Governing sustainability: land use change impact on the palm oil industry in Riau Province, Indonesia
Abstract
The aim of this research is to determine the social, economic, and ecological impacts of Land Use Change (LUC) of forest areas into Palm Oil industrial areas. The research method used was exploratory qualitative and analyzed using Nvivo 12 Plus. he findings of this study show that there are several challenges in the industrial land use of oil palm in forest areas in Riau, Indonesia, such as land conflicts between communities, government, private sector, forest destruction, and natural disasters. Therefore, we suggest that in order to expedite the removal of oil palm plantations from forest areas and to expedite the issuance of plantation licenses for community, private, and government entities wishing to enter such areas, both the federal government and local governments must adopt policies and impose sanctions. This study serves as a knowledge base to address the social, economic and ecological issues resulting from Land Use Change (LUC) in the province from forest areas to industrial areas producing oil palm. The conclusion of this research is that Land Use Change (LUC) from forest area to palm oil industry area in Riau Province, Indonesia has positive and negative impacts on social, economic, and ecological aspects in Riau Province, Indonesia. The government of the Indonesian province of Riau benefits from this research on land use change (LUC) in the palm oil sector.
Keywords
Full Text:
PDFReferences
Abdul Majid, N., Ramli, Z., Md Sum, S., & Awang, A. H. (2021). Sustainable Palm Oil Certification Scheme Frameworks and Impacts: A Systematic Literature Review. Sustainability, 13(6), 3263. https://doi.org/10.3390/su13063263
Abideen, A. Z., Sundaram, V. P. K., & Sorooshian, S. (2023). Scope for Sustainable Development of Small Holder Farmers in the Palm Oil Supply Chain—A Systematic Literature Review and Thematic Scientific Mapping. Logistics, 7(1), 6. https://doi.org/10.3390/logistics7010006
Afrino, R., Syahza, A., Suwondo, & Heriyanto, M. (2023). Analysis of Nuclear-Plasma Partnership Pattern for Sustainable Oil Palm Plantation in Riau Province, Indonesia. International Journal of Sustainable Development and Planning, 18(1), 91–98. https://doi.org/10.18280/ijsdp.180109
Agusti, C. B. D., Nasution, Ardiantono, D. S. (2020). Perancangan Model Bisnis pada Industri Permesinan Biodiesel B20. Jurnal Sains Dan Seni ITS. 8(2). https://doi:10.12962/j23373520.v8i2.48197
Andrianto, A., Komarudin, H., & Pacheco, P. (2019). Expansion of Oil Palm Plantations in Indonesia’s Frontier: Problems of Externalities and the Future of Local and Indigenous Communities. Land, 8(4), 56. https://doi.org/10.3390/land8040056
Anyaoha, K. E., & Zhang, L. (2023). Technology-based comparative life cycle assessment for the palm oil industry: the case of Nigeria. Environment, Development and Sustainability, 25(5), 4575–4595. https://doi.org/10.1007/s10668-022-02215-8
Apresian, S. R., Tyson, A., Varkkey, H., Choiruzzad, S. A. B., & Indraswari, R. (2020). Palm oil development in Riau, Indonesia: balancing economic growth and environmental protection. Nusantara, 2(1), 1–29. https://doi.org/10.6936/NIJHSS.202006_2(1).0001
Azhar, B., Nobilly, F., Lechner, A. M., Tohiran, K. A., Maxwell, T. M. R., Zulkifli, R., Kamel, M. F., & Oon, A. (2021). Mitigating the risks of indirect land use change (ILUC) related deforestation from industrial palm oil expansion by sharing land access with displaced crop and cattle farmers. Land Use Policy, p. 107, 105498.
Baah, C., Opoku-Agyeman, D., Acquah, I. S. K., Agyabeng-Mensah, Y., Afum, E., Faibil, D., & Abdoulaye, F. A. M. (2021). Examining the correlations between stakeholder pressures, green production practices, firm reputation, environmental and financial performance: Evidence from manufacturing SMEs. Sustainable Production and Consumption, 27, 100–114. https://doi.org/10.1016/j.spc.2020.10.015
Berenschot, W., Dhiaulhaq, A., Afrizal, Hospes, O., Adriana, R., & Poetry, E. (2022). Anti-Corporate Activism and Collusion: The Contentious Politics of Palm Oil Expansion in Indonesia. Geoforum, 131, 39–49. https://doi.org/10.1016/j.geoforum.2022.03.002
Choiruzzad, S. A. B., Tyson, A., & Varkkey, H. (2021). The ambiguities of Indonesian Sustainable Palm Oil certification: internal incoherence, governance rescaling, and state transformation. Asia Europe Journal, 19(2), 189–208. https://doi.org/10.1007/s10308-020-00593-0
Creswell, J. W., & Poth, C. N. (2018). Qualitative inquiry and research design (international student edition): Choosing among five approaches. Language, 25(459p), 23cm.
