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Investor Presentaiton

6.3 Sustainable Forest Management Sustainable forest management is the core of the FOLU Net Sink 2030 agenda. Current forest management techniques are encouraged to secure and increase carbon stock, while preventing degradation and deforestation to reduce forest emission level. An intensive silvicultural technique (SILIN) is applied to rehabilitate forests and improve natural forest productivity in forest concession areas through selective logging and gap planting or Selective Cutting and Line Planting. The techniques include plantation area modification, tree improvement, and pest and disease control. These techniques may produce logs 3-4 times higher than conventional forest operation, or around 90-120 m³ per harvest cycle. There have hitherto been 119 units of PBPH that have applied the SILIN technique with the areas being impacted of 164,730 ha. On the other hand, the technique of reduced impact logging for lower emission (RIL-C) is able to improve efficiency of forest operation, hence increase forest productivity up to 10%. RIL-C is able to almost double carbon sequestration and carbon stock of forests. While conventional logging will leave carbon stock of forest biomass of only 45%, RIL-C can augment the carbon stock up to 77%. Of the 257 natural forest concessionaires, 30 units have applied RIL-C with an area of 103,596.56 ha. Research findings show that RIL-C can reduce the release of carbon emissions by up to 50% compared to conventional logging. To ensure that the processed wood is legally and sustainably harvested, the Country has developed a Forest Legality and Sustainability Assurance System (SVLK) that applies the principles of transparency and accountability by involving all elements of society in its implementation, including civil society organizations as an observer. have The forest concessionaires that been granted sustainable forest management certification (S-PHL) and timber legality certifications (VLK) include: • Natural forests: 178 units (154 units of S-PHL; 24 units of VLK) • Plantation forests: 152 units (128 units of S-PHL; 24 units of VLK) 100 20 291 Indonesia has developed Forest Legality and Sustainability Assurance System (Sistem Verifikasi Legalitas dan Kelestarian) that applies principles of transparency and accountability to ensure every harvested timber can be traced to its sources which are legal and sustainable forests. Implementation of Intensive Silviculture in Forest Utilization Business License areas will increase timber productivity of natural forests and greenhouse gas emissions absorption through sustainable forest management. 101
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