CONFIDENTIAL 1
RSPO MAIN ASSESSMENT REPORT ASSESSMENT DATE: 12TH – 14TH DECEMBER 2012
FELDA BELITONG PALM OIL MILL COMPLEX CERTIFICATION UNIT
1 FELDA PALM INDUSTRIES SDN BHD, BELITONG PALM OIL MILL, 86000, KLUANG, JOHOR DARUL TAKZIM 2 FELDA AGRICULTURE SERVICES SDN BHD, PEJABAT FELDA ULU BELITONG, 86000 KLUANG, JOHOR DARUL TAKZIM 3 FELDA PLANTATION SDN BHD INAS SELATAN (DIVISION B – BUKIT TONGKAT), PEJABAT FELDA BUKIT TONGKAT, 86000, KLUANG, JOHOR DARUL TAKZIM 4 FELDA BUKIT TONGKAT, PEJABAT FELDA BUKIT TONGKAT, 86000, KLUANG, JOHOR DARUL TAKZIM 5 FELDA ULU BELITONG, PEJABAT FELDA ULU BELITONG, 86000, KLUANG, JOHOR DARUL TAKZIM 6 FELDA ULU PENGGELI, PEJABAT FELDA ULU PENGGELI, 86000, KLUANG, JOHOR DARUL TAKZIM 7 FELDA LAYANG-LAYANG, PEJABAT FELDA LAYANG-LAYANG, 86000, KLUANG, JOHOR DARUL TAKZIM 8 FELDA AYER HITAM, PEJABAT FELDA AYER HITAM, 86000, KLUANG, JOHOR DARUL TAKZIM 9 FELDA BUKIT PERMAI, PEJABAT FELDA BUKIT PERMAI, 86000, KLUANG, JOHOR DARUL TAKZIM
FELDA PALM INDUSTRIES SDN BHD KILANG SAWIT ULU BELITONG 86000 KLUANG, JOHOR DARUL TAKZIM MALAYSIA
SIRIM QAS INTERNATIONAL SDN. BHD. Building 4, SIRIM Complex, No. 1 ,Persiaran Dato’ Menteri, Section 2, P.O. Box 7035, 40911 Shah Alam, Selangor, Malaysia. Tel: 603 5544 6448 Fax: 603 5544 6763
Website : www.sirim-qas.com.my
SIRIM QAS INTERNATIONAL SDN. BHD. Building 4, SIRIM Complex, No. 1 ,Persiaran Dato’ Menteri, Section 2, P.O. Box 7035, File Reference 40911 Shah Alam, Selangor, Malaysia. EF03060003
RSPO ASSESSMENT REPORT
CLIENT: FELDA GLOBAL VENTURES PLANTATIONS (MALAYSIA) SDN BHD
ADDRESS : Tingkat 8, Balai FELDA, Jalan Gurney 1, 54000 Kuala Lumpur, Malaysia
PALM OIL MILL: FELDA PALM INDUSTRIES SDN BHD Belitong Palm Oil Mill
SUPPLY BASE: 1 FELDA Plantation Sdn Bhd Inas Selatan (Division B – Bukit Tongkat), Pejabat FELDA Bukit Tongkat, 86000, Kluang, Johor Darul Takzim 2 FELDA Bukit Tongkat, Pejabat FELDA Bukit Tongkat, 86000, Kluang, Johor Darul Takzim 3 FELDA Ulu Belitong, Pejabat FELDA Ulu Belitong, 86000, Kluang, Johor Darul Takzim 4 FELDA Ulu Penggeli, Pejabat FELDA Ulu Penggeli, 86000, Kluang, Johor Darul Takzim 5 FELDA Layang-Layang, Pejabat FELDA Layang-Layang, 86000, Kluang, Johor Darul Takzim 6 FELDA Ayer Hitam, Pejabat FELDA Ayer Hitam, 86000, Kluang, Johor Darul Takzim 7 FELDA Bukit Permai, Pejabat FELDA Bukit Permai, 86000, Kluang, Johor Darul Takzim
ADDRESS OF SITE: FELDA, Belitong Palm Oil Mill Complex Certification Unit Kilang Sawit Belitong 86000 Kluang, Johor Darul Takzim, Malaysia
ASSESSMENT DATE: STAGE 2 : 12TH - 14TH DECEMBER 2012 DURATION : 15 AUDITOR DAYS
STANDARD: ROUNDTABLE ON SUSTAINABLE PALM OIL (RSPO) INCLUDING SMALLHOLDER MALAYSIA NATIONAL INTERPRETATION WORKING GROUP (MY-NIWG): NOV 2010 AND SUPPLY CHAIN CERTIFICATION SYSTEM REQUIREMENTS, NOV 2011
SCOPE OF CERTIFICATION ASSESSMENT: PRODUCTION OF CRUDE PALM OIL AND PALM KERNEL USING MASS BALANCE MODEL.
TABLE OF CONTENT Page no
Abbreviation used iv
1.0 Introduction ...... 1 1.1 Description of the Certification Unit ...... 1 1.2 Description of FELDA and its Settlers Scheme ...... 2 1.3 Organisation structure in a scheme ...... 3 1.3.1 Settler’s Institution...... 4 1.3.2 Facilities provided in a scheme ...... 5 1.4 Workforce composition ...... 5 1.5 Time Bound Plan for Other Management Units and Justification...... 6 1.6 Location of Mill and Supply Base ...... 6 1.7 Description of the Supply Base...... 7 1.8 Other Management System Certification Held ...... 11 1.9 Organizational Information/Contact Person ...... 11 1.10 Approximate FFB Tonnages Offered for Certification ...... 11
2.0 Assessment Process...... 12 2.1 Assessment Methodology (Program, Site Visits) ...... 12 2.2 Date of Next Surveillance Visit ...... 12 2.3 Assessment Team ...... 12 2.4 Stakeholder Consultations ...... 15
3.0 Assessment Findings ...... 15
4.0 Comments from Stakeholder ...... 77
5.0 Assessment Recommendation ...... 77
6.0 Certified organization’s Acknowledgement of Internal Responsibility and Formal sign-off of assessment findings ...... Error! Bookmark not defined.
List of Tables
Table 1 Total and Composition of Workers in the Certification Unit as of December 2012 Table 2 Coordinated of Kahang CU (Mill and Estates) Table 3a Annual (Jan 1st 2012 – 31st December 2012) FFB Contribution by Each Scheme to Kahang Palm Oil Mill
ii Table 3b Annual Total CPO and PK Production (Jan 1st 2012 – 31st December 2012) by Kahang Palm Oil Mill Table 4 Year of Establishment of Estates and Area Planted with Oil Palm Table 5a Planting Cycle : FELDA Ulu Beltiong Table 5b Planting Cycle : FELDA Bulit Tongkat Table 5c Planting Cycle : FELDA Ulu Penggeli Table 5d Planting Cycle : FELDA Air Hitam Table 5e Planting Cycle : FELDA Bukit Permai Table 5f Planting Cycle : FELDA Layang-Layang Table 5c Planting Cycle : FASSB Belitong Table 6 Approximate CPO and PK Tonnages Claim for Certification in 2012
List of Attachments
Attachment 1a Time Bound Plan Attachment 2a Location map for FELDA Kahang CU in neighbouring context Attachment 2b Location map for each schemes Attachment 3 Assessment programme Attachment 4 List and Comment from Stakeholders Attachment 5 Non-Conformity Report Attachment 6 List of Opportunity for Improvements
iii Abbreviations:
BOD Biochemical Oxygen Demand B.Sc. Bachelor of Science CHRA Chemical Health Risk Assessment CoC Consolidated Annual Charges COD Chemical Oxygen Demand CPO Crude Palm Oil CU Certification Unit DID Drainage and Irrigation Department, Malaysia DOE Department of Environment DOSH Department of Occupational Safety and Health EARA Environmental Auditors Registration Association EB Executive Board EFB Empty Fruit Bunch EMP Environmental Management Plan EPF Employees Provident Fund EQA Environmental Quality Act ERT Endangered, Rare and Threatened Species FIC FELDA Investment Cooperative FFB Fresh Fruit Bunch GAP Good Agricultural Practice GPS Global Positioning System GPW Gabungan Pembangunan Wanita (Women Development Association) GSA Group Settlement Act Ha Hectares HCV High Conservation Value HIRARC Hazard Identification, Risk Assessment and Risk Control IEMA Institute for Environmental Management and Assessment IPM Integrated Pest Management ISP Incorporated Society of Planters IRCA International Register of Certificated Auditors JCC Joint Consultative Committee JKKR Jawatankuasa Kemajuan Rancangan (Scheme Development Committee) M.E Master of Engineering MSDS Material Safety Data Sheet MNS Malaysian Nature Society MOA Memorandum of Alliance or Agreement MPOA Malaysian Palm Oil Association MPOB Malaysia Palm Oil Board MYNI Malaysia National Interpretation MYNI – WG Malaysia National Interpretation – Working Group NCR Non-Conformity Report NGO Non Governmental Organisation OER Oil Extraction Rate OFI Opportunity for Improvement OHD Occupational Health Doctor OSH Occupational Safety and Health OHSAS Occupational Health and Safety Assessment Series
iv PERKESO Social Security Organization PDRM Polis Di-Raja Malaysia Ph.D. Doctor of Philosophy POM Palm Oil Mill POME Palm Oil Mill Effluent PPE Personal Protective Equipment RSPO Roundtable on Sustainable Palm Oil SIA Social Impact Assessment SS Suspended Solid SOP Standard Operating Procedure USA United States of America USECHH Use and Standards of Exposure of Chemicals Hazardous to Health WTP Water Treatment Plant WWF World Wide Fund for Nature
v RSPO STAGE 2 ASSESSMENT REPORT
1.0 Introduction
1.1 Description of the Certification Unit
FELDA Global Ventures Plantations (Malaysia) Sdn Bhd – (hereinafter referred to as FGVPM) – principally an investment holding company was tasked by FELDA Global Ventures Holdings Berhad to oversee those FELDA-leased land and land belonging to settlers planted with oil palm obtain certification against the RSPO standard in accordance to the time bound plan set by FELDA.
This certification unit (CU) of FGVPM Belitong Palm Oil Mill Complex (FGVPM-BCU) was assessed for certification against the RSPO Principles and Criteria for Sustainable Palm Oil Production, including smallholder, Malaysia National Interpretation Working Group (RSPO MYNIWG: November 2010) and RSPO Supply Chain
Certification System (SCCS) Requirements November 2011. The smallholder schemes were assessed against the national guidance for scheme smallholders.
This certification assessment covered FELDA Ulu Belitong Palm Oil Mill and its supply bases, that is, seven land development schemes, one plantation and one R&D station. It did not include the third party FFB suppliers.
The smallholder schemes, seven, at this CU began development in phases as far back as 1964 through 1982. They are land owned by settlers in accordance with the Group Settlement Act (GSA) 1960, and, throughout Malaysia they are being administered by the Federal Land Authority, in short FELDA, a government of Malaysia owned agency. In addition, at this CU there is one plantation like estate, that is, FELDA Plantation Inas Selatan (Division B - Bukit Tongkat) and an R&D station that were developed in 1981, also belonging to FELDA.
With the exception of some smallholders tending their own farm, the rest of them farm-out their land to FELDA who arranged it to be managed by FELDA Technoplant Sdn Bhd (FTPSB). The plantation like estate is managed directly by FELDA Plantation Sdn Bhd (FPSB) while the R&D Station is managed by FELDA Agricultural Services Sdn Bhd (FASSB). All these companies (FTPSB, FPSB and FASSB) are subsidiaries of FELDA Holdings Berhad (FHB).
FTPSB is a service company formed to undertake the individual work that were supposed to be done by settlers (from planting to harvesting of FFB and maintenance of farm) but now done collectively in an estate like manner to capitalize on economies of scale to conform to Good Agricultural Practices.
On the other hand, FPSB is a service company formed to manage areas (that was not given to settlers) in a commercial manner belonging to FHB whereas FASSB is involved in research of palm oil seeds, producing and selling seedlings, rat baits and the provision of foliar and soil analysis to FELDA and other related companies.
The difference between settler’s scheme and FELDA Plantation is that each scheme has two managers. One FELDA Manager is primarily tasked to oversee the socio-economic aspect and welfare of the settlers whereas on the field operational support he is assisted by one FTPSB MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 1 of 121
Manager. Unlike the smallholder schemes the estate is solely managed by a Plantation Manager of FPSB who oversees overall aspect of plantation management and welfare of his employees.
1.2 Description of FELDA and its Settlers Scheme
FELDA is a government agency established under the Land Development Ordinance on 6th July 1956. Its objectives were:
to provide land for the landless. to uplift socio-economic status of rural communities; and to encourage the development of a progressive, productive and disciplined settlers community.
In the following year FELDA initiated the first land development by planting rubber trees at Lurah Bilut, Pahang. In 1958, five similar schemes were opened. Subsequently, via Group Settlement Act 1960 FELDA developed more areas. To date, 853,313 hectares (as of March 2012) of land had been opened for cultivation, infrastructure, settlers’ housing and public facilities for 112,635 settlers. 811,140 hectares were allocated for agricultural area of which 722,946 hectares or 84.7 % had been planted with oil palm trees. The remaining areas were planted with rubber, sugar cane, timber, and fruit trees and plot for research and development. FELDA settlers’ settlement area (village) accounted for 42,173 hectares or 4.9 % of land developed.
Managed as an estate style (1700 – 2500 ha.), a typical settlers’ settlement range between 400- 600 settlers per scheme and each settler was given a house and a plot of land to farm.
At FGVPM-BCU each settler of the six settlement schemes was given 10 acres (4.0 ha.) of land to cultivate oil palms. All settlers at this CU except for FELDA Ayer Hitam and FELDA Bukit Permai started with oil palm trees as their first crop and continue to do so at replanting. Some scheme participants at FELDA Ayer Hitam and Bukit Permai had converted portion of their plot to oil palm while the balance were replanted with rubber trees, At FPSB Inas Selatan plantation (Division B – Bukit Tongkat) its first crop too was oil palm.
As a scheme participant all settlers were required to reside at the settlement itself, and were allotted an additional 0.25 acres (0.10 ha) each in a planned village, where their home - built by FELDA - is located. About 20 houses made up a block and each block chose its own representatives who voice their concerns to their Scheme Development Committee (JKKR) and FELDA Management. All basic infrastructures, such as piped water, electricity, schools, clinics, and places of worship were provided either by FELDA or through government agencies.
The costs of acquiring, developing and allocating the land were borne by loans made to FELDA settlers. These loans were to be repaid in monthly installments deducted from the settlers' income over a 15-year period.
Although settlers were supposed to focus on agricultural activities, they also were encourage by the government to participate in non-farm activities, such as entrepreneurship in SAWARI Program (food and craft industry) Agro-based industry, Business, Services and Related activities, etc, as side income to help alleviate their financial needs. MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 2 of 121
1.3 Organisation structure in a scheme
In a settlers’ scheme, as evident at FGVPM-BCU the management of the scheme was based on the structure as shown in Figure 1. They comprised of two committees in a scheme, one representing FELDA, referred to as Management Committee and the other representing the settlers, known as Settler Committee.
Figure 1: Organisation structure in a scheme
The Scheme Manager besides being responsible to coordinate and manage all aspects in a scheme in an estate like manner was also responsible to the Regional General Manager (RGM), FELDA Segamat, Johor for community development, welfare and well being of its settlers, their dependant get adequate income, and ultimately FELDA fulfill their social, educational and economic obligations/needs.
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The settlers’ obligation was to farm their land in accordance to Good Agricultural Practices determined by the Scheme Manager. There are two types of settler’s in a scheme, that is, those who tend their farm on their own and those who farm-out their land (because of deceased parent (1st generation plot owner), old age and sickness) to FTPSB. The Scheme Manager together with his Field Supervisors will oversee that the settlers who tend to their own farm and those run by FTPSB conform to established practices in accordance to FELDA Plantation standard by making daily field visits. The duties of office staff were to monitor the implementation of all activities in a scheme and maintain records of implementation.
The binding contract between a settler and FELDA is an agreement tying both parties for a CoC (Consolidated Annual Charges).
1.3.1 Settler’s Institution Leadership and involvement of settler’s in scheme management is shown in Figure 2 and are implemented through:
Block Management Scheme Development Committee (Jawatankuasa Kemajuan dan Keselamatan Rancangan - JKKR) JKKR Coalition Settler's Consultancy Committee (Jawatankuasa Perunding Peneroka - JKPP) Women Association Movement (Gerakan Perkumpulan Wanita – GPW)
All of these Settler's Bodies play major roles toward Settler's Institution development.
National Level
Regional Level
Scheme Level
Block Level Block Level Block Level
Figure 2 : Settler Participation in Management
JKKR Coalition is the supreme council for settlers at the Regional level aimed to unite ideas, efforts and energy towards improving production, farm development and formation of settler's family well being. Settler's top involvement and participation in the management and administration of the scheme is through Settler’s Consultancy Committee, (JKPP).
JKPP is a supreme council where committee members consisted of FELDA's top management and Heads of Male/Female Settlers as well as Youth leaders. JKPP becomes the relation and consultation body between Head of Settlers and FELDA's management.
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Other roles of JKPP are to study, check, consider and take resolutions of policies concerning settlers.
A land scheme, as mentioned above, normally would involve between 400 – 600 smallholders and the scheme is divided into blocks. Each block typically consists of 20 settler families. They among themselves elect Block Leaders and each block is represented by 2 Block Leaders. The leaders co-ordinate activities within their group members and voice member’s concern at the Scheme level meeting.
Collectively, the settlers through their committee can raise issues of concerns to the Management Committee who via the mandate vested in them would resolve the issues amicably. If it cannot be resolved at the Scheme Level, it can be escalated to the Regional and National Level as described above under Settler’s Institution.
There are also local stakeholders in a scheme. Local stakeholders are organizations / groups involved with the settler community / management such as Gerakan Perkumpulan Wanita (Women Association Movement) and Majlis Belia (Youth Council).
In the FELDA schemes assessed, besides the Scheme Manager there usually is between 8 -15 other staff comprising of Field Supervisors, office clerks and driver.
1.3.2 Facilities provided in a scheme Through site visits, the assessors witnessed the presence of the following infrastructure in all schemes assessed. It included mosque, kindergarten, primary school, religious school, staff quarters, government health clinic, post office, police station, shops, motor vehicle workshop, scheme/plantation administration office, fertilizer store and community hall.
1.4 Workforce composition
The total and composition of the workforce at the FGVPM-BCU assessed is as shown in Table 1.
Table 1: Total and Composition of Workers in the Certification Unit as of Dec 2012
Operating Unit Local Foreign Sub-Total Ulu Belitong POM 89 - 89 FELDA Ulu Belitong 21 32 53 FELDA Bukit Tongkat 9 30 39 FELDA Ulu Penggeli 5 21 26 FELDA Ayer Hitam 5 14 19 FELDA Bukit Permai 11 25 36 FELDA Layang-Layang 14 22 36 FASSB Belitong 26 12 38 FELDA Plantations Inas 4 59 63 Selatan (Div B. Bukit Tongkat) Grand Total 184 215 399
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Foreign workers account for about 61% of the CU’s total field/plantation workforce whereas at the mill the composition of workforce is 100% local.
1.5 Time Bound Plan for Other Management Units and Justification
Being a member of RSPO, FELDA is committed to full compliance with the RSPO's Principles and Criteria (P&C) in all its operations in Malaysia. As of to date, FELDA had attained RSPO certification in one Smallholder Group Certification Unit, and sixteen mill complexes in Pahang and Johor.
In year 2012, eight CU were being assessed.
It also had established a challenging and realistic time bound plan, as shown in Attachment 1, to certify all of its estates and mills by the year ending 2017. FELDA have been on schedule with the time bound plan for the certification of all the CUs. This FGVPM-BCU is among the latest to be assessed for certification.
1.6 Location of Mill and Supply Base
There are five (5) types of FFB supplier to FELDA Palm Industries Sdn. Bhd. (FPISB), Ulu Belitong Palm Oil Mill. It consists of the following:
1 FELDA settlers, whom choose to be independent. They carry out replanting and manage their estates by themselves and sell the FFB to FELDA mills. 2 FELDA land schemes, which is made up of smallholder scheme with dependents (settlers) whom due to inevitable reason (death of breadwinner, age, etc.) had opted to let FTPSB to manage on their behalf replanting and ongoing management of their plots. 3 FPSB consisting of FELDA’s owned commercial oil palm plantation. 4 Other estates: Commercial oil palm plantations belonging to independent outgrowers, and 5 FASSB research plot, whose FFB contribution is small. . The FGVPM-BCU covers one palm oil mill, seven oil palm schemes and one Research & Development station, all in the state of Johor. The location of the mill and schemes are as shown in Table 2.
Table 2: Coordinates of Ulu Belitong CU (Mill and Estates)
Mill / Scheme Post Code, District, *Latitude *Longitude State FPISB Ulu Belitong Palm Oil 86000 Kluang, Johor 1° 38' 17" N 103° 49' 99" E Mill FELDA Ulu Belitong 86000 Kluang, Johor 1° 57' 49" N 103° 47' 31" E
FELDA Bkt Tongkat 86000 Kluang, Johor 1˚ 56’ 49.8’’ N 103˚ 40’ 30’’ E
FELDA Ulu Penggeli 86000 Kluang, Johor 6˚ 12’ 14’’ N 117˚ 17’ 27’’ E
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FELDA Ayer Hitam 86000 Kluang, Johor 1° 46' 05" N 103° 23' 30" E 81850 Layang- FELDA Bkt Permai 1° 26' 12.96" N 103° 31' 15.42" E Layang, Johor 86200 Simpang FELDA Layang-layang 1˚ 47’ 14.2’’ N 103˚ 23’ 37.3’’E Renggam, Johor FASSB Belitong (R&D 86000 Kluang, Johor 1° 56' 7.40" N 103° 27' 52.65"E station) FP Inas Selatan (Div B – 86000 Kluang, Johor. 1° 56’ 50.08” N 103° 29’ 36.28” E Bukit Tongkat)
* Coordinate readings were taken at the respective scheme administrative office
The location map of the CU is shown as in Attachment 2.
1.7 Description of the Supply Base
All the above FELDA estates and R&D Station had been supplying FFBs to the Ulu Belitong POM. Apart from these estates, there were nine outside crop suppliers who had been regularly sending their FFB to the FELDA Ulu Belitong POM. These nine FFB suppliers are FFB traders.
Data on FFB supply information as well as CPO and PK production is as per the table below.
Table 3a: Annual (Jan 1st 2012 – 31st December 2012) FFB Contribution by Each Scheme to Ulu Belitong Palm Oil Mill
FFB Production Land Scheme Tonnes Percentage FELDA Ulu Belitong 955.22 0.29 FELDA Bkt Tongkat 0 0.00
FELDA Ulu Penggeli 3571.88 1.09
FELDA Ayer Hitam 7770.38 2.37 FELDA Bkt Permai 17279.25 5.27
FELDA Layang-Layang 3569.09 1.09
FASSB Belitong 890.49 0,27
FP Inas Selatan (Div B – Bukit Tongkat) 5052.47 1.54
Diversion crop from FELDA RSPO Certified Plantation 3649.97 1.11
Outgrowers crop 284977.38 86.96
Total 324266.72 100.00
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Table 3b: Annual Total CPO and PK Production (Jan 1st 2012 – 31st December 2012) by Ulu Belitong Palm Oil Mill
OER, % CPO Production (MT) KER, % PK Production (MT) 16.70 61245.30 5.94 1945.82
FELDA follows a 25-year replanting cycle. Table 4 shows the details of the year of establishment of the estates, year started/switched to oil palm and their respective total land and area planted with oil palm, while Tables 5a to 5h show the percentage of planted area in each estate by year of planting and its planting cycle.
