The importance of natural resources and ecosystems in the easternmost regions of Indonesia is one of the reasons investment development cannot be done harshly. In particular, at the conservation province and the rich natural biodiversity alive. To cope with that, Indonesia proposes green investment for Papua and West Papua. Here are some of the details.
About the program
The program highlights the environmentally friendly concept that goes with the government of Indonesia. The target of the concept itself is the natural commodities, which include farming, fishery products, eco-tourism, and many export potentials. In many cases, the primary purpose is to elevate the local economy with their endemic commodities.
In the case of the west and Papua region, the two provinces pose huge possibilities in the form of ranging natural resources. The program can help develop better commodity plantations such as nutmeg, Arabica Coffee, or Cacao. The regions can also offer their local fishery products, such as seaweed and fish.
The primary point of economic growth is not the only reason. The Green investment focuses on committing development under the low carbon expansion initiatives. Thus, the project included a moratorium on concession on the oil palm plantation, primary natural forest, and peatlands. It means the west Papua and Papua forest ecosystem should be intact.
The highlight of the program is pretty strict. The Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan states that effective collaboration will take many sides’ agreement. The ones that can decide are the indigenous group, local communities, government, religious groups, local businesses, and civil society to work together.
The Functions
1. Empowering The Locals To Manage Natural Resources
The program was meant to encourage the community and private companies to utilize and manage the potential of natural resources with a sustainable system. In other words, the local government did not wait or look for investors to manage their natural resources. But, the biggest point is to find a real partner alongside the indigenous people.
The partners should encourage communities to be actively involved and manage the natural potential around the area. The natural potential includes forest and fishery products. In this case, you can highlight how the Bird’s Head Seascape is home to the largest rainforest ecosystem in the world with 90 percent forest cover.
Not only that, the Bird’ head Seascape or the province of West Papua itself has more than 870,000 residents. The locals are almost 80% dependent on nature for their livelihood. Thus, a proper collaboration of the local communities and the investor should offer sustainable development.
2. Reduce Oil Palm And Forestry
One of the hugely appreciated purposes is to empower farmers in the area. The local community that is mostly dependent on nature for their livelihood will have a huge help in conserving their forest and land. Not only that, but the green investment also follows the local land rights. It solves many problems of investors found in the southernmost regions.
By empowering the local farmer to produce high-quality forest products, people can lower down the huge investment in the form of oil palm plantations and forestry. It will also go well with the region’s resolutions to be a conservation province, which highlights the sustainability of the forest.
3. Increase Many Commodities
The proposed GIP or the green investment blueprint and the Green growth plan (GGP) were proposed for West Papua and Papua. The two provinces are chosen due to their huge potential and commodities to offer for investors. Some of the commodities include fast-track products such as nutmeg, seaweed, cocoa, and arabica coffee.
However, there are also ecotourism and fisheries commodities to highlight. The ample opportunities also appear from the rich biodiversity, cultures, marine life, and terrestrial beauty. With that in mind, the scenario will mainly pinpoint the private sector investment under the deforestation-free and low carbon development.
Thus, it will benefit the local economy by involving local-established value chains. In this case, the realization of 2021 has been good for both provinces. There is a total of around 54,3 million USD for Papua under the 91 FDI project. Meanwhile, 60 FDI projects are targeted for the west part of Papua with a total amount of around 32,5 million USD.
The blueprint action of the investment project is pretty clear and direct. The private investment in west Papua or Papua will prompt by ten years by using blended technical assistance, finance, and local value chain task force. The collaboration will demand huge participation from the local community and government. It strengthens the awareness and relation on the region commodity.
The idea of green investment in the natural-dependent region is one of the ways to approach the local and traditional livelihood. Papua is also a home of rich diversity and conservation. Thus, holding an ecosystem-conscious investment program might lead to a good future. However, all sides should work together to make the most out of it.