Dharmawan, A. H., Mardiyaningsih, D. I., Komarudin, H., Ghazoul, J., Pacheco, P., & Rahmadian, F. (2020). Dynamics of Rural Economy: A Socio-Economic Understanding of Oil Palm Expansion and Landscape Changes in East Kalimantan, Indonesia. Land, 9(7), 213. https://doi.org/10.3390/land9070213
Ekawati, S., Subarudi, Budiningsih, K., Sari, G. K., & Muttaqin, M. Z. (2019). Policies affecting the implementation of REDD+ in Indonesia (cases in Papua, Riau, and Central Kalimantan). Forest Policy and Economics, 108, 101939. https://doi.org/10.1016/j.forpol.2019.05.025
Gunawan, H., Yeny, I., Karlina, E., Suharti, S., Murniati, Subarudi, Mulyanto, B., Ekawati, S., Garsetiasih, R., Pratiwi, Sumirat, B. K., Sawitri, R., Heriyanto, N. M., Takandjandji, M., Widarti, A., Surati, Desmiwati, Kalima, T., Effendi, R., … Nurlia, A. (2022). Integrating Social Forestry and Biodiversity Conservation in Indonesia. Forests, 13(12), 2152. https://doi.org/10.3390/f13122152
Harun, S. N., Hanafiah, M. M., & Aziz, N. I. H. A. (2021). An LCA-Based Environmental Performance of Rice Production for Developing a Sustainable Agri-Food System in Malaysia. Environmental Management, 67(1), 146–161. https://doi.org/10.1007/s00267-020-01365-7
Helka, J., Ostrowski, J., Abdel-Razek, M., Hawighorst, P., Henke, J., Majer, S., & Thrän, D. (2020). Combining Environmental Footprint Models, Remote Sensing Data, and Certification Data towards an Integrated Sustainability Risk Analysis for Certification in the Case of Palm Oil. Sustainability, 12(19), 8273. https://doi.org/10.3390/su12198273
Helmi, H., Djafri, D., Mutiani, C., Abd Halim, N., Badri, M., & Yefni, Y. (2021). Indigenous people are affected by the dynamics of land use changes, forest fires, and haze in Riau Province, Indonesia. In Natural Resource Governance in Asia (pp. 291–308). Elsevier. https://doi.org/10.1016/B978-0-323-85729-1.00023-2
Hurtt, G. C., Chini, L., Sahajpal, R., Frolking, S., Bodirsky, B. L., Calvin, K., Doelman, J. C., Fisk, J., Fujimori, S., Klein Goldewijk, K., Hasegawa, T., Havlik, P., Heinimann, A., Humpenöder, F., Jungclaus, J., Kaplan, J. O., Kennedy, J., Krisztin, T., Lawrence, D., … Zhang, X. (2020). Harmonization of global land use change and management for the period 850–2100 (LUH2) for CMIP6. Geoscientific Model Development, 13(11), 5425–5464. https://doi.org/10.5194/gmd-13-5425-2020
Jelsma, I., Woittiez, L. S., Ollivier, J., & Dharmawan, A. H. (2019). Do wealthy farmers implement better agricultural practices? An assessment of the implementation of Good Agricultural Practices among different types of independent oil palm smallholders in Riau, Indonesia. Agricultural Systems, 170, 63–76. https://doi.org/10.1016/j.agsy.2018.11.004
Kinseng, R. A., Nasdian, F. T., Mardiyaningsih, D. I., Dharmawan, A. H., Hospes, O., Pramudya, E. P., Putri, E. I. K., Amalia, R., Yulian, B. E., & Rahmadian, F. (2023). Unraveling disputes between Indonesia and the European Union on Indonesian palm oil: from environmental issues to national dignity. Sustainability: Science, Practice and Policy, 19(1), 1–13. https://doi.org/10.1080/15487733.2022.2152626
Kitchenham, B., Pearl Brereton, O., Budgen, D., Turner, M., Bailey, J., & Linkman, S. (2009). Systematic literature reviews in software engineering – A systematic literature review. Information and Software Technology, 51(1), 7–15. https://doi.org/10.1016/j.infsof.2008.09.009
Lowder, S. K., Sánchez, M. V, & Bertini, R. (2021). Which farms feed the world, and has farmland become more concentrated? World Development, 142, 105455. https://doi.org/10.1016/j.worlddev.2021.105455
