Evaluating cultural, historical, and socio-economic dynamics in the palm oil system: An implementation of sustainable governance

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Abstract

The social ecology theory investigates the complex relationship between social, cultural, economic, and environmental factors in understanding the implementation of the Indonesian Sustainable Palm Oil System (ISPO) in South Papua (Murray, 1982). This research examines the influence of cultural, historical, and socio-economic factors on the implementation of the ISPO in Merauke Regency, South Papua Province. Using a quantitative approach with correlational analysis, 100 oil palm farmers/partners were randomly sampled. A validated and reliable attitude scale questionnaire was employed and analyzed through multiple linear regression. Findings reveal that historical reconciliation in Papua significantly impacts ISPO implementation in Merauke by fostering an inclusive and stable environment for sustainable palm oil investment. The success of ISPO relies heavily on the active participation of the local community, rooted in Papua’s cultural and traditional values. Recommendations include enhanced government and corporate support for reconciliation processes with the Papua community, capacity building through education on sustainable practices, and acknowledgment of customary land rights. Understanding the cultural, historical, and socio-economic dynamics is crucial for sustainable ISPO implementation in South Papua, aiming for a harmonious and sustainable palm oil industry that respects the region’s cultural diversity.

Keywords: Cultural Dynamics, Socio-Economics, History, Sustainable Palm Oil System

Authors’ individual contribution: Conceptualization — A.P.T. and M.M.D.W.; Methodology — A.E.P. and B.T.; Validation — D.S.S. and S.W.R.; Formal Analysis — A.P.T. and P.R.; Investigation — R.F.Y.W. and B.T.; Resources — A.E.P. and M.M.D.W.; Data Curation — D.S.S. and P.R.; Writing — A.P.T., M.M.D.W., B.T., and S.W.R.; Supervision — R.F.Y.W. and B.T.; Project Administration — A.P.T. and P.R.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: A13, J17, Z13

Received: 14.02.2024
Accepted: 17.01.2025
Published online: 21.01.2025

How to cite this paper: Tjilen, A. P., Pattiselano, A. E., Widiastuti, M. M. D., Susanti, D. S., Waas, R. F. Y., Tambaip, B., Ririhena, S. W., & Riyanto, P. (2025). Evaluating cultural, historical, and socio-economic dynamics in the palm oil system: An implementation of sustainable governance. Journal of Governance & Regulation, 14(1), 161–170. https://doi.org/10.22495/jgrv14i1art15