Floresta is a socially and environmentally sustainable business based in London. Their mission is to rehabilitate and sustainably manage tropical forests. They have been active since 2010 in Aceh, Indonesia. Floresta's Sustainable Development and Conservation Programme in Aceh aims to improve livelihoods by building a green economy that conserves forests, especially the Leuser Ecosystem. The programme includes protecting forests, strengthening natural resource management, creating sustainable forest product supply chains, and improving smallholder farming. Major investments planned under the programme include restarting a paper mill, establishing community plantations, and developing biomass power plants.

1. Summary of Floresta’s history, objectives and strategy in Aceh
Building a prosperous,
green future for Aceh
Dr. Charles Ehrhart
Jakarta
25 April, 2013

2. About Floresta
Socially and environmentally
sustainable business headquartered
in London, England.
Our mission is to enhance the welfare
of current and future generations
through the rehabilitation and
sustainable stewardship of tropical
forest landscapes.
We put private sector finance and
knowhow behind government led,
citizen shaped plans to reduce
tropical deforestation and build green
economies.
We have been active since 2010 in
Aceh, Indonesia and in Acre, Brazil
since 2011.

3. Credentials
Floresta is a recognised impact entrepreneur,
harnessing the power of private enterprise to
generate measurable benefits for local communities
and the environment.
Finalist in the WWF Tropical Forest Challenge to
identify the world’s best for-profit solutions to
conserve tropical forest biodiversity.
Listed by leading impact investor networks,
including MaxiImpact, the Global Impact
Investing Network (GIIN) and Toniic.
TrustLaw Connect (Thomson Reuters
Foundation) partner.
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4. Floresta’s engagement in Acre, Brazil
The Brazilian State of Acre is developing the
world’s first Jurisdictional REDD Programme as
part of the Verified Carbon Standard’s Jurisdictional
and Nested REDD Initiative.
Floresta is responsible for implementing a
Reforestation Sub-programme (RSp) under Acre’s
Jurisdictional Programme.
The RSp has been designed with the State to
address poverty reduction goals, facilitate green
economic growth, increase forest cover and
conserve Acre’s natural forest ecosystems.
Floresta will be allocated Verified Caron Units
(VCUs) for implementing the RSp. The sale of
these VCUs will help finance our activities in Acre,
including green industry start-up costs (e.g. farmer-
owned, renewable energy and timber plantations).
The RSp is expected to create between 25,000 and
30,000 permanent green jobs.
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5. Floresta’s history in Aceh
Floresta’s CEO met Aceh’s previous
Governor at the Bali Climate Conference and
was asked to support the Province’s plan for
green growth and sustainable conservation
of the Leuser Ecosystem.
An MoU was signed with provincial
authorities and a formal partnership initiated
with BPKEL in 2010.
Feasibility study completed in 2011.
Substantial financial support for conservation
of the Leuser Ecosystem provided by
Floresta in 2010, 2011 and 2012.
Draft Sustainable Development and
Conservation Programme (SDCP) document
completed in 2012.

6. Overview of SDCP
The SDCP aims to improve the lives of
Aceh’s people by building a vibrant green
economy that conserves the integrity,
hydrological functions, and long-term
productivity of the Province’s natural
forests, especially in and around the
Leuser Ecosystem.
The SDCP is government-led but
implemented by a consortium of public
institutions, private-sector companies and
civil society organisations.
The SDCP was initially designed to build upon and strengthen linkages between the Green Economic Development and Investment
Strategy for Aceh, Indonesia (“Aceh Green”) and the 2009-2014 Management Plan for the Leuser Ecosystem.
The underlying objectives of Aceh Green (i.e. green economic growth) and the Leuser Management Plan (i.e. the conservation and
sustainable use of forest ecosystem goods and services) remain crucial to improving people’s lives, even if Aceh’s policy
environment has moved on.

7. Major programme components
Protecting and restoring Aceh’s forest and
peat swamp ecosystems.
Strengthening natural resource
management institutions, structures and
processes.
Creating socially and environmentally
sustainable forest-product supply chains.
Improving the productivity and profitability
of smallholder farming.

8. Planned investments in green economic growth &
sustainable supply chains for forest products
Restart Kertas Kraft Aceh.
Rehabilitate 46,800 ha of Tusam Hutani
Lestari pine plantations to supply KKA.
Establish 12,000 ha community-owned pine
plantations to supply KKA.
Rehabilitate at least 35,000 ha of the PT
Acehnusa Indrapuri plantations for sawn
wood, pellet and cellulosic ethanol.
Develop up to 20,000 ha of community-owned
plantations to make Aceh’s local saw milling
industry sustainable.
Develop up to 7,500 ha of community-owned
plantations and mills for veneer export.
Build at least two 10 MW biomass power
plants and establish 8,000+ ha of community-
owned biomass plantations.

9. Geographic spread
of major investments

10. Planned investments in sustainable farming
Improve the productivity & profitability of
agricultural livelihoods.
Provide vocational and small-business
training.
Support community-based small
businesses.
On-farm investments are designed to improve the productivity and profitability of family farms. This is primarily about doing
conventional activities better (in terms of higher yields, more predictable profits and greater environmental sustainability) so that
people aren’t forced to cut forests in order to make a decent living. However, in some cases, on-farm investments will be about
restoring household income levels after reducing access to fragile forest ecosystems.