Machado, C. G., Winroth, M. P., & Ribeiro da Silva, E. H. D. (2020). Sustainable manufacturing in Industry 4.0: An emerging research agenda. International Journal of Production Research, 58(5), 1462–1484. https://doi.org/10.1080/00207543.2019.1652777
Malahayati, M., & Masui, T. (2019). The impact of greenhouse gas mitigation policy for land use and the forestry sector in Indonesia: Applying the computable general equilibrium model. Forest Policy and Economics, 109, 102003. https://doi.org/10.1016/j.forpol.2019.102003
Miles, M. B., Huberman, A. M., & Saldana, J. (2014). Qualitative Data Analysis: A Methods Sourcebook (Third). SAGE Publication, Inc. https://www.ptonline.com/articles/how-to-get-better-mfi-results
Mizuno, K., Hosobuchi, M., & Ratri, D. A. R. (2021). Land Tenure on Peatland: A Source of Insecurity and Degradation in Riau, Sumatra. In Tropical Peatland Eco-management (pp. 627–649). Springer Singapore. https://doi.org/10.1007/978-981-33-4654-3_23
Mortelmans, D. (2019). Analyzing Qualitative Data Using NVivo. In The Palgrave Handbook of Methods for Media Policy Research (pp. 435–450). Springer International Publishing. https://doi.org/10.1007/978-3-030-16065-4_25
Naylor, R. L., Higgins, M. M., Edwards, R. B., & Falcon, W. P. (2019). Decentralization and the environment: Assessing smallholder oil palm development in Indonesia. Ambio, 48(10), 1195–1208. https://doi.org/10.1007/s13280-018-1135-7
Nigussie, Z., Tsunekawa, A., Haregeweyn, N., Tsubo, M., Adgo, E., Ayalew, Z., & Abele, S. (2021). The impacts of Acacia decurrens plantations on livelihoods in rural Ethiopia. Land Use Policy, 100, 104928.
Ningsih, I. K., Ingram, V., & Savilaakso, S. (2020). Voluntary Sustainability Certification and State Regulations: Paths to Promote the Conservation of Ecosystem Services? Experiences in Indonesia. Forests, 11(5), 503. https://doi.org/10.3390/f11050503
Nurda, N., Noguchi, R., & Ahamed, T. (2020). Change Detection and Land Suitability Analysis for Extension of Potential Forest Areas in Indonesia Using Satellite Remote Sensing and GIS. Forests, 11(4), 398. https://doi.org/10.3390/f11040398
Nurrochmat, D. R., Boer, R., Ardiansyah, M., Immanuel, G., & Purwawangsa, H. (2020). Policy forum: Reconciling palm oil targets and reduced deforestation: Landswap and agrarian reform in Indonesia. Forest Policy and Economics, 119, 102291. https://doi.org/10.1016/j.forpol.2020.102291
Papilo, P., Marimin, M., Hambali, E., Machfud, M., Yani, M., Asrol, M., Evanila, E., Prasetya, H., & Mahmud, J. (2022). Palm oil-based bioenergy sustainability and policy in Indonesia and Malaysia: A systematic review and future agendas. Heliyon, 8(10), e10919. https://doi.org/10.1016/j.heliyon.2022.e10919
Perera, M., Yan, J., Xu, L., Yang, M., & Yan, Y. (2022). Bioprocess development for biolubricant production using non-edible oils, agro-industrial byproducts and wastes. Journal of Cleaner Production, 357, 131956. https://doi.org/10.1016/j.jclepro.2022.131956
Prianto, A. L., Nurmandi, A., Qodir, Z., & Jubba, H. (2021). Climate change and religion: from ethics to sustainability action. In E3S Web of Conferences (Vol. 277, p. 06011). EDP Sciences. https://doi.org/10.1051/e3sconf/202127706011
Purwanto, E., Santoso, H., Jelsma, I., Widayati, A., Nugroho, H. Y. S. H., & van Noordwijk, M. (2020). Agroforestry as Policy Option for Forest-Zone Oil Palm Production in Indonesia. Land, 9(12), 531. https://doi.org/10.3390/land9120531
Raharja, S., Papilo, P., Massijaya, M. Y., Asrol, M., & Darmawan, M. A. (2020). Institutional strengthening model of oil palm independent smallholder in Riau and Jambi Provinces, Indonesia. Heliyon, 6(5), e03875.
