Sunday, 2 November 2025

The Green Dream: A Village Growing with Palms

In this era, the prevailing public perception in society often considers the palm oil industry to be solely focused on economic profit and tends to disregard aspects of social development, particularly education. One frequently cited narrative is that the presence of oil palm plantations does not support the development of community education in remote areas. However, that view is not in line with the existing reality.

In remote and isolated areas where access to education is still very limited, the presence of oil palm plantations has brought about a significant transformative impact on the education sector. Generally, oil palm plantations are located in remote areas that previously had minimal public facilities. However, to meet the needs of workers and their families, many palm oil companies have built educational facilities, ranging from Early Childhood Education (ECE) to Elementary School (SD) and Junior High School (SMP) in the vicinity of the plantations.

In the early stages, the educational facilities established by this plantation company were specifically for the children of their employes. As time went on, access to this education was expanded, allowing the surrounding community to also enjoy the same benefits. Research by Edward in 2019 revealed that in several districts that are palm oil plantation centers, there was a significant increase in the number of schools, with the majority being educational institutions built and managed by plantation companies, not state institutions.

Corporate contributions to the education sector go beyond just building schools. In many cases, companies also renovate existing school buildings, provide learning materials such as books and computers, offer scholarships to outstanding students, and provide allowances to teachers. In addition, some companies even offer special transportation services in the form of school busses and build educational facilities like "smart houses" or "learning houses" designed to improve literacy and skills for children in surrounding villages.

Thru the existence of these various initiatives, community access to education has not only increased quantitatively but also qualitatively, creating a more inclusive and adequate learning ecosystem in underdeveloped areas. The contribution of the palm oil industry doesn't stop at the primary education level. With the increased income of farmers due to palm oil plantation activities, families around the plantations have better economic means to afford their children's education up to higher levels like university.

Research has shown a positive relationship between the income of palm oil farmers and their ability to finance education up to diploma, bachelor's, and even master's levels. Additionally, the allocation of funds from the management of palm oil export levies by the Palm Oil Plantation Fund Management Agency (BPDPKS) makes a significant contribution in the form of scholarship programs. Between 2015 and 2021, BPDPKS has disbursed funds amounting to Rp 186 billion to support the education of 3,265 students from oil palm farmer families across Indonesia.

Two key aspects that illustrate the real contribution of the palm oil industry to education are the availability and affordability of learning facilities, as well as the increased financial capacity of the community to access educational services. Thus, the palm oil industry not only plays a role in providing educational infrastructure but also in increasing the purchasing power of the community so that they can make optimal use of education.

The view that oil palm plantations do not care about the education of rural communities is now empirically refuted. With various programs ranging from school construction to scholarship provision, the palm oil sector has become a significant player in advancing education in remote areas of Indonesia. Amidst the green expanse of palm trees, a new hope also grows for the village's young generation: a bigger dream, better education, and opportunities for a brighter future.

Reference: - Sukiyono, K. (2024). Smallholder palm oil and sustainable development goals. *Sustainable Futures*, 6(1), 112–123.

- INSTIPER Yogyakarta. (2023). The Role of the Palm Oil Industry in the SDGs. *https://jurnal.instiperjogja.ac.id*

- Musim Mas. (2023). Social Impact Report. *https://www.musimmas.com*

 - Sinar Mas Agrib

 



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