The jurisdictional approach has been widely used to address multifaceted issues associated with commodity-driven deforestation. Risk assessment at the jurisdictional level is required to implement jurisdictional programs. We developed a risk framework and indicator to assess the risks associated with achieving sustainable palm oil, using Pelalawan District as a case study. Pelalawan scored 0.48 out of 1, with the highest risks in the percentage of deforestation driven by oil palm plantation in mineral forest and pressure due to demand by global trade/export. Risks that are not mitigated will hamper the district’s effort to achieve sustainability. Following the assessment, we brought together multistakeholder in a workshop to develop a common vision using the theory of change framework. This study introduces new ways to approach sustainable palm oil initiatives in the palm oil sector using risk assessment and a theory of change framework.
Tag: oil palms
Indonesian palm oil towards sustainability: a system dynamic approach
The role of Indonesian palm oil in economic development and environmental degradation is a highly debated topic. Palm oil is essential to national development in Indonesia by providing a livelihood for millions of smallholder growers, plantations, and industries labor; it also contributes to national revenue from domestic and global trade. However, the growth of the palm oil industry also brings negative environmental impacts. The expansion of oil palm plantations is considered as one of major drivers for deforestation, peatland draining, and fire, leading to biodiversity decline, habitat loss, and greenhouse gas emissions. Here, we develop a system dynamic modelcalled SIPOS (Simulation of Indonesian Palm Oil Sustainability) to understand the current dynamic of the palm oil value chain to the economy and environment. We simulate the future condition of the palm oil sector with sustainability interventions such as intensification, implementation of No Deforestation, No Peat, and No Exploitation (NDPE), and trade. The model simulation result will include various indicators such as plantation extent, palm oil production, deforestation from the palm oil sector, Greenhouse Gas (GHG) emissions, and revenue from the palm oil trade. This study aims to show the use of a system dynamic model for sustainability scenario development, simulate multiple scenarios, measure the impact on the economy and environment, and then compare the benefits and disadvantages of each scenario.
Simulating jurisdictional approach and scenario for sustainable palm oil using value chain dynamic model
In Indonesia, the jurisdictional approach is one of a key strategy for enhancing sustainability for agricultural export commodity production such as palm oil. However, the implementation still faces some challenges, including monitoring and accountability. This research aims to develop a value chain dynamic model called JAPOS (Jurisdictional Approach Modelling for Palm Oil Sustainability) that can simulate the impact of scenario and intervention, including policy, on the various indicators of sustainability at the jurisdiction level such as palm oil production, Greenhouse Gases (GHGs) emissions, deforestation, and revenue from palm oil trade. We applied the model to simulate the results of multistakeholder processes at Sintang District, Indonesia, for the Sustainable Palm Oil Regional Action Plan (RAD KSB). The simulation shows that implementing the No Deforestation, No Peat, and No Exploitation (NDPE) policy will significantly impact (89%) the GHGs emissions reduction from the oil palm sector after ten years of implementation. However, it will cause around 24% production loss and an 18% loss in the revenue from the palm oil trade in Sintang District. Our model suggested that if NDPE is implemented along with intensification and premium price incentives, it will still significantly impact GHGs emission reduction and recover palm oil production and economic loss. This study shows the usefulness of the value chain dynamic model for policy scenario development in supporting the implementation of the jurisdictional approach.
Jurisdictional Approaches for Sustainable Palm Oil in Indonesia
CIFOR-ICRAF and partners are conducting research to increase the readiness of selected palm oil producing regions to implement jurisdictional programmes (JPs) for sustainable palm oil through a participatory, multistakeholder and gender-inclusive approach by using lessons learned from JPs carried out by CIFOR-ICRAF and other parties.
Sertifikasi Kakao Berkelanjutan: Problematika Sertifikasi Kakao Berkelanjutan
Dokumen ini merupakan kajian atas problematika yang berkelindan disekitar upaya penerapan Sertifikasi Kakao Berkelanjutan (selanjutnya disingkat SKB) di Indonesia. Dokumen ini menyajikan mulai dari sejarah kakao Indonesia dan perkembangan signifikan dalam lima tahun terakhir, upaya menghijaukan rantai pasok industri kakao, sertifikasi keberlanjutan untuk kakao, hingga perbandingan antar ke empat skema sertifikasi yg menjadi pemain utama dalam SKB di Indonesia. Ke empat skema sertifikasi tersebut adalah RA & UTZ, Fairtrade, Organic, dan ISCocoa (Standar Nasional).
