Recommendations KPH Feb 2014 V7

RECOMMENDATIONS
FOR THE KPH LONG TERM MANAGEMENT PLAN

February 2014
KPH Gularaya
Supported by
FRENCH DEVELOPMENT AGENCY
Technical assistance from:
Espace Fréjorgues Ouest, 60 rue Henri Fabre, Jl. Tangkuban Perahu No.6
34130 Mauguio Gd Montpellier, France Bogor, Jawa Barat - 16151 - Indonesia
Tel. +33 4 67 20 08 09 Tel./Fax: +62 251 8336 973
Email :frm@frm-france.com Email: info@daemeter.org
www.frm-france.com www.daemeter.org
French Development Agency INDONESIA
CONTENTS
1 OBJECTIVE OF THE RECOMMENDATIONS REPORT TO KPH GULARAYA LONG

TERM MANAGEMENT PLAN ....................................................................................... 3
2 RECOMMENDATIONS OF THE CONSULTANCY ................................................... 4

2.1 Communicate on KPH legal status ......................................................................................... 4
2.1.1 Accurate delimitation of current and future land use areas ................................................................ 4
2.1.2 Obtain social acceptance in the KPH Area ........................................................................................ 5
2.1.3 Communication with the stakeholders ............................................................................................... 6
2.2 Define Management principles................................................................................................ 7
2.2.1 Improvement of the forest stands knowledge .................................................................................... 7
2.2.2 Management principles for Natural forest .......................................................................................... 7
2.2.3 Management principles for teak plantations....................................................................................... 8
2.2.4 Management principles for Bamboo ................................................................................................ 11
2.2.5 Management of other tree species .................................................................................................. 12
2.2.6 Management of environmental services from the KPH.................................................................... 13
2.3 Involve communities in the KPH management strategy..................................................... 15
2.3.1 Involvement of communities in the protection of the forest .............................................................. 15
2.3.2 Increase community empowerment ................................................................................................. 16
2.3.3 Illegal logging control ....................................................................................................................... 18
2.3.4 Land Encroachment attenuation ...................................................................................................... 19
2.3.5 Social opportunities of a new forest crop ......................................................................................... 20
2.4 Develop KPH management tools .......................................................................................... 21
2.4.1 Define the economic functioning of KPH ......................................................................................... 21
2.4.2 Develop human resources ............................................................................................................... 21
2.4.3 Study on contracts between KPH and private companies for Teak plantations ............................... 22
2.4.4 Make good use of the Information system (GIS).............................................................................. 22
2.4.5 Initiate a Research and Development program................................................................................ 22
Recommendations for
Page 2
the KPH Forest Management Plan
1 OBJECTIVE OF THE RECOMMENDATIONS REPORT TO KPH GULARAYA

LONG TERM MANAGEMENT PLAN
1 2
Located in South Konawe (South-East Sulawesi), KPH Gularaya is a KPHP covering about
115 000 ha. These include important areas of primary and secondary forests as well as mangroves
and teak plantations. Mixed agriculture is also found on this area. The teak stands are heavily
degraded and would be converted into profitable new plantations (teak among other species). The
KPHP is expected to improve the effectiveness of the management of protection and production
forests.
The Long Term Management Plan of KPH Gularaya is a compulsory legal basis document, which has
for objectives sustainable management of KPH territory, including the use of resources but also their
long term management involving communities, other stakeholders and thinking to future generation
livelihood. The generated income would allow managing protection and production forests as part of a
renewable forest resource management.
Besides these objectives KPH Gularaya has a struggling issue with empowering the communities, and
make them part of the management system. This will only be achieved if communities feel they have
an interest in participating to the forest management, instead of degrading the resource.
The LTMP plans the activities of KPH staff for the ten next years taking into account a sustainable
management of the forests. KPHP Gularaya should start operations at the site level in 2014 and
operate in a professional and legal way. To achieve this target, important components still need to be
managed, with multi-stakeholders’ support.
Thus, this report focuses on key actions to be developed in the LTMP in order to manage the area in a
way that covers all ecosystems and includes social considerations. The recommendations are not
exhaustive but cover a range of topics that the mission considers as critical and that should be
considered in the LTMP, with the aim of effective implementation on the field.
As KPH must reach positive financial balance, another key issue –which will be developed with further
AFD assistance-, will be to develop a business plan, associated to the long term management plan.
This will guarantee the long term financial viability of the KPH with teak plantation amongst others
contributing to the long term KPH financial balance.
1
KPH = “Kesatuan Pengelolaan Hutan” = Forest Management Unit
2
KPHP = KPH wich main objective is production of wood products
Recommendations for
Page 3
2 RECOMMENDATIONS OF THE CONSULTANCY
The consultancy recommends to KPH to mind on the following items, presented by broad topic.
2.1 COMMUNICATE ON KPH LEGAL STATUS
2.1.1 Accurate delimitation of current and future land use areas

The consultancy procured KPH Gularaya (February 2014) a GIS database with 24 maps of different
kinds: Limits of the KPH area, orography, encroachment areas, areas subject to erosion, forest cover,
mining permits, swampy areas, critical zones for rehabilitation, protection forest and conservation
areas, slopes, teak plantations…
The main results, in terms of land use areas, shapefiles and maps where provided on a distinct
3
report .
Recommendations for delimitating the KPH land use areas

• Delimitate KPH boundaries and communicate on KPH land use areas
As a way of communicating and demonstration of legal authority, borders and limits of KPH should be
clearly visible, especially in areas with encroachment. This can be done with signs or painting.
Also, explanation of KPH role (as well as Dinas’s), KPHP land use subdivisions, etc is crucial to
quickly undertake.
• Precisely delimitate the suitable location of future teak plantations

The teak area will be studied on the basis of high resolution imagery during the second mission of the
consultancy. These maps will include a proposition for allocating areas to investors (starting from high
yield areas then moving to lower yield areas).
Potential categories like Existing teak (quality Low / Very Low), Secondary Forest (Heavy Ground
Cover / Light Ground Cover) and Farmland (bare land, crops, etc.) will be scored by soil fertility,
topography, accessibility).
• Precisely define critical zones needing rehabilitation management

