AGRO-BIODIVERSITY Study: Economic valuation of ecosystem services-biodiversity in sustainable oil palm plantations managed by independent smallholders

Description

To date, WWF Indonesia has assisted around 1,500 independent smallholders spread across Riau and West Kalimantan to implement sustainable plantation practices, there are three groups of farmers who have received RSPO certification including, Amanah Independent Palm Oil Farmers Association in Pelalawan Regency, Riau, Independent Farmers Group in Kuantan Sengingi Regency, Riau, and Rimba Harapan Cooperative in Sintang Regency, West Kalimantan. Ideally, implementing better/best management practices (BMP) in plantations will have a positive impact on the ecosystem/environment, related to biodiversity, land conservation, carbon sequestration, and reducing air pollution.

Based on this background, a science-based study is needed that can prove the hypothesis related to the positive impact of sustainable oil palm plantation management by independent smallholders, which in an economic approach can be valued – tangible or intangible. Therefore, this study can be useful to provide references as well as learning that oil palm plantations that are managed sustainably can provide environmental/ecosystem services. For the needs of this study, WWF Indonesia collaborated with Penabulu Foundation to conduct field visits to collect data and information related to sustainable palm oil applied by RSPO-certified Independent Smallholders. As well as conducting several soil sample tests and several other items.

This study was conducted to provide information and reference that sustainable oil palm plantation management by independent smallholders produces positive impacts on the environment/ecosystem. In addition, the resulting positive indicators, such as water quality, air, soil and biodiversity – especially insects have great economic value based on economic valuation analysis of biodiversity in plantations.

Funding

This program is supported by the Yayasan WWF Indonesia based on the Agreement document, period June 05, 2023 –  April 30, 2024 with a total budget of IDR. 352.300.000, work location  in Sintang and Pelalawan.