Rew, L. J., McDougall, K. L., Alexander, J. M., Daehler, C. C., Essl, F., Haider, S., Kueffer, C., Lenoir, J., Milbau, A., Nuñez, M. A., Pauchard, A., & Rabitsch, W. (2020). Moving up and over redistribution of plants in alpine, Arctic, and Antarctic ecosystems under global change. Arctic, Antarctic, and Alpine Research, 52(1), 651–665. https://doi.org/10.1080/15230430.2020.1845919
Rifin, A., Feryanto, Herawati, & Harianto. (2020). Assessing the impact of limiting Indonesian palm oil exports to the European Union. Journal of Economic Structures, 9(1), 26. https://doi.org/10.1186/s40008-020-00202-8
Rulli, M. C., Casirati, S., Dell’Angelo, J., Davis, K. F., Passera, C., & D’Odorico, P. (2019). Interdependencies and telecoupling of oil palm expansion at the expense of Indonesian rainforest. Renewable and Sustainable Energy Reviews, 105, 499–512. https://doi.org/10.1016/j.rser.2018.12.050
Rustiadi, E., Pravitasari, A. E., Priatama, R. A., Singer, J., Junaidi, J., Zulgani, Z., & Sholihah, R. I. (2023). Regional Development, Rural Transformation, and Land Use/Cover Changes in a Fast-Growing Oil Palm Region: The Case of Jambi Province, Indonesia. Land, 12(5), 1059. https://doi.org/10.3390/land12051059
Schoneveld, G. C., van der Haar, S., Ekowati, D., Andrianto, A., Komarudin, H., Okarda, B., Jelsma, I., & Pacheco, P. (2019). Certification, good agricultural practice, and smallholder heterogeneity: Differentiated pathways for resolving compliance gaps in the Indonesian oil palm sector. Global Environmental Change, 57, 101933. https://doi.org/10.1016/j.gloenvcha.2019.101933
Stokely, T. D., & Betts, M. G. (2020). Deer‐mediated ecosystem service versus disservice depends on forest management intensity. Journal of Applied Ecology, 57(1), 31–42. https://doi.org/10.1111/1365-2664.13532
Susanti, A., & Burgers, P. (2013). Oil Palm Expansion: Competing Claim of Lands for Food, Biofuels, and Conservation. In Sustainable Food Security in the Era of Local and Global Environmental Change (pp. 301–320). Springer Netherlands. https://doi.org/10.1007/978-94-007-6719-5_19
Syahza, A., & Asmit, B. (2020). Development of palm oil sector and future challenge in Riau Province, Indonesia. Journal of Science and Technology Policy Management, 11(2), 149–170. https://doi.org/10.1108/JSTPM-07-2018-0073
Tan, Y. D., & Lim, J. S. (2019). Feasibility of palm oil mill effluent elimination towards sustainable Malaysian palm oil industry. Renewable and Sustainable Energy Reviews, 111, 507–522.
Tey, Y. S., Brindal, M., Darham, S., Sidique, S. F. A., & Djama, M. (2020). Early mover advantage in Roundtable on Sustainable Palm Oil certification: A panel evidence of plantation companies. Journal of Cleaner Production, 252, 119775. https://doi.org/10.1016/j.jclepro.2019.119775
Veza, I., Muhammad, V., Oktavian, R., Djamari, D. W., & Muhamad Said, M. F. (2021). Effect of COVID-19 on Biodiesel Industry: A Case Study in Indonesia and Malaysia. International Journal of Automotive and Mechanical Engineering, 18(2), 8637–8646. https://doi.org/10.15282/ijame.18.2.2021.01.0657
Wahab, A. A. B. (2019). Human rights anchored in business: Practice and challenges in the palm oil sector in Malaysia. Asian International Studies Review, 20(1), 1–20.
