24/1/06 (The Jakarta Post, Jakarta)  -  The government's proposal to turn over 1.8 million hectares to oil palm cultivation in Kalimantan is not economically feasible, with only 10 percent of the land actually suitable for growing oil palms, a government official says.

The proposal has already drawn fierce criticism from environmentalists.

The Agriculture Ministry's director of plantations, Ahmad Dimyati, said Tuesday most of the planned plantation land lay at elevations of higher than 400 meters and was hilly, making it impossible to plant oil palms.

"Oil palm plantations on higher ground are less productive," he told a seminar on oil palm cultivation, adding that rubber and cocoa plantations would be more appropriate in such areas.

His remarks should add weight to accusations the project is nothing more than a ruse to fell huge numbers of trees at the land clearance stage for short-term gain.

Moreover, Ahmad said, most of the land involved was located in conservation areas, meaning the government had to abide by international rules on forest conservation and plantations. These rules require the establishment of plantations must not damage the environment, conservation areas, flora and fauna, or water resources.

Rudi R. Lamuru, the executive director of Sawit Watch -- an NGO that monitors the oil palm plantation sector -- said many firms came to Kalimantan ostensibly to establish oil palm plantations, but in reality all they were after was the timber obtained during land clearance.

After the timber is harvested they disappear, leaving vast areas of denuded land in their wake.

West Kalimantan reported recently that 1.5 million hectares of land allocated for oil palm plantations in the province were lying idle last year, while another 400,000 hectares were lying idle in East Kalimantan.

The proposed plantation project is located along the West Kalimantan-East Kalimantan border.

Economist Faisal Basri, who also attended the seminar, said the project would produce little in the way of economic benefit, and was a sign the government was bowing to pressure from investors who were asking for a payback in return for financing infrastructure projects. (06)