FELDA GLOBAL VENTURES PLANTATIONS (MALAYSIA) SDN

Transcription

FELDA GLOBAL VENTURES
PLANTATIONS (MALAYSIA) SDN BHD
RSPO Membership No: 1-0013-04-000-00
PLANTATION MANAGEMENT UNIT
KKS Embara Budi Grouping
Lahad Datu, Sabah, Malaysia
INTERTEK CERTIFICATION INTERNATIONAL SDN BHD
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Report No.: R9291/14-1 Felda Global Ventures Plantations (Malaysia) Sdn Bhd
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KKS Embara Budi Grouping: Main Assessment
MAIN ASSESSMENT REPORT
ON RSPO CERTIFICATION
FELDA GLOBAL VENTURES PLANTATIONS (MALAYSIA) SDN BHD
(358158-V)
RSPO Membership No: 1-0013-04-000-00
PLANTATION MANAGEMENT UNIT
Certificate No:
Issued date:
Expiry date:
RSPO 929188
21 August 2014
20 August 2019
Assessment Type
Initial Certification (Main Assessment)
Annual Surveillance Assessment (ASA-01)
Re-Certification
Assessment Dates
6 – 10 May 2014
Intertek Certification International Sdn Bhd
[formerly known as Moody International Certification (Malaysia) Sdn Bhd]
6-L12-01, Level 12, Tower 2, Menara PGRM No. 6 & 8 Jalan Pudu Ulu, Cheras, 56100 Kuala Lumpur, Malaysia.
Tel: +00 (603) 9283 9881 Fax: +00 (603) 9284 8187 Email: [email protected]
Website: www.intertek.com
Intertek RSPO Report: August 2014
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TABLE OF CONTENTS
Section
Content
Page No
1.0
SCOPE OF ASSESSMENT
4
1.1
Introduction
4
1.2
Location (address, GPS and map) of palm oil mill and estates
4
1.3
Description of supply base (fruit sources)
5
1.4
Year of plantings and cycle
6
1.5
Summary of Land Use – Conservation and HCV Areas
6
1.6
Other certifications held and Use of RSPO Trademarks
6
1.7
Organizational information/contact person
7
1.8
Tonnages Verified for Certification
8
1.9
Time Bound Plan
9
1.10
Abbreviations Used
10
2.0
ASSESSMENT PROCESS
11
2.1
Assessment Methodology, Plan & Site Visits
11
2.2
Date of next scheduled visit
11
2.3
Qualifications of the Lead Assessor and Assessment Team
11
2.4
Certification Body
11
2.5
Process of Stakeholder consultation
12
3.0
ASSESSMENT FINDINGS
14
3.1
Summary of findings
3.2
Status of Identified Noncompliance and Corrective Actions, Observations and
Identified Positive Elements
44
3.3
Summary of Feedback Received from Stakeholders and Findings
49
4.0
ASSESSMENT CONCLUSION AND RECOMMENDATION
50
4.1
Acknowledgement of Internal Responsibility and Confirmation of Assessment Findings
50
4.2
Intertek RSPO Certification Details for Plantation Management Unit
14 – 44
51 - 52
APPENDICES
Appendix A
Appendix B
Assessment Plan
56 – 58
Appendix C
Maps of location – Mill, Estates, Conservation and HCV areas
59 – 62
Appendix D
Photographs of Assessment findings at Plantation Manangement Unit
63 – 65
Appendix E
Time Bound Plan for Other Plantation Management Units
55
66
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1.0
SCOPE OF MAIN ASSESSMENT
1.1 Introduction
This Main Assessment was conducted on the Plantation Management Unit (PMU) at KKS Embara Budi Grouping
of Felda Global Ventures Plantations (Malaysia) Sdn Bhd (hereafter abbreviated as FGVPM), from 6 – 10 May
2014, to assess if the organization’s operations of the mill and its supply bases for compliance against the RSPO
Principles and Criteria (April 2013), Malaysian National Interpretation (November 2010) and the RSPO Supply
Chain Certification Standard (November 2011) for Palm Oil Mill.
This assessment also includes a review of the changes made by the PMU to comply with the requirements of the
ratified new RSPO Principles and Criteria (effective 25 April 2013). It was found that the PMU is aware of the new
RSPO Principles and Criteria but yet make the necessary changes required.
The plantation management unit (PMU) or management unit is equivalent to a certification unit as defined in the
RSPO Certification Systems Document. Each PMU consists of one mill and its supply bases which are made up of
estates owned and/or managed by FGVPM.
1.2 Location (address, GPS and map) of palm oil mill and estates
KKS Embara Budi Grouping consists of one palm oil mill, namely Embara Budi Palm Oil Mill and 6 estates as
indicated in Table 1 below, which includes the addresses and GPS locations of the mill and estates. The location
maps are provided in Appendix C.
The 4 estates (FGVPM Sahabat 11, FGVPM Sahabat 12, FGVPM Sahabat 17 and FGVPM Sahabat 56) owned by
FGVPM and 2 estates (Felda Sahabat 3 and Felda Sahabat 4&5 ) are owned by organized smallholders under the
FELDA Settlers’ Scheme.
Table 1: Address of Palm Oil Mill, Estates and GPS Location
Name
Address
GPS Reference
Latitude
Longitude
Embara Budi POM
(Capacity: 54 MT/hour)
Felda Palm Industries Sdn Bhd Kilang Sawit
Embara Budi Peti Surat No. 28, 91150 Lahad Datu,
Sabah, Malaysia
5° 7'58.37"N
119° 5'31.20"E
1. FGVPM Sahabat 11
estate
FGVP Ladang Sahabat 11, Peti Surat 100, Pos
Cenderawasih, 91150 Lahad Datu, Sabah,
Malaysia
5° 4'31.98"N
119° 4'42.96"E
2. FGVPM Sahabat 12
estate
FGVP Ladang Sahabat 12, Peti Surat No. 12, Pos
Malaysia
5° 4'48.40"N
119° 4'48.00"E
3. FGVPM Sahabat 17
estate
Malaysia
5° 9'55.76"N
119° 8'42.00"E
4. FGVPM Sahabat 56
estate
Malaysia
5° 9'56.09"N
119° 8'38.40"E
5. Felda Sahabat 3 estate
(Scheme Smallholders)
Pejabat Felda Sahabat 3, Peti Surat No.33, 91150
5° 9'56.70"N
119° 8'45.60"E
Felda Sahabat 4 & 5
estate (Scheme
Smallholders)
Pejabat Felda Sahabat 4, Peti Surat No.78, 91150
5° 4'48.58"N
119° 4'15.60"E
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1.3
Description of supply base (fruit sources)
The supply of FFB to the POM at KKS Embara Budi Grouping PMU is from the following sources:(a) The 6 estates of the PMU mentioned in Table 1.
(b) FASSB 17 (under the FGVPM KKS Fajar Harapan grouping which had been certified).
(c) Estates owned by independent small growers or Outside Crop Producers (OCP).
These supply bases have been considered in the overall assessment on Embara Budi Grouping -PMU and have
been verified to be part of the Time Bound Plan committed by FGVPM for eventual certification.
Details of the planted hectarage for the FFB supply for KKS Embara Budi Grouping are as shown in Table 2 below.
Table 2: Estate Area Summary
Area Summary (ha) Jan- Dec 2013
Estate
Certified (Titled) Area
Planted Area (Oil Palm)
1.
FGVPM Sahabat 11 estate
2,518.97
2,242.25
2.
2,042.57
1,711.57
3.
3,243.70
2,700.01
4.
2,382.47
2,272.48
5.
Felda Sahabat 3 estate
1,487.24
1,141.75
6.
Felda Sahabat 4 & 5 estate
2,127.13
2,046.00
13,802.08
12,114.06
Total:
Notes:
1.
This Assessment covered the overall land use for oil palm plantation areas, and the identified Conservation
areas including any HCV areas and other planted areas with Teak and Mahogany trees (at FGVPM Sahabat
12 covering 73 ha), as marked out at the respective estates.
2.
The estates sampled for this Assessment have been selected based on their potential risks on social,
environmental and biodiversity issues such as their proximity to forest reserves, hill sides, riparian zones and
any high conservation value areas.
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1.4 Summary of plantings and cycle
nd
The 6 estates had been developed beginning from 1984 and are currently in the 2 cycle of planting for the oil
palms. The age profile is as shown in Table 3.
Table 3: Age Profile of Planted Oil Palm (Year: Jan - Dec 2013)
Estate Name
Year of
Planting
Cycle of Planting current
Mature OP (ha)
–
Above 3 years
Immature OP (ha) – 3
years & below
st
FGVPM Sahabat
11 estate
FGVPM Sahabat
12 estate
FGVPM Sahabat
17 estate
FGVPM Sahabat
56 estate
Felda Sahabat 3
estate
Felda Sahabat 4 &
5 estate
1985 -1987 (1 )
2010 - 2013
nd
(2 )
st
1986 - 1988 (1 )
2010 - 2013
nd
(2 )
1986 - 1988 (1st)
2010 - 2013
nd
(2 )
st
1984 - 1986 (1 )
2011 - 2013
nd
(2 )
st
1982 - 1984 (1 )
2011 - 2013
nd
(2 )
st
1984 - 1986 (1 )
2011 - 2013
nd
(2 )
nd
1,809.38
432.87
nd
1,486.65
224.92
nd
1,519.89
1,180.12
nd
817.38
1,455.10
nd
288.96
1,153.28
nd
0.00
2,046.00
5,922.26
6,492.29
2
2
2
2
2
2
Total
1.5 Summary of Land Use - Conservation and HCV Areas
The summary of Conservation and HCV Areas as identified in KKS Embara Budi Grouping during this assessment
is as shown in Table 4 below:
Table 4: Conservation and HCV Areas
#
Statement of Land Use (Ha)
1
Planted Area (ha) – Oil Palm
2
-
Mature
5,922.26
-
Immature
6,492.29
Conservation Area (ha)
-
3
Jan - Dec 2013
Hectarage – Ha
comprising buffer zones along small streams, hilly areas,
swampy and unplantable areas
350
HCV Area (ha)
-
comprising riparian / buffer zones near forest reserves,
rivers, water catchments, burial & religious sites
Nil
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1.6 Other certifications held and Use of RSPO Trademarks
Presently KKS Embara Budi Grouping hold the ISO 9001, ISO 14001 and OHSAS 18001 certifications for the Palm
Oil Mill.
The RSPO’s trademarks and logo are not yet used by the PMU audited. Instructions for use were provided and
acknowledged by the PMU through a signed Memorandum of commitment agreeing to adhere to the latest “RSPO
Rules on Communications & Claims” during the assessment.
1.7 Organizational information / Contact Person
Name: Norazam Abdul Hameed
Designation: Head of Department,
Plantation Sustainability and Quality Management (PSQM) Department
Full Address: Plantation Sustainability and Quality Management (PSQM) Department,
Felda Global Ventures Plantations Malaysia Sdn Bhd,
rd
3 Floor, Balai Felda, Jalan Gurney Satu, 54000 Kuala Lumpur, Malaysia.
Tel: 03-26005348 ext 5348 or 03-26005349 ext 5349
Fax: 03-26987816
Email: [email protected]
Name: Anthonius Sani
Designation: Sustainability Manager,
Plantation Sustainability and Quality Management (PSQM) Department
Full Address: Plantation Sustainability and Quality Management (PSQM) Department,
Felda Global Ventures Plantations Malaysia Sdn Bhd,
3rd Floor, Balai Felda, Jalan Gurney Satu, 54000 Kuala Lumpur, Malaysia.
Tel: 03-26005348 ext 5348 or 03-26005349 ext 5349
Fax: 03-26987816
Email: [email protected]
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1.8 Tonnages Verified for Certification
The breakdown of all the suppliers and their tonnages of FFB supplied to the POM at KKS Embara Budi Grouping
based on the actual for Jan - Apr 2014 and projected for May - Dec 2014 are as follows:
Table 5: FFB Tonnages
#
Estate /Supplier
FFB Received (MT)
Main Receiving Mill
Certified By (Year)
1. FGVPM Sahabat 11
41,607
KKS Embara Budi
Pending certification
2. FGVPM Sahabat 12
32,706
KKS Embara Budi
3. FGVPM Sahabat 17
31,917
KKS Embara Budi
4. FGVPM Sahabat 56
17,974
KKS Embara Budi
2,890
KKS Embara Budi
0
KKS Embara Budi
KKS Fajar Harapan
Intertek (2013)
KKS Embara Budi
Not yet certified
PMU Estates:
Sub-total from PMU estates
124,204
FELDA Settlers’ Scheme:
5. *Felda Sahabat 3
6. *Felda Sahabat 4 & 5
Sub-total from Settlers’ Scheme
2,890
Other Certified FELDA PMUs:
FASSB Sahabat 17
7.
(Fajar Harapan-PMU)
12,430
Total Certifiable FFB
139,524
Other suppliers:
8. Outside Crop Producers (OCP)
13,766
Grand total
153,290
Note: * Felda Sahabat 3 and Felda Sahabat 4 & 5 have 188 and 314 individual settlers respectively.
Total annual volumes / tonnages of FFB supplied from the supply base to the POM during the previous annual
period, current Main Assessment period and projected period are as follows:
Table 6: FFB Processed (Certified & Non-certified) tonnages
FFB Processed in
Jan – Dec 2013
- Actual
Estate / Supplier
FFB Processed in
Jan – Dec 2014
- Actual & Projected
FFB Processed for
Jan – Dec 2015
- Projected
MT
%
MT
%
MT
%
144,729
78%
124,204
81%
124,200
81%
FELDA Settlers’ Scheme
18,555
10%
2,890
2%
2,800
2%
Other Certified FELDA PMU
14,844
8%
12,430
8%
12,510
8%
Certifiable FFB
178,128
96%
139,524
91%
139,510
91%
Non-certified FFB from OCP
7,422
4%
13,766
9%
13,790
9%
Total
185,550
100
153,290
100
153,300
100
SCCS Model for POM
MB
PMU Estates
MB
MB
Note:
•
Due to the ongoing replanting since 2010 at FGVPM 11, 12, 56 and Felda Sahabat 3, Felda Sahabat 4 & 5,
the supply of FFB from these estates are expected to decrease over the period for 2014-2015.
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The annual certifiable tonnages of CPO and PK production by KKS Embara Budi Grouping from the supply base
/ suppliers as assessed and verified during this Main Assessment and projected for next year are detailed as
follows:
Table 7: Certifiable FFB tonnages
POM
Jan – Dec 2013
- Actual
Jan – Dec 2014
Jan – Dec 2015
- Projected
178,128
139,524
139,510
Total certifiable FFB
Processed (MT)
Total certifiable CPO
Production (MT)
Total certifiable PK
Production (MT)
39,010
OER:
21.90%
30,556
OER:
21.90%
30,553
OER:
21.90%
8,230
KER:
4.62%
6,446
KER:
4.62%
6,445
KER:
4.62%
Note: The POM has established and maintained procedures for the book keeping and monitoring requirements for
the CPO at the mill. It is verified the POM has procedures for the ‘Mass Balance – MB” model in accordance with
the RSPO Supply Chain Certification Standards (SCCS) requirements. Verified activities and checked items for
the SCCS of the POM are reported in section 3.1.1.
1.9
Time Bound Plan for Other Plantation Management Units
FGVPM Group operates 70 palm oil mills and 416 oil palm estates and schemes throughout Malaysia. The
organization is a member of RSPO since 2004 and has been taking an active role in the RSPO certification.
Currently, a significant number of its Certification Units is undergoing the RSPO certifying process in accordance
with its time bound plan to achieve RSPO certification for all its plantation certification units by 2017.
Based on the due diligence conducted on FGVPM there were no significant land conflicts, no replacement of
primary forest or any area containing HCVs since November 2005, no labour disputes that are not being resolved
through an agreed process, no evidence of non-compliance with law in any of the non-certified holdings.
FGVPM Group had declared that there was new planting and new acquisition of plantation lands and the progress
of the said activities are ongoing. These have been reviewed and updated in the Time Bound Plan as submitted by
FGVPM (updated in Jun 2014).
Details of the status of the Time Bound Plan as submitted by FGVPM are referred to in Appendix E (Part 2 of
Assessment report).
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1.10
Abbreviations Used
CB
Certification Body
IUCN
International Union for Conservation of Nature
CHRA
Chemical Health & Risk Assessment
KER
Kernel Extraction Rate
CPO
Crude Palm Oil
LTA
Lost Time Accidents
CSDS
Chemical Safety Data Sheets
MSDS
Material Safety Data Sheets
CSPO
Certified Sustainable Palm Oil
MTCS
Malaysia Timber Certification Scheme
CSPK
Certified Sustainable Palm Kernel
NCR
Non-Conformance Report
EFB
Empty Fruit Bunch
NGO
Non-Government Organization
EHS
Environmental Health & Safety
OER
Oil Extraction Rate
EIA
Environmental Impact Assessment
OHS
Occupational Health & Safety
ETP
Effluent Treatment Plant
PEFC
Programme for the Endorsement of Forest
Certification
FASSB
Felda Agricultural Services Sdn Bhd
PK
Palm Kernel
FELDA
Federal Land Development Authority
PMU
Plantation Management Unit
FGVPM
Felda Global Ventures Plantations (Malaysia)
Sdn Bhd
POM
Palm Oil Mill
FFB
Fresh Fruit Bunch
POME
Palm Oil Mill Effluent
GAP
Good Agriculture Practice
PPE
Personal Protective Equipment
HCV
High Conservation Values
SCCS
Supply Chain Certification Standard
Intertek
SOP
Standard Operating Procedures
IPM
Integrated Pest Management
ISCC
International Sustainability & Carbon Certification
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2.0
ASSESSMENT PROCESS
2.1
Assessment Methodology, Plan and Site Visits
Intertek has initiated public communications and notifications and invited the relevant stakeholders before the
assessment to provide feedback and comments on their concern (if any) on KKS Embara Budi Grouping regarding
the environmental, biodiversity, community development and other relevant issues.
