Business Players Want No Forest Moratorium Extension Oleh Martin Sihombing

sumber : Bisnis Indonesia

Jum’at, 02 Desember 2011 | 10:10 WIB

NUSA DUA, Bali: Business players in the oil palm plantation sector urged the government not to extend the implementation of presidential instruction 10/2011, as it has been derailing the sector.

The presidential instruction 10/2011 on the Postponement for New License Issuance and Improving Governance of Natural Forests and Peat Lands, signed by President Susilo Bambang Yudhoyono, was issued on May 20 2011 and valid until May 20, 2013

“The policy has hampered growth in palm oil sector slightly,” Chairman of Indonesian Palm Industries Association (Gapki) Joefly J. Bahroeny said after opening the Indonesian Palm Oil Conference and 2012 7th Price Outlook in Nusa Dua, Bali, yesterday.

He admitted the moratorium was positive and gives palm oil industries to consolidate themselves. “However, that shouldn’t be extended again,” he said.

Daud Dharsono, Chairman of High Conservation Value of RSPO at Indonesian Working Group (HCVRIWG) shared a similar opinion. “The moratorium is positive, but there should have concrete action plan,” he said.

“We can bolster our performance to achieve the production target of CPO output in 2020 to 40 million tons with a minimum land expansion. Today, we have produced 20 million tons,” he said.

Meanwhile, Secretary General of Central Board at Indonesian Palm Farmers Association (Apkasindo) Asmar Arsjad has questioned the moratorium of forest and peat lands. “If the President needs US$1 million [of state income], he could just ask the farmers,” he said.

Asmar said that Indonesia has 16.8 million hectare of peat lands with 13 million ha of the total land having a 3-meter depth. “So, the 13 million hectare land is in accordance with Agricultural Minister Decree No.14/2009, stipulating that it could be exploited and planted.”


However, Asmar added, the license has conflicted with other two decisions issued by the Presidential Decision No.32/1990 on the Management of Protected Area and Agricultural Minister Decree No.14/2009 on the Guidelines for Utilizing Peat Lands for Cultivation.

Based on the two regulations, the government gives an authority to cultivate oil palm plantation in a peat land, in a case that it has less 3-meter depth.

The regulations were issued after President Susilo Bambang Yudhoyono had attended an international conference on climate change and forest in Oslo, Norway on May 27.

The conference is supposed to facilitate a voluntary partnership of developed and developing countries that have tropical forests for implementing REDD+ with total financing commitment of US$3.5 billion.

In addition to further discussion of Kopenhagen meeting, which promises funding of up to US$3.5 billion for developing nations during 2010-2012, Indonesia also signed a letter of intent with Norway for financing facility on climate change amounting to US$1 billion.

besides discussing further a meeting of Kopenhagen promising a bailout of US$3.5 billion for emerging countries in a period 2010-2012, Indonesia also signed letter of intent with Norway for financing facility on climate change at US$1 billion.

So far, many countries have committed to provide financing facility on climate change, such as US, Japan, Australia, British, France, and Germany. However, there are no facilities have been realized to date. (t01/ags)