Table 4: Year of Establishment of Estates and Area Planted with Oil Palm
Year of Year started/ Total Area Planted Area Operating Unit Establishment switched to (ha) (ha)
oil palm Started with Oil FELDA Ulu Belitong 78/79/81/82 2155.89 1891.96 Palm Started with Oil FELDA Bkt Tongkat 78/79/81 1,461.95 1,151.61 Palm Started with Oil FELDA Ulu Penggeli 77/81 1,767.58 1,590.43 Palm Started with Oil FELDA Ayer Hitam 91/92/94/95/04 1498.91 554.27 Palm Started with Oil FELDA Bkt Permai 1964 1,187.88 1020.11 Palm FELDA Layang- 81/82 Started with Oil 809.6 743.99 Layang Palm 2010/2007/200 Started with Oil FASSB Belitong 138.49 138.49 3 Palm FP Inas Selatan (Div 95/95/81/82/82/ Started with Oil 1214.26 1207.67 B – Bukit Tongkat) 82/86/85 Palm Total 10234.56 8264.06
Table 5a: Planting Cycle - FELDA Ulu Belitong
Plot Year of Planting Cycle Planted Area (ha) Percentage of Planting Planted Area 01 2009 2nd generation 397.21 20.99
02 2010 2nd generation 556.8 29.43
03 2011 2nd generation 150.16 7.94
04 2011 2nd generation 432.12 22.84
05 2011 2nd generation 355.67 18.80
Total 1891.96 100.00
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Table 5b: Planting Cycle - FELDA Bkt Tongkat
Plot Year of Planting Cycle Planted Area (ha) Percentage of Planting Planted Area 01 2011 2nd generation 160.79 13.96
02 2011 2nd generation 716.19 62.19
03 2011 2nd generation 274.63 23.85 Total 1,151.61 100.00
Table 5c: Planting Cycle - FELDA Ulu Penggeli
Plot Year of Planting Cycle Planted Area (ha) Percentage of Planting Planted Area 01 2009 2nd generation 313.03 19.68
02 2010 2nd generation 1088.34 68.43
03 2010 2nd generation 86.25 5.42
04 2012 2st generation 74.39 4.68
04/BS 2012 2st generation 28.42 1.79
Total 1590.43 100.00
Table 5d: Planting Cycle - FELDA Ayer Hitam
Plot Year of Planting Cycle Planted Area (ha) Percentage of Planting Planted Area 01 1992 1st generation 92.82 16.75
02 1992 1st generation 81.13 14.64
03 1995 1st generation 151.44 27.32
04 2004 1st generation 214.88 38.77 003/9 1992 1st generation 14 2.53 9 Total 554.27 100.00
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Table 5e: Planting Cycle - FELDA Bkt Permai
Year of Planting Cycle Planted Area (ha) Percentage of Plot Planting Planted Area 01 1986 1st generation 471.11 46.18
02 2006 2nd generation 202.07 19.81
03 1997 2nd generation 243.5 23.87
04 1997 2nd generation 68.96 6.76
05 2009 2nd generation 34.47 3.38 Total 1020.11 100.00
Table 5f: Planting Cycle - FELDA Layang-Layang
Plot Year of Planting Cycle Planted Area (ha) Percentage of Planting Planted Area 01 2012 2nd generation 363.04 48.80
02 2012 2nd generation 162.52 21.84 082(B 2012 2nd generation 218.44 29.36 /F) Total 743.99 100.00
Table 5g: Planting Cycle - FASSB Belitong
Plot Year of Planting Cycle Planted Area (ha) Percentage of Planting Planted Area Pkt 1 2010 2nd generation 82.81 59.79
Pkt 2 2003 2nd generation 8.07 5.83
Pkt 3 2007 2nd generation 47.61 34.38 Total 138.49 100.00
Table 5h: Planting Cycle - FP Inas Selatan (Div B – Bukit Tongkat)
Plot Year of Planting Cycle Planted Area (ha) Percentage of Planting Planted Area PM 00G 1995 1st generation 52.83 4.39
PM00H 1995 1st generation 95.91 7.94
PM06J 2006 2nd generation 283.61 23.48
PR07K 2007 2nd generation 129.82 10.74
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PR07L 2007 2nd generation 163.05 13.50
PR07M 2007 2nd generation 64.27 5.32
PR10N 2010 2nd generation 241.11 19.96
PR11Q 2011 2nd generation 177.07 14.67 Total 1207.67 100.00
1.8 Other Management System Certification Held
All the seven FELDA land schemes assessed do not hold any form of third-party certification. Only FELDA Palm Industries Ulu Belitong Palm Oil Mill and FASSB R&D Station, Belitong, hold third-party certification to internationally recognized management systems. The mill is certified to ISO 9001:2008, ISO 14001:2004 and OHSAS 18001:2007 and the R&D station to ISO 9001:2008 and both of them had completed its annual surveillance audit. Their certificates are valid.
1.9 Organizational Information/Contact Person
Name :.Norazam Abdul Hameed Designation : Head, Plantations Sustainability & Quality Management Address : FGV Plantations Malaysia Sdn Bhd Tingkat 8, Balai FELDA, Jalan Gurney 1, 54000 Kuala Lumpur, Malaysia. Telephone : +03-2698 7772 Fax : +03-2691 1378 e-mail : [email protected]
1.10 Approximate FFB Tonnages Offered for Certification
The approximate tonnage of CPO and PK produced per year, as well as the tonnage claimed for certification, are as shown in Table 6 as follows:
Table 6: Approximate CPO and PK tonnage Claimed for Certification in 2013
Tonnage Claimed for Certification (MT) Certification Unit CPO PK FELDA Ulu Belitong Palm Oil Mill 6166 1932 Complex Certification Unit
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2.0 Assessment Process
2.1 Assessment Methodology (Program, Site Visits)
The assessment for certification was carried out in conformity with the procedures as laid down in SIRIM QAS Procedure Manual. During the assessment qualified SIRIM QAS assessors used the RSPO:MYNI November 2010 standard and RSPO Supply Chain Certification System (SCCS) Requirements November 2011.and recorded their findings.
There was no Stage 1 assessment conducted to determine the adequacy of the established documentation in addressing the requirements of the RSPO MYNI P&C and SCCS. The company instead relied on using the experience of main assessment from its other past CU RSPO assessments to ensure that this management unit conformed to the RSPO MYNI P&C and SCCS Requirements.
The RSPO Stage 2 assessment was conducted from 12th - 14th December 2012. The main objective of the assessment was to verify the CU’s conformance to the requirements of certification standard, the RSPO MYNI (including smallholder November 2010) and RSPO Supply Chain Certification System (SCCS) Requirements November 2011. The planning for the Stage 2 assessment was guided according to the RSPO Certification Systems Document. After studying the basic information given to us, it was decided that the sampling formula of 0.8√y to determine the number of schemes to be audited would not be used as each supplying scheme selected has its own issues related to the requirements of the RSPO MYNI. Besides the Ulu Belitong Palm Oil Mill, a total of four schemes were assessed, namely one from FPSB, one from FASSB and two from the FELDA smallholder schemes (those tended by settlers and those managed by FTPSB in the same scheme).
The assessment was conducted by visiting the fields, mill and settlers’ houses to verify implementation. Interviews were held with the CU’s management, settlers, employees, contractors and other relevant stakeholders. Related records and other documentation audit were conducted at all estates and mill visited.
Details of the actual assessment programme are given in Attachment 3.
2.2 Date of Next Surveillance Visit
The first surveillance audit will be conducted around twelve months from the date of issuance of the certificate.
2.3 Assessment Team
Member of the Role/area of RSPO Qualifications Assessment Team requirements Collected over 400 days of auditing experience in OHSAS 18001 and MS Lead Assessor / 1722 OHSMS (72 days for palm oil Occupational milling & 8 days for oil palm plantation) Mahzan Munap Health and Safety, and 60 days of RSPO. Environment & CIMAH Competent Person with related legal issues Malaysian Department of Occupational Safety and Health (DOSH) since 1997. Occupational Safety and Health Trainer
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at INSTEP Petronas Successfully completed RSPO Lead Assessor Course – 2008. Successfully completed Lead Assessor Course for OHSAS 18001- 2000. Successfully completed IRCA accredited Lead Assessor training for ISO 9001- 2006 Successfully completed RABQSA accredited Lead Assessor training for ISO 14001- 2008 MBA, Ohio University. B.Sc. Petroleum Engineering, University of Missouri, USA.
Collected 70 auditor days in auditing Forest Management Certification (FMC – MC&I 2002 and MC&I Natural Forest) Collected 38 auditor days in auditing RSPO Overall Team 11 years working experience related to Leader Assessor / forest management, inventory, Khairul Najwan ecology and surveying, HCVF and logging operation. Ahmad Jahari environmental Successfully completed accredited Lead issues/ HCV / Assessor training for ISO 14001: 2004, Forestry ISO 9001:2008 and OHS 18001:2000 Successfully completed RSPO Lead Assessor Course – 2011. B. Sc of Forestry (Forest Management)
8 days experience as Technical Adviser to RSPO Audits. 14 days of auditing experience in RSPO. B. Sc. (Hons) Agriculture – University of Agricultural Sciences, Hebbal, Banglore, India (1969-1973) A Planter with Kumpulan Guthrie Assessor / Good Berhad (1995-2002 – retired) Inclusive Agricultural of One year in Liberia and 2 years in Selvasingam TK Practices (GAP) Estate Department in Guthrie head and environmental quarters issues Experience in Managing: Nursery : Rubber and Cocoa Immature Area : Cocoa Replant, Rubber Replant, Oil Palm Replant & Oil Palm New Clearing Mature Area: Cocoa, Rubber & Oil Palm.
Hafriazhar B Mohd Assessor, Collected over 40 days of auditing
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Mokhtar environmental experience in ISO 14001, 75 days of issues related to CDM (Carbon Development mill and plantation Mechanism), 5 days of RSPO and 1 day of ENMS (Energy Management System). Conduct bi‐weekly internal site audit, monthly environmental compliance report to client & participate in the environmental audit inspections by client & authority (Dec 2002 –Sep 2003) 4 ½ years working experience in Palm Oil mill beginning with Cadet Engineer and rising upto Senior Assistant Mill Manager. Successfully completed RABQSA/IRCA EMS Lead Assessor Course for ISO 14001 in 2011. Successfully attended SIRIM QAS in- house training on CDM and ENMS in 2011. Bachelor Degree Engineering (Chemical), University Teknologi Malaysia
Collected 45 auditor days in auditing Forest Management Certification (FMC – MC&I 2002) and 13 auditor days in auditing FSC P&C. Collected 45 audit days in auditing RSPO Peer reviewer for FSC Forest Management certification reports B.A. Hons (Social Anthropology / Sociology) M.A. (Social Anthropology) Ph.D. (Major: Cultural Anthropology; Minors: Southeast Asian Studies Assessor / International Agriculture and Rural workers& Development Dr.ZahidEmby community issues and related legal 1977- 1992 – Lecturer, Department of issues Social Sciences, Faculty of Educational Services, Universiti Pertanian Malaysia Head, August 1992 – 1994, Department of Social Development Studies, Universiti Pertanian Malaysia August 1, 1998 -2001. Reappointed as Head of the renamed Department of Social and Development Science for a three year term Head, Department of Music from October 2003 until retirement on December 17, 2006 Spent some time as a visiting scholar at
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University of Hull, U.K. and Victoria University of Wellington, New Zealand. Freelance consultant on social issues
2.4 Stakeholder Consultations
SIRIM QAS International Sdn Bhd (SIRIM QAS International) initiated the stakeholder consultation by announcing the invitation in the RSPO and SIRIM QAS International’s websites on 15th November 2011. In addition, SIRIM QAS International had also sent invitations through letters to the relevant stakeholders, including government agencies and Non-Governmental Organizations (NGOs) on 15th November 2011. This was followed-up by telephone calls.
Whenever necessary, meetings with the relevant stakeholders were arranged during the on- site assessment.
The consultation with the government agencies had involved meetings and discussions with the relevant departments mainly to solicit information as well as verification on the CU’s compliance with the applicable laws and regulations related to its operations.
The consultations with the NGOs were held to seek their comments mainly on the CU’s compliance with those criteria related to the social and environmental issues.
The method of consultation with the settlers, contractors and FELDA staff were through random sampling from each group in each of the FFB supplying unit and oil mill visited. The consultations which were conducted at the CU’s office had included solicitation of comments on issues relevant to principles 1 to 8 of the RPSO MYNI (including smallholders) November 2010 and RSPO Supply Chain Certification System (SCCS) Requirements November 2011,
The consultations by assessors with the local communities were held at two different venues, that is at FELDA office and the other was by visiting the settler’s home/village during the times that were convenient to them. The intention was to solicit their views on the impact of the FGVPM-BCU’s operations on their economics and socio-cultural lives.
Outcome from the stakeholders being consulted is as in Attachment 4.
3.0 Assessment Findings
The findings of the assessment were highlighted and discussed during the on-site assessment. A total of sixteen fourteen nonconformity reports (NCR) were raised on the FGVPM-BCU against the requirements of the RSPO MYNI, November 2010 and one against RSPO Supply Chain Certification System (SCCS) Requirements November 2011. Seven were categorized as Major and eight as Minor non-conformities. Details of the non- conformities raised and corrective actions taken by the CU are as in Attachment 5. Evidences of the actions taken had been submitted to the assessment team. In addition to the NCR, eleven observations or opportunities for improvement were identified for the CU to improve in meeting with the requirements of the RSPO MYNI (see Attachment 6).
The detailed findings of the assessment on the CU’s compliance with the requirements of the RPSO MYNI and RSPO Supply Chain Certification System (SCCS) are as below:
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PRINCIPLE 1: COMMITMENT TO TRANSPARENCY
Criterion 1.1 Oil palm growers and millers provide adequate information to other 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: 1.1.1 Records of requests and responses must be maintained. Major compliance
Specific National Guidance for Scheme Smallholders Scheme Smallholders Scheme managers should assist in ensuring compliance by their organized smallholders in providing adequate information. Scheme managers must ensure that participant are given copies of:
managers and participants (criterion 1.2)
-chemical use (4.6) -to-date records of debts and repayments, charges and fees (6.10) ollowing documents:
- Health and safety plan (4.7). - Plans and impact assessments relating to environmental and social impacts (5.1, 6.1, 7.1, 7.3). - Pollution prevention plans (5.6). - Details of complaints and grievances (6.3). - Negotiation procedures (6.4). - Procedure for calculating prices, and for grading, FFB (6.10) - Continuous improvement plan (8.1) confidential
Findings:
There exists procedure on communication as evidenced in FELDA Palm Industries Sdn Bhd (FPISB) document No.: FPI/L2/QOHSE-6.0 entitlted Manual Prosedur, Komunikasi, Penglibatan dan Rundingan (Communication, Participation and Consultation). It included internal and external consultation.
Additionally, FELDA has a website, www.feldaglobal.com for promotion of its products. The website contained brief information about the company’s profile, vision and key objectives, corporate structure, business operations, investor relations, financial, sustainability and corporate social responsibility.
FELDA had dedicated substantial resources to ensuring that every aspect of its business emulates the eight principles as laid out under RSPO Principles and Criteria for Sustainable Palm Oil which was accepted as the most complete document defining sustainable palm oil production, and faithfully follow the requirements of Module E: CPO Mill Mass Balance of the RSPO Supply Chain Certification System.
With respect to RSPO requirements, FELDA had provided adequate information on issues relevant to interested stakeholders including publishing on its website inviting all stakeholders to take part to make a positive contribution to the RSPO certification decision. FELDA had asked all stakeholders to raise any issues, both positive and negative, in written form (by mail, fax or e-mail) or by attending an open stakeholder meeting at its Segamat Regional Office. It also had written to all stakeholders informing them on the availability of documents for public review.
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A management official at the operating unit level had been assigned to be in charge on communication and consultation with stakeholders.
During the assessment, it was observed that FGVPM-BCU had compiled a list of 73 local stakeholders including neighbors that may be relevant to its operation. This did not include FELDA Staff. The letters to stakeholders and the records of request were examined in the scheme inspected.
A briefing for and discussion with stakeholders was held on 13th July 2012 at Meeting Room FELDA Segamat Regional Office as evidenced by the signed list of attendance. Only 6 stakeholders turned up. From the above records, it was evident that the company had committed to be transparent in its dealings with internal and external stakeholders. Please see Attachment 4 for List and comments from stakeholders.
In addition to the above, it was also seen there were regular communications with Wildlife Department by FELDA Bukit Tongkat and FELDA Plantation Inas Selatan Div B. The latest record was on 12th December 2012 regarding the encroachment of elephant.
There was also evidence that Scheme Managers had assisted in ensuring compliance to RSPO P&C by providing adequate information to their scheme smallholders (settlers). The participants were given copies of contract between FELDA and them, up-to-date records of debts and repayments, charges and fees. Others include demonstration training on the safe use of agro-chemical, information on integrated pest management, health and safety plans, social and environmental impact / aspect assessments and plans, pollution prevention programs, procedure for complaints and grievances and procedure for calculating FFB prices and FFB grading.
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. This concerns management documents relating to environmental, social and legal issues that are relevant to compliance with RSPO Criteria. Documents that must be publicly available include, but are not necessarily limited to:-
1.2.1 Land titles / user rights (C 2.2) 1.2.2 Safety and health plan (C 4.7) 1.2.3 Plans and impact assessments relating to environmental and social impacts (C 5.1, 6.1, 7.1, 7.3) 1.2.4 Pollution prevention plans (C 5.6) 1.2.5 Details of complaints and grievances (C 6.3) 1.2.6 Negotiation procedures (C 6.4) 1.2.7 Continuous improvement plan (C 8.1)
Guidance: Examples of commercially confidential information include financial data such as costs and income, and details relating to customers and/or suppliers. Data that affects personal privacy should also be confidential.
Examples of information where disclosure could result in potential negative environmental or social outcomes include information on sites of rare species where disclosure could increase the risk of hunting or capture for trade, or sacred sites, which a community wishes to maintain as private.
Specific National Guidance for Scheme Smallholders Scheme Smallholders Scheme managers should ensure that appropriate systems are in place for their organized smallholders to comply with the above. This may include providing information that covers.
-use rights; (certificate)
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Findings:
FELDA Belitong CU Complex had made publicly available the related management document as required by this Criterion through a letter sent to stakeholders on 13th July 2012. Each scheme had maintained record of requests made by stakeholders and this record was presented during the assessment.
At all estates and mill visited a dedicated RSPO Documentation area was made available. A Document Controller was assigned to be in-charge of the document, ensure its distribution was current and retrieve obsolete document.
Filing of documents was orderly arranged so that any required document for referral is readily accessible. Sample of documents filing arranged in good order was found at the FELDA Agricultural Services Sdn. Bhd. (FASSB) Belitong, FELDA Bukit Tongkat (left) and FPSB Inas Selatan Div B Office as shown in Photograph 1 below:
Photograph 1 (L-R) : Photograph of publicly available documents at FASSB Belitong, FELDA Bukit Tongkat (left) and FPSB Inas Selatan Div B Office
In addition, all the policies of the company had been clearly displayed on notice boards (see Photograph 2).
Photograph 2 (L-R) : FELDA Policies and Information displayed on Notice Board and being framed at FELDA Layang-Layang and FASSB office Belitong.
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At the scheme level, the Scheme Managers had ensured appropriate RSPO documentation system were available and can be accessed by their participating members. Review of documents revealed that it had included the following information:
Evidence of legal ownership of the land or land-use rights; (photocopy of certificate for those still owing FELDA) SEIA document and related monitoring reports Documented evidence of organizational and social activities. Appropriate Management Plans Scheduled waste record and non scheduled waste records Environmental aspect and impact 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: 2.1.1 Evidence of compliance with legal requirements. Major compliance
2.1.2 A documented system, which includes written information on legal requirements. Minor compliance
2.1.3 A mechanism for ensuring that they are implemented. Minor compliance
2.1.4 A system for tracking any changes in the law. Minor compliance
Guidance: 1. Lists down all applicable laws including international laws and conventions ratified by the Malaysian government. 2. Identify the person(s) responsible to monitor this compliance. 3. Display applicable licenses and permits. 4. Unit responsible to monitor these will also be responsible to track and update changes.
Specific National Guidance for Scheme Smallholders Scheme Smallholders Scheme managers should ensure that their organized smallholders are aware of and comply with relevant legal requirements.
These would require provision of information regarding relevant legal requirements to the participants or their appointed representatives.
Findings:
Each scheme of the FGVPM-BCU visited followed the established procedure for documenting, checking and assessing of legal compliance and tracking of changes with applicable laws including international laws and conventions ratified by the Malaysian Government that are relevant to its operations. Photograph 3 below shows the content page of the procedure.
Scheme and Mill Manager had been identified to be responsible for communicating changes in laws and regulations whereas the unit responsible for tracking, monitoring and updating the changes of applicable laws and regulations was based at FELDA Headquarters, Kuala
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Lumpur. All changes had been cascaded down to the settler’s land schemes, plantation and mill management.
Photograph 3: Table of content page in the procedure to comply to Principle 2 of the RSPO P&C
List of laws/regulations and their summaries related to RSPO were available in a legal register. The applicable laws identified and recorded in the legal register included Pesticides Act 1974 and Regulations, Environmental Quality Act and Regulations, 1974, Factories and Machinery Act and Regulations, 1967, Occupational Safety and Health Act 1994, Employment Act 1955,. The acts and its regulations were evaluated for compliance annually.
The Mill Manager and Scheme Managers interviewed showed understanding on the applicable legal requirements. Likewise, staff and smallholders interviewed showed their awareness, the need of them to comply with relevant legal requirements and the consequence for non-compliance.
Generally, FGVPM-BCU were in compliance with all applicable local, national and ratified international laws and regulations. The compliance Legal compliance had been reviewed in July 2012 and documented in their Legal and other requirements register. It included related International and Malaysian Laws, Regulations, Code of Practice and Guidelines. For plantation it is in document ML-1A/14-F3 (0). ML-1A/14-F4 (0) and ML-1A/14-F5 (0). At mill it is in document FPI/L2/QOSHE- 2. Among them are: Malaysian Acts and Regulations : Occupational Safety and Health Act 1994, Factories and Machinery Act 1967, Environmental Quality Act 1974, National Land Code 1965, Johor Land Rules 1966, Group Settlement Act 1960, Malaysian Palm Oil Board Act 1998, Workers Minimum Standard of Housing and Amenities Act 1990, Irrigation Act 1953 (Revised 1989), Pesticides Act 1974, Workmen Compensation Act 1952, Wildlife Protection Act 1972, etc. International Laws and Regulations MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 20 of 121
WHO Type 1A and 1B or Stockholm & Rotterdam Conventions, IUCN 2007bRed List of Threatened Species, HCV Guidelines
The assessment team has also verified compliance status of all foreign workers have valid Visit Pass (Temporary Employment) issued by the Department of Immigration, Malaysia; environmental license issued by DOE with its overall compliance schedule had been adhered to, machineries requiring Certificate of Fitness were up-to-date and Competent Persons were available at the mill except for lapses as highlighted in NCR MM1. The requirement for Fire Certificate for Ulu Belitong POM and FP Inas Selatan Workers’ hostel was not identified in the Legal Register and CHRA was not conducted for contractor workers at FELDA Layang-Layang as required by the USECHH Regulations 2000. .
The Belitong POM had replied to the NCR MM1 with supporting letter from the Fire and Rescue Department Malaysia dated 10th July 2002 that it was exempted from Section 28, Requirement of a fire certificate, Fire Services Act 1988. This NCR issued to the mill, FP Inas and FELDA Layang-Layang.is considered closed.
Criterion 2.2 The right to use the land can be demonstrated, and is not legitimately contested by local communities with demonstrable rights.
Indicators: 2.2.1 Evidence of legal ownership of the land including history of land tenure. Major compliance
2.2.2 Growers must show that they comply with the terms of the land title. [This indicator is to be read with Guidance 2] Major compliance
2.2.3 Evidence that boundary stones along the perimeter adjacent to state land and other reserves are being located and visibly maintained. Minor compliance
Specific Guidance: Growers should attempt to comply with the above indicator within 15 months from date of announcement of first audit. Refer to State Land Office for examples of other reserves.
2.2.4 Where there are, or have been, disputes, proof of resolution or progress towards resolution by conflict resolution processes acceptable to all parties are implemented. Cross ref. to 2.3.3, 6.4.1 and 6.4.2. Minor compliance
Guidance: 1. For any conflict or dispute over the land, the extent of the disputed area should be mapped out in a participatory way. 2. Where there is a conflict to the condition of land use as per land title, growers must show evidence that necessary action has been taken to resolve the conflict with the relevant authorities. 3. Ensure a mechanism to solve the dispute (Refer to C 6.3 and C6.4) 4. Evidence must be demonstrated that the dispute has been resolved. 5. All operations shall cease on land planted beyond the legal boundary.
Specific National Guidance for Scheme Smallholders Scheme Smallholders Scheme Managers should ensure that:
The members are able to show legal ownership of their land or land use rights. Is such title are yet to be issued the scheme management should show evidence of legal legitimacy of land allocated.
The management should facilitate in processing / procuring land ownership for those participants.
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Findings:
The right to use the land can be demonstrated and not disputed as the land developed by FELDA was authorized under Section 4 of the Land (Group Settlement Area, in short GSA) Act 1960. Scheme management had showed evidence of legal legitimacy of land allocated via plantation map and copies of land title that correspond to each other.
There were a total of 282 smallholders in FELDA Bukit Tongkat and 129 smallholders in FELDA Layang-Layang. The legal ownership of land title had been verified for FELDA Bukit Tongkat and FELDA Layang-Layang. Records of correspondence between FELDA Bukit Tongkat and Meridian Survey Consultant showed that the transfer of land title was in the midst of being processed. Also based on the content of the correspondence, the auditor found the issue needed more time to resolve especially where it involved the outstanding payment from 16 owners owing FELDA Bukit Tongkat. The last follow-up with Meridian Survey Consultant by FELDA Bukit Tongkat was on 21st December 2010.
There also had been follow-up by other CU of Belitong, for example, by FELDA Layang- Layang with Kluang Land Office Department via letter # Bil (8) 3340/3-7-2-2-2 dated 28th May 2012 requesting the land grant for Warta 185 and 387, which is, the initial process for change of name from state land to smallholders.
Documents pertaining to details of settlers had been received and updated at FELDA Bukit Tongkat. The assessors were informed that Lot numbers and size for agricultural use had not been approved by Jabatan Ukur dan Pemetaan Negara. At FP Inas Selatan Division B, evidence of legal ownership of the land including history of land tenure was not available. Thus, a Major NCR STK01 was raised against Indicator 2.2.1. FP Inas Selatan had responded by providing land title as its legal ownership, since title deed had been furnished thus, this NCR STK01 is closed. The hectare will be verified in the next audit.
Field tour made evidently showed that growers had complied with the terms of the land title as stated in the Register of Holding, First Schedule, Form A (Section 12 (1)).
Also during the site visit, all boundary stones had been seen visibly maintained at FP Inas Selatan (Div. B – Bukit Tongkat) and smallholders scheme. For example, the boundary stones along the perimeter adjacent to state land and other reserves were located with ease. Photograph 4 and 5 showed respectively the boundary stones at FELDA Bukit Tongkat and Kluang Forest Reserve, and FELDA Layang Layang and smallholders were well maintained.
There was also map that had been maintained in PA Map dated on 24th October 2012 at FELDA Bukit Tongkat and PW map dated 12th October 2004 at FELDA Layang-Layang.
Photograph 4: Boundary stone at FELDA Bukit Tongkat adjacent with Kluang Forest Reserve MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 22 of 121
Photograph 5: Boundary stone at FELDA Layang-Layang adjacent to smallholders. There had been no conflict over the land occupied by the settlers and FP Inas Selatan (Division B – Bukit Tongkat) and therefore there was no land claim from local communities on the FELDA smallholdings and the plantation assessed.