From 6 - 10 May 2014, the Assessment team conducted the Main Assessment in which 3 out of the 6 estates of
KKS Embara Budi Grouping, namely FGVPM Sahabat 12, FGVPM Sahabat 56 and Felda Sahabat 3 estates
including the palm oil mill were assessed for compliance against the RSPO requirements. The number of estates
sampled was based on a minimum sample of 0.8√y where y is the number of management sub-units and the
selection was made based on their potential risks on social, environmental and biodiversity issues such as their
proximity to forest reserves, hill sides, riparian zones and high conservation value areas.
During the on-site assessment, relevant documents and records, including Standard Operating Procedures (SOP),
management plans, hectarage development, FFB, CPO and PK production, oil palm age profile, operational
controls and measures, operational data and records, training records, etc. were reviewed and verified for
compliance. The Assessment team using the process approach auditing technique covered the palm oil mill and
estate operations, agricultural practices, pest management, pesticide and fertilizer application, occupational health
and safety, social accountability, environment and other requirements. Stakeholders’ interviews were conducted
during the assessment and feedback obtained as part of information and evidence gathering. (See section 2.5
Process of stakeholder consultation).
KKS Embara Budi Grouping POM was also assessed against the requirements of RSPO Supply Chain
Certification Standard for CPO mill. This part of the assessment covered the verification of implementation of
documented procedures and availability of records to demonstrate compliance against all the elements for the
‘Mass Balance’ - MB Module requirements. These include documented procedure, purchasing and goods in,
record keeping, sales and goods out, processing, monitoring and traceability of the CSPO and CSPK quantities,
training for staff and claims.
After completion of the on-site field assessment, Intertek also performed the evaluation of conformity against the
RSPO Certification System requirements for CB. The assessment report, findings and associated documents were
evaluated through independent reviews by the Intertek Internal Technical Review Panel which was subsequently
validated by an external Peer Review prior to the Certification decision and approval of this report.
The details of the Assessment Plan (actual on-site) are provided in Appendix B.
2.2
Date of next scheduled visit
The next scheduled visit will be the Surveillance Assessment which will be carried out within a 12-month period
after the Certification decision and approval date of this report.
2.3
Competency details of the Lead Assessor and Assessment Team are given in Appendix A.
2.4
Certification Body
Intertek Certification International Sdn Bhd [formerly known as Moody International Certification (Malaysia) Sdn
Bhd] is part of the Intertek Group, which is a worldwide technical services organization dedicated to reducing
clients' risks by providing technical inspection services, management system certification in quality, environmental,
occupational safety & health and product certification, RSPO SCC, ISCC, Marine Sustainability Chain-of-Custody,
MTCS and PEFC Chain-of Custody certification in applicable industry sectors including the agricultural and forestry
sectors. Intertek operates globally providing clients with a wide-ranging technical inspection expertise and access
to thousands of skilled specialists worldwide. Intertek Group’s certification business is ranked in the top 10
worldwide, and is available globally offering certification across a wide range of industries.
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2.5
Process of stakeholder consultation
Stakeholder consultations began with notification of the upcoming assessment through the websites of RSPO,
FGVPM and Intertek. E-mails were sent to applicable stakeholders including government agencies, NGOs and
local communities. E-mails and telephone enquiries were made prior to the actual assessment and stakeholder’s
response and feedback received were followed up accordingly.
During the assessment, stakeholders were interviewed and their feedbacks were recorded. Among the
stakeholders consulted were workers, trade union leaders, women representatives; local community leaders,
representatives of government departments / agencies, NGOs, suppliers and contractors.
Details on stakeholders’ feedback, PMU response and Intertek verification / comments are provided in section 3.3.
Among the list of key stakeholders consulted was the following:
Government Agencies (by emails)
1. Department of Lands And Mines, WP
2. Department of Environment, WP
3. Department of Forestry Peninsular Malaysia
4. Department of Immigration, WP
5. Department of Irrigation & Drainage, WP
6. Department of Labour, WP
7. Department of Occupational Safety & Health. WP
8. Department of Orang Asli Affairs, WP
9. Department of Wildlife & National Parks, WP
Statutory Bodies (by emails)
18. Malaysian Palm Oil Board (MPOB)
19. Malaysian Palm Oil Board (MPOB) - Northern Region
20. Malaysian Palm Oil Board (MPOB) - Central Region
21. Malaysian Palm Oil Board (MPOB) - Southern Region
22. Malaysian Palm Oil Board (MPOB) - Eastern Region
NGOs (by emails)
28. All Women’s Action Society (AWAM)
29. BCSDM - Business Council for Sustainable
Development in Malaysia
30. Borneo Child Aid Society (Humana)
31. Borneo Resources Institute Malaysia (BRIMAS)
32. Borneo Rhino Alliance (BORA)
33. Center for Orang Asli Concerns COAC
34. Centre for Environment, Technology and Development,
Malaysia - CETDEM
35. Consumers Association Of Penang - CAP
36. EcoKnights
37. Environmental Management and Research Association
of Malaysia (ENSEARCH)
38. Environmental Protection Society Malaysia (EPSM)
39. Friends of the Earth, Malaysia
40. Future in Our Hands Society, Malaysia
41.
42.
43.
44.
45.
46.
47.
48.
49.
50.
51.
52.
53.
Global Environment Centre
Institute of Foresters, Malaysia (IRIM)
JUST - International Movement for a Just World
Malaysian Environmental NGOs - MENGO
Malaysian National Animal Welfare Foundation MNAWF
Malaysian Nature Society (MNS) Kuala Lumpur
Malaysian Nature Society Johor
Malaysian Nature Society Kedah
Malaysian Nature Society Kelantan
Malaysian Nature Society Kuching
Malaysian Nature Society Melaka/Negeri Sembilan
Malaysian Nature Society Miri
Malaysian Nature Society Pahang
10. Environment Protection Department Sabah
11. Department of Forestry, Sabah
12. Department of Immigration, Sabah
13. Department of Irrigation & Drainage, Sabah
14. Department of Labour, Sabah
15. Department of Occupational Safety & Health, Sabah
16. Sabah Wildlife Department
17. Land and Mines Office, Sabah
23.
24.
25.
26.
27.
Malaysian Palm Oil Board (MPOB) - Sarawak Region
Malaysian Palm Oil Board (MPOB) - Sabah Region
Malaysia Palm Oil Association (MPOA)
Malaysia Palm Oil Association Kuala Lumpur (MPOA)
Malaysia Palm Oil Association Sabah (MPOA)
57. Malaysian Nature Society Terengganu
58. Malaysian Plant Protection Society (MAPPS)
59. Mountaineering and Outdoor Pursuits Association of Negeri
Sembilan
60. National Council of Welfare & Social Development
Malaysia - NCWSDM
61. National Union of Plantation Workers (NUPW)
62. Partners of Community Organisations (PACOS)
63. Penang Institute previously known as Socio-Economic &
Environmental Research Institute (SERI)
64. Proforest - South East Asia Regional Office
65. R.E.A.C.H. - Regional Environmental Awareness Cameron
Highlands
66. Sabah Wetlands Conservation Society (SWCS)
67. SEPA - Sabah Environmental Protection Association
68. SUARAM - Suara Rakyat Malaysia
69. SUHAKAM - National Human Rights Society - Persatuan
Kebangsaan Hak Asasi Manusia
70. Sustainable Development Network Malaysia (SUSDEN)
71. Tenaganita Sdn Bhd
72. The Malaysian Forum of Environmental Journalist (MFEJ)
73. TRAFFIC - the wildlife trade monitoring network
74. TRAFFIC Southeast Asia - Wildlife trade & trafficking
monitoring programme
75. Transparency International - Malaysian Chapter
76. Treat Every Environment Special Sdn Bhd. (TrEES)
77. United Nations Development Programme - UNDP Malaysia
78. Water Watch Penang (WWP)
79. Wetlands International (Malaysia)
80. Wild Asia Sdn Bhd
81. World Wide Fund for Nature (WWF) Malaysia
82. World Wide Fund of Nature (WWF) Sabah
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54. Malaysian Nature Society Perak
55. Malaysian Nature Society Pulau Pinang
56. Malaysian Nature Society Sabah
Local community (On-site interviews)
Gender representatives
Workers & Workers representatives
83. UNION - AMESU
84. Malaysian CropLife & Public Health Association (MCPA)
85. Pesticide Action Network Asia and the Pacific (PAN AP)
Suppliers & Contractors representatives
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3.0
ASSESSMENT FINDINGS
3.1
Summary of findings
Principle 1: Commitment to transparency
Criterion 1.1
Growers and millers provide adequate information to relevant stakeholders on environmental, social and legal
issues relevant to RSPO Criteria, in appropriate languages and forms to allow for effective participation in decision
making.
Indicators
Findings and Objective Evidence
Compliance
1.1.1 There shall be evidence that
growers and millers provide
adequate information on
(environmental, social and/or legal)
issues relevant to RSPO Criteria to
relevant stakeholders for effective
participation in decision making.
Complied
Major Compliance
Documented procedure ML-1A/L2-PR3-0, Mar 2012 for
providing information, handling responses and requests from
stakeholders was established and communicated at FGVPM
Embara Budi PMU. The mill and estate management have
recorded and responded constructively and promptly to any
requests for information from the interested stakeholders.
This was evident from records sighted among which were
letters, minutes of meetings, attendance notes held together
with local authorities (e.g. DOSH, DOE and BOMBA), security
services, schools, clinics, smallholders, employee consultative
committees and local community leaders. A stakeholders
meeting was held on 17 December 2013 with stakeholders’
feedback recorded.
Records of visits and inspections such as DOSH (JKKP)
factory visits, DOE (JAS) sampling of effluent, BOMBA
inspection records were verified on-site.
1.1.2 Records of requests for
information and responses shall be
maintained.
The PMU maintained an updated list of internal stakeholders,
external stakeholders which included the government
departments/agencies, consultants, contractors, suppliers and
transporters.
Complied
Major / Minor - TBF
Request and responses were noted in the Record Log book
maintained which indicated the actions taken and date from
December 2013 to April 2014. These were verified to be
adequately maintained.
Other implementation documents & records were sighted from
FFB supplying estates, which included land titles, training
materials, health & safety plan, environmental & social
impacts assessment, pollution prevention plan, complaint
files, negotiation procedure, continual improvement plans.
The FELDA Settlers Scheme i.e. scheme smallholders such
as at Felda Sahabat 03. 04 & 05 estates were supervised by
the appointed Felda Scheme Managers. Contracts of
agreement between Felda as Scheme Managers and the
respective individual settlers were maintained at the
respective estate offices.
Land tiles for the settlers were in the process of finalization via
a Memorandum of Transfer (MOT) of land title.
The Settlers have access to Felda Group Procedures for
Agricultural practices including IPM and safe use of agrochemicals,
Records of briefings / trainings done for the settlers are also
verified to be maintained such as the Health and safety plan,
Environmental and Social impact assessments, Pollution
prevention plan and continuous improvements.
It is verified from the smallholders interviewed and in the
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Page 15 of 66
meeting minutes held on regular basis matters pertaining to
complaints and grievances, negotiations and the methods
used for the grading and calculating of FFB prices were
covered.
Criterion 1.2
Management documents are publicly available, except where this is prevented by commercial confidentiality or
where disclosure of information would result in negative environmental or social outcomes.
Indicators
Compliance
1.2.1 Publicly available documents
shall include, but are not necessarily
limited to:
In line with the organization’s policies , Embara Budi PMU had
established & documented information of land titles, health
and safety plan, plans and impact assessments relating to
environment and social impacts, pollution prevention plans,
details of complaints & grievances, negotiation procedures
and continuous improvement plan that are required to be
made available to the public & also for internal reference.
Complied
Major Compliance
• Land titles/user rights (Criterion
2.2);
Copies of all the land titles were available and have been
maintained.
• Occupational health and safety
plans (Criterion 4.7);
Detailed documented plan of OSH established in ML-1A/L4F2 (0), updated & reviewed since December 2013.
Programmes for protecting workers’ health & safety measures
established & implemented.
Complied
• Plans and impact assessments
relating to environmental and social
impacts
Complied
(Criteria 5.1, 6.1, 7.1 and 7.8);
Environmental aspect and impact assessment, and its plan as
well as social impact assessment were documented.
The SEIA established by Sustainability team (HQ) was
reviewed in December 2013 with feedback from the Mill,
Estate managers and RSPO implementation team. See also
related findings in C 5.1 and 6.1.
• HCV documentation (Criteria 5.2
and 7.3);
Based on the internal SEIA survey and evaluation, there was
no HCV area at FGVPM Embara Budi PMU.
Complied
Management Action for Conservation areas need to be
monitored and progressively implemented at the respective
Estates. See also findings detailed under C5.2 and C7.3.
• Pollution prevention and reduction
plans (Criterion 5.6);
Pollution prevention & reduction plans were documented in
FGVPM, 1/2013. It includes measures for pollution control
(incl. pesticides, schedule wastes, domestic wastes etc). See
also findings detailed under C5.6.
Complied
• Details of complaints and
grievances (Criterion 6.3);
Documented in ML-1A/L2-PR4 (0), dated Mar 2012.
Complaints / queries and enquiries records for internal and
external stakeholders were implemented but inadequately
implemented and followed up. See also findings detailed
under C6.3.
Partial
Compliance –
see
NCR 6 of 7
on criterion
6.3.1
• Negotiation procedures (Criterion
6.4);
Negotiation procedure was documented in ML-1A/L2-PR1 (0),
updated & reviewed Mar 2012.
Complied
There were no reported cases of any land conflict so far, at
the Embara Budi PMU.
• Continual improvement plans
(Criterion 8.1);
Documented in ML-1A/L2-PR11 (0), dated Mar 2012.
See also findings under C8.1.
Complied
• Public summary of certification
assessment report;
Public summary of earlier certification assessment reports of
FELDA certifications achieved were available in the website:
www.felda.net.my
Complied
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Page 16 of 66
The new integrated website under Felda Global Ventures for
public summary of RSPO assessments is currently still being
constructed.
• Human Rights Policy (Criterion
6.13).
The Human Rights Policy has not yet been documented and
communicated to all levels of the workforce and operations.
New
requirement
of RSPO P&C
(2013) Follow up will
be done at
Surveillance
assessment.
Criterion 1.3
Growers and millers commit to ethical conduct in all business operations and transactions.
Indicators
Compliance
1.3.1 There shall be a written policy
committing to a code of ethical
conduct and integrity in all operations
and transactions, which shall be
documented and communicated to
all levels of the workforce and
operations.
Major / Minor (TBF)
Policy of Commitment to a Code of Ethical Conduct and
Integrity has not yet been documented and communicated to
all levels of the workforce and operations.
New
requirement
of RSPO P&C
(2013) Follow up will
be done at
Surveillance
assessment.
Principle 2: Compliance with applicable laws and regulations
Criterion 2.1
There is compliance with all applicable local, national and ratified international laws and regulations.
Indicators
Compliance
2.1.1 Evidence of compliance with
relevant legal requirements shall be
available.
Felda Embara Budi-PMU has established a documented
system explaining the mechanism for identifying, determining,
reviewing and updating applicable legal and other
requirements that the PMU has subscribed.
Based on the site observations, interviews and records
checking at the field and mill, there were evidences of
compliance with the relevant laws, regulations, local and
international laws at the POM and estates.
There were no cases of any violation or actions imposed by
relevant authorities.
Palm oil mill possessed valid MPOB license which has been
recently renewed which will expire on 31 March 2015.
Complied
Major Compliance
Licenses and permits (License for Trading, License for
Employment of Foreign Workers, Workers Wages Deduction
Permit, Domestic and Consumer Permit for Keeping Diesel,
Petrol & Fertilizer, DOSH Certificates, DOE Permit, etc) were
renewed and evidenced to be valid.
The Scheme Managers has informed the Scheme
Smallholders concerning the relevant legal requirements.
The Scheme Managers monitored the activities of Scheme
Smallholders to ensure continuing compliance with the
relevant legal requirements.
2.1.2 A documented system, which
includes written information on legal
requirements, shall be maintained.
The documented system Doc No. ML-1A/L2-PR2 (0) (March
2012) for identifying, determining, reviewing and updating
applicable legal and other requirements has been maintained.
Complied
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Page 17 of 66
Minor Compliance
List of legal requirements (both international & national) filed
& maintained in oil mill & estate levels. Review was done in
January 2014 and related legal and regulatory changes had
been updated.
2.1.3 A mechanism for ensuring
compliance shall be implemented.
Minor Compliance
Monitoring mechanism was done through a 6-monthly
evaluation checked against the items in the Legal Register.
Complied
2.1.4 A system for tracking any
changes in the law shall be
implemented.
Minor Compliance
The system for tracking changes in the law established had
been implemented and updates documented.
Complied
Criterion 2.2
The right to use the land is demonstrated, and is not legitimately contested by local people who can demonstrate
that they have legal, customary or user rights.
Indicators
Compliance
2.2.1 Documents showing legal
ownership or lease, history of land
tenure and the actual legal use of the
land shall be available.
Major Compliance
The lands in the Sahabat region are legally leased by Felda
from the Sabah State Government since 1981 as evidenced
by the copies of land tiles produced and verified on-site.
