The Borneo InitiativeAn Introduction

TBI Support ModelSustainable forest management means that harvest

levels are in balance with forest re-growth, with

respect to the rights of local people and keeping

intact wildlife habitat. Market parties along the

commodity chain need to be able to distinguish

sustainably produced wood. This calls for the need of

a globally respected standard for the certifi cation

of forest management, such as FSC. The Borneo

Initiative promotes FSC certifi cation of forest

management, which implies that forest enterprises

need to comply with the Government’s mandatory

requirements for the SVLK/PHPL certifi cates at the

same time.

The Borneo Initiative offers its support to any

Indo-nesian forest enterprise with a legal license,

with productive forest stock, with a good track

record in forest management, and with good

connections to the overseas markets. Applications

from non-Indonesian forest enterprises will be dealt

with on a case-by-case basis.

TBI offers forest enterprises fi nancial support in

proportion to the size of the forest area:

• 75,000 ha and above: 2 USD/ha with a maximum of

USD 300,000

• 35,000 – 75,000 ha: 3 USD/ha with a maximum of

USD 150,000

• Forest enterprises smaller than 35,000 ha (e.g.

community forestry schemes) are encouraged to

join a group certifi cation initiative so as to reach the

threshold level of 35,000 ha.

The fi nancial support will be divided into three

phases (see graph).

In general, the support offered by TBI is not meant

to fully cover the total costs of certifi cation. TBI will

contribute to the costs of the certifi cation audits,

the certifi cation coaches, and studies or trainings

in ecological values, social conditions, health

and safety, and reduced impact logging. Forest

enterprises are required to demonstrate an equal

contribution as TBI to the process of certifi cation

(50:50 cost sharing).

These FSC-certifi cation related costs help the

forest enterprise also to prepare for SVLK/PHPL

certifi cation. The Borneo Initiative promotes

combined audits for SVLK/PHPL and FSC.

PHASE 1Pre-Assessment

Certifi cation Action Plan

PHASE 3Annual Audit

PHASE 2Financing Statement

Implementation CAP

Main Assessment

Verifi cation Audit

6 months

10% TBI fund

18 months

80% TBI fund

3 years

10% TBI fund

visit the website www.theborneoinitiative.org October 2013

The Netherlands:

The Borneo Initiative

De Corridor 7

3621 ZA Breukelen, the Netherlands

Email: info@theborneoinitiative.org

Mobile phone: +31 610 665564

Indonesia:

The Borneo Initiative

Gedung Graha Simatupang

Tower 2 Unit C Lt. 4

Jl. LetJen. TB. Simatupang

Jakarta Selatan 12540, Indonesia

Email: sekretariat@theborneoinitiative.org

Offi ce phone: +62 21 782 9461

Mobile phone: +62 818 401 401

Fax: +62 21 782 9462

ColofonPictures: Rahmilyna Putri and Wim Ellenbroek

Design: Studio 10, Tineke Kooistra

Printer: drukkerij Mart. Spruijt BV, Amsterdam

This annual report is printed on 250gr FSC paper.

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Indonesia, with previously an estimated annual loss

of forest of 1.8 million ha in the period 1990 to 2000,

was accountable for about 14% of global forest loss.

Yet, deforestation and forest degradation can be

countered in Indonesia – as elsewhere – by initiatives

that enhance the economic value of well-managed

forests. Buyers have a growing concern over the

long-term availability of tropical timber from natural

forests, and companies are developing sustainable

procurement policies and are ready for long-term

relationships with responsible timber producers.

Thus, a market based approach to nature conser

vation is now possible, involving market actors as

positive agents of change.

The certifi cation of forest management is one tool

to distinguish responsibly produced timber products

in the market place. The government of Indonesia

is deploying a mandatory scheme for the legal and

sustainable timber harvesting and trade, consisting

of two components, SVLK for legal origin or chain

of custody, and PHPL for sustainable harvesting

regimes.

The Borneo Initiative operates complimentary to the

government’s priorities. Additional to the govern-

ment’s mandatory SVLK/PHPL certifi cation scheme,

The Borneo Initiative promotes a voluntary forest

certifi cation scheme as promoted by the interna-

tional Forest Stewardship Council or FSC. SVLK/PHPL

certifi cation has many similarities to FSC certifi ca-

tion as regards certifi cation criteria and certifi cation

procedures - especially independent, third-party

assessment.

While Indonesian timber producers all have to earn

their SVLK/PHPL certifi cates, the added value of

FSC certifi cation is that it has global recognition and

acceptance in the market place.

FSC certifi cation has some extra criteria on forest

management, social inclusion and wildlife

management that give extra recognition to

Indonesian timber producers as responsible

producers. By accepting the support from The

Borneo Initiative for FSC certifi cation, the Indonesian

forest enterprises will achieve double certifi cation

i.e. SVLK/PHPL plus FSC, and will gain extra goodwill

in the market place as responsible forest stewards.

