Policy paper

Indonesia-UK MoU concerning cooperation on Indonesia’s Forestry and Other Land Use (FOLU) Net Sink 2030

Published 25 October 2022

This was published under the 2022 to 2024 Sunak Conservative government

Memorandum of Understanding Between the Government of the Republic of Indonesia Through the Ministry of Environment and Forestry And The Government of The United Kingdom of Great Britain and Northern Ireland Through the Foreign, Commonwealth and Development Office Concerning Cooperation on Indonesia’s Forestry and Other Land Use (FOLU) Net Sink 2030

The Ministry of Environment and Forestry, Republic of Indonesia, hereinafter referred to as “MOEF”.

and

The Foreign, Commonwealth & Development Office, United Kingdom of Great Britain and Northern Ireland, hereinafter referred to as “FCDO”.

MOEF and FCDO are hereinafter referred to together as the “Participants” and individually as a “Participant”.

Acknowledging the shared commitment to address global concerns on climate, biodiversity and nature as agreed within multilateral forums such as the Glasgow Climate Pact and the Sustainable Development Goals.

Recognising the shared commitment to elevate the UK-Indonesia Partnership on climate, the environment and sustainable development, as set out in the UK-Indonesia Partnership Roadmap which was endorsed on April 19th, 2022 in London, through the principles of sovereignty, equality, mutual respect, and mutual benefit, as well as reinforcing the cooperation between the Participants.

Acknowledging Indonesia’s climate leadership and its ambition to achieve its carbon Net Sink target from the forestry and other land use (“FOLU”) sector by 2030, as set out in Indonesia’s Nationally Determined Contribution (“NDC”).

Acknowledging the UK’s International Development Strategy, which aims to deepen economic, security and development ties globally, while delivering jobs and growth in both the UK and partner countries.

Taking into account the Voluntary Partnership Agreement between the Republic of Indonesia and the United Kingdom of Great Britain and Northern Ireland on Forest Law Enforcement, Governance, and Trade in Timber Products (FLEGT) into the United Kingdom of Great Britain and Northern Ireland (“FLEGT VPA”) signed in Jakarta on 29 March 2019 as a result of both countries’ commitment and leadership in sustainable forestry management.

Desiring to establish a cooperation framework for support of Indonesia’s FOLU Net Sink 2030 Operational Plan.

Pursuant to the prevailing laws and regulations in their respective countries.

Have reached the following understanding:

Article 1: objective

The objective of this Memorandum of Understanding (“MoU”) is to support the implementation of Indonesia’s FOLU Net Sink 2030 Operational Plan, towards achieving Indonesia’s NDC, particularly through sustainable forest management.

Article 2: intended scope of cooperation

2.1 The Participants will work in partnership to support the implementation of Indonesia’s FOLU Net Sink 2030 Operational Plan, in order to:

(a) Promote cooperation aligned with Indonesia’s leading role in FLEGT VPA and Indonesia’s ambition to achieve net sink for the FOLU sector by 2030

(b) Promote, under the FLEGT VPA, the new version of SVLK (Sistem Verifikasi Legalitas dan Kelestarian), launched in 2021, as an Indonesian Certification of Sustainable Forest Management

(c) Enhance collaboration and share best practices to strengthen relevant stakeholders’ capacity and

(d) Identify any other scope as mutually agreed upon by the Participants

2.2 The form of cooperation under this MoU will include:

(a) Policy dialogue

(b) Technical dialogue

(c) Joint programme or projects and

(d) Other forms of cooperation as mutually agreed upon by the Participants

Article 3: nature of the MoU

This MoU sets forth the Participants’ intention to cooperate but does not create any legally binding rights and/or obligations under international law, or under the domestic laws of either Indonesia or the United Kingdom.

Article 4: implementation mechanism

4.1 To facilitate cooperation under this MoU, the Participants intend to establish a Joint Consultative Working Group (hereafter referred to as “JCWG”) and a Joint Technical Working Group (hereafter referred to as “JTWG”):

(a) the JCWG will be jointly responsible to:

• Provide overall cooperation, direction and oversight of the implementation of the MoU and
• Conduct dialogue on strategic issues to strengthen the partnership

(b) the JTWG will be jointly responsible to:

• Conduct technical meetings and
• Hold meetings back-to-back to the JCWG meeting, and/or as otherwise needed

4.2 Pursuant to Article 2 of this MoU, the implementation of cooperation activities under this MoU will be subject to separate arrangements, specifying, inter alia, the detail of projects or activities, roles and responsibilities of the parties involved, and other matters as appropriate.

4.3 The FCDO will channel funding through the Indonesian Environment Fund (Badan Pengelola Dana Lingkungan Hidup), and other channels as appropriate, by prior mutual written consent of the Participants, in line with the direction set out in the 2030 FOLU Net Sink Operational Plan.

Article 5: intellectual property, data protection, disclosure rules and confidentiality

5.1 The Participants will respect any intellectual property rights owned by the respective Participant or any other relevant stakeholders which may be used for the implementation of this MoU.

5.2 Any intellectual property rights resulting from the cooperation under this MoU will be governed by a separate arrangement, which may specify among others the ownership and utilization of such intellectual property.

5.3 This MoU may be made publicly available by the Participants, by mutual written consent, in accordance with their respective rules and procedures on data protection and disclosure, or as otherwise may be required by their law.

5.4 The Participants intend to exchange and share data and information obtained in the implementation of this MoU. If required by prevailing laws and regulations, and subject to the Participants’ respective rules and procedures on data protection and disclosure, the Participants understand that any information and documents exchanged between the Participants pursuant to this MoU will be confidential and restricted for disclosure to any third parties, unless stated otherwise with written disclosure approval by the concerned Participant.

5.5 The provisions of this Article will continue to apply between the Participants notwithstanding the expiry or termination of this MoU.

Article 6: settlement of disputes

Any different interpretations, issues or disputes arising from the implementation of this MoU will be settled through amicable consultations and negotiations between the Participants on the basis of good faith.

Article 7: amendments

This MoU may be amended at any time by way of the written consent of the Participants.

Article 8: existing cooperation

Any existing cooperation between the Participants signed prior to this MoU will be deemed valid and will prevail in regard to the objective of this MoU.

Article 9: entry into effect, duration and termination

9.1 This MoU will enter into effect on the date of signature by the Participants.

9.2 This MoU will remain effective for 5 (five) years and may be extended by mutual written consent of the Participants.

9.3 Either Participant may terminate this MoU at any time for any reason, and will provide at least one month prior to the intended date through written notice to the other Participant.

9.4 The termination of this MoU will discontinue all commitments and activities herein unless otherwise specified by mutual written consent.

Signed in Jakarta on 22 October 2022 in duplicate, in the English and Indonesian languages. In case of any divergence of interpretation, the English text will prevail.

For the Government of the Republic of Indonesia: Siti Nurbaya, Minister for Environment and Forestry

For the Government of The United Kingdom of Great Britain and Northern Ireland: Lord Zac Goldsmith, Minister of State (Asia, Energy, Climate and Environment)