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Sugianto Sabran: Develop Sustainable Palm Oil Plantations in Central Kalimantan

Special doc./Governor of Central Kalimantan, H. Sugianto Sabran when delivering speech in the 7th Borneo Forum in Palangkaraya, Friday (28/6/2024).
Sugianto Sabran: Develop Sustainable Palm Oil Plantations in Central Kalimantan

InfoSAWIT, PALANGKARAYA – To develop good, sustainable, and competitive palm oil plantations, it would obey some regulations and policies, such as, business rights and people’s plantation development facilities or fasilitasi pembangunan kebun masyarakat (FPKM). According to Laws Number 39 / 2014 about Plantations, the companies that got plantation business permit (PBP) should facilitate the people’s plantation development that reached 20 (twenty) percent from the PBP.

Until now there have been 191 palm oil plantation units in Central Kalimantan with the total plantations about 2,2 million hectares. Of ther numbers, 128 big private companies (units) qualified FPKM or plasma that laid about 220,6 thousand hectares or 24 percent. Better than the minimal condition. Meanwhile, 72 big private companies are still in process to qualify their obligation, namely in Regency of Seruyan, Kotawaringin Timur, and Kotawaringin Barat. They just implement kegiatan usaha produktif perkebunan (KUPP), such as, palm oil - cow integrated program, laying hens, and other partnership programs for the unavailable areas.

Governor of Central Kalimantan Province, H. Sugianto Sabran said that FPKM faces issues in the implementation, such as, not every big private company realized 20% condition of their areas, it was difficult to get forest release from the available areas around big plantations where they operate out of permitted areas, and overlapping policies, particularly in the allocation to areas for developing the people’s plantations.

Some things had and would be doing to solve such issues, for instance, proposing to revise Central Kalimantan Regulation Number 5 / 2015 about Central Kalimantan Spatial which did not refer to the Regulation of Minister of Forestry Number 529 / 2012; and proposing allocation in other utilization areas that would lay on 46 percent and forest regions 54 percent to develop people’s plantations in other utilization areas.

“Besides, every big plantation in Central Kalimantan should realize develop the people’s plantations or plasma, particularly for the companies that were established/operating before n 2007,” Sugianto said when delivering his speech in the 7th Borneo Forum as InfoSAWIT quoted from the official page of Central Kalimantan Province, Saturday (29/6/2024).

Every plantation that got or did not get business rights before the year, should conduct kegiatan usaha produktif perkebunan (KUPP) within calculation pattern - nilai optimum produksi (NOP) just like it is regulated in the Circulars of General Director of Plantation Number B-347 / 2023 and Decision of General Director of Plantation Number 152 / 2023.

In specific, he also urged heads of plantation agencies in the province, regencies/cities to supervise NOP as the solution on FPKM obligation because of unavailable areas. It also needs to develop and monitor every plantation that is in process to develop (people’s plantations) based on their permits.

The governor asked for the central government’s supports about regulations to get synergy among the ministries/institution, namely about the regulation in area availability to develop the people’s plantations. This is about not to get misunderstanding and miscommunication. Besides, to support the smalllholders in the province, Central Kalimantan would seriously publish cultivation documents with the fund support from palm oil profit sharing for the people so that there would be no legal issues in the society.

“The other strategic issue that Central Kalimantan Province noticed would be about to escalate health and education service in the surroundings equally, such as, by constructing hospitals and universities,” Sabran said. (T2)