Criterion 2.3 Use of the land for oil palm does not diminish the legal rights, or customary rights, of other users, without their free, prior and informed consent.
Indicators: 2.3.1 Where lands are encumbered by customary rights, participatory mapping should be conducted to construct maps that show the extent of these rights. Major compliance
2.3.2 Map of appropriate scale showing extent of claims under dispute. Major compliance
2.3.3 Copies of negotiated agreements detailing process of consent (C2.2, 7.5 and 7.6). Minor compliance
Guidance: Where lands are encumbered by legal or customary rights, the grower must demonstrate that these rights are understood and are not being threatened or reduced. This criterion should be considered in conjunction with Criteria 6.4, 7.5 and 7.6.
Where customary rights areas are unclear these are best established through participatory mapping exercises involving affected and neighbouring communities.
This criterion allows for sales and negotiated agreements to compensate other users for lost benefits and/or relinquished rights. Negotiated agreements should be non-coercive and entered into voluntarily, carried out prior to new investments or operations and based on an open sharing of all relevant information in appropriate forms and languages, including assessments of impacts, proposed benefit sharing and legal arrangements.
Communities must be permitted to seek legal counsel if they so choose. Communities must be represented through institutions or representatives of their own choosing, operating transparently and in open communication with other community members.
Adequate time must be given for customary decision-making and iterative negotiations allowed for, where requested. Negotiated agreements should be binding on all parties and enforceable in the courts. Establishing certainty in land negotiations is of long-term benefit for all parties.
Specific National Guidance for Scheme Smallholders
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Scheme Smallholders Scheme managers can show that lands acquired for participants do not diminish legal or customary rights. Where other customary lands have been taken-over, there is documentary proof of transfer of rights (eg sale) or payment of agreed compensation.
Findings:
As mentioned earlier, through Land (General Settlement Area) Act 1960, the schemes’ smallholders and management had been given the legal right to all the land for cultivation through the title provided by the Johor State Department of Lands and Surveys. The smallholdings were established long time ago (started in 1964) and they did not diminish the legal rights, or customary rights, of other users in the vicinity at the time of planting.
Evidences of ownership (cross refer to section 2.2) were sighted available. It was also noted from records examined, as well as through interviews with smallholders, that there were no disputes on land rights in the CU.
PRINCIPLE 3: COMMITMENT TO LONG-TERM ECONOMIC AND FINANCIAL VIABILITY
Criterion 3.1 There is an implemented management plan that aims to achieve long-term economic and financial viability.
Indicators: 3.1.1 Annual budget with a minimum 2 years of projection Major compliance
Specific Guidance: Annual budget may include FFB yield/ha, OER, CPO yield/ha and cost of production that is not required to be publicly available.
3.1.2 Annual replanting programme projected for a minimum of 5 years with yearly review. Minor compliance
Guidance: Individual organization is to define its own management unit i.e. mill, estate or group as per definition on unit of certification explained in Item 4.2.3 and 4.2.4 in the RSPO Certification Systems document located at: http://www.rspo.org/RSPO_Certification_Systems.aspx
Specific National Guidance for Scheme Smallholders Scheme Smallholders Scheme Managers have a documented management plan (minimum 2 years) which is shared with them or their selected representatives.
Findings:
The budget for financial year 2012 was available with projections for 2013, 2014 and 2015. at every estate and at Ulu Belitong POM. The management plan had been shared with the settlers. There was separate budget for Administration and Plantation. The budgets included capital and operating expenditures with attention given to crop projection, FFB yield trends, mill extraction rates, cost of production, and cost per tonne of FFB or CPO. The cost of production was reviewed and compared against expenditure each year with projections in place for future years. The monitoring is carried out via monthly progress reports. It is available in computer “Sistem Kawalan Kos – Rumusan Kos/Hek & Kos/Tan”
Others included the provision of allocation for mill and estate operations and maintenance covering upkeep of Plant & Machineries, Housing, Buildings & Amenities, Office Equipment, MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 24 of 121
Land & Infrastructure, Agriculture Equipment & Vehicle. Budget for continuous improvement projects had been addressed, for examples, training, occupational safety and health, environmental upkeep (reduced, reuse and recycle) and for welfare and social activities for settlers. It was confirm all allocations provided are only utilized for the purpose it was allocated. This is monitored via program sheets and monthly progress reports.
For FASSB Belitong Nursery the budget for year 2012 and 2013 was available while projection for 2014, as understood from the Manager, was being prepared.
PRINCIPLE 4: USE OF APPROPRIATE BEST PRACTICES BY GROWERS AND MILLERS
Criterion 4.1 Operating procedures are appropriately documented and consistently implemented and monitored.
Indicators: 4.1.1 Documented Standard Operating Procedures (SOP) for estates and mills Major compliance
4.1.2 Records of monitoring and the actions taken are maintained and kept for a minimum of 12 months. Minor compliance
Specific National Guidance for Scheme Smallholders Scheme Smallholders Working practices should be consistent with documented procedures that are adopted. Such documents should be explained to the participants and made available for reference.
For smallholders, working practices will have to be consistent with documented procedures provided by customers or related government agencies and organizations.
Findings
It was evident at all FGVPM-BCU sites assessed that the use of appropriate best practices were implemented based on the documented manuals and procedures accordingly. The implemented procedural documents as well as records were well kept appropriately in designated files.
Manuals and procedures referred to were those developed at the group level that include the standard operation procedures and sustainability procedures covering both estates and mill operations. It covered all plantation activities, from seedling to the transportation of FFB to the mill, and mill operations such as FFB receipt and grading, machineries and equipment start-up, process operations and monitoring, shutdown and maintenance activities.
At the sites assessed, they (FELDA Plantations, FELDA Technoplant and FELDA Smallholder Scheme) used the following generic document. Smallholders who tend their own farm were informed of these documents and were guided by the Scheme Managers on their use and the need to conform.
1. FELDA Operations Manual for Sustainable Oil Palm Plantations (Manual Operasi Ladang Sawit Lestari) updated on October 2007; 2. Sustainable Manual 1A (Manual Lestari 1A) dated March 2012; 3. Occupational Safety, Health and Environmental Manual and SOP (Manual Keselamatan, Kesihatan Pekerjaan dan Alam Sekitar dan Tataccara Kerja Selamat) updated on 2009; 4. Prosedur Pengenalpastian Kawasan Curam & Rizab Sungai (Rujuk Manual Lestari 1A: L2)”. MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 25 of 121
On the other hand, the Ulu Belitong Palm Oil Mill uses its applicable generic document, such as:
1. Quality Procedure Manual; 2. EMS Operation Manual; 3. Laboratory Operation Manual; 4. Quality Occupational Safety, Health and Environmental Manual (Manual Kualiti, Kesihatan, Keselamatan Pekerjaan and Alam Sekitar); 5. SOP - Safety, Health and Environmental Management Manual (Manual Tatacara Kerja Selamat – Keselamatan, Kesihatan dan Alam Sekitar); and 6. Mill Operations Manual.
The manual and procedures were available to all levels of Executives in the plantations and mill.
Photograph 6, 7 and 8 (L-R) : Among manual used by scheme/plantation - FELDA Operations Manual for Sustainable Oil Palm Plantation, Sustainable Manual (Compliance to RSPO P&C) and Safety, Health and Environmental Manual
Photograph 9, 10 and 11 (L-R) : Among manual used by Ulu Belitong POM – QMS Procedure Manual, EMS Operation Manual and Laboratory Operation Manual
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Photograph 12, 13 and 14 (L-R) : FPISB Occupational Safety, Health and Environment Manual, SOP - Safety, Health and Environmental Management Manual and Mill Operations Manual Implementation of the manuals and SOP was verified. Through random interviews held with the staff and workers, the outcome revealed that they generally understood the requirements of these documents and their level of understanding on the contents of the manual and SOP was found acceptable. One of the many examples was in field interviews in which ripeness standard and chemicals usage had been properly understood by the field workers. The checking on crop quality was done by the Quality Supervisor.
At the estate, R&D station and schemes visited monthly progress monitoring for all activities were made available. Their records of monitoring for field related activities were captured in the ‘Programme Sheets’ for activities such as for manuring and spraying programmes, At Ladang Inas Selatan Division B – Bukit Tongkat, a Major NCR STK02 assigned to Indicator 4.1.1 was raised against the following non-conformances observed:
1. circle spraying in the replants was not carried as programmed (delayed) resulting in palm being covered with over grown weeds and Mucuna (Photograph 15). 2. young palms were over pruned (Photograph 16) without leaving the required number of fronds below the lowest bunch as per SOP. 3. ripe oil palm fruit bunches were not harvested (Photograph 17). The assessors also observed un-harvested rotten bunches on palms.
Photograph 15: Palms covered by Mucuna Photograph 16 : Palm over pruned Bracteata
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Photograph 17 : Oil Palm bunches not harvested Photograph 18: Bagging Oil Palm Fruit
The response to this NCR STK02 had been received by the assessor together with photographs of training. It was found acceptable as training was carried out on Good Agricultural Practice inclusive of spraying, pruning and harvesting on 11th January 2013. Program for circle spraying had also been provided. The status of this NCR is considered closed.
The FASSB Nursery used the Management and Good Oil Palm Practice for Nursery Manual (Manual Pengurusan Dan Amalan Baik Tapak Semaian Sawit) as its reference for nursery management.
The FASSB Nursery always ensured quality of the seedlings by following strict procedures from bagging the oil palm bunches on mother palms (Photograph 18) to raising the seedlings (Photograph 19) in the nursery. Strict culling of abnormal seedlings was seen done in the nursery.
Photograph 19 : Oil Palm Seedlings at Photograph 20: Work Program FASSB Nursery Monitoring Record for 12 months period
Irrespective of the land whether it belongs to settlers or those land managed by FTPSB or FPSB, the requirement to use the three established generic plantation manuals mentioned above had been applied by the Scheme Management. The Scheme Management had explained the need for the settlers to comply and the benefits to be gained in adopting the FELDA Good Agricultural Practices. This document had been made available for the MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 28 of 121
participants to refer. Interview with settlers tending their own land revealed that they had occasionally consulted and were given helpful and relevant advice by their Scheme Management on Good Agricultural Practice.
Herbicides spraying, slashing, FFB harvesting and frond arrangements were the field activities performed by these self-farming smallholders whereas manuring were at their choice, that is, either undertaken by themselves or through FELDA Technoplant. Each Block Leader (see above at Section 1.3.2. Human Capital at FELDA) gathered information from members on agrochemicals used and those FFB harvested. The information was then reported, recorded and kept at their respective FELDA scheme office.
Generally, monitoring reports and actions taken at estates and mill were well kept and maintained for a minimum of 12 months while others as per legal requirement, some up to thirty years.
Monthly progress monitoring for all activities were made available during the visit. For example, this report had also been displayed on the office’s notice boards.(see Photograph 20). Records of monitoring for field related activities were also captured in the ‘Programme Sheets’ such as for manuring and spraying programmes, Other records maintained include agrochemicals used, rat census/treatment, application for and issuance of personnel protective equipment (PPE) that were evident in the cost books, store requisition and issue sheets and related files.
At the mill, records of mill operations and maintenance including monitoring such as PPE issuance, Permit to Work issued, QOSHE Committee meeting, Chemical Health Risk Assessment (CHRA), Accident Investigation, Non-conformity, Corrective Action and Preventive Action, Health Surveillance, Audiometric test, DOSH Log book, Stack environmental air monitoring (based on the mill’s DOE license and compliance schedule), equipment history and others, were maintained as per QOSHE Manual, specifically to the requirement of element Control of records to ensure its implementation and practicality.
Criterion 4.2 Practices maintain soil fertility at, or where possible improve soil fertility to, a level that ensures optimal and sustained yield.
MY-NIWG recommends that the indicators in criterion 4.2 and 4.3 are linked
4.2.1 Monitoring Monitoring of fertilizer inputs through annual fertilizer recommendations. Minor compliance
4.2.2 Evidence of periodic tissue and soil sampling to monitor changes in nutrient status. Minor compliance
4.2.3 Monitor the area on which EFB, POME and zero-burn replanting is applied. Minor compliance
Guidance: Long-term fertility depends on maintaining the structure, organic matter content, nutrient status and microbiological health of the soil. Managers should ensure that best agricultural practice is followed. Nutrient efficiency must take account of the age of plantations and soil conditions.
Specific National Guidance for Scheme Smallholders Scheme Smallholders Scheme Managers are able to demonstrate that the participants have an understanding of the techniques required to maintain soil fertility and that they are being implemented.
Evidence of implementation can be in the form of:
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2. Records of EFB or POME application (if practiced)
Findings:
The company practices the maintenance of long-term soil fertility by annual application of fertilizers based on periodic foliar and soil analysis, biomass retention (pruned fronds left to decompose in the fields) and EFB application. Soil map of scheme assessed was presented to the assessment team.
An annual agronomic foliar analysis undertaken by FELDA Agricultural Services Sdn Bhd (FASSB) had been conducted in all the plantations visited and the results formed the basis to ascertain soil fertility and recommendation for the application of fertilizer. All fertilizer regimes were relatively well planned; implemented and recorded. The assessor had sighted records on the movement of fertilizer and confirmed that they had been kept current, for example, at FASSB Ulu Belitong, fertilizer was applied to palms in the pre nursery and main nursery. At FP Inas Selatan, Division B – Bukit Tongkat the sampling was taken on 10/4/2012 and fertilizer application for 2012 was completed in June.
Fertilizer application program for 2013 was also sighted at the following sites visited:
1. FP Inas Selatan and PKT1 of Bukit Tongkat was based on soil and foliar analysis; 2. PKT 2 and 3 of Bukit Tongkat fertilizer application was based on the Manual Operasi Ladang Sawit Lestari; 3. FASSB nursery fertilizer application was as per their Manual Pengurusan Dan Amalan Baik Tapak Semaian Sawit.
Photograph 21 and 22 (L-R) : Traces of burnt chipped palm spotted at FELDA Layang Layang.
The Scheme Manager at Bukit Tongkat was able to demonstrate that its participants have an understanding of the techniques required to maintain soil fertility and that they are being implemented.
Besides chemical fertilizers, empty fruit bunches (EFBs) had also been applied in the field. Records viewed showed that in 2012, at FELDA Bukit Tongkat EFB had been distributed and used as organic fertilizer at the rate of 40 tonnes / hectare over 90 hectares area and at FP Inas Selatan at the same rate over 50 hectares.
At FELDA Layang Layang evidence of open burning was sighted by assessor in the replant (Photograph 21 and 22) areas. It was believed that the owner (settler) of the block had set MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 30 of 121
fire to the chipped palm material. A Minor NCR HMM01 was issued against Indicator 4.2.3. The Layang-Layang management had responded to this NCR by developing the management plan and action plan on open burning as follows:
i) Circulation of zero burning enforcement within plantation amongst all settlers/land owners; ii) Establishment of open burning monitoring team; and iii) Meeting with settlers/land owners to discuss findings of periodical monitoring report.
The implementation record of periodical monitoring on open burning had been submitted as evident of the preventive action taken and this NCR HMM01 is now considered closed.
Criterion 4.3 Practices minimise and control erosion and degradation of soils.
Indicators: 4.3.1 Documented evidence of practices minimizing soil erosion and degradation (including maps). Minor compliance
Specific Guidance: Replanting on sloping land must be in compliance with MSGAP Part 2: OP (4.4.2.2)
For Sarawak, steep slopes are considered high risk erosion areas and cannot undergo replanting unless specified in the EIA report and approved by the Natural Resources and Environment Board (NREB).
For Sabah, slopes 25 degree and steeper are considered high risk erosion areas and cannot undergo replanting unless specified in the EIA report [Environment Protection (Prescribed Activities)(Environment Impact Assessment) Order 2005] and approved by the Environmental Protection Department (EPD).
Slope determination methodology (slope analysis) should be based on average slope using topographic maps or topographical surveys.
4.3.2 Avoid or minimize bare or exposed soil within estates. Minor compliance
Specific Guidance: Appropriate conservation practices should be adopted.
4.3.3 Presence of road maintenance programme. Minor compliance
4.3.4 Subsidence of peat soils should be minimised through an effective and documented water management programme. Minor compliance
Specific Guidance: Maintaining water table at a mean of 60 cm (within a range of 50-75cm) below ground surface through a network of weirs, sandbags, etc. in fields and watergates at the discharge points of main drains.
4.3.5 Best management practices should be in place for other fragile and problem soils (e.g. sandy, low organic matter and acid sulphate soils). Minor compliance
Guidance: Techniques that minimise soil erosion are well-known and should be adopted, wherever appropriate. These may include practices such as:
1. Expediting establishment of ground cover upon completion of land preparation for new replant. 2. Maximizing palm biomass retention/ recycling. 3. Maintaining good non-competitive ground covers in mature areas. 4. Encouraging the establishment/regeneration of non-competitive vegetation to avoid bare ground. 5. Construction of conservation terraces for slopes >15o 6. Advocating proper frond heap stacking such as contour/L-shaped stacking. for straight line planting and MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 31 of 121
stacking along the terrace edges for terrace planting. 7. Appropriate road design and regular maintenance. 8. Diversion of water runoff from the field roads into terraces or silt pits. 9. Construction of stop bunds to retain water within the terrace. 10. Maintaining and restoring riparian areas in order to minimize erosion of stream and river banks.
Specific National Guidance for Scheme Smallholders Scheme Smallholders Scheme managers should be able to demonstrate that their participants have an understanding of the techniques adopted to manage their soils and that they are being implemented.
Findings:
During field visit it was observed that FGVPM-BCU had yet to improve consistency of application of practices to minimize and control erosion and degradation of soils across all of its operating units. There was sparse documented evidence of practices minimizing soil erosion and degradation other than protection by natural vegetation.
Well-known techniques, such as avoidance or minimize bare or exposed soil within estates, stacking of cut fronds against the gradient of slope (Photograph 23) and appropriate road design and regular maintenance, were not adopted.
Many roads were badly eroded. Bridge crossings were not maintained. (See Photographs 24 and 25) It made maneuvering of vehicles difficult. Furthermore, road side drains and silt traps were lacking to address surface run off waters.
Although lacking, road side drains leading to field and silt pit are still used to temporarily contain washed out gravel soil. Ground cover crop are also established.
Photograph 23: Cut fronds stacked along Photograph 24: Poorly maintained road at slope FASSB Ulu Belitong R&D Plantation (not road at nursery)
A Minor NCR STK03 was therefore issued against Indicator 4.3.1 for
1. Stacking of fronds along the slope and not against the slope, as stated in the Manual Operasi Ladang Sawit Lestari, in Ladang Inas Selatan Div. B (Photograph 23)
2. Poor road and bridge maintenance – Many roads at FP Inas Selatan Div B, FASSB Ulu Belitong Plantation and some in Bukit Tongkat were badly eroded. (Photograph 24). Bridge beams were covered with sand/earth and cover crop, sink hole at plinth MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 32 of 121
due to eroded soils and a big gap / opening between left and right set of beams. There was no railing guards installed at the bridge sidings to prevent one from falling into the stream when crossing. (Photograph 25).
Photograph 25: Unmaintained bridge Photograph 26: No slope protection at crossing at FP Inas Selatan (Div. B – Bukit eroded river bank Tongkat)
The responses to NCR STK03 had been submitted to the assessor. It was found acceptable and considered closed. It included Photographs of training on Good Agricultural Practice inclusive of Frond Stacking and its attendance list as well as program for road maintenance to be carried out in 2013 had been sighted.
In addition to the above, it was noted that the good practice for managing sandy soils in CU (FP Inas Selatan Div. B – Bukit Tongkat) plantation area could be further improved by applying slope protection at river banks where serious erosion problems had occurred (Photograph 26). Hence, this issue had been raised as OFI.
On the other hand, good practices for replanting oil palm had been employed, for example, at FELDA Layang-Layang PKT 1:
1. terracing had been constructed on slopes more than 6°. The terraces built were as per SOP, that is, 3.65 meters wide with stop bunds (Photograph 27). 2. inter cropping with bananas, although a small area, was seen in the terraces (Photograph 28). 3. roads were built cutting across terraces, meaning, it had taken into considerations planning for ease of future tasks, for example, to facilitate planting of palms, fertilizer application and crop evacuation. (Photograph 29).
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Photograph 27 : Terrace in FELDA Layang Photograph 28 : Banana seedlings in Layang unterraced area
Photograph 29 : Road cutting across terraces
Scheme participants had been informed on the good techniques to manage their soils and that they had been seen implementing and emulating those practices as done by their counterpart managed by FTPSB.
In the same replant 51, 000 Mucuna Bracteata seedlings had been planted at 300 seedlings per hectare and the balance of required seedlings were in the nursery. The Mucuna was planted to encourage the establishment of non-competitive vegetation to avoid bare ground. It too functioned as blanket covering the chipped palms while simultaneously prevent soil erosion.
There was no peat soil and other fragile soil area seen in the FGVPM-BCU and this was confirmed by the Schemes and Plantation Managers involved. Therefore, Indicators 4.3.4 and 4.3.5 are not applicable.
Criterion 4.4 Practices maintain the quality and availability of surface and ground water.
Indicators: 4.4.1 Protection of water courses and wetlands, including maintaining and restoring appropriate riparian buffer zones at or before replanting along all natural waterways within the estate. Major compliance MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 34 of 121
Specific Guidance: Riparian buffer zones: Reference to be made to relevant national regulations or guidelines from state authorities e.g. Department of Irrigation and Drainage (DID), whichever is more stringent.
4.4.2 No construction of bunds/weirs/dams across the main rivers or waterways passing through an estate. Major compliance
4.4.3 Outgoing water into main natural waterways should be monitored at a frequency that reflects the estates and mills current activities which may have negative impacts (Cross reference to C 5.1 and 8.1). Major compliance
4.4.4 Monitoring rainfall data for proper water management. Minor compliance
4.4.5 Monitoring of water usage in mills (tonnage water use/tonne FFB processed). Minor compliance
Specific Guidance: Data trended where possible over 3 years to look into resource utilization
4.4.6 Water drainage into protected areas is avoided wherever possible. Appropriate mitigating measures will be implemented following consultation with relevant stakeholders. Minor compliance
4.4.7 Evidence of water management plans. Minor compliance
Specific National Guidance for Scheme Smallholders Scheme Smallholder Scheme Managers should provide appropriate training for their participants on the importance of maintaining the quality and availability of surface and ground water.
Findings:
In the field assessed, there were proof of implementation on the practices to maintain the quality and availability of surface and ground waters. Scheme participants had demonstrated their understanding on the importance of maintaining the quality and availability of surface and ground water.
Where natural waterways are present, FGVPM-BCU continued to protect the water courses and wetlands, including maintaining and restoring appropriate riparian buffer zones at or before replanting along these natural waterways in accordance to Department of Irrigation and Drainage, Malaysia requirements. This practice was evident during the site review at FELDA Bukit Tongkat. A 10m buffer zone boundary had been identified, demarcated and erected with signboard (see Photograph 30 below).
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Photograph30: Identified and maintained buffer zone at FELDA Bukit Tongkat along Sg Penggeli
There were no traces of pesticide spraying or encroachment sighted in the buffer zone. There was only sand sediment at the river bank due to recent heavy rain. This practice was in accordance with the HCV4 Management Plan. However, due to heavy rain the buffer zone in FP Inas Selatan Div B could not be verified.
There was no construction of bunds/weirs/dams seen across the main rivers or waterways passing through any of the visited estates. There was no river at FELDA Layang Layang.
Photograph 31: Outlet sampling point at Sg. Penggeli inside Felda Inas Selatan Div. B
Water monitoring had been conducted on each inlet and outlet of river stream at FP Inas Selatan, Division B – Bukit Tongkat by FASSB. The water quality index (WQI) was monitored at Sg. Penggeli. The results of the water analysis showed that the tested parameters were within the acceptable level quality index of class III category, Interim National Water Quality Standard 2006 (INWQS) of the DOE.
The Ulu Belitong Palm Oil Mill and estates had identified the source of outgoing water from the mill and estates, which led into natural waterways. The mill has conducted monthly
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monitoring while annually by estate. Monitoring result were sighted by the audit team and meeting the statutory requirements.
The sources identified were run-offs and discharges from the effluent treatment plant (ETP) and monsoon drain from the mill. Mill effluent were treated by anaerobic digestion in ponds and bio-polishing tank and analyzed prior to discharge into watercourse to comply with EQA (Prescribed Premises) (Crude Palm Oil) Regulations 1977. Parameters such as pH, BOD, COD, Total Solids, Suspended Solid, Oil and Grease, Ammoniacal Nitrogen and Total Nitrogen were analysed, The monitoring of these discharges and the water quality of down streams was conducted weekly. Results of the analysis showed that Ulu Belitong POM had generally met the requirements as stated in the DOE Permit “Kebenaran Bertulis” except there were two months in 2012 where polluting activities were being compounded by the authority for non-compliance (discharged POME exceeded the BOD limit). An OFI was raised on this issue for records not found kept in RSPO file.
Daily rainfall data were also recorded by the mill in a monthly report. Likewise, all estates had been monitoring the rainfall data and in Bukit Tongkat records were available from 2006.
At the estates, the rainfall data was used in the water management plan that ranged from construction of drains, silt pits and water diverts to prevent flooding in the field. Records of works carried out were maintained. Additionally, the rainfall data was used as a guide when to apply fertilizers, that is, during non-rainy days month.
At the mill, the assessor sighted monthly monitoring and reporting of water consumption against the FFB processed. Their records include daily water usage monitoring at boiler and oil room. Current water usage stood at 1.17 kl/mt FFB processed.
There was good practice of water management plan which include raw water treatment for operational and potable use by Ulu Belitong POM. The practice could be further improved by specifically displaying the water treatment chemical dosing rate on-site. This was raised as an OFI.
At the land scheme level, the Scheme Managers had provided appropriate training for their smallholders on the importance of maintaining the quality and availability of surface and ground water. A water management plan was being established with improvement being made to include all sources of water.
