Jakarta, July 26, 2021. The extension of Presidential Instruction No. 8 of 2018 concerning the Postponement and Evaluation of Oil Palm Plantation Permits and the Increase in Oil Palm Plantation Productivity, commonly known as the Palm Oil Moratorium, is crucial for the government to implement. This step can have a positive impact in the form of global market support for Indonesian palm oil products, trigger increased land productivity, resolve overlapping and land conflicts, and contribute to achieving climate commitments (NDCs). This was conveyed by Trias Fetra, Program Officer for Palm Oil Governance at the Madani Berkelanjutan Foundation.
Indonesia has committed to reducing Greenhouse Gas emissions by 29% on its own and up to 41% with international assistance by 2030. The largest ambition for emission reduction still comes from the forestry and land sector, with a target of reducing emissions by 17.2% to 38% by 2030. In the kick-off of the Indonesian delegation's preparations for the Glasgow Climate Change Conference on July 19, 2021, the Minister of Environment and Forestry even announced the "Indonesia FOLU 2030" Agenda, where Indonesia is envisioned to achieve a net carbon sink in the forestry and land sector by 2030. The extension of the palm oil moratorium will encourage the achievement of this climate ambition by restraining the expansion of oil palm plantations into forest areas and protecting natural forests already within palm oil permits. This extension will strengthen the government's corrective measures to significantly reduce the rate of deforestation.
" There are still around 5.7 million hectares of natural forest in Conversion Production Forest (HPK) areas that can be released for plantations. If the Palm Oil Moratorium is not extended and strengthened, the rate of deforestation will increase again and Indonesia could be at risk of failing to meet its climate commitments ," said Trias Fetra. In 2019-2020, among the six types of permits and concessions, the largest natural forest deforestation occurred in oil palm plantation permit areas, amounting to 19,940 hectares.
" The area of natural forest within oil palm permit areas is also quite significant. Based on 2019 land cover data, 3.58 million hectares of natural forest were recorded within oil palm permits, and 1 million hectares were recorded as primary forest. Of this total, approximately 1.43 million hectares were recorded as being within forest area releases, which are the object of permit evaluation under the oil palm moratorium policy. The implementation of the oil palm moratorium provides hope that natural forests remaining within oil palm permits will be evaluated and returned to forest areas. Madani's analysis found that of at least 24.2 million hectares of peat ecosystems in Indonesia, 6.2 million hectares of which are included within oil palm permits, with a detailed peatland area of 3.8 million hectares. The evaluation and permit review instruments within the oil palm moratorium can save this peatland area. The existence of peatlands must be protected and restored, considering that 99.3% of peatlands in Indonesia have been damaged and are at high risk of fire during the dry season. Our analysis shows that by saving 3.8 million hectares of peatland, the natural function of peatland can be restored. " This can prevent the release of 11.5 million tons of carbon per year due to burning or land conversion activities, which will certainly contribute to Indonesia's climate commitments ," added Trias Fetra.
Adrianus Eryan, Head of the Forestry and Land Division at ICEL, made a special note regarding the transparency and accountability of the Presidential Instruction's implementation. " It should be noted that there are still transparency and accountability issues in the implementation of the Palm Oil Moratorium Presidential Instruction. The government should not hesitate to disclose data and its achievements in this Presidential Instruction. For example, how much palm oil data in forest areas has been consolidated and verified, how many palm oil permits have been reviewed, and how many violations have been prosecuted and sanctioned. This form of transparency will certainly open up space for broader participation and collaboration, not only with civil society organizations but also local governments that have already taken good initiatives to implement the Presidential Instruction. If the homework in the Presidential Instruction has not been completed, then it is appropriate to extend the Instruction ."
" Based on experience over the past three years, the government has only been able to align data on the coverage and extent of palm oil permits. The government and stakeholders must realize that success is not only about not issuing new permits during the deadline, but also about resolving issues of productivity, market acceptance, deforestation, legal certainty for palm oil farmers, and overlapping and conflicting land rights. The government must demonstrate its seriousness by extending this moratorium as a follow-up step to improve the governance of the palm oil plantation industry as a whole ," said Agung Ady, FWI Campaigner.
" Indonesia's election as Co-Chair of COP 26, along with the UK, indicates positive global confidence in Indonesia's implementation of climate change mitigation and adaptation, despite the ongoing pandemic and climate change. This momentum must be maintained through a series of strengthening regulations and governance in the FOLU (Forestry and Other Land Use) sector, one of which is oil palm plantations. Therefore, the extension and strengthening of the oil palm moratorium is crucial to prevent the clearing of forest areas for oil palm plantations, ultimately achieving the target of zero emissions by 2030 ," concluded Rahmadha, Kaoem Telapak's Palm Oil Campaigner.
Media Contact:
Trias Fetra, Program Officer for Palm Oil Governance, Madani Berkelanjutan Foundation (fetra@arsip.madaniberkelanjutan.id / 0877-4403-0366)
Agung Ady Setiyawan, Forest Watch Indonesia Campaigner (agung_ady@fwi.or.id / 085334510487)
Rahmadha, Kaoem Telapak Palm Oil Campaigner (rahmadha.syah@ kaoemtelapak.org / 081288135152 )
Adrianus Eryan, Head of Forestry and Land Division of ICEL (adri@icel.or.id / 081386299786)