Within Protection and Production forest as well as in mangroves, zones needing
rehabilitation management should be cartographied, and would then become the target of restoration
activities. Rehabilitation schemes should be designed to entertain business, community
empowerment, and recovery of environmental services. The following chronogram could serve as a
basis:
- data collection on critical / degraded land to be rehabilitated;
- definition of rehabilitation techniques on identified critical land;
- definition of rehabilitation responsibilities;
- communication of implementation responsibilities in order to ensure further field work;
- monitoring program of interventions and actualization of the GIS.
3 Spatial Database for KPH Gularaya, Version 2; February 2014
Recommendations for
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2.1.2 Obtain social acceptance in the KPH Area

Communities in South Konawe Kabupaten heavily rely on the forests as a major source of income or
resources. People within the communities usually have 1 – 2 ha of land. Linked to the low level of
education concepts relating to environmental conservation are poorly understood in these
communities. The prevailing mentality in these communities is that the environment is an exploitable
resource they can freely utilize. Similarly concepts relating to the legal status of land are not commonly
understood also.
Also, the concept of a KPH is relatively new and its legal framework is neither fully developed nor
widely understood within government and the community.
Currently the KPH territory suffers from social problems of agricultural encroachment (see # 2.4.4),
community opposition and illegal logging (see # 2.4.3). Indeed, the current under-use of the teak areas
within the KPH has resulted in a situation where the surrounding communities view the land and the
forest resources within the KPH as free to be exploited. This has resulted in a vicious circle where the
prevalence of illegal activity has prevented reinvestment in the teak crop.
Economic difficulties are placing pressure on the forest insofar as people turn to illegal activities as a
source of income. People’s main focus is improving their welfare, independently of environmental or
legal considerations.
Recommendations related to gaining social acceptance for KPH
As the KPH is surrounded by agricultural land and agricultural communities, gaining a “social license”
to operate will be key to the successful operation of the KPH. This will be possible only if people
understand KPH activities can help improving their welfare.
Communicate on the planned plantation program, which financial benefits would include:
• employment in the forests and associated industries;
• development of a large asset base in the region;
• leverage the value of private tree crops off the KPH estate and tree crops of HTR.
Educational effort must be undertaken as well, relating to concepts like legal status of land and KPH,
and environmental conservation.
Communicate on the KPH process and provide shared benefits opportunities

The KPH should develop this framework in conjunction with Government Departments. This will be
very important to ensuring the KPH reaches its potential and the benefits of sustainable forest
management can be shared throughout the community. These benefits include, enhancing
environmental functions and also increasing community income. To enable this to occur Government
departments must have trust in the management of the KPH and allow it to operate with a degree of
freedom, otherwise its development will be hampered by bureaucracy and its operations will stagnate
while appropriate licenses and legislation is sought.
Recommendations for
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2.1.3 Communication with the stakeholders

Communication with stakeholders is currently heavily lacking of KPH’s agenda.
As a result, legal mission of KPH is still not well accepted on the field. The relation between KPH and
DINAS is also not understood. Furthermore, as other administrations, KPH is more seen as an
opponent than as an ally. This results in mistrust from population.
The different maps and in particular the encroachment and permit mining maps must allow to identify
different kinds of stakeholders on each area. KPH Gularaya should contact each kind of stakeholders,
detect the leaders, sign agreements and comply with the terms. The agreements must provide
penalties for non-compliance (Communication to the local government for approval and compliance).
KPH must take into account the demands of local people in respect of its obligations for the
sustainable management of the forests. In exchange it must rely on local people to avoid
encroachment (See #2.4.4) or prevent forest fires).
Recommendations related to the definition of the stakeholders duties and rights
Demonstrate legal mission of KPH and willingness to be a constructive partner

It should be a priority to initiate an information campaign, aiming at informing people of each
stakeholder’s duties and right, but also to establish contact and better confidence between actors. This
must be part of KPH’s agenda. Difference between KPH and DINAS should also be clearly explained.
At the same time, KPH should seriously work on the bettering of acceptance aspects by the population
and get better recognition from the field. This will take time and require willingness.
Better the image of KPH administration

KPH needs clear authority and trust from people. Positive attitude from KPH (and DINAS) should
systematically be encouraged to diminish the mistrust from population. As KPH staff is certified, there
should be visible signs of this distinction.
Recommendations for
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2.2 DEFINE MANAGEMENT PRINCIPLES
2.2.1 Improvement of the forest stands knowledge

Forest knowledge is the key for forest management. As managing a territory of 115.000 ha covered by
several types of vegetation, sufficient knowledge concerning forest conditions should be available at
the KPH office. Knowledge should cover all the vegetation classes present in KPH, as plantation
stands, natural forest, mangrove, etc.
At present, natural forests are almost not supervised and no accurate data is available on wood
stocks, regeneration rates and diametric distribution of present species.
For teak plantations, rough estimation date from year 2004 and are probably largely over estimating
the real resource of the stands, since a lot of informal exploitation has occurred since then, without any
data recording.
Recommendations for forest knowledge improvement

Conduct an inventory on existing Teak stands
This will be conducted by the consultancy during the month of March, based on high resolution
imagery. The results should allow getting a relatively precise estimation on average stock volumes per
category of stand quality, and consequently an estimation of total teak volume in the estate and derive
a value of the stands.
Document the history of each forest blocks

Having the knowkedge of each forest block gathered in a document, together with maps. KPH staff
could do it, at the same time as being a useful tool for forest management, it would be a way to
interact with local people.
Complete GIS delineation with a rough inventory of natural forest

Conducting a rough inventory of the currently exploited areas of natural forest would give an idea
about the species present and their diametric distribution, and thus their sensibility to logging. This is
to do in mostly logged parts of natural forest, excepting difficult access areas of the KPH.
2.2.2 Management principles for Natural forest

As part of the KPH, natural production forest (Hutan Produksi), when logged, should be logged on the
base of sufficient knowledge, aiming at sustainability (criterias to be defined).
Protection forest (Hutan Lindung) should be effectively protected and preserved from exploitation.
Recommendations for natural forests management

• Gather scientific and technical information about natural forest logged stands
Actual logging rates and use should be collected (species, diameters, logging sites, volumes …).
A useful way of estimating the pressure on forest would be to collect and analyse data on actual
Kendari’s natural wood consumption (greatly coming from KPH).
In function of the forest state, homogeneous blocks could be defined, in which specific management
rules will be applied.
• Ensure an effective protection of natural forest under Protection status