The goal of The Borneo Initiative as described in

art. 2 of its articles of association is: “counteracting

deforestation and forest degradation in Asia, in

particular in Indonesia, but also elsewhere in the world

and to that end promoting sustainable forestry”. In

The Borneo Initiative’s vision, tropical forests can only

be preserved if a successful balance is found between

economic interests, sustainable management and

the protection of high conservation value areas. Only

the right balance between these three dimensions

can guarantee a long-term life cycle for the forests,

secure income for those living off the produce of

the forests, as well as to continually provide a natural

habitat for the many forest animals.

The Borneo Initiative’s mission is to bring all stake-

holders – governments, forest enterprises and NGOs

– together in a common platform and to enable them

to jointly take a signifi cant step towards sustainable

forest management, according to national (SVLK/

PHPL) and international (FSC) standards of forest

management.

Why this initiative?

Vision and Mission

• Adessium Foundation is a private charity

registered in the Netherlands, contributing to

nature and society.

• IDH or the Sustainable Trade Initiative is a private

agency funded by Dutch Government, aiming to

accelerate and upscale sustainable trade chain

initiatives.

• The Dutch Postcode Lottery supports organisations

that focus on people.

• Koninklijke BAM Groep NV and Bouwfonds

Ontwikkeling BV are the largest construction group

and the largest residential area developer in The

Netherlands respectively.

• 25 housing corporations have also pledged

fi nancial support to The Borneo Initiative, as an

extra step towards the mobilization of the supply

chain of tropical timber.

• Steffex Handelsmaatschappij is the leading

manufacturer of doors in the Dutch housing

market.

Additionally, we are in advanced stages of discussion

of funding with other governmental aid agencies and

private charities, aiming to expand our funding base

to enable a portfolio size of 8 million ha in 2016.

Apart from donor funding, forest enterprises

themselves are co-investors in the forest certifi cation

program. The Borneo Initiative’s grant funding of 2

USD/ha to forest concessions, is supposed to cover

about half of a company’s total costs of certifi cation

for SVLK/PHPL and FSC. The Borneo Initiative will

also report to donors on the own investments made

by forest enterprises.

Adessium Foundation € 950,000 0 € 950,000 2008 - 2011

Adessium Foundation € 950,000 0 € 950,000 2012 - 2015

IDH € 2,000,000 € 1,800,000 € 200,000 2009 - 2013

IDH € 2,000,000 € 1,500,000 € 500,000 2012 - 2015

Dutch Postcode Lottery € 2,300,000 € 2,070,000 € 230,000 2010 - 2015

BAM € 250,000 € 225,000 € 25,000 2009 - 2013

Bouwfonds € 250,000 € 225,000 € 25,000 2009 - 2013

Steffex € 40,000 € 36,000 € 4,000 2012 - 2013

25 housing corporations € 275,000 € 247,500 € 27,500 2010 - 2016

TOTAL (core + programme) € 9,015,000 € 6,103,500 € 2,911,500

Funding

Programme donors: Total donation Forest Organization Period

(90% forest certifi cation & certifi cation and support

10% organisation & support)

Core donors: Total donation Forest Organization Period

(100% organization & support) certifi cation and support

Donations received

Organization The Borneo Initiative is a foundation under the laws

of The Netherlands, founded on 1 July 2008. The

Borneo Initiative runs its activities from two offi ces,

one in the Netherlands (Breukelen) focusing on

market links and one in Indonesia (Jakarta) focusing

on forest certifi cation.

TBI is governed by an executive board consisting of

the following members:

1. Dr. Ir. G.M. van den Top, Chairman of the Board

2. Mr. D.J. Evertse, Treasurer

3. Mr. J.M. Kuijper, Executive Member of the Board

4. Mr. J.A.J. Vet, Secretary

Operational staff in the Netherlands:

1. Ir. Willem (Wim) Ellenbroek, Programme Director

2. Ms. Rahmilyna Putri, Programme Offi cer

3. Ms. Maria Indriastuti Tjahyono (Indri), Manage-

ment Assistant

4. Vacant. Market Links Coordinator

5. Mrs. Marlies Prüst, Finance Offi cer (Part-time)

6. Mrs. Ariane van Marwijk, Fund Raising Consultant

(Part-time)

Operational staff in Indonesia:

1. Dr. Rizki Pandu Permana, Director Indonesia Offi ce

2. Mr. Felix Among G Prasetyo, Technical Offi cer

3. Ms. Dwi Rosaria (Rosa) Widiyarini, Management

Assistant

Preparations are under way for the installation of an

advisory board in Indonesia, consisting of senior

representatives from forest industry or forest

enterprises.

The Borneo Initiative operates in Indonesia under

a memorandum of understanding with the Worldwide

Fund for Nature (WWF). Meanwhile, The Borneo

Initiative hopes to register in 2013 its Indonesian offi ce

as a legal representation.

TBI Organigram 2013

ExecutiveBoard

ProgrammeDirector

Director IDOffi ce

TechnicalOffi cer

ProgrammeOffi cer

Management Assistant

Management Assistant

FinancialOffi cer

(part time)

FundraisingOffi cer

(part time)

USA

Advisory Board

IDNL

Market LinksCoordinatorUSA (vacant)

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