Artículos

Management of Palm Oil by the Government of the Republic of Indonesia

Gestión del aceite de palma por el gobierno de la República de Indonesia

CHOIRUL SALEH
Brawijaya University, Indonesia
WAWAN H. HARDIWINATA
Brawijaya University, Indonesia
LELY INDAH MINDARTI
Brawijaya University, Indonesia
SOESILO ZAUHAR
Brawijaya University, Indonesia

Management of Palm Oil by the Government of the Republic of Indonesia

Utopía y Praxis Latinoamericana, vol. 25, no. Esp.10, pp. 336-353, 2020

Universidad del Zulia

Received: 28 August 2020

Accepted: 31 October 2020

Abstract: Sustainable palm oil governance in Indonesia becomes part of the work governance perspective. This type of research is a qualitative one, historical patterned with descriptive analysis. Data collection methods used are observation, interviews, and documentation. Data analysis was performed by using the model of Miles, Huberman, and Saldana consisting of four activities, namely combining data, condensing data, displaying data, and gathering conclusions and verification. There are many actors involved in the implementation of indonesian sustainable palm oil. Local people who agree with the law can accept or reject the development of oil palm on the land they claim.

Keywords: Governance, model, palm oil, sustainable..

Resumen: La gobernanza sostenible del aceite de palma en Indonesia forma parte de la perspectiva de la gobernanza laboral. Este tipo de investigación es una investigación cualitativa, histórico-modelada con análisis descriptivo. Los métodos de recopilación de datos utilizados son la observación, las entrevistas y la documentación. El análisis de los datos se ejecutó utilizando el modelo de Miles, Huberman y Saldana el cual consta de cuatro actividades, a saber, combinar datos, condensar datos, mostrar datos y recopilar conclusiones / verificación. Hay muchos actores involucrados en la implementación del aceite de palma sostenible de Indonesia. La población local que esté de acuerdo con la ley puede aceptar o rechazar el desarrollo de la palma aceitera en la tierra que reclaman.

Palabras clave: Aceite de palma, gobernanza, modelo, sostenible..

INTRODUCTION

History, potential, and opportunities for oil palm development indicate that oil palm still has positive prospects going forward, especially in relation to added value and competitiveness, in the context of sustainable and equitable palm oil development. However, oil palm also faces various problems / obstacles related to technology, economy, social, environment, and governance. These problems need to be addressed so as not to distort the competitiveness of Indonesian palm oil products on the world market. The basis and orientation of governance for the development of the palm oil industry above is that the ISO generally refers to governance reforms originating from around 130 laws and regulations (2016 ISO Commission) which can serve as guidelines for the development of the sustainable palm oil industry. The policy aims to ensure that the development of the Indonesian palm oil industry is balanced and synergistic in terms of the environment, socio-culture and economy. Past experience shows that Indonesian palm oil management policies tend to leave problems, both laborers with low wages, socio-cultural impacts of the emergence of conflicts around oil palm plantations, as well as environmental impacts whose management is detrimental to the general public such as forest fires where the effects of haze can adversely affect health and disrupted economic activity. Oil palm's past policies are considered to have become a nightmare in oil palm management in Indonesia, leaving environmental, social and economic problems (Kelly: 2020).

Indonesian palm oil governance is currently carried out based on the main provisions of the plantation regulations namely Law Number 39 of 2014 concerning plantations and their derivatives, Indonesian palm oil is carried out by large business actors (private and state) and farmers-farmers. institutions / agencies related to their functions and roles in the current governance of Indonesian oil palm, namely as follows: the ministry of economic coordinator ri (coordinating national policy on Indonesian palm sustainability); the ministry of agriculture ri (licensing and technical management of upstream oil palm); ministry of agriculture and spatial planning - atr / bpn (licensing, land use and land use); Ministry of Forestry and Environment (licensing of forest area governance and environmental management); Ministry of Trade (palm licensing, promotion and advocacy); Ministry of Industry (licensing and governance of downstream palm oil industries); the ministry of labor (licensing and management of worker safety); the ministry of cooperatives and SMEs (licensing and governance of employee cooperatives and community palm cooperatives); Ministry of ESDM (licensing and governance of palm oil bio-energy-biodiesel); bumn ministry (licensing and governance of state-owned oil palm companies); Ministry of Finance (licensing and governance of state finances for Indonesian palm oil); ministry of PPN/Bappenas (national planning of Indonesian oil palm development according to RPJPM); the foreign ministry (Indonesian palm oil advocacy and diplomacy); national standardization body (Indonesian palm standard / ispo); provincial / district government (licensing, partnership builder, and business evaluation of oil palm plantations): ispo commission (including ispo certification body and ispo auditor training); oil palm plantation fund management agency-bpdp (collect, manage and distribute palm funds specifically for Indonesian palm oil). Other institutions related to Indonesian palm governance are non-governmental organizations.

There are four main decision points that determine the cumulative scale of deforestation and peatland conversion related to oil palm, namely: 1) where oil palm is planted as a result of decisions made on spatial planning, licensing, and estate planning and development; 2) how much oil palm is planted, which is driven by domestic and international demand and prices, yields per ha, taxes and duties, government planting targets, and government bi-fuel policies; 3) how off-site activities related to oil palm development are managed (for example, road construction and population growth related to plantations); and 4) how leakage of deforestation from other competing land uses is handled. Among these four factors, the series of decisions that determine where oil palm is planted has the greatest and most complicated deforestation impact to be tackled.

