The Carbon Mitigation Potential of Sustainable Oil Palm Plantations: An Integrated Analysis of Hydrological Functions, Environmental Management, and Farmer Welfare

This qualitative literature review examines the contribution of sustainable oil palm plantations to carbon emission reduction through an integrated analytical framework encompassing hydrological functions, environmental dynamics, and farmer welfare.Synthesizing evidence from reputable peer-reviewed journals (2020-2026) and authoritative institutional reports, this study reveals that oil palm's climate impact is highly context-dependent-determined by location, land-use history, and management practices rather than by the crop's inherent characteristics.Mature plantations on mineral soils demonstrate significant carbon sequestration capacity (23-35 t CO₂eq/ha/year through biomass accumulation), while best management practices offer substantial emission reduction potential: biogas capture from palm oil mill effluent (75-85% methane reduction), organic fertilizer substitution (17-34% lower fertilizer emissions), and optimal peatland water table management (50-70% reduced peat oxidation).The synthesis establishes farmer welfare as a functional prerequisite for environmental sustainability, with the productivity-welfare-carbon nexus demonstrating mutually reinforcing relationships.With comprehensive transformation-universal adoption of best management practices, zero-deforestation enforcement, and landscape-level conservation-Indonesia's oil palm sector could transition from a net emitter (~220 Mt CO₂ eq/year) to a net-zero or carbon-sink status by 2040, thereby contributing substantially to national climate targets.However, significant policy implementation gaps persist, requiring strengthened governance, enhanced smallholder capacity building, and realignment of economic incentives.This review provides evidence-based pathways for positioning sustainable oil palm as a viable component of tropical climate mitigation strategies.