Criterion 4.5 Pests, diseases, weeds and invasive introduced species are effectively managed using appropriate Integrated Pest Management (IPM) techniques.
Indicators: 4.5.1 Documented IPM system. Minor compliance
4.5.2 Monitoring extent of IPM implementation for major pests. Minor compliance
Specific Guidance: Major pests include leaf eating caterpillars, rhinoceros beetle and rats.
4.5.3 Recording areas where pesticides have been used. Minor compliance
4.5.4 Monitoring of pesticide usage units per hectare or per ton crop e.g. total quantity of active ingredient (a.i.) used/ tonne of oil. Minor compliance
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Guidance: Growers should apply recognised IPM techniques, incorporating cultural, biological, mechanical or physical methods to minimise use of chemicals. Native species should be used in biological control wherever possible.
Specific National Guidance for Scheme Smallholders Scheme Managers Scheme Managers should provide training for their organized smallholders in IPM techniques and provide appropriate assistance on agrochemical application.
Findings:
The assessed FELDA estates had implemented the Integrated Pest Management (IPM) in conformance to their Agriculture Manual & Standard Operating Procedure for Oil Palm. Among the recognized techniques applied were:
1. Biological method such as (a) growing beneficial plants, Tunera subulata. (Photograph 32) along road sides and (b) use of Pheromone traps (Photograph 33) to address Rhinoceros Beetle attack was used up to about 10 months from felling. 2. Mechanical means like fixing wire mesh around the base of young palms to prevent damage by wild pigs (Photograph 34) and establishing barn owl boxes. 3. Chemical application, example, rat baiting and in replants where the use of Pheromone traps was discontinued, it was replaced by pesticide cypermethrin when its level is above 5%.
However, the assessor observed extensive damage to young palms caused by Oryctes rhinoceros beetles at both Ladang Inas Selatan Div. B and in Bukit Tongkat (Photograph 35) indicating lack of control. In Bukit Tongkat the assessor collected 117 rhinoceros beetles (Photograph 36) just from 2 pheromone traps indicating a high population of beetles. A Minor NCR STK04 was issued against Indicator 4.5.2
Photograph 32: Planting of beneficial plant -Tunera Photograph 33: Pheromone Trap
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Photograph 34 : Wire mesh fitted around Photograph 35: Rhinoceros Beetle damaged base of palm palm
This NCR STK04 is now considered closed as the operating unit had implemented and continue to carry out collection and census of rhinoceros beetles as well as installing traps per the SOP as contained in the Manual Sawit Lestari. Census figure for January and February 2013 and program to install traps had been provided to the assessor.
Photograph 36 : Rhinoceros Beetles taken out of Pheromone trap for counting
Field staff and storekeepers had been keeping records on the location, quantity and type of pesticides that had been applied in their Cost Books. The estates too had been maintaining the records of agrochemicals being used based on per hectare and per metric ton of CPO units
Through records sighting, the Scheme Managers had provided training for their smallholders and workers in IPM techniques and the appropriate agrochemical application. For example, rat baits campaign and agrochemicals handling and spraying demonstration training had been carried out.
Criterion 4.6 Agrochemicals are used in a way that does not endanger health or the environment. There is no prophylactic use of pesticides, except in specific situations identified in national Best Practice guidelines. Where agrochemicals are used that are categorised as World Health Organisation Type 1A or 1B, or are listed by the Stockholm or Rotterdam Conventions, growers are actively seeking to identify alternatives, and this is documented.
Indicators: 4.6.1 Written justification in Standard Operating Procedures (SOP) of all agrochemicals use. MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 39 of 121
Major compliance
4.6.2 Pesticides selected for use are those officially registered under the Pesticides Act 1974 (Act 149) and the relevant provision (Section 53A); and in accordance with USECHH Regulations (2000). Major compliance
Specific Guidance: Reference shall also be made to CHRA (Chemical Health Risk Assessment)
4.6.3 Pesticides shall be stored in accordance to the Occupational Safety and Health Act 1994 (Act 514) and Regulations and Orders and Pesticides Act 1974 (Act 149) and Regulations. Major compliance
Specific guidance: Unless participating in established recycling programmes or with expressed permission from the authorities, triple rinsed containers shall be pierced to prevent misuse. Disposal or destruction of containers shall be in accordance with the Pesticide Act 1974 (Act 149) and Environmental Quality Act 1974 (Scheduled Wastes) Regulations 2005.
4.6.4 All information regarding the chemicals and its usage, hazards, trade and generic names must be available in language understood by workers or explained carefully to them by a plantation management official at operating unit level. Major compliance
4.6.5 Annual medical surveillance as per CHRA for plantation pesticide operators. Major compliance
4.6.6 No work with pesticides for confirmed pregnant and breast-feeding women. Major compliance
4.6.7 Documentary evidence that use of chemicals categorised as World Health Organisation Type 1A or 1B, or listed by the Stockholm or Rotterdam Conventions and paraquat, is reduced and/or eliminated. Adoption of suitable economic alternative to paraquat as suggested by the EB pending outcome of the RSPO study on IWM. Minor compliance
4.6.8 Documented justification of any aerial application of agrochemicals. No aerial spraying unless approved by relevant authorities. Major compliance
4.6.9 Evidence of chemical residues in CPO testing, as requested and conducted by the buyers. Minor compliance
4.6.10 Records of pesticide use (including active ingredients used, area treated, amount applied per ha and number of applications) are maintained for either a minimum of 5 years or starting November 2007. Minor compliance
Specific National Guidance for Scheme and Independent Smallholders
Scheme Smallholders Scheme Managers should provide regular training to their organized smallholders on agrochemical use. The training should include but not necessary limited to
1. Type of chemicals allowed to be used and precautions attached to their use 2. Methods of application, safety usage and appropriate PPE to be used. 3. Storage of chemicals and safe disposal of the empty containers. 4. No chemical handling and spraying by pregnant woman 5. Chemicals should only be applied following the product label.
The scheme managers should maintain necessary records on agrochemicals provided to their participants and to monitor their use so as proper measures are adhered to minimize risk and impacts.
Under consideration for 4.6.7 Evidence of registered and permitted agrochemicals use as regulated by the Minister of Agriculture
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Findings:
At FGVPM-BCU agrochemicals were used in a way that does not endanger the health of employees or the environment. There was no prophylactic use of the agrochemicals. All estates had provided written justifications for all agrochemicals it was using as found in the Agriculture Manual and SOP. Safety and health precautions as recommended in the respective chemical Material Safety Data Sheet (MSDS) had been referred to.
All agrochemicals used were based on the ‘need-to-do basis’ to enhance field operations. Pesticides selected for use and storage were in accordance with Pesticides Act 1974 (Act 149) and the relevant provision (Section 53A), Classification, Packaging and Labelling of Hazardous Chemical Regulation 1997 and USECHH Regulations 2000, of the Occupational Safety & Health Act 1994.
Records of the purchase, storage and use of agrochemicals had been properly documented in the Stock Statement Return.
A concrete chemical store well ventilated with exhaust and inlet fans (Photograph 37) and with locked door had been constructed at Bukit Tongkat. All pesticides were neatly stored (Photograph 38). Paraquat has been stored inside an additional locked store in the chemical store (Photograph 39). Only authorized personnel (storekeeper) was allowed to enter the chemical store and issue out the chemicals. Respective chemical MSDS was made available and kept in the store. The storekeeper and pesticides sprayers interviewed had shown understanding of the hazards involved and the required control measures.
Photograph 37: Inlet Fan Photograph 38: Well stored chemical
Photograph 39 : Additional locked store for Paraquat in the locked chemical store MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 41 of 121
The Agricultural Manual had included all information regarding the chemicals and its storage, usage, hazards, trade and generic names in Malay and/or English language.
The use of these agrochemicals had also made references to Chemical Health Risk Assessment (CHRA) USECHH Regulations (2000) of the OSHA 1994 Act. Personnel who handled and were exposed to these agrochemicals had been assessed of the risks created by the chemical to the health of the employee. At the estates assessed they had a schedule for medical surveillance of its pesticide operators (sprayers). The medical surveillance was conducted for all employees at FP Inas Selatan Div. B.
The operators involved were all male workers. It was confirmed there were no women sprayers in the FELDA estates.
Except for Paraquat no other Class I & II chemicals had been used. Its use was controlled and selective. Indeed to demonstrate its commitment, FELDA had established a policy on the use of Paraquat which specifically state it to be used only in immature areas and if there was a requirement for use in mature areas (e.g. for rehabilitation or for use in wet months) then special request for approval had to be made to higher management. This policy had also been made known to smallholders.
Besides FELDA workers, smallholders too had been trained by Safety Officer in the safe handling of agrochemicals. The training included the type of chemicals allowed to be used, precautions attached to their use, dosage rate, mixing, methods of application, appropriate PPE required, storage of chemicals, triple rinsing of used container and safe disposal of the empty containers. The training was recorded.
During field visit, the workers who work with pesticide were asked to show their palms, nail/fingers, arms and back of neck for any rashes. They were also interviewed if they suffered from breathing difficulties and skin irritation. Similar questions were also asked during CHRA and during medical surveillance.
Each Sprayers’ Mandore is provided with a set of First Aid Kit. It is brought along when work in the field irrespective whether paraquat or other pesticides is used.
There are initiatives to reduce usage of toxic agrochemicals where program of intensify loose fruit collection, manual weeding and chisel those VOP that have grown.
It was observed that there was no aerial spraying being conducted in all the estates.and this was confirmed by the Scheme and Plantation Managers.
There was no request by buyers of chemical residues testing in CPO and thus, this indicator 4.6.9 is not applicable.
Records with regards to use of all chemicals i.e. amount used and area applied are kept in conjunction with sprayers name and hours worked in daily cost book. However, records of pesticide use (including active ingredients used, area treated, amount applied per ha and number of applications) were not maintained at FP Inas Selatan Div B and at FELDA Bukit Tongkat–. A Minor NCR STK05 was thus issued against Indicator 4.6.10.
This NCR STK05 has now been considered closed as the figures required had been complied and the calculation of Active Ingredient/Ha had been correctly computed.
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Criterion 4.7 An occupational health and safety plan is documented, effectively communicated and implemented
Indicator 4.7.1 : Evidence of documented Occupational Safety Health (OSH) plan which is in compliance with OSH Act 1994 and Factory and Machinery Act 1967(Act139) Major compliance
The safety and health (OSH) plan shall cover the following:
a. A safety and health policy, which is communicated and implemented. b. All operations have been risk assessed and documented. c. An awareness and training programme which includes the following specifics for pesticides: i. To ensure all workers involved have been adequately trained in a safe working practices ( See also C4.8) ii. All precautions attached to products should be properly observed and applied to the workers. d. The appropriate personal protective equipment (PPE) are used for each risk assessed operation. i. Companies to provide the appropriate PPE at the place of work to cover all potentially hazardous operations such as pesticide application, land preparation, harvesting and if used, burning. e. The responsible person (s) should be identified. f. There are records of regular meetings between the responsible person(s) and workers where concerns of workers about health and safety are discussed. g. Accident and emergency procedures should exist and instructions should be clearly understood by all workers. h. Workers trained in First Aid should be present in both field and mill operations. i. First Aid equipment should be available at worksites.
Indicator 4.7.2 : Records should be kept of all accidents and periodically reviewed at quarterly intervals. Major compliance
Specific Guidance : Record of safety performance is monitored through Lost Time Accident (LTA) rate.
Indicator 4.7.3 : Workers should be covered by accident insurance. Major compliance
Specific National Guidance for Scheme Smallholders Scheme Smallholders Scheme and Group Managers should implement a health and safety plan for their organized smallholders that include agrochemical use and fire drills.
The management should keep records of all accident and review them periodically. If records are not easily available, the management has to show evidence of measures adopted to seek such records.
Findings:
The Belitong CU has adopted the FGVPM’s occupational safety and health policy. (See Photograph 40). Correspondingly, FPISB, FP and FTPSB had published its subsidiary OSH policy. See Photograph 41 for FPISB QOSHE Policy. All these policies were in line with the Group OSH policy. The policy had been communicated to all employees through briefings and it was also displayed on the schemes’ office notice boards.
A safety management plan for each operating unit of FGVPM-BCU had been established. The OSH management plan had addressed, among others, issues related to hazards and risks, compliance with regulations such as Occupational Safety and Health Policy, Occupational Safety and Health (Safety Committee) Regulation, Occupational Safety and Health (Use of Standard Exposure of Chemicals Hazardous to Health) Regulation, Occupational Safety and Health (Notification of Accident, Dangerous Occurrence, Occupational Poisoning and Occupational Disease) Regulation, Factory & Machinery (Noise
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Exposure) Regulations, response to Occupational Safety & Health and Environmental emergencies, treatment of illness/injury during the job,
Although CHRA as required under USECHH Regulations (2000) had been performed by the mill, a lapse was seen at FELDA Layang-Layang where contractor workers handling chemicals had not undergone Chemical Health Risk Assessment. A Major NCR MM1 was raised. (Cross reference Indicator 2.1.1). This NCR as reported earlier had been closed.
The hazard identification, risk assessment and risk control (HIRARC) carried out covered the activities in both the estates and mill. They had been documented into a HIRARC Register. Among the activities identified in the plantation were FFB evacuation and transportation to mill, chemical mixing and spraying, chemical storage, harvesting and potential occurrence of fire. As for the mill, the identified activities had include laboratory work and taking of samples, boiler operations, FFB sterilization, kernel extraction, oil extraction and clarification, machine maintenance, noise exposure and working in confined space. .Appropriate risk control measures had been made available to control the risks identified.
The FPISB Belitong POM had done a Noise Mapping Survey and all Mill Personnel who are exposed to high noise work area had been risk assessed. Baseline audiogram had been conducted and medical records kept for life of employee employment plus 5 years. Test or retest are in accordance to FMA (Noise Exposure) Regulations 1989. Some employees are retest annually and some every two years in accordance to planned schedule. One with Hearing Impairment and three with Standard Threshold Shift. PPE given for working in high noise areas include Earplug and Ear Muffs. All PPE selected for purchase and use are approved to DOSH requirements. Training and refresher training on the use, care and maintenance of PPE including Ear Protection Devices had been carried out annually. PPE training besides being given by trained FGV staff, it is also jointly held with PPE manufacturer/supplier and occasionally with External Safety Training (e.g. NIOSH). The post training evaluation have be carried out for PPE training for Ear Protection and evaluation record was maintained.
It also observed in the mill production area there are PPE posters including from NIOSH (Hearing Loss) displayed, and FMA (Noise Regulation) 1994 requirements and training slides handout were part of the PPE program used to heighten awareness. During the audit, first observation to whether workers had adhere to signage requirement to don hearing protection device and then interviews why they were required to wear them and the consequences of departure to specified procedures were conducted during the audit/inspection. As to date, no complaints were raised by those who are exposed to high noise level. Monitoring on the PPE compliance conducted via an audit per se but monthly PPE inspection including Hearing Protection Equipment was carried out by OSH Committee members.
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Photograph 40: FGVPM Photograph 41: (L-R) FPISB QOSHE Policy in English and OSH Policy in Malay Malay Language Language
Although OSH Plan and HIRADC register had been established, OFIs against them had been assigned as follows:
OSH yearly plan for estate can be further improved by conducting the legal compliance evaluation program and At all operating units including the mill confusion in filling hazard and risk column exist and revision to it is in order.
Evidence of implementation on the control measures was observed during the field and mill assessments. For example, at the mill, machines which have moving parts had been well guarded, SOP for critical equipment operations (e.g. boiler, sterilizer, etc) clearly summarized and displayed, Permit To Work enforced, and fire fighting facilities installed at strategic locations. In the estate, it was noted that eye wash and shower room were made available near chemical mixing area. Nonetheless, an OFI had been assigned to the mill as some oxy-acetylene cylinders are fitted with flashback arrestors and some not,
Employees of both mill and estates visited were provided with and were seen to be using the appropriate PPE. The FGVPM-BCU had made available free of charge appropriate and adequate PPE to its workers. The PPE that had been commonly given were safety boots, helmets, goggles, ear plugs, aprons, nitrile rubber and cotton gloves.
Sprayers and workers responsible for fertilizers application were observed to have worn suitable PPE and had adequate tools to perform their works (see Photograph 42). Fruit harvesters had been provided with hard hats. Records on PPE distribution to workers had been maintained and sighted.
During mill assessment, it was observed that signages (to remind workers to wear appropriate PPE) were posted at appropriate places. (See Photograph 43). Workers interviewed understood the reasons and importance why they were required to wear the PPE.
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Photograph 42: PPE used by Photograph 43: PPE signage posted at Ulu Belitong POM agrochemical sprayer Engine Room
The awareness and training program specific to agrochemicals had been held for workers and smallholders. This related to safe chemical handling and spraying, use and maintenance of PPE, its MSDS in particular precautions attached to the pesticides and the need to observe requirements of CHRA, including undergoing health surveillance.
Persons-in-charge of health and safety were identified as evidenced in appointment letter of OSH Committee at the mill and at FTPSB for Ulu Belitong and FELDA Bukit Tongkat. Ultimate responsibility for safety, health and environment rested with Mill Manager or Estate Manager, the top most officer who had overall control and influence at site.
The assessment team had verified the minutes of meeting of the OSH committee which was held quarterly to discuss issues pertaining to workers’ safety and health at work place. It was chaired by their respective Mill or Estate Manager and discussed issues pertaining to workers’ safety and health at workplace including accident cases, if any, and results of workplace inspections. Issues requiring immediate attention were further discussed at working level via Tool Box meetings.
An OFI had been issued with respect to
involvement of Safety & Health Committee at estates could be further improved by active participation in all OSH programs and activities, among them, Workplace Inspection, attendance at quarterly OSH meeting, etc.
Minutes had been kept of all meetings and had been distributed to OHS Committee members and attendees for follow-up as a result of the meeting stating the actions required, Person responsible and expected timeline for completion.
Accident cases had been monitored and reported to the FGVPM-BCU respective Mill or Scheme Manager, who in turn, report to FGV PSQM Department at Head office, Kuala Lumpur and state DSOH office as required by the NADOPOOD Regulation. Annual accident summary cases had been captured in JKKP 8 form and submitted to DOSH headquarters, Putrajaya. Each site Safety Performance had been displayed as LTA on the notice board of
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their office (Photograph 44). Accident records had been kept and reviewed quarterly at the OSH Committee meeting.
Photograph 44: Safety Performance scoreboard at Ulu Belitong POM
All workers were covered by Workman Compensation. The mill and schemes visited had their workers insured against accident; the local workers insured against SOCSO and the foreign workers via accident insurance through underwriter BH Insurance Sdn Bhd.
Emergency procedure existed and their instructions to response were clearly understood by the employees of the sites assessed. Emergency evacuation and fire response drill had been conducted at the palm oil mil and scheme’s office assessed. It had been carried out meeting the procedure requirement of at least once a year, as sighted in the records of Ulu Belitong POM and FASSB Ulu Belitong. The post-mortem report following emergency response drill could be improved to detail out time of events against outcome. Thus an OFI had been raised.
Assembly point, emergency telephone contact numbers of essential FELDA personnel and Government Emergency Service Providers, emergency evacuation route and emergency response procedure were made available and published for everyone’s information.
It was observed that first aid box was provided to the field supervisor and also made available at several strategic locations at the office. The first aid boxes were inspected, the medicines supplied have not expired but its contents need to be updated as some items were found missing. An OFI thus had been issued. Interviews with First Aiders were found to be conversant with rendering first aid practices for minor injuries.
Criteria 4.8 All staff, workers, smallholders and contractors are appropriately trained.
Indicator 4.8.1 : A training programme (appropriate to the scale of the organization) that includes regular assessment of training needs and documentation, including records of training for employees are kept. Major compliance
Guidance: Appropriate training should be given to all staff, workers and contractors by growers and millers to enable them to fulfill their jobs and responsibilities in accordance with documented procedures. All Estate Hospital Assistants (EHA) are trained on the chemicals used and related laws.
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Specific National Guidance for Scheme Smallholders Scheme Smallholders The participants and registered workers on participants’ plots are provided adequate training and skills and this is documented. The trainings can be achieved through extension activities of growers, FFB dealers or mills that purchase fruit from them, or through collaboration with relevant government agencies.
Findings:
There are training programs in place to improve and increase staff skills and smallholders awareness when seen required by management. The training programs and records for FGVPM-BCU were inspected. The respective operating unit management visited had trained their staff, workers, contractors and smallholders and records of training were kept. The records included information on the title of the training, name and signature of the attendees, name of the trainer, time and venue.
Among of the training program conducted, to name a few, were:
at FELDA Layang-Layang 1. Safety Awareness for staff and workers and first aid on 10 October 2011 2. Pesticide application, pesticide mixing and riparian buffer zone on 19 September 2012 3. Harvesting techniques on 18 May 2012 4. Basic Fire Fighting and Evacuation drill on 5 December 2012
at FPISB Ulu Belitong POM 5. RSPO Awareness to employees on 1 December 2012; 6. RSPO Awareness briefing to ladies / wives of staff of Ulu Beltiong POM employees on 29 November 2012 7. Fire evacuation drill and Use and Handling of Fire Extinguisher on 16 October 2012; 8. Emergency Response drill – diesel spill at diesel storage tank on 28 November 2012 and CPO spill at storage tank on 7 December 2012 9. Incinerator Safety for contractor employees of incinerator on 3 December 2012 10. Scheduled Waste handling for waste store operator, and 11. Bio-polishing plant operation for the Wastewater Treatment Plant Operator.
at FASSB Ulu Belitong 12. Hazard identification, risk assessment and risk control on 19 October 2012 13. Emergency and evacuation drill on 3 November 2011
and many other topics associated with field and mill related work.
For field workers, in addition to formal class room training, occasionally safety procedures and standards were also told and reminded during muster in the morning. From the interviews with staff, smallholders and workers - storekeeper, sprayers and fertilizer applicators - in the field, they were found to be aware of the procedures and standards. They also understood the hazards of the chemicals and the need to follow the safety procedures and the use of PPE.
At FELDA Layang-Layang, interviews with the workers (sprayer gang) showed they were aware of RSPO certification in their estate (Photograph 45). In their words, their awareness on the need to use PPE, attention to chemical handling and usage of First Aid Box had improved as a result of going for RSPO certification.
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Contractors had also been briefed on safety, environment and RSPO requirements upon commencement of work.
The level of understanding on safety, health and environment and RSPO varies between estates and was better at the mill primarily due to the mill had been emulating internationally recognized management system standards: ISO 9001, ISO 14001 and OHSAS 18001 a long time.
Photographs 45 (L-R):. Field interviews with FELDA Layang-Layang workers
For most of the mill operation, task-oriented trainings had been carried out periodically. It involved standard operation procedures that include safe operation procedures related to the potential risk at the work place.
Specialized training courses had also been conducted when the need arises and this include group or in house training. They are competent persons training related to operation of boiler, confine space, fire fighting and first aid.
Despite the training given above, a Major NCR MM2 had been assigned against Indicator 4.8.1, that is,
1. The mill personnel had not been trained on the RSPO Supply Chain Certification Standard.
2. Training on Environmental aspect and impact identification / assessment, Hazard Identification, Risk Assessment and Determining Control and Legal Awareness and Compliance not being fully implemented for operational staff and settlers at the estates.
3. Training for HCV monitoring especially for buffer zone was not done at Bukit Tongkat, FP Inas Selatan Div. B and Ulu Belitong.
The status of this NCR MM2 is considered closed. The Belitong Certification Unit had submitted to the assessor the evidences on RSPO SCCS training, awareness training on Environmental Aspect/Impact Identification/Assessment, Hazard Identification, Risk Assessment and Determining Control and training on HCV monitoring. It included attendees list, photographs and course content.
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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 continuous improvement.
Indicators 5.1.1 Documented aspects and impacts risk assessment that is periodically reviewed and updated. Major compliance
5.1.2 Environmental improvement plan to mitigate the negative impacts and promote the positive ones, is developed, implemented and monitored. Minor compliance
Specific National Guidance for Scheme Smallholders Scheme Smallholders Scheme Managers should undertake and document aspects and impacts risk assessment, developed with the participation of the representatives of organized smallholders that sets out appropriate management planning and operational procedures for each impact identified. For significant impact time bound action plans and operational procedures should be drawn to mitigate the negative impacts. The impact assessment should cover:
Building and maintenance of roads to service smallholdings and provide access to mills Putting in drainage or irrigation systems. Replanting or expansion of smallholdings. Clearing of remaining natural vegetation and the need to avoid the use of fire (see 5.5)
Findings:
The FGVPM-BCU had conducted the environmental aspects and impacts risk assessment with the participation of settlers and staff for all activities related to its land scheme, R&D station and mill operation as well as other facilities such as the workshop, chemical and waste stores, laboratory, effluent and water treatment plants. Assessment of the documented aspects and impacts records e.g. RSPO – P5/C.5.1/5.1.1 and RSPO 2011 (Kriteria 5.1/5.3/5.6) showed that it had been identified, evaluated and reviewed annually.
Photograph 46: Bioflow polishing tanks at Photograph 47: Locked concrete building Ulu Belitong POM. agrochemical store with safety signage, exhaust ventilation fan and fire extinguisher at FASSB Belitong
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However, the assessment of aspects and impacts risk assessment could be further improved by including any additional activity, either permanent or temporary, such as provision of nursery service under FASSB Ulu Belitong administration and its documents be updated accordingly. The non coverage of this activity was raised as OFI 5.1.1. The Ulu Belitong POM had established their environmental improvement plan to mitigate the significant aspects from the above assessment. Among its improvements identified were:
treatment mill effluent discharge (through treatment plant) and monitoring of the discharge effluent quality content for parameter such as BOD, COD and TSS to ensure the limit is as per DOE license, installation of the bioflow polishing system in order to meet the discharged requirements as per DOE license. (Photograph 46). installation of on-line smoke density detector and alarm for continuous monitoring of black smoke emission to ensure the emission is in accordance with limit as per DOE license, bunding of diesel storage tank, emergency preparedness drill, segregation of recyclable wastes, and
On the other hand, at the estates the implementation of environmental improvement plan (to mitigate the identified negative impacts) had included the construction of chemical store (Photograph 47), marked buffer zones (Photograph 48), erection of no hunting sign (Photograph 49) and no open burning sign (Photograph 50), waste recycling activities (Photograph 51).