One of the most recent developments in Indonesian palm oil management that is expected to be revisedLaw Number 18/2004 concerning plantations. The new plantation law, which was passed in October 2014 byPresident Susilo Bambang Yudhoyono, is more concise and clear than its predecessor. This new law is not very prescriptive and refers to existing legal provisions if needed, and if not yet available, it explains various government regulations that will be made by the relevant ministries within two years (until October 2016). According by Palm Oil Plantation Statistics, 2014-2015 from his research explained that the management system of community shared forest resources (CBM) that is used for oil palm development is carried out with the principle of shared, empowered and shared in terms of land use, time and results in the management of forest resources with the principle of mutual benefit, strengthen and support and awareness of social responsibility. according by Dwiyanto (2011) governance is part of governance in the development sector (palm oil, pen) for the level of the central and regional governments. the definition of palm governance is a collaborative management mechanism for palm oil that involves the government and non-government sectors in a collective effort (Jowseya et al.: 2020; Hernández et al.: 2018; Ramírez et al.: 2018; Villalobos et al.: 2016).

Dewi et al. (2012), good governance is needed to build and organize responsible management structures and processes that can open, facilitate, and provide opportunities and forums for dialogue that are constructive, sharing information, communicating and making decisions together- same for various problems. governance means the establishment and maintenance of a collaborative structure and process for managing a business or business across stakeholders, which includes government, business / industry, and the community. in addition, the involvement of stakeholders who play a key role in decision making needs to be accompanied by an increase in their respective capacities to support a responsible governance system. therefore, responsible governance requires the creation of conditions and situations that are conducive to good collaborative governance. Nogi and Tangkilisan (2003) cited Dewi et al. (2012) argued that collaboration is a process involving people who constructively explore their differences and goals and then seek and develop their plans to change good management for all parties.

Ali et al. (2018) the results of his research concluded that collaborative governance in the managementof tourism areas in the regional tourism promotion agency is able to make a major contribution to the development and progress of the tourism sector in the region. Ade Febrian (2016) the involvement of various parties in the development of rural areas has the potential to advance the village by collaborating with the available resources. Collaboration starts from the development plan discussed by the central government, provincial government, district / city government, and village government and even vice versa from the village to the central level through a consensus. the problems that occur in this context seen from the concept of collaborative governance are the lack of context systems that are seen from the changing conditions of the legislation, drivers seen from the leadership elements that greatly affect development planning in the village, and the dynamics of collaboration that occur are unfavorable conditions all parties so that sectoral egos still occur. the concept of collaborative governance as an alternative basis is considered capable of realizing the acceleration and implementation of rural areas as a solution for those who will develop and implement rural areas in the form of policies or research.

In general it is explained that collaborative governance is a process in which various stakeholders are involved to carry the interests of each agency in achieving common goals (Cordery: 2004; Hartman: 2002).

Oil palm plantations are one of the mainstay industry sectors that attract serious attention from thegovernment, investors (private sector) and farmers (community) who are never devoid of the dynamics of the problem. conflict between stakeholders as described above. therefore this study will explore "sustainable Indonesian palm governance in the perspective of collaborative governance", which was carried out on the ISPO system of the Ministry of Agriculture of the Republic of Indonesia. Research purposes. This study aims to: analyze sustainable Indonesian palm governance in the perspective of collaborative governance.

LITERATURE REVIEW

Collaborative governance

Concept and definition of collaborative governance

Collaborative Governance is a process in which various stakeholders are involved to carry the interests of each agency in achieving common goals. (Cordery: 2004; Hartman: 2002). Collaborative Governance is also defined as an arrangement that regulates one or more public institutions directly involved with non-public stakeholders in a collective decision making process that is formal, consensus-oriented, and deliberations aimed at making or implementing public policies or managing public programs or assets. (Ansell & Gash: 2007).

Collaborative Governance is based on the aim of jointly solving problems or specific issues from related parties. The party is not only limited to government and non-government agencies, because in the principle of good governance, it involves civil society in the formulation and decision making. Collaboration is initiated based on the limited capacity, resources and network owned by each party, so that cooperation can unite and complete various components that drive the success of achieving common goals. In the formulation of goals, vision-mission, norms and shared values in cooperation, the position of each party is equal, that is, it has the authority to make decisions independently even though it is bound by mutual agreement. (Purwanti: 2016).

