Indonesian Political, Business & Finance News

U.S. funds Indonesia's biodiversity program

U.S. funds Indonesia's biodiversity program

JAKARTA (JP): The United States has agreed to provide $19 million in grants to finance Indonesia's efforts to promote its biological diversity.

In addition, the money, an unusually large sum for grants, will be managed by a private Indonesian organization, which is spearheading the campaign to preserve and develop the country's rich biodiversity resources.

The grant agreement was contained in a memorandum of understanding signed in Jakarta on Monday by Ambassador Robert L. Barry for the U.S. government, State Minister of Environment Sarwono Kusumaatmadja for the Indonesian government, and Emil Salim on behalf of the Kehati Foundation.

Emil, the former environmental minister, who is now chairman of the board of trustees of the foundation, said $16.5 million of that amount would be endowment funds. The other $2.5 million will be used for operational costs for the next three years.

Kehati, an abbreviation of the Indonesian words for Indonesian biodiversity, was set up to promote the sustainable use of Indonesia's biological diversity for current and future generations in support of national development.

In its work, Emil said, the foundation, which consists of distinguished scientists and businessmen, is supported by a network of local non-governmental organizations (NGOs).

"Through the network, we can easily know what is happening and what people are facing in remote areas of the country," he said.

Ambassador Barry said the agreement is a part of the Tokyo Declaration, signed in 1992 by then Japanese Prime Minister Kiichi Miyazawa and then U.S. President George Bush to strengthen cooperation in preserving the environment, by helping to promote sustainable use of biodiversity in developing countries.

While the Japanese government will assist in government projects through the National Development Planning Board, the U.S. will focus on a wider scope of partnership through NGOs, Barry said.

Emil said Kehati expects to expand its network and upgrade its performance to raise up to $6.5 million for its operational costs.

Priority projects would include the Gunung Leuser, Kerinci Seblat, Kutai and Gunung Gede-Pangrango National Parks and the Bali and West Nusa Tenggara touristic areas.

Conflicts of interests often occurred in national parks between the indigenous people, the government's Forest Protection and Nature Conservation Office of the Ministry of Forestry and the business community, he said.

Emil cited, as an example, the huge coal reserves under the Kutai National Park in Kalimantan. On one hand, the coal prolongs forest fires, but on the other hand it lures prospective investors. Either one endangers the protected forest.

Emil said biodiversity is presently little understood in Indonesia, although its sustainability is important to find new sources of medicine, cosmetics, horticulture and food.

"Biodiversity is not in the mainstream of development, it does not increase exports and is long-term in nature. It is something to do with crazy people doing crazy things because its main target is to protect animals, plants and genes. But it is necessary," he said.

The Kehati Foundation, he said, was established to promote the conservation of biodiversity resources and find ways on how to assist policy through inputs and recommendations.

It intends to conduct networking among governmental agencies, NGOs, research and education institutions and business communities to exchange information on the sustainable use of biodiversity. It also aims at empowering NGOs and, in turn, indigenous people across the country.(pwn)

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