meranti s red-tipped canopies it was the best meranti in indonesia the world and the universe it was 2007 when i again asked about that magnificent meranti forest the answer was shocking ­ habis ­ finished i felt a profound sense of loss the area had not been completely deforested ­ the forest cover had not been permanently lost ­ but roads and tracks had been cut through the forest to selectively harvest the meranti these roads now allow illegal loggers to cut and run with the very trees that were left to regenerate the forest pressures from an expanding population will push people to follow the roads and to burn and clear the now degraded forest so they can grow food to feed their families this is a problem not just for indonesia but for all forest areas of the developing world illegal logging and deforestation are about humanity and existence any solution must address these demands the solution must stimulate sustainable forest management and sustainable communities and must touch individual lives to do this successfully the solution has to be implemented by the very foresters who are trained to manage the forests and the landscapes and finance for the solution has to address the opportunity cost of timber ­ the currency of the timber industry most important of all the solution needs to result in increased levels of employment in local communities needs to support businesses where people are paid to protect the forest from illegal logging where they can rehabilitate logged-over areas and create a sustainable timber supply for a sustainable economy the lives of the people who use the forest must be improved by the continued existence of the forest this was the birth of keepthehabitat the world needs forests ­ the forests of indonesia have never been as important as they are now for helping mankind but right now the forests need the world ­ they need help from us the people of the planet locally we can protect and rehabilitate habitats like the best meranti in the universe but we can also have an impact globally because preventing all tropical deforestation will have the same effect on global carbon emissions as all the reductions of the kyoto protocol it s about forests people and carbon ­ it s really worth doing nigel d turvey founder and executive chairman i

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about this document mamuju habitat is a project designed and managed by keepthehabitat our aim is to create sustainable forests and enable the development of sustainable and prosperous communities we plan to do this through the triple synergy of protecting rainforests from deforestation developing timber plantations and generating electricity from plantation-grown woody biomass this document provides essential highlights about our mamuju habitat on the island of sulawesi indonesia for more information about mamuju habitat or keepthehabitat please contact us through our web site www.keepthehabitat.org ii

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headlines · mamujuhabitatengageswiththenewcarboneconomytocreatesustainableforestsand sustainablecommunitiesthroughthetriplesynergyofprotectingvirginrainforesthabitats fromdeforestation,developingtimberplantationsondegradedlandsandgeneratinggreen electricityfromplantation-grownwoodybiomass · mamujuhabitatliesontheislandofsulawesiinindonesia;abiodiversityhotspot itcoversaround1.1millionhaoftheprovinceofsulawesibaratandplanstotouch thelivesof1millionpeoplebyprovidingemployment,stimulatingbusiness,funding essentialinfrastructureandenablingcommunitydevelopmentinoneofthepoorest areasofindonesia · bystoppingdeforestationofupto832,000haofvirginrainforest,mamujuhabitathas thepotentialtodeliveranestimated24milliontonnes/yrofreducedco2emissionsfor saleintheaccreditedvoluntarycarbonmarket.inthefutureweexpectthesetobesold inaregulatedreddmarket · upto174,000haoftimberplantationsdevelopedondegradedforestconcessionswill enhancetheprotectionofneighbouringresidualvirginrainforestsfromdeforestationand providesustainablewoodsuppliesfornewwoodprocessingindustriesandgenerationof biomasselectricity · upto100mwofbiomasselectricityisneededtomeettheshortfallofmorethan50 unmetelectricitydemandinthesulawesibarat.thiscanbegeneratedbywoodfired powerstationsusingwoodfibrefrompurpose-grownplantations,thinningsfromlonger rotationsandwoodwastefromnewwoodprocessingindustries.biomasselectricityhas thepotentialtogenerateadditionalcarboncreditsbyavoidingcombustionoffossilfuels andusingbiochar,aby-productofcombustion,toimprovetheproductivityofagricultural soils · mamujuhabitathasaplannedminimumlifeof40years,extendablebyagreementupto 100years · mamujuhabitatisacollaboration,structuredbykeepthehabitat,betweentheprovincial governmentofsulawesibarat,theindonesianstate-ownedenterpriseptinhutanii,the indonesianministryofforestryandtheindonesianministryofstate-ownedenterprises andaconsortiumofprivateforestconcessionholdersledbyptsulwood · keepthehabitatprovidesprojectdesign,governance,oversightofimplementationand reportingtostakeholders.weensuretransparencybyengagingindependentauditorsto checkprojectfunds,allocatefundsbasedondeliveredoutcomes,anduseindependent expertsandhighresolutionsatelliteimagerytoverifyprogressofprojectsontheground iii

