Yayasan Tambuhak Sinta

ANNUAL REPORT 2012

Chapter I
Introduction
This year marked a major turning point for YTS, as exploration activities opened up in both properties for the first time in over two years. The immediate impact was renewed financing for two projects the Kahayan Project and the Jelai Project. We were able to recruit very experienced personnel for Jelai and strengthen existing personnel in the Kahayan and get on with the new tasks right away. Otherwise, we continued in a similar vein in Bukit Batu and with the Artisanal and Small-Scale Mining Project, building on the prior trend of activities. This was the first full year for our new Governance Strengthening Project, which started up in November 2011. In 2012, we managed five major projects: a. Kahayan Project: This is our main, flagship project, and we were able to intensify existing activities and expand into two more communities. We ended up working in 21 villages spread fairly evenly in the three subdistricts of Damang Batu, Kahayan Hulu Utara and Miri Manasa. We maintained close communication with the subdistrict and district governments, and managed to link them more closely to the 21 communities. b. Jelai Project: Unfortunately, we just got up and in full stride in this project and then were forced to shut it down when the joint venture partner pulled out. Up til then, we had rejuvenated village institutions that had been in hibernation for two years and had three very active livelihood programs in each community, plus a small health program running in the community next to the exploration camp. c. Governance Strengthening Project in Gunung Mas: This project had a very successful year, largely due to the persistent efforts of our highly-experienced Project Coordinator. Initially, the district had been reluctant to engage because of bad press about KSK that some officials were influenced by. But after that hurdle, things ran very well and a lot was achieved. d. Bukit Batu Project: We continued our focus on micro-enterprise, using funding for a biochar project to engage local farmers in learning the related technologies and experimenting with crops to measure the most effective ingredients for enhanced crop growth. Worked continued with the Credit Union and a considerable amount of credit was loaned out over the year. e. Artisanal and Small-Scale Gold Mining Project: This project continued to make major ground in curtailing the release of highly toxic mercury into the environment, by intensifying and expanding the area of its awareness-raising and technology support. Other initiatives were undertaken in 2012, including hosting a seminar on Human-Centred Development, and making preparations for a conference on the same topic later in the year. We decide to move this event to the following year, as we needed more time to prepare. Our three support service divisions performed exceedingly well in 2012, coping amazingly well with the rapid increase in demands and workload. Our HRD & Training unit and our Information & Communication unit work together quite closely in supporting all our other activities. We started a series of intensive capacity-building programs for all our staff, as well as for our partners in villages and in government. Our training unit is working fulltime in supporting all project staff and partners.

We continue to document all of our activities through writing, interviews and photos. We occasionally use video as well. The information group worked hard on turning out our quarterly publication Kabar Itah and in starting to update and upgrade our website. We have been supporting PT Kalimantan Surya Kencana with monthly reporting, presentations and other media. Our Finance & Admin Officer has made great efforts to manage our burgeoning finances and prepare monthly reports to help us keep on top of our expenditures and budgets. He has also helped us through another office move the second in two years! Our overall expenditures for 2012 were $514,000 against revenues of $521,000. We spent a considerable amount on upgrading our staff and our facilities to meet the challenges from our expanded program and changing circumstances.

Chapter 2
Projects
2.1. Kahayan Project
Achievements
Governance and Institutional Capacity Building
Our new program Improving the Quality of Governance in Gunung Mas Regency is working to improve the delivery of the district governments annual planning and budgeting process as it relates to the allocation and disbursement of village funding. It is also pursuing a path of rights-based advocacy and stakeholder participation. In practice, this involves providing advice and individual mentoring for government officials; as well as conducting trainings and workshops, both for government staff as well as community representatives; in an effort to make the existing government processes more meaningful and effective. At the district-level, we provided Technical Assistance with Annual Planning to three agencies: Health, Education, and Planning & Budgeting. We also facilitated a Workshop on the Revitalization of the Village Allocation Fund. This important event involved many decision-makers in policy delivery, and led to implementation of a new district policy on this issue. In addition, quarterly monitoring events resulted in transfer of knowledge from the village cadres and village government to many other villagers in the broader target group. As a result, several government agencies have been willing to revise their annual planning based on our input. In addition, the Project Coordinator held meetings with the technical team and government agencies in Gunung Mas regarding the finalization of the Standard Model of the Village Development Plan as well as the criteria for the Village Profile. The results of these activities will be the basis for developing Annual Village Development Plans during the Musrenbang planning process in 2013. YTS program officers also coordinated with the sub-district government staff to keep them updated on the ongoing activities in villages. Program officers also worked closely with village government officials, constantly informing them of upcoming activities and progress. In January, YTS facilitated the village-level planning forum in eighteen villages (Musrenbang Desa). Strengthening village governance through support for the annual village development planning process (from village to subdistrict and district level) is an important step in our annual cycle. In 2012, the field staff assisted the process by facilitating the forums in each village. There was greater attendance than usual, and villagers were more enthusiastic, as YTS had informed them of the budgetary increases possible due to the governments adoption of our recommendation to adopt the Indicative Budgetary Ceiling Method. Another form of support provided to the village was the dissemination of basic information about the forms that are used to convey village data to higher levels of government.

