Since the collapse of Soeharto’s New Order regime in May 1998, Indonesia’s national, provincial, and district governments have engaged in an intense struggle over how authority and the power embedded in it, should be shared. How this ongoing struggle over authority in the forestry sector will ultimately play out is of considerable significance due to the important role that Indonesia’s forests play in supporting rural livelihoods, generating economic revenues, and providing environmental services. This book examines the process of forestry sector decentralization that has occurred in post-Soeharto Indonesia, and assesses the implications of more recent efforts by the national government to recentralize administrative authority over forest resources. It aims to describe the dynamics of decentralization in the forestry sector, to document major changes that occurred as district governments assumed a greater role in administering forest resources, and to assess what the ongoing struggle among Indonesia’s national, provincial, and district governments is likely to mean for forest sustainability, economic development at multiple levels, and rural livelihoods. Drawing from primary research conducted by numerous scientists both at CIFOR and its many Indonesian and international partner institutions since 2000, this book sketches the sectoral context for current governmental reforms by tracing forestry development and the changing structure of forest administration from Indonesia’s independence in 1945 to the fall of Soeharto’s New Order regime in 1998. The authors further examine the origins and scope of Indonesia’s decentralization laws in order to describe the legal-regulatory framework within which decentralization has been implemented both at the macro-level and specifically within the forestry sector. This book also analyses the decentralization of Indonesia’s fiscal system and describes the effects of the country’s new fiscal balancing arrangements on revenue flows from the forestry sector, and describes the dynamics of district-level timber regimes following the adoption of Indonesia’s decentralization laws. Finally, this book also examines the real and anticipated effects of decentralization on land tenure and livelihood security for communities living in and around forested areas, and summarizes major findings and options for possible interventions to strengthen the forestry reform efforts currently underway in Indonesia.

'This book provides an excellent overview of more than a decade of transformation in a forest landscape where the interests of local people, extractive industries and globally important biodiversity are in conflict. The studies assembled here teach us that plans and strategies are fine but, in the real world of the forest frontier, conservation must be based upon negotiation, social learning and an ability to muddle through.' Jeffrey Sayer, senior scientific adviser, Forest Conservation Programme IUCN - International Union for of Nature The devolution of control over the world's forests from national or state and provincial level governments to local control is an ongoing global trend that deeply affects all aspects of forest management, conservation of biodiversity, control over resources, wealth distribution and livelihoods. This powerful new book from leading experts provides an in-depth account of how trends towards increased local governance are shifting control over natural resource management from the state to local societies, and the implications of this control for social justice and the environment. The book is based on ten years of work by a team of researchers in Malinau, Indonesian Borneo, one of the world's richest forest areas. The first part of the book sets the larger context of decentralization's impact on power struggles between the state and society. The authors then cover in detail how the devolution process has occurred in Malinau, the policy context, struggles and conflicts and how Malinau has organized itself. The third part of the book looks at the broader issues of property relations, conflict, local governance and political participation associated with decentralization in Malinau. Importantly, it draws out the salient points for other international contexts including the important determination that 'local political alliances', especially among ethnic minorities, are taking on greater prominence and creating new opportunities to influence forest policy in the world's richest forests from the ground up. This is top-level research for academics and professionals working on forestry, natural resource management, policy and resource economics worldwide. Published with CIFOR

The decentralization program that Indonesia embarked on in 1998 continues to unfold through manifold, sometimes contradictory processes. This working paper presents a concise and up-to-date overview of the aims, dimensions and dynamics of decentralization

Decentralization is sweeping the world and having dramatic and far-reaching impacts on resource management and livelihoods, particularly in forestry. This book is the most up-to-date examination of the themes, experiences and lessons learned from decentralization worldwide. Drawing on research and support from all of the major international forestry and conservation organizations, the book provides a balanced account that covers the impact of decentralization on resource management worldwide, and provides comparative global insights with wide implications for policy, management, conservation and resource use and planning. Topics covered include forest governance in federal systems, democratic decentralization of forests and natural resources, paths and pitfalls in decentralization and biodiversity conservation in decentralized forests. The book provides in-depth case studies of decentralization from Bolivia, Ghana, Indonesia, Russia, Scotland, Switzerland, Uganda and the US, as well as highlights from federal countries including Australia, Brazil, Canada, India and Malaysia. It also addresses the critical links between the state, forests, communities and power relations in a range of regions and circumstances, and provides case examples of how decentralization has been viewed and experienced by communities in Guatemala, Philippines and Zimbabwe. The Politics of Decentralization is state-of-the-art coverage of decentralization and is essential for practitioners, academics and policy-makers across forestry and the full spectrum of natural resource management.

