Local Government Forestry Expenditure and Forest Land Cover: A Preliminary Lesson from Decentralized Indonesia

Firda Hidayati, Yogi Vidyattama, Cameron Gordon


Even though government of Indonesia invests billions of rupiah to tackle deforestation, its effectiveness has been questionable. This study analyses changes in rates of forest cover in Indonesia and their association with forestry expenditures (FE) spent by the provincial governments. Based on 2007 to 2010 data, linear multiple regression results indicate that FE is not enough to tackle the negative change in forest land cover that could represent deforestation. Moreover, it was found that FE have negative association with forest land cover and therefore, can be associated to deforestation. This negative association remains when other factors that affect forest land cover such as wood extraction, agriculture outcome, forestry outcome, population growth and population density and initial environmental conditions have been controlled.

Walaupun pemerintah Indonesia telah menginvestasikan trilyunan rupiah untuk mengurangi deforestasi, akan tetapi efektifitasnya dipertanyakan. Penelitian ini menganalisa tingkat perubahan luasan tutupan hutan di Indonesia and asosiasinya dengan Pengeluaran Sektor Kehutanan (PSK) yang dibelanjakan oleh pemerintah provinsi. Berdasar data tahun 2007 sampai 2010, hasil regresi multiple linier mengindikasikan bahwa PSK tidak cukup untuk mengurangi akibat negatif dalam perubahan hutan dan lahan yang dapat mngakibatkan deforestasi. Lebih lanjut, ditemukan bahwa PSK berhubungan erat pengurangan luasan hutan, yang dapat dikaitkan dengan deforestasi. Asososiasi yang negatif ini tetap terjadi walaupun faktor lain yang memengaruhi tutupan hutan seperti penebangan kayu, hasil pertanian, hasil kehutanan, pertumbuhan populasi dan kepadatan populasi dan kondisi awal lingkungan telah dikontrol.

Kata kunci: Deforestasi, Hutan Tropis; Populasi Penduduk; Tutupan Hutan; Pengeluaran untuk Reboisasi Hutan

JEL classifications: E62; Q58; H76


Deforestation; Tropical Forest; Population; Forest Cover; Reforestation Expenditure

Full Text:



Abate, RS & Wright, TA 2010, ’A Green Solution to Climate Change: The Hybrid Approach to Crediting Reductions in Tropical Deforestation’, Duke Envtl. L. & Pol’y F., vol. 20, pp. 87–124.

Abdullah, SA & Nakagoshi, N 2008, ’Changes in agricultural landscape pattern and its spatial relationship with forestland in the State of Selangor, peninsular Malaysia’, Landscape and Urban Planning, vol. 87, no. 2, pp. 147–155. doi: https://doi.org/10.1016/j.landurbplan.2008.05.008.

Agrawal, A & Ribot, J 1999, ’Accountability in Decentralization: A Framework with South Asian and West African Cases’, The Journal of Developing Areas, vol. 33, no. 4, pp. 473–502.

Allen, JC & Barnes, DF 1985, ’The causes of deforestation in developing countries’, Annals of the Association of American Geographers, vol. 75, no. 2, pp. 163–184. doi: 10.1111/j.1467-8306.1985.tb00079.x.

Alston, LJ, Libecap, GD, & Mueller, B 2000, ’Land reform policies, the sources of violent conflict, and implications for deforestation in the Brazilian Amazon’, Journal of Environmental Economics and Management, vol. 39, no. 2, pp. 162–188. doi: https://doi.org/10.1006/jeem.1999.1103.

Angelsen, A & Kaimowitz, D 1999, ’Rethinking the causes of deforestation: lessons from economic models’, The World Bank Research Observer, vol. 14, no. 1, pp. 73–98. doi: https://doi.org/10.1093/wbro/14.1.73.

Barbier, EB 1997, ’The economic determinants of land degradation in developing countries’, Philosophical Transactions of the Royal Society of London B: Biological Sciences, vol. 352, no. 1356, pp. 891–899. doi: 10.1098/rstb.1997.0068.

