Deal #8115

A public consultation was conducted on 3 April 2010 in SDN Dusun Beringin Desa, PB Benai, Silat Hilir Sub-District and attended by the Sub-District head, village heads and their staff, military commander, head of local police unit, informal leaders, religious leaders, estate managers, universities, local NGOs and other stakeholders. According to the summary report of PT Persada Graha Mandiri, Socialisation in the early phase of PT PGM’s operations underwent the process of free, prior, informed consent (FPIC). This started with socialisation of the company’s investment plan, land compensation plan and EIA, with the company explaining its proposals regarding the oil palm plantation

RSPO report mentions that Land acquisition and compensation can potentially cause conflict if there is disagreement about the compensation value for the acquired land or for crops planted by the community

Negative impact emerged in the social impact analysis and identification of PT PGM include local community’s concern over land clearing and local labor quotas. Another negative impacts are the decline in the quality of public health in relation with lower water quality, diseases caused by air pollution, and the poor quality of environmental sanitation.

Acquisition and land compensation has been accomplished with prior notification and reached mutual agreement between the company and members of the community who receive compensation. Compensation process is in line with existing procedures in PT PGM.

Positive impacts generated by PT PGM for the society include job and business opportunities, improved community welfare and contribution to regional development. Economic development and rising income levels are contributing to higher standards of living, as well as greater money circulation that creates substantial opportunities for further development in the region.

Positive impacts generated by PT PGM for the society include job and business opportunities, improved community welfare and contribution to regional development. Economic development and rising income levels are contributing to higher standards of living, as well as greater money circulation that creates substantial opportunities for further development in the region.