Initiator of the establishment of Collaborative Governance

The dynamics of development that have been carried out since the Old Order era until the New Order era and even the current reform era have no orientation towards the improvement of people's welfare and environmentally sustainable development, which in the end the development that has rolled out over the past few decades has become of no quality. One indicator is that although economic growth is generally relatively stable from year to year, people's welfare has not been realized in real terms. This grim experience indicates that there was a mistake in development planning besides the small role of the people. The limited role and involvement of the community makes the policy that was born from the development process become a complex problem that actually inhibits the creativity of the community to do their best in the development. This is mainly due to the fact that when making decisions related to development policies, the community is not involved, which ultimately results in unilateral decisions, including in development planning. In the new paradigm approach, starting a new era of development (after a failure in the previous era), now it is always preceded by a program planning process that is mature, measurable, and systematic and involves the community for the decision making stage. Development orientation now shifts to people centered or also commonly called community based development. Development that is based on the community or known as community-based development (CBD), namely community-based development is a new development paradigm that is currently widely used in the development process (Tasruddin: 2016). In its approach, people are encouraged to be actively involved in decisions in the development process, both in the planning, implementation and maintenance stages. But the government remains as the initiator of the collaboration. In his journal, Ansell and Gash emphasized that in the definition of collaborative governance, one of the criteria was that the collaborator was a public or government institution. The collaborative governance criteria as stated by Ansell and Gash are as follows:

"This definition stresses the six important criteria: (1) the forum is initiated by public agencies or institutions, (2) participants in the forum include nonstate actors, (3) participants engage directly in decision making making are not merely" consulted "by the public agencies, (4) the forum is formally organized and meets collectively, (5) the forum aims to make decisions by consensus (even if consensus is not achieved in practice), and (6) the focus of collaboration is on public policy or public management” (Ansell & Gash: 2007: 544-545).

That community-oriented development provides an opportunity for every community-oriented member to give an opportunity for each member of the community to participate in the development process and enjoy the results of development according to their ability levels. The development goal with a participatory approach is in order to accelerate the creation of a development climate that encourages efforts to provide space and wider access for the community to participate in determining the direction of development policies that suit their needs. The government does not only rely on internal capacity in implementing policies and implementing programs. The limited ability, resources and networks that support the implementation of a program or policy, encourage the government to initiate collaborative initiatives with various parties, both with fellow governments, the private sector and the community and civil society communities so that collaborative cooperation can be established in achieving program or policy goals . (Purwanti: 2016).

The implementation of development in regions involving various stakeholders is accompanied by various authorities in it, including the utilization and management of natural resources, which are very vulnerable to conflicts. Development of the era of regional autonomy will run well if it has the same perception of regional freedom and authority, in addition to the ability to control themselves in carrying out their duties and authorities by each component in accordance with applicable laws and regulations. The different perceptions of stakeholders regarding regional authority in implementing regional autonomy will continue to be one of the triggers for conflict between them. The conflict between the center and the regions is more due to differences in perceptions of regional autonomy policies, especially in terms of authority between the center and the regions. While conflicts between regions (provinces and regencies / cities) are caused by, among other things, struggles over authority and differences in interests. Conflicts between the government and the community are mostly triggered by differences in perception and interests. Conflicts between institutions also appear to be driven more by power struggles and differences in interests. On the other hand, conflicts between the government and the business world are caused more by differences in will and interests. Furthermore, conflicts between the community and the business world are also caused by differences in interests and desires. The private and community domains are the key drivers of the community's economy. This synergy and collaboration is not only at the level of implementation, but must start at the development planning stage. In an effort to achieve development success, community participation is absolutely necessary, which includes:(1) participation in the development process, (2) participation in the accountability of development outcomes,participation in receiving development returns. Community participation in development is certainly adjusted to their respective capacities, namely: certain communities are given the opportunity to participate in development planning and other communities participate in the implementation of development.

Some advantages of the government running collaboration in implementing development programs (Tasrudin, 2016, 53-54) [21], namely:

Collaboration built has implications for improving the welfare of the community. Communities must be given greater opportunities to participate, both in planning and implementing development, especially in assessing the extent to which development is able to improve the socio-economic conditions of thecommunity, increasing the willingness of people to participate in development, and increasing the ability of communities to take advantage of their opportunities to participate in development.

However, it is recognized that collaboration is still faced with several problems, including: (1) conflicts of interest that can lead to differences between program goals and community / private goals, (2) internal factors such as level of education and skills, social status, and the number of family dependents, (3) external factors such as the influence of local authorities and incentives from institutions outside the region.

In collaboration there are also government and non-government parties in it. The parties participated in providing technical assistance from related parties to conduct formal and informal meetings on a regular and repeated basis to conduct discussions and dissemination related to the rules of collaboration and collective work. The formal meeting was then followed up in the signing of a Memorandum of Understanding regarding joint programs and activities.

Sustainable palm oil governance in Indonesia

The concept of development and governance is an instrument of government, not only in the sense of government that involves the state apparatus, but also governance that forms various forms of institutions, both the business world, to civil society. Development and governance are essentially decisions or choices of actions that directly regulate the management and distribution of natural, financial and human resources in the public interest, namely the people, population, community or citizens so that a policy is the basis for implementing activities or decision making with a view to building a clear foundation in decision making and the steps taken by the policy based on existing problems in the area, then the policy must be continuously monitored, revised and added in order to continue to meet changing needs.

A simpler definition states that development and governance are nothing more than the government's choice to do or not do something; whatever government chooses to do or not to do (Bridgman, 2000 in Ariadi, 2004). [22] Every regulation or regulation is a policy, but not all policies become regulations or become laws. Broadly speaking, the policy can be interpreted as:

  1. 1. Decision making process,
  2. 2. Managerial process in making and implementing a policy,
  3. 3. Government intervention, and
  4. 4. Interaction between the state and the people.

