Community climate funding has become a key pillar in Indonesia’s effort to reduce emissions from forestry and land use. In this context, Indonesia and Norway have strengthened their bilateral cooperation by launching the fourth phase of the Community Environmental Fund Service, widely known as the Small Grant Program.
Valued at Rp7 billion, the program supports the national FOLU Net Sink 2030 target by directly financing community-led climate action. Through this initiative, both countries aim to ensure that forest protection, emissions reduction, and social welfare progress together measurably and inclusively.
Strengthening the FOLU Net Sink 2030 Target
The FOLU Net Sink 2030 target plays a central role in Indonesia’s climate strategy. The government aims to ensure that emissions from forestry and other land use fall below absorption levels by the end of the decade. To achieve this, Indonesia prioritizes programs that combine forest conservation with sustainable land management.
The Small Grant Program supports this approach by funding practical activities at the community level. Moreover, the program aligns local initiatives with national climate goals, which helps translate policy commitments into real action across provinces.
During the launch, Minister of Forestry Raja Juli Antoni highlighted the continuity of the initiative. He said, “Today, together with Minister Asmund Aukrust, I am proud to launch the Community Environmental Fund Service, which has now entered its fourth phase.” This statement reflects the government’s commitment to maintaining momentum toward the FOLU Net Sink target.
Community Climate Funding Through Results-Based Support
Community climate funding under this program operates through a results-based contribution mechanism. Indonesia and Norway designed this system to link funding with verified outcomes, particularly in reducing deforestation and improving forest governance. The Ministry of Forestry distributes the funds through the Environmental Fund Management Agency, ensuring accountability and transparency.
Raja Juli Antoni emphasized the importance of this cooperation. He stated, “On behalf of the Government of Indonesia, we express our deepest gratitude to the Government of Norway for the excellent cooperation that has taken place through the Result-Based Contribution mechanism.” Through this model, Indonesia has strengthened trust with its international partner while ensuring that climate finance reaches effective local initiatives.
Over three previous phases, the results-based program has distributed Rp19.31 billion to 561 community groups. These funds have reached more than 31,500 beneficiaries across 36 provinces. As a result, the program has proven its ability to scale community-based climate action nationwide.
Empowering Local Groups and Forest Communities
The Small Grant Program focuses strongly on empowering forest communities and civil society groups. Beneficiaries include youth organizations, social forestry groups, and conservation activists. By placing communities at the center, the program encourages local ownership of climate solutions. Furthermore, this approach strengthens climate resilience by linking environmental protection with livelihoods.
Norway’s Minister Asmund Aukrust praised Indonesia’s inclusive strategy. He underlined the global nature of climate change, stating, “No single country can solve it alone. That is why partnerships such as the one between Norway and Indonesia are extremely important.” His remarks reinforce the idea that effective climate action depends on collaboration across borders and communities.
To date, Norway has contributed US$260 million in recognition of Indonesia’s success in reducing deforestation. According to Aukrust, the fourth phase of the Small Grant Program demonstrates that climate support must reach people who live closest to forests. He said, “We are very proud of the partnership and friendship we share with Indonesia. We come to listen, learn, and reaffirm that we are in this struggle together.”
Grant Themes Focus on Youth, Welfare, and Biodiversity
In the fourth phase, the program introduces three thematic options to guide proposals. First, FOLU Goes to School focuses on youth engagement and environmental education. Second, FOLU Terra aims to improve community welfare through environmentally based economic activities. Third, FOLU Biodiversity supports biodiversity conservation and ecosystem protection.
The application period runs from 12 to 19 February 2026. Authorities have simplified the registration process to improve access. Communities can submit proposals online through the official platform, which helps widen participation and improve efficiency.
Indonesia–Norway Climate Partnership Moves Forward
Overall, the fourth phase of the Small Grant Program marks another milestone in Indonesia–Norway climate cooperation. By combining community climate funding with results-based support, both countries strengthen progress toward the FOLU Net Sink 2030 target.
The initiative also confirms that long-term climate action works best when it empowers local communities. As Indonesia and Norway move forward together, the partnership continues to set a practical example of inclusive and accountable climate collaboration.
Source: hijau.bisnis.com
Image: ANTARA/Prisca Triferna