Barr, C, Dermawan, A, Purnomo, H, & Komarudin, H 2010, ’Financial governance and Indonesia’s Reforestation Fund during the Soeharto and post-Soeharto periods, 1989-2009: A political economic analysis of lessons for REDD+’, CIFOR Occasional Paper no. 52, CIFOR, Bogor, doi: 10.17528/cifor/00288, viewed 12 July 2011, http://www.cifor.org/online-library/browse/view-publication/publication/2886.html.

Benhin, JKA 2006, ’Agriculture and deforestation in the tropics: a critical theoretical and empirical review’, AMBIO: A Journal of the Human Environment, vol. 35, no. 1, pp. 9–16. doi: https://doi.org/10.1579/0044-7447-35.1.9.

Betts, R, Sanderson, M, & Woodward, S 2008, ’Effects of large-scale Amazon forest degradation on climate and air quality through fluxes of carbon dioxide, water, energy, mineral dust and isoprene’, Philosophical Transactions of the Royal Society of London B: Biological Sciences, vol. 363, no. 1498, pp. 1873–1880. doi: 10.1098/rstb.2007.0027.

Boserup, E 1965, The condition of agricultural growth: The economics of agrarian change under population pressure, Allan and Urwin, London.

Bowen, RE & Riley, C 2003, ’Socio-economic indicators and integrated coastal management’, Ocean & Coastal Management, vol. 46, no. 3–4, pp. 299–312. doi: https://doi.org/10.1016/S0964-5691(03)00008-5.

Brown, K & Pearce, DW (eds.) 1994, The causes of tropical deforestation: the economic and statistical analysis of factors giving rise to the loss of the tropical forests, UBC Press.

Burgess, R, Hansen, M, Olken, BA, Potapov, P, & Sieber, S 2012, ’The political economy of deforestation in the tropics’, The Quarterly Journal of Economics, vol. 127, no. 4, pp. 1707–1754. doi: https://doi.org/10.1093/qje/qjs034.

Burns, TJ, Kick, EL, Murray, DA, & Murray, DA 1994, ’Demography, development and deforestation in a worldsystem perspective’, International Journal of Comparative Sociology, vol. 35, no. 3, pp. 221–239. doi: 10.1163/002071594X00255.

Carr, D 2009, ’Population and deforestation: why rural migration matters’, Progress in Human Geography, vol. 33, no. 3, pp. 355–378. doi: https://doi.org/10.1177/0309132508096031.

Carr, DL 2004, ’Proximate population factors and deforestation in tropical agricultural frontiers’, Population and Environment, vol. 25, no. 6, pp. 585–612. doi: https://doi.org/10.1023/B:POEN.0000039066.05666.8d.

Carr, DL, Suter, L, & Barbieri, A 2005, ’Population dynamics and tropical deforestation: State of the debate and conceptual challenges’, Population and Environment, vol. 27, no. 1, pp. 89–113. doi: https://doi.org/10.1007/s11111-005-0014-x.

Carreño, L, Frank, FC, & Viglizzo, EF 2012, ’Tradeoffs between economic and ecosystem services in Argentina during 50 years of land-use change’, Agriculture, Ecosystems & Environment, vol. 154, no. 1, pp. 68–77. doi: https://doi.org/10.1016/j.agee.2011.05.019.

Chomitz, KM & Gray, DA 1996, ’Roads, land use, and deforestation: a spatial model applied to Belize’, The World Bank Economic Review, vol. 10, no. 3, pp. 487–512. doi: https://doi.org/10.1093/wber/10.3.487.

Cole, M 2005, ’Re-examining the pollution-income relationship: a random coefficients approach’, Economics Bulletin, vol. 14, no. 1, pp. 1–7.

Culas, RJ 2007, ’Deforestation and the environmental Kuznets curve: An institutional perspective’, Ecological Economics, vol. 61, no. 2–3, pp. 429–437. doi: https://doi.org/10.1016/j.ecolecon.2006.03.014.

Deacon, RT 1994, ’Deforestation and the rule of law in a cross-section of countries’, Land Economics, vol. 70, no. 4, pp. 414–430. doi: 10.2307/3146638.

