The palm oil sector in Indonesia has seen the adoption of zero deforestation commitments by the larger companies in the form of various pledges around No Deforestation, No Peat, and No Exploitation (NDPE). At the same time, at the national and sub-national level, new governance arrangements are emerging for sustainability initiatives involving government, the private sector and other non-state actors. These initiatives have created new forms of governance relationships, most notably a shift in the types of function that were once the sole domain of the state. Some initiatives are independent and formulated outside of the state, but others interact with, and support, state actions. This paper explores the interactions between public and private sectors in the palm oil arena in Indonesia. It examines tensions and complementarities between these sectors, the degree to which, and manner in which, private standards are pushing the sustainability debate and implementation, and the likely outcomes in relation to their design.