Low-emissions oil palm development in Berau District, East Kalimantan - Internationale Climate Initiative (IKI)
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Low-emissions oil palm development in Berau District, East Kalimantan

As of: February 2021

In recent years, there has been an increase in the global demand for palm oil, which is also used in the production of food and cosmetics – and in countries like Indonesia, oil palm planting and cultivation has increased as a result. These plantations often displace other land uses and this leads to socio-economic and ecological problems. The project brings government institutions, private sector companies and civil society groups together to design and pilot a programme for sustainable, low-emission palm oil development. This will show the palm oil-producing countries that responsible production is possible. Socio-economic and ecological analyses as well as policy dialogues at provincial level provide information on sustainable palm oil production. Policy recommendations will also be made for programme development and implementation at administrative level.
Joint project
Low-emission palm oil development in Berau Regency, East Kalimantan

State of implementation/results

  • The project contributed to the IKI Indonesia Newsletter of the 10th and 11th editions and produced the Sustainable Palm Oil Update (12th, 13th and 14th editions).
  • In June 2020, Bappenas presented the key findings of the study ‘deforestation-free palm oil’, which was co-funded by the project, at the webinar “Does Indonesia need to expand oil palm area?”. The study concludes that Indonesia can fulfil the domestic and global palm oil demand without new peat and forest conversion since 2018.
  • With the support of the project, District decree number 287/2020, dated 20 April 2020, was issued to legalise the indicative map of 83,000 ha of high conservation value (HCV)/high carbon stock (HCS) areas on lands eligible for oil palm development. Through the decree the agencies responsible for the licensing process are requested to consider the indicative HCV/HCS areas in the business licensing process.
  • The local mediation task force, who received training and supervision from the project, and the Conflict Resolution Unit of the Indonesia Business Council for Sustainable Development, succeeded in facilitating a company-community dialogue and reaching a preliminary agreement for a dispute case. The company now allows the local community to use 384 ha of land inside the concession for public facilities and farms of 70 smallholders.
  • Agencies of Berau District Government have discussed 35 areas of interest identified by five villages for negotiation with nine palm oil companies. The agencies have no objection with the community plan in the areas of interest which include the plan to conserve about 14,000 ha of forested land.

Project data


Implementing organisation:
Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH

Political partner(s):
  • District Government of Berau - Indonesia
  • East Kalimantan Provincial Climate Change Center (DDPI) - Indonesia
  • Local Development Planning Agency Berau (BAPPEDA) - Indonesia
  • Ministry of Environment and Forestry (KLHK) - Indonesia
  • Ministry of Finance - Indonesia
  • State Ministry of National Development Planning (BAPPENAS) - Indonesia

Implementing partner(s):
  • Climate Policy Initiative (CPI)
  • The Nature Conservancy (TNC) - Indonesia

BMU grant:
1.830.000,00 €

09/2017  till  02/2022

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