Norway Pledges US$100 Million to Indonesia for Forest Emission Reductions in 2021–2023

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Ecobiz.asia – Norway has announced a US$100 million results-based contribution to Indonesia in recognition of the country’s efforts to reduce carbon emissions from deforestation and forest degradation during the 2021–2023 period, under the two countries’ forestry cooperation supporting Indonesia’s FOLU Net Sink 2030 target.

The announcement was made by Norwegian Minister of Climate and Environment Sigrun Aasland at the Indonesia Pavilion during the UN Climate Change Conference (COP31) in Antalya, Türkiye, on Thursday (Nov. 12, 2026). The funding represents the fifth results-based contribution under the Indonesia-Norway climate and forestry partnership.

“In recognition of Indonesia’s results between 2021 and 2023, Norway will provide a contribution of 100 million dollars to Indonesia. And this is payment for results,” Aasland said.

She noted that Indonesia’s deforestation rates were among the lowest on record, describing the achievement as the result of ambitious policies, strong leadership, and sustained commitment.

“This did not happen by itself. It is the result of ambitious policies, strong leadership, and sustained commitment. And you have shown what is possible when ambition is matched by action,” she said.

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Aasland said results-based financing was important to sustain forest protection, particularly as climate change increased pressure on forests and landscapes. She also referred to the devastating forest fires experienced by Indonesia this year as a reminder of the need for continued investment in forest protection and fire prevention.

The US$100 million contribution will be channelled through the Indonesian Environment Fund (IEF), or BPDLH, to support Indonesia’s national climate priorities, including its commitment to turn the forestry and other land use sector into a net carbon sink by 2030.

Aasland said the funding would support efforts such as forest fire prevention and preparedness, while also encouraging development approaches that reduce pressure on natural resources.

She highlighted Indonesia’s efforts to explore the use of degraded land for food and energy production rather than converting additional natural forests.

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“Growth that spares natural forests and respects the rights of local communities deserves international support,” she said.

Aasland also welcomed Indonesia’s commitment to recognize 1.4 million hectares of customary forests over the next four years, saying the move would strengthen Indigenous Peoples’ rights and their role in forest conservation and climate action.

She reaffirmed Norway’s commitment to its long-term partnership with Indonesia, which has now been extended until 2030. She also welcomed Indonesia’s participation in the Forest and Climate Leaders Partnership, saying the country had an important role to play in international efforts to reduce deforestation.

Deputy Minister of Forestry Rohmat Marzuki said the fifth results-based contribution reflected the continued commitment of both countries to advancing forest and climate cooperation based on mutual respect, trust, and national ownership.

He said Indonesia’s FOLU Net Sink 2030 agenda remained a central priority for the Ministry of Forestry, encompassing forest protection, sustainable forest management, ecosystem restoration, social forestry, and forest and land fire prevention and control.

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“Results-based contributions can help sustain this work by recognising demonstrated achievements and supporting further action in accordance with Indonesia’s national priorities,” Rohmat said.

He added that sustained implementation required sound science, effective institutions, and financing that could reach the ground. Community participation was also essential, particularly in forest management and fire prevention through initiatives such as community-based fire management.

Rohmat outlined three priorities for the Ministry of Forestry in implementing the cooperation: ensuring that the contributions support nationally determined priorities and strengthen institutions responsible for forest management; improving implementation through clear responsibilities, coordination, transparent reporting, and regular monitoring; and ensuring that benefits reach forest ecosystems and the communities involved in protecting them.

The announcement was also attended by Indonesian Environment Minister Moh Jumhur Hidayat, while Forestry Minister Raja Juli Antoni delivered a recorded video message for the occasion. ***

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