Deacon, RT 1995, ’Assessing the relationship between government policy and deforestation’, Journal of Environmental Economics and Management, vol. 28, no. 1, pp. 1–18. doi: https://doi.org/10.1006/jeem.1995.1001.

Deacon, RT & Mueller, B 2006, ’Political economy and natural resource use’, in R López & MA Toman (eds.), Economic development and environmental sustainability: new policy options, pp. 122–153, Oxford University Press.

DeFries, RS, Rudel, T, Uriarte, M, & Hansen, M 2010, ’Deforestation driven by urban population growth and agricultural trade in the twenty-first century’, Nature Geoscience, vol. 3, no. 3, pp.178–181. doi: doi:http://dx.doi.org/10.1038/ngeo756.

Ehrhardt-Martinez, K 1998, ’Social determinants of deforestation in developing countries: a cross-national study’, Social Forces, vol. 77, no. 2, pp. 567–586. doi: https://doi.org/10.1093/sf/77.2.567.

Etter, A, McAlpine, C, Wilson, K, Phinn, S, & Possingham, H 2006, ’Regional patterns of agricultural land use and deforestation in Colombia’, Agriculture, Ecosystems & Environment, vol. 114, no. 2, pp. 369–386. doi: https://doi.org/10.1016/j.agee.2005.11.013.

Fargione, JE, Plevin, RJ, & Hill, JD 2010, ’The ecological impact of biofuels’, Annual Review of Ecology, Evolution, and Systematics, vol. 41, pp. 351–377. doi: https://doi.org/10.1146/annurev-ecolsys-102209-144720.

Fearnside, PM 2005, ’Deforestation in Brazilian Amazonia: history, rates, and consequences’, Conservation Biology, vol. 19, no. 3, pp. 680–688. doi: 10.1111/j.1523-1739.2005.00697.x.

Fearnside, PM 2008, ’The roles and movements of actors in the deforestation of Brazilian Amazonia’, Ecology and Society, vol. 13, no. 1, 23 p.

Ferraro, PJ & Pattanayak, SK 2006, ’Money for nothing? A call for empirical evaluation of biodiversity conservation investments’, PLoS Biology, vol. 4, no. 4, e105, pp. 0482–0488. doi: https://doi.org/10.1371/journal.pbio.0040105.

Garcia, RA, Soares-Filho, BS, & Sawyer, DO 2007, ’Socioeconomic dimensions, migration, and deforestation: An integrated model of territorial organization for the Brazilian Amazon’, Ecological Indicators, vol. 7, no. 3, pp. 719–730. doi: https://doi.org/10.1016/j.ecolind.2006.08.003.

Geist, HJ & Lambin, EF 2002, ’Proximate causes and underlying driving forces of tropical deforestation’, BioScience, vol. 52, no. 2, pp. 143 -150. doi: https://doi.org/10.1641/0006-3568(2002)052[0143:PCAUDF]2.0.CO;2.

Grau, HR, Gasparri, NI, & Aide, TM 2005, ’Agriculture expansion and deforestation in seasonally dry forests of north-west Argentina’, Environmental Conservation, vol. 32, no. 2, pp. 140–148. doi: https://doi.org/10.1017/S0376892905002092.

Grau, HR, Gasparri, NI, & Aide, TM 2008, ’Balancing food production and nature conservation in the Neotropical dry forests of northern Argentina’, Global Change Biology, vol. 14, no. 5, pp. 985–997. doi: 10.1111/j.1365-2486.2008.01554.x.

Islam, KR & Weil, RR 2000, ’Land use effects on soil quality in a tropical forest ecosystem of Bangladesh’, Agriculture, Ecosystems & Environment, vol. 79, no. 1, pp. 9–16. doi: https://doi.org/10.1016/S0167-8809(99)00145-0.

Islam, KR, Ahmed, MR, Bhuiyan, MK, & Badruddin, A 2001, ’Deforestation effects on vegetative regeneration and soil quality in tropical semi-evergreen degraded and protected forests of Bangladesh’, Land Degradation & Development, vol. 12, no. 1, pp. 45–56. doi: 10.1002/ldr.418.