Complied
2.2.2 Legal boundaries shall be
clearly demarcated and visibly
maintained.
It was verified that there has been no change to the stated
land titles and designated use for cultivation of oil palms and
agricultural use.
Major Compliance
The original copies are maintained by the corporate head
office at KL. The legal use of the land was confirmed for the
cultivation of oil palms and agricultural use.
Copies of the land titles of all the PMU estates were
maintained and found to be in proper order.
The Scheme Managers has provided evidence of legal
ownership of the land as seen in the Memorandum of
Transfer of land title user rights.
Complied
Legal boundary markers were sighted and maintained along
the perimeters of estate lands which were mapped with a 1meter differential Global Positioning System (GPS).
Locations of several boundary stones and pole markers were
visited. Verified that the pole markers were within the
boundary parameters of each estate. Demarcation was also
evidenced by the dug up trenches and drains which were
adjacent to neighboring villager / outgrower estates.
2.2.3 Where there are or have been
disputes, additional proof of legal
acquisition of title and evidence that
fair compensation has been made to
previous owners and occupants shall
be available, and that these have
been accepted with free, prior and
informed consent (FPIC).
Major / Minor (TBF)
There has been no dispute on the land rights within the
Embara Budi PMU.
As such, the process of fair compensation and FPIC is
currently not applied.
Complied
2.2.4 There shall be an absence of
significant land conflict, unless
requirements for acceptable conflict
resolution processes (see Criteria
6.3 and 6.4) are implemented and
accepted by the parties involved.
Due diligence was exercised through the implementation of
documented procedure for handling and response to land
disputes, customary rights in ML-1A/L2-PR12(0), Mar 2012;
documented procedure for handling negotiation in ML-1A/L2PR1(0), Mar 2012; as well as documented procedure for
calculation & distribution of compensation in ML-1A/L2PR13(0), Mar 2012.
There has been no dispute on the land rights within the
Complied
Major / Minor (TBF)
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Page 18 of 66
Embara Budi PMU (see C2.2.3 above)
2.2.5 For any conflict or dispute over
the land, the extent of the disputed
area shall be mapped out in a
participatory way with involvement of
affected parties (including
neighbouring communities where
applicable).
As per the procedure and mechanism documented, whenever
there were incidences of land conflict, the disputed areas
would be mapped out in participatory way with involvement of
affected parties. Internal investigation would be carried out,
and appropriate follow up actions taken to resolve land
conflict issues.
Complied
As per the procedure and mechanism documented,
precautionary measures would be on those disputed area
during the investigation period. Avoidance of violence would
be exercised to maintain peace and order in their current and
planned operations at the estates.
Complied
Major / Minor (TBF)
2.2.6 To avoid escalation of conflict,
there shall be no evidence that palm
oil operations have instigated
violence in maintaining peace and
order in their current and planned
operations.
Major / Minor (TBF)
Criterion 2.3
Use of the land for oil palm does not diminish the legal, customary or user rights of other users without their free,
prior and informed consent.
Indicators
Compliance
2.3.1 Maps of an appropriate scale
showing the extent of recognised
legal, customary or user rights
(Criteria 2.2, 7.5 and 7.6) shall be
developed through participatory
mapping involving affected parties
(including neighbouring communities
where applicable, and relevant
authorities).
Major Compliance
The lands in the Sahabat region are legally leased by Felda
from the Sabah State Government since 1981 as evidenced
by the copies of land tiles and maps produced which were
verified on-site.
There are no land disputes at the FELDA Settlers Scheme at
Sahabat 3, 4 & 5 as the respective plots of settlers land had
been adequately mapped out. The Scheme managers were
able to show that the legal or customary rights of the settlers
were not diminished.
Complied
2.3.2 Copies of negotiated
agreements detailing the process of
free, prior and informed consent
(FPIC) (Criteria 2.2, 7.5 and 7.6)
shall be available and shall include:
Records are available to show that the land lease comply with
legal requirements and does not infringe on any legal rights
that require free, prior and informed consent (FPIC).
Complied
a) Evidence that a plan has been
developed through consultation and
discussion with all affected groups in
the communities, and that
information has been provided to all
affected groups, including
information on the steps that shall be
taken to involve them in decision
making;
b) Evidence that the company has
respected communities’ decisions to
give or withhold their consent to the
operation at the time that this
decision was taken;
c) Evidence that the legal, economic,
environmental and social
implications for permitting operations
on their land have been understood
and accepted by affected
communities, including the
implications for the legal status of
their land at the expiry of the
company’s title, concession or lease
on the land.
Minor Compliance
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Page 19 of 66
2.3.3 All relevant information shall be
available in appropriate forms and
languages, including assessments of
impacts, proposed benefit sharing,
and legal arrangements.
Major / Minor (TBF)
All the relevant and information and pertinent documents were
also available in the local language i.e. Bahasa Malaysia
which can be understood by the stakeholders.
Complied
2.3.4 Evidence shall be available to
show that communities are
represented through institutions or
representatives of their own
choosing, including legal counsel.
Major / Minor (TBF)
As there were no cases of land disputes reported in the PMU,
the evidence for this did not apply.
Complied
Principle 3: Commitment to long-term Economic & Financial Viability
Criterion 3.1
There is an implemented management plan that aims to achieve long-term economic and financial viability.
Indicators
Compliance
3.1.1 A business or management plan
(minimum three years) shall be
documented that includes, where
appropriate, a business case for
scheme smallholders.
The 3-year management plan from 2014 -2017 had been
documented, with details of budget & cost of operation,
both for oil mill & estates.
Annual budget of Business Management Plan included the
following:
(i) Planting materials (DXP seedling and cloned seedling);
(ii) Crop projection = FFB yield/ha trends;
(iii) Mill extraction rates = OER trends;
(iv) Cost of Production = Cost/MT FFB trends;
(v) Cost of Production = Cost/MT CPO trends;
(vi) Forecast prices;
(vii) Financial indicators = Cost labor, supervision,
production and machinery depreciation).
Complied
Major Compliance
It is further noted that a separate Budget plan was
documented for the Felda Sahabat 3 and 4 & 5, which are
Settlers schemes respectively having 188 and 314
individual settlers . These plans are managed by the
respectively appointed Scheme Manager.
3.1.2 An annual replanting programme
projected for a minimum of five years
(but longer where necessary to reflect
the management of fragile soils, see
Criterion 4.3), with yearly review, shall
be available.
Minor Compliance
The Annual replanting programme projected for the next 5
years for each estate in this PMU is available. Evidence of
replanting programme planned, reviewed and on-going
implementation being carried out was observed during the
on-site assessment and field inspection.
Complied
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Page 20 of 66
Principle 4: Use of appropriate best practices by growers and millers
Criterion 4.1
Operating procedures are appropriately documented, consistently implemented and monitored.
Indicators
Compliance
4.1.1 Standard Operating Procedures
(SOPs) for estates and mills shall be
documented.
The mill and the estates had a copy each of the Standard
Operating Procedures and these had been verified to be in
order.
Complied
Major Compliance
Scheme smallholders had been briefed on the relevant
SOPs during gatherings organized for that purpose, and
during field visit of the staff.
4.1.2 A mechanism to check consistent
implementation of procedures shall be
in place.
Major / Minor (TBF)
4.1.3 Records of monitoring and any
actions taken shall be maintained and
available, as appropriate.
Minor Compliance
4.1.4 The mill shall record the origins of
all third-party sourced Fresh Fruit
Bunches (FFB).
The mechanism to check the implementation of SOPs was
available. Records had been kept by the staff concerned for
each operation to monitor the procedure and progress of
work, and these records would be checked by the Assistant
Manager and the Manager regularly. These records had
been verified to indicate satisfactory implementation during
the visit.
The records of monitoring and the actions taken had been
maintained for more than 12 months on the mill and estates
concerned. These records had been verified to be
satisfactory.
The muster chit was not available for viewing on
Sahabat 56 Estate when the visitor requested to have a
copy of it.
An observation had been issued for the matter
concerned.
The mill maintained record on the origins of all third-party
sourced Fresh Fruit Bunches (FFB), and it had been
verified to be satisfactory.
Complied
Observation:
CFK-01
Complied
Major / Minor (TBF)
Criterion 4.2
Practices maintain soil fertility at, or where possible improve soil fertility to, a level that ensures optimal and
sustained yield.
Indicators
Compliance
4.2.1 There shall be evidence that good
agriculture practices, as contained in
Standard Operating Procedures
(SOPs), are followed to manage soil
fertility to a level that ensures optimal
and sustained yield, where possible.
GAP for minimization of soil erosion and maintenance of
soil fertility is maintained via the frond stacking and fertilizer
application as per the recommendation provided from
FELDA Research Centre.
These had been verified through the records for fertilizer
application and observation during field visit.
Complied
Records of fertilizer application had been verified to be in
order.
Complied
Leaf and soil sampling and analysis had been carried out
annually to determine the nutrient levels for fertilizer
recommendations that aimed to sustain the long term soil
fertility and nutrient efficiency. Records of the sampling and
analysis had been verified to be satisfactory.
Complied
Minor Compliance
4.2.2 Records of fertiliser inputs shall
be maintained.
Minor Compliance
4.2.3 There shall be evidence of
periodic tissue and soil sampling to
monitor changes in nutrient status.
Minor Compliance
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Page 21 of 66
4.2.4 A nutrient recycling strategy shall
be in place, and may include use of
Empty Fruit Bunches (EFB), Palm Oil
Mill Effluent (POME), and palm
residues after replanting.
EFB mulching had been carried out in the mature area in
Sahabat 56 and Sahabat 12 estates while Sahabat 3 would
be using EFB for mulching in the immature palms of 2014
replant. Some EFB had been used as fuel in the mill.
Records had been verified to be satisfactory.
Minor Compliance
POME land irrigation had been carried out in Sahabat 56
estate over 200 ha in Blocks 15 to 19.
Complied
Criterion 4.3
Practices minimise and control erosion and degradation of soils.
Indicators
Compliance
4.3.1 Maps of any fragile soils shall be
available.
Based on the soil maps, there was presence of sandy soils
such as Rudua series, Pompin series, and Rusilla series on
Sahabat 56 Estate. EFB was being used for mulching in
these areas to improve the moisture and nutrients holding
property of the soils.
Complied
Minor Compliance
4.3.2 A management strategy shall be
in place for plantings on slopes above a
certain limit (this needs to be soil and
climate specific).
Minor Compliance
Planting terraces had been constructed on land with slope
6° to 25°. Records and maps on terraces constructed had
been verified on the estates.
There was no soil erosion noted during the visit.
However, on Sahabat 3 Estate, all the terraces
constructed were without stop bunds, while some were
without back incline and some were NOT cut along the
contour.
NCR 1 of 7 Minor
A minor non-compliance had been issued.
4.3.3 A road maintenance programme
shall be in place.
Minor Compliance
Estate roads were found to be in good and satisfactory
condition. Road maintenance programme had been found
to be in order.
However, on Sahabat 56 and Sahabat 3, there were no
scupper drains from the road to the terraces to avoid
water running on the road which will cause erosion of
the road.
On Sahabat 12, there were some cover crop and soft
grasses along the estate road being sprayed. This
might lead to erosion of the roadside later on.
Observation had been issued for the above-mentioned
matters.
Observation:
CFK-02
4.3.4 Subsidence of peat soils shall be
minimised and monitored. A
documented water and ground cover
management programme shall be in
place.
Minor Compliance
Based on the estate soil maps, there was no peat soil on
the estates as confirmed by auditor’s on-site assessment
Complied
4.3.5 Drainability assessments shall be
required prior to replanting on peat to
determine the long-term viability of the
necessary drainage for oil palm
growing.
Minor Compliance
Based on the estate soil maps, there was no peat soil on
the estates as confirmed by auditor’s on-site assessment
Complied
4.3.6 A management strategy shall be
in place for other fragile and problem
soils (e.g. sandy, low organic matter,
acid sulphate soils).
Minor Compliance
Based on the estate soil maps and visit to the estates, there
were no other fragile and problematic soils on these estates
apart from the sandy soils described under 4.3.1.
Complied
(188296-W)
Page 22 of 66
Criterion 4.4
Practices maintain the quality and availability of surface and ground water.
Indicators
Compliance
4.4.1 An implemented water
management plan shall be in place.
Documented water management plan and relevant records
had been verified to be in order for the palm oil mill,
Sahabat 56 and Sahabat 12 Estates. For Sahabat 3, Felda
Engineering Department i.e. Felda Engineering Sdn Bhd
(FES) would plan for the water management of the smallholders (settlers) which included training /briefing for
scheme smallholders on quality of surface and ground
water.
Complied
Buffer zone boundaries at F5 PM 12 of Sahabat 56
Estate and at PM 07 F of Sahabat 12 Estate had not
been demarcated.
Some palms had been planted too close to the streams
at Block F 2 of Sahabat 3, and at F 4 and F 5 of PR 12
on Sahabat 56.
A major non-compliance had been issued for the
above-mentioned items.
NCR 2 of 7 –
Major
Major / Minor - TBF
4.4.2 Protection of water courses and
wetlands, including maintaining and
restoring appropriate riparian and other
buffer zones (refer to national best
practice and national guidelines) shall
be demonstrated.
Major Compliance
There was no construction of bunds/ weirs/dams across the
main rivers or waterways passing through the estates.
4.4.3 Appropriate treatment of mill
effluent to required levels and regular
monitoring of discharge quality,
especially Biochemical Oxygen
Demand (BOD), shall be in compliance
with national regulations (Criteria 2.1
and 5.6).
In palm oil mill, water samples had been taken at monthly
interval at the discharge point of effluent pond. BOD levels
had been in the range of 6 ppm to 37 ppm in 2013 with an
average of 18.25 ppm. The upper limit specified by D.O.E.
was 50 ppm.
Complied
Water usage in the mill ranged from 0.90 m3 to 1.02
m3/tonne FFB in 2013 with an average of 0.97 m3/tonne
FFB. The level of water usage was within the industrial
norm with respect to the mill size and capacity.
Complied
Major / Minor - TBF
4.4.4 Mill water use per tonne of Fresh
Fruit Bunches (FFB) (see Criterion 5.6)
shall be monitored.
Minor Compliance
Criterion 4.5
Pests, diseases, weeds and invasive introduced species are effectively managed using appropriate Integrated Pest
Management techniques.
Indicators
Compliance
4.5.1 Implementation of Integrated Pest
Management (IPM) plans shall be
monitored.
Records on planting of beneficial plants had been verified
on the estates.
Trapping of Rhinoceros beetle with pheromone in addition
to spraying of Blocus with a.i. Beta-cyfluthrin 2.7% w/w,
when necessary, had been carried out in the immature
areas of the estates.
Pest infestation was minimal on the estates.
Programme for planting of beneficial plants such as Turnera
subulata, Cassia cobanensis, and Antigonon leptopus, and
records on areas planted had been verified together with
the respective maps to be satisfactory
2 campaigns of rat baiting had been carried out around
March and October of each year on Sahabat 56 and
Sahabat 12 Estates.
Complied
Minor Compliance
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Page 23 of 66
4.5.2 Training of those involved in IPM
implementation shall be demonstrated.
Training records for staff and scheme smallholders on IPM
implementation were available and was verified on-site to
be satisfactory during field assessment.
Complied
Minor Compliance
Criterion 4.6
Pesticides are used in ways that do not endanger health or the environment
Indicators
Compliance
4.6.1 Justification of all pesticides used
shall be demonstrated. The use of
selective products that are specific to
the target pest, weed or disease and
which have minimal effect on non-target
species shall be used where available.
Major Compliance
Written justification in Standard Operating Procedures of all
agrochemicals use had been reviewed and found
acceptable.
Complied
4.6.2 Records of pesticides use
(including active ingredients used and
their LD50, area treated, amount of
active ingredients applied per ha and
number of applications) shall be
provided.
Records of pesticides and their active ingredients used,
LD50, area treated, amount of a.i. applied per ha, and
number of applications had been maintained and kept for a
minimum of 5 years. Verified that records of monitoring
were satisfactorily. The pesticides were verified to be kept
under lock and key.
There was no record on the pesticides used by the
settlers on Sahabat 3 Estate as they had been buying
the pesticides on their own.
An observation had been issued for the matter
concerned.
Major Compliance
Observation:
CFK-03
4.6.3 Any use of pesticides shall be
minimised as part of a plan, and in
accordance with Integrated Pest
Management (IPM) plans. There shall
be no prophylactic use of pesticides,
except in specific situations identified in
national Best Practice guidelines.
Major Compliance
It had been the policy of the estates to minimize the use of
pesticides in accordance with integrated pest management.
Portable Signage boards were available and noted to be
displayed at areas of spraying activity during field visit.
No prophylactic use of pesticides had been carried out at
the estates for the period concerned.
Complied
4.6.4 Pesticides that are categorised as
World Health Organisation Class 1A or
1B, or that are listed by the Stockholm
or Rotterdam Conventions, and
paraquat, are not used, except in
specific situations identified in national
Best Practice guidelines. The use of
such pesticides shall be minimised and
eliminated as part of a plan, and shall
only be used in exceptional
circumstances.
Major Compliance
It is the policy of the group to reduce the use of Paraquat
gradually and achieve zero usage eventually.
It was noted that the paraquat usage records i.e. Form II for
highly toxic pesticides (HTP) were available at Sahabat 12
and Sahabat 56 estates which had shown slight increase in
the previous years to remove the wild oil palm seedlings.
The usage has been gradually reduced since September
2013 till present.