Protection status has been defined for forests having particular characteristics, such as slope,
sensibility to erosion, etc. Wherever this status is to be maintained, it should be applied a proper
protection so that limited damage is done to the forest functions, especially road construction and
logging.
Recommendations for
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Define sylvicultural principles in natural forest

Clear principles should exist and be communicated about logging diameters, species allowed,
enrichment actions, road construction, suitable logging techniques and material, etc.. Then natural
forest logging activity should be supervised and records of production compiled for cross analysis.
2.2.3 Management principles for teak plantations

The consultancy will later provide a management and business plan for teak. Current
recommendations are to be used as broad guidelines, to be included in the LTMP.
2.2.3.1 Site conditions for teak planting

Vegetation cover indicates rainfall averaging, 2m/yr which is suitable for producing high yield of
superior quality teak timber, except maybe in the south-eastern part of the project (Polewali district)
where rainfall could be insufficient for meeting this objective.
Soil characteristics look overall suitable, except flat areas prone to waterlogging.
Recommendations on site conditions for teak planting
Preference must be given to well drained sites exposed to average rainfall of 2m/yr or even more
without a too long and pronounced dry season, the best option being high precipitation regime being
evenly distributed all year long with absence of distinct dry season.
Too dry sites, but also locations prone to waterlogging or frequent flooding must be avoided. This
recommendation is also applicable to too steep slopes, prone to erosion and landslide risks that will
result also in more severe land preparation and logging constraints.
Suitable planting sites must be accessible by road; if not, road construction must be part of the
management program.
Flat sites are usually more liable to be converted into agricultural land, and as such being subjected to
land tenure and encroachment issues, than more hilly ones, better drained, which should not have to
steep slopes though.
Replanting old teak plantations, even on (medium steep) slopes, by planting new plants between killed
stumps of the previous crop left in place, with their well-established root system, will considerably
lessen erosion and landslide risks.
It is not advisable to plant on existing “natural” forest, unless heavily degraded.
Also, areas traditionally known as customly access areas should not be planted, because they contain
trees of traditional interest for local villages. Those trees are commonly named “Ulayat” trees and
occur in small patches of existing ancient village forests.
Riparian buffers have to be maintained (natural vegetation or different plantation species along rivers),
as well as some protection blocks on specific areas (steep places, flooded, etc).
Recommendations for
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2.2.3.2 Teak planting material

The various teak stands planted so far look disappointing as far as tree quality – bole shape,
branching, etc-. The proportion of heartwood varies a lot between trees but remain low on average for
the logs processed from the small trees harvested, and shape irregularities increases losses and
wastes. This situation is very likely due, at least partly, to the poor genetic quality of the planting stock
produced by seeds coming from Muna Island. This assumption is strengthened by the behaviour of the
different Muna seed sources established in Anggondara nursery, to be used as a seed production
area for the whole South-East Sulawesi region that includes also the project.
For teak -more than many other tree species-, timber quality and yield are strongly dependent on the
genetic quality of the planted material that needs to match at best site characteristics.
In addition to marketable volume, bole features (length, straightness, cylindricity, number and size of
lateral branches responsible for node formation) and wood characteristics (with special mention for
heartwood vs sap wood, far less valuable than heartwood) are commercial traits of great importance.
Recommendations on teak planting material
Selection of teak with high production potential

Purchase suitable germplasm; giving the preference for high quality planting stocks.
If clones are selected, properly selected clones with proven superiority in various sites of introduction
will be chosen for reducing the risks of site incompatibility.
In this respect, the selected Malaysian clones - which have outperformed all the other teak origins in
the different places where they have been introduced,can be safely recommended, especially being
aware of strong site similarities between the place where they were selected and the current project.
“Super teak” - could be also used as long as they have been wisely selected, considering they are far
much better than other sources.
2.2.3.3 Teak nursery

A recent, well designed and equipped nursery produces, from seeds, plants of different forest species.
It has a high capacity and includes plastic tunnels and greenhouse as well as solid building facilities
and offices
Recommendations for the teak nursery
Choose the multiplication mode more adapted to the local capacities/objectives

Teak multiplication can be done with seed planting, or with clones multiplication. Below
recommendations are done considering clones will be used. If this is not the case, then various seed
origins of assumed good genetic value should be acquired from rich teak genetic resources existing
today that can be.
Proper design of the teak nursery

If the decision is taken to use clones, the main improvement that needs to be done in the current
nursery is to set up a reliable and suitable mist-system. This is the prerequisite for which permanent
electricity and water supplies are needed. Also, competent human resources must be contracted, with
enough availability for daily checking of the mist-system.
The nursery components needed for acclimatizing tissue cultured teak clones imported as
microcuttings from outside, or for mass producing locally clones by rooted cuttings are:
• a container-grown stock plant area;
• a mist-system propagation area -which can be possibly used also for acclimatizing and rooting
tissue cultured plantlets-;
• a cultivation area for raising and hardening-off the plants produced from rooted cuttings prior to
plantation.
Recommendations for
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Massive production of teak material

Acclimate and produce rooted cuttings locally (under contractual rules that need to be agreed by the
suppliers). It must be selected a piece of land for teak breeding, strictly protected, to serve as
cultivation area for raising and hardening-off the plants produced from rooted cuttings prior to
plantation.
2.2.3.4 Teak Plantation management

It is assumed from the plots visited that most teak trees have been initially planted at high density.. For
such high stocking, strong thinning should have been made a few years after planting. Obviously this
has not been the case for most of the stands seen.
Recommendations for teak plantation management
Defining sylvicultural principles

Sylvicultural principles will be widely provided in the “Teak management & business plan” to be soon
provided by the consultancy. Broad principles are given below, as a basis.
This scenario is applicable to monoculture planting. Management of teak plantation mixed with other
crops within agroforestry systems, although also worth considering as a useful and wise option within
this project especially to the benefits of the small planters, needs to be considered on a case to case
basis, taking into account the specificities of the intercrop.
Defining optimal planting sites and maintenance principles

