Indonesia Expands FOLU Funds for Forest Communities
The Ministry of Forestry has reopened the FOLU Net Sink 2030 Community Fund service with an allocation of Rp20 billion. This fifth period of the programme is targeted to reach approximately 300 community groups directly involved in forest conservation and climate action at the local level.
Deputy Minister of Forestry Rahmat Marzuki officially launched the programme in Jakarta on Tuesday (6/10/2026), representing Minister of Forestry Raja Juli Antoni. The government hopes this funding scheme will expand community involvement in supporting Indonesia’s Forestry and Other Land Use (FOLU) Net Sink 2030 targets.
“Today, we are continuing this very strategic step by launching the fifth period of the FOLU Net Sink 2030 Community Fund service with an allocation of Rp20 billion, targeting 300 community groups,” the Deputy Minister stated in his address.
The FOLU Net Sink 2030 Community Fund is one of the funding schemes within the cooperation between Indonesia and Norway through the Result-Based Contribution (RBC) mechanism. The funds are distributed by the Ministry of Forestry through the Environmental Fund Management Agency (BPDLH), involving community groups as field implementers.
The programme is designed so that communities are not merely recipients of environmental policy. The government intends for the public to be directly involved in forest preservation, emission reduction, and strengthening climate resilience, while simultaneously increasing local welfare.
In this fifth period, funding will be distributed through three main themes: FOLU Biodiversity, FOLU Goes to School, and FOLU Terra. FOLU Biodiversity is aimed at supporting biodiversity conservation efforts; FOLU Goes to School focuses on engaging the younger generation in environmental preservation; and FOLU Terra is directed towards improving community welfare through environment-based activities.
Up to the fourth period, the FOLU Net Sink 2030 Community Fund service is reported to have distributed approximately Rp29.081 billion. This funding has covered 863 community groups with a total of 49,653 beneficiaries spread across 36 provinces.
The government positions this programme as an instrument to bring climate change policies down to the community level. Field implementation is expected to strengthen the link between emission reduction agendas and the economic needs of communities living around forest areas.
From the Norwegian Government, Ambassador Designate to Indonesia Kaja Glomm stated that Indonesia’s forests and landscapes hold global significance. However, she noted that the protection, restoration, and sustainable management of forests ultimately depend on actions taken on the ground.
Therefore, the involvement of communities living within and around forests is a vital part of these efforts. Local communities, indigenous peoples, the younger generation, and civil society organisations are seen as bringing the knowledge and practical experience required for climate and forestry action.
Glomm assessed the Community Small Grant Facility as important because it can translate community knowledge and leadership into tangible action. The scheme also makes funding more accessible to parties working directly in the field.
“Norway is very proud to support Indonesia’s climate and forestry ambitions through our long-term partnership,” said Glomm.
According to her, Norway has so far distributed 216 million USD through result-based contributions. These funds are provided to support Indonesia’s verified results in reducing emissions originating from deforestation and forest degradation.
This result-based contribution supports Indonesia’s FOLU Net Sink 2030 operational plan. Under this mechanism, the Norwegian Government provides financial support, while the Ministry of Forestry is responsible for the technical implementation of the FOLU sector emission reduction programme.
The BPDLH plays a role in managing and distributing these contribution funds. Field implementation also involves implementing partners and the community groups receiving the benefits.