In spite of the above undertakings, the performance of environmental improvement plan to mitigate negative impacts implemented within Bukit Tongkat Estate could be further improved by frequently updating its environmental performance status monitoring in proper documentation format. This was raised as OFI 5.1.2.
Photograph 48: Marked buffer zone Photograph 49: Signage prohibiting hunting of wildlife
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Photograph 50: No open burning sign Photograph 51 : Typical recycling station erected at line site within the FGVPM-BCU
Criterion 5.2 The status of rare, threatened or endangered species (ERTs) and high conservation value habitats, if any, that exists in the plantation or that could be affected by plantation or mill management, shall be identified and their conservation taken into account in management plans and operations.
Indicator 5.2.1 Identification and assessment of HCV habitats and protected areas within landholdings; and attempt assessments of HCV habitats and protected areas surrounding landholdings. Major compliance
5.2.2 Management plan for HCV habitats (including ERTs) and their conservation. Major compliance
5.2.3 Evidence of a commitment to discourage any illegal or inappropriate hunting fishing or collecting activities, and developing responsible measures to resolve human-wildlife conflicts. Minor compliance
Specific Guidance: Identify ERTs and establish their conservation status based on national and state conservation schedules; and should provide evidence of attempts to do likewise for immediate adjacent areas.
In the event that the conservation status of a species has not been assessed locally, the IUCN list should be used to determine and report conservation status. Management plans to include areas for improvement.
Where appropriate, the above activities to be conducted involving relevant stakeholders
Specific National Guidance for Scheme Smallholders Scheme Smallholders Scheme Managers should compile information about the status of these aspects for their organized smallholders, as well as the associated mill and directly managed estate (if any). If ERTs or HCV habitats are present or potentially affected by the small holdings, appropriate measures should be employed to maintain or enhance them depending on the size of the scheme.
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Findings:
The Sustainability Department, FASSB had compiled information into a report entitled “HCV Assessment & Management Plan of Kompleks FELDA Belitong, Felda Wilayah Segamat” dated 17th September 2012, about the status of High Conservation Value (HCV) within and adjacent to the FGVPM-BCU land schemes.
The consultation process has included stakeholder meetings like interviews with local people, government and non-government agencies. The National Interpretation and the HCVF Toolkit has been used and implemented.
The HCV assessment had identified the endangered, rare and threatened (ERTs) species at Ulu Belitong POM, FELDA Bukit Tongkat, Bukit Permai, Layang Layang, Ayer Hitam, Ulu Penggeli, Ulu Belitong, FP Inas Selatan Div B - Bukit Tongkat and FASSB Belitong, including the management and action plan.
Results of the assessment showed there were evidence of freely roaming ERTs between plantations near border of Kluang Forest Reserve, for example, Pangolin (Manis javanica), Elephant (Elephas maximus) and Malayan Tiger (Panthera tigris). Pangolin, elephant and Malayan tiger were listed as Totally Protected in Wildlife Conservation Act 2010 and listed as Endangered species under IUCN Red List.
The stakeholders’ communications with Forestry Department (including 3 district forest office; Johor Timur at Mersing, Johor Tengah at Kluang and Johor Selatan at Johor Bharu) and Wildlife Department notifying the presence of the ERTs were conducted during their HCV assessment, that is, on 3rd October 2012 and 20th September 2012 respectively.
Also, communication with Wildlife department was conducted more regularly during monitoring on wildlife activities, including the encroachment of elephant along the forest border, as mentioned in indicator 1.1.1. Therefore, communication with the significant stakeholders was in place.
Photograph 52 : Trenching and electric Photograph 53: Sg Penggeli passing through fences built at border with Kluang Forest FELDA Bukit Tongkat identified as internal Reserve, identified as external HCV2. HCV4
FELDA Bukit Tongkat and FP Inas Selatan Div. B highlighted in the report, had identified their significant HCV,that is, HCV2 and HCV4 respectively. HCV2 is about external HCV - wildlife corridor that borders Kluang Forest Reserve, and adjacent to FELDA Bukit Tongkat and FP Inas Selatan Div. B. Site visit confirmed that the boundary at FELDA Bukit Tongkat
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was maintained including the spotting of boundary stones. Elephant trenching and electric fences were seen constructed (Photograph 52) to prevent elephant encroachment. However, the site visit to FP Inas Selatan Div. B could not be conducted due to heavy rain.
HCV4 means control and maintain river buffer zone. It cross referenced Indicator 4.4.1, that is, protection on erosion control near Sg. Penggeli. Site review confirmed that HCV4 at natural waterways areas had been identified, maintained and monitored. A signboard had been erected meeting the HCV4 Management Plan as shown in the Photograph 53 above.
No HCV area had been declared at FELDA Layang-Layang.
The Management Plan and Action Plan had been developed based on the assessment findings and consultations with related stakeholders. The action plan, represented in tabular format, contained general descriptions of HCV, action steps and monitoring activities on quarterly basis.
In general, the FGVPM-BCU had identified the ERTs and High Conservation areas within and adjacent to their estates. However, an OFI against Indicator 5.2.1 had been raised. The HCV assessment report could be enhanced as below;
1. The map for FELDA Bukit Tongkat ought to tally with the map displayed at the FELDA Bukit Tongkat office.
2. Information on porcupine that was commonly sighted near the estate border could have been highlighted in the assessment report. This information was relayed during Interviews with the staff and workers at all estates assessed.
There was sufficient evidence that FGVPM-BCU is committed to the conservation of the wildlife habitat. Signages to prohibit illegal hunting of wildlife were clearly displayed within the plantations (Photograph 54 below).
Nonetheless, during the site review at FELDA Layang-Layang it was found there were cages to trap porcupine during replanting of oil palms (Photograph 55 below). The purpose of the trap was to prevent the porcupine from destroying juvenile oil palm trees. This activity was conducted without any assessment to resolve human-wildlife conflicts. Although a book had been provided to record monitoring the presence of wildlife (including wild boar, monkeys and cows) it was found inadequate as it did not include porcupine. Therefore Minor NCR NAJ-1 has been raised against Indicator 5.2.3.
Photograph 54: Sign board to discourage Photograph 55: Cages to trap porcupine hunting, at FELDA Layang-Layang during replanting seen at FELDA Layang- Layang MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 54 of 121
The action plan to consult the Wildlife Department had been conducted, the monitoring book for wildlife had been created but expanded to include monitoring of other animals including to porcupine, wild boar, monkeys and cows. In addition, FELDA Layang Layang has taken drastic decision by demolishing the cages to prevent misuse of the cages by the workers or staff including smallholders. NCR NAJ-1 had been closed.
Criterion 5.3
Waste is reduced, recycled, re-used and disposed off in an environmentally and socially responsible manner.
Indicators 5.3.1 Documented identification of all waste products and sources of pollution. Major compliance
5.3.2 Having identified wastes and pollutants, an operational plan should be developed and implemented, to avoid or reduce pollution. Minor compliance
Specific Guidance : Schedule wastes to be disposed as per EQA 1974 (Scheduled Wastes) Regulations, 2005. Reference to be made to the national programme on recycling of used HDPE pesticide containers.
Municipal waste disposal as per local authority or district council in accordance to the Ministry of Health guidelines (i.e. specifications on landfills, licensed contractors, etc) or Workers’ Minimum Standards of Housing and Amenities Act 1990 (Act 446).
Indicator 5.3.3 Evidence that crop residues / biomass are recycled (Cross ref. C4.2). Minor compliance
Specific Guidance: POME should be discharged in compliance with the Environmental Quality Act 1974 (Act 127) and Regulations.
For Sabah and Sarawak, POME should be discharged according to the respective state policies.
Specific National Guidance for Scheme Smallholders Scheme Smallholders Scheme managers should develop and implement an appropriate plan for the management and disposal of waste from smallholdings including the safe disposal of pesticide containers (e.g. National Programme on recycling of used HDPE pesticide containers). Scheme managers should encourage/ educate participants to use resources efficiently and apply reduce, reuse, recycle methods wherever feasible/possible.
Findings:
Generally, waste products had been identified and documented in the Environmental Aspect / Impact Assessment Register. Among the wastes identified were general waste, scheduled waste, scrap metal, crop residue/biomass - fibre, shell, EFB, decanter cake and POME from the mill. For the plantations, they include empty containers, empty fertilizer bags, used office’s stationeries and domestic wastes from settlers’ housing.
All waste generated were being disposed in an environmentally and socially responsible manner with plans to reduce them. Plans to avoid or reduce pollution were also in place. At the mill, it ranged from diesel tank bunding, dedicated waste stores, concreted workshops, oil traps (Photograph 56), bio-polishing plant, disposal of EFB and decanter cake to the oil palm fields for mulching while crop residue/biomass i.e. fibre and shell were used as fuel in the boiler. Palm oil mill effluent (POME) was treated in the effluent treatment plant and finally discharged into the waterways. Other liquid spills had been identified and mitigated through the use of sand or oil trap.
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Those general/domestic wastes originated from the estate office and settlers’ house were collected for disposal by the Kluang Municipality through waste collection contractor Southern Waste Management Sdn Bhd.
Photograph 56: Diesel oil trap at Ulu Belitong Photograph 57: Recycle/disposal of Palm Oil Mill used pesticides containers at FELDA Layang-Layang Recycle Store
Other than general wastes, plastic containers/bags from manuring and spraying activities were also collected, washed and reused. Chemical containers that could no longer be reused were disposed in accordance with legal requirement.
The records of all waste products and sources of pollution identified by FP Inas Selatan Div. B could be further improved by consistently updating the information, daily or weekly waste generated, stored and recycled/disposed, especially for the empty chemical containers. This was raised as an OFI against Indicator 5.3.1.
Implementation of recycling program varied. The palm oil mill had started quite sometimes ago and was successful whereas the line sites had just embarked on it. Recycle bins, (Photograph 51) had been provided at the Palm Oil Mill, worker’s housing areas and offices for segregation of solid waste - paper, glass and plastic, and the recyclable wastes had been collected and stored at designated areas (Photograph 57).
The assessment team had visited the scrap metal and scheduled waste storage area. The scheduled waste store was well built, with appropriate containment, and controlled access. The wastes had been segregated, labelled, stored, inventoried and disposed in full compliance to EQA (Scheduled Wastes) Regulations 2005.
At the smallholder’s level, interviews showed that they had been reminded during the JKKR meeting of the need for proper disposal and recycle of waste including the safe disposal of pesticide containers. The campaign to increase fheir awareness for recycling was ongoing.
Criterion 5.4 Efficiency of energy use and use of renewable energy is maximized.
Indicators 5.4.1 Monitoring of renewable energy use per tonne of CPO or palm product in the mill. Major compliance
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5.4.2 Monitoring of direct fossil fuel use per tonne of CPO or kW per tonne palm product in the mill (or FFB where the grower has no mill). Minor compliance
Guidance: To establish baseline values and observe trends within appropriate time-frame. Growers and millers should assess the energy use including fuel and electricity, and energy efficiency of their operations. The feasibility of collecting and using biogas, biodiesel and biofuels should be studied if possible.
Specific National Guidance for Scheme and Independent Smallholders Scheme Managers Mill managers should be encouraged to develop appropriate action plan for improving the efficiency of energy use in their schemes and land holdings.
Findings:
All energy used in the mill had been monitored and the mill had been committed to use renewable energy. As such, fibre and nutshell had been used as boiler fuel to generate steam for mill operations.
The monitoring of fossil fuel usage as per tonne of CPO on a monthly basis had also been carried out in the estates. Currently diesel usage stood at an average of 0.58 liter/mt FFB processed, mainly to run emergency generator whilst the biomass fuel at 0.18 mt/mt FFB processed. Both diesel and biomass had been consumed efficiently in terms of power generation through genset for diesel and steam boiler with turbine for biomass.
Scheduled wastes had been discussed under Criterion 5.3 and they had been disposed as per EQA 1974 (Scheduled Wastes) Regulations, 2005.
General domestic wastes were collected and disposed by burying them at internal designated landfill areas. Proper signage had been erected at the landfill site.
FELDA Ulu Belitong Palm Oil Mill had embarked on commitment to use renewable energy in the mill. Fibre and shell were being used as boiler fuel to generate steam for the process, as well as electricity for the mill complex and labour lines. The usage of fibre and nut shell had been monitored and records maintained.
Fossil fuel and biomass fuel usage per ton CPO from January to June 2012 were tabulated as follows:
Fossil fuel Fossil fuel FFB CPO Biomass Biomass Year used usage processed, production, used (Fiber consumed, 2012 (Diesel), liter/mt mt mt & Shell), mt mt/mt CPO liter CPO Jan 26,210 4,873.93 4,710.68 16,306 0.97 3.35 Feb 23,280 4,357.36 3,756.57 15,046 0.86 3.45 Mar 30,150 5,628.17 5,234.61 13,193 0.93 1.34 Apr 24,130 4,357.32 4,199.45 19,145 0.96 4.39 May 33,550 6,212.40 6,417.37 17,488 1.03 2.82 Jun 31,200 5,772.96 6,506.00 16,601 1.13 2.88
The usage of renewable energy (fiber and nut shell) showed a slight improvement over the first six month of the preceding year per tonne of CPO produced.
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Usage of fossil fuel as energy per ton of CPO produced has been relatively constant based on the FFB processed volume for the first six months of 2012.
Criterion 5.5 Use of fire for waste disposal and for preparing land for replanting is avoided except in specific situations, as identified in the ASEAN Guidance or other regional best practice.
Indicators: 5.5.1 No evidence of open burning. Where controlled burning occurs, it is as prescribed by the Environmental Quality (Declared Activities) (Open Burning) Order 2003. Major compliance
5.5.2 Previous crop should be felled/mowed down, chipped/shredded, windrowed or pulverized/ ploughed and mulched. Minor compliance
Specific Guidance: A special dispensation from the relevant authorities should be sought in areas where the previous crop or stand is highly diseased and there is a significant risk of disease spread or continuation into the next crop.
5.5.3 No evidence of burning waste (including domestic waste). Minor compliance
Specific National Guidance for Scheme and Independent Smallholders Scheme Smallholders Scheme and Group Managers should carry out training and provide extension support to their participants to avoid using fire for land preparation or open burning is not used except in accordance with ASEAN guidelines or other regional best practice.
Findings:
Except for findings (NCR HMM 01) as per criterion 4.2.3 above, it was verified during the assessment through site visits, interviews conducted and records sighted that no open burning had been carried out in line with the FELDA Belitong CU’s policy on zero burning.
At the replanting schemes, previous crop had been sighted felled/mowed down, chipped/shredded, windrowed or pulverized/ploughed and mulched.
Photograph 58: Prohibition of open burning sign near settler’s housing area.
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The Scheme and Plantation Managers had carried out training and provide extension support via memo. They too, had placed signboards on prohibition of “Open Burning” at strategic locations near office, line sites (Photograph 58) and in the field.
Criterion 5.6 Plans to reduce pollution and emissions, including greenhouse gases, are developed, implemented and monitored.
Indicators: 5.6.1 Documented plans to mitigate all polluting activities (Cross ref to C 5.1). Major compliance
5.6.2 Plans are reviewed annually. Minor compliance
Specific Guidance: Pollutants and emissions are identified and plans to reduce them are developed in conformance to national regulations and guidance.
5.6.3 Monitor and reduce peat subsidence rate through water table management. (Within ranges specified in C 4.3). Minor compliance
Specific National Guidance for Scheme and Independent Smallholders Scheme Managers Scheme Managers should include an assessment of all polluting activities by their participants and develop abatement plan.
Findings:
The mill and estates had identified the sources of pollution and emissions from the Environmental Aspect/Impact assessment carried out under Indicator 5.1.1. Various and regular measurements of the emissions and pollutants had been taken and the data had been used to develop mitigating plans and strategies for improvement. The assessor had verified the plans and among the planned actions were those discussed under Indicator 5.2.3, for example, the construction of oil traps, bunded diesel storage tank, POME being treated in a series of ponds and the final discharge parameters regularly monitored. The action plans had also been reviewed during regular operations meetings.
Boiler smoke emission being monitored by third party monitoring of boiler stack emission is conducted by the mill every six months. Regular self-monitoring of smoke emission is done by mill personnel in-line with the installation of black smoke monitoring alarm and chart on the boiler. Continuous emission system monitoring (CEMS) also been installed by the mill. Results are meeting the statutory requirements.
At the Ulu Belitong POM, although the action plans to mitigate all polluting activities had been discussed at regular operations meeting and reviewed annually by the Ulu Belitong Mill Manager it could be further improved by specifying the actual program, especially, for polluting activities being legally compound by the authority for non-compliance (discharged POME exceeded the BOD limit) in its RSPO documentation. This was raised as OFI.
There was no peat soil area in the FGVPM-BCU. Therefore, Indicator 5.6.3 is not applicable.
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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, including replanting, that have social impacts 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 continuous improvement.
Indicators: 6.1.1 A documented social impact assessment including records of meetings. Major compliance
Specific Guidance: Non-restrictive format incorporating elements spelt out in this criterion and raised through stakeholder consultation including local expertise.
6.1.2 Evidence that the assessment has been done with the participation of affected parties. Minor compliance
Specific Guidance: Participation in this context means that affected parties or their official representatives or freely chosen spokespersons are able to express their views during the identification of impacts, reviewing findings and plans for mitigation, and monitoring the success of implemented plans.
6.1.3 A timetable with responsibilities for mitigation and monitoring is reviewed and updated as necessary. Minor compliance
Guidance: Identification of social impacts may be carried out by the grower in consultation with other affected parties, including women and migrant workers as appropriate to the situation. The involvement of independent experts should be sought where this is considered necessary to ensure that all impacts (both positive and negative) are identified.
Particular attention should be paid to the impacts of outgrower schemes (where the plantation includes such a scheme).
Plantation and mill management may have social impacts on factors such as:
1. Access and use rights. 2. Economic livelihoods (e.g. paid employment) and working conditions. 3. Subsistence activities. 4. Cultural and religious values. 5. Health and education facilities. 6. Other community values, resulting from changes such as improved transport /communication or arrival of substantial migrant labour force.
Specific National Guidance for Scheme and Independent Smallholders Scheme Smallholders Management aspects that can result in social impact should be identified with the consultation of their participants or representatives. If it warrants, a documented SIA should be conducted with the participation of the affected parties. A time bound mitigation plan with responsibilities should be drawn and implemented (with review and update if necessary).
Findings:
There was a documented SIA which included a timetable with responsibilities for mitigation and monitoring of impacts for Belitong Complex. The SIA was conducted based on a questionnaire formulated by FELDA HQ. They covered impacts of plantation and oil mill activities on internal (scheme participants, workers/employees) and external (neighbouring) community infrastructures, livelihood, cultural/religious values and other community values.
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In reference to 6.1.2, there were records that the assessment was carried out with the participation of affected parties which include the scheme participants, workers/employees, suppliers/contractors and neighbouring community members. The respondents were informed prior to the conduct of the survey in the form of notices sent out to them.
However, the analysis only succeeded in demonstrating the positive and negative views of the respondents rather than the impacts on the community resulting from plantation and mill activities. In addition there were certain items in the survey questionnaire which were not discussed in the report. It is encouraged that the report be modified to suit the items in the questionnaires. Thus, an OFI had been raised against this criterion.
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: 6.2.1 Documented consultation and communication procedures. Major compliance
6.2.2 A nominated plantation management official at the operating unit responsible for these issues. Minor compliance
6.2.3 Maintenance of a list of stakeholders, records of all communication and records of actions taken in response to input from stakeholders. Minor compliance
Specific Guidance: Decisions that the growers or mills are planning to make should be made clear, so that local communities and other interested parties understand the purpose of the communication and/or consultation.
Communication and consultation mechanisms should be designed in collaboration with local communities and other affected or interested parties. These should consider the use of existing local mechanisms and languages. Consideration should be given to the existence/ formation of a multi-stakeholder forum.
Communications should take into account differential access to information of women as compared to men, village leaders as compared to day workers, new versus established community groups, and different ethnic groups.
Consideration should be given to involving third parties, such as disinterested community groups, NGOs, or government (or a combination of these), to facilitate smallholder schemes and communities, and others as appropriate, in these communications.
Specific National Guidance for Scheme and Independent Smallholders Scheme Smallholders Scheme Managers should provide the necessary mechanism and designate an officer for consultation and communication with participants/representatives and other stakeholders and this should be documented.
Findings:
There was a documented consultation and communication procedures produced by the CU entitled Manual Prosedur Komunikasi, Penglibatan dan Rundingan (Manual for Communication, Participation and Consultation Procedures). It was used in communications and consultations with its stakeholders namely the scheme participants, workers/employees, suppliers/contractors and neighbouring community members. Record of meetings and discussions with Scheme Development and Safety Committee (JKKR) involving the operating unit’s management and community leaders was available.
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With reference to 6.2.2., a management official at each operating unit level had been nominated to be responsible on issues related to consultations and communication between growers and/or millers and internal (scheme participants, workers/employees) and external (neighbouring communities, suppliers/contractors) stakeholders.
With reference to 6.2.3, there was a list of stakeholders, internal and external, produced by the CU, and there were records of meetings with stakeholders. Meetings involving the CU’s management and scheme participant leaders were held regularly. Participants’ involvement and participation were encouraged. All issues raised were given due attention and actions had been taken to resolve the issues raised.
There were documents, produced by the mill and schemes to show the existence of documented consultations and communication, for example, Minit Mesyuarat Jawatankuasa Wanita (minutes of Gender Committee meetings) and Minit Mesyuarat JKKR (minutes of the Scheme Development and Safety Committee meetings).
Other forms of management communication with workers/staff and scheme participants include the following:
Assembly/Roll calls Suggestion boxes Internal circulars/memos Staff/worker representatives Notice boards Written complaints
Consultations were held with randomly selected workers/staff, scheme participants and suppliers/contractors of the schemes audited. These auditor-stakeholder interviews confirmed that communications and relationships between the scheme management and stakeholders were good.
A list of internal and external stakeholders had been maintained. However, the list of external stakeholders at FELDA Layang-Layang had yet to be updated to include immediate neighbours, among them, Southern Malay Estate, Sime Darby Tun Dr Ismail Estate, smallholders, alienated land (ex Safari areas) and TNB.who were missed out in the present list. Thus, an OFI had been raised against Indicator 6.2.3.
Criterion 6.3 There is a mutually agreed and documented system for dealing with complaints and grievances, which is implemented and accepted by all parties.
Indicators: 6.3.1 Documentation of the process by which a dispute was resolved and the outcome. Major compliance
Specific Guidance: Records are to be kept for 3 years.
6.3.2 The system resolves disputes in an effective, timely and appropriate manner. Minor compliance
6.3.3 The system is open to any affected parties. Minor compliance
Guidance: Dispute resolution mechanisms should be established through open and consensual agreements with relevant affected parties.
Complaints may be dealt with by mechanisms such as Joint Consultative Committees (JCC) with gender representation. Grievances may be internal (employees) or external.
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Specific National Guidance for Scheme and Independent Smallholders Scheme Smallholders Scheme and Group Managers should provide the necessary mechanism to deal with complaints and grievances by their participants and other stakeholders and the outcome is open to affected parties. The management should actively seek to resolve the complaint and grievances within a reasonable period.
Findings:
A manual entitled Rungutan, Keingkaran, Siasatan Insiden dan Tindakan Pembetulan (Complaints, Rule Breakings, Incident Investigations and Corrective Actions) was sighted. It described procedures for handling complaints and grievances. Staff/workers, scheme participants and suppliers/contractors were aware and understood the procedures. This was confirmed through consultations with them.
Borang Aduan (Complaint Form), Kotak Cadangan (Suggestion Boxes) and Buku Aduan (Complaints Book) were available at the scheme offices for any interested party to register their complaints. The aggrieved party could fill in the Borang Aduan or write a letter and deposit it in the Kotak Cadangan or submit the complaint verbally to anyone in the main office or to the official responsible for handling social issues or to the worker representatives or gender representatives or record the complaint in the Buku Aduan. Hence requirement of 6.3.1 was met.
The complaints recorded were dealt with in a timely manner as evidenced in the Complaint Book thus meeting the requirement of this criterion. The scheme participants, however, have an additional channel to submit their complaints, that is, via the JKKR meeting. The complaints and suggestions were minuted and the actions taken reported in the next JKKR meeting.
The system was open to everyone, external as well as estate (scheme participants, workers/employees) communities. There was no evidence indicating the system was limited to certain parties (e.g. workers/employees and scheme participants) only.
Criterion 6.4 Any negotiations concerning compensation for loss of legal or customary 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: 6.4.1 Establishment of a procedure for identifying legal and customary rights and a procedure for identifying people entitled to compensation. Major compliance
6.4.2 A procedure for calculating and distributing fair compensation (monetary or otherwise) is established and implemented. This takes into account gender differences in the power to claim rights, ownership and access to land; and long-established communities; differences in ethnic groups’ proof of legal versus communal ownership of land. Minor compliance
6.4.3 The process and outcome of any compensation claims is documented and made publicly available. Minor compliance
Specific Guidance: This criterion should be considered in conjunction with Criterion 2.3.
Specific National Guidance for Scheme and Independent Smallholders Scheme Smallholders Scheme and Group Managers should be able to show that they have acquired and/or allocated land for their organized smallholdings in compliance with this criterion. If any land acquisition requires fair compensation, it should be dealt with documented system that includes respective parties involved and settlement details, if such MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 63 of 121
provision is not available judicially.
