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4.5.3.1 Consolidate policy and approval criteria for releasing HPK for oil palm developments
Justification.
The Ministry of Forestry has responsibility for issuing permits for the release of PK from the Forest Estate. Where these decisions result in
the continuing removal of forest ecosystems they will impact upon the quality and therefore the market price of any REDD carbon ndonesia wishes to trade
into the future. This situation can be improved by adopting transparent decision criteria resulting in the release of further PK for oil palm development. Figure
presents a decision framework which might be considered. These criteria include: . the location of the concession i.e. is it located on forested lands or peat soils ;
. overlapping land uses i.e. logging, agriculture and agroforestry, mining and industrial timber concessions and tenurial claims;
. the proximity of the concession to a crude palm oil CPO processing mill; . soil, topography and climate suitability;
. infrastructure needs; and . the applicant s finances
A policy requiring these decision criteria could be used by the Minister to apply positive pressure on the industry and on local government to prioritize the use
of already deforested land.
4.5.3.2 Review spatial plans to optimize degraded lands. Justification.
This strategy involves identifying degraded lands suitable for oil palm plantation. ndonesia has . million ha of degraded lands, of which only
- million ha is needed for ndonesia to meet its palm oil production target.
A comprehensive analysis will need to be undertaken to determine how much of the degraded land can be allocated for oil palm. Plantations on degraded land,
including Imperata grasslands would allow ndonesia to claim significant carbon credits in avoided deforestation.
4.5.3.3 Intensify production per unit of land
Justification.
There is the potential to greatly increase production of oil palm per ha through government support for:
. Smallholder production typically only of industrial plantation
production ; and . Revitalization of old plantings greater than years with new higher yielding
stock. 4.5.3.4 Require zero burning
Justification.
Oil palm plantations continue to use fire to clear land because it is cheaper than mechanical land clearing, which in the case of peatlands can be
- ha. Smallholders also use fire. Reducing the use of fire will significantly
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reduce carbon emissions. REDD credits could be used to subsidize mechanical clearing.
as the location permit been
issued for a concession
located on forested lands?
as the location permit been
issued for a concession
located on peat land?
Does the proposed
concession area contain any
values of social Does the
proposed concession
overlap with any other existing
land use rights i.e. P, T,
Mining Does the
proposed concession
overlap with customary lands
s an oil palm processing mill located
nearby to the proposed concession? Or does
the applicant plan to build a processing
permit within year? as adequate
infrastructure been established to
transport fresh fruit bunches to mills within
as the applicant got sufficient funds to
establish an oil palm plantation?
Y
Revoke or review the permit further N
Y Y
N
Y s the proposed
location of the concession suitable for
oil palm cultivation?
s the proposed concession
situated on as the location
permit been issued for a
concession located on
Proceed with GU process
if applicant fulfills other
legal requirements
Figure 21.
Factors to consider when reviewing location permits
4.5.4 Peatlands