The initial stage of sustainable Indonesian palm governance refers to Minister of Agriculture Decree No.357 of 2002 and changes to Minister of Agriculture No. 98/2013 [25] concerning the Guidelines for Plantation Business Licensing, the development of plantation businesses must include Farmers, Employees, and Communities around plantations with the pattern:

  1. 1. Plantation Business Cooperative Patterns; 100% of venture capital is owned by the Plantation Business Cooperative.
  2. 2. Joint Venture Patterns of Cooperatives with Investors; 65% shares are owned by cooperatives and 35% are owned by investors / companies.
  3. 3. Cooperative Investor Joint Venture Patterns; 80% shares are owned by investors / companies and at least 20% are owned by cooperatives which are gradually increased.
  4. 4. BOT (Build, Operate and Transfer) Patterns; the construction and operation are carried out by the investor / company which then at a certain time is entirely transferred to the cooperative.
  5. 5. BTN Pattern (National Savings Bank); investors / companies develop plantations and / or processing plantations which will then be transferred to interested persons / owners who are members of cooperatives.
  6. 6. Other development patterns that are mutually beneficial, strengthening, and needing between smallholders and plantation companies.

ISPO is a guidance/guidance for the development of Indonesia's sustainable oil palm plantations which is based on the laws and regulations in force in Indonesia and responds to the demands of the global market. The purpose of establishing ISPO is to raise awareness about the importance of producing sustainable palm oil; improve the competitiveness of Indonesian palm oil in the international market; support Indonesia's commitment to reduce greenhouse gas emissions; support the unilateral commitment of the Indonesian government in Kopenhagendan and the Based Line on LOIIndonesia and Norway Programs. Thus ISPO is a mandatory that must be carried out by all Indonesian palm oil entrepreneurs. Other objectives are to position Indonesia's oil palm development as an integral part of Indonesia's economic development; solidifying the basic attitude of the Indonesian people to produce sustainable Indonesian palm oil according to the demands of the global community; support Indonesia's commitment to preservation of natural resources and environmental functions.

From the explanation in Chapter II, the conceptual model of research can be described as follows:

Figure 1. The Flow of Sustainable Indonesian Palm Governance Research Framework
Figure 1. The Flow of Sustainable Indonesian Palm Governance Research Framework

METHODS

Type of research

This type of research is a qualitative research with case studies, namely research that seeks to find scientific truth by studying in depth for a long time. From this design, a picture of the phenomenon of the research problem, the facts of the problem, the nature and relationship between the phenomena of the Indonesian oil palm governance in a Collaborative Governance perspective can be seen. After all is complete,the categorization of that fact is carried out and then enters the hypothesis formulation stage as research findings. This is a new proposition which is the end of the research conclusion.

Research focus

The focus of this research is:

Sustainable Palm Oil Governance in Indonesia and its problems, including:

Research locations

The location of the study was conducted at the secretariat of the ISPO Commission Jakarta, the Indonesian Ministry of Agriculture, and the Indonesian sustainable palm oil parties involved in the ISPO commission, with the following reasons:

  1. 1. The importance of Indonesian palm oil as a source of state income and being able to become a potential mainstay for the Indonesian state and society, its distribution is evenly distributed in Sumatra, Sulawesi, and Kalimantan and Papua. When incorporated with ISPO, the sustainability and sustainability of oil palm plantations can be guaranteed.
  2. 2. ISPO is a new concept of sustainable Indonesian palm governance that is expected to be able to strengthen and increase the acceptance of Indonesian palm oil in the international market. For this reason, ISPO has a secretariat where the ISPO commission is active in overseeing sustainable Indonesian palm oil management.

Data sources and data types

Specifically, the data and information needed in this study will be obtained from various parties. These parties are the government (Ministry of Agriculture of the Republic of Indonesia), Provincial and Regional Governments, Village Governments, oil palm business associations, large companies, medium-sized companies and smallholders, and communities and NGOs concerned with Indonesia's sustainable palm oil policy.

According to Emerson and Nabatchi (2015) the main data sources in qualitative research are words and actions, the rest are additional data such as documents and others. However, to complete the research data, two data sources are needed, namely the primary data source and the secondary data source.

Primary data sources

Primary data is data collection using observational instruments, interviews, field notes and use of documents. Primary data sources are data obtained directly by interviewing informants or direct sources. Primary sources are data sources that directly provide data to data collectors (Sugiyono: 2015). As in this study the primary data sources were obtained from observations, events, and direct interviews with Indonesian Palm Business Actors: (PBS, PTPN, Farmers / Planters), Associations related to oil palm: (DMSI, GAPKI, GPPI, GIMNI, AIMMI, APROBI, APOLIN , APKASINDO, ASPIR PIR, SAMADE, C-POPC), and communitymembers and NGOs (MAKSI, PASPI, SPKS, Kehati, Sawit Watch, WALHI, FWI, WRI etc.).