Jorgenson, AK 2006, ’Unequal Ecological Exchange and Environmental Degradation: A Theoretical Proposition and Crossâ˘ARˇ national Study of Deforestation, 1990–2000’, Rural Sociology, vol. 71, no. 4, pp. 685–712. doi: 10.1526/003601106781262016.

Kaimowitz, D, Mendez, P, Puntodewo, A, & Vanclay, JK 2002, ’Spatial Regression Analysis of Deforestation in Santa Cruz, Bolivia’, in CH Wood & R Porro (eds.), Land Use and Deforestation in the Amazon, pp. 41–65, University of Florida Press.

Kobayashi, S 2001, ’Landscape rehabilitation of degraded tropical forest ecosystems: case study of CIFOR/Japan Project in Indonesia and Peru’, Proceedings of International Seminar on Restoration Research of Degraded Forest Ecosystems, College of Agriculture and Life Sciences, Seoul, Korea, April 13rd-15th 2001, pp. 11–23, Seoul National University, College of Agriculture and Life Sciences, viewed 12 September 2013, https://www.cifor.org/library/837/landscape-rehabilitationof-degraded-tropical-forest-ecosystems-case-study-ofciforjapan-project-in-indonesia-and-peru/?pub=837.

Kobayashi, S 2004, ’Landscape rehabilitation of degraded tropical forest ecosystems: case study of the CIFOR/Japan project in Indonesia and Peru’, Forest Ecology and Management, vol. 201, no. 1, pp. 13–22. doi: https://doi.org/10.1016/j.foreco.2004.06.009.

Laurance, WF, Albernaz, AK, Schroth, G, Fearnside, PM, Bergen, S, Venticinque, EM, & Da Costa, C 2002, ’Predictors of deforestation in the Brazilian Amazon’, Journal of Biogeography, vol. 29, no. 5–6, pp. 737–748. doi: 10.1046/j.1365-2699.2002.00721.x.

Meyfroidt, P & Lambin, EF 2009, ’Forest transition in Vietnam and displacement of deforestation abroad’, Proceedings of the National Academy of Sciences, vol. 106, no. 38, pp. 16139–16144. doi: 10.1073/pnas.0904942106.

Ministry of Forestry 2003, Rekalkulasi Penutupan Lahan Indonesia 2003.

Morton, DC, DeFries, RS, Shimabukuro, YE, Anderson, LO, Arai, E, del Bon Espirito-Santo, F, Freitas, R, & Morisette, J 2006, ’Cropland expansion changes deforestation dynamics in the southern Brazilian Amazon’, Proceedings of the National Academy of Sciences, vol. 103, no. 39, pp. 14637–14641. doi: 10.1073/pnas.0606377103.

Nawir, AA, Murniati, & Rumboko, L (eds.) 2008, Rehabilitasi hutan di Indonesia: akan kemanakah arahnya setelah lebih dari tiga dasawarsa?, Center for International Forestry Research (CIFOR).

Nepstad, D, Carvalho, G, Barros, AC, Alencar, A, Capobianco, JP, Bishop, J, Moutinho, P, Lefebvre, P, Silva, UL, & Prins, E 2001, ’Road paving, fire regime feedbacks, and the future of Amazon forests’, Forest Ecology and Management, vol. 154, no. 3, pp. 395–407. doi: https://doi.org/10.1016/S0378-1127(01)00511-4.

Nepstad, D, Soares-Filho, BS, Merry, F, Lima, A, Moutinho, P, Carter, J, Bowman, M, Cattaneo, A, Rodrigues, H, Schwartzman, S, McGrath, DG, Stickler, CM, Lubowski, R, Piris-Cabezas, P, Rivero, S, Alencar, A, Almeida, O, & Stella, O 2009, ’The end of deforestation in the Brazilian Amazon’, Science, vol. 326, no. 5958, pp. 1350–1351. doi: 10.1126/science.1182108.

Nogueira, EM, Fearnside, PM, Nelson, BW, & França, MB 2007, ’Wood density in forests of Brazil’s ’arc of deforestation’: Implications for biomass and flux of carbon from land-use change in Amazonia’, Forest Ecology and Management, vol. 248, no. 3, pp. 119–135. doi: https://doi.org/10.1016/j.foreco.2007.04.047.

