PALMOILMAGAZINE, MAMUJU – In 2023, West Sulawesi Province received an additional budget from the Ministry of Finance, but its realization has been sluggish, hindering the potential significant impact on the local community.
The budget serves as an incentive for the province’s efforts in controlling inflation and alleviating extreme poverty. Despite incentives for inflation control in Mamuju and Polewali Mandar districts, totaling Rp 8.6 billion and Rp 10.18 billion, respectively, the funds were not implemented until November 2023.
West Sulawesi, with an annual fresh fruit bunch (FFB) production of 242,733 tons and palm oil plantations covering 73,578 hectares, was allocated a palm oil profit-sharing of Rp 41.5 billion. Unfortunately, the local population has yet to experience the positive impacts of the additional budget due to its delayed implementation.
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Head of General Directorate of Treasury West Sulawesi Province, Tjahjo Purnomo said the information in media briefing about the progress about government’s budget in his office, Wednesday, 27 December 2023. He thought, the significant numbers should be taken for advantages by the regional government for the local people.
“Palm oil profit sharing was in contraction because it was not realized though the allocation reached Rp 41,8 billion. Fiscal incentive was too because of the changes in assessment period as the base to distribute fiscal incentive in 2023,” Tjahjo said, as quoted from Radar Sulbar.
Though the expenditure for Tugas Pembantuan Keuangan Daerah (TKD) per November 2023 got increased 3 percent compared to the same period last year, Tjahjo emphasized that expenditure optimization would be realized if palm oil profit sharing and regional incentive could be realized faster.
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“Hopefully, this would be realized in this December and would deliver advantages for the people West Sulawesi,” he said.
Head of Budget Implementation Development II, General Directorate of Treasury West Sulawesi Province, Bekti Wicaksono said that palm oil profit sharing would be transferred for six districts though not every region is palm oil producer. Every district should notice the programs in palm oil profit sharing allocation because it is regulated in the Regulation of Minister of Finance Number 91 / 2021 about Palm Oil Profit Sharing Management.
“80% of the allocation would be focused on infrastructures particularly to improve the broken ways,” Bekti said. (T2)