For economical and also land preparation/preservation reasons, replanting on former teak plantations
seems the most advisable option to be implemented in priority.
On steep slopes, stumps killed by previous application of pure herbicide on the cut section just after
stem felling can be maintained to prevent erosion and landslide risks.
New plants will be planted between the dead stumps remaining when there’s enough space.
Maintenance has to be improved especially in natural bamboo growing areas where the bamboos may
antagonize teak growth. Pruning aiming at removing the numerous lateral branches responsible for
node formation that depreciates the ultimate timber value has to be realized.
Nevertheless, if utilized, the Malaysian clones are characterized by a minimal lateral branching and
narrow crown, and unexpectedly good wood characteristics. Manual pruning usually practiced for
avoiding node formation becomes needless, cutting down dramatically the management costs.
One or two thinnings - depending on income needs and market prospects – must be carried out to
give more room to the remaining trees to make them grow bigger. The final harvest is scheduled to
take place 20 yr after planting, by virtue of the previous argument - rationale of producing teak logs of
sufficient volume and heartwood quantity- if in accordance with the business plan.
The management of top quality clonal plantation by coppices subsequently to the first harvest is not
recommended.
Recommendations for
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2.2.4 Management principles for Bamboo

As for teak, the consultancy will later provide a specific management and business plan related to
bamboo. Thus, current recommendations are to be used as broad guidelines, to be included in the
LTMP.
2.2.4.1 Bamboo in the Gularaya KPH
Some kinds of bamboo that grow in the KPHP have a high value. Local communities mainly harvest
bamboo to fulfill their personal needs. The original South East Sulawesi people see bamboo as a
“weed” and burn them when opening areas for fields. Transmigrants, contrastingly, realize bamboo’s
value and harvest it for sale in Kendari. Species of bamboo which are commonly traded are:
- Bamboo Wuluh (Schizotraschyum iraten)
- Bambu Tali (Gigontchloa apus)
- Bamboo Aur
- Petung Bamboo (Dendrocalamus asper)
It is very difficult to undertake an inventory of the quantity or area of bamboo in the KPH because it is
spread in clumps throughout the area. As a consequence, no inventory of the bamboo resource has
ever been undertaken.
Community members harvest bamboo both within the KPH and from the clumps spread around the
fields in nearby areas. Based on informal basis from bamboo merchants in Kendari, three areas have
become centres for bamboo production: (i) Desa Anduna (Kecamatan Wolasi), (ii) Desa Tanea, Desa
Cialam and Desa Masagena ( Kecamatan Konda) and (iii) Hutan Nanga-Nanga.
The bamboo from these three locations is used in Kendari only and not sent to other locations.
Generally the bamboo is only harvested on an ad hoc basis to fill particular orders.
Bamboo can be propagated by seed, cuttings, branches, stem cuttings, and cuttings of rhizomes as
well as tissue culture. Reproduction by seed is rarely done because bamboo rarely produces seeds.
The method that is most appropriate depends on the bamboo that is being propagated. Of the 10
species of bamboo commonly planted at an industrial scale, 5 types have protruding branches and 5
other types have non-protruding branches. For those which have a prominent fork, seedlings can be
produced from stem cuttings and branch cuttings. For those which do not have protruding branches
stem cuttings only can be taken. The bamboo plant is harvested the first time at the age of 5 years.
Recommendations related to Bamboo management
Development of a smallholder partnership

There is potential for the KPH to develop business models for bamboo which contribute to the welfare
of the community without causing degradation of the forests. A suggested model for bamboo business
partnership is a smallholder partnership (Inti – Plasma). The Core area (inti), represented by a larger
investor, provides technical leadership and training as well as assisting with processing and marketing.
The smallholders produce the bamboo and engage in small and medium scale cottage industry.
Development of skills about bamboo market

Currently farmers (who would be the smallholders in this model) do not have the technical knowledge
and ability to grow and process bamboo. With the coaching of the KPH, and/or a company, the
community should be able to develop skills to successfully grow and sell a crop of bamboo with
optimal economic benefit.
Development of integrated plantation and bamboo industry

In order to promote parallel development of bamboo plantation and downstream industry:
• Bamboo industry development will require a solid basis of training and market research;
Recommendations for
Page 11
• 10,000 ha could well be the largest bamboo plantation in Indonesia. This would require changing
public perceptions of bamboo. The purpose would be to get local people interested in bamboo and
also to find investor that is interested in investing in the bamboo plantation and industry;
•
4
Coordinate to get support from Government Industry office in order to obtain market information
and develop market links (through national bamboo council, …);
• Join with association of Bamboo in Local or International level;
• Undertaking a feasibility study of Bamboo industry – this would be a more detailed evaluation of
market supply chain options.;
• An integrated handicraft / furniture industry has to be developed locally. A partnership system
would be required to link smallholder and SME models with larger companies. There would need
to be a stepwise approach to development of the industry so it consumes the material in step with
the resource’s ability to supply;
• Try to develop a partnership with Java’s bamboo industry in order to supply raw material or semi-
finished product. Currently Java has a problem with bamboo supply as a raw material. On the
other hand it has a lot of market knowledge, skills and industry links;
• Develop cooperatives to provide capital and links to distributors for smallholder and local SME
businesses.
2.2.5 Management of other tree species

Beside of teak, other tree species might be of special interest for local people, as well as for a private
investor. This is because those species offer different advantages than the teak, and also because it is
good to vary the sources of income, as pest or economic crisis might more easily affect a monocultural
system.
Recommendations related to the management of other tree species
Promote the use of other tree species in order to get a great range of tree products, limit risks
associated with monoculture and promote the association of trees with cultures. This can be done by
producing tree seedlings and distribute them for free, producing posters, planting demonstration areas,
etc.
Recommended species are:
• Gmelina arborea (Jati putih): Seems to grow quite well with an unexpected good stem form for
seed-issued and presumably unselected trees. Clones can be produced very easily by rooted
cuttings from mature Plus trees.
• Anthocephalus sp (Jabon): Local species abundantly planted which seems to perform well.
Plantations can be used. Clones produced by cuttings from mature selected trees that can be
rooted easily could also be used.
• Paraserianthes falcataria (Sengon): Nitrogen fixing local species and native species from
Indonesia. There are two different strains: the white and the pink (from the Solomon Islands),
which grow a bit slower but had higher wood density. Same other characteristics as for Acacia
mangium.
• Acacia mangium: Grow fast on acidic soils. It can restore the fertility of soils thanks to its natural
nitrogen fixing ability, suitable for soil restoration / fuel wood production and timber in some cases
(with selected material). It can thrive under high rainfall conditions. Produce profusely seeds
starting from 3yr after planting.
• Eucalyptus pellita: assumed to thrive in the environmental conditions of the project. Particular
feature is the high density of its wood and its adaptability to high rainfall.
• E. urophylla X E grandis: Seems also ecologically adapted to the project. Propagation by rooted
cuttings exclusively.
4
Like Provincial representative of the Ministry of small and medium industries
Recommendations for
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2.2.6 Management of environmental services from the KPH

