1. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y Developing Timber Legality Verification in Indonesia Taufiq Alimi

2. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y Solution to Illegal Logging?

3. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y Timber Legality Verification Timber legality verification (TLV) is essential instrument for combating illegal logging Key components in TLV system are: –Standard –Mechanism –Institutions The verification will ensure the legality of timber from two aspects: –Forest use –Traceability TLV

4. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y The Standard The standard for legality verification is based on Indonesian laws and regulations The standard of legality comprises of two aspects: origin of timber (forest use rights) and traceability (log tracking and administration) For the aspect of origin of timber there are standards for –timber from state owned forests/permanent estate forests (natural forests, plantation forests) –Timber from conversion of forests and non forests area –Timber from privately owned forests For aspect of traceability the standard emphasizes on the log administration and log tracking system. The standard has been accepted by all stakeholders and are going to be implemented at all boards

5. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y The Standard The principles of legality for forest management –The timber must be logged by rightful party at the designated forest areas by regarding traditional forest users –Logging companies must comply to all legal laws and regulations pertaining to environmental and social safeguards –Logging companies must pay of all statutory fees and taxes The principles for legality on log tracking is –All timber must be traceable to at least one chain back to its legal source

6. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y The Mechanism Government and third independent party will work together in governing the verification processes The governance will include: accreditation of verification body, registration of monitoring body, management of licensing scheme, management of complaints and appeals Government and third independent party will share roles and responsibility in some areas and will have different ones in other areas. Details are yet to be discussed The mechanism is aimed at making the verification credible, efficient and ensuring justice

7. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y The Institutions The institutions involved are –Verification body –Accreditation body –Governing body –Licensing body –Monitoring body There will be criteria and indicators for each body The setting up of the institutions is now taking place through a multi-stakeholders dialogues All institution related to timber legality verification must be of national legal entities

8. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y The Verification Body Must be accredited by accreditation body Must have quality system to translate the standard into assessment procedures and quality control Must be independent Must employ qualified personnel Could be from the existing Independent Assessment Bodies for mandatory ssessment and LEI accredited certification bodies VB will verify companies to be reported to accreditation body and governing body

9. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y The Accreditation Body Must have adequate capacities in accreditation and adequate possession of knowledge on the legality standard Must be appointed by government or authorized governing body Report to the government or authorized governing body

10. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y The Governing Body will govern the entire process of timber legality verification is constituted by government body plus team consists of members from various stakeholders manages the complaints and appeals could produce license for companies that verified as compliant to the standard or could appoint other body to license

11. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y The Monitoring Body To monitor the processes of verification Shall there is any suspicion it will undertake inspection to be reported to governing body The inspection could be part of the appeal or complaint processes The monitoring body will report to public and to the governing body

12. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y What will be Achieved? When the improvement of the timber legality verification is fully completed it will result in –increasing trust and confidence of all parties –Possible increase in government revenue –Increasing sales (in value) of Indonesian forest products –Being closer to sustainable forest management

13. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y What is Needed to be Better? Recognition of buyers to the efforts of all stakeholders in Indonesia Consistence in Indonesian parts to strive for credible, efficient and fair/just verification system Employment of appropriate technologies Improvement of capacities of law enforcers, including clarification of roles and responsibilities of all related parties

14. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y International Context Buyers play important role in providing incentives and pressure for improvement of timber legality verification Need of global cooperation to combat illegal logging at technical level Need mutual recognition of legality verification among consumer countries

15. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y Lessons Learnt Multi-stakeholders approach was instrumental in the continuous supports of all parties Conflicting interests over forest utilization can be facilitated when genuine and clear vision is shared by all parties International support is important as illegal logging is no longer a mere problems of producing countries Fair price of timber must reflect production costs and costs of scarcity, buyers must be willing to appreciate the efforts of going legal by willing to pay at fair price

16. C e r t i f i c a t i o n f o r j u s t i c e a n d s u s t a i n a b i l i t y Thank you…! taufiqalimi@lei.or.id