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contents message from the chairman about this document headlines 1 mamuju habitat 2 the province and the people of sulawesi barat 3 the forests of mamuju habitat 4 accreditation 5 implementation 6 management 7 about keepthehabitat i iii iii 1 4 6 9 10 12 14 iv

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1 mamuju habitat mamuju habitat is about the forests people and carbon of the province of sulawesi barat on the island of sulawesi in eastern indonesia it is about engaging with the new carbon economy to create sustainable forests and enable the development of sustainable and prosperous communities through the triple synergy of · protecting rainforests from deforestation · rehabilitating degraded logged-over forests and · generating electricity from plantation-grown woody biomass mamuju habitat was launched in august 2008 with the signing of an agreement with the indonesian state-owned forestry enterprise pt inhutani i to use their 30,000 ha forest concession in sulawesi barat since then we have re-designed mamuju habitat to encompass the more than 1 million hectares of forests of the province of sulawesi barat while touching the lives of more than 1 million people in one of the poorest regions of indonesia by covering all the forests of the sulawesi barat mamuju habitat minimises `leakage of carbon which happens when deforestation simply moves to a neighbouring area because all the forests and people in mamuju habitat under one administrative structure 1

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stopping deforestation and carbon emissions when fully operational mamuju habitat will protect more than 820,000 ha of virgin rainforest from deforestation resulting in reduced greenhouse gas emissions of up to 24 million tonnes of co2/year these reduced carbon emissions will be traded through the emerging voluntary carbon market after 2012 they may be traded through a scheme of reduced emissions from deforestation and degradation redd which may be added to post-kyoto protocol climate change measures the revenue from carbon trades will be used to employ people to protect and rehabilitate virgin rainforest areas fund essential infrastructure and enable the development of sustainable forests and communities it will provide a direct link between the protection of forests and the prosperity of individuals and communities rehabilitating degraded forest areas around 174,000 ha of degraded logged-over forest areas in mamuju habitat are planned for progressive rehabilitation through enrichment planting and establishment of timber plantations to supply a range of timber products timber grown in long and medium rotations will generate a predictable supply of high quality timber for the manufacture of furniture flooring and house construction wood fibre will also be purpose-grown in short rotations as feedstock for wood-fired power stations this will be supplemented by thinnings from longer rotations and wood waste from wood processing industries forest plantations will bring external capital into the province to create employment in plantation establishment maintenance harvesting and transport the establishment of a reliable and sustainable supply of plantation-grown wood fibre will also underpin investment and employment in new wood processing industries in the province 2

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generating biomass electricity green electricity generated from the combustion of purpose-grown wood fibre biomass is an enabling investment it will help meet the shortfall in generating capacity of more than 100 mw needed to supply the 58 of unmet demand in sulawesi barat we also expect that demand for electricity will rise in step with new wood processing industries which will be developed as the forest plantation resource matures these industries in turn will supply wood waste which can fuel generating capacity depending on the combustion method used to produce biomass electricity the char remaining from the combustion can be ploughed into soils as a soil improver enhancing nutrient and water retention it may also qualify as a carbon credit this biochar can be applied to the soil in the establishment phase of plantations and can also be provided to local farmers to improve the productivity of their soils synergies these three strategies work together ­ a triple synergy ­ creating sustainable forest resources which enable development of sustainable communities and businesses provide healthy returns to investors and enhance the prosperity of more than 1 million lives and there is also a synergy among the collaborators and stakeholders in mamuju habitat keepthehabitat will implement the project along with our accredited indonesian service providers pt empat delapan saudara and our project partners the provincial government of sulawesi barat the state-owned forestry enterprise pt inhutani i in collaboration with the ministry of forestry and the ministry of state-owned enterprises and a consortium of private forest concession holders led by pt sulwood keepthehabitat is responsible for project design implementation and coordination we work closely with our project partners to resolve the challenges of implementing this innovative three pronged sustainable forest and community development strategy 3