In February, YTS coordinated further with Bappeda at the district level, and assisted the subdistrict heads to prepare for the subdistrict planning forum (Musrenbang Kecamatan). We also assisted village delegations to attend these events. As a result, participation rates were much higher than in previous years. In March, our focus was on capacity-building for the VMGs as well as conducting training in our six pilot villages in Participatory Planning & Budgeting, and Building Constituent Relations with the Legislative Body. By April, Livelihood Interest Groups (LIGs) had been formed in twenty villages across three sub-districts, and the program officers went on to provide technical training in four different livelihood programs. In 2012, there were 427 people enrolled in the fish program, 254 people in the vegetable program, 177 people in the rubber program, and 66 in the pig-rearing program. The Village Management Groups (VMGs) were responsible for notifying the community about the training schedules and for financial administration of the technical support activities, and they carried out these duties with the support of the YTS Program Officers. Revitalization of the VMGs was carried out early in the year in all villages; and three new Village Management Groups were elected during the course of the year, in the three villages that are new to our Kayahan program: Batu Tangkui, Hamputung, and Marikoi.

Technical Support
As usual, each of the training programs was conducted by local experts, using local Dayak language, and each training session was facilitated by YTS field staff. All training events were held in the village, and consisted of a theoretical session held indoors, followed by a practical session in the field. In line with the respective training curricula, technical handbooks were prepared for each level of training and these new learning materials were provided to Livelihood Interest Group (LIG) members at each training event. The Village Management Groups (VMGs) contracted local experts to provide training for each of these programs, and these experts went on to assist all of the respective LIG members to establish new fishponds, vegetable gardens, and rubber plantations according to best practices. Prior to all training activities, the YTS trainer, technical director, and our information and communications team, met with the local experts to finalize the upcoming curricula and to prepare technical handbooks and learning materials for each set of training. The local experts first made an initial visit to each community to examine the existing conditions in each village and to meet with the VMG and LIG members to scope out details of the support programs in each community. Initial training took place shortly after this. Initial visits by expert trainers took place in May, and training activities had commenced in eighteen villages by June. The technical experts provided training in four livelihood program areas: fish, vegetables, rubber, and pigs. Training in aquaculture took place in 14 villages; horticulture in 14 villages; rubber cultivation in 9 villages; and pigs in 4 villages. The training modules were designed by YTS, based on needs analysis with the villagers and inputs from the trainers. A total of 41 Livelihood Interest Groups were actively involved. The highest interest was in vegetables and fish, as these activities can show results in a relatively short time. The impact of these trainings was immediate, with many vegetable plots established and a large number of (tarpaulin) fish ponds constructed1. Interest in vegetable and fish training has been high and villagers have now started to use the new knowledge. In 2012, the aquaculture training focused on management of river cages; building on skills learned from last years program which focused on fish ponds. At the end of the training, thousands of fingerlings were delivered to the villages to stock the ponds. Program officers in Kahayan Hulu Utara also worked together with the government extension workers, to facilitate fish distribution from the Fishery Department to two villages in Kahayan Hulu Utara. This was a direct result of YTS having submitted village proposals to the government immediately after the communities received the aquaculture training last year. Our rubber program focused on the importance of hybrid rubber, and included the distribution of 1,100 hybrid rubber seedlings for two demonstration plots in Damang Batu as well as three villages in Miri Manasa.

In addition, the YTS program officers facilitated a basic training in financial management. This new program links villagers directly to financial services provided by a local Credit Union, to provide support for their businesses and livelihoods. In 2012, YTS supported the Credit Union to conduct a basic training course and membership drive in five villages in Damang Batu subdistrict. Membership of a financial organisation will enable the villagers to start saving and eventually have access to credit for basic needs or productive activities.

Environmental Protection (Mercury and Small-scale Mining)

The mercury program was quite active in Gunung Mas district in 2012, working in the major towns of Kuala Kurun, Tewah and Tumbang Miri as well as many smaller villages. In all, 87 gold shops were fitted with condenser systems, and 112 retorts were distributed to miners. We calculate the mercury recapture resulting from these interventions has now reached more than 1,000 kilograms per month, having an economic value of $200,000 per month. Although this is often the primary motivation for adoption of our equipment, the most significant benefits are surely for the health of the mercury users and the thousands of affected citizens living in the vicinity. Lastly, the environmental benefits of such a reduction of emissions should not be underestimated.

2.2. Jelai Project

In January 2012, YTS returned to working in the subdistrict of Sekatak in Bulungan District in East Kalimantan, primarily in the villages of Bunau, Terindak and Tenggiling. This coincided with the re-start of operations by PT. Jelai Cahaya Minerals. The program in 2012 was a continuation and development of the program undertaken from 2007 to 2009. Community support was not limited to implementing the village Musrenbang or livelihood programs alone. A health program was also given, especially to people in the Mewet area, because of the following considerations: 1). Health Department declared that the highest incidence of malnutrition occurred in the subdistrict of Sekatak, 2). The difficulty of access for transportation from Mewet to health centers in the subdistrict; and 3) Increasing number of mothers and young children living in Mewet, since the company has commenced operations.