Indonesia contains some of Asia‘s most biodiverse and threatened forests. The challenges result from both long-term management problems and the political, social, and economic turmoil of the past few years. The contributors to Which Way Forward? explore recent events in Indonesia, while focusing on what can be done differently to counter the destruction of forests due to asset-stripping, corruption, and the absence of government authority. Contributors to the book include anthropologists, economists, foresters, geographers, human ecologists, and policy analysts. Their concerns include the effects of government policies on people living in forests, the impact of the economic crisis on small farmers, links between corporate debt and the forest sector, and the fires of the late 1990s. By analyzing the nation‘s dramatic circumstances, they hope to demonstrate how Indonesia as well as other developing countries might handle their challenges to protect biodiversity and other resources, meet human needs, and deal with political change. The book includes an afterword by Emil Salim, former Indonesian Minister of State for Population and the Environment and former president of the Governing Council of the United Nations Environment Programme. A copublication of Resources for the Future and the Center for International Forestry Research (CIFOR) and the Institute for Southeast Asian Studies (ISEAS).

'This book provides an excellent overview of more than a decade of transformation in a forest landscape where the interests of local people, extractive industries and globally important biodiversity are in conflict. The studies assembled here teach us that plans and strategies are fine but, in the real world of the forest frontier, conservation must be based upon negotiation, social learning and an ability to muddle through.' Jeffrey Sayer, senior scientific adviser, Forest Conservation Programme IUCN - International Union for of Nature The devolution of control over the world's forests from national or state and provincial level governments to local control is an ongoing global trend that deeply affects all aspects of forest management, conservation of biodiversity, control over resources, wealth distribution and livelihoods. This powerful new book from leading experts provides an in-depth account of how trends towards increased local governance are shifting control over natural resource management from the state to local societies, and the implications of this control for social justice and the environment. The book is based on ten years of work by a team of researchers in Malinau, Indonesian Borneo, one of the world's richest forest areas. The first part of the book sets the larger context of decentralization's impact on power struggles between the state and society. The authors then cover in detail how the devolution process has occurred in Malinau, the policy context, struggles and conflicts and how Malinau has organized itself. The third part of the book looks at the broader issues of property relations, conflict, local governance and political participation associated with decentralization in Malinau. Importantly, it draws out the salient points for other international contexts including the important determination that 'local political alliances', especially among ethnic minorities, are taking on greater prominence and creating new opportunities to influence forest policy in the world's richest forests from the ground up. This is top-level research for academics and professionals working on forestry, natural resource management, policy and resource economics worldwide. Published with CIFOR

Berau district has been one of East Kalimantan's largest sources of timber since the mid-1980s. Until the fall of the Suharto regime in 1998, most of the district's formal timber production was conducted by large-scale HPH concession holders, and the vast majority of the fiscal revenues generated flowed to the national government. Over the last several years, considerable volumes of logs have also been harvested illegally both by timber concessionaires and by small-scale manual loggers. Following the onset of Indonesia's regional autonomy and decentralization processes in late 1998, district officials moved aggressively to establish greater administrative control over the forest resources within their jurisdiction. They did so by allocating large numbers of small-scale forest conversion licenses, known as IPPK permits. Many of these were assigned to 'foundations' established by local entrepreneurs to coordinate the creation of logging ventures with village cooperatives and other community groups in parts of Berau with valuable stands of timber. When the central government pressured district governments to stop issuing IPPK permits within the officially designated 'Forest Estates' in late 2000, Berau officials shifted tactics and began allocating a new type of logging permit, known as IPKTM, in forested areas where individuals or community groups held titles of ownership or other types of land certificates. District officials have also pressured PT Inhutani I, the state forestry enterprise owned by the central government, and other HPH concession holders to enter into equity partnerships with the district government. This has given the district government a direct stake in protecting the operations ...