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<\/p>\nJAKARTA – The Head of Palm Oil Research Center at Bogor University of Agriculture (IPB), Budi Mulyanto said that the government decision to reforest certain locations of oil palm plantations will reduce the national production of palm oil and cause many people to lose their jobs.<\/p>\n
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Budi said the reforesting program will also hinder the production of biodiesel, which has been planned to be upgraded\u00a0 by President-elect Prabowo Subianto after taking over the government from President Joko Widodo (Jokowi) later this year.<\/p>\n
He reminded the next government should have an effective solution to replace the reforesting program, if it wants to see its biodiesel mandatory program successful.<\/p>\n
\u201cThe problems of oil palm plantations suspected to have encroached the forest areas should be resolved first before initiating its B50 project. There is no way the B50 can be successful if the problematic plantations are not yet tackled,” Budi said during a public discussion recently.<\/p>\n
According to Budi, \u00a0currently the government claims that there are a total of 3.4 million hectares of oil palm plantations found encroaching forest areas.<\/p>\n
It stipulates in the government regulation in lieu of regulation (Perpu) No.2\/2022 on job creation, particularly its article of 110A and 110B. The 3.4 million hectares consist of 2.4 million hectares of oil palm plantations subjected to to its article 110B and the rest to its article 110A. Those subjected to article 110B will have to pay fine and return their plantations after completing one cycle of cultivation.<\/p>\n
The Indonesian Palm Oil Association (GAPKI) Chairman Eddy Martono said that a number of companies subjected to article 110B had received the fine bills. \u201cThey fine is set at Rp96 million per hectare,\u201d said Eddy.<\/p>\n
He said that besides the fine payment, the companies can only use the palm plantations for just one cycle of cultivation, which is 25 years. After that, a total of 2.4 million hectares will be returned to forest areas,\u201d he said.<\/p>\n
Eddy said that such policy has really burdened the oil palm growers, and it will cause the reduction of national production of palm oil. (*)<\/p>\n