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Our Publications

Brown Brothers Energy and Environment seeks to minimize environmental damage and maximize
environmental benefits in the fight to decarbonize the global economy. This has led us into three
primary avenues of work.

Protecting old growth forests, or growing new forests

Adding value to sustainable forestry operations. It is difficult for

environmentally sustainable forestry operations to be financially sustainable.

In the tropics, for example, clear cutting/burning to make way for industrial

oil palm plantations is tempting. See areas colored red in map of Indonesian Borneo.

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Consulting to The Nature Conservancy Indonesia, we found a new revenue sources

for financially-distressed sustainable natural forestry concessions in Borneo’s

Mahakam River Basin.  We investigated using logging waste to make wood pellets

that could be used in place of coal in power plants, thereby doubling the profit of

forestry companies that supply the waste wood.  Our work was done in two phases. 

First, we performed a detailed investigation of the full value chain of costs and

revenues for natural forest timber concessions together with an investigation of

specific river basins and concessions where use of waste wood would change

sustainable forestry economics:

“Study of sustainable forestry in Indonesia and blueprints for improving profitability.”

 

Second, we performed due diligence and a pre-feasibility study on an existing

manufacturing facility that could be re-purposed for wood pellet manufacture: “Mahakam River Forest Biomass Processing Facility Feasibility Study.” Our investigations revealed that so doing is financially feasible, but that Indonesian regulations for proper documentation of waste wood removed from in-forest operations need to be changed.  

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Supporting reforestation in the tropics by forest communities.  Hidden in plain sight, forest farmers in Indonesia contribute as much to the nation’s economic growth as the nation’s industrial timber sector, on only one-sixth of the land area.  With the UK Department for International Development’s Multi-Stakeholder Forestry Program 1, we co-authored, “Welfare Gains of Returning Forest Areas to Community Management.”

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Quantifying the deforestation impact of globally traded commodities.

- We performed a “Forest Futures Analysis” which looked at how three different scenarios (‘business as usual,’ ‘plantations only,’ and ‘balanced restructuring’) would impact upon Indonesia’s long term forest sustainability over a quarter century.  Work resulted from collaboration between the UK Department for International Development’s Multi-Stakeholder Forestry Program 1 and the USAID’s Forest Management Program 2.  See “Timber Industry Revitalization in Indonesia in the First Quarter of the 21st Century.”  

- We undertook a deep dive into the supply chains of each of Indonesia’s pulp and paper, plywood, and sawn timber manufacturing groups, and quantified the percentage of uncertain-origin (possibly illegal) and unsustainable timber consumed by each group, as well as each sector.  See the UK Department for International Development’s Multi-Stakeholder Forestry Program 1 publication, “From Darkness into Light:  The Consumption of Timber of Uncertain Origin by Indonesia’s Forest Products Primary Processing Sector.”

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 Combatting illegal logging.

- With WWF Indonesia, we led a field investigation that showed that a major pulp and paper company was logging in a protected forest, and had high amounts of uncertain-origin or unsustainable natural forest timber in its supply chain.  See “Legality of Timber Consumed by Asia Pulp and Paper’s Mills in Indonesia: January – October 2003”

- We led a World Bank Indonesia field investigation that showed that a company called Duta Maju Timber was illegally logging inside of Kerinci Seblat National Park.  See “Kerinci-Seblat Integrated Conservation and Development Project:  Field team report on PT. Duta Maju Timber.” Kerinci Seblat, according to the Indonesian Ministry of Environment and Forestry’s "State of Indonesia Forests 2020," is only one of two landscapes on the face of the earth where Sumatran Tigers “are viable and will be extant in the next 100 years.”  B2E2 served as the English language editor for the first two editions of this publication.

- B2E2’s influence is measured not only by its publications, but also by those who use the information that B2E2 generates. To give an example, one out of six of the 218 endnotes in the report Partners in Crime: A Greenpeace Investigation of the Links Between the UK and Indonesia’s Timber Barons cites publications by David Brown.

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Combatting transfer pricing, and promoting better due diligence practices by banks which lend to timber companies.

- One of the principals of B2E2 works as a UN Development Program (UNDP)-financed advisor to the Internal Revenue Commission (IRC) of Papua New Guinea (PNG), under the auspices of the Organization for Economic Cooperation and Development (OECD) Tax Inspectors Without Borders (TIWB) program. In this clip from PNG’s TV One, see the Deputy Prime Minister of PNG introduce David’s team to reporters.

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- During the Asian Financial Crisis, we quantified the non-performing loans of Indonesian timber and plantation companies, and published our results in a chapter in a Center for International Forestry Research (CIFOR) book entitled, "Corporate Debt and the Indonesian Forestry Sector."

