Strengthening Monitoring of Decentralized Service Delivery in the Oil Palm Sector

Land for new pantations is increasingly scarce in Indonesia. This scarcity increases the importance of performance monitoring of existing concessions to achieve sustainable socio-economic growth. Existing concessions are expected to have better productivity and stronger partnerships with smallholder farmers. Plantation companies are expected to comply with good social and environment practices. Based on the current guidelines of the Ministry of Agriculture Decree No. 07/2009, failing to comply with the regulation can cause their business licenses to be revoked. Monitoring can assess the level of compliance with regulations, while providing information on productivity that can help mitigate the negative impacts of the operations on surrounding communities and the environment. Monitoring and evaluation of companies performace should be conducted from the establishment of plantations until the operational phase.

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