Graft threatens Indonesia's carbon offset billions'

REDD allows polluters to earn tradeable carbon credits by paying developing nations not to chop down their trees. However, a two-year study by the West Java-based Centre for International Forestry Research (CIFOR) warned that past and recent cases of corruption and financial mismanagement in Indonesia's forestry sector revealed systemic weaknesses that could scuttle REDD. "Investors should be looking very carefully at the financial governance conditions in the countries where they will be investing their funds. Like Indonesia, many tropical forest countries have long track records of mismanaging public financial resources, particularly in the forestry sector," said the report's co-author, Christopher Barr.



The story also appeared in The Star (Malaysia), Mother Nature Networks (USA), Gulf Times (Qatar), Stabroek News (South Africa) and Jakarta Globe.