Benefit Sharing Mechanism

16 January 2023

Benefit Sharing Mechanism 
    The Jambi Sustainable Landscape Management Project (J-SLMP) program is divided into three stages, namely the preparation stage, pre-investment, and measurement of results or results-based payments. The results-based payment stage will start in 2020/2021 to 2024/2025. Considering this, J-SLMP will start in 2020 in parallel with the pre-investment phase (2020-2025). However, the submission for results-based payments will be decided after the Government of Indonesia completes the Emission Reduction Program Document (ER-PD) which is then submitted to the World Bank as the Emission Reduction Purchase Agreement (ER-PA).


    Explanation of the Benefit Distribution Mechanism (BSM) as explained in the 2019 J-SLMP Benefit Sharing Plan (BSP) document, is a plan to distribute carbon benefits from emission reductions, both in monetary and non-monetary forms, to beneficiaries in the Emission Reduction (ER) Program. The BSP was developed based on the May 2021 version of the ERPD and follows the BioCF-ISFL Methodological Framework, so that it is in line with and supports the ER Program. It is hoped that the BSP will encourage improvements in forest management and help address the causes of deforestation and forest degradation. The general principles of the BSP are transparency, effectiveness, efficiency, fairness, respect for customary rights to land and territories, reflecting broad community support, and consistency with the legal status of rights and legal relationships with relevant land. The benefit sharing plan was developed through a participatory and transparent stakeholder engagement process.


  Advanced Draft Benefit Sharing Plan
    The Directorate General of Climate Change Control in collaboration with the World Bank and the Jambi Provincial Government is developing REDD+ activities with a Result Based Payment scheme through the Bio Carbon Fund Integrated Sustainable Forest Landscape (BioCF ISFL) activity. This activity is supported by multilateral funding, managed by the World Bank as a trustee. This program aims to promote the reduction of greenhouse gas emissions from the land sector, reduced deforestation and forest degradation in developing countries, sustainable agriculture, and better land use planning, policies and practices through REDD+ activities. BioCF ISFL activities consist of several phases, namely the preparation phase (2019 - December 2020), the pre-investment phase (2020 - 2025) and the result-based payment phase. 


    Currently, the project is in the preparation period, one of the outputs of this preparation is the completeness of the Emission Reduction Program Document (ERPD). In order to fulfill the completeness of the ERPD and prepare the RBP phase, several efforts are needed, including the preparation of the Benefit Sharing Plan (BSP) document.

    Currently, the BSP document has entered the advanced draft stage which will be finalized after the MAR calculation is completed and the ERPA negotiation is carried out. The BSP advanced draft document can be downloaded here:

1. Executive Summary_BSM BioCF_Bahasa.pdf 

2. Executive Summary_BSM BioCF_English.pdf

3. 2023.12_Indonesia Advanced Draft BSP.pdf