Why Did Indonesia Scrap REDD+ Scheme with Norway?

The Indonesian government has decided to terminate the REDD+ (Reducing Emissions from Deforestation and Forest Degradation) agreement with Norway. "It will come into effect on September 10, 2021, considering the lack of progress on the implementation of the Norwegian Government's commitment to realize the result-based payments (RBP)," Indonesia’s Foreign Ministry stated in a press release on Friday (9/10).

The REDD+ termination cooperation through a Diplomatic Note, based on Article XIII of the Letter of Intent (LoI) on REDD+, to the Royal Norwegian Embassy in Jakarta. "The Indonesian government's decision was taken after going through an intensive consultation process," Foreign Ministry revealed. However, the REDD+ mechanism termination will not have any effect on Indonesia's commitment to meeting emission reduction targets.

Norway’s International Climate and Forest Initiative (NICFI) said that last year Norway announced a contribution of NOK 530 million or US$ 56 million to Indonesia for its 2016/2017 deforestation results in line with the REDD+ Letter of intent. However, recently the governments of Norway and Indonesia had been engaged in discussions on a legal agreement for the transfer of results-based contributions. "Up until today’s termination announcement, discussions in this regard were ongoing, and in Norway's view constructive and progressing well, within the frameworks set by our two countries’ regulatory limits," NICFI stated in a written statement on Saturday (9/11).