The potential utilization of environmental services and natural attractions in the area Gularaya KPH is
still underdeveloped. As such very few people are aware of the environmental services provided by
the forests; similarly the tourist attractions receive very little management and tourists have limited
access to the area to appreciate its beauty (e.g. information centres, tracks, walkways and lookouts).
• Natural flora & fauna
The natural areas within the KPH clearly have a high biodiversity conservation value.
The KPH is very near or bordering on conservation areas especially in Kabupaten Konawe Selatan;
these are :
- - SM Tanjung Peropa: 38 ha (Anoa, mangroves);
- - SM Tanjung Amolengo: 610 ha (Anoa, MonyetHitam);
- - SM Tanjung Batikolo: 4 ha (Anoa, maleo).
There are people that hunt among the local farmers. However this is only done when there are no
farming jobs. The farmers are not regular hunters who rely on the animals for their daily food sources,
as most of the local people have been primarily agricultural for several generations.
Recommendations related to natural flora & fauna
Gather scientific data on flora and fauna

Existing inventories should be collected in order to have a reliable list of living species in and around
KPH. If such data is not available, census should be conducted.
Check threats to wild species populations

For the species listed, an estimation of the threat should be done, in order to prevent mass population
declines, and thus loosing biodiversity.
Make population and visitors aware of the natural richness of KPH

This can be done through media communication, printing posters, placing on the field signs, etc.
especially, endangered and protected species should be the focus of specific communication /
protection campaigns.
• Tourism
The KPH has a number of natural attractions, these are: hot water springs, waterfalls, the forests
themselves and the mangroves.
- Moramo Waterfall is located in the south of South Konawe, a distance of approximately 50 Km
from the city of Kendari: In addition tourists can stop at a number of lookouts and see views
across the tropical rainforest as well as a number of small waterfalls.
- Nanga Nanga Waterfall: this waterfall is one of the main attractions of Kendari. It is located in
the village of Nanga Nanga.
- Kaendi Thermal Baths: these baths are located in Desa Kaendi. They are about 70 km from
Kendari. In addition, this place has therapeutic potential for traditional therapies.
- Nature Tourism: the beauty of the forest landscapes are of interest as a place of recreation
and relaxation, and is a type of alternative tourism compared with highly commercialized
attractions (e.g. fun parks);
- Mangroves situated in the Southern part of Konawe Selatan Distric are also subject to tourism
interest, if properly managed and if some facilitation would exist for observation.
If visits to the forest are natural activities which are relatively cheap and environmentally friendly,
access to these areas however is very limited. Without facilities suitable for draining the urbanized,
public will have a very limited ability to form any emotional connection with the environment.
Recommendations for
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Recommendations related to tourism
Make population and visitors aware of the KPH natural attractions

This can be done through media communication, printing posters, placing on the field signs, etc.
Create suitable facilities for draining the urbanized

This would need investment in infrastructures such as parking areas, paths, recreational huts, bridges,
etc. Also, shelters with corporate responsibility money from hotels could be used to promote tourism.
Study business tourism opportunities
• Flood Control, source of Fresh Water and erosion Control

South East Sulawesi is a very flood prone area. Around the location of the KPH all the bridges has
had to be rebuilt after the latest floods. The KPH plays a role of mitigating flooding through its ability as
a regulator of water. The forests absorb the water during heavy rain and release it slowly, as such
reducing the massive surges that cause floods and damage infrastructure. Without the forests the
floods in the area would be even worse than they are currently.
Water supply for local villages comes from rivers flowing from inside the area of KPH. People who live
near the river use pipes (made of bamboo) to get water. Local people, who live some distance from
the rivers use wells (sumur) for water. In Kendari there is a Government Company which manages the
water supply (Perusahaan Air Minum). The water is sourced from a large river (Konaweha River) that
can handle capacity of Kendari. The watershed of this river flows from 6 districts within South East
Sulawesi including South Konawe where KPH is located.
South East Sulawesi is a high rainfall area; this combined with the steep terrain within the KPH means
that forest cover is necessary to prevent erosion and subsequent sedimentation of all the rivers.
Similarly the Mangrove areas in the south are key to stabilizing the coastline and preventing coastal
erosion.
Recommendations related to water forest function
Analyze watersheds efficiency to regulate water

Watersheds presents on the KPH should be analyzed in terms of ability of playing their roles related to
water. Where needed, technical actions must be undertaken in order to ensure maximal positive
effects from forest management. This includes all types of vegetation cover.
Make population aware of the KPH ecosystem functioning in terms of water regulation
Making people aware of the importance of specific blocks of forest may increase chances of protection
success.This can be done through media communication, printing posters, placing on the field signs,
etc.
Maintain forest cover and ensure GIS monitoring of the cover change
• Carbon Sinks
Indonesia’s GHG (Green House Gas) emission is 1,6 Gt per year (giga tonnes of CO2e), and is
expected to rise to 2,6 Gt by 2030. In 2010, President Yudhyono announced Indonesia’s commitment
to voluntary reduce emissions by 26% and 41% with international support, by 2020. This decision has
been translated in a Law RAN-GRK, which has been declined at regional level into RAD-GRK.
Most of the abatement opportunities (46 %) are in forestry and land sector. Each Province has to
contribute to this National effort and the KPHs are the corner-stone for emission reduction from land
sector as 60 % of the lands are located in permanent forests.
Recommendations for
Page 14
Recommendations related to Carbon sinks
Keep aware about potential future incentives about REDD+

KPH management should be kept aware about the potential future incentives given by the national
government to the decentralized bodies as KPH to stimulate REDD+ activities.
Develop data collection coherent with the MRV system

As KPH is the smallest unity for monitoring forest carbon, all the data collected on the KPH territory
should be produced in a way they can be used by the National MRV system. KPH should develop
close relationship with office of Provincial BAPPEDA in charge of coordinating RAD-GRK.
2.3 INVOLVE COMMUNITIES IN THE KPH MANAGEMENT STRATEGY
2.3.1 Involvement of communities in the protection of the forest

