The Indonesian government has laid the foundation for development by setting a national policy on development management, which includes the oil palm sector.
This national policy takes the form of Government Regulations in Lieu of Law (PP) that pertain to spatial planning, land use, technology, management, human resources, the environment, products, and other aspects (Table 1).
The mechanism for obtaining land for plantations is stipulated in the Agrarian Principles Law, the Plant Cultivation System Law, the Spatial Planning Law, the Forestry Law and the Plantation Law, as well as the Environmental Management Law.
The guidelines for plantation managements are also enforced through Government Regulations (PP) such as those on pesticides, seedlings, agricultural equipment and machinery.
Table 1: Governance and Policy for Sustainable Development of Oil Palm Plantations in Indonesia
|Regulations/ decrees / policies||Issue|
|PP 47/2012||Social and Environmental Responsibilities of Limited Liability Company|
|PP 28/2004||FoodSafety, Quality and Nutrition|
|PP 69/1999||Food Labels and Advertisement|
|PP 57/2016||Peatland Ecosystem Management and Protection|
|PP 27/2012||Environmental Permits|
|PP 28/2011||Management of Nature Reserves and Natural Conservation Areas|
|PP 11/2010||Leveling and Utilization of Idle Land|
|PP 10/2010||Procedures for Conversion of Allocations and Functions of Forest Areas|
|PP 41/1999||Air Pollution Control|
|PP 8/1999||Wild Flora and Fauna Exploitation|
|PP 7/1999||Preserving Flora and Fauna Species|
|PP 40/1996||Right to Cultivate, Right to Build and Right to Use Land|
|PP 44/1995||Crop Seeding|
|PP 14/1993||Establishment of Workers Social Security|
|PP 31/2009||Protection for Geographical Areasof Product Plantations of Specific Locations|
|PP 51/2007||Geographical Indication|
|PP 8/2001||FertilizersforCrop Cultivation|
|PP 85/1999||Management of Hazardous and Toxic Wastes|
|PP 6/1995||Crop Protection|
|PP 7/1973||Supervision of Pesticide Circulation, Storage and Use|
|No. 33/Permentan/OT.140/7/2006||Plantation Revitalization Programs|
|No. 98/Permentan/OT.140/9/2013||Guidelines for Plantation Permits|
|No. 58/Permentan/OT.140/8/2007||Implementation of National Standardization System in the Agriculture Sector|
|No. 07/Permentan/OT.140/2/2009||Guidelines for Plantation Business Estimates|
|No. 14/Permentan/OT.110/2/2009||Guidelines onUtilizingPeatlands for Oil Palm Cultivation|
|No. 11/Permentan/OT.140/3/2015||Certification System for Indonesian Sustainable Palm Oil (ISPO)|
|No. 87/M-IND/PER/12/2013||Implementation of Mandatory Indonesian National Standards for Palm Cooking Oil|
|No. 382/MENKES/PER/VI/1989||Food Registration|
|No. 1496.1/Kpts/OT.100/10/2003||Classification of Plantation Companies|
|No. 633/Kpts/OT.140/10/2004||Guidelines for Criteria and Standardized Classification of the Industrial Area of the PlantationSociety(Kimbun)|
|No. 75/M-IND/PER/7/2010||Guidelines for Processed Food Production (Good Manufacturing Practices)|
With particular regard to the principles, standards and indicators of sustainable oil palm plantations in Indonesia, the Agriculture Ministry issued Ministerial Decree No. 11/Permentan/OT.140/3/2015 on Mandatory Certification System for Indonesian Sustainable Palm Oil (ISPO). It also has a voluntary certification system called the Roundtable Sustainable Palm Oil (RSPO).
In other words, Indonesia’s oil palm plantations are already equipped with a set of policies and regulations on sustainable management. It is worth noting that oil palm is the only one out of the thousands of commodities/products in Indonesia that has detailed policies on sustainable management; it is perhaps even the only one out of millions of global commodities/products to possess such a distinct policy.