Activities that have been implemented during the year 2012

Facilitate village Musrenbang and village preparation to follow in the subdistrict Musrenbang Coordination with the government or SKPD at district and subdistrict level Rejuvenation of Village Management Groups (VMG) in Bunau and Terindak Administration and financial training for VMGs Extension of a Livelihood Interest Group by Bulungan Department of Agriculture and the Department of Fisheries and Aquaculture Field visit to a successful fishpond farmer at Apung village in Tanjung Selor A comparative study visit to a successful rubber farmer in the subdistrict of Kelay, Berau District Two stages of fishpond training, two stages of rubber growing training, three stages of vegetable cultivation training for the Livelihood Interest Groups 6,060 catfish fingerlings have been distributed in Terindak, Bunau and Tenggiling villages for 48 members of a rubber growing group Vegetable cultivation groups in Terindak village have managed to benefit to the amount of Rp. 2,800,000 from August to November Vegetable cultivation groups in Bunau village have managed to benefit to the amount of Rp. 1,000,000 from September to November Besides working in the group vegetable garden, each member has developed a private vegetable garden in their backyards at home at home. Activities in vegetable gardens have reduced the time for making and drinking Tuak among vegetable cultivation members

 The vegetables planted are kangkung, mustard greens, spinach, cucumbers, long beans, bitter melon, tomatoes, sweet corn, eggplant, chillies, squash, gourds 10,200 natural rubber seedlings and 20 polybag-grafted type PB 260 rubber seedlings have been distributed to the 35 members of the rubber growing group in Bunau and Terindak Technical assistance has been given in the preparation of a LIG proposal to the Department of Agriculture and Fisheries and for informing the proposal to Bulungan Members of Parliament in the electoral district of Sekatak Posyandu was undertaken five times, following an examination of pregnant women and health education in Mewet; each included a minimum of 15-20 mothers and infants Training was given in creating healthy and nutritious foods for infants, in collaboration with the Sekatak district health center for Mewets Posyandu cadre There has been encouragement and facilitation of the health center to provide maximum services at Mewet, such as the provision of free Vitamin A for infants and providing additional free food: one box for every pregnant and lactating mother in the form of biscuits containing 10 vitamins and 7 minerals

Challenges faced in 2012

Activity Different approaches to community aid between Tiger and YTS Social community activity Challenge Tiger wanted instant results from the livelihood program and put their Comdev team in the same area with YTS, but with different approaches. The habit of drunkenness is widespread Customary activities are timeconsuming Solution Working after geographical separation. Tiger Comdev works solely in the Mewet community. Training is stopped in the face of drunkenness There should be a rule against drinking during training Livelihood activities reduce the habit of drinking Adjust the schedule with the community Changes in VMG numbers Some VMG members resigned due to an excessive personal workload Strengthening the capacity of the remaining members of VMG Mentoring and strengthening VMG institutional building, especially for the determination of LIG membership, VMG administration and financial training, the agreement between LIG and VMG and commitment to the program, identifying and contracting local experts Changes in LIG numbers Some members of LIG assume that training is not important Some members of LIG only expect aid Some members of LIG work at the JCM camp There are agreements between VMG and LIG to select members who are inactive in respect of the selective distribution of seeds, meaning only active members those and have set up a pond or provided land for planting rubber.

Vegetable Cultivation There are constraints on Program vegetable cultivation among those unaccustomed to using a hoe to make plots and are disgusted by the use of chicken manure Fishpond program Some of the fingerlings in the groups fishponds died

Improve the ability of local experts to train and regularly monitor the groups Create different plots treated and hoed with different fertilizer so that the group can observe the difference. There was discussion among members to reflect on the dead fingerlings in ponds Follow-up fish fingerlings were needed for the group members, which was proposed to the Department of Fisheries

Bringing technical services related to Extension of the Department of Agriculture No technical SKPD program (agriculture activities within the community and Fisheries agencies for the livelihood and fisheries) were interest group brought to the village Create and submit a proposal to the government agencies by presenting some of the activities that have been carried out in the village Health Program Mewet has no access to the Sekatak Health Center due to a transportation problem The company is often unable to provide a vehicle to travel from Mewet to Sekatak for YTS and the Health Center Communities often ask for medication at the camp Providing transportation for Sekatak Health Center to travel to Mewet Car rental from Mewet to Sekatak Bringing the Health Center more often to Mewet when a need is evident Health education for the Mewet community

VMG Membership Data

Village Terindak Bunau Tenggiling Mewet 3 4 2 4 Posyandu cadre Number of members February 2012 Male Female 2 1 Number of active member until November 2012 Male 1 2 Female 2 -

KKD membership numbers were reduced due to personal job obligations or, especially among female members, taking care of children.