Securing the forest requires lots of means in terms of number of people, presence on the field,
transportation means, etc.
The KPH can not rely on its own means only, to get to the forest protection objectives. It needs to rely
on communities and make local partnerships (with villages, KHJL, cooperatives, etc.).
The KPH manages a large area of land on which some areas are ideal for growing teak; however it
badly needs investment to replant a successful teak crop. It will not be able to attract investment until it
has proven its ability to manage asset security. For this reason, security and managing social license
are top management priorities for the KPH.
The original planted crop has been almost completely harvested by illegal loggers. Coppices have
grown from the stumps and now these merchantable stems are also being harvested. The KPH has
identified this as the major issue relating to the ability to operate successfully in the area (also see
# 2.4.3).
The KPH has to oversee the development of a vibrant and legal forestry and processing industry in the
area. Currently, with the large supply of illegally sourced logs in the region it is proving a disincentive
for forest growers as the price of the logs is being depressed by the supply of illegal logs
.
5
Currently there are no operations taking place within the former HTI areas . Until the KPH can attract
investment it will be unable to provide employment within the community, in terms of planting and crop
maintenance. Similarly it will be unable to develop an asset that will form the basis of community
wealth – through development of a harvesting and haulage industry as well as downstream timber
processing.
Recommendations related to communities involvement
Develop the HTR within the KPH – this is discussed into more details in Section 2.4.2.1. It aims to
ensure the community surrounding the KPH gets a personal stake in the success of the KPH.
Initiate and develop local partnerships

Partnerships with villages, KHJL, cooperatives, etc., aiming at forest surveillance and protection
Implicate local people in plantation management for providing benefits within the community (from
nursery / planting / crop maintenance / management operations / harvesting / commercial issues).
5
Hutan Tanaman Industri - Industrial forest plantation
Recommendations for
Page 15
2.3.2 Increase community empowerment

This is a fundamental role of KPH to enforce communities. For this, KPH has a set of existing tools
and partners that can be used.
2.3.2.1 HTR & Community Forestry

With the HTR system, local people are allocated blocks and they are responsible for caring for the
crop on that area of land. Approximately 9.000 ha within the KPH have been allocated for HTR.
Already the KPH has released
4.639 ha as HTR to Koperasi Hutan Jaya Lestari. There is a potential further 4 – 5.000 ha to be
allocated as HTR, but this area has not yet been licensed.
The Goals of the HTR area are to:
- Achieve community support for the KPH through benefit sharing;
- Reduce illegal logging ;
- Improve incomes within the community;
- Develop the asset ;
- Bring forestry skills into the community.
The HTR areas are predominantly areas of production forests that are not productive or have been
encroached upon by communities.
Numerous woodlots can be seen throughout the landscape surrounding the KPH. On the positive side
this shows a good acceptance of trees as an asset, on the negative side these trees are of poor
quality genetic material and poorly maintained. Consequently the actual value of this crop is far below
the potential.
Recommendations related to community forestry
Use the HTR areas as a tool for developing a strong interface with the community
KPH role concerning HTR should be to play a general facilitation role with HTR.
As the work related to HTR requires a huge amount of field presence, as well as capacities in
community work, KPH should focus on partnerships with local experienced organizations to develop
field operations on HTR, including local people.
These organizations, such as KHJL, would implement trainings, develop micro-finance schemes,
assist forest management, establish forestry skill within local community, create business partnerships
opportunities, etc.
Support communities in developing smallholder plantings

• Actively support the activities of HTR cooperatives;
• Provide good quality seedlings to community members for free, as a form of encouragement for
forestry (good genetic material, healthy plants, …);
• Facilitate the establishment of farmer groups to manage the HTR and arranging the process of
acquiring permits (IUPHHTR), in partnership between the KPH, HTR farmer groups, the Institute
for Forestry and Ministry of Forestry Unit in charge of the HTR.
Develop feelings of ownership

Correctly managed and encouraged, HTR is a good opportunity to enhance people feeling of
ownership of plantations, and thus bringing greater chance of success in quality wood production, but
also in people participation to KPH management.
Recommendations for
Page 16
Communicate / vulgarize best management practices

For teak, information on techniques such as choice of the best genetical material, progressive
replacement of existing stands, reproduction method, plantation spacing, thinning, pruning, harvesting,
etc. could be provided.
The HTR have also documented a number of attitude related changes that the active involvement of
the community in forest management “may” have:
- Changes in behavior from “Illegal Logger” to forest conservationist/manager;
- Increased confidence in land tenure which will encourage people to plant and maintain rather
than just harvest;
- Associated with the above, a change in mindset of the younger generation, that the forest is a
form of savings for the future;
- Selling the land does not become an alternative because there is guarantee of trees planted;
- Culture to maintain water resources and biodiversity;
- Contribution to forest access control.
2.3.2.2 KHJL & their activities

All the KHJL cooperative members have private plantings on their own land. Additionally they are
being allocated HTR blocks. KHJL states its activities as:
- Management of private forest;
- Management of community forest plantation;
- Management of primary wood industry (Raw Sawn Timber, Furniture & Handcraft).
To date KHJL has obtained a HTR license, provided Legal Assistance, obtained Certification for
Forest, established a Sawmill, planted New Area, undertaken maintenance of the HTR Areas, created
a demonstration plot of tree species. Further aspects of their assistance focus on precise delimitation
of community forests for existing and new areas, secure the land tenure, define the forms of aids
allocated to the community forests (seedlings/cuttings, fertilizer, technical advice…) and the pay back
to KPH.
Additionally KHJL has been successful in stopping illegal logging in their HTR areas of operation.
To date KHJL has proved to be an effective group to provide community empowerment, however a
lack of long term funding is a major problem. KHJL is only just managing to survive because there is
not sufficient funding for providing estate-wide services (e.g. technical support and developing legal
agreements).
Recommendations related to cooperation with KHJL
Support, facilitate and encourage KHJL or similar organizations for the development of the
HTR areas
Without KHJL or similar organizations (which would face similar financial problems) it is unlikely there
will be any effective development of the HTR areas.
KPH can provide assistance to many topics, starting with the blocking of HTR, providing good quality
seedlings, arranging the process of acquiring permits, etc.
Definition of surveillance principles & responsibilities