Findings:
A procedure for identifying legal and customary rights and a procedure for identifying people entitled to compensation and the accompanying procedure for calculating and distributing fair compensation (monetary or otherwise) had not been developed in all the schemes and mill audited. Hence, a Major NCR ZE02, Minor NCR ZE03 and Minor ZE04 had been raised against all three indicators (6.4.1, 6.4.2, 6.4.3) under this criterion. However, since the audit, the CU had produced the documents for NCR ZE02, ZE03 and ZE04. They are found acceptanle and so the status of these NCRs is closed.
Criterion 6.5 Pay and conditions for employees and for employees of contractors always meet at least legal or industry minimum standards and are sufficient to provide decent living wages.
Indicators: 6.5.1 Documentation of pay and conditions. Major compliance
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) are available in the language understood by the workers or explained carefully to them by a plantation management official in the operating unit. Minor compliance
6.5.3 Growers and millers provide adequate housing, water supplies, medical, educational and welfare amenities in accordance with Workers’ Minimum Standard of Housing and Amenities Act 1990 (Act 446) or above, where no such public facilities are available or accessible (not applicable to smallholders). Minor compliance
Guidance: Where temporary or migrant workers are employed, a special labour policy should be established. This labour policy would state the non discriminatory practices; no contract substitution of original contract, post arrival orientation program to focus especially on language, safety, labour laws, cultural practices etc; decent living conditions to be provided. Migrant workers are legalised, and a separate employment agreement should be drawn up to meet immigration requirements for foreign workers, and international standards, if ratified.
Specific National Guidance for Scheme and Independent Smallholders Scheme Smallholders Where temporary or migrant workers are employed, a special labour policy should be established. This labour policy would state the non discriminatory practices; no contract substitution of original contract, post arrival orientation program to focus especially on language, safety, labour laws, cultural practices etc; decent living conditions to be provided. Migrant workers are legalised, and a separate employment agreement should be drawn up to meet immigration requirements for foreign workers, and international standards, if ratified.
The Managers should educate the participants on legal obligations in employing workers on their plot/land.
Findings:
A contract of employment detailing payments and conditions of employment for local and foreign workers employed at all the schemes and mill audited were sighted. Free housing, subsidized and adequate water and power supply and free garbage collection were provided by FELDA for its local and foreign employees. However, some foreign workers were noted being housed in cabins which did not meet the Malaysian Workers’ Minimum Standard of Housing and Amenities Act 1990 (Act 446). Thus a Minor NCR ZE05 had been raised against Indicator 6.5.3. This status of this NCR is considered closed as the CU had instead acted to build permanent hostel for them. Photographs showing the progress of construction
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together with other supporting documents had been submitted to the assessor and they were considered acceptable.
Water is supplied by Syarikat Air Johor for domestic consumption. The supplies were sufficient in quantity and wholesome in quality. The employees interviewed had no complaint. The clinic was well stocked with medicine. It is a Government clinic, accessible to the workers.
Scheme participants who worked their own lot/land used family labour only. No hired workers were used.
Criterion 6.6 The employer respects the right 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: 6.6.1 Documented minutes of meetings with main trade unions or workers representatives. Major compliance
6.6.2 A published statement in local languages recognizing freedom of association. Minor compliance
Guidance: The right of employees and contractors to form associations and bargain collectively with their employer should be respected. Documented company policy recognizing freedom of association.
Labour laws and union agreements or in their absence, direct contracts of employment detailing payments and other conditions are available in the languages understood by the workers or explained carefully to them by a plantation management official in the operating unit.
Specific National Guidance for Scheme and Independent Smallholders Scheme Smallholders Scheme managers must respect the right of participants to form and represent themselves through their own representative associations and / or trades unions and accept them as parties to participatory processes, consultations, communications and negotiations in the management of the scheme.
Findings:
FELDA in general supported the freedom and rights of its employees to form and join associations to bargain collectively for their benefits. As required by Indicator 6.6.2 an officially published statement entitled Polisi Kebebasan Menganggotai Kesatuan Sekerja / Khidmat Sukarela (Freedom of Association Policy) in the Malay language recognizing freedom of association was made available and explained to all workers and the policy exhibited in public places.
The Scheme Managers respect the right of participants to form and represent themselves through their own representative associations and / or trades unions. Several Committees, the JKKR (mentioned earlier), Women Movement and Youth Council had been established in every scheme to represent the interests of the participants. They are accepted as parties to participatory processes, consultations, communications and negotiations with the management of the scheme. All these bodies met the local FELDA management regularly and all their meetings were minuted.
However, no record of meetings between estate/mill management and union or worker representatives were sighted at FELDA Inas Selatan Div. B, Layang-Layang, Bukit Tongkat
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and Ulu Belitong Palm Oil Mill. Thus, a Major NCR ZE01 had been raised against Indicator 6.6.1.
This NCR ZE01 is regarded closed as the CU had submitted the Minutes of meeting. It had been sighted by the assessor and found acceptable
Criterion 6.7 Children are not employed or exploited. Work by children is acceptable on family farms, under adult supervision, and when not interfering with education programmes. Children are not exposed to hazardous working conditions.
Indicator: 31 6.7.1 Documented evidence that minimum age requirement is met. Major compliance
Guidance: Growers and millers should clearly define the minimum working age, together with working hours. Only workers 16 years and older may be employed, with the stated exception of family farms. Smallholders should allow work by children only if permitted by national regulations.
The minimum age of workers should be not less than 16 years, or the minimum school leaving age, or the minimum age permitted under national regulations, where higher.
Specific National Guidance for Scheme and Independent Smallholders Scheme Smallholders Children should only be allowed work in schemes and individual land holdings if permitted by national regulations and not interfering with education programmes. Under such situation, children should only work under adult supervision.
Findings:
FELDA has a written policy statement entitled Polisi Pekerja-Pekerja Kanak-Kanak (Child Labour Policy) prohibiting employment of children below 18 years old. The statement was sighted in the RSPO’s file on Principle 6 as well seen displayed on office notice boards.
The policy had been implemented as there was no record of persons under the age of eighteen, the minimum working age under Malaysian Labor Laws (Act A1238) hired by the CU. This was verified through an examination of the employment cards and copies of passports of foreign workers and also confirmed by interviewing randomly selected workers.
In the case of participants who used family labour to work their lot/land, child labour was not used. This was confirmed through interviews with the participants as well as the Scheme Manager.
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.
Indicators: 6.8.1 A publicly available equal opportunities policy. Major compliance
6.8.2 Evidence that employees and groups including migrant workers have not been discriminated against. Minor compliance
Guidance: The grievance procedures detailed in 6.3 apply. Positive discrimination to provide employment and benefits to specific communities is acceptable as part of negotiated agreements.
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Scheme Smallholders Scheme managers must ensure that women, indigenous peoples and minorities participate in negotiating processes. Positive discrimination to provide employment and benefits to specific communities is acceptable as part of negotiated agreements. All stakeholders should participate in the negotiating processes.
Findings:
There was clear evidence of conformance to this criterion. There was a publicly available equal opportunities policy entitled “Polisi Kesetaraan Peluang” (Equal Opportunity Policy) in the Malay language, established, written and signed by the FELDA Managing Director. It was sighted in the RSPO file on Principle 6 and displayed at all offices visited. The policy stated clearly the equal rights assigned to all employees irrespective of race, caste, nationality, religion, gender, union membership, political affiliation and disability. It was also explained to foreign workers and found understood by them.
There was no evidence of discrimination. All employees (local or migrant, male or female) were hired based on their qualification not their socio-cultural background or political leanings. They were covered by the same pay and conditions of employment associated with the jobs they were hired for. This was confirmed by local and foreign employees interviewed during the assessment.
Poor and the landless Malaysians, regardless of their socio-cultural, religious or political affiliation, were eligible to join the scheme, and as scheme participants they were allowed to participate in negotiations related to their interests.
Criterion 6.9 A policy to prevent sexual harassment and all other forms of violence against women and to protect their reproductive rights is developed and applied.
Indicator: 6.9.1 A policy on sexual harassment and violence and records of implementation. Major compliance
6.9.2 A specific grievance mechanism is established. Major compliance
Guidance: There should be a clear policy developed in consultation with employees, contractors and other relevant stakeholders, which should be publicly available. The policy is applicable within the boundaries of the plantation/mills or while on duty outside the premises. Progress in implementing the policy should be regularly monitored and the results of monitoring activities should be recorded.
A committee specifically to address concerns of women may be required to comply with the criterion. This committee will consider matters such as; training on women’s rights, counselling for women affected by violence and child care facilities to be provided by the growers and millers. The activities of the committee should be documented.
Specific National Guidance for Scheme and Independent Smallholders
Scheme Smallholders For Scheme Managers, there should be a clear policy made publicly.
Findings:
There was a well displayed and clear policy on sexual harassment and violence entitled “Polisi Gangguan Seksual” (Sexual Harassment Policy). The policy in Bahasa Malaysia,
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was made available and explained to all female employees. The sexual harassment and violence policy had been implemented.
A specific grievance mechanism to handle issues related to sexual harassment and violence had been established. A Jawatankuasa Wanita (Gender Committee) whose responsibility among others was to look into gender issues (especially matters related to sexual harassment) had also been established. The existence of this policy and its implementation through the establishment of the sexual harassment grievance mechanism and the Gender Committee was confirmed by female employees interviewed during the assessment who also understood the meaning of sexual harassment and the appropriate complaint procedure.
The scheme participants were also aware of this policy and the associated grievance mechanism. This was confirmed through interviews of randomly selected participants. Overall, the requirements of this criterion had been met.
Criterion 6.10 Growers and mills deal fairly and transparently with smallholders and other local businesses.
Indicators: 6.10.1 Pricing mechanisms for FFB and inputs/services shall be documented. Major compliance
6.10.2 Current and past prices paid for FFB shall be publicly available. Minor compliance
6.10.3 Evidence 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
Guidance: Transactions with smallholders should consider issues such as the role of middlemen, transport and storage of FFB, quality and grading.
Smallholders must have access to the grievance procedure under Criterion 6.3, if they consider that they are not receiving a fair price for FFB, whether or not middlemen are involved.
The need for a fair and transparent pricing mechanism is particularly important for outgrowers, who are contractually obliged to sell all FFB to a particular mill. If mills require smallholders to change practices to meet the RSPO criteria, consideration must be given to the costs of such changes, and the possibility of advance payments for FFB could be considered.
Specific National Guidance for Scheme and Independent Smallholders Scheme Smallholders Scheme Managers are responsible for fair and transparent deal with participants and other local business. This will include:
sms must be established
the mill or plantation). hat contracts are fair, legal and transparent and all costs, fees and levies are explained and agreed in advance.
road must be maintained and transportation provided in a timely manner.
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Findings:
Relevant files were sighted at the mill and the schemes audited. In reference to 6.10.1 and 6.10.2, documents related to FFB pricing mechanisms and inputs/service were sighted; and current and past prices paid for FFB were posted for public perusal, thus making it freely available to the scheme participants, local business as well the general public.
Consultations with contractors and suppliers as well as scheme participants pertaining to 6.10.3 and 6.10.4, showed that they understood the contractual agreements they entered into, and that contracts were fair, legal and transparent and that all payments were made in a timely manner. Debt repayment schemes were fully transparent.
Criterion 6.11 Growers and millers contribute to local sustainable development wherever appropriate.
Indicator: 6.11.1 Demonstrable contributions to local development that are based on the results of consultation with local communities. Minor compliance
Guidance: Contributions to local development should be based on the results of consultation with local communities. See also Criterion 6.2. Such consultation should be based on the principles of transparency, openness and participation and should encourage communities to identify their own priorities and needs, including the different needs of men and women.
Where candidates for employment are of equal merit, preference should always be given to members of local communities in accordance to national policy. Positive discrimination should not be recognized as conflicting with Criterion 6.8.
Specific National Guidance for Scheme and Independent Smallholders Scheme Smallholders Scheme Managers are encouraged to contribute to local development based on consultation with local communities.
Findings:
Various programmes developed jointly by the scheme management and participants had been implemented in the schemes involving the participation of all scheme participants. The emphasis was on education, health, religion and the family. Documents related to this were sighted during the audit.
The CU had initiated consultations with settler communities as well as neighboring external communities. This was evident from the records being kept on social impact assessments. Information obtained was used to work out a social management plan, which, when implemented had contributed to local social development.
PRINCIPLE 7: RESPONSIBLE DEVELOPMENT OF NEW PLANTINGS
Criterion 7.1 A comprehensive and participatory independent social and environmental impact assessment is undertaken prior to establishing new plantings or operations, or expanding existing ones, and the results incorporated into planning, management and operations.
Indicators:
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7.1.1 An independent and participatory social and environmental impact assessment (SEIA) to be conducted and documented (Cross ref. to C 7.2, 7.3, 7.4, 7.5, 7.6). Major compliance
Specific Guidance:
SEIAs to include previous land use / history and involve independent consultation as per national and state regulations, via participatory methodology which includes external stakeholders.
For Sabah, slopes 25 degrees and above are considered high risk erosion areas and cannot undergo replanting unless specified in the EIA report [Environment Impact Assessment (Order 2005)] and approved by the Environmental Protection Department (EPD).
For Sarawak, steep slopes are considered high risk erosion areas and cannot undergo replanting unless specified in the EIA report [Natural Resources and Environment (Prescribed Activities) Order 1994] and approved by the Natural Resources and Environment Board (NREB).
7.1.2 The results of the SEIA to be incorporated into an appropriate management plan and operational procedures developed, implemented, monitored and reviewed. Minor compliance
7.1.3 Where the development includes smallholder schemes of above 500ha in total, the impacts and implications of how it is managed should be documented and a plan to manage the impacts produced. Minor compliance
Guidance: The terms of reference should be defined and impact assessment should be carried out by accredited independent experts, in order to ensure an objective process. Both should not be done by the same body. See also C 5.1 and C 6.1.
This indicator is not applicable to development of smallholder schemes below 500ha.
For Sabah, new planting or replanting of area 500ha or more requires EIA. For areas below 500ha but above 100ha, proposal for mitigation measures (PMM) is required. For Sarawak, only new planting of area 500ha and above requires EIA. Onus is on the company to report back to the DOE on the mitigation efforts being put in place arising out of the EIA.
Assessment of above and below ground carbon storage is important but beyond the scope of an EIA. Note: This aspect will be considered by an RSPO Greenhouse Gas Working Group.
Specific National Guidance for Scheme and Independent Smallholders
Scheme Smallholders This criterion applies to scheme smallholders of land holdings of above 500ha. The terms of reference should be defined by Federal/state authority and impact assessment should be carried out by accredited independent experts, in order to ensure an objective process.
For Sabah, new planting or replanting of area 500ha or more requires EIA. For areas below 500ha but above 100ha, proposal for mitigation measures (PMM) is required.
SEIAs to include previous land use / history and involve independent consultation as per national and state regulations, via participatory methodology which includes external stakeholders.
For Sabah, slopes 25 degrees and above are considered high risk erosion areas and cannot undergo replanting unless specified in the EIA report [Environment Impact Assessment (Order 2005)] and approved by the Environmental Protection Department (EPD).
For Sarawak, steep slopes are considered high risk erosion areas and cannot undergo replanting unless specified in the EIA report [Natural Resources and Environment (Prescribed Activities) Order 1994] and approved by the Natural Resources and Environment Board (NREB).
Independent Smallholders
and land users and ensure that proposed new plantings take into consideration relevant RSPO P&C. a should conduct impact analysis if required by national legislation.
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the analysis of impacts.
Findings:
The assessment team has verified that Principle 7 is not applicable to FGVPM-BCU.
Criterion 7.2 Soil surveys and topographic information are used for site planning in the establishment of new plantings, and the results are incorporated into plans and operations.
Indicators: 7.2.1 Soil suitability maps or soil surveys adequate to establish the long-term suitability of land for oil palm cultivation should be available. Major compliance
7.2.2 Topographic information adequate to guide the planning of drainage and irrigation systems, roads and other infrastructure should be available. Minor compliance
Guidance: These activities may be linked to the SEIA (C7.1) but need not be done by independent experts.
Soil surveys should be adequate to establish the long-term suitability of land for oil palm cultivation. Soil suitability maps or soil surveys should be appropriate to the scale of operation and should include information on soil types, topography, soil depth, moisture availability, stoniness, fertility and long-term soil sustainability. Soils unsuitable for planting or those requiring special treatment should be identified.
This information should be used to plan planting programmes, etc. Measures should be planned to minimise erosion through appropriate use of heavy machinery, terracing on slopes, appropriate road construction, rapid establishment of cover, protection of riverbanks, etc.
Specific National Guidance for Scheme and Independent Smallholders
Scheme Smallholders For scheme managers, the soil surveys should be adequate to establish the long-term suitability of land for oil palm cultivation. Soil suitability maps or soil surveys should be appropriate to the scale of operation.
Information on soils may be collected and provided by scheme management or the mill that purchases the scheme’s FFB.
Soils unsuitable for planting or those requiring special treatment should be identified.
Scheme managers must ensure that they apply the same procedures required for mills and new estates to all schemes. These activities may be linked to the SEIA (7.1) but need not be done by independent experts.
Independent Smallholders Where groups plan to expand their aggregate holdings by more than 500 ha. in any one year, group managers must ensure that these requirements are applied to all group members planning to expand their holdings or acquire new ones. National interpretations should include detail on peat depth.
Where groups plan to expand their aggregate holdings by less than 500 ha. in any one year only a simplified soil survey is required (see 71.)
Findings:
The assessment team had verified that Principle 7 was not applicable to FGVPM-BCU.
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Criterion 7.3 New plantings since November 2005, have not replaced primary forest or any area required to maintain or enhance one or more High Conservation Values.
Indicators: 7.3.1 A HCV assessment, including stakeholder consultation, is conducted prior to any conversion. Major compliance
Guidance: HCV assessments to be documented and included as part of the SEIA (C7.1). Reference should be made to EIA to indicate the extent of the HCV areas as determined by relevant experts, with priority given to the locals.
This criterion applies to forests and other vegetation types. This applies irrespective of any changes in land ownership or farm management that have taken place after this date. High Conservation Values (HCVs) may be identified in restricted areas of a landholding, and in such cases new plantings can be planned to allow the HCVs to be maintained or enhanced.
Specific Guidance to the above indicator are listed below:
1. New plantings within Nov 05 and Nov 07 must be in compliance with existing regulatory requirements that relate to social and environmental impacts assessment i.e. SEIA (ref.C7.1) and also comply with the legalized land spatial planning. 2. Where it can be proven that the land did not contain HCV after Nov 2005, the land can enter the RSPO certification programme. 3. Where the HCV status of the land is unknown and/or disputed, the land will be excluded from the RSPO certification programme, until an acceptable solution for HCV compensation has been developed. 4. Companies owning such land can enter other estates in the programme.
This arrangement is valid only for land development between Nov 05 and Nov 07 which was the RSPO P&C initial pilot implementation period.
7.3.2 No conversion of Environmentally Sensitive Areas (ESAs) to oil palm as per Peninsular Malaysia’s National Physical Plan (NPP) and Sabah Forest Management Unit under the Sabah Forest Management License Agreement. Major compliance
Specific Guidance: ESA rankings and management criteria as per the NPP are listed in Appendix 3.
7.3.3 No new plantings on floodplains (reference to be made to State DID). Major compliance
7.3.4 Dates of land preparation and commencement are recorded. Minor compliance
Specific National Guidance for Scheme and Independent Smallholders
Scheme Smallholders Scheme Managers must ensure that this criterion is applied to scheme smallholdings.
Independent Smallholders Group managers must ensure that this criterion is applied to group smallholdings.
This criterion also applies to independent smallholders who later seek to become members of smallholder groups seeking certification.
Findings:
The assessment team had verified that Principle 7 was not applicable to FGVPM-BCU.
Criterion 7.4 Extensive planting (to be determined by SEIA) on steep terrain, and/or on marginal and fragile soils, is avoided.
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Indicators: 7.4.1 All new plantings should not be cultivated on land more than 300m above sea level and on land more than 25 degrees slope unless specified by local legislation (Ref: MSGAP Part 2: OP 4.4.1.3 & 4.4.1.4) Major compliance
7.4.2 Where planting on fragile and marginal soils is proposed, plans shall be developed and implemented to protect them without incurring adverse impacts (e.g. hydrological) or significantly increased risks (e.g. fire risk) in areas outside the plantation. Minor compliance
Guidance: This activity should be subjected to a comprehensive EIA as required by C 7.1.
Marginal and fragile soils, including excessive gradients and peat soils, should be identified prior to conversion to plantation.
Specific National Guidance for Scheme and Independent Smallholders
Scheme Smallholders Scheme Managers should avoid establishing new plantings on steep terrain and/or on marginal and fragile soils. If it’s the only source of livelihood, it should be developed with the use of appropriate conservation measures. Furthermore, its planting must be fully justified and should not to push people into poverty, and must be done in accordance with the indicators.
Independent Smallholders Where groups plan to expand their aggregate holdings by more than 500 ha. in any one year, group managers must ensure that no new lands are acquired by existing group members on steep terrain and/or on marginal and fragile soils.
Findings:
The assessment team had verified that Principle 7 was not applicable to FGVPM-BCU.
Criterion 7.5 No new plantings are established on local peoples’ land without their free, prior and informed consent, dealt with through a documented system that enables indigenous peoples, local communities and other stakeholders to express their views through their own representative institutions.
Indicator: 7.5.1 This activity should be integrated with SEIA required by C 7.1 Major compliance
Guidance: Where new plantings are considered to be acceptable, management plans and operations should maintain sacred sites. Agreements with local communities should be made without coercion or other undue influence (see guidance for C 2.3)
Relevant stakeholders include those affected by or concerned with the new plantings. Refer also to C 2.2, 2.3, 6.2, 6.4 and 7.6 for indicators of compliance.
Specific National Guidance for Scheme and Independent Smallholders
Scheme Smallholders Scheme Managers can show that lands acquired for their organized smallholders do not diminish legal or customary rights. Where others’ customary or legally owned lands have been taken-over, there is documentary proof of transfer of rights (e.g. sale) and of payment or provision of agreed compensation.
To verify that, the Scheme managers must provide:-
nised customary rights (criteria 2.3, 7.5 and 7.6)
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Independent Smallholders Group Managers engages with indigenous people and local communities prior to the development of new oil palm plantings, and where the lands are encumbered by local or customary rights, these must be negotiated to reach settlement agreed by both parties. All negotiated agreement must be well documented for a long-term benefit for all parties.
Findings:
The assessment team had verified that Principle 7 was not applicable to FGVPM-BCU
Criterion 7.6 Local people are compensated for any agreed land acquisitions and relinquishment of rights, subject to their free, prior and informed consent and negotiated agreement.
Indicators: 7.6.1 Documented identification and assessment of legal and customary rights. Major compliance
Specific Guidance: Auditors to be aware of land acquisition in relation to native customary land.
7.6.2 Establishment of a system for identifying people entitled to compensation. Major compliance
7.6.3 This activity should be integrated with the SEIA required by C 7.1. Major compliance
7.6.4 Establishment of a system for calculating and distributing fair compensation (monetary or otherwise). Major compliance
7.6.5 The process and outcome of any compensation claims should be documented and made publicly available. Major compliance
7.6.6 Communities that have lost access and rights to land for plantation expansion are given opportunities to benefit from plantation development. Minor compliance
Guidance:
Refer also to C 2.2, 2.3 and 6.4 and associated guidance. This requirement includes indigenous peoples.
Specific National Guidance for Scheme and Independent Smallholders
Scheme Smallholders For Scheme and Group Managers, evidence may be in the form of letter of agreement from indigenous people and local communities, which is acknowledged or approved by the head of indigenous people/ village head or in accordance with local regulations. The area of relinquished rights should be mapped.
Independent Smallholders For Independent smallholders and smallgrowers, evidence may be in the form of letter of agreement from indigenous people and local communities, which is acknowledged or approved by the head of indigenous people/village head or in accordance with local regulations. See C7.5 above.
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Findings:
The assessment team had verified that Principle 7 was not applicable to FGVPM-BCU.
Criterion 7.7 Use of fire in the preparation of new plantings is avoided other than in specific cases as identified in the ASEAN Guidance or other regional best practice.
Indicators: 7.7.1 No evidence of clearing by burning. This activity should be integrated with the SEIA required by C 7.1 Major compliance
7.7.2 Evidence of approval for controlled burning, as per Environmental Quality (Declared Activities) (Open Burning) Order 2003. Major compliance
Specific National Guidance for Scheme and Independent Smallholders
Scheme Smallholders Scheme Managers should ensure that no open burning is being used to establish new plantings. Fire should be used only where an assessment has demonstrated that it is the most effective and least environmentally damaging option for minimising the risk of severe pest and disease outbreaks during the preparation of new plantings, and with evidence that fire-use is carefully controlled. Where such use of fire may be acceptable for example through reference to ‘Guidelines for the implementation of the ASEAN policy on zero burning’, or comparable guidelines in other locations.
Independent Smallholders Group managers must ensure that no fire is used to establish new plantings.
Fire should be used only where an assessment has demonstrated that it is the most effective and least environmentally damaging option for minimising the risk of severe pest and disease outbreaks during the preparation of new plantings, and with evidence that fire-use is carefully controlled
National interpretation should identify any specific situations where such use of fire may be acceptable, for example through reference to ‘Guidelines for the implementation of the ASEAN policy on zero burning’, or comparable guidelines in other locations
Findings:
The assessment team had verified that Principle 7 was not applicable to FGVPM-BCU.
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 continuous improvement in key operations.