Livelihood Membership Data

Livelihood Interest Group Vegetable Group Fishpond Group Ikan Village Number of members April June 2012 Female Bunau Terindak Bunau Terindak Tenggiling Rubber Group Bunau Terindak Tenggiling 25 17 5 27 25 34 Male 11 6 1 Number of members November 2012 Female 10 10 2 20 15 Male 3 3 -

The group has worked work with Tiger Comdev since June

Membership is based on representation of the head of a family because at any given time some men will work as woodcutters; but if the head of the family was unable to attend the group activity it was possible for him to be to be replaced by his wife or children. VMG selects the membership of the livelihood interest group, so that inactive members are removed and active members formed into a new group in November 2013.

2.3. Governance Strengthening Project

Achievements
Two significant policies were issued as a direct result of the program: the Sub-district Indicative Budget Ceiling Policy and the Revitalization of the Village Allocation Fund Policy. These two policies enable fiscal decentralization to the village, and led to a working visit to Kebumen Regency for on-the-spot discussions on fiscal decentralization measures, and a direct experience for senior district personnel. It also was decided to conduct quarterly monitoring using a participatory approach. All of these activities have been effective in achieving a better quality of engagement among project stakeholders and generating better outputs. The new sub-district budget ceiling policy encouraged the village government to conduct the annual Musrenbang and for villagers to participate more actively. The policy provided assurance to all stakeholders on how much money would be allocated at each level - village, sub-district and district. Nearly all proposals from the Musrenbang in six pilot villages that YTS works with in this program were accepted for funding by five line agencies in the district through the sub-district budget indicative ceiling. This was acknowledged as a significant success by everyone involved. The above achievements came about because of the following: i. Project management and external consultants were able to persuade the Gunung Mas government that implementing fiscal decentralization to villages was a strategic opportunity to achieve common goals ie, increased community participation in local governance and budgeting would generate better outcomes for the poor with respect to health, natural resources management and livelihoods. ii. Strong commitments from the Head of the Planning Board and the Head of the Community and Village Government Empowerment Department enabled quick implementation of the policy recommendations in cooperation with the project.

Participation Numbers in Annual Village Planning Event

Challenges and Difficulties

Challenges:
1. Geographical conditions in the Kahayan River create very expensive transportation costs for the project in traveling to and from facilitated villages. 2. Communication is an obstacle because of no telephone signal and difficult access for sending letters by courier or post office to facilitated villages. 3. Increasing the number of local champions, both in communities and in government. Due to points 1 & 2, we could not do intensive observation and facilitation to improve this.

Difficulties:
One significant factor affecting implementation and management of the program in the last year has been the difficulty to establish a fixed schedule for activities, because key personnel receive last minute instructions from higher ups to attend to other things. This creates inefficiencies, disruptions, and additional costs. An example was the third quarter monitoring and review event in which several key players from the government who understood the history of the project were unable to attend because of a last minute call. The result was a much lower quality level of exchange between participants. How to Overcome Challenges & Difficulties

To overcome challenges:
1. Provide more budget support from the Kahayan Project for village participants transport and mobilization; 2. Radio announcements and direct delivery by Kahayan field team; and 3. Intensifying support to current champions and keep looking in events held by this project

To overcome obstacles:
The new Head of Bappeda is more communicative than the previous one. So, we hope it will bring a good impact by having smoother communications between senior management in Gumas.

Results in Comparison with Initial Objectives

1. Activities and Levels of Participation

Table 1: Activities and Levels of Participation

Number of Participants Activity Period First Quarter Second Quarter Third Quarter Fourth Quarter Expected Number 187 115 71 Male 139 89 45 Female 29 18 5 % 90% 91% 76%

Conclusion: Implementation of the activities listed above matches the proposed work plan. Participation of women remains low and needs a specific action plan to improve it. However, overall participation levels are satisfactory, reaching an average of 85% of numbers expected.

2. Village Musrenbang
Table 2: Participation Rating and Results

Village Name

Participation Numbers

Participation Rate Compared to the Previous Year 220 % 50 % 135 % 13 % 147 % 233 %

Musrenbang Result

T. Mahuroi T. Posu T. Koroi Mangkuhung T. Sian T. Tajungan

32 persons 30 persons 33 persons 42 persons 42 persons 30 persons

Compatible with SIBC Idem It is not referring to SIBC Idem Compatible with SIBC Idem

3. Subdistrict Musrenbang
Table 3: Participants and Results

Subdistrict Damang Batu Kahayan Hulu Utara Miri Manasa

Participant Numbers 69 persons 63 persons 69 persons

Musrenbang Results List of priority proposals based on SIBC Idem List not based on SIBC was re-prioritized

4. Joint Forum SKPD and District Musrenbang

The Joint Forum of SKPD was held differently than previous years because of subdistrict indicative budget ceiling policy. There were presentations from only five SKPD that were made mandatory to implement the policy in question. The Head of Bappeda was both moderator and a resource person.

