BPDKS Injects Rp7.5 Trillion Funds for Five Palm Companies

By : Ridwan And Aldo Bella Putra | Friday, July 27 2018 - 19:00 IWST

Perkebunan Sawit
Perkebunan Sawit

INDUSTRY.co.id - Jakarta, five large-scale palm oil companies receive subsidies from the BPTP Agency (Dana Pengelola Perkebunan Kelapa Sawit) with a total of Rp7.5 trillion during January-September 2017.

The five palm oil companies consist of Wilmar Group, Darmex Agro Group, Musim Mas, First Resources, and Louis Dreyfus Company (LDC). Based on the data obtained, Wilmar Group received the largest subsidy value of Rp4.16 trillion. In fact, the deposit given Wilmar Group only worth Rp1, 32 trillion.

Based on Presidential Regulation No. 24 of 2016 on the Collection and Use of Oil Palm Plantation Funds signed by President Jokowi, regulated on the use of these funds.

In Article 11 paragraph (1) it is stated that the funds collected are for the development of human resources; research and development of oil palm plantations; promotion of oil palm plantations; rejuvenation of plantation crops; as well as oil palm plantation infrastructure.

While in paragraph (2) explained that the use of funds is also used for food needs, industry downstream and bio-diesel fuel use type. The next paragraph states BPDPKS can determine the priority of the use of funds under the government program and the Steering Committee's policies.

Related to this, the study of palm oil owned by the Corruption Eradication Commission (KPK) in 2016 found that the use of excessive funds for biodiesel companies could lead to inequality in the development of oil palm plantation.

The subsidy value for other palm oil companies is Darmex Agro Group (Rp915 billion) with a deposit of Rp27.58 billion; Mas Season (Rp1, 54 trillion) with a deposit of Rp1, 11 trillion; First Resources (Rp479 billion) with deposits of Rp86.95 billion; and LDC (Rp410 billion) of Rp100.30 billion.

Thus there is a relatively large difference in value for the oil conglomerates. It consists of Rp2.84 trillion (Wilmar Group); Darmex (Rp887.64 billion); Mas Season (Rp421,56 billion); First Resources (Rp392.61 billion) and LDC (Rp309.83 billion).

BPDPKS in 2015 said the largest use of funds is still allocated for biodiesel, which reached 89 percent. As for oil palm rejuvenation, human resource development is up to the management-plan each only one percent.

BPDPKS itself was formed in the form of Public Service Board since June 11, 2015 under the control of the Ministry of Finance. The agency was established to support sustainable palm oil development programs.

News Comment

Today's Industry

Rena Chua, Bug Bounty Advisor at HackerOne (Photo by Linkedin)

Kamis, 06 Agustus 2020 - 18:15 WIB

Securing More with Less — How to Maximise Security Coverage while Reducing Costs Usings Hacker-Powered Security

Remember those days, pre-pandemic, when you thought your security scope was complex? But now, with employees working from home, new video and collaboration apps being rolled into daily workflows,…

Trisha Paine, Head of Cloud Marketing Programs, at Check Point Software Technologies

Kamis, 06 Agustus 2020 - 17:30 WIB

Striving to Achieve High Fidelity Cloud Security

Several attributes make posture management a particularly challenging component of maintaining cloud security. For starters, you cannot secure or scale a rapidly growing quantity and variety…

Luke Tucker, Senior Director of Community at HackerOne (Photo by Linkedin)

Rabu, 05 Agustus 2020 - 22:00 WIB

Security Engineers by Day, Hackers by Night – An Interview with Two of Singapore’s Top Ethical Hackers

Over the years, the perception of the term “hacker” has changed. Once seen as only criminals, there are now over 800,000 registered security professionals on HackerOne, the world’s trusted…

Patrick Carey, Director of Product Marketing, Synopsys (Photo by Linkedin)

Rabu, 05 Agustus 2020 - 21:45 WIB

Developers are Not Security Experts, but They can be with The Right Tools

Software has revolutionised the way in which we work, live and play. This is particularly true in the realm of software security, as development teams are releasing code faster than ever before.

Darrell Adams, Head of Southeast Asia & Oceania, Universal Robots (Photo by LinkedIn)

Rabu, 05 Agustus 2020 - 21:25 WIB

5 Reasons Why You Need Collaborative Automation For Today's World

The benefits of collaborative automation are undisputed – more profitability, productivity, flexibility, higher quality and even more employee satisfaction.