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Journal : Forest and Society

Accelerating Certification of Oil Palm Smallholders through Institutionalization of Various Incentives Wibowo, Lukas Rumboko; Erdi, Erdi; Hutabarat, Sakti; Nurfatriani, Fitri Nur; Utomo, Marcellinus; Nawireja , Iman Kasiman; Pramudya, Eusebius Pantja; Kurniasari , Dewi Ratna; Cahyono , Eko; Kurniadi, Rahman; Santosa , Andri; Fuad , Zainal; Satwiko , Aria Atyanto
Forest and Society Vol. 7 No. 2 (2023): NOVEMBER
Publisher : Forestry Faculty, Universitas Hasanuddin

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.24259/fs.v7i2.24679

Abstract

Sustainable palm oil certification has become a global demand, particularly in the market. However, the implementation of both Roundtable of Sustainable Palm Oli (RSPO) and Indonesian Sustainable Palm Oil (ISPO) certification schemes is relatively slow. This study aims to analyze to what extent incentives can accelerate sustainable palm oil certification, from what sources those incentives can be arranged, and types of incentives are appropriate for palm oil smallholders. The research uses quantitative and qualitative methods based on literature reviews, in-depth interviews with key stakeholders, and a survey of 455 farmers in two Indonesian provinces (Riau and West Kalimantan). Based on quantitative analysis, the reasons behind more progressive certification achievements in Riau remain unrevealed while in West Kalimantan, Fresh Fruit Bunches (FFB) price, easiness to obtaining loans with low interest, and easiness of selling FFB have a significant influence on accelerating certification. Using a qualitative approach, smallholders show their expectation of having incentives. In Riau, incentives expected are higher FFB prices and a simpler procedure to get the Environmental Management Statement (SPPL) document. In West Kalimantan, higher FFB prices and availability of low interest loans are expected to become incentives. These incentives can be mobilized from intergovernmental fiscal transfer mechanisms such as revenue-sharing mechanisms, export levies, and environmental funds. Smallholders also expect clarity of incentives generated from ISPO certification, particularly in price and market access, which requires the government’s initiative to develop synergy with various stakeholders. To be practical, incentives were not only for smallholders but also for the government officials at the province, district, and village levels, as the position of the local government is very important in preparing, encouraging, and mobilizing farmers, as well as in strengthening institutions for improving palm oil governance. In the implementation of RSPO certification, the collaboration between the Indonesian government (through the Ministry of Cooperatives and Small and Medium Enterprises) and the RSPO becomes clear evidence of central government support. At the sub-national level, the Riau and West Kalimantan Provinces have developed the Regional Action Plans (RAD) for sustainable palm oil as a policy commitment to accelerate both RSPO and ISPO certification.
Co-Authors Abdi, Reynaldi Putra Abdul Jawad Abu Yazid Raisal Ahmad Rifai Andrina, Hanifaturrahmi Antonius Rajagukguk, Antonius Arifudin arifudin Asriati Nofionna Cahyono , Eko Cepriadi Daniati, Septania Demiza, Khosfikra Dian Yayan Sukma, Dian Yayan Didi Muwardi Didi Muwardi Djaimi Bakce Dwi Nur Indah Sari, Dwi Nur Indah Edy Ervianto Eka Ernia Lestari, Eka Eliza Eliza Elmi, Imran Erdi, Erdi Eri Sayamar Ermi Tety Ermy Teti Eti Susanti Evi Sulastri Fadilah Fadilah Fahmi, Ziddan Fajar Manggala Putra Fajar Restuhadi Fakhriyah, Salsabila Faturrahman, Muhammad Ikhsan Febrizal Ujang Ferdian, Fhinta Syahila Fuad , Zainal Gabriel Aleksander Gultom, Marlina Octa Venita Hassan, Rohana Hendra Hidayat Hutabalian, Raja Hizkia Hutagaol, Princess Restauli Ibrahim, Sajid Indah Sari Tarigan Izzi, Mambaul Jaufia, Syakira Aqra Johannes Guisandro Kartika, Nursiti Sari Kausar ' Kezia, Deswita Kristin, Monika Sari Kriston Harianja Kurnia, Anita Kurnia, Deby Kurnia, Deby Kurniasari , Dewi Ratna Lamtiur Pratiwi Manurung, Lamtiur Lukas Rumboko Wibowo Lutfia, Anisa M. Yusuf Mahindra, Syaputra Dwi Manfaah, Siti Nur Manurung, David Pratama Manurung, Diva Cholis Marpaung, Noveri Masa Derita Ndraha Maulana, Farhan Miftahul Jannah Mubarak Mubarak Muhammad, Satyo Mukminin, Silakhul Mustaqim Mustaqim, Mustaqim Nawireja , Iman Kasiman Nia Bonita Octaviani Ningsi, Rani Fitri Arya Ningsih, Septia Warda Noveri Lysbetti M Novia Dewi Novia Dewi Novian Novian, Novian Nurfatriani, Fitri Nur Nurhalim Nurhalim, Nurhalim nursaldila, nursaldila Pasaribu, Dewi Fitri Novita Pramudya, Eusebius Pantja Purnomo, Karin Dwi Putra, Dandi Kelana Putri, Elvina Putri, Utari Cahyani Rahman Kurniadi, Rahman Rahyul Amri Rajagukguk, Jelita Mianarta Ramadhan, Roza Syahputra Restuhadi, Fadjar Ribka Betharia Pasaribu Rindu Trianita Romadani Siregar Rose Victoria TS Rosiki, Muhammad Habib Rosma, Iswadi Hasyim Safitri, Rifda Saiful Hadi Santosa , Andri Saputra, Muhammad Hakim Satwiko , Aria Atyanto Sembiring, Nurfatta Bru Septya, Fanny Shorea Kaswarina, Shorea Shorea Khaswarina Siagian , Ruben Cornelius Siahaan, Chandro Nainggolan Siahaan, Daniel Aliansyah Sianturi, Gabe Daniel Sihombing, Taruli Devi Simamora, Seltia Ledi Sara Simanjuntak, Anwar Ribert Sinaga, Enjellika Sinulingga, Muhamaad Septian Agung Siregar, Albert Timbul Siregar, Vivi Devina SISPA PEBRIAN Solly Aryza Stifany Christin Suardi Tarumun Suci Ramadhani, Suci Suwitno Syahidah, Hafizhah Mardhiatus Syaiful Hadi Tampubolon, Cindy Artha Ully Utomo, Marcellinus Valendino, Muhammad Yeni Kusumawaty Yulia Andriani, Yulia Yusmini, Yusmini Yusri, Jum'atri Zulhamid Ridho