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Table 4: Proposals Approved in Joint SKPD Forum

SKPD Public Works Education Health Fishery & Husbandry

Villages with Approved Proposal Koroi, Sian, Tajungan, Mangkuhung, Mahuroi, Posu Idem Mahuroi Koroi, Sian, Tajungan, Posu, Mahuroi

% of Approved Proposals 100% - six proposals approved from six villages Idem 17% - 1 proposal from 6 villages 80% - 4 proposals from 5 villages

2.4. Bukit Batu Project

Achievements
As is usual at the start of the year, in early 2012, YTS assisted each of the seven communities to generate an annual village development plan, working together with the village management groups. Each community held a meeting to decide on the priority items they wanted the district government to support and YTS assisted in their submission to government through the Musrenbang planning process. The process was generally better than last year, as there was time dedicated to a plenary session to discuss the proposals from the villages at the subdistrict level. The district planning forum took place in Palangka Raya during March, and YTS facilitated the attendance of three representatives from each village. In preparation for the event, YTS held a briefing for the village delegations regarding the mechanisms, processes and outputs to be expected from the SKPD Forum and the Musrenbang Kota, so that they could engage more actively in the process. During the year, YTS also followed up on previous proposals made by the fish, chicken and rubber interest groups. One proposal from the village of Kanarakan was successful, and YTS assisted with the distribution of 7,500 hybrid rubber seedlings to all of the YTS interest group members in this village. YTS also provided capacity-building support to a village management group to assist in implementation of the development program and provided technical support for selected livelihood activities. Over the last three years, we have provided training in rubber and vegetable cultivation, as well as semi-intensive fish and chicken production; as well as training in basic business and financial skills to assist farmers to develop small agricultural enterprises. In 2012, our livelihoods program focused on improving the livelihoods of many poor farmers by introducing three new organic products that improve soils, and enhance overall plant growth and productivity; namely: biochar, bokashi, and wood vinegar. Thus, the objective of the 2012 livelihoods program was to strengthen the resilience of local farmers, by providing training in manufacture and use of three natural products that can lower their input costs for chemical fertilizers and provide a range of other benefits. Having started to build local capacity for biochar production through demonstrations, and the distribution of appropriate technology, we went on to provide direct training to the community to support the production of these biochar products. Field training was performed intensively from April to September 2012. Three levels of training were provided to men and women from all seven of the village communities we serve in Bukit Batu. The technical support consisted of demonstration and training, followed by field trials. Training was attended by around two hundred farmers. Data gathered during monitoring and evaluation at the end of the year, showed conclusively that treatment with Bokashi stimulates plant growth and production far more than using chemical fertilizers. We can conclude that use of biochar and bokashi can dramatically increase crop yields, without the need for additional chemical inputs. The project has given many poor villagers the opportunity to manufacture and sell three new products, creating new micro-enterprise opportunities in the villages. As many of the communities live in farming areas with marginal soils, we expect that the results of the trials will prove beneficial in many areas. Furthermore, the enthusiasm of the interest groups has certainly demonstrated that these new agricultural practices are well-suited to the local agricultural context, and are scaled appropriately for the poor to take advantage of the opportunities presented.

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Challenges
Bukit Batu is a large subdistrict, having a total area of 57,200 hectares, and a total population of 11,808 people. There are many immigrant communities living alongside the local Dayak population. Of the 3,180 households in the sub-district, approximately half receive a combined income of less than five dollars a day, and can be considered to be living in conditions of dire poverty.

Statistics
The beneficiaries of this program were more than two hundred LIG members from seven poor farming communities in the Kecamatan Bukit Batu of Kota Palangka Raya, Kalimantan Tengah. In 2012, YTS provided ten days of field training in the manufacture of each of the three products, covering both the theoretical and the practical aspects. We then went on to demonstrate the field applications of the products by establishing trial plots in the villages, and then to monitor and evaluate the results of these trials. The table below shows the attendance at each training level with the number of participants listed, disaggregated by sex. The total number of participants at each training level varied as follows: Training Level I Training Level II Training Level III Training Level IV (Biochar Production) (Bokashi Production) (Wood Vinegar Production) (Application to Trial Plots) 109 Participants 179 Participants 152 Participants 101 Participants

On average, 135 people attended each level of training.

Concluding Remarks
In addition, one of the best outcomes for the Bukit Batu project to date has been our ongoing partnership with the Credit Union. Our joint field activities in Bukit Batu have led to a total of 236 new members joining the Credit Union, and more than $160,000 worth of credit being provided as small loans, for private, as well as business purposes.

2.5. ASGM Project

Introduction
Since we closed our UNEP-funded mercury project in June 2012, we have continued our program of interventions throughout the province of Central Kalimantan, working in small towns and villages in seven districts. In the last six months, we have distributed twenty-two retorts to miners, and installed thirty-seven condenser systems in gold shops. In addition to providing recycling equipment as part of our regular program of field interventions, we have also continued to spread our health messages to target communities. The success we have achieved in Central Kalimantan gives us hope that our current approach can also be replicated in other provinces of Indonesia in 2013. This will allow for emissions to be quantified at a national level through more widespread field interventions; as installing the equipment serves to manifest the emissions and make them measureable. In this way, we believe that by tackling the problem we become better able to know the true scale of it as we move towards the creation of a national inventory of mercury emissions.

