East Kalimantan Province Initiates Coordination on Palm Oil Profit Sharing Allocation

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Palm oil plantation. Photo by: Sawit Fest 2021 / Hendra

PALMOILMAGAZINE, SAMARINDA – On Wednesday (7/2/2024), East Kalimantan Province held a coordination meeting with the districts and cities within the province. The purpose of the meeting was to formulate the Development Plan for Profit Sharing Allocation (RKP DBH) in Palm Oil for the years 2023 and 2024, as mandated by Regulation of the Minister of Finance Number 91/2023 concerning Palm Oil Profit Sharing Allocation.

Ahmad Muzakkir, the Head of the Plantation Agency for East Kalimantan Province, explained that the palm oil profit sharing for 2023 had already been allocated to each region in December 2023. East Kalimantan Province received Rp. 43,400,672,000, while the City of Samarinda received Rp. 11,864,019,000. However, if the regions did not approve or submit their RKP DBH of Palm Oil for 2023, the allocation would not be realized.

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Muzakkir thought palm oil profit sharing that was distributed but was not realized, would be Sisa Dana Bagi Hasil (SiLPA) which was banded. “That is why it needs to re-budget in RKP DBH of Palm Oil for 2024 and Regional Budget for 2024,” he said, as Palmoilmagazine.com quoted from the official page of East Kalimantan Province.

Also Read: Bangka Tengah District Receives Infrastructure Allocation to Enhance Palm Oil Plantation Methods and Expansion

East Kalimantan plays important roles in palm oil profit sharing management, including accommodating RKP DBH of palm oil discussion with the districts/cities in the province, monitoring and evaluating every budget allocation and technical implementation that palm oil profit sharing funded by the districts/cities.

The goal of the meeting was about to prevent overlapping budget and every activity in the 2023 and 2024 palm oil profit sharing allocation. The result of the meeting would be discussed again in the assistance with Ministry of Finance, Ministry of Public Work and People’s Housing, Ministry of Agriculture, Ministry of Environment and Forestry, and Ministry of Internal Affairs.

The next discussion would be with assistance with province/district and cities in East Kalimantan with related ministry. Every work plan to related ministry would be collectively done by the province one week before the discussion.

The participants of the meeting did consist of the representatives of Ministry of Public Work and People’s Housing, General Directorate of Plantation, BPJN East Kalimantan, officials from many regions and coordination team in the districts/cities in the province. (T2)

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