Complied
4.6.5 Pesticides shall only be handled,
used or applied by persons who have
completed the necessary training and
shall always be applied in accordance
with the product label. Appropriate
safety and application equipment shall
be provided and used. All precautions
attached to the products shall be
properly observed, applied, and
understood by workers (see Criterion
4.7).
Major Compliance
All pesticide operators had been given training on the
handling and application of the pesticides. Appropriate
safety and application equipment had been provided and
used by the operators.
All precautions attached to the products had been
observed, applied, and understood by the workers.
Portable Signage boards were available and noted to be
displayed at areas of spraying activity during field visit.
Programme and training records had been verified to be
satisfactory.
Complied
(188296-W)
Page 24 of 66
4.6.6 Storage of all pesticides shall be
according to recognised best practices.
All pesticide containers shall be
properly disposed of and not used for
other purposes (see Criterion 5.3).
Storage of pesticides found to be in accordance with the
Occupational Safety and Health Laws and Regulations and
local laws on pesticides control.
Empty chemical containers had been reused for mixing
chemicals for spraying pesticides in the field.
Complied
Pesticides had been applied using the proven methods
(Best Management Practices) that minimize risk and
impacts.
Complied
It’s not the policy of the company to carry out aerial
application of pesticides. This policy has been adhered.
Complied
Periodic training on pesticide handling had been carried out
for the workers and scheme smallholders.
Information on the pesticides displayed on the notice board
and next to the pesticides in the store.
Complied
Empty pesticide containers had been used for mixing
chemical for spraying in the fields. Scheduled waste of palm
oil mill had been disposes of through licensed contractor
approved by DOE. Records of scheduled waste involved at
the mill had been verified to be satisfactory.
Complied
Major Compliance
4.6.7 Application of pesticides shall be
by proven methods that minimise risk
and impacts.
Major Compliance
4.6.8 Pesticides shall be applied
aerially only where there is documented
justification. Communities shall be
informed of impending aerial pesticide
applications with all relevant information
within reasonable time prior to
application.
Major Compliance
4.6.9 Maintenance of employee and
associated smallholder knowledge and
skills on pesticide handling shall be
demonstrated; including provision of
appropriate information materials (see
Criterion 4.8).
Major Compliance
4.6.10 Proper disposal of waste
material, according to procedures that
are fully understood by workers and
managers shall be demonstrated (see
Criterion 5.3).
Major Compliance
4.6.11 Specific annual medical
surveillance for pesticide operators, and
documented action to treat related
health conditions, shall be
demonstrated.
Major Compliance
Annual medical surveillance for pesticide operators had
been implemented as follows:
Embara POM has sent 6 workers for medical surveillance
on 7-1-2014.
Sahabat 56 estate had sent 54 of its workers for medical
surveillance on 4-7-2013.
Sahabat 12 estate has sent 9 of its workers for medical
surveillance on 24-7-2014.
However there were no records at Sahabat 3 estate
having sent any of its settlers for medical surveillance
for the last 12 months.
A non compliance had been issued.
4.6.12 No work with pesticides shall be
undertaken by pregnant or breastfeeding women.
Verified from records, field inspections and interviews that
no pregnant or breast-feeding woman had been offered
work as pesticide operator.
Major Compliance
Criterion 4.7
An occupational health and safety plan is documented, effectively communicated and implemented.
NCR 3 of 7 Major
Complied
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Page 25 of 66
Indicators
Compliance
The health and safety plan shall cover
the following:
Occupational Safety and Health (OSH) plan in compliance
with OSH Act and Factory Machinery Act was documented
and implemented.
Complied
4.7.1 A health and safety policy shall be
in place. A health and safety plan
covering all activities shall be
documented and implemented, and its
effectiveness monitored.
Major Compliance
OSH policy was clearly displayed at POM and in estates
office. Workers and scheme smallholders had
demonstrated awareness towards occupational safety and
health policy.
Risk assessment carried out on all operations where health
and safety is an issue (e.g. noise exposure,
pesticides/chemicals exposure, accident, fire).
POM & its estates established their accident reporting KPI,
and incident monitoring implemented.
Procedures and actions documented and implemented on
the issues concerned.
Awareness and training programmes planned for year 2013
was consistently implemented. Evidence of training on safe
working practices for workers and scheme smallholders
involved in pesticides spray, use of fire extinguishers,
awareness & understanding of MSDS/CSDS, First Aid
boxes were sighted at both POM & estates.
Precautions attached to products properly observed and
applied to workers and scheme smallholders in all estates
Appropriate PPE (safety boots, safety helmets, rubber
boots, cartridge masks, safety goggles, gloves and ear
mufflers) verified to be provided.
Company had provided the appropriate PPE at the place of
work to cover all potentially hazardous operations such as
high level noise areas at POM, pesticides application and
harvesting at the estates.
The Safety & Health officer was responsible for overall in
charge of safety and health planning, operation &
coordination.
Adequate fire extinguishers were found to be located at
strategic locations, operational and maintained in good
conditions.
Training for mill and estate workers and scheme
smallholders in First Aid was carried out in the POM and
Group Estates and records maintained. First Aid equipment
was available at POM, estates and at worksite. Samples of
First Aid boxes were checked and contents found to be
complete and in usable order i.e. at Field 7 PR 12 of
Sahabat 56 estate when spraying activities was in progress
during field visit.
4.7.2 All operations where health and
safety is an issue shall be risk
assessed, and procedures and actions
shall be documented and implemented
to address the identified issues. All
precautions attached to products shall
be properly observed and applied to the
workers.
All operations had been risk assessed, documented and
implemented.
All precautions attached to the products had been observed
and applied to the workers through MSDS.
Annual medical surveillances were planned such as
Audiometric tests for Mill workers and Blood tests for
pesticide handlers. Medical reports were maintained and
available at the Mill and respective Estate offices.
Complied
Awareness and training programme had been carried out.
Complied
Major Compliance
4.7.3 All workers involved in the
operation shall be adequately trained in
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Page 26 of 66
safe working practices (see Criterion
4.8). Adequate and appropriate
protective equipment shall be available
to all workers at the place of work to
cover all potentially hazardous
operations, such as pesticide
application, machine operations, and
land preparation, harvesting and, if it is
used, burning.
Major Compliance
All workers and scheme smallholders involved had been
adequately trained in safe working practices.
Appropriate PPE had been provided to all workers at the
place of work to cover all potentially hazardous operations
at the Mill and estates.
4.7.4 The responsible person/persons
shall be identified. There shall be
records of regular meetings between
the responsible person/s and workers.
Concerns of all parties about health,
safety and welfare shall be discussed at
these meetings, and any issues raised
shall be recorded.
It is noted that a Safety & Health Officer has been
appointed to be the overall in charge of safety and health
matters for the PMU covering both Mill and estates.
Respective estates have appointed their respective Safety,
Health & Environmental assistants.
At the fields, the responsible person is usually the
Supervisor or Mandore during field operations.
Records of regular meetings between the responsible
person and workers to discuss about health and safety had
been verified to be satisfactory.
Complied
Accident and emergency procedures had been written and
briefed to staff, workers, contractors and visitors.
Workers trained in First Aid were present in the mill and
field operations.
First Aid Kits were available at worksites.
Records on all accidents had been verified to be maintained
satisfactorily.
Complied
Major Compliance
4.7.5 Accident and emergency
procedures shall exist and instructions
shall be clearly understood by all
workers. Accident procedures shall be
available in the appropriate language of
the workforce. Assigned operatives
trained in First Aid should be present in
both field and other operations, and first
aid equipment shall be available at
worksites. Records of all accidents shall
be kept and periodically reviewed.
Quarterly review on accident cases had been carried out
during quarterly meeting of Environment, Safety, & Health
(ESH)
Major Compliance
4.7.6 All workers shall be provided with
medical care and covered by accident
insurance.
Major Compliance
4.7.7 Occupational injuries shall be
recorded using Lost Time Accident
(LTA) metrics
Medical care had been provided to all the workers.
Local workers are covered by SOCSO, whereas foreign
workers of the Group Estates are covered by Foreign
Workers Compensation Scheme with ETIQA Takaful Bhd.
insurance company.
Complied
Records on Lost Time Accident (LTA) metrics had been
verified to be satisfactory.
Complied
Major Compliance
Criterion 4.8
All staff, workers, smallholders and contract workers are appropriately trained.
Indicators
Compliance
4.8.1 A formal training programme shall
be in place that covers all aspects of
the RSPO Principles and Criteria, and
that includes regular assessments of
training needs and documentation of
the programme.
Major Compliance
A formal training programme on all aspects of RSPO
Principles and Criteria has been established and
implemented.
Training for various categories of operators, including all
field and office staff and scheme smallholders, with regards
to their duties and training needs had been reviewed and
found acceptable.
Complied
4.8.2 Records of training for each
Records of training for each employee were available and
Complied
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Page 27 of 66
employee shall be maintained.
progressively monitored and updated.
Major Compliance
Principle 5: Environmental responsibility and conservation of natural resources and biodiversity
Criterion 5.1
Aspects of plantation and mill management, including replanting, that have environmental impacts are identified,
and plans to mitigate the negative impacts and promote the positive ones are made, implemented and monitored,
to demonstrate continual improvement.
Indicators
Compliance
5.1.1 An environmental impact
assessment (EIA) shall be documented.
Environmental impact assessment were done and
documented for the whole of Sahabat Group by the HQ.
Approval by the Jabatan Perlindungan Alam Sekitar was
th
issued on 19
June 2012 vide reference no:
JPAS/PP/11/600-1/11/1/115.
The assessment documents had included the identification
of aspects from field activities that includes fertilizing,
spraying, transportation of FFB, garbage disposal and road
maintenance.
The report includes action plans and
recommendations in order to mitigate negative effects and
promote positive ones such as sewage, landfills and
conservation activities applicable to the PMU.
The assessment has also included the participation from
the smallholders under the FELDA Settlers schemes, i.e.
Sahabat 03. 04 & 05 estates.
Complied
Major Compliance
5.1.2 Where the identification of
impacts requires changes in current
practices, in order to mitigate negative
effects, a timetable for change shall be
developed and implemented within a
comprehensive management plan. The
management plan shall identify the
responsible person/persons.
Major / Minor -TBF
5.1.3 This plan shall incorporate a
monitoring protocol, adaptive to
operational changes, which shall be
implemented to monitor the
effectiveness of the mitigation
measures. The plan shall be reviewed
as a minimum every two years to reflect
the results of monitoring and where
there are operational changes that may
have positive and negative
environmental impacts.
Major / Minor -TBF
There were no major changes to the identified impacts
since the establishment of the documents above.
However, visits made to Sahabat 12 and 56 showed that
action plan to mitigate negative effects were not fully
adhered to. Time table for change were not fully
developed and inadequately done although the
responsible persons were identified, i.e. assistant
managers, for the implementation and monitoring of
actions/activities stated in the management plan, no
follow up action were taken. There was no fencing
along a large water conservation pond and buffer zones
along the streams not completely demarcated. Thus, a
nonconformance was issued.
Implementation and monitoring of the documented
environmental improvement plans were reviewed on an
st
annual basis scheduled at the 1 quarter of the following
year.
The review had considered the mitigation of negative
impacts and promotion of positive ones such as the proper
demarcation of buffer zone, clearing of overgrown natural
vegetation and debris along the streams
The monitoring of the documented environmental
improvement plans is currently ongoing. See above NCR
under C5.1.2 on the inadequate implementation.
NCR 4 of 7 Minor
Complied
Criterion 5.2
The status of rare, threatened or endangered species and other High Conservation Value habitats, if any, that exist
in the plantation or that could be affected by plantation or mill management, shall be identified and operations
managed to best ensure that they are maintained and/or enhanced.
Indicators
Compliance
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Page 28 of 66
5.2.1 Information shall be collated in a
High Conservation Value (HCV)
assessment that includes both the
planted area itself and relevant wider
landscape-level considerations (such
as wildlife corridors).
Information has been collated in a HCV assessment and
being conducted by a consultancy company, Aksenta
dated 23 March 2014. The exercise has taken into
consideration all aspect of environmentally sensitive areas
such as ponds, streams, wildlife boundaries including the
Scheme smallholders’ areas at Sahabat 3, 4 & 5 estates.
It is confirmed that the Sahabat 3, 4 & 5, 12 and 56 PMU
estates are surrounded by palm oil estates.
There are no neighbouring forest reserves to the PMU.
Based on the review, there was no HCV area at these
PMU.
Note: In the absence of HCVs, conservation areas i.e.
buffer zones along the stretches of river tributaries which
pass through the Sahabat 12 and Sahabat 56 PMU
estates had been identified and being monitored.
Complied
Regular patrols within the POM and PMU were being
carried out and findings recorded by the respective Estate
executives to monitor the Conservation / buffer zone
areas.
The occasional sightings of various types of wildlife
encountered such as crocodiles were found to have been
recorded.
Monitoring and control of any illegal hunting, fishing or
collecting activities was also implemented. Large signages
that prohibit hunting, fishing and water polluting activities
were verified on-site and found to have been satisfactorily
maintained.
Complied
5.2.3 There shall be a programme to
regularly educate the workforce about
the status of these RTE species, and
appropriate disciplinary measures shall
be instigated in accordance with
company rules and national law if any
individual working for the company is
found to capture, harm, collect or kill
these species.
Major Compliance
The program to regularly educate the workforce and
community about the status of these RTE species are also
established with ongoing consultation with the relevant
authorities at the Embara Budi PMU.
There is evidence of commitment to discourage any illegal
or inappropriate hunting, fishing or collecting activities via
the signages erected which prohibit such activities.
Complied
5.2.4 Where a management plan has
been created there shall be ongoing
monitoring:
Management plans were established and monitoring
outcomes were reviewed by the Estate managers. There
are no HCV or reported RTE at the Sahabat 3, 12 and 56
PMUs, which has been verified during on-site assessment
to be satisfactory.
Ongoing monitoring of the overall management plan on
the status of any HCV and / or RTE species at the overall
Embara Budi plantation areas is collated and reviewed by
the HQ Sustainability team for the PMUs in the region.
Complied
It is verified that there has been no instance of HCV setaside that conflicts with the rights of local communities at
the PMU estates visited i.e. Sahabat 3, 12 and 56. Thus
negotiated agreement of such nature is not applicable.
Complied
Major Compliance
5.2.2 Where rare, threatened or
endangered (RTE) species, or HCVs,
are present or are affected by
plantation or mill operations,
appropriate measures that are
expected to maintain and/or enhance
them shall be implemented through a
management plan.
Major Compliance
• The status of HCV and RTE species
that are affected by plantation or mill
operations shall be documented and
reported;
• Outcomes of monitoring shall be fed
back into the management plan.
Major / Minor -TBF
5.2.5 Where HCV set-asides with
existing rights of local communities
have been identified, there shall be
evidence of a negotiated agreement
that optimally safeguards both the
HCVs and these rights.
Major / Minor -TBF
Criterion 5.3
Waste is reduced, recycled, re-used and disposed of in an environmentally and socially responsible manner.
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Page 29 of 66
Indicators
Compliance
5.3.1 All waste products and sources of
pollution shall be identified and
documented.
Visits made to POM and PMU estates at Sahabat 3, 12
and 56 showed that all waste products and sources of
pollution were identified and documented.
Complied
Major Compliance
The documentation and identification of all the waste
products such as scheduled waste, domestic waste ,
clinical waste and recyclable waste such as metal, plastic,
mill waste and polluting materials e g. EFB, POME, Stack
emissions and Boiler ashes were maintained and
monitored at the PMU.
Segregation of wastes i.e. general wastes and scheduled
wastes was verified to be satisfactory. Proper storage
areas were identified for the storage of the recyclable
wastes at the estates and mill.
The mill and estates also have a proper Scheduled Waste
Store for storing scheduled waste until time of disposal by
DOE authorized waste disposal contractors e.g. Petrojadi
Sdn Bhd.
Scheduled Waste identified included spent hydraulic oil
(SW 305), spent lubricant oil (SW 306), used chemical
containers/drums (SW 409), used filters (SW 410), clinical
waste (SW 404) and used batteries (SW 102).
Appropriate secondary containment for the diesel skid
tanks, chemical and scheduled waste storage areas was
verified to be maintained.
5.3.2 All chemicals and their containers
shall be disposed of responsibly.
The disposal of used chemicals and containers were done
accordingly to their schedule on waste management as
planned.
Major / Minor -TBF
Scheduled waste stores inspected at audited sites and
disposal was done by scheduled waste disposal company
authorized and licensed by Department of Environment.
5.3.3 A waste management and
disposal plan to avoid or reduce
pollution shall be documented and
implemented.
The waste management and disposal plan were in place at
both the POM and PMU. It has been documented and
implemented as required and is being carried out
responsibly.
Waste disposal was done an appointed contractor that is
licensed by the Department of Environment.
The solid waste management and disposal plan using
landfills was available at the mill and estates.
The designated landfill areas at Sahabat 56 and Sahabat
12 estate were verified to be at least more than 50 m away
from any streams / water sources -thus minimizing the risk
of contamination of contamination of water sources. Noted
that the domestic wastes from the Settlers estates, i.e.
Sahabat 03, 04 & 05 are using the large landfills located at
Sahabat 56.
Recycling of crop residues / biomass i.e. EFB and POME
had been implemented. Management EFB application
plans and progress reports were verified to be satisfactory.
Recycling bins of three different colour codes for specific
recycle waste were available in the POM and estates and
were used for solid waste segregation and recycling.
Major / Minor -TBF
Criterion 5.4
Efficiency of fossil fuel use and the use of renewable energy is optimised.