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Field Activities
Palangka Raya Municipality
In the second week of July, we worked in the city, revisiting gold shops. We checked on mercury recovery rates and found that most of the equipment was working satisfactorily. We also asked permission to put stickers in all the gold shop windows for our campaign. Two new gold shops were convinced to install our equipment due to considerable complaints and peer-pressure from the surrounding gold shops. We performed one installation in July, and the second in August. Lastly, we delivered two retorts to one gold shop, for use in the field.

Kapuas District
In early July, we went to the town of Timpah where we found that many of the ordinary shops selling electronics also serve as gold shops. Thus, we made approaches to them, and eventually installed condensers in three such shops in Timpah. Later, we installed another unit in Desa Jangkang, near Pujon. In the middle of August, we again returned to Timpah and installed three more systems, making for a total of seven units in all. In fact, on this trip, we also identified many more gold shops in the vicinity which we intend to visit in future. In the third week of October, we returned to Pujon where we were able to install four condenser systems in four gold shops. One of the gold shop owners has been able to capture four kilograms of mercury per month from his system, and is now making repayments on a new car from the proceeds of the mercury recycling. In the first week of November, we returned to Pujon where we were able to install four more condenser systems. In the third week, we visited the gold town of Timpah and did a further survey of gold buyers in the area. We found five gold shops were interested in installations, so we provided five condensers in all.

Pulang Pisau District

In late July, we installed three condenser systems in two villages: two in Goha and one in Bawan. These two villages are both on the Kahayan river, relatively close to Palangkaraya. With the addition of this new district to our program, it has been interesting to note the pattern of river mining that has emerged, showing that the entire length of the Kahayan river is being dredged regularly, from the headwaters down to the capital city of Palangka Raya.

Gunung Mas District

In this district, we have been working in the three main towns of Kuala Kurun, Tewah, and Tumbang Miri, as well as a large number of smaller villages. During this period, we did not visit the major towns, but chose to focus on villages instead. In June, we travelled to the small village of Tambak where we installed one condenser system in a gold shop. We also visited the neighbouring village of Pahawan, to monitor an existing installation. In August, we went on to visit the village of Bawan, where there are nine gold shops in all. After distributing health awareness media to the community, we managed to install one condenser system. We then decided to go on to the village of Tangkahen, although we had to cross the Kahayan river to get there. Here, we visited gold buyers we had met the previous year, and checked on a previous installation. We convinced two new shops to also install condenser systems, making for a total of three installations in that village. In the first week of October, YTS visited the town of Sepang Simin for the first time. After getting to know the gold buyers, we were able to install two condenser systems in two gold shops in the town. At the end of the month, we visited all of the gold shops in Kuala Kurun (the district capital) before moving on to Tewah. In Tewah, we provided a total of nine retorts to different gold buyers. In early November, we returned to Sepang Simin. This time, we installed two condensers in two new gold shops. We also distributed brochures and height charts at the local high school. In the middle of November, we checked on gold shops in Kuala Kurun once again, before moving on to the nearby village of Tewang Pajangan. In this village we found two gold shop owners who were ready to receive our equipment, so we installed two condenser systems. At the end of November, we were able to revisit Sepang Kota and install two more condensers.

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Katingan District
In June, we hosted a short visit from the writer, Damon DiMarco, and took him on a field trip to the goldfields of Galangan where he interviewed gold shop owners and miners. He also saw the environmental impact of the strip mining and the extent of forest removal. Later, he visited a mining site closer to Pundu, and held an in-depth interview with the boss of that operation. Damon also saw our video production process in our local editing studio. In early September, we had a visit from Jane Dennison of the US State Department. We took Jane to see gold shops in both Palangka Raya and Kereng Pangi and then travelled into the goldfields of Galangan for a first-hand look at the environmental impact of ASGM.

Murung Raya District

In the middle of June, we went back to Mt Muro to distribute more equipment. We went by car, which takes twelve hours by road via Puruk Cahu. First, we went to the Halubai mining area, where we distributed six retorts to miners. The location was quite busy, as they were getting good gold results. We then went on to the village of Mangkahui and distributed three more retorts to the local processors.

Kotawaringin Barat District

In all, YTS made three visits to the hard-rock mining site of Pangkut: the first visit in May consisted of a preliminary survey of mining sites, processing locations, and gold shops; during the second visit in August we conducted awareness-raising and also installed one condenser system and distributed two retorts; our third visit in September consisted of data collection and testing of ores.

Results of Interventions
Retorts and Condensers
YTS continues to provide a high level of support to miners, ore-processors and gold shops, through our interventions to prevent the open burning of amalgam. As we continue to add more and more localities and users to the list, the mercury recovery rates we witness also give us a good picture of the emissions levels occurring in the province of Central Kalimantan.