Pallant, J 2007, SPSS Survival Manual: a step by step guide to data analysis using SPSS, [3rd ed.], Allen & Unwin, Australia.

Palmer, C 2001, ’The extent and causes of illegal logging: an analysis of a major cause of tropical deforestation in Indonesia’, CSERGE Working Paper, Centre for Social and Economic Research on the Global Environment, University College London, and University of East Anglia.

Pfaff, ASP 1999, ’What drives deforestation in the Brazilian Amazon?: evidence from satellite and socioeconomic data’, Journal of Environmental Economics and Management, vol. 37, no. 1, pp. 26–43. doi: https://doi.org/10.1006/jeem.1998.1056.

Putz, FE, Blate, GM, Redford, KH, Fimbel, R, & Robinson, J 2001, ’Tropical forest management and conservation of biodiversity: an overview’, Conservation Biology, vol. 15, no. 1, pp. 7–20.

Reid, J & De Sousa, WC 2005, ’Infrastructure and conservation policy in Brazil’, Conservation Biology, vol. 19, no. 3, pp. 740–746. doi: 10.1111/j.1523-1739.2005.00699.x.

Rieley, JO, Wüst, RAJ, Jauhiainen, J, Page, SE, Wösten, JHM, Hooijer, A, Siegert, E, Limin, SH, Vasander, H, & Stahlhut, M 2008, ’Tropical peatlands: carbon stores, carbon gas emissions and contribution to climate change processes’, in M Stark (ed.), Peatlands and Climate Change, pp. 148–181. International Peat Society, Finland.

Rudel, T & Roper, J 1997, ’The paths to rain forest destruction: crossnational patterns of tropical deforestation, 1975–1990’, World Development, vol. 25, no. 1, pp. 53–65. doi: https://doi.org/10.1016/S0305-750X(96)00086-1.

Rudel, TK, Coomes, OT, Moran, E, Achard, F, Angelsen, A, Xu, J, & Lambin, E 2005, ’Forest transitions: towards a global understanding of land use change’, Global Environmental Change, vol. 15, no. 1, pp. 23–31. doi: https://doi.org/10.1016/j.gloenvcha.2004.11.001.

Scrieciu, SS 2007, ’Can economic causes of tropical deforestation be identified at a global level?’, Ecological Economics, vol. 62, no. 3–4, pp. 603–612. doi: https://doi.org/10.1016/j.ecolecon.2006.07.028.

Shandra, JM 2007, ’The world polity and deforestation: a quantitative, cross-national analysis’, International Journal of Comparative Sociology, vol. 48, no. 1, pp. 5–27. doi: 10.1177/0020715207072157.

Suhardi, EF & Handojo, HN, 2007. Rehabilitation of Degraded Forests in Indonesia. in DK Lee (ed), Keep Asia Green, Volume 1: Southeast Asia, pp. 27–56, IUFRO World Series Vol. 20-I, International Union of Forest Research Organizations (IUFRO), Vienna.

Swenson, JJ, Carter, CE, Domec, JC, & Delgado, CI 2011, ’Gold mining in the Peruvian Amazon: global prices, deforestation, and mercury imports’, PloS one, vol. 6, no. 4, p.e18875.

Vandermeer, J & Perfecto, I 2007, ]The agricultural matrix and a future paradigm for conservation’, Conservation Biology, vol. 21, no. 1, pp. 274–277. doi: 10.1111/j.1523-1739.2006.00582.x.

World Bank 2003, Decentralizing Indonesia : A Regional Public Expenditure Review Overview Report, World Bank, Washington, DC, viewed 13 April 2014, https://openknowledge.worldbank.org/handle/10986/14632.

Wright, SJ & Mullerâ˘ARˇ Landau, HC 2006, ’The future of tropical forest species’, Biotropica, vol. 38, no. 3, pp. 287–301. doi: 10.1111/j.1744-7429.2006.00154.x.


  • There are currently no refbacks.