Secondary data sources

Secondary data sources are data used to support primary data through literature studies, documentation, books, magazines, newspapers, written archives relating to the object to be examined in this study. Secondary data sources are sources that do not directly provide data to data collectors, for example through other people or documents (Sugiyono: 2015). Secondary data sources in this study include regulators or policies issued by the Ministry of Agriculture and other related Ministries, Provincial Governments and Local Governmentsrelated to the palm oil industry. And other data includes; archive of performance reports and documents / other data relating to research problems.

Data collection methods

The data collection technique used in this study is to use free (non-structured) interviews. Conduct participant observation, examine documents based on the source and type of data, conduct field reviews with direct observation of symptoms and social interactions. Words are arranged based on actions while comparing written sources (documents), field notes, maps and statistical data. To obtain the information and research data needed, the researchers conducted through a model technique developed. (Emerson & Nabatchi: 2015).

Data validity

Every research requires a standard to see the degree of trust or truth of the research results. In qualitative research these standards are often referred to as data validity. The validity of the data of this study was attempted through the application of the criteria recommended by Handayaningrat (1988) that there were four criteria used to check the validity of the data, namely the degree of trust (credibility), transferability. , dependability (dependability), and certainty (confirmability).

Data analysis and data interpretation

According to the Miles data analysis model, Huberman (2013) [41], the analysis consists of four activities, namely data collection, data condensation, data display, and conclusion drawing / verification ( conclusion drawing / verification).

RESULTS

Sustainable palm oil governance in the collaboration governance perspective

The management of Indonesia's sustainable palm oil is inseparable from the existence of Indonesia Sustainable Palm Oil (ISPO). ISPO emerged as an initiative of the Indonesian government, especially the Ministry of Agriculture on awareness / declaration that management of natural resources including oil palm plantations must be carried out sustainably.

Sustainability governance principles are further elaborated in several policies of the Government of Indonesia. This is as explained by the ISPO Secretariat Directorate General of Plantations, as follows:

... In implementing the sustainability principle policy, the government adopted policies including (1) Minister of Agriculture Regulation No. 26 / Permentan / OT.140 / 2/2007 dated February 28, 2007 concerning Guidelines for Plantation Business Valuation (PUP); (2) Minister of Agriculture Regulation No. 14 / Permentan / PL.110 / 2/2009 concerning Guidelines for the Utilization of Peatlands for Oil Palm Cultivation. (3) Regulation of the Minister of Agriculture No. 19 / Permentan / OT.140 / 3/2011 dated 29 March 2011 concerning Guidelines for Sustainable Palm Oil Plantations (ISPO); (officially enacted from March 2012); (4) Regulation of the Minister of Agriculture of the Republic of Indonesia No. 98 / Permentan / OT.140 / 9/2013 concerning Guidelines for Plantation Licensing; (5) Regulation of the Minister of Agriculture of the Republic of Indonesia Number 18 / Permentan / OT. / 2016 concerning Guidance for Rejuvenation of Oil Palm Plantations; (6) make a policy that oil palm plantations that have received Class I, Class II, and Class III can directly apply for ISPO Certification; Class I, Class II, and Class III oil palm plantations must apply ISPO no later than 31 December 2014; and (7) the application of ISPO is mandatory in the sense that all relevant provisions that apply in Indonesia (more than 100 regulations related to oil palm) must be obeyed and applied by all palm oilbusiness actors and will be dealt with for those who violate. (8) Permentan ISPO, No. 19/2015. ... (Interview, October 2019).

Collaboration governance initiator in sustainable Indonesian palm management

Sustainable palm oil governance in Indonesia is related to the involvement of all stakeholders in oil palm plantations, be it the government, business actors (companies and farmers) to the downstream industry or processing of palm oil derivative products. The government took the initiative through the Ministry of Agriculture to issue the Indonesian Sustainable Palm Oil (ISPO) policy as the government's commitment to the sustainability of the palm oil industry in Indonesia. This is as explained by the ISPO Secretary General of the Ministry of Agriculture as follows:

… In March 2011, the Indonesian Government through the Ministry of Agriculture, launched the Indonesian Sustainable Palm Oil (ISPO) Guidelines. Through ISPO, the Government of Indonesia wants to encourage the oil palm plantation business to fulfill its obligations in accordance with statutory regulations, protect and promote the sustainable oil palm plantation business in accordance with market demands, also to support the commitment of the President of the Republic of Indonesia to reduce greenhouse gas emissions (Interview, October 2019).

Actor collaboration governance in sustainable palm oil management in Indonesia

The implementation of ISPO is a program that was built in order to carry out sustainable management of palm oil. The hope is to be able to increase and preserve the ecological, economic and socio-cultural importance, in order to protect and promote the oil palm plantation business in Indonesia, which is managed in a sustainable manner, in accordance with market demands and to increase community income and support sustainable development. In order to achieve this goal, it is desirable to have the involvement of many relevant stakeholder actors. The sustainability of ISPO will not run by only relying on institutions that deal with the plantation sector. Therefore, in implementing ISPO, there are several stakeholders that have been identified in this study, which are as follows: Ministry of Agriculture, Coordinating Ministry of Economy, Ministry of Trade, Ministry of Home Affairs, Ministry of Forestry, Oil Palm Plantation Companies, PTPN, Plasma Plantation, Swadaya Plantation, Oil Palm Association, NGO. This was stated by Agam F of the GAPKI Secretary General Team as follows:

