BPI Prepares 32-ha of Farming Land for Farmers Affected by PLTU Batang Area

Wednesday, June 29, 2016 –PT Bhimasena Power Indonesia (BPI) today conducted a socialization of substitute land to farmers affected by the construction of PLTU Batang at SMK (Vocational High School) Kandeman, Kandeman District, Batang Regency. The substitute arable land provision for farmers is part of BPI’s commitment in conducting social mitigation as laid down in the Environmental Impact Analysis (AMDAL).

Mohammad Effendi, BPI President Director explained that the company had prepared substitute land of 32 hectares for farmers who used to work on land affected by the land acquisition of PLTU Batang. The substitute land will be evenly distributed to 218 affected farmers. Every farmer will be entitled to an arable land of approximately 1.200 m2.

"The affected farm workers can work on the substitute land without having to split their income with BPI or rent the land. We hope that the land can serve a sustainable source of income for farmers affected by PLTU Batang," Effendi explained, Wednesday (29/6). A symbolic handover was also done for the agreement document for the substitute land from BPI to the representatives of the affected farm workers from three power block villages, which are Bawon (Ponowareng village resident), Warmudi (Karanggeneng village resident), and Sukono (Ujungnegoro village resident) – the document was handed over by Batang Regional Secretary Nasikhin and witnesses by Mohammad Effendi, BPI President Director.  

Today BPI has also handed over farming supporting facilities, namely  4 tractors, and 20 sprayers. The aid was extended to Karanggeneng Village Chief, Ujungnegoro Village Chief and Ponowareng Village Chief. The management of the equipment is entrusted to local village chiefs. 

According to Effendi, the provision of substitute land for the affected farm workers is one of BPI’s three commitments laid down in AMDAL. Meanwhile, BPI has fulfilled other commitments, such as the continuous entrepreneurial guidance program and the handover of social compensation packages for farmers affected by PLTU Batang.

"We are grateful for the support and cooperation of the people of Batang, that PLTU Batang’s construction process is currently going well. The same goes for the construction process which is underway. Local communities can enjoy the positive impacts. BPI will continue to uphold its commitment to promote the economy of Batang as well as the national economy,” he said.

During the socialization of the substitute land, BPI conveyed to the farmers who are residents of Karanggeneng, Ponowareng and Ujungnegoro villages that the company will not be applying leasing fees or income split policy on the land that they will be working on. Thus the end-result of the land management can entirely be enjoyed by the farm workers. 

BPI also explained  that the management of the substitute land is temporary, with a 5-year loan contract which can be extended. 

“Moving forward, we will continue to conduct socialization intensively, so the farmers will have a more comprehensive understanding on the mechanisms and benefits of the arable land,” Effendi explained. 

Nasikhin Batang Regional Secretary expressed his appreciation to BPI that has fulfilled all of its commitments as laid down in the AMDAL. This proves that the company is owning up to its responsibilities to the people of Batang. 

“Yesterday, BPI has also paid off the compensation packages and today handed over the substitute land to farmers affected by PLTU Batang.  I hope that the substitute land can be managed well, thus the results will be optimal as expected,” he said.  
 Nasikhin said that Batang Regency government will give its support so that the farming land can be developed maximally. Moreover, he hopes that the farmers can cooperate in setting aside some of the harvests for the village’s inventory as part of a strategy to strengthen local food resilience.