News Feed

Jakarta Rejects Bids For New Oil Palm Projects

Posted on : 01 Jul, 2016

 

In its attempt to crack down on the oil palm industry, whose uncontrolled expansion has been blamed for contributing to severe haze, Indonesia has rejected applications from 61 companies for new oil palm operations. It was not disclosed which companies had their applications rejected, nor if the applications were for new plantations or expansions to existing plantations.

 

As a result of the decision, almost one million hectares of land have been spared from conversion to oil palm plantations.

"We want to save our forests - development should continue - but we can't let it destroy our environment," said Mr San Afri Awang, a senior official from the Environment and Forestry Ministry. President Joko Widodo has also told planters to increase their yields by using better seeds, rather than expanding into new areas.

 

The oil palm industry has been blamed for starting uncontrolled forest fires with illegal slash-and-burn tactics. Last year was the worst so far, with large areas of South-east Asia covered in toxic smog, causing tens of thousands to fall ill and leading to flight cancellations and school closures.

 

Greenpeace Indonesia forest campaigner Kiki Taufik welcomed the move but said the government must ensure that the local authorities enforce the decision.

"Often these companies are rejected by the central government but then they start lobbying the regional government," he said.

 

Implementation of laws is difficult in the country due to heavy decentralisation of power across the archipelago of more than 17,000 islands, with rules set in Jakarta often flouted by local administrations.

 

Find out more about how Indonesia is driving sustainability measures in its oil palm industry, at CMT’s 8th ASIA Sustainable Oil Palm Summit on 4-5 August in Yogyakarta.