MY NIWG commits to demonstrate progressive improvement to the following but not limited to:
8.1.1 Minimise use of certain pesticides (C4.6) Major compliance
8.1.2 Environmental impacts (C5.1) Major compliance
8.1.3 Maximizing recycling and minimizing waste or by-products generation. Major compliance
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Specific Guidance: To work towards zero-waste (C5.3)
8.1.4 Pollution prevention plans (C5.6) Major compliance
8.1.5 Social impacts (C6.1) Major compliance
8.1.6 A mechanism to capture the performance and expenditure in social and environmental aspects. Minor compliance
Guidance: Specific minimum performance thresholds for key indicators should be established. (See also C 4.2, 4.3, 4.4, and 4.5).
Growers should have a system to improve practices in line with new information and techniques and a mechanism for disseminating this information throughout the workforce.
For smallholders, there should be systematic guidance and training for continuous improvement.
Specific National Guidance for Scheme and Independent Smallholders Scheme Smallholders Scheme Managers should develop an action plan for continual improvement in a participatory manner with their organized smallholder representatives, based on consideration of the main social and environmental impacts and opportunities for improvement.
Independent Smallholders Group managers must develop an action plan for continual improvement, developed in a participatory manner with group smallholders, based on a consideration of the main social and environmental impacts and opportunities of the smallholdings, and should include a range of indicators covered by these principles and criteria.
Findings: Generally, FGVPM-BCU had established a system to regularly monitor and review their key activities at the each land scheme and estate, and subsequently initiate action plans for continuous improvement based on merits.
Evidences sighted include the commitment to minimize the use of certain pesticides by implementing IPM, increase workers awareness on safety and health and 3R’s initiatives (i.e. reduce, reuse, recycle) as part of their work and living culture. Other improvement plans include efforts to assess the social impacts, and, information thereafter obtained will be work out to develop a social management plan.
The mill and estates also has plans to reduce environmental impacts as well as maximizing recycling and minimizing waste or by-products generation, as described under Criterion 5.1 and 5.3. Additionally, the Ulu Belitong POM have documented environmental objectives which are reviewed annually. Achievement of objectives is monitored by respective personnel and reviewed during monthly meetings.
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RSPO Supply Chain Supply Standard 25 November 2011
5. General Chain of Custody System Requirements for the Supply Chain
5.2. Documented procedures 5.2.1. The facility shall have written procedures and/or work instructions to ensure the implementation of all the elements specified. This shall include at minimum the following:
- Complete and up to date procedures covering the implementation of all the elements in these requirements. - Complete and up to date records and reports that demonstrate compliance with these requirements. - 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 facility’s procedures for the implementation of this standard.
Findings:
At the time of assessment, the Ulu Belitong Palm Oil Mill had not established the required documented procedures and/or work instructions to ensure implementation of all the elements specified for Module E – CPO Mill: Mass Balance. No such procedures and/or work instructions exist. Thus, a Major NCR MM3 was raised. This NCR MM3 is now considered closed as the mill had submitted the Standard Operating Procedure for Mill RSPO Supply Chain Certification System, Document No.: FGVPM-RSPO- SCCS, Issue No. 10 dated 1 December 2012. The content of the procedure is found acceptable as it addresses the requirements of 5.2.1 of Module E – CPO Mill.
4.0 Comments from Stakeholder
Stakeholder consultations were conducted as part of the Stage 2 assessment. The summary of the comments from stakeholders is given in Attachment 4.
5.0 Assessment Recommendation
Based on the evidence gathered during the on-site visits it can be concluded that FELDA Ulu Belitong Certification Unit has conformed to the requirements of the RSPO Principles and Criteria for Sustainable Palm Oil Production, including smallholder, Malaysia National Interpretation Working Group (MYNIWG) November 2010.
Therefore, the assessment team recommends FELDA Ulu Belitong Certification Unit to be certified against RSPO Principles and Criteria for Sustainable Palm Oil Production, including smallholder, Malaysia National Interpretation Working Group (MYNIWG) November 2010.
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Attachment 1
Time Bound Plan for Certification Units – Revision 1
No Mill complexes to be certified in the respective years
2009 2010 2011 2012 2013 2014 2015 2016 2017
Palong 1 K.Gelanggi Jengka 21 Adela Belitong Neram Krau Chalok Aring A Timor 2 L. Utara 6 Jengka 3 Lok Heng Bukit Besar Serting Hilir Pancing Mempaga J. Barat Aring B
3 Jengka 8 Semencu Kahang Maokil Besout Serting J. Baru Ciku
4 L. Utara 4 Waha Kulai Tenggaroh Trolak Pasoh Kertih Kemahang B. 5 Jengka 18 Nitar T.Timor Keratong 2 Selancar 2A Selendang Tersang Kepayang 6 Padang Piol Bukit Mendi Penggeli Kechau A Keratong 3 Selancar 2B J.Bistari Cini 2
7 Kemasul Lepar Hilir Kechau B Sg Tengi N. Permata Kalabakan Cini 3
8 Tementi Bukit Sagu Keratong 9 Embara Budi H.Badai Umas Sampadi
9 Triang F. Harapan L. Kemudi
Kembara 10 Baiduri Ayu Sakti 11 M. Puspita
Total 2 6 9 8 10 11 8 8 8 Complexes To date, FELDA has been on schedule with the time bound plan for the certification of all the CUs. SIRIM QAS International Sdn. Bhd. (SIRIM QAS International) is now involved with the certification of FELDA Belitong CU
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Attachment 2a
Belitong Complex Certification Unit
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Attachment 2b
Location Map for FELDA Belitong Certification Unit in Johor, Malaysia
1
2 3
4
5 6 7
1. FELDA Ayer Hitam 2. FELDA Bukit Tongkat 3. FELDA Ulu Penggeli 4. FELDA Ulu Belitong 5. FELDA Layang-Layang 6. FELDA Plantation Inas Selatan 7. FELDA Bukit Permai
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Attachment 2c
Felda Bukit Tongkat
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Attachment 2d
Felda Bukit Permai
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Attachment 2e
Felda Layang-Layang
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Attachment 2f
Felda Ayer Hitam
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Attachment 2g
Felda Ulu Penggeli
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Attachment 2h
Felda Ulu Belitong
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Attachment 2i
FASSB Belitong
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Attachment 2j
Ladang Felda Bukit Tongkat
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Attachment 2j
RSPO MAIN ASSESSMENT PLAN
1. Objectives The objectives of the assessment are as follows: (i) To determine FELDA Global Ventures Plantations (Malaysia) Sdn.Bhd. – Kahang Palm Oil Mill Complex and Ulu Belitong Palm Oil Mill Complex conformance against the RSPO Principles & Criteria Malaysian National Interpretation (MY-NI). (ii) To make appropriate recommendations based on the assessment findings.
2. Date of assessment : 10 - 11 December 2012 (Kahang Palm Oil Mill Complex) : 12 - 14 December 2012 (Belitong Palm Oil Mill Complex)
3. Site of assessment : FELDA Global Ventures Plantations (Malaysia) Sdn.Bhd. Kahang Palm Oil Mill Complex . Kahang Palm Oil Mill . FELDA Kahang Barat . FELDA Kahang Timur . FELDA Ulu Dengar
Belitong Palm Oil Mill Complex . Ulu Belitong Palm Oil Mill . FELDA Plantation Sdn. Bhd. Inas Selatan (Division B – Bukit Tongkah) . FELDA Bukit Tongkah . FELDA Ulu Belitong . FELDA Ulu Penggeli . FELDA Layang-Layang . FELDA Ayer Hitam . FELDA Bukit Permai 4. Reference Standard a. RSPO P&C MY-NI b. RSPO Supply Chain Certification Standard (25 November 2011) c. Company’s audit criteria including Company’s Manual/Procedures
5. Assessment Team a. Lead Assessor : Mahzan Munap b. Assessors : Dr Zahid Emby Khairul Najwan Selvasingam a/l Kandiah Hafriazhar There is any objection to the proposed audit team, the organization is required to inform the Lead Auditor/RSPO Section Manager.
5. Audit Witness : Nil
6. Audit Method Site audits including observation of practices, interviews with interested parties (employees, nearby population, etc.), documentation evaluation and evaluation of records.
7. Confidentiality Requirements SIRIM QAS International shall not disclose any information concerning the company regarding all matters arising or coming to its attention with the conduct of the programme, which is of confidential in nature other than information, which is in the public domain.
In the event that there be any legal requirements for disclosing any information concerning the organization, SIRIM QAS International shall inform the organization of the information to be disclosed. MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 90 of 120
Attachment 2j
8. Working Language : English and Bahasa Malaysia
9. Reporting a) Language : English b) Format : Verbal and written c) Expected date of issue : Thirty days after the date of assessment d) Distribution list : client file
10. Facilities Required
a. Room for discussion b. Relevant document and record c. Personnel protective equipment if required d. Photocopy facilities e. A guide for each assessor
11. Assessment Programme Details : As follows
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Attachment 3
COMBINED ASSESSMENT PROGRAMME – KAHANG PALM OIL MILL COMPLEX AND ULU BELITONG PALM OIL MILL COMPLEX
Date: 10 December 2012 (Monday)
Time Activities / areas to be visited Auditee
8.00 am – Opening Meeting, - Combined opening meeting - Ulu Belitong Palm Oil Mill Complex and Kahang Palm Oil Mill Complex at Dewan JKKR Ulu 8.30 am Dengar. Audit team introduction and briefing on assessment objective, scope, methodology, criteria and programmes by SIRIM QAS Audit Team Leader
8.30 am – Briefing on the organization background and implementation of RSPO at Ulu Belitong Palm Oil Mill Complex and at FELDA Kahang Palm Oil Management 9.20 am Mill Complex Certification Unit by the respective FELDA Management Representative, e.g. representative Significant changes on organization activities, machinery, supply bases capacity, etc. Issue raised from interested party or stakeholder Areas of HCV interest and replanting program No. of settlers and area that are Koperasi/FTP managed vs. Self-farming
9.20 am – Travel to FELDA Ulu Dengar, FELDA Kahang Barat and FELDA Kahang Palm Oil Mill. Overview of current activities at FELDA Ulu Dengar, Plantation / 1.00 pm FELDA Kahang Barat and FELDA Kahang Palm Oil Mill by the respective Site Manager. Mill Manager Mahzan Selvasingam Hafriazhar KhairulNajwan Dr Zahid
Site visit and Site visit and Site visit and Site visit and Site visit and assessme Guide for each assessment at FELDA assessment at FELDA assessment at FELDA assessment at FELDA nt at FELDA Kahang Assessor Ulu Dengar. Kahang Barat. Kahang Palm Oil Mill. Ulu Dengar. Barat.
Coverage of assessment : Coverage of assessment : Coverage of assessment : Coverage of assessment : Coverage of assessment : P1, P2 (C2.1), P3, P4 P2 (C2.2.2), P3, P4 (C4.1 P1(C1.2), P2, (C2.1), P3, P2, (C2.1, I2.2.3), P3, P4 P1(C1.2) P2(C2.1 - C2.3), (C4.1, C4.7, C4.8), P8 - C4.6, C4.8), P5 (C5.1), P4 (C4.1, C4.8), P5(C5.1, (C4.1, C4.3, C4.4, C4.8), P3, P6 (C6.1 C6.11), P7(C7.2, C7.4, C7.7), P8 C5.3 – C5.5), P6(C6.11), C5.2, P7(C7.2 – C7.4), P7(C7.1, C7.4, C7.5, View documentation and P7(C7.1, C7.7), P8 P8 C7.6), P8 records relating to OSH View documentation and Management System records relating to Estate View documentation and View documentation and View documentation and management records relating to EIA records relating to estates records relating to local Witness activities & and management plan boundary, HCV and community and
Page 92 of 104
Attachment 3
assessment at site i.e. Nursery (if any) management plan indigenous peoples (weeding/ spraying/ Good Agricultural Facilities at workplace Conservation area issues such as EIA, SIA harvesting/ other Practice (laboratory, water management and management plans maintenance Witness activities & treatment plant, Area of more than 25o Complaints and activities) assessment at site clinic, ETP, boiler, Inspection of protected grievances Facilities at workplace (weeding/ harvesting/ chimney, gensets, sites with HCV Land title user rights (water treatment plant, other maintenance chemical store, etc) attributes Negotiations and clinic, gensets, activities) Recycling activities Plantation Boundary dispute resolution chemical store, IPM implementation, Commitment to and land use by Consultation with fertilizer store, etc) training and sage use transparency neighbour relevant government Chemical store – of agrochemicals. Laws and regulations Forested area agencies, if applicable settler and EFB mulching Training Riparian Zone Commitment to to Technoplant / fertilizer Riparian Zone Continuous Water bodies long-term economic Workshop River system Improvement Plan Source of water and financial viability Commitment to including POME supply transparency. transparency discharge Other areas identified River system including Laws and regulations Laws and regulations Plantation on during the assessment. POME discharge Interviews with Emergency hilly/swampy area Plantation on selected staff/workers preparedness and Waste management hilly/swampy area such as sprayers, response. at field and line site Interview with general workers, Training Chemical store - stakeholders and chemical mixing etc, Interview OSH settler and relevant government Administration staff, Committee, chemical Technoplant / fertilizer agencies, if applicable GPW, JKKrR, Belia, handlers, workers and Workshop Commitment to Koperasi FELDA dependents (related to Training transparency Kahang, Pekebun Safety and Health, Laws and regulations Kecil & interested Environment, Social Training parties and welfare) Equal Opportunity, Sexual harassment and violence at workplace. Facilities at workplace (surau, rest area, canteen, etc) Local sustainable development
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Attachment 3
1.00 – LUNCH BREAK and SHOLAT All 2.00pm 2.00 – 5.30 Commitment to Commitment to Continue with unfinished Continue with unfinished Facilities provided at Guide for each pm long-term economic transparency elements. elements living quarters (i.e. Assessor and financial viability Laws and regulations surau, community Continuous Commitment to long- Site visit FELDA Other area identified center, provision shop Improvement Plan term economic and Kahang Barat during the assessment &etc) financial viability Visit and discussion Site visit and Continuous Coverage of assessment : with Pengurus assessment FASSB Improvement Plan P1(C1.2), P2, (C2.1), P3, Rancangan, Pengurus Belitong P4 (C4.1, C4.8), P5(C5.1, Komuniti and C5.3 – C5.5), P6(C6.11), Community Leaders Coverage of assessment : P7(C7.1, C7.7), P8 (CSR, community P1, P2 (C2.1), P3, P4 affairs), workers and (C4.1, C4.7, C4.8), P8 View documentation and dependents at line records relating to EIA site, surrounding local, View documentation and and management plan indigenous people records relating to OSH issues on EIA, SIA Management System Waste management and management at estate, line site and plan. Good Agricultural dump site. Practice Recycling activities Witness activities & EFB mulching, POME assessment at site i.e. application (weeding/ spraying/ Facilities at workplace harvesting/ Replanting (water sampling point, other maintenance water treatment plant, activities) gensets, chemical / Waste Management fertilizer store, etc) Training Laws and regulations IPM implementation, Commitment to long- training and sage use term economic and of agrochemicals financial viability Commitments to Training transparency Continuous , Continuous improvement improvement
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Attachment 3
Other areas identified during the assessment
Date: 11 December 2012 (Tuesday)
Time Activities / areas to be visited Auditee
7.30 a.m. Travel to FELDA Ulu Dengar, FELDA Kahang Barat and FELDA Kahang Palm Oil Mill. Overview of current activities at FELDA Ulu Dengar, Plantation / – 9.00 FELDA Kahang Barat and FELDA Kahang Palm Oil Mill by the respective Site Manager. Mill a.m. Manager Mahzan Selvasingam Hafriazhar KhairulNajwan Dr. Zahid 9.00 a.m – Site visit and Site visit and Site visit and Site visit and Site visit and Guide(s) for 1.00 p.m assessment at FELDA assessment at FELDA assessment at FASSB assessment at FELDA assessment at FELDA each Kahang Palm Oil Mill Ulu Dengar Belitong Kahang Barat Ulu Dengar assessor
Coverage of assessment : Coverage of assessment : Coverage of assessment : Coverage of assessment : Coverage of assessment : P1, P2 (C2.1), P3, P4 P2 (C2.2.2), P3, P4 (C4.1 P1(C1.2), P2, (C2.1), P3, P2, (C2.1, I2.2.3), P3, P4 P1(C1.2) P2(C2.1 - C2.3), (C4.1, C4.7, C4.8), P8, - C4.6, C4.8), P5 (C5.1), P4 (C4.1, C4.8), P5(C5.1, (C4.1, C4.3, C4.4, C4.8), P3, P6 (C6.1 C6.11), Modular Requirements – P7(C7.2, C7.4, C7.7), P8 C5.3 – C5.5), P6(C6.11), C5.2, P7(C7.2 – C7.4), P8 P7(C7.1, C7.4, C7.5, Module E- CPO Mill – P7(C7.1, C7.7), P8 C7.6), P8 Mass Balance View documentation and View documentation and records relating to Estate View documentation and records relating to estates View documentation and View documentation and management records relating to EIA boundary, HCV and records relating to local records relating to OSH and management plan management plan community and Management System indigenous peoples Good Agricultural Conservation area issues such as EIA, SIA Practice Aspects/impacts of Commitment to management and management plans Witness activities & plantation transparency Area of more than 25o assessment at site Site visit and Commitment to long- Inspection of protected Interviews with (weeding/ harvesting/ assess water sampling term economic and sites with HCV selected staff/workers other maintenance point, water treatment financial viability attributes & interested parties activities) plant, chemical / Safety & Health Visit and discussion .EFB mulching fertilizer store Plantation Boundary practices – witness and land use by with Pengurus Riparian Zone Laws and activities at site neighbour Rancangan, Pengurus River system regulations Hazard Identification Forested area Komuniti, Community including POME Waste Management at and Risk Management Leaders (CSR, discharge estate, line site and Riparian Zone Laws and regulations community affairs), Plantation on dump site Water bodies MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 95 of 120
Attachment 3
Chemical hilly/swampy area Recycling Source of water dependents at line management Waste management activities supply site, surrounding local Interview with workers at field and line site Pollution Plantation on community issues on such as Chemical Chemical store - mitigating plans hilly/swampy area EIA, SIA and handler, safety settler and Commitment to Interview with management plan. committee and Technoplant / fertilizer long-term economic stakeholders and Facilities at workplace contractors. Workshop and financial viability relevant government (surau, rest area, Training Training agencies, if applicable canteen, etc) Facilities provided at Other area identified IPM implementation, Continuous Commitment to living quarters (i.e. during the assessment training and sage use improvement transparency surau, community of agrochemicals Laws and regulations Training center, Tadika, Replanting Other area identified Continuous provision shop & etc) Commitment to long- during the assessment Improvement Plan Consultation with term economic and relevant government financial viability Site visit and agencies, if applicable
Continuous assessment at FELDA Commitment to to Ulu Dengar Improvement Plan long-term economic and financial viability Coverage of assessment : Other area identified transparency, and P1(C1.2), P2, (C2.1), P3, during the assessment Laws and regulations P4 (C4.1, C4.8), P5(C5.1, C5.3 – C5.5), P6(C6.11), Other area identified P7(C7.1, C7.7), P8 during the assessment
View documentation and records relating to EIA and management plan
Aspects/impacts of plantation Site visit and assess water sampling point, water treatment plant, fertilizer store
1.00 – LUNCH BREAK and SHOLAT All
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Attachment 3
2.00pm 2.00 pm – Training Continue with unfinished Laws and regulations Continue with unfinished Site visit and 5.30 pm Emergency elements Waste Management at elements assessment at FELDA Guide(s) for Kahang Palm Oil Mill each preparedness and estate, line site and response dump site assessor Site visit and Other area identified Local sustainable Recycling activities Coverage of assessment : assessment at FASSB during the assessment development Belitong Pollution mitigating P1(C1.2) P2(C2.1 - C2.3), plans P3, P6 (C6.1 C6.11), Continuous Commitment to long- P7(C7.1, C7.4, C7.5, improvement Coverage of assessment : term economic and C7.6), P8 RSPO SCCS P2 (C2.2.2), P3, P4 (C4.1 financial viability - C4.6, C4.8), P5 (C5.1), View documentation and P7(C7.2, C7.4, C7.7), P8 RFB Mulching, POME records relating to local application community and View documentation and Training indigenous peoples records relating to Continuous issues such as EIA, SIA Nursery and R&D improvement and management plans management
Other area identified Interviews with Good Agricultural during the assessment selected staff/workers, Practice FFB Suppliers, Witness activities & contractors, gender assessment at site representatives & (weeding/ spraying/ interested parties harvesting/ Laws and regulation Replanting/ other Workers issues maintenance activities) Facilities at workplace (rest area, etc) Waste management Line site .Training Continuous IPM implementation, improvement training and sage use of agrochemicals Other area identified Commitment to long- during the assessment term economic and financial viability Continuous
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Improvement Plan
Other area identified during the assessment
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Date: 12 December 2012 (Wednesday)
Time Activities / areas to be visited Auditee
7.30 am – Travel to FELDA Plantation Inas Selatan (Div B – Bukit Tongkat), FELDA Bukit Tongkat and FELDA Palm Oil Mill Ulu Belitong. Plantation / 8.30 am Overview of current activities at respective site visited by Plantation / Mill Manager. Mill Manager
Mahzan Selvasingam Hafriazhar Khairul Najwan Dr Zahid
8,45 am – Site visit and Site visit and Site visit and Site visit and Site visit and Guide for 1.00 pm assessment at FELDA assessment at assessment at FELDA assessment at FELDA assessment at, each Plantation Inas FELDA Plantation Inas Ulu Belitong Palm Oil Bukit Tongkat FELDA Plantation Inas Assessor Selatan (Div B – Bukit Selatan (Div B – Bukit Mill Selatan (Div B – Bukit Tongkat) Tongkat) Coverage of Tongkat) Coverage of assessment: Coverage of Coverage of assessment: P2 (C2.1, I2.2.3), P3, Coverage of assessment: assessment: P1(C1.2), P2 (C2.1), P4 (C4.1, C4.3, C4.4, assessment: P1(C1.2), P1, P2,(C2.1), P3, P4 P2 (C2.2.2), P3, P4 P3, P4 (C4.1, C4.8), C4.8), C5.2, P7 (C7.2 - P2(C2.1- C2.3), P3, P6 (C4.1, C4.7, C4.8), P8 (C4.1 -C4.6, C4.8), P5 P5(C5.1,C5.3-C5.6), C7.4), P8 (C6.1 – C6.11), P7 (C5.1), ,P7 (C7.2, C7.4, P6(C6.11), P7(C7.1, (C7.1, C7.4, C7.5, View documentation C7.7), P8 C7.7), P8 View documentation C7.6), P8 and records relating to and records relating to OSH Management View documentation View documentation estates boundary, HCV View documentation System and records relating to and records relating to and management plan and records relating to Estate management EIA and management local community issues Witness activities & plan Conservation area such as EIA, SIA and assessment at site Nursery (if any) Facilities at management management plans i.e. (weeding/ Good Agricultural workplace Area of more than 25o spraying/ Practice (laboratory, water Inspection of Complaints and harvesting/ other Witness activities & treatment plant, ETP, protected sites with grievances maintenance assessment at site boiler, chimney, HCV attributes Land titles user activities) (weeding/ gensets, chemical Plantation Boundary rights Facilities at harvesting/ other store, etc) and land use by Consultation with workplace (water maintenance Recycling activities neighbour relevant government treatment plant, activities) Commitment to Forested area agencies, if clinic, gensets, IPM implementation, transparency Riparian Zone applicable chemical store, training and safe Laws and regulations Water bodies Laws and
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fertilizer store, etc) use of agro- Training Source of water regulations Chemical store – chemicals. Continuous supply Interviews with settler and EFB mulching Improvement Plan River system Administration staff Technoplant / Riparian Zone including POME workers (sprayers, fertilizer River system Other area identified discharge harvesters, general Workshop including POME during the assessment Plantation on workers, etc,), GPW, Commitment to discharge hilly/swampy area Settlers, JKKR, transparency Plantation on Interview with Belia, Koperasi Laws and hilly/swampy area stakeholders and FELDA Layang- regulations Waste management relevant government Layang, Pekebun Emergency at field and line site agencies, if Kecil & interested preparedness and Chemical store – applicable parties response, settler and Commitment to Equal Opportunity, Training Technoplant / transparency Sexual harassment Interview OSH fertilizer Laws and and violence at Committee such as Workshop regulations workplace chemical handlers, Training Training implementation. workers and Continue with Facilities at dependents (related unfinished elements workplace (surau, to Safety and rest area, canteen, Health, etc) Environment, Social Local sustainable and welfare) development Commitment to Visit and discussion long-term economic Pengurus and financial viability Rancangan, Continuous Pengurus Komuniti Improvement Plan and Community Leaders (CSR, community affairs), workers and dependents at line site, surrounding local, community issues on EIA, SIA and management plan.