Comparative Analysis on Oil Palm Standard and Initiative to Promote Sustainability Commodities Production
Palm oil is the most prospective feedstock compared to other vegetable oil, namely soybean, sunflower seed, and rapeseed. Considering that palm oil has a higher production yield, low fertiliser, water, and pesticide needed for the plantation, palm oil is seen as one of the most productive sources of biodiesel (Mekhilef, Siga, and Saidur 2011).
Sustainability certifications, approaches, and tools for oil palm in Indonesia and Malaysia
Various approaches and tools have been developed to promote sustainable production of palm oil, including sustainability standards and certification systems (both voluntary and mandatory), jurisdictional approaches as a pathway for sustainable sourcing of commodities within political boundaries, and tools assessing sustainability performance. This study (part of the broader EU-funded KAMI – Sustainability of Indonesian and Malaysian Palm Oil – project) compares existing sustainability certifications, approaches, and tools addressing the oil palm sector in Malaysia and Indonesia, especially in regard to environmental thresholds, inclusion of smallholders, social protections including for indigenous peoples, and operational modalities.
Achieving Sustainability in the Palm Oil Sector: Challenges and Key Interventions for Indonesia and Malaysia
This brief identifies challenges and key interventions to achieve sustainability, especially those focusing on smallholders and at the subnational jurisdictional level. Interventions are defined as incentives, disincentives, and/or enabling measures through initiatives, programs and policies with goals and aims for sustainability. This brief draws on data collected using two main methods: (1) consultations with Indonesian and Malaysian stakeholders at various levels (national, state/provincial, and district) through focus group discussions and interviews, and (2) literature review.
Challenges and key interventions to transition to sustainability in Indonesia and Malaysia
This study identifies challenges and examines the needed interventions to achieve sustainability, especially those focusing on smallholders and at the subnational jurisdictional level. Interventions are defined as incentives, disincentives, and/or enabling measures through initiatives, programs, and policies with goals and aims for sustainability. This study addresses the following questions: (1) What are the challenges related to sustainability faced by the palm oil sector? and (2) what are the key interventions needed to lift jurisdictions/districts and especially independent smallholders to sustainability? Based on a literature review of studies conducted in Indonesian and Malaysia and focus group discussions and interviews with key stakeholders, this study identifies challenges and some key interventions that can support jurisdictions, particularly smallholders, in transitioning to sustainability.
Oil palm and rubber-driven deforestation in Indonesia and Malaysia (2000-2021) and efforts toward zero deforestation commitments
This study evaluates the oil palm and rubber-driven deforestation in Indonesia and Malaysia between 2000–2021 through secondary data analysis from a rich data set by collecting and integrating secondary data from multiple sources. Results show a significant tree cover loss, including 82% and 250% of primary forest loss in Indonesia and Malaysia. Oil palm harvested area increased by 650% in Indonesia and 50% in Malaysia, while palm oil production rose by 566% in Indonesia and 65% in Malaysia over the same period. The study also find that rubber-harvested areas increased by 54% in Indonesia but decreased by 20% in Malaysia, with rubber production increasing by 108% in Indonesia but decreasing by 49% in Malaysia. Over the past two decades, Indonesia’s palm oil export volume has risen by 619%, while Malaysia’s has increased by 83%. Indonesia’s natural rubber export volume also increased by 69%, but Malaysia’s decreased by 33%. The study reveals that the impact of oil palm and rubber on deforestation varies by region and period. However, plantation expansion and associated forest conversion have slowed, which can be associated with the consumer demand for no deforestation oil palm and rubber products. Many of the world’s largest traders and producers have pledged zero deforestation commitments, guaranteeing the elimination of deforestation from their supply chains in Indonesia and Malaysia. Such commitments can only be accomplished through government, private sector, farmers, and community collaboration. Finally, to ensure sustainability in these sectors, comprehensive policies and practical solutions that support farmers’ livelihoods are also crucial.