Scaling up Sustainable Palm Oil WPM The continuous expansion of the palm oil sector impacts
on local communities land, especially indigenous peoples.
These communities relinquish land ownership or land
use rights and traditional livelihoods, often in return for
a small plot of oil palm in a smallholder scheme, or get
employment as labourer on the plantation. These land
transformations generally happen with limited consultation,
and often on the basis of false expectations and promises
made by government and developers. In worst cases, it is
effectively land grabbing. In Indonesia alone, Sawit Watch
has recorded over 630 disputes over land rights. In addition,
concerns about the position of smallholder producers and
plantation labour need serious attention.
Multi-stakeholder approach in the
Roundtable on Sustainable Palm Oil
In response to growing concerns on unsustainable practices,
the industry together with NGOs in 2004 established the
Roundtable on Sustainable Palm Oil (RSPO). Representing
50% of global production volumes, the RSPO is now the
leading global multi-stakeholder initiative for promoting
production and use of sustainable palm oil. The RSPO
certification system for sustainable productionbecame
operational in 2008 and the first producers have been
certified. Oxfam International and Sawit Watch joined the
RSPO in 2004, and have since played a forefront role. We
believe that part of the social concerns can be addressed
through extending and improving the implementation of
the RSPO certification system. However, there is a common
understanding amongst stakeholders in the palm oil sector
that certification systems alone will not address all concerns,
let alone provide development opportunities. In other words:
significant additional efforts both inside and outside RSPO
are required.
The programme
The four year programme (2010-2014) consists of 13 projects,
of which seven are ready to start implementation. The
programme is aimed at improving the position of each of
thethree main target groups (respectively communities,
smallholders and labourers). Some of these activities will
largely take place within the framework of the RSPO, others
merely outside the RSPO.
Key activities inside the RSPO include the implementation
and operation of Flying Teams of experts to support
increasing numbers of local communities in building their
capacity in dialogue, consultation processes and complaints
procedures, as well as the establishment of a Dispute
Settlement Facility. The remaining programme elements
relate to promoting markets for Certified Sustainable Palm
Oil (notably EU and China) and sustainable investment
policies in the palm oil sector. Finally, links will be established
to exchange lessons learnt between the RSPO and other
multi-stakeholder initiatives about cross-sector challenges.
Outside the RSPO, Oxfam Novib and Sawit Watch will
execute pilot projects on sustainable landuse planning at
district and provincial level, to set examples how sustainable
land use planning can protect and improve livelihoods and
food security of local communities. With respect to the
more than 3 million palm oil smallholders worldwide,
the envisaged activities focus on improving smallholder
yields and implementing fair contract conditions, such as
to improve their bargaining power and income security.
The work concerning over 3,5 million workers will focus
on ensuring better positioning of labourers to negotiate
their rights, through capacity building and promoting best
practices.
The near future
The focus of the work is on Indonesia, which is the largest
palm oil producing country with significant expansion plans,
while some activities will specifically be addressed at other
countries or to the industry in general. Oxfam Novib and
Sawit Watch execute the work in partnership, involving
other partnersfrom civil society, private sector and research
institutes. The estimated costs of the seven projects are
around 1,5 million Euros per year for a period from 2010
to 2014. Overall programme management will be done
by Oxfam Novib, while much of the work in Indonesia will
be carried out by Sawit Watch. Parts of the programme
are currently reaching the implementation phase with
funds from several donors. Funding is sought for further
implementation of the seven projects as well as for the
development of the remaining six projects.