Sustainable palm governance stakeholders are as follows: Ministry of Agriculture, Coordinating Ministry for Economic Affairs, Ministry of Trade, Ministry of Home Affairs, Ministry of Forestry-LH, Oil Palm Plantation Companies, PTPN, Plasma Plantation, Self-Helped Gardens, Associations (GAPKI, DMSI, GPPI, GIMNI, AIMMI, APROBI, APOLIN, APKASINDO, ASPEKPIR, SAMADE, C-POPC, FOKSBI and NGOs (MAKSI, PASPI, SPKS, JAPSBI, KEHATI, SAWIT WATCH, WALHI, FWI) andNational and International NGOs ... (Interview, October 2019).

Based on the results of the interview above, the stakeholders related to the implementation of ISPO can be divided into three groups, namely direct primary stakeholders, those who receive direct benefits, indirect stakeholders, ie those who receive benefits indirectly, secondary stakeholders, ie stakeholders who are not included in the in the Primary stakeholder group.

Sharing collaboration governance model in sustainable palm oil governance in Indonesia

Many actors participate in decision making about oil palm at the local, provincial and national levels. These actors can be classified as those who function as Primary and Secondary Actors, as conveyed by Azis Hidayat, Head of the ISPO Commission Secretariat as follows:

... Primary actors participating in decision making about oil palm ranging from the central government to the regions, members of the DPR, DPRD, private plantation companies, farmers, local communities who according to the law can accept or reject the development of oil palm on the land they claim and negotiate terms of partnership with companies (Interview, October 2019).

Indonesia is currently the largest producer and exporter of palm oil products in the world. World markets provide a great focus of attention for Indonesian palm oil, especially when related to the environment and its sustainability principles. Stakeholders recognize and fully understand the importance of preserving the national oil industry. In addition to its strategic role in strengthening food security, employment and farmers' welfare, it also supports the government's commitment to face the challenges and issues related to this industry with deforestation and greenhouse gas emissions. To achieve a more sustainable Indonesian palm oil industry, the Sustainable Palm Oil Forum (FoKSBI - formerly InPOP) has been formed, a multi-stakeholder forum that aims to find real solutions for the development of a sustainable palm oil industry through thematic activities. This was stated by Rusman Heriawan, an advisor to FoKSBI, as follows:

... FoKSBI is a stakeholder coordination forum in providing input, views and recommendations on the action plans needed to encourage economic growth through the development of sustainable palm oil plantations while still paying attention to environmental protection and community welfare (FoksBi- Mediation Document, October 2019).

DISCUSSION

Sustainable palm oil governance in the perspective of collaboration governance

Indonesia's sustainable palm governance is inseparable from the ISPO. ISPO emerged as an initiative of the Indonesian government, especially the Ministry of Agriculture on awareness/declaration that management of natural resources including oil palm plantations must be carried out sustainably (Tasruddin: 2016).

In implementing the principle of sustainability policy the government imposed policies including (1) Minister of Agriculture Regulation No. 26 / Permentan / OT.140 / 2/2007 dated February 28, 2007 concerning Guidelines for Plantation Business Valuation (PUP); (2) Minister of Agriculture Regulation No. 14 / Permentan/ PL.110 / 2/2009 concerning Guidelines for the Utilization of Peatlands for Oil Palm Cultivation. (3) Regulation of the Minister of Agriculture No. 19 / Permentan / OT.140 / 3/2011 dated 29 March 2011 concerning Guidelines for Sustainable Palm Oil Plantations (ISPO); (officially enacted from March 2012); (4) Regulation of the Minister of Agriculture of the Republic of Indonesia No. 98 / Permentan / OT.140 / 9/2013 concerning Guidelines for Plantation Licensing; (5) Regulation of the Minister of Agriculture of the Republic of Indonesia Number 18 / Permentan / OT. / 2016 concerning Guidance for Rejuvenation of Oil Palm Plantations; (6) make a policy that oil palm plantations that have received Class I, Class II, and Class III can directly apply for ISPO Certification; Class I, Class II, and Class III oil palm plantations must apply ISPO no later than 31 December 2014; and (7) the application of ISPO is mandatory in the sense that all relevant provisions that apply in Indonesia (more than 100 regulations related to oil palm) must be obeyed and applied by all palm oil business actors and will be dealt with for those who violate. (8) Republic of Indonesia Regulation No 19/2015 Regarding the ISPO System.

Collaboration governance initiator in sustainable palm oil governance in Indonesia

Sustainable palm oil governance in Indonesia is related to the involvement of all stakeholders in the palm oil industry, be it the government, business actors (companies and farmers) to the downstream industry or processing of palm oil derivatives and community products. The government through the Ministry ofAgriculture issued ISPO policy as the government's commitment in the sustainability of the palm oil industry in Indonesia.