- We published an investment advisory with the global investment bank of Dresdner Kleinwort Benson, explaining the risks in investing in a publicly-listed Indonesian plywood company. See “Pulp Faction:  Barito Pacific Timber.”

Working on technologies and policies to reduce industrial, electric, and deforestation-linked Greenhouse Gas Emissions

Building transparency, and exploring the link between political corruption, the destruction of the environment and the endangerment of human rights

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Reporting on control of natural and extractive resource companies by Politically Exposed Persons:

 

Deconstructing the alleged benefits of environmentally-damaging infrastructure projects:

- B2E2 published a report showing that a dam proposed on the Indonesian island of Sumatra was unnecessary from an electricity supply point of view, and would not have meaningfully reduced GHG emissions in the local power sector.

- If built, the dam would have trifurcated the remaining habitat of, and killed about 10 percent of the world’s remaining population of, 767 Tapanuli orangutan. Partly due to B2E2’s research, the dam has now been delayed three years. https://news.mongabay.com/2020/07/batang-toru-hydropower-dam-tapanuli-orangutan-delay-nshe/

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Caption:  The Tapanli orangutan is the world’s most newly-discovered and most-highly-endangered species of Great Ape. Click through to http://www.mightyearth.org/wp-content/uploads/Batang_Toru_Analysis_English-final.pdf

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Identifying assets owned by government officials who commit human rights abuses: 

- We assisted the UN Office of the High Commissioner on Human Rights’ Independent Investigative Fact-Finding Mission on Myanmar in assembling and publishing the most complete list of the economic interests of the Burmese military every compiled in a single place  https://www.ohchr.org/Documents/HRBodies/HRCouncil/FFM-Myanmar/EconomicInterestsMyanmarMilitary/A_HRC_42_CRP_3.pdf )  

- B2E2 recently spoke out on the efficacy of freezing the assets of government actors who commit human rights abuses (https://www.justicerapidresponse.org/the-potential-of-financial-investigation-remains-largely-untapped/ 

 

Transparency mechanisms to prevent corruption, environmental destruction, and build public trust:

- While under a joint secondment to the UK Department for International Development and the World Bank, we guided Indonesia through all phases of the Extractive Industries Transparency Initiative (EITI), the global standard on transparency for extractive industry revenues.  Under the Initiative, oil, gas and mining firms report revenues conveyed to government, while the government reports all revenues received from those companies.  The discrepancies between the two sets of figures are published.  See “Understanding EITI Indonesia’s First Report.”

- With the World Resources Institute, we published a policy brief on how to use spatial and other information in the public domain to identify Indonesian timber concessions, timber plantations, and oil palm companies engaging in illegal logging.  See “Bridging the Information Gap:  A Matrix for Combating Illegal Logging in Indonesia.”

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Capturing carbon dioxide (CO2) from industrial and power plants and injecting the CO2 into the sub-surface.

- Consulted to the Great Plains Institute, providing techno-economic and financial support for three major studies released by an 18 State Working Group of the Carbon Capture Coalition and downloadable at https://www.betterenergy.org/our-work/carbon-management/

 

- Headed the “Integrative Economics Team” for the recent national study of potential for U.S. carbon capture and sequestration executed by the National Petroleum Council for the U.S. Secretary of Energy.  Our Topic Paper, “Supply and Demand Analysis for Capture and Storage of Anthropogenic CO2 in the Central United States” can be accessed at https://dualchallenge.npc.org/downloads.php

 

-Collaborated with Columbia University’s Center for Global Energy Policy on “Capturing Investment: Policy Design to Finance CCUS Projects in the U.S. Power Sector.”  This paper outlined the efficacy of differing policies — for example based on tons of CO2 abated vs. MWh of low-carbon energy generated — for coal and natural gas power plants that would encourage abatement of CO2 from combustion.

https://www.energypolicy.columbia.edu/research/report/capturing-investment-policy-design-finance-ccus-projects-us-power-sector

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Provide strategies for reducing CO2 emissions from tropical deforestation, and for selling the value of those verified emissions reductions in jurisdictional and voluntary carbon markets.

- With the Asian Development Bank’s Forest Investment Program 1, distilled for the provincial government of West Kalimantan (in Indonesian Borneo) lessons learned from efforts by the World Bank-administered Forest Carbon Partnership Facility to create an USD 100 million jurisdictional carbon market for Reduced Emissions from Deforestation and Degradation (REDD+) in East Kalimantan province.  See “Toward Jurisdictional REDD+ Benefit Sharing in West Kalimantan, Indonesia.”

- With Environmental Resources Management and the Zoological Society of London, co-authoring a proposal for a REDD+ project in Indonesia’s Berbak National Park.  See “Avoided Deforestation and Biodiversity Conservation:  The Berbak Carbon Value Initiative.”  

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