Wahyono, Y., Hadiyanto, H., Gheewala, S. H., Budihardjo, M. A., & Adiansyah, J. S. (2022). Evaluating the environmental impacts of the multi-feedstock biodiesel production process in Indonesia using life cycle assessment (LCA). Energy Conversion and Management, 266, 115832. https://doi.org/10.1016/j.enconman.2022.115832
Walker, W. S., Gorelik, S. R., Baccini, A., Aragon-Osejo, J. L., Josse, C., Meyer, C., Macedo, M. N., Augusto, C., Rios, S., Katan, T., de Souza, A. A., Cuellar, S., Llanos, A., Zager, I., Mirabal, G. D., Solvik, K. K., Farina, M. K., Moutinho, P., & Schwartzman, S. (2020). The role of forest conversion, degradation, and disturbance in the carbon dynamics of Amazon indigenous territories and protected areas. Proceedings of the National Academy of Sciences, 117(6), 3015–3025. https://doi.org/10.1073/pnas.1913321117
Wardhani, R., & Rahadian, Y. (2021). Sustainability strategy of Indonesian and Malaysian palm oil industry: a qualitative analysis. Sustainability Accounting, Management and Policy Journal, 12(5), 1077–1107. https://doi.org/10.1108/SAMPJ-07-2020-0259
Yana, S., Nelly, N., Radhiana, R. (2022). Dampak Ekspansi Biomassa sebagai Energi Terbarukan: Kasus Energi Terbarukan Indonesia. Jurnal Serambi Engineering. 7(4) 4036 – 4050. https://ojs.serambimekkah.ac.id/jse/article/view/4963
Yayat Hidayat, Wahyu Purwakusuma, Enni Dwi Wahjunie, Dwi Putro Tejo Baskoro, Latief Mahir Rachman, Yusuf, S. M., Ratu Maulida Adawiyah, Imam Syaepudin, M. Mukmin R. Siregar, & Dien Ayuni Isnaini. (2022). Characteristics of Soil Hydraulic Conductivity in Natural Forest, Agricultural Land, and Green Open Space Area. Jurnal Pengelolaan Sumberdaya Alam Dan Lingkungan (Journal of Natural Resources and Environmental Management), 12(2), 352–362. https://doi.org/10.29244/jpsl.12.2.352-362
Yeny, I., Garsetiasih, R., Suharti, S., Gunawan, H., Sawitri, R., Karlina, E., Narendra, B. H., Surati, Ekawati, S., Djaenudin, D., Rachmanadi, D., Heriyanto, N. M., Sylviani, & Takandjandji, M. (2022). Examining the Socio-Economic and Natural Resource Risks of Food Estate Development on Peatlands: A Strategy for Economic Recovery and Natural Resource Sustainability. Sustainability, 14(7), 3961. https://doi.org/10.3390/su14073961
Zahoor, Z., Latif, M. I., Khan, I., & Hou, F. (2022). Abundance of natural resources and environmental sustainability: the roles of manufacturing value-added, urbanization, and permanent cropland. Environmental Science and Pollution Research, 29(54), 82365–82378. https://doi.org/10.1007/s11356-022-21545-8
Yuslaini, N., Suwaryo, U., Deliarnoor, N. A., & Sri Kartini, D. (2023). Palm oil industry and investment development in Dumai City, Indonesia: A focus on local economy development and sustainability. Cogent Social Sciences, 9(1), 2235780. https://doi.org/10.1080/23311886.2023.2235780
Yuslaini, N., Sumadinata, R. W. S., Fedryansyah, M., Abdillah, A., Prianto, A. L., & Febriyanti, D. (2023). Sustainable investment strategies in the palm oil industry in Indonesia. Journal of Infrastructure, Policy, and Development, 7(3). https://doi.org/10.24294/jipd.v7i3.2288
DOI: https://doi.org/10.26618/ojip.v14i1.14304
Refbacks
- There are currently no refbacks.
Copyright (c) 2024 Otoritas : Jurnal Ilmu Pemerintahan
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.