Equipment Distribution (June December)

District Palangka Raya Kapuas Pulang Pisau Gunung Mas Katingan Murung Raya Kotawaringin Barat Retorts 2 9 9 2 Condensors 1 21 3 11 1 Monthly Hg Recovery (Kg) 3 21 3 20 9 3

As shown above, YTS distributed a total of 22 retorts and 37 condensers in the six months prior to December; interventions that are now resulting in the ongoing recapture and recycling of an additional 59 kg of mercury per month.

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Overall Project Success

We believe that one of the most important outcomes of our work is the creation of an inventory of mercury emissions for Central Kalimantan. As the project now covers all of the major emission points in the province, we are now able to show the true picture of mercury use in the province. By reaching out and providing equipment in this way, we can establish where the problem exists, and manifest the problem in a quantifiable way for the first time.

Discussion
Awareness Raising
YTS is undertaking various activities to increase the general level of understanding about the threat of mercury in the environment; working both within the communities concerned, as well as with government, academia, NGOs and civil society. We are taking advantage of a range of media to do this, and also taking an active role in nation-wide networking to promote dialogue between stakeholders.

Behavior Change
In the field, we are working to change the perception of miners and processors regarding the economic rewards of using mercury, and asking them to reconsider the cost-benefits of using mercury. Furthermore, we are trying to create an environment conducive to change by demonstrating mercury-free processes and technologies that may serve as viable alternatives. We are also trying to bring this issue to the attention of government at many levels. However, ASGM communities are our primary target audience, as only they can change their own practices directly. One aspect that helps convince them to change is having a greater level of health awareness in the community, but this must be accompanied by appropriate technology.

Direct Beneficiaries
This project has provided direct benefits to hundreds of miners, ore-processors, and gold shop owners, as well as their families. These people recognize that recycling mercury brings direct benefits: in terms of a safer living and working environment for themselves and their families, and in terms of financial savings. The health benefits also extend to all those living in the vicinity of the emissions. For this reason, each piece of equipment we provide can improve the well-being of hundreds of people. Amalgam-burning commonly occurs in populated areas, amidst everyday life and along the main street: exposing all passers-by to serious harm. It is safe to say that thousands of people, living in many towns and villages along the major rivers of Central Kalimantan, now derive a benefit from our interventions.

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Chapter 3
Support Services
3.1. HRD & Training
In 2012, the HRD & Training section started a comprehensive capacity building program for both YTS staff members and project beneficiaries. The program for staff was based on a needs-analysis performed for the organization as a whole, to equip our staff with the necessary skills to provide a much higher level of support to the 21 YTS-assisted villages in the Kahayan. The HRD and Training section successfully conducted a wide range of capacity-building programs which have enabled the staff to perform their tasks well throughout the year. Thus, the staff capacity-building programs were a major contribution towards the accomplishment of our goals in 2012. In all, 15 capacity-building activities were conducted specifically for YTS staff. The YTS program officers especially, were provided with a wide array of training, in such skills as: facilitation; computer use; photography; technical assistance; time management; report-writing; module making; and financial reporting. The office staff received training in: English language; report writing; time management; and other necessary skills related to their respective fields. At the village level, program beneficiaries received training in livelihood activities as diverse as aquaculture, horticulture, rubber farming, and pig-rearing, as well as basic training in financial management. In Bukit Batu, interest group members gained new knowledge and skills in making organic fertilizers from biomass. Beneficiaries in East Kalimantan (Jelai project) learned valuable skills in rubber cultivation, aquaculture and horticulture; all of which were new livelihood activities for them. In all, a total of 10 different livelihood training programs were provided to our beneficiary communities, and a total of 1,264 people attended these in-village training events. In preparation for these events, 25 separate training modules were designed, printed and distributed to participants.

Capacity-Building for YTS Staff

Challenges/Difficulties Timing of Training Events some staff are in the field and some in the office Follow-up Training as the field staff are very busy with fieldwork they often could not finish assignments given by the HRD & Training section. Having very many technical assistance programs running concurrently influenced the smooth delivery of the staff capacity-building program. Solutions Find the right time when the field staff come back to the office Wait for field staff to finish doing their fieldwork before nagging them for assignments. Adjusting the training dates to the expected level of activity and conducting more training at the beginning and the end of the year.

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Capacity-Building for Village Communities

Challenges/Difficulties Many villagers still expect material support from YTS Inconsistency in attendance and reduced participation at training events when villagers are busy with their own livelihood activities Natural factors such as heavy rain may influence the condition of the road and travel time Villagers have not yet developed sufficient initiative to use their skills to start real enterprises Solutions Keep giving information to build community awareness on the various types of YTS support and on the way YTS works Keep conducting the training no matter how many participants attend, while giving more motivation to villagers to attend the next training Call the boatmen downriver, to take YTS personnel from Kuala Kurun to Tumbang Miri Keep encouraging villagers to think about business opportunities using the skills they have learned

Notes: in 2012, the HRD & Training division also supported other projects in YTS, such as the Jelai project, the Governance Project, the Mercury Project, and other YTS activities based on the needs and requests.

