Oil palm farmers have raised doubts that the palm oil-based “green fuel” scheme laid out in the government's recent five-year plan will benefit them, taking past biodiesel developments as cautionary tales.
Palm Oil Smallholders Union (SPKS) secretary-general Mansuetus Darto said that the scheme could risk repeating mistakes of keeping farmers out of the supply chain just like previous biodiesel programs.
As an example, he said agribusiness giant Wilmar Group "did not involve" smallholders in producing its assigned 2.5 million liters of the 30-percent blended biodiesel (B30) quota. Instead, around 162 companies are supplying the crude palm oil (CPO) for the group’s B30 production.
"It will be really regrettable if we develop [...] the palm oil-based green fuel where only big corporations can benefit," said Mansuetu...
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