Chairman of SPKS Aceh Demands Transparency as Hundreds of Thousands of Hectares of Business Rights Go Unused

Palm Oil Magazine
Illustration of Palm oil plantation. Photo by: palmoilmagazine.com

PALMOILMAGAZINE, ACEH TIMUR – Abubakar AR, Chairman of Serikat Petani Kelapa Sawit (SPKS) Aceh, expressed regret that business rights in the province were not being utilized according to the permits issued by the government to various companies. He pointed out that this situation is detrimental to smallholders, who could otherwise use these areas for their own cultivation.

Abubakar also criticized companies that have obtained business rights but have failed to comply with the Agrarian Laws and Law Number 39/2014 on Plantations. “The laws clearly state that companies are required to cultivate the land within five years of receiving the permits,” he told Palmoilmagazine.com on Tuesday, August 6, 2024.

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On Monday, August 5, 2024, Abubakar visited the National Land Agency (NLA) office in East Aceh Regency to inquire about business rights in the area. He learned that the NLA in East Aceh is not responsible for providing this information and that all authority lies with the NLA in Aceh Province.

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“The government should be transparent about this and not hide behind ‘authority.’ I will be submitting official documents to the NLA Aceh Province shortly, with a copy sent to the Minister of Agrarian Affairs/NLA,” he said.

SPKS also plans to meet with the NLA Aceh Province to obtain the names of companies that have been granted business rights, as well as information on those that have not obtained the necessary cultivation and plantation business permits.

He just wanted to know the companies that got rights on the land before 2 February 2021 and companies that were obliged to fasilitas pembangunan kebun masyarakat sekitar (FPKMS) that should be 20% from their business rights. “The companies should realize FPKMS after getting rights on land for three years. This should be informed. SPKS would keep monitoring it,” he said.

He also said about circulars from General Directorate of Plantation Ministry of Agriculture on 21 June 2024 that was signed by Director of Plantation Product Marketing and Process. The circulars mentioned that it would be the obligation for those that got business permits in plantation sub-sector. The circulars were with copy letter to Minister of Agriculture, Minister of Internal Affairs, Minister of Agrarian Affairs and Spatial/NLA, and Chairman of Steering Committee of Palm Oil Task Force.

“I would like to ask for head of Plantation and Agriculture Agency Aceh Province, and the agencies that deal with plantation in the regencies and cities, they should follow up the mandate of the circulars. Do not hide every information when someone ask for it. This is the government’s idea to welfare the people, not to enrich business permits’ holders, particularly by letting the areas be abandoned for tens of years,” Abubakar said.

He also reminded based on the 1945 Constitution, Chapter 33, the land belongs to the country and everything in it should be used to welfare its people. “This is a reminder. Do not ignore,” he said. (P2)

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