Complied
Complied
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Page 30 of 66
Indicators
Compliance
5.4.1 A plan for improving efficiency of
the use of fossil fuels and to optimise
renewable energy shall be in place and
monitored.
The use of energy in palm oil mill and line site was
monitored monthly to compare the energy usage against
the production of CPO. Electricity generation was through
steam turbine and boiler where Palm fiber and PK shells
were used as renewable energy/fuel on a 70:30 ratio
basis.
Monthly records of energy consumption of non-renewable
and renewable fuel per metric tonne of palm product at the
POM were available. . Currently, the average energy
usage for 2013 is at 0.29 kWh/mt FFB processed at the
POM.
At the estates, diesel consumption per metric ton FFB was
also monitored on a monthly basis.
It is verified that energy usage are being monitored at the
PMU for better control and comparison of trends.
Complied
Minor Compliance
Criterion 5.5
Use of fire for preparing land or replanting is avoided, except in specific situations as identified in the ASEAN
guidelines or other regional best practice.
Indicators
Compliance
5.5.1 There shall be no land
preparation by burning, other than in
specific situations as identified in the
‘Guidelines for the Implementation of
the ASEAN Policy on Zero Burning’
2003, or comparable guidelines in other
regions.
The Group policy of ‘Zero open burning’ is enforced since
July 2011. Both the POM (Embara Budi) and PMU estates
(including Settlers estates at Sahabat 3 and 4 & 5) had
observed the policy of ‘Zero open burning’ for any
replanting at the estates.
Field inspections made at Sahabat 3 and Sahabat 12
where replanting has been carried out showed no
evidence of open burning.
Complied
The PMU has adhered to the ‘zero burning ‘policy for
replanting at the estates. Replanted areas visited showed
no evidence of fire being used for land preparation.
There was also no evidence of any burning of domestic
waste at the housing line sites and at the sanitary landfills
of the estates during on site field assessment.
Complied
Major Compliance
5.5.2 Where fire has been used for
preparing land for replanting, there shall
be evidence of prior approval of the
controlled burning as specified in
‘Guidelines for the Implementation of
the ASEAN Policy on Zero Burning’
2003, or comparable guidelines in other
regions.
Minor Compliance
Criterion 5.6
Plans to reduce pollution and emissions, including greenhouse gases, are developed, implemented and monitored.
Indicators
Compliance
5.6.1 An assessment of all polluting
activities shall be conducted, including
gaseous emissions; particulate/soot
emissions and effluent (see Criterion
4.4).
The PMU had reviewed the environmental impact
assessment on potential pollution to water, gaseous
emissions to air and contamination on land at the POM,
FGVPM estates and the FELDA Settlers estates.
Monitoring of POM gas emissions is being done online
using the Continuous Emissions Monitoring System
(CEMS) and emissions were verified to be within the
permissible limits of DOE.
POME treatment, monitoring and land application is
monitored, maintained and adhered to DOE regulations.
Complied
Major Compliance
5.6.2 Significant pollutants and
greenhouse gas (GHG) emissions shall
be identified, and plans to reduce or
Identification of significant pollutants and greenhouse gas
(GHG) emissions was implemented e.g. POME, diesel /
fuel and fertilizer. Their usage have been recorded and
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Page 31 of 66
minimise them implemented.
Major / Minor -TBF
5.6.3 A monitoring system shall be in
place, with regular reporting on
progress for these significant pollutants
and emissions from estate and mill
operations, using appropriate tools.
Major / Minor -TBF
documented at the PMU.
However the plans to further reduce or minimise GHG
emissions are still yet to be established and
implemented. Thus an observation is issued for
further monitoring plans for reduction of GHG
emissions at the PMU. This will be followed up during
the next surveillance – See Observation raised, # AL01
Monitoring and reporting of the significant pollutants to
water, gaseous emissions to air and contamination on land
are in place. Tools and systems used include the DOE
online CEMS monitoring for air emissions, water quality at
discharge points as per DID regulations and SW disposal
were adhering to DOE requirements
Water samples were regularly taken every six months and
tested by mill environment officer in charge and analyzed
to ensure compliance to DOE requirements at final
discharge points The water samples were sent to Felda
Analytical Laboratory for analysis. The discharged water is
100% used for land application into Sahabat 11 estate of
the PMU.
Records are maintained and verified on-site to have met
the permissible regulatory limits.
Observation #
AL-01
Complied
Principle 6: Responsible consideration of employees, and of individuals and communities affected by
growers and mills
Criterion 6.1
Aspects of plantation and mill management that have social impacts, including replanting, are identified in a
participatory way, and plans to mitigate the negative impacts and promote the positive ones are made,
implemented and monitored, to demonstrate continual improvement.
Indicators
6.1.1 A social impact assessment (SIA)
including records of meetings shall be
documented.
The Social Impact Assessment (SIA) dated 30 Apr. 2014
based on a social survey between 24 and 30 April 2014
conducted only at Sahabat 3 estate (Scheme Smallholders)
only. Scheme Smallholders were specifically included in
the social survey.
However, no specific review mechanism adopted for
the rest of Embara Budi PMU estates.
E.g. At Embara Budi POM and estates Sahabat 12 and
Sahabat 56, no specific SIA activities and
documentations were available. Thus a nonconformance was raised on the matter.
Major Compliance
Compliance
NCR 5 of 7 Major
6.1.2 There shall be evidence that the
assessment has been done with the
participation of affected parties.
Minor Compliance
There was a stakeholder consultation conducted at regional
level on 17 Dec. 2013 which involved all plantations,
including the Settlers-Scheme Smallholders, POMs, internal
and external stakeholders.
Complied
6.1.3 Plans for avoidance or mitigation
of negative impacts and promotion of
the positive ones, and monitoring of
impacts identified, shall be developed in
consultation with the affected parties,
documented and timetabled, including
responsibilities for implementation.
The stakeholder consultation conducted at regional level on
17 Dec. 2013 involving all plantations, POMs, internal and
external stakeholders did not adequately cover the specific
issues related to Embara Budi PMU.
See
NCR 5 of 7
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Page 32 of 66
Major / Minor -TBF
6.1.4 The plans shall be reviewed as a
minimum once every two years and
updated as necessary, in those cases
where the review has concluded that
changes should be made to current
practices.
See
The Social Impact Assessment (SIA) dated 30 Apr. 2014
based on a social survey between 24 and 30 April 2014
conducted had covered Sahabat 3 estate (Scheme
Smallholders) only.
See
NCR 5 of 7
NCR 5 of 7
There shall be evidence that the review
includes the participation of affected
parties.
Major / Minor -TBF
6.1.5 Particular attention shall be paid
to the impacts of smallholder schemes
(where the plantation includes such a
scheme).
Major / Minor -TBF
Criterion 6.2
There are open and transparent methods for communication and consultation between growers and/or millers,
local communities and other affected or interested parties.
Indicators
Compliance
6.2.1 Consultation and communication
procedures shall be documented.
Policy on industrial relations is available, i.e., “Polisi
Perhubungan Sosial”, for internal communication and
consultation. In Sahabat 3, where labour forces are mainly
consist of the FELDA settlers (Scheme Smallholders), at
least 3 different meetings conducted between the
management and the Scheme Smallholders conducted
every month.
Among available channels of communications between the
management and affected or interested parties are, the
Joint Consultative Committee [JCC], gathering with FELDA
Scheme Smallholders, Jawatankuasa Kemajuan dan
Keselamatan Kampung / Rancangan [JKKR], Gerakan
Persatuan Wanita [GPW]. All of these meetings are
conducted monthly. Other than meetings and gatherings,
affected parties also have access to workplace inspections,
suggestion boxes, housing maintenance request forms and
morning roll calls to raise their concerns.
Responsible persons are nominated to communicate with
different sectors of stakeholders. List of stakeholders are
also kept properly by the PMUs which include local
authorities, government departments, suppliers, settlers and
contractors.
Complied
Organisation charts in all PMUs visited show that different
responsible persons are nominated for different sectors of
stakeholders. Interviews with a few of these responsible
persons verified the understanding of their roles and
responsibilities.
Among responsible persons interviewed were Mr. Abu
Bakar Yusoff, Assistant Manager at the Sahabat 12 which is
also appointed Communication Officer for RSPO
certification. In Sahabat 56, Nasir Lahayya is appointed as
responsible person for field workers reside in Dahlia Hostel.
Complied
Major Compliance
6.2.2 A management official
responsible for these issues shall be
nominated.
Minor Compliance
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Page 33 of 66
6.2.3 A list of stakeholders, records of
all communication, including
confirmation of receipt and that effort
are made to ensure understanding by
affected parties, and records of actions
taken in response to input from
stakeholders, shall be maintained.
Minor Compliance
List of stakeholders are sighted in “Maklumat Kepada
Stakeholder” file. Internal stakeholders may raise their
concerns through different communication channels as
mentioned in 6.2.1.
External stakeholders may specifically raise their concerns
through suggestion boxes and complaint form, i.e. “Rekod
Pertanyaan Dan Maklumbalas” provided by each PMU.
There are also records sighted where external stakeholders
communicated with the PMUs with some specific requests,
e.g. donations, hand-outs as well as water supply for their
activities. All these requests were responded and
maintained properly
Complied
Criterion 6.3
There is a mutually agreed and documented system for dealing with complaints and grievances, which is
implemented and accepted by all affected parties.
Indicators
6.3.1 The system, open to all affected
parties, shall resolve disputes in an
effective, timely and appropriate
manner, ensuring anonymity of
complainants and whistleblowers,
where requested.
A policy on ensuring anonymity of complainants and
whistleblowers is available, i.e. “Polisi Pemberian
Maklumat”, dated 18 Jan. 2013 signed by Dato’ Sabri
Ahmad, Group President.
However, in most cases, complaints received from
internal stakeholders, especially workers are not
recorded properly with date received, actions taken and
current status of the actions. Devoid of these details, it
cannot be determined whether or not the grievances
are handled in timely manner.
It was also evident from the consultation conducted
with the stakeholders, channels for external
stakeholders even though is well prepared but not well
explained and made accessible to the public. The
“Rekod Pertanyaan Dan Maklumbalas” form mentioned
in 6.2.3 have not been made available to the public yet.
Furthermore, other than requests for donations from
external stakeholders and housing maintenance from
the staff, complaints and grievance from workers are
not recorded properly.
Major Compliance
6.3.2 Documentation of both the
process by which a dispute was
resolved and the outcome shall be
available.
Minor
Complaints and grievances are handled by respective
responsible persons. Outcomes from the actions taken are
recorded in different manners, e.g. meeting minutes and
payment vouchers. Date of action commencement and
status of each action are not recorded as stated in 6.3.1.
Compliance
NCR 6 of 7 Major
Complied
Criterion 6.4
Any negotiations concerning compensation for loss of legal, customary or user rights are dealt with through a
documented system that enables indigenous peoples, local communities and other stakeholders to express their
views through their own representative institutions.
Indicators
Compliance
6.4.1 A procedure for identifying legal,
customary or user rights, and a
procedure for identifying people entitled
to compensation, shall be in place.
Complied
Major Compliance
At the time of audit, there were no borders which were
directly adjacent to any villages or native land in the PMUs.
The PMU operations in Sabah are based on approval from
state government through “Warta Kerajaan Negeri Sabah”,
No. 148 and 223 in 1979. Therefore, no cases requiring any
negotiation or compensation pertaining to these criteria.
6.4.2 A procedure for calculating and
distributing fair compensation
(monetary or otherwise) shall be
directly adjacent to any villages or native land with the
FELDA Scheme Smallholders. The FELDA Scheme
Complied
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Page 34 of 66
established and implemented,
monitored and evaluated in a
participatory way, and corrective
actions taken as a result of this
evaluation. This procedure shall take
into account: gender differences in the
power to claim rights, ownership and
access to land; differences of
transmigrants and long-established
communities; and differences in ethnic
groups’ proof of legal versus communal
ownership of land.
Smallholders operations in Sabah are based on approval
from state government through “Warta Kerajaan Negeri
Sabah”, No. 148 and 223 in 1979. Therefore, no cases
requiring any negotiation or compensation pertaining to
these criteria.
Minor Compliance
6.4.3 The process and outcome of any
negotiated agreements and
compensation claims shall be
documented, with evidence of the
participation of affected parties, and
made publicly available.
directly adjacent to any villages or native land in the PMU.
The PMU operations in Sabah are based on approval from
state government through “Warta Kerajaan Negeri Sabah”,
No. 148 and 223 in 1979. Therefore, no cases requiring any
negotiation or compensation pertaining to these criteria.
Complied
Minor Compliance
Criterion 6.5
Pay and conditions for employees and for contract workers always meet at least legal or industry minimum
standards and are sufficient to provide decent living wages.
Indicators
Compliance
6.5.1 Documentation of pay and
conditions shall be available.
Documentation and conditions of pay are available for both
local and foreign workers. Employment agreement who
mostly are from Indonesian stating all statutory fringe
benefits and eligible incentives, e.g. working hours,
overtime, leave and medical benefits, maternity leave for
women, insurance coverage, deductions, resignation notice
period, company rules.
Complied
Major Compliance
The payment slips sighted are easy to understand and this
fact was further verified with foreign workers. Payments are
th
made latest by 7 of each month and consistent with
Minimum Wage Order 2012 for all employees in the PMUs.
Holidays entitlements as required by the laws are
satisfactorily fulfilled, e.g. annual leaves, public holidays,
and maternity leave. Payments for unused annual leaves in
December 2013 were sighted in all PMUs.
The PMU also provides free housing and piped water
supply, free electricity, medical benefits, insurance cover,
mosques, church and welfare amenities that in overall
constitutes a decent living for the employees.
6.5.2 Labour laws, union agreements or
direct contracts of employment detailing
payments and conditions of
employment (e.g. working hours,
deductions, overtime, sickness, holiday
entitlement, maternity leave, reasons
for dismissal, period of notice, etc.)
shall be available in the languages
understood by the workers or explained
carefully to them by a management
official.
Documented employment contract, i.e. “Surat Perjanjian
Pekerjaan diantara Felda Global Ventures Plantations (M)
Sdn. Bhd. (974143 – H) dengan Pekerja Asing Indonesia”
was sighted during the audit. The document covers all issue
such as working hours, deductions, overtime, sickness,
holiday entitlement, maternity leave, and reasons for
dismissal, period of notice made available in Bahasa
Malaysia which is understood by the workers.
Complied
The employment contract mentioned above is only valid in
FELDA Sahabat 12 and Sahabat 56, whilst no foreign
workers are employed at Sahabat 3 Scheme Smallholders.
Minor Compliance
6.5.3 Growers and millers shall provide
adequate housing, water supplies,
The Workers’ Minimum Standard of Housing and Amenities
Complied
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Page 35 of 66
medical, educational and welfare
amenities to national standards or
above, where no such public facilities
are available or accessible.
Minor Compliance
6.5.4 Growers and millers shall make
demonstrable efforts to monitor and
improve workers’ access to adequate,
sufficient and affordable food.
Act 1990 (Act 446) is yet to be enforced by Sabah Labour
Department. However, the PMUs, noted to have provided
adequate amenities to their workers.
Site visits to workers’ homes and interviews with their
dependents revealed their general satisfaction with their
housing conditions and amenities.
Housing, electricity and water supply
Workers are given a small patch of land to grow
vegetables/fruit trees and keep poultry around their houses
in order to reduce the cost of living. The workers staying in
the PMUs are provided with free 24-hour electricity and
water supply. Clean water supply comes from public water
work. In all PMUs, rubbish collection is scheduled at least
twice a week. Executives and above are staying in a
residential area outside the estates with pay-per-use 24hour electricity and water supply.
Schools
For local children there are government primary, secondary
and religious schools in the vicinity of the PMUs. Whilst, for
children of foreign workers, the PMUs in collaboration with
an NGO, i.e. Yayasan Peduli Pendidikan Anak Indonesia
(YPPAI), managed a school located in Sahabat 43. This
school is for foreign workers who came into the country
before immigration rules have been enforced, New intakes
of foreign workers do not bring their family together with
them from their home country]. Transport is provided free
for children of the workers daily. At certain nights, informal
Quran reciting lessons also provided free for both children
of local and foreign workers. An annual contribution of
RM100 for each primary school and RM150 for each
secondary school children are allocated every year in
January.
Sundry shops
Sundry shops and other facilities are available in the vicinity
of the PMUs, e.g. banks, petrol station, fresh market, night
market, restaurants and other eating places, money transfer
service. At the workers linesites located in the estates, food
trucks brought in fresh food supply, e.g. meat, chicken, fish,
vegetable, almost every day.
Crèche ( Rumah Asuhan Kanak-kanak)
Government managed kindergarten is available in the
vicinity of the PMUs for pre-school children.
Medical clinics
A government managed and private clinics are available at
the vicinity of the PMUs. Medical allowance up to RM200 for
foreign and unmarried workers, whilst, RM300 for workers
with family are allocated. Transport to and from the clinics
are provided free by the PMUs. Both local and foreign
workers are covered by insurance underwritten by Etiqa
Takaful, i.e. through Foreign Workers Compensation
Scheme for foreign workers and a generic cover for local
workers. Both insurance are still valid at the time of audit.
Sundry shops and other facilities are available in the vicinity
of the PMUs, e.g. banks, petrol station, fresh market, night
market, restaurants and other eating places, money transfer
service. At the workers linesites located in the estates, food
trucks brought in fresh food supply, e.g. meat, chicken, fish,
Complied
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Page 36 of 66
Minor Compliance
vegetable, almost every day.
For settlers who has no income due to replanting process,
i.e. audited estate Sahabat 3 and non-audited estates
Sahabat 4 and 5, a monthly support from the management
of RM1500 – RM1800 is provided. This support will
continue until the trees are at yielding age again.