In March 2011, the Government of Indonesia, through the Ministry of Agriculture, launched the Indonesian Sustainable Palm Oil (ISPO) Guidelines. Through ISPO, the Government of Indonesia wants to encourage the oil palm plantation business to fulfill its obligations in accordance with statutory regulations, protect and promote the sustainable oil palm plantation business in accordance with market demands, also to support the commitment of the President of the Republic of Indonesia to reduce greenhouse gas emissions.

The ISPO system is a policy of the Government of Indonesia through the Ministry of Agriculture to increase the competitiveness of palm oil in the world market, the participation of the palm oil fulfills the President's commitment to reduce greenhouse gas emissions, as well as paying attention to environmental issues. Another goal is to protect and promote the oil palm plantation business in Indonesia, which is managed sustainably, in accordance with market demands. In other words that sustainable Indonesian palm oil management is a dominant government initiative that began with the issuance of the ISPO (Indonesian Sustainable Palm Oil) policy through Minister of Agriculture Regulation (Permentan) Number 19 of 2011 junto Permentan Number 11 of 2015 concerning Guidelines for Sustainable Palm Oil Plantation in Indonesia.

Actor collaboration governance in sustainable palm oil management in Indonesia

Indonesia Sutainable Palm Oil (ISPO) is a program that was developed in the context of managing sustainable Indonesian palm oil. The hope is to be able to increase and preserve the ecological, economic and socio-cultural importance, in order to protect and promote the oil palm plantation business in Indonesia, which is managed in a sustainable manner, in accordance with market demands and to increase community income and support sustainable development. In order to achieve this goal, it is expected that the involvement of many stakeholders is involved. The sustainability of ISPO will not run by only relying on institutions that deal with the plantation sector. Therefore, in the management of sustainable Indonesian palm oil, there are several stakeholders that have been identified in this research as follows.

Table 1. Potential stakeholders identified in relation to sustainable Indonesian palm governance
Table 1. Potential stakeholders identified in relation to sustainable Indonesian palm governance
Source: Processed Data, 2019

Based on the processed data above and referring to the results of the study explain that stakeholders associated with sustainable Indonesian palm governance can be divided into three groups, namely direct primary stakeholders namely stakeholders who receive direct benefits, indirect stakeholders ie stakeholders who receive benefits indirectly, secondary stakeholders, namely stakeholders who are not included in the stakeholder group.

Sharing collaboration governance model in sustainable palm oil governance in Indonesia

In the sustainable management of Indonesian palm oil, many Actors collaborate and participate in decision making about oil palm at the local, provincial and national levels. The collaboration collaboration of Actors / actors can be classified into those that function as Primary and Secondary Actors including: Central government officials and DPR members who determine national policies, develop laws and regulations, formulate development plans, oversee legislative processes, establish fiscal frameworks, and approve spatial plans. Forms of interaction and collaboration as described above schematically can be described as follows:

Figure 2. Schematic overview of collaboration governance in the framework law governing oil palm development in Indonesia.
Figure 2. Schematic overview of collaboration governance in the framework law governing oil palm development in Indonesia.

The role of Central Government Actors and Local Governments to enact and enforce National and Regional laws and regulations is shown with seven main features as described above. The size of the circle relates to the relative importance of each actor at each stage; the orange color indicates a series of laws or regulations related to the topic being recorded; the dark green box represents the aggregate of the entire framework. There is a complex legal framework defined by laws, regulations and ministerial decrees operating at various spatial scales and issued by various levels of government and ministries. Governments, the business world and actors in society often have considerable freedom in designing and managing decision- making processes and making decisions in this framework. A decentralized and uncoordinated development planning system that reflects various visions and targets of sectoral expansion further complicates efforts to guide the development process within the boundaries of this sustainable palm governance framework. The role of each actor, especially public actors in the management of Indonesian oil palm should prioritize otherforms of service. Denhardt in his preface emphasized that "public servants do not deliver customer service; they deliver democracy "(Denhardt & Denhardt: 2003). Thus, a government or government institution should not be run like a company, but instead provide services to the community in a democratic manner: fair, equitable, non-discriminatory, honest, and accountable. According to them this is because: 1) democratic values, citizenship, and the public interest are the main foundation / principal in the process of governance; and 2) these values are trusted and energize government officials / public servants in providing their services to the public in a more just, equitable, honest and responsible manner. Therefore, government employees must always reconnect and build a close and dynamic network of relationships with the community or its citizens.

Denhardt & Denhardt (2007) revealed that there are three perspectives in public administration. That perspective is old public administration, new public management, and new public service. The three perspectives are as shown in the following picture:

Figure 3. Perspectives of Public Administration
Figure 3. Perspectives of Public Administration

One of the challenges of the palm oil industry at this time is how to increase the commitment to "balance the role" of the parties involved in sustainable palm oil development as outlined in the concepts and theories of the New Public Services above. Some plantation businesses have carried out sustainable business activities that are in line with the principles of 3P (People, Planet, Profit), but most have not realized and applied them. To balance economic, socio-cultural and environmental conservation goals in the development of oil palm, the Government issued regulations on the Indonesian Sustainable Palm Oil Certification System (ISPO) set out in Permentan 11/2015. But in its operations there are still parties whose roles have not been optimal due to various factors including capacities, so ISPO needs efforts to improve the role of these parties in order to achieve sustainable Indonesian palm oil and be able to increase the equity of the ISPO system internationally.