Furthermore, KPH can rely on such structures to implement good management practices on the
devoted land, based on an agreement. This includes surveillance and illegal logging control.
Assist KHJL and similar organizations to get access to reforestation or rehabilitation -public or
donor- money, as there currently exists willingness from organizations to finance smallholders.
Recommendations for
Page 17
2.3.3 Illegal logging control

There might be 6 sawmills currently operating in the South Konawe area and it can be assumed that
the bulk of the mills’ log supplies are sourced from illegally harvested wood. This is because most of
the privately owned woodlots are not at harvestable age.
However this resource is limited and there is no maintenance of the resource; for this reason the
revenue flow from illegal logging is declining as the quality and quantity of the resource dwindles.
The teak forest that was originally planted by the Government Forestry Company is essentially “open
access” to illegal loggers who operate within the forest. There are only limited numbers of warning
signs or obvious boundary posts within or around the forest; nor is the enforcement by guards
sufficient to control illegal extraction. At this stage illegal logging goes ahead unchecked. Loaded log
trucks can be seen driving down the roads during the middle of the day and chain saws can be heard
operating in the forest at nearly every stop.
General poverty, lack of education and economic opportunity also leads community members to look
to theft as a way of earning money.
There are so many overlapping interests which benefit from log sales, that the problem becomes
intractable. But it is obvious that illegal logging cannot be reduced without including local people in the
activities of surveillance.
Recommendations related to illegal logging control
Create business opportunities linked to the development of a legal and sustainable forest
industry in South Konawe
Active legal use of the forest areas on the former HTI and economic benefits flowing to the community
will encourage people to respect and protect the plantations.
Initiate and develop local partnerships

Partnerships with villages, KHJL, cooperatives, etc., aiming at forest surveillance and protection
Improve boundary demarcation of the KPH – surveying the boundaries and ensuring concrete
posts are visible actions that clearly mark the boundaries.
Enhance law enforcement to control illegal extraction

Enforce surveillance by guards; having enforcement officers in the field may decrease illegal logging.
For this, KPH could also develop relationships with other agencies.
Get aware of tensions in order to avoid conflict between the communities surrounding the
forest and local forestry government
Instead of growing resistance, relation between KPH and communities should neutralize tensions.
Promotion of SVLK at province policy level

The forest management of KPH area should lead to SVLK certification; also, all tenders from
administration should require SVLK wood.
Identify illegal logging value-chain and stakeholders

Hire an independent specialized organization to identify and understand networks of illegal loggers,
value-chain and stakeholders. Synthesis of findings could be published to improve transparency and
raise people awareness.
Recommendations for
Page 18
2.3.4 Land Encroachment attenuation

Illegal encroachment of forested areas in Gularaya is much less of a problem than other areas in
Indonesia. Nevertheless, some areas of the KPH are suffering from illegal encroachment, as they are
occupied and claimed by local people, either for agricultural crops, private tree planting, or for living.
The identified encroachment areas are:

- Taman Hutan Raya Nanga Nanga : a mis-match exists between boundaries of the Forest
Lands which is administered by the Central Government and the boundaries as defined by the
Province. In 2011, the BPN (Provincial Land Agency) issued approximately 20 land certificates
over an area which amounts to approximately 100 ha. The forest land has been subsequently
cleared and planted with agricultural crops. The people that live on the land are only leasing it,
it is actually owned by wealthy people in Kendari. The KPH has written to BPN regarding this
issue, however there has been no reply.
- Kolono District: some private forest plantation occurred on HTI Land, about 1 km inside official
limits of KPH. This is partly due to misinformation about KPH boundaries.
- Baito Area: rice fields occur in this part of the KPH, also being partly due to misinformation
about KPH boundaries. A survey conducted by KHJL in 2009 also shows the evidence of the
presence of a permanent village inside the KPH.
- Lainea: about 50 ha of cashew would exist on former HTI.
It appears there will be no quick resolution to these issues,. Similarly there is no guarantee it will not
occur again on other areas.
The causes of these practices can be originated by the following suppositions:

- little interest has been shown on the former HTI area, and little space is available have
encouraged people to use it more intensively;
- Power influence between Provincial and Central Governments;
- No recognition of KPH authority
Recommendations related to land encroachment attenuation
Communicate on the legal basis of the KPH

Inform all stakeholders of each duties and potential benefits to be gained by them in collaborating with
KPH.
Define which areas are subject to conflict with stakeholders

Encroachment areas must be defined on a participatory way and an agreement must be found after
negotiation. Ideally this would be conducted by a neutral actor. Unilateral decision leading to exclusion
will not work and would raise conflict, while a compromise might bring advantages for both the KPH
and the local communities involved, and thus may have more success potential.
If no collateral issue is found on land claiming, land occupancy will continue and extent on KPH.
Document cases of conflicts

Survey, document and communicate to head services on any conflictual case, including
encroachment. This could serve as a basis for defining compensation mechanisms for areas spoiled
(mining, etc) under public license.
Recommendations for
Page 19
2.3.5 Social opportunities of a new forest crop

The reinvestment in a new crop within the KPH presents a real opportunity for the local community
insofar as it is a large area of underutilized land. The development of this land and the associated
income from it could result in the development of a forest industry in South Konawe. This would be
centered on the KPH with a cluster of private plantations leveraging off the threshold plantation size
provided by the KPH.
This would enable a high value forest asset to be developed in this area. Once there is a forest
resource of threshold size, based on experience in other areas processing industries/workshops will
be developed around this to utilize the forest products.
Socially this would provide considerable economic opportunity in terms of :
- Work in the forest operations (e.g. planting, fertilizing, maintenance, forest administration,
etc…);
- Work in forest harvesting and haulage operations;
- Work in downstream processing (e.g. sawmilling, furniture building).
Active use of the forest areas with economic benefits flowing to the community would de-escalate
social conflict relating to boundaries. The industry will have a legal basis, compared to the current
basis of an illegal log supply. Also there would be reinvestment in a sustainable industry, compared
with the current situation where there is no investment and the actors are harvesting a finite resource.
It could provide a successful model which could be rolled out to other KPHs in other areas of
Indonesia. Particularly this would relate to establishing an effective legal framework that enables the
KPH to operate unhampered by bureaucracy, but also giving the National and local Governments
confidence that State assets were being effectively, ethically and legally utilized.
Recommendations related to social opportunities of a new forest crop
Encourage the development of a legal and sustainable forest industry in South Konawe
The reinvestment in a new crop within the KPH – with active use of the forest areas with economic
benefits flowing to the community -would provide considerable long term economic opportunity as well
as de-escalate social conflict relating to boundaries.
Recommendations for
Page 20
2.4 DEVELOP KPH MANAGEMENT TOOLS
2.4.1 Define the economic functioning of KPH