Criterion 6.6
The employer respects the rights of all personnel to form and join trade unions of their choice and to bargain
collectively. Where the right to freedom of association and collective bargaining are restricted under law, the
employer facilitates parallel means of independent and free association and bargaining for all such personnel.
Indicators
Compliance
6.6.1 A published statement in local
languages recognising freedom of
association shall be available.
The published statements of policy “Kebebasan
Menganggotai Kesatuan / Khidmat Sukarela”, dated 28 Jun.
2011 signed by Dato’ Dzulkifli Abd. Wahab, Pengarah
Besar Felda, recognises the employee’s freedom of
association, was found to be available and widely displayed
in all notice boards of the PMUs. This policy is available in
Bahasa Malaysia which can be understood by majority of
the workers.
Complied
Major / Minor -TBF
Sahabat 3 Scheme Smallholders participants who mainly
also served as workers at the estate under this freedom of
association already organised themselves in a few different
co-operatives. As Scheme Smallholders participants, their
rights and welfare are well taken care of by FELDA office.
6.6.2 Minutes of meetings with main
trade unions or workers representatives
shall be documented.
Major Compliance
Under this policy two workers unions are formed, i.e.
“Kesatuan Pekerja-Pekerja FPISB (Sabah)” for local
millworkers and “Kesatuan Pekerja-Pekerja Felda Global
Plantation” for the local plantation workers. No association
available for foreign workers as it is prohibited by the law.
Meetings of both of these unions are minuted and properly.
In 2013 the workers’ unions’ main achievement was to
acquire monthly minimum wages of RM900 which is equal
to minimum wages in Peninsular Malaysia instead of
RM800 for Sabah and Sarawak. Back payment was made
starting January to August in 2013.
Concerns of the foreign workers are handled through the
channels mentioned in 6.2.1.
Complied
Criterion 6.7
Children are not employed or exploited.
Indicators
Compliance
6.7.1 There shall be documentary
evidence that minimum age
requirements are met.
The PMU has a policy of not employing child labour i.e.
persons below 17 years old in accordance with Employment
Act 265 as evidenced in “Polisi Pekerja Kanak-Kanak”,
dated 20 Dec. 2010 signed by Dato’ Dzulkifli Abd. Wahab,
Pengarah Besar Felda. This policy is displayed at strategic
public places.
Employees and workers profile were sighted during the
audit. No underage workers found. This fact was further
verified through interviews with staff and workers in the
PMUs.
Complied
Major Compliance
Criterion 6.8
Any form of discrimination based on race, caste, national origin, religion, disability, gender, sexual orientation,
union membership, political affiliation, or age, is prohibited.
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Page 37 of 66
Indicators
Compliance
6.8.1 A publicly available equal
opportunities policy including
identification of relevant/affected groups
in the local environment shall be
documented.
The PMU has a publicly displayed documented policy on
equal opportunities, i.e. “Polisi Kesetaraan Peluang”, dated
20 Dis. 2010, signed by Dato’ Dzulkifli Abd. Wahab,
Pengarah Besar FELDA. The policy stressed on nondiscrimination based on race, caste, nationality, religion,
gender, sexual orientation, disability/handicap, and
union/political affiliations. However, positive discrimination
for the benefit of certain groups may be allowed after
consultation. There is prohibition for employing children or
anyone below the age of 18 to work at the plantations
including at the estates owned by the FELDA Settlers –
Scheme Smallholders.
During the audit, no second generation of original Scheme
Smallholders participants found working at the estate yet.
Complied
There is a documented policy on foreign workers “Polisi
Pengambilan Pekerja Asing” dated 1 Jul. 2013. It is publicly
displayed along with other policies at strategic places. The
employment of foreign workers was implemented without
affecting the opportunities for local communities.
Complied
Major Compliance
6.8.2 Evidence shall be provided that
employees and groups including local
communities, women, and migrant
workers have not been discriminated
against.
Minor Compliance
6.8.3 It shall be demonstrated that
recruitment selection, hiring and
promotion are based on skills,
capabilities, qualities, and medical
fitness necessary for the jobs available.
Major / Minor -TBF
Local workers are covered under SOCSO scheme, whilst,
foreign workers are covered under Foreign Workers
Compensation scheme (FWCS) underwritten by Etiqa
Takaful. Insurance covers sighted shows validity at least
until May 2016 in some of the PMUs.
Interviews with foreign workers revealed satisfaction with
the PMUs for job opportunities and they enjoy all common
welfare amenities like free housing, free water and
electricity supplies, medical care, and transportation of
school children. They are aware that their grievances can
be raised through various channels, especially the regular
meetings they are attending every month.
Depending on the nature of work positions, The PMU
management takes into considerations the needs for
technical qualifications/experience and related skills in
recruitment selection, hiring and promotion exercises.
It was verified that the promotions to higher position at the
PMUs were based on evaluations which considered the
skill, capabilities, qualities and medical fitness of the
employees.
Complied
A verification of job advertisement for vacant driver position
and related intake records of three local workers in April
2014 in Sahabat 56 shows that employment opportunities
are offered and was carried out in a non-discriminative
manner. The necessary qualifications and conditions were
clearly stated in the job advertisement. Terms and
conditions of work were spelled out in the offer letter as
well.
Criterion 6.9
There is no harassment or abuse in the work place, and reproductive rights are protected.
Indicators
6.9.1 A policy to prevent sexual and all
other forms of harassment and violence
shall be implemented and
communicated to all levels of the
A documented policy to prevent sexual harassment and
violence is available and publicly displayed, i.e. “Polisi
Gangguan Seksual Dan Keganasan”, dated 28 Jun. 2011
signed by Felda’s Managing Director (Pengarah Besar).
Compliance
(188296-W)
Page 38 of 66
workforce.
Major Compliance
6.9.2 A policy to protect the
reproductive rights of all, especially of
women, shall be implemented and
workforce.
Major Compliance
6.9.3 A specific grievance mechanism
which respects anonymity and protects
complainants where requested shall be
established, implemented, and
workforce.
Major / Minor -TBF
Gender committees or equivalent are formed in all PMUs,
i.e. Kelab Keluarga Dayabudi [KKD] in the POM and
Gerakan Persatuan Wanita [GPW] in Sahabat 3. All
committee members are aware of the policy and its
complaints procedures.
However, these policy and procedures have not been
communicated to all levels of the workforce. Only
women staff are mostly involved in the meeting
conducted and no specific plans to brief male workers,
contractors, spouses and family members of the
workers on the sexual harassment policy and
procedures.
NCR 7 of 7 Major
The PMU’s commitment to protect the reproductive rights
and rights to have a family of the workers especially women
is evidently stated in the policy to prevent sexual
harassment and violence “Polisi Gangguan Seksual Dan
Keganasan”, dated 28 Jun. 2011 signed by Dato’ Dzulkifli
Abd. Wahab, Pengarah Besar Felda.
Local female staff is fully aware that they are entitled for two
months paid maternity leave. In Sahabat 12, two local
female workers were granted two months maternity leave
with wages fully paid in 2013. In the same PMU, one female
foreign worker, i.e. Irma Kutta, was paid two-month salary
after giving birth in July 2013.
Records sighted no female sprayers in the PMUs. However,
female workers are fully aware that they are required to
inform the managements if they are pregnant while working
at the PMUs. Management of Sahabat 56, issued a letter
dated 29 Apr. 2014 informing the female workers with
regards to this matter.
Complied
Complaint and grievance procedures “Prosedur Menangani
Aduan dan Rungutan” and “Polisi Pemberian Maklumat
[whistleblowing]” are available to manage grievances and
complaints from internal and external stakeholders.
Management of the PMUs confirmed that there has been no
report of sexual harassment received until the date of the
audit.
Complied
Criterion 6.10
Growers and millers deal fairly and transparently with smallholders and other local businesses.
Indicators
Compliance
6.10.1 Current and past prices paid for
Fresh Fruit Bunches (FFB) shall be
publicly available.
Onsite audit verified that the current and past prices paid for
FFB pricing were displayed at the Mill and Estate offices.
Price paid per delivery is also stated in each truck delivery
slip issued by the mill as reference for the settlers.
Complied
FFB prices were made available via POM office’s external
Notice Board and mill office records. The POM has treated
out-growers and other local business fairly.
Pricing mechanism for FFB is fair and transparent. Price of
FFB was set based on MPOB approved online price at
http://bepi.mpob.gov.my/index.php/statistics/price/daily.html.
FFB was also graded by licensed graders based on MPOB
specification. Training attended and results of the test taken
by the licensed graders at the POM were verified. At the
time of audit, there was one Class 1 FFB grader and one
Complied
Major Compliance
6.10.2 Evidence shall be available that
growers/millers have explained FFB
pricing, and pricing mechanisms for
FFB and inputs/services shall be
documented (where these are under
the control of the mill or plantation).
Major / Minor -TBF
(188296-W)
Page 39 of 66
Class 2 FFB grader stationed at the POM.
6.10.3 Evidence shall be available that
all parties understand the contractual
agreements they enter into, and that
contracts are fair, legal and transparent.
Minor Compliance
6.10.4 Agreed payments shall be made
in a timely manner.
Minor Compliance
Stakeholder interviews conducted during this assessment
with suppliers, contractors, and relevant parties including
local and foreign workers confirmed that understand the
contractual agreements (such as terms and payment) they
enter into with the PMUs. They also consider the business
transactions as fair and transparent.
Complied
Agreed payments are made promptly within the 30 days of
the following month. Through stakeholder consultation
conducted, there is no evidence to suggest of any unfair
business practices with the local businesses.
Complied
Criterion 6.11
Growers and millers contribute to local sustainable development where appropriate.
Indicators
Compliance
6.11.1 Contributions to local
development that are based on the
results of consultation with local
communities shall be demonstrated.
The PMU’s contribution towards local communities had
been evidenced in several social areas and verified during
on site visit as follows:
Complied
Minor Compliance
• The PMUs provide free water and electricity supplies
workers linesite.
• The PMUs provide land for the building of government
kindergarten, primary, secondary and religious schools.
This is also true for government managed health clinic
and school for children with special requirements.
• Free transportation to local and foreign workers children
to go to schools daily.
• Free Quran reciting lessons for local and foreign workers
children at certain night in a week.
• Donations to schools in the vicinity of the PMUs.
• Annual allowance for primary and secondary school
children with parents working at the PMUs.
6.11.2 Where there are scheme
smallholders, there shall be evidence
that efforts and/or resources have been
allocated to improve smallholder
productivity
Major / Minor -TBF.
It was verified that in Sahabat 3 there are 188 settlers and
in Sahabat 4 and 5 there are another 314 settlers. All these
plantations are supplying to Embara Budi POM.
Settlers are co-owners of certain percentage of the land
within these plantations and there are evident that the
PMUs are taking all efforts possible to improve the
productivity. E.g. all maintenance works in the plantations
are tendered within the settlers’ community through settler’
managed cooperatives to ensure the works awarded are
properly conducted.
Complied
Criterion 6.12
No forms of forced or trafficked labour are used.
6.12.1 There shall be evidence that no
forms of forced or trafficked labour are
used.
Major / Minor -TBF
Audit of employment records such as work permits in an
estate office confirmed that all migrant workers were
recruited through legal means and according to the
regulatory requirements. Unit Tenaga Kerja, Felda Global
Ventures [FGV] is the main unit organising recruitment of
new foreign workers in collaboration with private recruitment
agencies. PMUs responsibilities are only to allocate each
foreign worker with suitable accommodation and offer them
enough jobs in a month.
There are foreigns workers found to have their family
Complied
(188296-W)
Page 40 of 66
members staying at the linesite, but these are those
workers who have entered Sabah long before the
immigration rules being enforced. These workers have valid
travelling documents and working permit. The PMUs even
arrange staying permit for their family members through
annual deduction and payment to the Immigration
Department.
6.12.2 Where applicable, it shall be
demonstrated that no contract
substitution has occurred.
There was no evidence of contract substitution and this was
confirmed from interviews with workers and relevant
stakeholders.
Complied
The special policy on recruitment of foreign workers, i.e.
“Polisi Pengambilan Pekerja Asing”, and equal
opportunities, i.e. “Polisi Kesetaraan Peluang”, are
established and the implementations are verified to be
satisfactory. Review on employment contracts of foreign
workers also confirmed that the policies, including minimum
wages have also been duly implemented.
Complied
Major / Minor -TBF
6.12.3 Where temporary or migrant
workers are employed, a special labour
policy and procedures shall be
established and implemented.
Major / Minor -TBF
Criterion 6.13
Growers and millers respect human rights.
Indicators
Compliance
6.13.1 A policy to respect human rights
shall be documented and
workforce and operations (see Criteria
1.2 and 2.1).
The Human Rights Policy has not yet been documented
and communicated to all levels of the workforce and
operations.
New
requirement
of RSPO
P&C (2013) Follow up
action at next
ASA.
Major / Minor -TBF
Principle 7: Responsible development of new plantings
KKS Embara Budi PMU has documented procedures for this development but to date has not carried any new
plantings after November 2005. Therefore, the requirements of Principle 7 are not applicable during this
assessment.
Principle 8: Commitment to continuous improvement in key areas of activity
Criterion 8.1
Growers and millers regularly monitor and review their activities, and develop and implement action plans that
allow demonstrable continual improvement in key operations.
Indicators
Compliance
8.1.1 The action plan for continual
improvement shall be implemented,
based on a consideration of the main
social and environmental impacts and
opportunities of the grower/mill, and
shall include a range of Indicators
covered by these Principles and
Criteria.
KKS Embara Budi Grouping had planned & progressively
implemented the continual improvement activities, both in
oil mill & estates.
Estate: Planned activities to reduce use of pesticides:
Increase planting of beneficial plants (Turnera subulata,
Cassia cobanensis and Antigonon leptopus) along the
roads including those passing through scheme
smallholders’ plots.
Estate: Planned activities for environment:
Arrange fronds in L-shape on flat land including scheme
smallholders’ plots.
Complied
Major / Minor -TBF
As a minimum, these shall include, but
(188296-W)
are not necessarily be limited to:
• Reduction in use of
pesticides(Criterion 4.6);
• Environmental impacts (Criteria 4.3,
5.1 and 5.2);
• Waste reduction (Criterion 5.3);
• Pollution and greenhouse gas (GHG)
emissions (Criteria 5.6 and 7.8);
• Social impacts (Criterion 6.1);
• Optimising the yield of the supply
base.
Estate: Planned activities for waste reduction:
Reuse fertilizer bags; Return pesticide containers to
suppliers; Sell off obsolete papers, steel
Estate: Planned activities for preventing pollution:
Segregation of disposal of waste (steel, glass, plastic &
organic) being implemented by all estates including those
at the FELDA Settlers – Smallholders Schemes.
Sahabat 3 Estate (for FELDA Settlers) a new fertiliser store
of RM 85,000.00 is being built and to complete in 2014.
Sahabat 12 Estate planned to increase the area of sub-soil
fertiliser application to reduce surface run-off of the
fertiliser.
Oil mill: Planned activities
Maintain 0 incident of accident.
Action plans for continual improvement are also in place.
For the PMU, planning to reduce usage of pesticides by
combining the operation with manual weeding of unwanted
growth. Planting of more cover crops along steep slopes
and streams. Fertilizer bags are to be recycled and empty
pesticide containers to be returned to supplier. In addition,
waste will also be segregated accordingly to the plastic and
organic materials.
Reuse fertilizer bags; Return pesticide containers to
suppliers; Sell off obsolete papers, steel
For the Palm oil mill,
Reduction in the usage of diesel for generator set to 6,100L
every month; Reduce BOD<20mg/l to final discharge;
Reduce the use of hydraulic oil.
Social
• The PMUs provide free water and electricity supplies
workers linesite.
• The PMUs provide land for the building of government
kindergarten, primary, secondary and religious schools.
This is also true for government managed health clinic
and school for children with special requirements.
• Free transportation to local and foreign workers children
to go to schools daily.
• Free Quran reciting lessons for local and foreign workers
children at certain night in a week.
• Donations to schools in the vicinity of the PMUs.
• Annual allowance for primary and secondary school
children with parents working at the PMUs.
• In POM linesite replacement of roof for 7 housing blocks
approved by FELDA HQ received on 4 May 2014
• In Sahabat 56 plantation, thirteen blocks of new housing
workers approved to replace all wooden houses currently
accommodating the foreign workers.
• For the FELDA Settlers – Smallholder Schemes,
community-centered land is allocated for the building of
brick houses for the respective settlers families which are
fully equipped with basic amenities such as electricity,
water, sanitation and opportunities to own small
businesses such as eating stalls and grocery shops.
Page 41 of 66
(188296-W)
Page 42 of 66
3.1.1 Supply Chain Certification Standards Findings - on CPO Mill
The Supply Chain model applied at KKS Embara Budi Grouping POM during this assessment is Module E –
CPO Mills: Mass Balance (MB).
Details of findings are as follows:
E.1 Documented procedures
Indicators
Compliance
E.1.1
A documented Supply Chain Procedure Doc No. FGVPMRSPO SCCS Issue 1.0 Rev 2.0 (Effective: 1 Dec 2012)
SOP for Mill RSPO Supply Chain Certification System has
been established and implemented for Module E: Mass
Balance (MB) system.
Complied
a) Complete and up to date procedures
covering the implementation of all the
elements in these requirements
All the requirements for controlling the FFB receipt,
processing, sale and CPO dispatch, training and claims for
Mass Balance (MB) Module for the Palm Oil Mill has been
addressed in the SOP. Implementation complied with all
the requirements.