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2 the province and people of sulawesi barat location the indonesian province of sulawesi barat west sulawesi is a new province created from the western part of the province of sulawesi utara it comprises 1.7 million hectares on the western coast of the island of sulawesi between 0o12 3o38 south and 118o43 ­ 119o54 east http sulbar.bps.go.id sulawesi barat population and government the province of sulawesi barat is governed by the provincial government and comprises five administrative kabupaten majene mamasa mamuju mamuju utara and polewali mandar it has a population of more than 1 million people the largest administrative district kabupaten mamuju covers almost half of the land area of the povince and contains around 30 of the population implementation of mamuju habitat involves working with all levels of government in sulawesi barat through the provincial government the kabupaten or regency the kecamatan or sub-regency the kelurahan or village level the rukun warga or sub-village level right down to the rukun tetanga at the small community level because these people influence the very individuals who clear and burn the forest boundary to create more arable land 4

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economy sulawesi barat is the third poorest of the thirty three provinces in indonesia in 2007 the gdp of the region was rp 6 trillion or around aud 800 million of which agriculture contributed a little more than half per capita gdp was rp 6 million or around aud 800 the annual budget of the provincial government is around rp 630 billion or around aud 84 million infrastructure the dominance of marine transportation reflects the cultural history of the mandar people there is one airport at mamuju with commercial connecting flights to makassar three times a week using propeller-driven aircraft electrical power comes from diesel generators it is limited unreliable expensive and a constraint on regional development the current supply meets less than half of electricity demand agriculture and forestry the province is the highest producer of wetland rice corn cassava sweet potatoes and peanuts in eastern indonesia the dominant estate crops are oil palm and coconut palm the area was once a major timber producer but there are now only three forest concessions in which timber is being harvested and there are no active large commercial sawmills operating in sulawesi barat harvested logs are now shipped to makassar for processing there is very little manufacturing and a small amount of quarrying for limestone 5

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3 the forests of mamuju habitat our mamuju habitat covers all the forests of sulawesi barat comprising more than 670,000 ha of hutan lindung protected forest administered by the province and ten almost contiguous forest concessions totalling more than 430,000 ha including one adjacent concession in neighbouring sulawesi tengah the concession holders include both private companies and the state-owned enterprise pt inhutani i by collaborating with the provincial government and the concession holders mamuju habitat will protect residual virgin rainforest habitats rehabilitate degraded forests by enriching planting and establish sustainable plantations on logged-over areas and degraded landscapes virgin rainforest habitats conservation international recognises sulawesi as the core of the wallacea region a biodiversity hotspot containing 1,500 endemic plant species 49 threatened bird species 44 threatened mammals and 7 threatened amphibians only 15 of the region s 339,000 km2 still carry virgin rainforest but our mamuju habitat will help preserve and rehabilitate around 1.1 million ha or 20 of those rainforest habitats wallacea region source conservation international movement of the continents and rises and falls in sea levels over the past 200 million years created this unique region of plants and animals called wallacea it includes the island of sulawesi and nusa tenggara which lie to the east of kalimantan java and bali and to the west of the island of papua/new guinea nineteenth century british naturalist alfred russel wallace noted that while rhinoceros elephants tigers and newworld monkeys are endemic to the western islands they are absent from islands to the east and his name is now used to define the boundary of this important biogeographical region the wallacea region was once connected to the australian landmass and separated from it in the last stages of the breakup of gondwana some 120 million years ago as a result there are links between elements of the flora and fauna of wallacea and australia mamuju s dramatic volcanic landscape is dissected into steep forested slopes and inaccessible valleys the ridges and slopes carry nut-bearing damar trees canarium maluensi nyatoh trees palaquium obovatum which produce a latex known as gutta-percha bintangur trees callophyllum soulattri which produce both light-weight durable timber and medicinal products and the dense dark wood of ebony kayu hitam diospyros rumphii 6