KPH must aim for financial independence. It needs to have a clear and transparent analytic
accountancy in order to have a good vision of the effectiveness of its functioning. Nevertheless,
financial independence cannot be attained only by developing accountancy system. Other
determinants will also be equally addressed.
Recommendations related to KPH economic functioning
Develop an accountancy system per activity

• List of expenses devoted to each activity (natural forest (protection forest- production forest),
plantation, assistance to community forests…);
• List of incomes from each activity;
• Funding of KPH;
• Reflection on different sources of funding;
• Logging of the existing resource;
• Contracts with private companies;
• State, provincial or district funding;
• NGO’s;
• Etc.
2.4.2 Develop human resources

KPH has to build up its human resources and adapt them to fit the new missions with respect of a
necessary financial balance.
Recommendations related to KPH human resources
Define and communicate on the general supervision objectives and responsibilities of the KPH
team
Define and plan the training program for building capacities of KPH staff
Develop a training plan fitted with activities and funding;
Plan training for staff capacity building over 1 year;
Set up an organization fitted to the degree of development of KPH.
Recommendations for
Page 21
2.4.3 Study on contracts between KPH and private companies for Teak
plantations
Recommendations related to business contract
Defining the modalities of the future public – private partnership

KPH has to mind at contracts modalities aiming at mutual benefits for KPH, community forests and
private companies.
These contracts must guarantee:
• The long term land availability for the private companies to be able to amortize its investments;
• The payment of a fee to KPH insuring a part of its financial needs for the management of KPH;
• Allocation of the contract should be transparent and comply to rules (SOP to be identified).
KPH has to put a special attention on the exit conditions at the end of the contract.
2.4.4 Make good use of the Information system (GIS)

A GIS already exists at KPH and capacities for using it are there, though quiet basic. The development
of both the system and the capacities to utilize it would be beneficial to KPH.
Recommendations related to GIS
Set up and actualize an information system on field operations (GIS)

KPH should set up an information system on field operations (GIS) and actualize it regularly in order to
follow the activities in the space and in time. This is for natural forest, plantations and development of
community forest. The GIS will allow to monitor the implementation of the management plan and to
have a specific attention to the risk of encroachment and illegal logging in defined areas where the
survey has to be reinforced.
Inform and communicate through mapping

KPH could beneficially beneficiate of his GIS to communicate to stakeholders/partners via general
and/or operational maps. This would help to get visibility and transparency.
Train staff on the use of GIS

At least some of the staff should be able to efficiently use the system.
2.4.5 Initiate a Research and Development program

Recommendations related to research and development
Establishment of trials comparing different planting material origins

KPH needs to set up demonstration plots of teak through a partnership with a company. This is to
obtain comparison of local seed sources and high genetic value material in order to convince people
and potential investors (new dynamism on teak plantation) about the benefits that can be expected
from these new materials.
These trials should also be the occasion to test different species beside of teak.
Study of other aspects

It is also necessary to start a research and development program for aspects such as threat from pest
and disease, institutional consequences, costing. Etc.
Recommendations for
Page 22

Recommendations KPH Feb 2014 V7

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RECOMMENDATIONS

FOR THE KPH LONG TERM MANAGEMENT PLAN

FRENCH DEVELOPMENT AGENCY

Technical assistance from:

1 OBJECTIVE OF THE RECOMMENDATIONS REPORT TO KPH GULARAYA LONG

2 RECOMMENDATIONS OF THE CONSULTANCY ................................................... 4

1 OBJECTIVE OF THE RECOMMENDATIONS REPORT TO KPH GULARAYA

2 RECOMMENDATIONS OF THE CONSULTANCY

2.1 COMMUNICATE ON KPH LEGAL STATUS

2.1.1 Accurate delimitation of current and future land use areas

Recommendations for delimitating the KPH land use areas

• Precisely delimitate the suitable location of future teak plantations

• Precisely define critical zones needing rehabilitation management

3 Spatial Database for KPH Gularaya, Version 2; February 2014

2.1.2 Obtain social acceptance in the KPH Area

Recommendations related to gaining social acceptance for KPH

Communicate on the KPH process and provide shared benefits opportunities

2.1.3 Communication with the stakeholders

Recommendations related to the definition of the stakeholders duties and rights

Demonstrate legal mission of KPH and willingness to be a constructive partner

Better the image of KPH administration

2.2 DEFINE MANAGEMENT PRINCIPLES

2.2.1 Improvement of the forest stands knowledge

Recommendations for forest knowledge improvement

Document the history of each forest blocks

Complete GIS delineation with a rough inventory of natural forest

2.2.2 Management principles for Natural forest

Recommendations for natural forests management

• Ensure an effective protection of natural forest under Protection status

Define sylvicultural principles in natural forest

2.2.3 Management principles for teak plantations

2.2.3.1 Site conditions for teak planting

Recommendations on site conditions for teak planting

2.2.3.2 Teak planting material

Recommendations on teak planting material

Selection of teak with high production potential

2.2.3.3 Teak nursery

Recommendations for the teak nursery

Choose the multiplication mode more adapted to the local capacities/objectives

Proper design of the teak nursery

Massive production of teak material

2.2.3.4 Teak Plantation management

Recommendations for teak plantation management

Defining sylvicultural principles

Defining optimal planting sites and maintenance principles

2.2.4 Management principles for Bamboo

2.2.4.1 Bamboo in the Gularaya KPH

Recommendations related to Bamboo management

Development of a smallholder partnership

Development of skills about bamboo market

Development of integrated plantation and bamboo industry

2.2.5 Management of other tree species

Recommendations related to the management of other tree species

2.2.6 Management of environmental services from the KPH

Recommendations related to natural flora & fauna

Gather scientific data on flora and fauna

Check threats to wild species populations

Make population and visitors aware of the natural richness of KPH

Recommendations related to tourism

Make population and visitors aware of the KPH natural attractions

Create suitable facilities for draining the urbanized

Study business tourism opportunities

• Flood Control, source of Fresh Water and erosion Control

Recommendations related to water forest function