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A Study of Sustainable Palm Oil Model as Energy Source Considering the Economic, Social, Enviromental and Security Balance Variables

Author

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  • Aswin Nasution

    (Doctoral Program in Agricultural Science, Universitas Syiah Kuala, Banda Aceh, Indonesia,)

  • Fajri Fajri

    (Graduate School, Universitas, Syiah Kuala, Banda Aceh, Indonesia)

  • Abubakar Karim

    (Graduate School, Universitas, Syiah Kuala, Banda Aceh, Indonesia)

  • Romano Romano

    (Graduate School, Universitas, Syiah Kuala, Banda Aceh, Indonesia)

Abstract

As energy source, palm oil has become a serious concern for various palm oil stakeholders because it is related to the vegetable oil needs for 7.7 billion people in the world. Nagan Raya District is a central of palm oil in the western region of Aceh and inseparable from the issue of sustainability. This study is designed using quantitative approach. The data collected by self-administered questionnaire to 300 palm stakeholders. The results indicated that the social variable has strong contribution to sustain the palm oil as one of primary energy source. Also, the economic, environmental and security variables have moderate strength in sustainable palm oil. In addition, the sustainable palm oil model which is built from 20 indicators depicts that the concern of plantation companies in fostering smallholders and communities around the plantation is the strongest indicator, while the indicator of protecting endangered plant and animal species and predatory animals in the natural cycle is the weakest indicator of variables in influencing sustainable palm oil in Nagan Raya Regency.

Suggested Citation

  • Aswin Nasution & Fajri Fajri & Abubakar Karim & Romano Romano, 2021. "A Study of Sustainable Palm Oil Model as Energy Source Considering the Economic, Social, Enviromental and Security Balance Variables," International Journal of Energy Economics and Policy, Econjournals, vol. 11(1), pages 388-393.
    • Handle: RePEc:eco:journ2:2021-01-46
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    References listed on IDEAS

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    1. Nia Kurniawati Hidayat & Astrid Offermans & Pieter Glasbergen, 2018. "Sustainable palm oil as a public responsibility? On the governance capacity of Indonesian Standard for Sustainable Palm Oil (ISPO)," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 35(1), pages 223-242, March.
    2. Khatun, Rahima & Reza, Mohammad Imam Hasan & Moniruzzaman, M. & Yaakob, Zahira, 2017. "Sustainable oil palm industry: The possibilities," Renewable and Sustainable Energy Reviews, Elsevier, vol. 76(C), pages 608-619.
    3. Munasinghe, M., 1993. "Environmental Economics and Sustainable Development," Papers 3, World Bank - The World Bank Environment Paper.
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    Cited by:

    1. Nugra Irianta Denashurya & Nurliza & Eva Dolorosa & Dewi Kurniati & Denah Suswati, 2023. "Overcoming Barriers to ISPO Certification: Analyzing the Drivers of Sustainable Agricultural Adoption among Farmers," Sustainability, MDPI, vol. 15(23), pages 1-25, December.

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    More about this item

    Keywords

    Palm oil; sustainable model; central to Aceh's palm oil production;
    All these keywords.

    JEL classification:

    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment
    • Q16 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - R&D; Agricultural Technology; Biofuels; Agricultural Extension Services
    • Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy

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