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forests of sulawesi barat concession holders numbered legend 1 2 3 4 5 6 7 8 9 10 11 pt parakawan not included pt inhutani i kso pt sulwood not included pt sulwood pt zedsko permai pt rante mario iuphhkpt aneka varia sejahtera pt hayam wuruk pt intan hutani lestari pt sampaga utama sakti pt inhutani i pt palapi timber 7

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these forests are home to anoa the sulawesi buffalo bubalus depressicornis rusa timor the shy deer cervus timorensis and the cat-like sulawesi giant civet or musang macrogalidia musschenbroekii the marsupial kuskus phalanger ursinus ­ a close relative of australia s kangaroos and wallabies ­ lives in the forest canopy together with the old-world black macaque macaca maura and the tiny nocturnal wide-eyed singapuar tarsius tarsier solitary celebes hawk-eagles spizaetus lanceolata soar over the forests searching for prey while pairs of hornbilled burung rangkong birds aceros cassidix nest in fig trees which emerge from the forest canopy the ayam hutan gallus gallus or native chicken scavenges the forest floor and on sandy river banks of the valley floors the maleo bird macrocephalon maleo digs into the sand to lay and incubate its giant eggs ­ it is a close relative of australia s brush turkey mallee fowl and scrub fowl rehabilitation of degraded forest areas the objectives of the rehabilitation programme in the forest concessions of mamuju habitat are to provide · · · · sustainable plantation timber products which provide an attractive return for investors employment in communities to demonstrate the link between sustainable forests and prosperity new timber processing industries and the green electricity to power them and protection of the neighbouring virgin forests from deforestation the plantations will provide high value timbers for furniture and joinery such as meranti teak and ebony grown in long rotations furniture and construction timbers grown in medium length rotations such as acacia and gmelina and fibre for biomass electricity generation from short rotations of albizia thinnings from longer rotations and wood waste from timber processing industries the production of consistently good quality plantation sawlogs and green electricity generated from biomass fuels will stimulate local economies and new businesses in a range of new wood processing industries like the manufacture of furniture flooring decorative panels and timber cladding biochar a waste product from firing wood in the production of electricity will be used to improve the productivity of agricultural soils in the province employment generated by protecting virgin rainforest habitats establishing maintaining and harvesting plantations new wood processing industries and biomass electricity generation will improve the human condition and bring sustainable prosperity to the people of sulawesi barat ­ sustainable forests and communities 8

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4 accreditation ccba we plan to gain gold accreditation in the climate community and biodiversity standard for mamuju habitat from the climate community and biodiversity alliance www.climate-standards.org voluntary carbon standard by adhering to the ipcc 2006 guidelines and supported by the baseline carbon survey and subsequent monitoring we plan for vcu voluntary carbon unit offsets to be accredited by the voluntary carbon standard www.v-c-s.org we plan that these vcus will be registered in the voluntary carbon standard association s vcs registry and viewed in the vcs project database after 2012 we expect these credits to be sold in a regulated post kyoto protocol redd market reduced emissions from deforestation and degradation forest certification it is important for the international success and marketing of products from new wood processing industries which arise from mamuju habitat that the plantation forests which supply the timber are accredited this will be achieved early in the developmental stage of the forest plantation programme through either the forest stewardship council www.fsc.org or another suitable forest management accreditation group 9

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5 implementation project plans keepthehabitat implements mamuju habitat through three plans the habitat protection plan the habitat rehabilitation plan and the community plan the plans are implemented under a legally binding detailed service agreement between keepthehabitat and its indonesian partner pt empat delapan saudara as well as the forest concession holders and the provincial government habitat protection plan the habitat protection plan defines the geographical area resources expertise and methods to protect the virgin rainforest from illegal logging and fire the habitat protection plan is implemented by · · · · · · · · · immediate cessation of illegal logging and clearing of vegetation assignment of personnel and resources to prevent illegal logging and poaching now and for the future satellite monitoring for illegal activities delivery of education programmes for wide support of forest protection employment for communities in forest protection application of forest management methods to minimise other forms of disturbance especially fire and invasive species satellite mapping of forest boundaries and forest cover and on-ground assessment of standing biomass and carbon scientific assessment of forest habitats and biodiversity especially endangered and threatened species and regular monitoring and progress reports on implementation of the habitat protection plan 10

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