Complied
b) The name of the person having overall
responsibility for and authority over the
implementation of these requirements
and compliance with all applicable
requirements. This person shall be able
to demonstrate awareness of the facilities
procedures for the implementation of this
standard.
POM’s Mill Manager, Mr. Rosliezan Md. Hussain has been
appointed as the person responsible for the Supply Chain
aspects of FFB receipts, processing and shipping of CPO,
PK and palm products. Interview of the Mill Manager and
other relevant staff confirmed their knowledge of the RSPO
Supply Chain Certification requirements for the respective
areas of operations. Organization Chart and job
descriptions documented.
Complied
E.1.2
The SOP covers the receiving of FFB supply from the PMU
estate and also from external crop suppliers. All supplies
of FFB were subjected to verification of documents
(delivery notes) and quality checks by weighbridge
personnel.
All Storage tanks at the POM are designated as Mass
Balance (MB) CPO.
The facility shall have written procedures
and/or work instructions to ensure the
implementation of all the elements
specified in these requirements. This
shall include at minimum the following:
The facility shall have documented
procedures for receiving and processing
certified and non-certified FFBs.
E.2 Purchasing and goods in
Indicators
Compliance
E.2.1
The Mill verifies and records tonnages and supply source
of FFB received at the weighbridge in the delivery notes
and weighbridge tickets and all FFB data are entered by
the weighing clerk into the Felda computer system or
reporting spreadsheet every day. Daily and monthly
reports are submitted to the Sabah Zone Office and Kuala
Lumpur Head Office through the Mill Performance Report
(MPR) system. Production Report for Jan – Dec 2013 is
verified to be Mass Balance palm products.
Complied
The facility shall verify and document the
volumes of certified and non-certified
FFBs received.
Satisfactory performance of deliveries of FFB made by
transport contractors, Felda Transport Services.
E.2.2
The facility shall inform the CB
immediately if there is a projected
overproduction.
The POM has an internal monitoring and reporting
mechanism for advising the CB of production variations.
There is no projected overproduction todate.
Complied
(188296-W)
Page 43 of 66
E.3 Record keeping
Indicators
Compliance
E.3.1
Inspection of records at the Mill confirmed these were
updated daily.
Complied
As per the SOP, the records are archived and to be stored
for a minimum of 10 years.
Complied
Transaction documents and bookkeeping of CPO and PK
are done daily and monthly summary report of FFB receipt,
FFB processed, CPO production, PK production and
balance stocks submitted to the Sabah Zone Office and
Kuala Lumpur Head Office.
Complied
The facility shall maintain accurate,
complete, up-to-date and accessible
records and reports covering all aspects
of these requirements.
E.3.2
Retention times for all records and
reports shall be at least five (5) years.
E.3.3
The facility shall record and balance all
receipts of RSPO certified FFB and
deliveries of RSPO certified CPO, PKO
and palm kernel meal on a three-monthly
basis.
The two weighbridges at the Mill are duly calibrated and
calibration certificates found to be in order.
There is no PKO and Palm Kernel mill at the said POM
facility. PK sold and delivered to Kilang Isi Sawit Sahabat
at Wilayah Sahabat.
Deduction and conversion ratios for the volumes of CPO
delivered from the Palm Oil Mill have been appropriately
done and recorded.
All deliveries of the MB sales are from positive stock.
E.3.4
The following trade names should be
used
and
specified
in
relevant
documents, e.g. purchase and sales
contracts, e.g. *product name*/SG or
Segregated. The supply chain model
used should be clearly indicated.
E.3.5
POM has prepared an appropriate stamp for the use of
identification of RSPO certified CPO and PK. Documents
to be stamped ‘RSPO – MASS BALANCE appropriately for
CPO and PK products.
Complied
Traceability was verified for the production reports for Jan Dec 2013 which was verified from the related records (FFB
Delivery Note, Weigh Ticket, FFB & Truck Daily Summary,
Production Report, CPO Storage Report, and CPO
Delivery Orders.
There is no such outsourcing activity done at this POM.
Complied
Indicators
Compliance
E.4.1
Items (a) to (e) are included in the company’s invoices,
delivery note and other relevant documents to all CPO
buyers as stipulated in the SOP for RSPO/MB module.
Complied
In cases where a mill outsources
activities to an independent palm kernel
crush, the crush still falls under the
responsibility of the mill and does not
need to be separately certified. The mill
has to ensure that the crush is covered
through a signed and enforceable
agreement.
E.4 Sales and good out
The facility shall ensure that all sales
invoices issued for RSPO certified
products delivered include the following
information:
Deliveries of CPO and PK made with Delivery Notes. Data
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a) The name and address of the buyer;
b) The date on which the invoice was
issued;
entry into computer system or reporting spreadsheet.
Delivery of CPO and PK checked to ensure that the
authorized quantities are not exceeded,
c) A description of the product, including
the applicable supply chain model
(Segregated);
Satisfactory performance of deliveries made by contractor,
Felda Transport Services.
d) The quantity of the products delivered;
e) Reference
documentation.
to
related
transport
E.5 Training
Indicators
Compliance
E.5.1
The PMU has maintained records of training on the Supply
Chain Certification System for Mass Balance (MB) Module.
Interview with mill personnel confirmed their awareness of
how the MB module is being implemented and maintained.
Complied
Indicators
Compliance
E.6.1
The PMU has not made any claims outside of the RSPO
Rules for Communications and Claims.
Complied
The facility shall provide the training for
all staff as required to implement the
requirements of the Supply Chain
Certification Systems.
E.6 Claims
The facility shall only make claims
regarding the use of or support of RSPO
certified palm oil that are in compliance
with the RSPO Rules for Communication
and Claims.
3.1.2
Status on Supply Chain on POM:
Based on the documents and records presented during the on-site verifications made, it is concluded that the
Felda KKS Embara Budi POM has been able to comply with the requirements of the RSPO SCCS under the ‘MB’
module and is thus eligible for ‘MB’ trading for its palm products for year 2014/2015.
3.1.3
Status on Trading of Certified Palm Products by PMU:
The PMU and POM has not commenced the trading of any of its certifiable palm products under the ‘MB’ module.
3.2
Status of Identified Noncompliance and Corrective Actions, Observations and Positive Elements.
The status of the Noncompliances (NCR) and Observations (OBS) identified against the MYNI Compliance
Indicators is as per the details below:
Assessment Type
Year
Noncompliance (NCR)
Observations (OBS)
Main Assessment
2014
7 (5-Major & 2-Minor)
5
Year 2014: Main Assessment (7 NCRs)
NCR #
MYNI
Indicator
1 of 7
- Minor
4.3.2
Details of NCR
Date issued: 10 May 2014
Date closed: Next surveillance ASA-01
Nonconformance:
Terraces were without stop bunds while some were without back incline and some were not
cut along the contour at the replanting areas e.g. at Sahabat 3 Estate.
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Root Cause and Corrective Action:
Some of the areas had been overlooked. Stop bunds will be built and back incline will be
done at the respective replanting areas of the estates.
Verification (for effective closure): During ASA-01
NCR #
MYNI
Indicator
2 of 7
- Major
4.4.1 /
P&C
2013,
4.4.2
Details of NCR
Date closed: 25 June 2014
Nonconformance:
1) On Sahabat 12 Estate, Field PM 07F there was sign board showing the buffer zone
area, however, the boundary for the buffer zone had not been demarcated.
2) On Sahabat 56 Estate PR 12 Fields 4 and 5, and Sahabat 3 Estate 2012 replant Field 2,
some palms had been planted too close to the stream; these were contrary to the policy
of the Company.
Buffer zone signages for the areas mentioned were not properly put.
Signages for the ‘Buffer zone’ and ‘No Spraying of Chemicals’ will be prepared to ensure no
chemical applications at the ‘Buffer zone’ areas.
Communication notices, briefing and warning will be given to the workers and contractors.
Photographs for the completed signages and documentation will be submitted.
Verification (for effective closure):
On site verification was followed up and conducted on 25 June 2014 by HQ-PSQM.
Buffer zones and signages were confirmed to have been erected and records of briefings
done were available and photographs were taken on site and submitted to CB auditor.
The evidences submitted were reviewed and accepted for the closure of NC. (Refer to
attachments in Part 2 of report)
Effective closure will be further conducted during ASA-01.
NCR #
MYNI
Indicator
3 of 7
-Major
4.6.11
Details of NCR
Nonconformance:
The operators and/or settlers at Sahabat 3 estate (under FELDA Settlers scheme) are not
aware of the Annual Medical Surveillance for Pesticide handlers and no records for any
personnel from this estate has been sent for this medical check for the last 12 months.
This has been overlooked. Annual Medical Surveillance for pesticide handlers for the
FELDA Settlers has been done in batches.
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List of Pesticide handlers at FELDA Settlers scheme has been identified and documented
as at 18 June 2014. Medical Surveillance for the said individuals is being arranged and to
be done in batches. Sample of medical reports can only be submitted later.
The completed list of settlers to be sent from Felda Sahabat 03, 04 and 05 is obtained on
site and submitted to CB auditor.
The evidences submitted were reviewed and accepted for the closure of NC. (Refer to
attachments in Part 2 of report)
NCR #
MYNI
Indicator
4 of 7
-Minor
5.1.2
Details of NCR
Date closed: Next surveillance ASA-01
Nonconformance:
This has been overlooked. The Management plan for mitigation of environmental impacts,
timeframe for action and responsible persons were not adequately followed up the Estate
managers at the PMU.
For instance at Sahabat 56, the one of the conservation ponds identified was without
fencing and 2 empty chemical containers were left nearby without being collected.
The EIA / PMM (Pelan Pengurusan Mitigasi) were not properly followed up by the Estate
Managers.
All Management plan items indicated will be immediately followed up, actions taken,
reviewed and supported with photographic evidences. The action plans i.e. Pelan Tindakan
for PMM has been made for 2014 until May 2015 by the respective estates.
Verification (for effective closure): During ASA-01
NCR #
MYNI
Indicator
5 of 7
-Major
6.1.1
Details of NCR
Nonconformance:
The Social Impact Assessment (SIA) activities and documentation at Embara Budi POM,
Sahabat 56, and Sahabat 12 are not adequately reviewed and followed up. This nonconformance is also directly linked to principles 6.1.2 – 6.1.5.
Mill and Estate managers were had overlooked the matter.
SIA survey forms will be revised to include considerations during re-planting.
List of stakeholders will be updated.
Meetings with all categories of stakeholders will be held and recorded.
Revised SIA survey forms will be completed and action plans will be included.
Summary of actions needed will be followed up
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Additional stakeholder consultations conducted by the estates were performed and records
were maintained and made available. Stakeholders’ listing was also updated. Areas of
social impact are now covered in the consultations and actions needed were included in the
Management Plan for continual improvement which is monitored.
The evidences submitted to CB auditor were reviewed and accepted for the closure of NC.
(Refer to attachments in Part 2 of report)
NCR #
MYNI
Indicator
6 of 7
-Major
6.3.1
Details of NCR
Nonconformance:
1. Complaints and grievances received are not appropriately recorded thus determination
whether the complaints and grievances are handled in timely manner cannot be made.
However, grievances from staff are recorded appropriately.
2.
The channels for external stakeholders to submit complaints and grievances are not
well explained and made accessible to them.
The proper recording has been overlooked by the Estate Managers.
1. Complaints and grievance register has been established with columns for dates of
complaints and follow up done. Recording will commence for any complaints received.
2. Briefing for external stakeholders will be done and channels made available.
The complaints and grievance register established was available and complaints received
will be reviewed by respective Estate Managers and signed off upon completion.
Briefing for external stakeholders done on 16 June 2014 as per guidelines of FGV
Stakeholder consultations booklet for Kompleks Sabah, issued in December 2103. Records
of consultations done are maintained.
NCR #
MYNI
Indicator
7 of 7
-Major
6.9.1
Details of NCR
Nonconformance:
It is noted that the Women / Gender committee has been briefed on the matters of sexual
harassment. However, the Policy to prevent sexual and all other forms of harassment and
violence have not been adequately communicated to all levels of the workforce.
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Page 48 of 66
The matter has been overlooked by the Estate Managers.
Briefing on the Policy to prevent sexual and all other forms of harassment and violence will
be done for all levels of the workforce, both male and female.
Briefing on the Policy to prevent sexual and all other forms of harassment and violence are
progressively done for all levels of the workforce, both male and female. Records of the
additional briefing done at the respective Estates between 6 and 13 June 2014 were
available.
Year 2014: Main Assessment (5 Observations)
Ref
No:
RSPO
MYNI
Indicator
Location
Details of Observation
Opened
date
Status
Closed
date
Remark,
if any
AL-01
2.3.1
Sahabat 3,
12 & 56
GPS surveyed landscape maps
have not been fully completed and
made available during the
assessment.
10 May
2014
-
To follow up
during ASA01
AL-02
5.6.2 – New
requirement
Embara
Budi POM
& PMU
estates
It is noted that the PMU has not
compiled the GHG emissions and
the plans to further reduce or
minimise GHG emissions are yet to
be established and implemented.
10 May
2014
-
To follow up
during ASA01
CFK-01
4.1.3
Sahabat
56
The muster chit was not available
for viewing when the visitor
requested to have a copy of it.
10 May
2014
-
To follow up
during ASA01
CFK-02
4.3.3
Sahabat
3 & 56
There were no scupper drains from
the road to the terraces to avoid
water running on the road which
will cause erosion of the road.
10 May
2014
-
To follow up
during ASA01
Sahabat12
There were some cover crop and
soft grasses along the estate road
being sprayed. This might lead to
erosion of the roadside later on.
Sahabat 3
There was no record on the
pesticides used by the Settlers
estates. Noted that they had been
buying the pesticides on their own.
10 May
2014
-
To follow up
during ASA01
CFK-03
4.6.2
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3.2.2 Identified Positive Elements
1)
2)
3.3
KKS Embara Budi PMU has provided proper infrastructure such as road access and basic social
amenities such as grocery stores, clinics and schooling to the local communities at the Sahabat Grouping
estates.
The PMU has made financial contributions during local festivities and assisted in the significant events
such as marriages, burial and medical assistance when needed.
Feedback Raised by Stakeholders and Findings
Prior to and during the Assessment, written and verbal feedback communicated from the stakeholders on the
environmental and social performance of KKS Embara Budi PMU operations were sourced. All pertinent feedback
issues were reviewed and followed up for verification and these had been accordingly incorporated into the report
findings. See table below:
Stakeholders’ Feedback
Government Agencies
Comunication done via email
on 27 March 2014. See list
under para 2.5.
No feedback received.
Non-Governmental
Organizations
Comunication done via email
on 27 March 2014. See list
under para 2.5.
No feedback received.
Local Communities
At Embara Budi PMU, a total
of 25 stakeholders comprising
of Village heads, Contractors
Local community (School &
Clinics), Government
agencies (Auxilliary Police,
Firefighters) and Employees /
workers was interviewed
during the on-site
assessment.
Concerns and suggestions
raised include:
• PMU can improve on road
building & maintenance and
waste management
activities.
• PMU should organise more
social events or get
together to enhance
relationships with village
and local communities..
Other Interested parties
Nil
PMU Response
Intertek verification /
comments
Follow up (if any)
There has been no
feedback / enquiries
received from any
government Agencies
concerning the operations
of KKS Embara Budi
PMU.
Verified during on-site
assessment that there has
been no issues from any
Government Agencies
concerning the PMU’s
operations.
-
There has been no
feedback / enquiries
received from any NGOs
concerning the operations
of KKS Embara Budi
PMU.
assessment that there has
been no issues from any
NGOs concerning the
PMU’s operations.
-
The programs for
improvement of road
building & maintenance
and waste management
will be monitored.
assessment that the PMU
has a mid and long term
management plan for the
imporvement of
infrastructure, social and
environmental needs of the
local community.
See report details under
P&C 4, 5, 6 & 8)
To be followed up
during Surveillance
assessment (ASA-01)
Nil
-
More social events and
meetings will be planned
as part of ongoing
consultations with local
community and villagers.
Nil
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4.0 ASSESSMENT CONCLUSION AND RECOMMENDATION
Based on the findings above, FELDA KKS Embara Budi Grouping had been able to demonstrate its compliance
with the RSPO Principles and Criteria (April 2013), Malaysian National Interpretation (MY-NI November 2010) and
the RSPO Supply Chain Certification Standard (November 2011) for Palm Oil Mill.
Therefore, it is recommended that the certification of FELDA KKS Embara Budi Grouping be approved.
Signed for and on behalf of
Augustine Loh
Lead Assessor
Date: 8 August 2014
4.1 Acknowledgement of Internal Responsibility and Confirmation of Assessment Findings
This is to acknowledge and confirm the assessment visits described in this report and the acceptance of the
contents and findings in this assessment report.
Signed for and on behalf of
Felda Global Ventures Plantations (M) Sdn Bhd
Mr. Norazam Abdul Hameed
Head, Plantation Sustainability & Quality Management
Date: 8 August 2014
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Page 51 of 66
4.2 INTERTEK- RSPO P&C Certificate details for KKS Embara Budi Grouping
Certificate No:
RSPO 929188
Issue date:
21 August 2014
Expiry date:
20 August 2019
Organization
Felda Global Ventures Plantations (Malaysia) Sdn Bhd
Address of Head Office:
Felda Global Ventures Plantations (Malaysia) Sdn Bhd, PSQM Department, SPO
Unit, 8th Floor Balai Felda, Jalan Gurney Satu, 54000 Kuala Lumpur
RSPO Membership No:
1-0013-04-000-00
Plantation Management Unit:
Address of POM:
Kilang Sawit Felda Embara Budi, Peti Surat No.28, 91150 Lahad Datu, Sabah,
Malaysia
Standards:
RSPO Principles and Criteria (April 2013); Malaysian National Interpretation
(November 2010); RSPO Supply Chain Certification Standards (November 2011)
for the Palm Oil Mill.
