PALMOILMAGAZINE, PEMATANG SIANTAR – To enhance palm oil plantation governance in Indonesia, the Ombudsman of the Republic of Indonesia has launched a monitoring initiative for the Smallholders Replanting Program (SRP), which is managed by the Palm Oil Plantation Fund Management Agency (PO PFMA). This initiative aims to prevent maladministration in the critical program and support the sustainability of the palm oil sector.
Yeka Hendra Fatika, a member of the Ombudsman, announced this during a discussion at the Palm Oil Research Center (PPKS) Marihat Unit in Pematang Siantar, North Sumatra, on Wednesday (4/9/2024). He highlighted that the monitoring initiative stems from the institution’s commitment to ensuring good governance across the entire palm oil cultivation process, from upstream to downstream sectors.
The SRP was designed to improve smallholder palm oil plantations by replanting with superior seed varieties, thereby reducing the risks of illegal new plantings. With funds collected, managed, and distributed by PO PFMA, the program aims to increase plantation productivity without expanding into new planting areas.
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“Ombudsman knew that the seeds using the funds from PFMA would be the form of public service. That is why the implementation process needs monitoring closely to confirm that the service would be qualified,” Yeka said, as in the official statement to Palmoilmagazine.com, Thursday (5/9/2024).
He continued that the smallholders would have the rights to get qualified and certified seeds as part of SRP that the government regulated. Ombudsman thought it would be significant to monitor and prevent mal-administration so the smallholders’ rights would be maximally realized.
Zaid Burhan Ibrahim, Director of Risk Management, Obidience, and Public Finance, PO PFMA, appreciated what Ombudsman would do. He emphasized PO PFMA would need the good and open governance to get inputs from many related parties.
“We do support the study by Ombudsman because the external perspective would be the need to improve nowadays (plantation) governance,” Zaid said.
By having closer monitoring and the ways to increase (plantation/industrial) governance, SRP should effectively run well, massively deliver advantages for the smallholders, and support sustainable palm oil industries in Indonesia. (P2)
