Overlapping Palm Oil License is loss for the People

Overlapping Palm Oil License is loss for the People

InfoSAWIT, JAKARTA -Though it rarely happens, the overlapping license of plantation with the same plantation also takes place in Indonesia. Just as it happens to Bumitama Gunajaya Agro (BGA) Group. The Business License was got from the auction in the Court of Jakarta on the ex areas belonging to Benua Indah Group (BIG). The overlapping license raised after the auction had been done in the Court of Ketapang and Bank Mandiri, Tbk.

It was revealed that BGA Group got the areas and the license from the auction which was transparently done by the Court. The areas were really in auction, but the new issue comes up. Based on what InfoSAWIT got, some of the palm oil areas that were bought in the auction have overlapping license with other palm oil plantation company.


Based on BGA Group, based on the court treatise No. 134/2015 on May 26th 2015, the areas belonging to ex BIG, as the result of the auction in Court of Ketapang, reached 11.500 hectares. They consist of PT Subur Ladang Andalan, PT Duta Sumber Nabati, and PT Bangun Maya Indah. The auction was held on 8 May 2015 and PT Inti Sawit Lestari (Grup BGA) won it.


After the auction, BGA Group did socialization in May to July 2015 to the villagers around the areas of ex BIG. The socialization was attended by some villagers, the head of village, the coordinators of union, the task force of 4 sub districts, and the officers of the Regional Government of Ketapang. The company also successfully arranged the visit to 16 villages around the plantation.


A month later, in August 2015 there was border check in the palm oil areas where BIG had before, together with National Land Agency, District of Ketapang. It was written on official documents on August 13th 2015.


As the winner in the auction, BGA Group changes the name of the company through National Land Agency, District of Ketapang. PT Bangun Maya Indah (BMI) is changed to be PT Raya Sawit Manunggal (RSM), PT Sumber Ladang Andalas (SLA) becomes PT Wahana Hijau Sawit (WHI), and PT Duta Sumber Nabati (DSN) becomes PT Sentosa Prima Agro (SPA).


Deputy Chief Strategic Officer, BGA Group, Priyanto, said, the involvement of the corporate in the auction and won it, is part of the vision of the company to be actively developing the people’s economy through palm oil plantation. He thought, the companies of BGA Group would cultivate the areas well – the ex areas of BIG.


Though there are issues since the decision of auction winner, he himself convinced, there would be profitable solution. The people around who depends on the palm oil plantation are the main things for BGA Group to start the business.


“The abandoned areas of ex BIG should be rehabilitated to welfare the people around,” Priyanto emphasized.


The involvement of BGA Group, he continued and convinced, could cooperate with many sides to develop better palm oil plantation and would give big profits to the people around and the regional government. Of course many sides should support the cooperation to realize successful business.


The capability and ability of BGA Group of developing palm oil areas in many regions become un-separated parts of the corporate to develop the ex areas of BIG. So the overlapping license should actually not happen for it is a loss for the people and the regional government because they could get the result.


“The people around and the regional government could get the economic value of cultivating the areas that we have bought from the auction done by the government,” he said.


Like what Priyanto said, the former head of Village of Sungai Melayu, in 2001 – 2013, Budi Wahono said, BIG could not manage palm oil areas in the village well and made poverty for some time although the plasma smallholders and the people around supported the company through their harvest.


BIG did not have transparent management. The productivity of the smallholders was small in number. The plasma smallholders’ harvest of fresh fruit bunch (FFB)  and sold to the company but BIG did not pay them.


As the result, the plasma areas’ harvest got decreasing for no regular nursery and fertilization. The age of trees should be in replanting program too.


“The villagers of Sungai Melayu really hoped to get the palm oil plantation company as the partner to develop the better palm oil areas. We do hope, BGA Group wants to develop palm oil areas in the ex areas of BIG where they won the auction held by the government,” he said.


The bitter experience that the people got for long becomes the lesson for them to have transparent and honest partnership. So Budi also hoped, BGA Group wants to help them as the partners in plasma system so that they could develop more and be wealthier.


Unfortunately, what Budi hoped as the representative of the villagers to BGA Group gets problems. The company faces the regulation about the operational license.


Of course, the people really hope, there would be solution and the regional government could cooperate with the plantation company and the government wants to realize palm oil enlargement to welfare the people too. It is important to have the goal for it can realize the villagers around to go forward and be better in the future. (T1)

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