The Urgent Need for Regulatory Synchronization in Palm Oil Governance

Palm Oil Magazine
Illustration of oil palm plantations. Photo by: Palm Oil Magazine

PALMOILMAGAZINE, JAKARTA – Sadino, a forestry and plantation law expert and lecturer at Al Azhar University, Jakarta, emphasized the pressing need for regulatory harmonization across ministries to improve governance in the palm oil sector. According to him, overlapping authorities among ministries remain a major barrier to the sector’s development.

“When ministries issue conflicting policies, who holds the ultimate authority? If this continues, regulations will merely become tools for competing interests,” Sadino stated during a public discussion attended by Palmoilmagazine.com in Jakarta in late December 2024.

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He explained that policies related to palm oil—such as land management and forest fire prevention—require coordination between multiple ministries, including the Ministry of Environment and Forestry (MoEF), the Ministry of Agrarian Affairs and Spatial Planning/National Land Agency (ATR/BPN), and the Ministry of Trade.

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“For instance, the MoEF’s 2014 regulation on forest fires and spatial planning policies governed by ATR/BPN often lack synergy. As a result, the development of palm oil as a strategic national commodity has not been optimal,” he noted.

Sadino also pointed out regulatory overlaps in the implementation of Government Regulation (GR) No. 9 of 2021, a revision of GR No. 24 of 2021. He believes the regulation lacks the necessary impact to truly advance sustainable palm oil management.

He further criticized the policy uncertainty during Indonesia’s political transition period. Strategic decisions on palm oil governance, he argued, are frequently hindered by a lack of clarity and political will in regulatory frameworks.

“The President and government must demonstrate a strong commitment to supporting development through coherent regulation. Reactive and fragmented rules that fail to align with long-term national goals—such as energy security—will not lead to meaningful progress,” he asserted.

As Indonesia prepares for a new administration, Sadino expressed hope that President-elect Prabowo Subianto will prioritize energy security through effective palm oil management. He stressed the importance of comprehensive regulatory support—from overarching laws to technical guidelines at the ministerial level.

“Goals like national energy security will remain out of reach unless regulations are aligned and supportive. The incoming government must take bold steps to reform outdated and inconsistent policies,” he concluded.

Sadino’s remarks serve as a timely reminder of the vital role integrated regulation plays in building a palm oil sector that is not only productive, but also sustainable for the future. (P2)

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