PALMOILMAGAZINE, JAKARTA – Three community organizations—Transformasi untuk Keadilan (TuK INDONESIA), Perhimpunan Pembela Masyarakat Adat Nusantara (PPMAN), and WALHI Central Kalimantan—have revealed alarming findings about an agrarian conflict in Bangkal, Seruyan, Central Kalimantan.
Their report, titled “Behind the Bloody Tragedy of Bangkal Seruyan: In Our Country, ‘Palm Oil is More Expensive than Human Life,’” highlights the devastating impact of palm oil industry expansion, including conflicts and human rights violations. The report was submitted to Komnas HAM on October 30, 2024.
Quoted from the official statement received by Palmoilmagazine.com, Monday (4/11/2024), this report outlines several main findings. First, there are human rights violations against indigenous peoples who have lost their land rights and the environment has been damaged. The conflict between the residents of Bangkal Village and the plantation company PT Hamparan Masawit Bangun Persada (HMBP) intensified, leading to the shooting of residents who demanded their rights. In addition, PT HMBP allegedly failed to provide plasma rights promised to local communities. The investigation also uncovered allegations of a “security business” involving the police in company security, which led to the shooting of residents.
PT HMBP is also allegedly involved in illegal activities that include land clearing without legal permits in forest areas. Based on a Decree of the Minister of Environment and Forestry (SK No. SK.196/MENLHK/SETJEN/KUM.1/3/2023), the company operates in a conservation area of 4,769.52 hectares that should be protected, including areas in Production Forest and Conversion Production Forest. The company’s operations that encroach on Lake Sembuluh and river banks are said to cause water pollution that has a direct impact on water quality for fishermen and local residents.
“We urge the government to immediately evaluate PT HMBP’s operational license and take action against companies that violate the law. These environmentally damaging activities must be stopped for the sake of justice and sustainability in Central Kalimantan,” said Bayu Herinata, Director of WALHI Central Kalimantan.
This report reveals evidence of a security agreement involving the police in Central Kalimantan. During the investigation, it was found that there was a warrant from the Central Kalimantan Police in 2020 that regulates security in PT HMBP’s operating area. In addition, payments made by the company to the authorities to secure their operational areas were found. A total of 440 personnel were deployed to deal with protests by residents fighting for their land rights, indicating an alleged collusion that ignores human rights principles.
Surti Handayani, PPMAN representative, emphasized, “This tragedy shows that the smooth running of a business takes precedence over human lives. This kind of action is unacceptable because it overrides the rights of indigenous peoples who should be protected by the state.”
In research conducted by TuK INDONESIA, it was found that palm oil expansion in Central Kalimantan is supported by financing from financial services institutions, including from Bank Negara Indonesia (BNI). According to TuK INDONESIA Director Linda Rosalina, palm oil tycoons operating in Central Kalimantan have received loans totaling US$ 11.07 billion (around Rp 157.8 trillion) in the period 2016 to June 2024. One of the recipients of these funds is Winarno Tjajadi, owner of PT HMBP/Best Agro Group, who is also linked to BNI as an individual shareholder.
Linda highlighted BNI’s lack of public transparency in providing information regarding the flow of financing. “We faced many obstacles when requesting information regarding this financing. This transparency is important to ensure that financial institutions do not support human rights violations and environmental damage,” Linda emphasized.
The organization urges the Financial Services Authority (OJK) to tighten supervision, sanction banks that violate sustainability principles, and ensure transparency in the socio-environmental impacts of disbursed financing. (P2)