Reducing Greenhouse Gas Emissions, East Kalimantan Receives Compensation of IDR 260 Billion from the World Bank

Source: https://www.merdeka.com/peristiwa/turunkan-emisi-gas-rumah-kaca-kaltim-dapat-kompensasi-rp260-miliar-dari-bank-dunia.html

The Provincial Government of East Kalimantan received an incentive of IDR 260 billion from the World Bank. The funds were given because this area was considered successful in reducing greenhouse gas (GHG) emissions, through the REDD+ program and the Forest Carbon Partnership Facility (FCPF-Carbon Fund).

The signing of the FCPF incentive payment agreement was carried out at the moment of the 2022 Adipura Award which was held by the Ministry of Environment and Forestry at the Dr Soedjarwo Auditorium, Manggala Wanabakti Building, Jakarta, Tuesday (28/2).

Governor of East Kalimantan Isran Noor expressed his gratitude to Minister of Environment and Forestry Siti Nurbaya Bakar and Director General of PPI Laksmi Dwanti for the agreement to pay incentives to reduce exhaust emissions produced and have been calculated in East Kalimantan. Isran believes that in the future many other provinces that have reduced exhaust emissions will follow East Kalimantan's example.

"We are grateful that today an agreement has been signed for the payment of FCPF-CF incentives for East Kalimantan, from the first payment. That was signed by BPDLH Ministry of Finance and BPKAD for East Kalimantan Province and districts/cities throughout East Kalimantan," said Isran, through a written statement received merdeka .com from the Administrative Bureau of the East Kalimantan Provincial Secretariat.

East Kalimantan is considered to have succeeded in reducing carbon emissions by around 30 million tons of CO2 equivalent and the World Bank assessed it by 22 million tons of CO2 equivalent.

"We are proud, just carry it out. Coordinate as soon as possible because the funds are already there, just waiting for a while to enter the regional treasury," said Isran.

Isran also appreciated the regencies and cities in East Kalimantan that won the 2022 Adipura award, namely Balikpapan City won the Adipura Kencana award for the large city category, Bontang City won the Adipura category for medium cities, Tanah Grogot City and Penajam City won the Adipura for the small city category.

"We are proud because there are areas in East Kalimantan that have won the Adipura 2022 award, both in the small city, medium city and golden city categories. Good. Keep improving it," said Isran.

The IDR 260 billion incentive fund will be distributed to the East Kalimantan Provincial Government and 8 regencies/cities that are entitled to compensation. Where IDR 110 billion will be through the APBD scheme and IDR 150 billion will be distributed to 441 villages through institutions appointed by the East Kalimantan Provincial Government.

For your information, the performance-based incentives in the GHG reduction program were previously through the signing of a Letter of Intent (LoI) with the World Bank, the Ministry of Environment and Forestry and the East Kalimantan Provincial Government on September 20 2017, then revised again through the LoI on October 12 2019.

"The allocation of these funds is intended for the operationalization of the implementation of the FCPF program, incentives for parties who contribute to reducing emissions in the scope of East Kalimantan. And rewards for customary law communities (MHA) who carry out forest protection in East Kalimantan Province," said the Main Director of the Environmental Fund Management Agency Alive (BPDLH) Djoko Hendratto.