Harmonising Nature and Industry: Examining Sumatra’s Floods and the Urgency of Palm Oil Certification

         Sumatra is not only blessed with abundant natural resources but is also one of the regions most vulnerable to natural disasters. This presents a significant challenge for both local communities and businesses, given that the island is one of the world’s largest hubs for palm oil production. While the industry offers immense potential as an economic driver, environmental concerns persist, with industrial operations often blamed for land-use changes.

Palm oil companies must take preventive and adaptive measures to mitigate the risks associated with their operations. Obtaining operational certifications is essential—not just to meet regulations, but to help mitigate disasters and secure long-term business sustainability.

Certification as a Mitigation Solution

The implementation of certification standards sets strict criteria to prevent environmental impacts from industrial operations. These standards include the mandatory ISPO (Indonesian Sustainable Palm Oil) and the voluntary RSPO (Roundtable on Sustainable Palm Oil).

The following reasons why implementing certification standards is essential :

• Protect High Conservation Value (HCV) Areas: Companies must preserve natural water catchments and river buffers to protect these areas.

• Certification prohibits the clearing of new peatlands. It also mandates water table management. This helps prevent land subsidence, which can trigger permanent flooding.

• Operations must ensure that drainage systems do not discharge extreme water volumes. This prevents flooding in downstream residential areas.

Flooding not only harms local communities: it also paralyses company operations. Certification helps businesses build resilience.

Conclusion

The recent floods in Sumatra serve as a reminder that nature has its limits. Palm oil certification acts as a bridge. It helps ensure that corporate operations stay in harmony with the environment’s carrying capacity. By adhering to sustainability standards, the palm oil industry protects both the ecosystem and its own economic future. In the face of these environmental adversities, Peterson Solutions Indonesia extends solidarity to the people of Sumatra and another areas that faced similar disasters. We firmly hope that integrated mitigation efforts will soon yield a more stable, resilient landscape for generations to come.