Strengthening Forest Conservation and the Welfare of Telaga Village Communities through Payment for Environmental Services (PES)

Telaga Village – On May 21, 2025, the Payment for Environmental Services (PES) funds were successfully distributed directly to the beneficiaries at the Village Hall of Telaga Village, Katingan, Central Kalimantan. These PES funds are compensation from Wilmar's RSPO RaCP scheme; the distribution was facilitated by Community Forest Ecosystem Services (CFES) through a program that has been running since 2022. The continued support underscores the long-term commitment of all parties to ensure forest conservation while improving the living standards of communities living around the forest. This fund distribution follows the 2025 Cooperation Agreement (SPK) between CFES and the Village Forest Management Institution (LPHD) Telaga, which aims to distribute PES funds to the beneficiaries based on the agreed proportions.

The event was officially opened by representatives of the village government: Randi (Village Treasurer), Didi (BPD Member), and Ahmad Yani (Chair of LPHD Telaga). In their remarks, they emphasized that the partnership program between CFES and LPHD Telaga, through the PES funds, reflects Telaga Village's commitment to forest and environmental conservation. They also expressed hope that this program would help improve the socio-economic quality of the people of Telaga Village.

Ahmad Yani, Chair of LPHD, explained that the distribution of PES funds through the partnership with CFES is a tangible step in sustainable forest management. The main focus of this program is not only on the village forest but also on improving the overall socio-economic welfare of the Telaga Village community. This is realized through the village forest protection program, development of local enterprises (KUPS), and planned activities that prioritize community interests. Therefore, he called on all parties to work together to utilize the PES funds for the advancement of the Telaga Village community.

Meanwhile, Randi, a representative of the Village Government, also explained that the PES program is a collaboration that prioritizes the active participation of all stakeholders for the benefit of village life, especially those involved in forest protection and local business development.

"Specifically for the 5 beneficiary groups of PES funds, it is hoped that these funds will be used wisely according to needs and as solutions to existing problems," he said.
The Village Government also encouraged the beneficiaries to continue collaborating and coordinating in managing the program supported by the PES funds for mutual benefit.

The fund distribution process was not only limited to cash handover, but also included an interactive discussion facilitated by CFES field staff. This discussion covered governance and activity management mechanisms for beneficiaries, including activity and financial reporting systems. This step was taken to strengthen the beneficiaries’ understanding of PES fund management guidelines, with the hope of creating collective, systematic, transparent, and accountable activities.

The PES fund distribution was carried out directly by LPHD Telaga to each representative of the beneficiary groups in cash. The entire process was documented in the form of minutes and PES fund receipt evidence. The event was attended by 21 participants, including representatives of LPHD Telaga, the Village Government, BPD, customary institutions, youth organizations (Karang Taruna), women’s groups (PKK), and the KUPS TOGA Barigas and KUPS Amplang business groups.

This success reaffirms the strong commitment between CFES and LPHD Telaga, as well as the active participation of all stakeholders, in achieving sustainable forest management while improving the socio-economic quality of the Telaga Village community in a transparent and accountable manner. This program is expected to serve as an effective model of collaboration for future environmental conservation and the well-being of local communities.