A number of programs and initiatives to support sustainable palm oil have been carried out by the government and other stakeholders such as land mapping, fostering planters on good garden management practices, efforts to protect peatlands, preventing forest and land fires and managing high biodiversity areas and high conservation values. in the landscape of oil palm plantations.

The concept of the New Public Services can be applied to meet challenges in terms of increasing commitment and coordination as well as a balanced role between the government and stakeholders in order to accelerate the achievement of sustainable oil palm plantations, so an integrated and measurable plan is needed, which is outlined in a national action plan ( RAN). This NAP is a reference for all stakeholders in the implementation of sustainable oil palm plantation development.

CONCLUSION

Based on the results of the analysis and discussion presented in the previous chapter, several conclusions can be drawn as follows:

Based on the description in the conclusions above, the researcher can propose the following suggestions:

  1. 1. Clarity of the position and role of each Actor.

    With a very large scope of work, the clarity of the position and role of each actor in the ISPO institution and in each certification process becomes an absolute requirement. In addition to maintaining the credibility of the system, clarity of position and division of authority will narrow opportunities for opportunistic behavior and power deviations that lead to the emergence of collusion, corruption and nepotism (KKN) practices.

  2. 2. Distribution of authority and responsibilities of the Actors.

    The need for division of authority between the organizers and developers of the ISPO system, coaching actors, accreditation, certification assessment, complaint handling (complaints) The ISPO Commission's current authority needs to be delegated to the Certification Body and the Accreditation Body. The ISPO Commission should limit and strengthen its role as a system developer, guidance, and overall system evaluation.

  3. 3. Certification decisions are with the Certification Body.

    The Certification Body as an independent third party must have full control over the decisions on the results of the certification based on its audits.

  4. 4. Application of compulsory certification for all plantation businesses.

Not only applies to the plantation business operational phase, but also for the plantation business development phase. Certification assessment must be applied starting from pre-production (construction), production, to post-production (upstream-downstream). Requiring certification to all plantation businesses will facilitate traceability to ensure that CPO production is obtained from ISPO-certified plantations.

BIODATA

CH SALEH: (Orcid ID : 0000-0002-8303-9589 and Scopus ID : 57202265400) was born in Sidoarjo, on Januari 12, 1960. He is a working as a lecturer at the Faculty of Administrative Sciences, Universitas Brawijaya. Undergraduate education pursued at Brawijaya University majoring in public administration graduated in 1986; then continued his master's education in sociology at Gajah Mada University, graduated in 1995 and a doctorate in the department of public administration at the University of Malang Malang. In addition to being a permanent lecturer at the Faculty of Administrative Sciences, Universitas Brawijaya, he has work experience as a vice dean of general affairs and finance at the Faculty of Administrative Sciences, Universitas Brawijaya from 2002 to 2006.

W.H HARDIWINATA: (Orcid ID: 0000-0003-2383-1395) Was born in Bogor, on December 15, 1967. He worked as Head of Division & Staff Director of Public Service Agency - BLU Oil Palm Plantation Fund Management Agency (BLU-BPDP Sawit) Ministry of Finance of the Republic of Indonesia 2015 until now. Education is Chemical Industry / Analyst-SAKMA Pusdiklat Ministry of Industry RI-Bogor, graduated 1985; Bioindustry/Industrial Chemical Tech, PAT-ITB Bandung, graduated 1987; Environmental Biotech, Institute of Ecology UNPAD-LHW Univ. Wageningen, graduated 1989; and Undergraduate (S1) Department of Food Technology, Faculty of Industrial Technology - Pasundan University Bandung, Graduated 1993. Masters in Political Science - Political Economy, Postgraduate Degree from National University of Jakarta, Graduated 2011. Prior to postgraduate education, participating in Industrial Management Education and Training at LPMT Ministry of Industry of the Republic of Indonesia, ISO (9001, 14000, 22,000, SMK3), Plantation Agroindustry Sector and ISPO Auditor at LPP-Ministry of Agriculture RI; Social and Political Affairs at FISIP UI-FISIP UNAS& LIPI Jakarta.

L.I MINDARTI: (Orcid ID: 0000-0002-0358-1723) was born in Malang, on Mei 24, 1969. She is a working as a lecturer at the Faculty of Administrative Sciences, Universitas Brawijaya. S1 education was pursued at Brawijaya University majoring in public administration in 1988-1922; continued with a master's degree in public administration at the university of brawijaya in 1999-2001 and a doctorate in the department of development science at the Kebangsaan University of Malaysia. Before becoming a permanent lecturer at the Faculty of Administrative Sciences, Universitas Brawijaya, she became a permanent lecturer at Dr. Soetomo Surabaya from 1992 to 2002. apart from being a female lecturer, she was also a member of the Information Commission in the East Java Provincial Government for the period 2019 - 2023.

S ZAUHAR: (Orcid ID: 0000-0001-5575-6487 and Scopus ID: 57204883564) was born in Trenggalek East Java Indonesia, on Maret 06, 1954. He works as a lecturer and professor at the Faculty of Administrative Sciences, Universitas Brawijaya.

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