Abstract

[Extract] In May 2010 President Yudhoyono of Indonesia signed a pact with the Norwegian government for a 2-year moratorium on new permits for conversion of peatlands and natural forest to land uses such as industrial timber or oil-palm plantations. Via this REDD (reducing emissions from deforestation and forest degradation) scheme, Norway will help build Indonesia’s capacity to monitor and protect its forests, which are decreasing in area. If deforestation rates in Indonesia decline after 2 years, the central government will receive up to US$1 billion from Norway. Although this “Oslo Pact” is potentially a major boost for forest conservation in Indonesia, we see several reasons to temper our optimism, and we offer several recommendations to improve the pact’s effectiveness.

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