PALMOILMAGAZINE, GORONTALO — The palm oil industry in Gorontalo Province has once again drawn national attention. This time, the spotlight comes from the Indonesian Ombudsman’s Gorontalo Representative Office, which held a special meeting with the Regional House of Representatives’ Special Committee (Pansus) on Palm Oil. The meeting, held on Monday at the Gorontalo Provincial DPRD building, aimed to address several pressing issues in managing this strategic commodity.
During the forum, both parties explored key aspects of palm oil governance, ranging from potential maladministration and overlapping regulations to risks that could harm the public—particularly plasma smallholders.
“At the national level, the Ombudsman has conducted a systemic review of the palm oil industry, involving 52 institutions operating in this sector,” said Muslimin B. Putra, Head of the Gorontalo Ombudsman Office. He noted that the review was led by Ombudsman RI member Yeka Hendra Fatika and uncovered several fundamental problems.
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According to Muslimin, the Ombudsman’s findings identified four core problem areas in the industry: land, licensing, trade systems, and institutional frameworks. “These aspects are deeply interconnected. If poorly managed, they can create legal uncertainty and injustice, especially for smallholders,” he stated, as quoted by Palmoilmagazine.com on Sunday (June 1, 2025).
A key concern highlighted in the meeting was the potential losses faced by plasma farmers, particularly when partnership schemes implemented by companies fail to align with existing regulations. The lack of harmony between national and local regulations further exacerbates overlaps in authority.
In response, the Ombudsman has submitted five key recommendations to the central government. These include the need for cross-sector policy integration, improved governance of partnership models, and enhanced transparency in licensing and land distribution.
Muslimin also disclosed that between 2020 and 2025, the Gorontalo Ombudsman received several public complaints related to the palm oil sector. These reports mainly involved land disputes, limited access to plasma entitlements, and lack of clarity in revenue sharing from partnership plantations.
“This is not merely a business issue—it concerns people’s rights and the sustainability of agrarian governance. Therefore, inter-agency coordination like this is crucial to finding fair solutions,” he emphasized.
The meeting between the Ombudsman and the provincial DPRD marks a vital first step toward reforming palm oil governance in Gorontalo. As the industry becomes an increasingly significant driver of the local economy, prioritizing smallholders and regulatory clarity is essential to building a fair and sustainable sector. (P2)