3.1. Information & Communication

Introduction
In addition to the rapidly-increasing workload experienced in 2012, the Information and Communication unit has been going through a period of transformation and learning that has been useful for both the team and the organization as a whole. From the beginning of the year, the unit had to find a temporary replacement for one of the team who took three-months maternity leave. This somehow affected the planning and workflow design in place for the team, given that the beginning of the year has always been a busy time for us. In February, our Media Development Assistant decided to resign and pursue a career in a different direction. This resulted in having to shift some work around within the team to accommodate the busier schedule, but the heavy workload did not provide for optimal results. Luckily, the officer returned to YTS in May, and was then assigned more responsibility, as the media development officer. On the company side, the rapid scaling-up of the exploration program has also affected the work in the field, which has had a direct impact on the workload and skills requirements in the Information and Communication Unit. As we reached the end of the year, it became clear to us that there is still a need for better organization of the work, an improved skills and knowledge base, and even specialization of each team members field of expertise, as well as a need for better quality control of our media products.

Current Situation
Achievements
We have been very successful in providing support to the HRD and Training Unit, creating a series of illustrated handbooks for each of the five training programs provided to the livelihood interest group members in 2012.

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Issues & Constraints

Our main constraint is the poor management and work organization within the team. This is due to a lack of capacity to meet the growing and professional need of the Yayasan. In addition, on the management side, there needs to be a mechanism in the team that allows us to distribute the workload more evenly and be more punctual in delivery. Furthermore, the team needs to pay more attention to the quality of our product. We are constantly striving to produce professional and high quality outputs. Certainly, the team will require further internal capacity building in the future, to be able to keep up with a workload that is ever-increasing.

Recommendations
Amongst others, there are three main recommendations towards improvement of work within the Information and Communication Unit: i. To take immediate action in restructuring the management of the workload amongst the team members. This is best achieved by having a dedicated person to support the management team with the workload mapping and control. ii. To pay more serious attention to the quality of our products and comply with higher standards; and to start looking into practical solution on how to ensure the best performance. Some of the possible solutions to this have been discussed by the team: a visible and accessible workflow planning board is needed, as well as a quality control chain, although this is still open to other possible solutions. iii. To have more skills development opportunities for the team, where each person can improve their capacity and become expert in the area that they are interested in.

3.2. Finance & Administration

In 2012, Finance and Administration activities were ably managed by our Finance & Admin Officer. For financial control, our monthly financial reports showing expenditures vs budget continue to be a good measure for keeping us on track with each project. And our cash flow projection sheet enables us to anticipate any shortages in cash, so we can put measures in place to remedy any financial constraints. We continued to file regular reports to local government in accordance with the legal requirements for a social organisation, and are up to date in all our reporting requirements.

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Chapter 4
Financial
Financially, 2012 was a very strong year as we ended the year theoretically with an unexpended surplus of US$81,000. Total revenue was US$595,000 and total expenditures were US$514,000.

Revenues
Our sources of revenue were rather varied (see Figure 1 below), but 90% of revenues came from only four sources: PT Kalimantan Surya Kencana (55%), PT Jelai Cahaya Minerals (10%), Ford Foundation (16%), and UNEP-USEPA (9%).
YTS Revenue 2012

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Expenditures
In terms of expenditures, the chart below shows the distribution, with the largest proportion going to the Kahayan Project (61%), followed by the Governance Strengthening in Gunung Mas (13%), and then the Jelai Project (11%), the ASGM Project (9%), and the Bukit Batu Project (6%). Ford Foundation was a very strong funder for us in 2012, funding both the Governance Strengthening Project and the Bukit Batu Project.
YTS Expenditures 2012

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Program Costs
Program costs account for the costs of all of our field activities, including technical experts and training support.
YTS Program Cost 2012

Program Overhead
Program overhead refers to field expenses, such as transportation, accommodation and meals in the field. And rightly so, the Kahayan Project and the Jelai Project show the highest numbers, given that we had the most staff and most activities in those two projects. More financial details on each project can be found in the annexes at the end of this document.
YTS Program Overhead

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Chapter 5
Summary
As mentioned in the introduction, this year has been a major turning point for YTS, with the resumption of both exploration projects, and with the first full year of our working directly with district government in Gunung Mas. Stabilizing our funding removed a lot of the uncertainty that had plagued us in previous years, and enabled us to focus more strategically on our work, rather than worrying about funding all the time. It allowed us to hire much needed key staff and strengthen the management level of our operations. We hope this report will provide a representative picture of the volume and quality of activities we took on in 2012. Everyone in YTS rose to the occasion remarkably well and all are to be congratulated for the great team effort. We look forward to next year with renewed strength and determination to do even better, and we want to thank our funders for their continuing support and confidence.

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Annexes
Annex I: Annex II: Annex III: Annex IV: Kahayan Project Financials Strengthening Governance Project Financials Bukit Batu Project Financials Artisanal and Small Scale Gold Mining Project Financials

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Annex I:

Kahayan Project Financials

Annex II:

Strengthening Governance Project Financials

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Annex III:

Bukit Batu Project Financials

Annex IV:

Artisanal and Small Scale Gold Mining Project Financials

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