Certification scope:
Production of Crude Palm Oil and Palm Kernels
Supply Chain model for
CPO & PK:
Mass Balance (MB)
Details of the Mill and Supply bases covered by this certificate and the tonnage approved are:
Name
Address
GPS Reference
Latitude
Longitude
Embara Budi
POM
(Capacity: 54
MT/hour)
Felda Palm Industries Sdn Bhd Kilang Sawit Embara Budi
Peti Surat No. 28, 91150 Lahad Datu, Sabah, Malaysia
5° 7'58.37"N
119° 5'31.20"E
FGVPM Sahabat
11 estate
Cenderawasih, 91150 Lahad Datu, Sabah, Malaysia
5° 4'31.98"N
119° 4'42.96"E
FGVPM Sahabat
12 estate
FGVP Ladang Sahabat 12, Peti Surat No. 12, Pos
5° 4'48.40"N
119° 4'48.00"E
FGVPM Sahabat
17 estate
5° 9'55.76"N
119° 8'42.00"E
FGVPM Sahabat
56 estate
5° 9'56.09"N
119° 8'38.40"E
Felda Sahabat 3
estate
Felda Sahabat 4
& 5 estate
Pejabat Felda Sahabat 3, Peti Surat No.33, 91150 Lahad
Datu, Sabah, Malaysia
Pejabat Felda Sahabat 4, Peti Surat No.78, 91150 Lahad
Datu, Sabah, Malaysia
5° 9'56.70"N
119° 8'45.60"E
5° 4'48.58"N
119° 4'15.60"E
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The annual certifiable tonnages of CPO and PK production at the PMU from the supply base/suppliers as
assessed and verified during the current Assessment and projected year are detailed as follows:
Jan – Dec 2014
Jan – Dec 2015
- Projected
Total certifiable FFB Processed (MT)
139,524
139,510
Total certifiable CPO Production (MT)
30,556
30,553
Total certifiable PK Production (MT)
6,446
6,445
MB
MB
SCC Model for POM
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Appendix A:
Qualifications of Lead Assessor and Assessment Team
Mr. Augustine Loh (AL) Lead Assessor/ Team Leader / Technical Expert
(Palm Oil Mill, Environment, Social, Conservation & HCV area, Land Use and Supply Chain)
– Master in Business Administration, USA and Diploma in Maritime Studies, Singapore
Mr. Augustine Loh is an IRCA Third Party Assessment (TPA) Lead Auditor and IRCA Lead Tutor for IRCA ISO 9001 and
OHSAS 18001 Lead Auditor Courses as well as Tutor for RSPO Certification Programs and Integrated Management System
in Intertek, Malaysia. He has over 25 years of fieldwork and experience in Palm based product survey, supply chain
monitoring, inspection and testing. He has successfully completed the IRCA accredited Lead Auditor course in ISO
9001:2008, ISO 14001:2004, OHSAS 18001:2007, ISO 22000, RSPO Principles and Criteria Lead Assessor Course, RSPO
Supply Chain Certification and International Sustainable Carbon Certification (ISCC) Lead Auditor course. He has also
completed the RSPO training on RSPO P&C (2013), RSPO Palm GHG tool and RSPO RED requirements. He has conducted
assessments of organizations in Malaysia, Singapore, Indonesia, Brunei, Thailand and Cambodia. He is currently the RSPO
Program Manager in Intertek, Malaysia and has performed over 700 auditing days on quality, environmental and safety &
health assessments in various sectors including oil palm plantations. He was the RSPO CB Assessment Team Leader /
Member which audited several RSPO certified Plantation Management Units since in 2009. He was the CB Team Leader in
the stakeholder consultation and development of the RSPO Cambodian Local Indicators. He is a member of the Internal
Review Panel for RSPO Assessment reports since 2010.
Mr. Chen Fai Kok (CFK) – Assessor / Technical Expert
(Good Agriculture Practice and Integrated Pest Management)
– Diploma in Agriculture
Mr. Chen Fai Kok has over 30 years work experience in the plantation sector. He has held a Senior Management role in the
estate field operations including GAP and IPM. He had also served as the Branch Chairman of the Incorporated Society of
Planters (ISP) in several branches for over 20 years. He has successfully completed training in Estate Management and the
Intertek In House RSPO P&C, MYNI and Cambodian LI Assessor courses. He is a member of the RSPO CB Assessment
team which audited several RSPO certified Plantation Management Units in since 2009.
Mr. Sazali Hasni – Assessor / Technical Expert
(Environment, Conservation and HCV area)
- Bachelor of Science (Forestry)
Mr. Sazali Hasni (SH) has over 25 years work experience in the forestry sector. He is an IRCA Auditor for ISO 9001 and auditor
for the PEFC Chain-of-Custody Certification. He has successfully completed training in the Intertek In House RSPO P&C, MYNI.
He was a member in the stakeholder consultation and development of the Malaysian Criteria & Indicators (MC&I) for Forest
management Certification. He has been involved in the auditing of Forest Management Certification for the Perak State Forestry
Department and Pahang State Forestry Department. He has also been involved with a German based company in testing their
criteria for carbon tracing in an oil palm plantation in 2011. He had also acted as the regional consultant to International Tropical
Timber Organization (ITTO) for the Asia Pacific region in the Evaluation and Monitoring of Projects funded by the organization
from 1994 to 1998. Projects funded are mainly forestry related such as reforestation, conservation, community forestry apart from
other research based projects.
Mr. Jumat bin Majid (JMD) – Assessor / Technical Expert
(Good Agriculture Practice and Social)
– Bachelor in Social Science (International Studies)
Mr Jumat bin Majid (JMD) has over 15 years work experience in the agriculture sector. He has successfully completed the IRCA
accredited Lead Auditor course in ISO 9001:2008 and the Intertek In House training on RSPO P&C and MYNI Assessor courses.
He has also successfully completed training programs in Organic Agriculture Development and had performed organic agriculture
inspections and assessments for more than 6 years. He has been involved in NGO work in the areas of social impact
assessments within the South East Asia region. He is a member of the RSPO CB Assessment team which audited several RSPO
certified Plantation Management Units since 2010.
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Appendix B:
Assessment Plan (Actual)
Date
Time
6 May 2014
9.00 am –
10.00 am
10.00 am –
1.00 pm
Day 1
1.00 pm –
2.00 pm
2.00 pm 6.00 pm
Assessors and Assessment Activity
Assessment Team
Opening Meeting and Briefing at Embara Budi– POM Office
Review of Documentation and Follow up Issues based the Previous Assessment
• Review of changes for compliance to revised P&C 2013
• Review of Time Bound Plan
• Verification for compliance with rules on partial certification
Lunch
Augustine Loh
(AL)
Site assessment at
Embara Budi Palm
Oil Mill (RSPO P&C:
1~8)
• P1 Transparency
• P2 Laws &
regulations
• P3 Economic &
Financial Viability
• SCC for POM
• P8 Continual
Improvement
6.00 pm–
7.00 pm
7 – 10 pm
Date
Time
7 May 2014
Day 2
9.00 am –
10.00 am
10.00 am –
1.00 pm
Chen Fai Kok
(CFK)
Site assessment at
FPSB Ladang Felda
Sahabat 11 estate &
Smallholders (RSPO
P&C: 1~8)
Jumat bin Majid
(JMD)
Site assessment at
FPSB Ladang Felda
Sahabat 11 estate &
Smallholders (RSPO
P&C: 1~8)
• P5 Environmental,
Conservation & Mill
including HCV
• P8 Continual
Improvement
• P4 Best Practices
at Estates & Mill
• P7 New Plantings
• P8 Continual
Improvement
• P6 Employees,
Individuals &
Communities incl.
Gender Issues
• P8 Continual
Improvement
Break
Team meeting and discussion
Augustine Loh (AL)
Site assessment at
FPSB Ladang Felda
Sahabat 11 estate &
Smallholders (RSPO
P&C: 1~8)
• P1 Transparency
• P2 Laws &
regulations
• P3 Economic &
Financial Viability
• P8 Continual
Improvement
1.00 pm –
2.00 pm
2.00 pm 6.00 pm
Sazali bin Hasni
(SH)
Site assessment at
FPSB Ladang Felda
Sahabat 11 estate &
Smallholders (RSPO
P&C: 1~8)
Assessment Team
Sazali bin Hasni
Chen Fai Kok CFK)
(SH)
Site assessment at
Site assessment at
FPSB Ladang Felda FPSB Ladang Felda
Sahabat 11 estate & Sahabat 11 estate &
Smallholders
Smallholders (RSPO
(RSPO P&C: 1~8)
P&C: 1~8)
Conservation &
Mill including HCV
• P8 Continual
Improvement
• P4 Best Practices at
Estates & Mill
• P8 Continual
Improvement
Lunch
Stakeholder / Consultations:
•
Contractors
•
Suppliers
•
Transporters
•
NGOs
•
Government Department / Agencies
•
Local Community
# Mandatory for each category to be audited
6.00 pm–
7.00 pm
7 – 10 pm
Break
Jumat bin Majid
(JMD)
Site assessment at
FPSB Ladang Felda
Sahabat 11 estate &
Smallholders (RSPO
P&C: 1~8)
• P6 Employees,
Individuals &
Communities incl.
Gender Issues
• P8 Continual
Improvement
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Page 55 of 66
Date
Time
8 May 2014
Day 3
9.00 am –
10.00 am
10.00 am –
1.00 pm
Augustine Loh (AL)
Site assessment at
FPSB Ladang Felda
Sahabat 56 estate &
Smallholders (RSPO
P&C: 1~8)
• P1 Transparency
• P2 Laws &
regulations
• P3 Economic &
Financial Viability
• P8 Continual
Improvement
1.00 pm –
2.00 pm
2.00 pm 6.00 pm
Time
9 May 2014
Day 4
9.00 am –
10.00 am
10.00 am –
1.00 pm
Estates & Mill
• P8 Continual
Improvement
• P6 Employees,
Individuals &
Communities incl.
Gender Issues
• P8 Continual
Improvement
Continue site
assessment at FPSB
Ladang Felda
Sahabat 56 estate &
Smallholders (RSPO
P&C: 1~8)
Continue site
assessment at FPSB
Ladang Felda
Sahabat 56 estate &
Smallholders (RSPO
P&C: 1~8)
Continue site
assessment at FPSB
Ladang Felda
Sahabat 56 estate &
Smallholders (RSPO
P&C: 1~8)
Break
Augustine Loh (AL)
Site assessment at
Felda Sahabat 3
estate &
Smallholders (RSPO
P&C: 1~8)
• P1 Transparency
• P2 Laws &
regulations
• P3 Economic &
Financial Viability
• P8 Continual
Improvement
1.00 pm –
2.00 pm
2.00 pm 6.00 pm
Conservation &
Mill including HCV
• P8 Continual
Improvement
Jumat bin Majid
(JMD)
Site assessment at
FPSB Ladang Felda
Sahabat 56 estate &
Smallholders (RSPO
P&C: 1~8)
Lunch
Continue site
assessment at FPSB
Ladang Felda
Sahabat 56 estate &
Smallholders (RSPO
P&C: 1~8)
6.00 pm–
7.00 pm
7 – 10 pm
Date
Assessment Team
Sazali bin Hasni
Chen Fai Kok CFK)
(SH)
Site assessment at
Site assessment at
FPSB Ladang Felda FPSB Ladang Felda
Sahabat 56 estate & Sahabat 56 estate &
Smallholders
Smallholders (RSPO
(RSPO P&C: 1~8)
P&C: 1~8)
Assessment Team
Sazali bin Hasni
Chen Fai Kok CFK)
(SH)
Site assessment at
Site assessment at
Felda Sahabat 3
Felda Sahabat 3
estate &
estate &
Smallholders
Smallholders (RSPO
P&C: 1~8)
(RSPO P&C: 1~8)
Conservation &
Mill including HCV
• P8 Continual
Improvement
Estates & Mill
• P8 Continual
Improvement
Jumat bin Majid
(JMD)
Site assessment at
Felda Sahabat 3
estate &
Smallholders (RSPO
P&C: 1~8)
• P6 Employees,
Individuals &
Communities incl.
Gender Issues
• P8 Continual
Improvement
Lunch
Continue site
assessment at
Felda Sahabat 3
estate &
Smallholders (RSPO
P&C: 1~8)
6.00 pm–
7.00 pm
7 – 10 pm
Date
Time
10 May 2014
9.00 am – 11.00 am
Continue site
assessment at
Felda Sahabat 3
estate &
Smallholders (RSPO
P&C: 1~8)
Continue site
assessment at
Felda Sahabat 3
estate &
Smallholders (RSPO
P&C: 1~8)
Continue site
assessment at
Felda Sahabat 3
estate &
Smallholders (RSPO
P&C: 1~8)
Break
Assessment Team
Preparation of Closing Meeting
(188296-W)
Page 56 of 66
Day 5
11.00 am – 12.00 pm
12.00 pm – 1.00 pm
Team Meeting and Discussions with Embara Budi Management
Representative
Closing Meeting & Briefing at Palm Oil Mill Office
(188296-W)
Page 57 of 66
Appendix C-1:
Location of Felda KKS Embara Budi grouping, Lahad Datu, Sabah, Malaysia
Felda
Embara Budi
(188296-W)
Page 58 of 66
Appendix C-2:
Location Map of Felda KKS Embara Budi grouping, Lahad Datu, Sabah, Malaysia
(Felda Sahabat 3 estate, Felda Sahabat 4 & 5 estate, FPSB Sahabat 11 estate, FPSB Sahabat 12
estate, FPSB Sahabat 17 estate and FPSB Sahabat 56 estate)
(188296-W)
Appendix C-3-1:
Felda Sahabat 3 estate
Page 59 of 66
(188296-W)
Appendix C-3-2:
Felda Sahabat 4 & 5 estate
Page 60 of 66
(188296-W)
Appendix C-3-3:
FPSB Ladang Felda Sahabat 11 estate
Appendix C-3-4:
Page 61 of 66
(188296-W)
Appendix C-3-5:
Appendix C-3-6:
Page 62 of 66
(188296-W)
Page 63 of 66
Appendix D:
Photographs of Assessment findings at Felda KKS Embara Budi grouping
Overview of the POM at Embara Budi with safety signages.
Overview of the effluent ponds at POM at Embara Budi.
Buffer zone signage at Sahabat 56 Estate.
Inspection of landfill site at Sahabat 12 Estate.
Sahabat 12 Estate F. PM 10H- Cassia cobanensis growing
vigorously.
Sahabat 12 Estate F. PM 07F- Turnera subulata,
Antigonon, and leptopus well established along the road.
(188296-W)
Page 64 of 66
Sahabat 56 Estate F. 23- Cut fronds stacked at the lip of
the terrace and near the embankment.
Sahabat 56 Estate F. 23- Harvester not using safety
hat although he had been provided with it.
Sahabat 12 Estate F. PR 13J- First Aid Kit.
Sahabat 3 estate F. 2- 2012 Replant with good
leguminous cover crop on terrace having good back
incline, but no stop bunds.
Verification of Major NC for closure (25 June 2014)
Evidence submitted for Major NC 4.4.1 – Buffer zone
signages.
Evidence submitted for Major NC 4.6.11 – List of
Settlers e.g. Sahabat 03 estate for Medical surveillance
(188296-W)
Page 65 of 66
Evidence submitted for Major NC 6.1.1 – SIA
documentation.
Evidence submitted for Major NC 6.3.1 – Complaints
register
Evidence submitted for Major NC 6.9.1 – Sexual harassment briefing.
(188296-W)
Page 66 of 66
Appendix E:
Time Bound Plan as submitted by FGVPM (updated in August 2014)
No
1.
2009
K.Gelanggi
2.
L. Utara 6
3.
4.
2010
Jengka
21
Jengka
3
Jengka
8
L. Utara
4
Jengka
18
Padang
Piol
Mill complexes to be audited in the respective year
2011
2012
2013
2014
Adela
Belitong
Palong
Neram
Timor
Lok Heng
Bukit
Serting Hilir
Pancing
Besar
Semencu
Kahang
Maokil
Besout
2015
Krau
2016
Tersang
Serting
Waha
Kulai
Tenggaroh
Trolak
Pasoh
Nitar
T.Timor
Keratong 2
Cini 2
Penggeli
Kechau A
Keratong 3
Cini 3
7.
B.
Kepayang
Bukit
Mendi
Kemasul
Kechau B
Tementi
Sg.
Tengi
Keratong 9
Kemahang
8.
Lepar
Hilir
Bukit
Sagu
Chalok
9.
Triang
Mempaga
Aring A
Aring B
12.
Embara.
Budi
Lancang.
Kemudi
Kalabakan
13.
Umas
Ciku
14.
Kemudi.
Sakti
Mercu
Puspita
Nilam
Permata
Hamparan
Badai
Jerangan
Barat
Jerangan
Baru
Selancar
2A
Selancar
2B
21
56
Sampadi
5.
6.
Fajar
Harapan
Baiduri
Ayu
10.
11.
15.
16.
17.
18.
19.
20.
21.
New
Total
2
2
6
8
9
17
9
26
---End---
9
35
Kertih
Selendang
14
70

FELDA GLOBAL VENTURES PLANTATIONS (MALAYSIA) SDN

Transcription

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