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1.00 – LUNCH BREAK and SHOLAT All 2.00pm 2.00 – 5.30 Site visit and Commitment to Continue with Site visit and Site visit and Guide for pm assessment FELDA transparency unfinished elements. assessment at FELDA assessment at, each Layang-Layang Laws and Plantation Inas (Div B FELDA Layang- Assessor regulations Site visti FELDA - Bukit Tongkat) Layang Coverage of Commitment to Bukit Tongkat assessment: long-term economic Coverage of Coverage of P1, P2,(C2.1), P3, P4 and financial viability Coverage of assessment: assessment: P1(C1.2), (C4.1, C4.7, C4.8), P8 Continuous assessment: P2 (C2.1, I2.2.3), P3, P2(C2.1- C2.3), P3, P6 Improvement Plan P1(C1.2), P2 (C2.1), P4 (C4.1, C4.3, C4.4, (C6.1 – C6.11), P7 View documentation P3, P4 (C4.1, C4.8), C4.8), C5.2, P7 (C7.2 - (C7.1, C7.4, C7.5,
and records relating to P5(C5.1,C5.3-C5.6), C7.4), P8 C7.6), P8 OSH Management P6(C6.11), P7(C7.1, C7.7), P8 View documentation View documentation Witness activities & and records relating to and records relating to assessment at site View documentation estates boundary, HCV local community issues (weeding / spraying and records relating to and management plan such as EIA, SIA and / harvesting/ EIA and management management plans Replanting / other plan Conservation maintenance Waste Management area management Complaints and activities) at estate, line site and Area of more grievances Facilities at dump site than 25o Land titles user workplace (water Recycling activities Inspection of rights treatment plant, EFB mulching, protected sites with Consultation with clinic, gensets, POME application HCV attributes relevant government chemical store, Facilities at Plantation Boundary agencies, if fertilizer store, etc) workplace (water and land use by applicable Chemical store – sampling point, water neighbour Laws and settler and treatment plant, Forested area regulations Technoplant / gensets, chemical / Riparian Zone Interviews with fertilizer fertilizer store, etc.) Water bodies Administration staff Workshop Laws and Source of water workers (sprayers, Commitment to regulations supply harvesters, general transparency Commitment to long- River system workers, etc,), GPW, Laws and term economic and including POME Settlers, JKKR, regulations financial viability discharge Belia, Koperasi FELDA Layang- MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 101 of 120
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Emergency Training Plantation on Layang, Pekebun preparedness and Continuous hilly/swampy area Kecil & interested response, improvement Interview with parties Training stakeholders and Equal Opportunity, Interview OSH relevant government Sexual harassment Committee such as agencies, if and violence at chemical handlers, applicable workplace workers and Commitment to implementation. dependents (related transparency Facilities at to Safety and Laws and workplace Health, regulations Local sustainable Environment, Social Training development and welfare) Continue with Visit and discussion Commitment to unfinished elements Pengurus long-term economic Rancangan, and financial viability Pengurus Komuniti Continuous and Community Improvement Plan Leaders (CSR, community affairs), workers and dependents at line site, surrounding local community issues on EIA, SIA and management plan.
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Date: 13 December 2012 (Thursday) Time Activities / areas to be visited Auditee
8.00 a.m. – Travel to FELDA Bukit Tongkat, FELDA Layang-Layang and FELDA Ulu Belitong Palm Oil Mill Overview of current activities at Plantation / Mill 9.00 a.m. respective site visited by Plantation / Mill Manager. Manager
Mahzan Selvasingam Hafriazhar Khairul Najwan Dr. Zahid 9.00 a.m – FELDA Ulu Belitong Site visit and Site visit and Site visit and Site visit and 1.00 p.m Palm Oil Mull assessment at FELDA assessment at assessment at FELDA assessment at Bukit Tongkat FELDA Plantation Inas Layang-Layang FELDA Bukit Tongkat Guide(s) for Coverage of Selatan (Div B – Bukit each assessor assessment: Coverage of Tongkat) Coverage of Coverage of P1, P2,(C2.1), P3, P4 assessment: assessment: assessment: P1(C1.2), (C4.1, C4.7, C4.8), P8, P2 (C2.2.2), P3, P4 Coverage of P2 (C2.1, I2.2.3), P3, P2(C2.1- C2.3), P3, P6 Modular Requirements (C4.1 -C4.6, C4.8), P5 assessment: P4 (C4.1, C4.3, C4.4, (C6.1 – C6.11), P7 - Module E _ CPO Mill (C5.1), ,P7 (C7.2, C7.4, P1(C1.2), P2 (C2.1), C4.8), C5.2, P7 (C7.2 - (C7.1, C7.4, C7.5, – Mass Balance C7.7), P8 P3, P4 (C4.1, C4.8), C7.4), P8 C7.6), P8 P5(C5.1,C5.3-C5.6), View documentation View documentation P6(C6.11), P7(C7.1, View documentation View documentation and records relating to and records relating to C7.7), P8 and records relating to and records relating to OSH Management Estate management estates boundary, HCV local community and View documentation and management plan indigenous peoples Commitments Good Agricultural and records relating to issues such as EIA, to transparency Practice EIA and management Conservation SIA and management Commitment to Witness activities & plan area management plans long-term economic assessment at site Area of more o and financial viability (weeding/ spraying/ Facilities at than 25 Interviews with Safety & Health harvesting/ other workplace (water Inspection of selected practice – witness maintenance treatment plant, protected sites with staff/workers such activities at site activities) clinic, gensets, HCV attributes as sprayers, Hazard EFB mulching chemical store, Plantation Boundary general workers, chemical mixing identification and Risk Riparian Zone fertilizer store, etc) and land use by etc, Administration Management River system Recycling neighbour staff, Union Laws and including POME activities Forested area members & regulations discharge Waste Management Riparian Zone MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 103 of 120
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Chemical Plantation on at estate, line site Water bodies interested parties management hilly/swampy area and dump site Source of water Visit and discussion Interview with Waste Commitment to supply with management workers such as management at field transparency River system (CSR, community chemical handler, and line site Laws and including POME affairs), workers safety committee and Chemical regulations discharge and dependents at contractors store/fertilizer Training Plantation on line site, Training Estate Continuous hilly/swampy area surrounding local Emergency Workshop Improvement Plan Interview with community issues on EIA, SIA and preparedness and Commitment to stakeholders and response, transparency relevant government management plan. Local Laws and agencies, if Facilities at sustainable regulations applicable workplace (surau, development Commitment to Laws and rest area, canteen, Continuous long-term economic regulations etc) improvement and financial viability Training Facilities provided at living quarters RSPO SCC Continuous (i.e. surau, Improvement Plan community center,
provision shop &etc) Consultation with relevant government agencies, if applicable Commitment to to long-term economic and financial viability transparency, and Laws and regulations
1.00 – LUNCH BREAK and SHOLAT All 2.00pm 2.00 pm – Site visit and Site visit and Continue assessment Site visit and MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 104 of 120
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5.30 pm Other area identified assessment at FELDA assessment at assessment Ulu Guide(s) for during the assessment Layang-Layang FELDA Layang- Belitong Palm Oil Mill each assessor Layang
Coverage of Coverage of assessment: Continue assessment assessment: Coverage of P1(C1.2), P2(C2.1- P2 (C2.2.2), P3, P4 assessment: C2.3), P3, P6 (C6.1 – (C4.1 -C4.6, C4.8), P5 P1(C1.2), P2 (C2.1), C6.11), P7 (C7.1, C7.4, (C5.1), ,P7 (C7.2, C7.4, P3, P4 (C4.1, C4.8), C7.5, C7.6), P8 C7.7), P8 P5(C5.1,C5.3-C5.6), P6(C6.11), P7(C7.1, View documentation and Good Agricultural C7.7), P8 records relating to local Practice community issues such Witness activities & View documentation as EIA, SIA and assessment at site and records relating to management plans (weeding/ spraying/ EIA and management harvesting/ other plan Interviews with maintenance selected staff/workers, activities) Facilities at workplace FFB suppliers, EFB mulching (water treatment plant, contractors, gender representatives & Riparian Zone clinic, gensets, interested parties River system chemical store, Laws and regulations including POME fertilizer store, etc) discharge Recycling activities Workers Issues Plantation on Waste Management at Facilities at workplace hilly/swampy area estate, line site and (rest area, etc) Waste management dump site Line site at field and line site Commitment to Continuous Chemical transparency improvement store/fertilizer Laws and regulations Estate Workshop Training Other area identified Commitment to Continuous during the assessment Improvement Plan transparency Laws and regulations Commitment to long-term economic and financial MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 105 of 120
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viability Continuous Improvement Plan
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Date: 14 December 2012 (Friday)
Time Activities / areas to be visited Auditee
8.00 a.m. – Travel to Dewan JKKR Ulu Belitong 8.30 a.m. Representative of FELDA Certification Unit – Ulu Belitong Palm Oil Mill Complex and FELDA Kahang Palm Oil Mill Complex Certification Unit Mahzan Selvasingam Hafriazhar KhairulNajwan Dr Zahid 8.30 a.m. – Continue with Continue with Continue with Continue with Continue with 12.00 p.m. unfinished elements unfinished elements unfinished elements unfinished elements unfinished elements
Verification on outstanding issues for,FELDA Certification Unit – Ulu Belitong Palm Oil Mill Complex and FELDA Kahang Palm All Auditore Oil Mill Complex Certification Unit
Assessor to inform auditee on the required document / records
12.00 p.m. – LUNCH BREAK and SHOLAT All 2.30 p.m 2.30 p.m. – 3.30 p.m. Continue Audit Team discussion and preparation of assessment findings. All Auditors
3.30 p.m. – Discussion and acceptance on assessment findings FELDA Ulu Belitong Palm Oil Mill Complex and FELDA Kahang Palm Oil Auditors, Mill 4.30 p.m. Mill Complex Certification Unit and Plantation Managers 4.30 pm – Closing meeting - presentation of FELDA Certification Unit – Ulu Belitong Palm Oil Mill Complex and FELDA Kahang Palm Oil 5.00 pm All Mill Complex Certification Unit
5.00 pm End of assessment All
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LIST AND COMMENTS FROM STAKEHOLDER
List of Stakeholders Comment highlighted* Verification A : Government Agencies/Service Provider 1. District and Land Office, District of Kluang No issue None 2. The Department of Labor, District of Kluang No issue None 3. The Forestry Department, District of Kluang No comment None 4. The Police Headquarters, District of Kluang No issue None 5. Malaysian Palm Oil Board, Research Station, Kluang No issue None 6. Malaysian Palm Oil Board, Kluang Branch No issue None 7. Malaysian Palm Oil Board, Bandar Tenggara No issue None 8. GiatMara, Sembrong No issue None 9. GiatMara, District of Kluang No comment None 10. The Public Works Department, District of Kluang No issue None 11. The Department of Wildlife and National Park, District of Kluang No issue None 12. The Fire and Rescue Station, District of Kluang No issue None 13. The Office of Municipal Council, District of Kluang No comment None 14. The Education Office, District of Kluang No issue None 15. The Department of Agricultural, District of Kluang No comment None 16. The Department of Community Development, Johor Specific plan on Wildlife Management and On-going Biodiversity Conservation be developed 17. The Department of Social Welfare, District of Kluang No issue None 18. The Department of Youth and Sports, District of Kluang No issue None 19. The Office of Islamic Religion, District of Kluang No issue None MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 108 of 120
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20. The (Rubber Industry Smallholders Development Authority) RISDA No issue None Office, District of Kluang 21. The Religious Education Department, District of Kluang No issue None 22. The Office of Veterinary Services, District of Kluang No issue None 23. TNB Distribution Sdn Bhd, District of Kluang No issue None 24. Department of Environment (DOE), District of Kluang No issue None 25. The Malayan Railway Berhad, District of Kluang No issue None 26. The Department of Aboriginal Affairs, District of Kluang No issue None 27. The Immigration Office, Kluang. No issue None 28. The Royal Customs Office, Kluang No comment None 29. The Meteorological Department Office, District of Kluang No issue None 30. The Federal Agricultural and Marketing Authority (FAMA) Office, District No issue None of Kluang 31. The Water Supply Department, District of Kluang No issue None 32. Employees Provident Fund, Kluang No issue None 33. The District Office, District of Kulaijaya Where can one get information on RSPO Answer was at FELDA website 34. The Land Office, District of Kulaijaya No issue None 35. The Biotechnology and Biodiversity Corporation, Johor No issue None 36. The Department of Tourism, Johor No issue None 37. SIRIM Berhad, South Region, Johor No issue None 38. The Royal Malaysian 33rd Artillery Regiment, Kem Mahakota, Kluang No issue None 39. FELCRA Berhad, Wilayah Sedenak No issue None
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B. External Stakeholders 40. Ladang Sungai Yong No issue None 41. Sime Darby Plantations, Ladang Cenas No issue None 42. Renggo Malay Estate Sdn Bhd No issue None 43. Permodalan Pelangi Sdn Bhd., Ladang Pelangi No issue None 44. Ladang Sindora, Kluang No issue None 45. SAJ Holdings Sdn Bhd No issue None C. Internal Stakeholders 46. Manager, FELDA Layang-Layang, Kluang No issue None 47. Manager FELDA Kahang Barat, Kluang No issue None 48. Manager, FELDA Ulu Dengar, Kluang No issue None 49. Manager FELDA Bukit Batu, Kluang No issue None 50. Manager, FELDA Bukit Tongkat, Kluang No issue None 51. Manager, FELDA Ayer Hitam, Kluang No issue None 52. Manager, FELDA Ulu Penggeli, Kluang No issue None 53. Manager, FELDA Ulu Belitong, Kluang No issue None 54. Manager, FELDA Nitar 1, Mersing No issue None 55. Manager FELDA Nitar 2, Mersing No issue None 56. Manager, FELDA Nitar Timur, Mersing No issue None 57. Manager FELDA Segamat Region No issue None 58. Agronomist, FELDA Agriculture Services Sdn Bhd No issue None 59. Manager, FELDA Technoplant Sdn Bhd, Segamat No issue None Region 60. Manager, FELDA Technoplant Sdn Bhd, Kahang Barat No issue None MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 110 of 120
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61. Manager, FELDA Technoplant Sdn Bhd, Ulu Dengar No issue None 62. Mill Manager, FELDA Palm Industries Sdn Bhd., Belitong Palm Oil Mil No issue None 63. Mill Manager, FELDA Palm Industries Sdn Bhd., Kahang Palm Oil Mill No issue None D : Local Communities 64. Ibrahim Bin Ali No issue None 65. Hj Mohd Anuar Bin Zakaria No issue None 66. Akob Bin Sedek No issue None 67. Shahrin Bin Omar No issue None 68. Mujahid B Abdul Wahab No issue None 69. Hj Abdul Karim Bin Abu Bakar No issue None 70. Roszila Bt Mat Salleh No issue None E : Other interested parties 71. FELDA Plantations Inas Selatan, Division B – workers representatives No issue None 72. FELDA Plantations Inas Selatan, Division B – sprayer No issue None 73. FELDA Plantations Inas Selatan, Division B – chemical store operator No issue None 74. FELDA Plantations Inas Selatan, Division B – FFB harvesters No issue None 75. FELDA Plantations Inas Selatan, Division B – safety & health No issue None committee member 76. FELDA Bukit Tongkat – workers representatives No issue None 77. FELDA Bukit Tongkate – female representatives No issue None 78. FELDA Bukit Tongkat – chemical handler No issue None 79. FELDA Bukit Tongkat – office staff representatives Which of the two Government None required. Department, Forestry of District Answer given was Land Office is responsible for forest under forest Forest and forest boundary department while MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 111 of 120
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forest boundary is the jurisdiction of District Land Office. 80. FELDA Belitong POM – safety & health committee member No issue None 81. FELDA Belitong POM – production operator No issue None 82. FELDA Belitong POM – female representative No issue None 83. FFB suppliers (9) No issue None
* No issues means that no response received to the letters sent. Upon and following up, there was still no response
* No comment means that no response received during attendance of stakeholders’ consultation meeting or no response received to the letters sent. Upon following up, the stakeholder informed that they did not have any comment.
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DETAIL OF NON CONFORMITY AND CORRECTIVE ACTIONS TAKEN
P & C, Classification Detail Non conformance Corrective Action Taken Verification by Assessor Indicators Major / Minor
2.1.1 Major 1. The Fire Certificate (Fire Services Act 1. POM had submitted letter of 1. Letter of exemption MM 01 1988) had not been identified in the exemption from the from the BOMBA was legal register: POM and hostel at FP requirement of a Fire verified. Inas Selatan (Div. B – Bukit Tongkat) Certificate from BOMBA. Also do not have Fire Certificate. visit by BOMBA had been 2. CHRA for contractor 2. CHRA had not been conducted for made on 24 September 2013 workers at Layang- contractor workers (extended and in its response letter Layang was verified. employee) at Layang-Layang as dated 30 September 2013 required by Use and Standards of indicating the non-requirement Exposure of Chemicals Hazardous to for the certificate. Status: Closed. Health Regulations 2000 2. CHRA had been conducted and its report issued in March 2013.
2.2.1 Major The legal ownership of the land including Land title has obtained from legal Land title for Felda STK 01 history of land tenure was not available at department. Plantation Inas Selatan Felda Plantation Inas Selatan Div B Division B has been verified.
Status: Closed.
4.1.1 Major 1. Circle spraying – The palms in the Training was carried out on GAP Photographs of training on STK 02 replants (immature areas) in Ladang inclusive of circle spraying, GAP inclusive of circle Inas Selatan Div B were not sprayed pruning, harvesting and frond spraying, pruning, as specified in the Manual Operasi stacking on 11.01.13. harvesting and frond Ladang Sawit Lestari resulting in the stacking and attendance palm being cover by cover crop and list were sighted. weeds. Program for circle spraying
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2. Pruning- The Manual Operasi Ladang was established and Sawit Lestari a minimun of 3 fronds implemented. should be left behind form palms less than 7 years old. In Ladang Inas Status: Closed. Selatan Div B young palms had no fronds left below the lowest bunch.
3. Harvesting – Ripe Oil Palm Fruit Bunches were not harvested from young palms in Ladang Inas Selatan Div B. In some palms the bunches were already rotten.
4.2.3 Minor Zero burning replanting not carried out. Development of management The management plan and HMM 01 Observed chipped palm material was plan and action plan on open action plan was developed found burnt in the replant PKT 1 in Layang burning issue as follows: and found satisfactorily. Layang estate 1. Circulation of zero burning enforcement within plantation Record Pemantauan amongst all settlers/land kawasan ladang on open owners burning was verified. 2. Establishment of open burning monitoring team Result of monitoring 3. Meeting with settlers/land record of open burning owners to discuss findings of activities has been periodical monitoring report. discussed in meeting with settlers/land owners
The implementation record of periodical monitoring on open burning had been submitted as evident of preventive action taken.
Status: Closed. MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 114 of 120
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4.3.1. Minor Documented evidence of practices Road maintenance being carried Program for Road STK 03 minimizing soil erosion and degradation out in 2013. Frond stacking maintenance to be carried was not appropriately carried out. training carried out. Frond staking out in 2013 sighted and Observed the following has implemented in accordance photographs of training on 1. Road Maintenance – Many Roads in with Manual Operasi Ladang GAP inclusive of Frond Ladang Inas Selatan Div B and some Sawit Lestari. Photograph was Stacking and attendance in Bukit Tongkat were badly eroded submitted to the auditor list were sighted and found making it very difficult for vehicles to acceptable. maneuver. Status : Closed 2. Stacking on Fronds – It was observed pruned fronds were stacked along the slope and not against the slope, as stated in the Manual Operasi Ladang Sawit Lestari , in Ladang Inas Selatan Div B.
4.5.2 Minor Extensive damage by Oryctes rhinoceros Collection and census of beetles Census figure were STK 04 was observed in the immature areas of are being carried. provided for January & Ladang Inas Selatan Div B and in Ladang February 2013. Program Bukit Tongkat. In Bukit Tongkat 117 Traps to be installed as per SOP to install traps provided. beetles were collected by Auditors from 2 Manual Operasi Sawit Lestari. Pheromone Traps which indicates a high Status: Closed. population of this pest.
4.6.10 Minor Records of usage, including active The required figures have been Information about STK 05 ingredients used, area treated, amount complied and maintained i.e. pesticide usage, active applied per ha and number of applications Rekod Racun dan Pengiraan.. ingredients, area treated, were not maintained at Bukit Tongkah and amount applied per ha and Layang laying estates. number of applications were recorded in Rekod Racun dan Pengiraan for MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 115 of 120
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Bukit Tongkah and Layang layang .
Status: Closed. . 4.8.1 Major 1. The mill personnel had not been The following training had been Training program, signed MM 02 trained on the RSPO Supply Chain conducted attendance list and Certification Standard 1. RSPO SCCS on 26 February photographs had been 2. Training on Environmental aspect and 2013 for related Mil personnel. submitted to assessor. impact identification / assessment, 2. RSPO Awareness on Action taken are Hazard Identificaion, Risk Assessment 11/01/13, EIA ,and HIRADC acceptable. and Determining Control and Legal on 16/01/13, HCV on 25/01/13 Awareness and Compliance not being and SIA on 01/02/13 for staff, Status: Closed. fully implemented for operational staff smallholders, workers and and settlers at the estates. contractor .t 3. Training for HCV monitoring especially for buffer zone was not done at Bukit Tongkat, FP Inas Selatan (Div B) and Ulu Belitong.
5.2 SCCS Major The Ulu Belitong Palm Oil Mill has not The SOP for RSPO SCCS Sighted the RSPO SCCS MM03 established the required written Document No. FGVPM-RSPO Document No. FGVPM- procedures and/or work instructions for SCCS, Issue No. 1, dated 1 RSPO SCCS, Issue No. Module E – CPO Mill: Mass Balance December 2012 had been 1 (1/12/2012) sent and developed and approved by found acceptable meeting management. the requirements of SCCS of 5.2.1 of Module E – CPO Mill. The implementation of said document is currently on hold pending the certification of RSPO.
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Status: Closed.
5.2.3 Minor A commitment to discourage any illegal or The action plan has been Consultation with wildlife NAJ 01 inappropriate hunting or collecting conducted by consulting the department was activities, and developing responsible Wildlife Department. The conducted and monitoring measures to resolve human-wildlife monitoring book has been created book was established. conflicts was not adequate. Site review at to monitor the wildlife not specific Felda Layang-Layang it was found there to porcupine, but including wild Status: Closed were a cages to trap the porcupine boar, monkeys and cows. In without any assessment or responsible addition, FELDA Layang Layang measure to resolve human-wildlife has taken drastic decision by conflicts. demolishing the cages to prevent misuse of the cages by the workers or staff including smallholders.
6.4.1 Major A procedure for identifying legal and Procedure Perundingan Hak Procedure Perundingan ZE02 customary rights was not available in all Perundangan dan Hak Adat had Hak Perundangan dan estates and mill audited in Belitong been developed. Hak Adat had been viewed Complex. and acceptable.
There was no such issues with all stakeholders todate.
Status: Closed.
6.4.2 Minor A procedure for calculating and Procedure Perundingan Procedure Perundingan ZE03 distributing compensation was not Pengagihan Pampasan had been Pengagihan Pampasan available in all estates and mill audited in developed. had been developed and Belitong Complex. acceptable.
There was no such issues MSC/RSPO/DOC/06-02 Issue 1 Rev. 0 Page 117 of 120
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with all stakeholders todate.
Status: Closed.
6.4.3 Minor The process of any compensation claims Till todate no compensation claim Record show no ZE04 had not been documented and record not made by Belitong complex. compensation claim made available. by Belitong complex.
Status: Closed.
6.5.3 Minor Foreign workers were housed in cabins. Plans had been made to construct The photographs showing ZE 05 This was not in accordance with the workers’ housing that meet the evidence that the hostel Workers’ Minimum Standard of Housing Workers’ Minimum Standard of were under construction in and Amenities Act 1990 (Act 446). Housing and Amenities Act 1990 March 2013 was found (Act 446). Building construction acceptable. was started in March 2013. Status: Closed.
6.6.1 Major No records of minutes of meetings with Actions were taken to obtain the Minutes of meeting had ZE01 trade unions or workers at FELDA Inas minutes. been sighted by the Selatan Div. B, Layang-Layang, Bukit assessor and found Tongkat and KKS Belitong. acceptable.
Status: Closed.
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OFIs:
Indicator Detail of OFI Best management practices should be in place for other fragile and problem soils (e.g. sandy, low organic matter 4.3.5 and acid sulphate soils). The good practice for managing sandy soils in CU (Inas Selatan Div. B Estate) plantation area can be further improved by applying the slope protection application on the river bank where serious erosion problems occurs Evidence of water management plans. 4.4.7 The good practice of water management plans which include the raw water treatment for operational and potable usage by CU (Ulu Belitong Mill) can be further improved by specifically displaying the water treatment chemical dosing quantity on-site.
All operations have been risk assessed and documented 4.7.1b Although HIRADC register had been established, confusion in filling hazard and risk column exist and revision to it is in order. OSH yearly plan for estate can be further improved by conducting the legal compliance evaluation program The post-mortem report following emergency response drill could be improved to detail out time of events against outcome. Involvement of Safety & Health Committee at estates could be further improved by active participation in all OSH programs and activities, among them, Workplace Inspection, attendance at quarterly OSH meeting, etc. While some Oxy-acetylene gas cylinders are fitted with flashback arrestors ther balance were not. The First aid box content to be updated as some items were found missing. Members FP Inas SHE Committee between Employer Representative and Employee Representative to be balanced.
Documented aspects and impacts risk assessment that is periodically reviewed and updated 5.1.1 The assessment of aspects and impacts risk assessment can be further improved by including any additional activity either permanent or temporary such as provision of nursery service under CU (FASSB UluBelitong) administration need to be assess its environmental aspects and impacts and updated its documents accordingly.
Environmental improvement plan to mitigate the negative impacts and promote the positive ones, is developed, 5.1.2 implemented and monitored The performance of environmental improvement plan to mitigate negative impacts implemented within CU (Bukit Tongkat Estate) can be further improved by frequently updating its environmental performance status monitoring in
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proper documentations format. Identification and assessment of HCV habitats and protected areas within landholding; and attempt assessment of 5.2.1 HCV habitats and protected areas surrounding landholdings The High Conservation Value Assessment Report has been conducted for Kompleks FELDA Ulu Belitong. However, the map in the assessment report did not tally with the map in the FELDA Bukit Tongkat office.
During the interview with the staff and workers, it was noted that porcupine were commonly sighted at the estate borders. However, it was not highlighted in the assessment report. Therefore, the HCV Assessment report need to improved.
Documented identification of all waste products and sources of pollution 5.3.1 The records of all waste products and sources of pollution identified by CU (Inas Selatan Div. B Estate) can be further improved by consistently updating the information of daily or weekly waste generated stored and recycled/disposed especially for the empty chemical containers.
Having identified wastes and pollutants, an operational plan should be developed and implemented, to avoid or 5.3.2 reduce pollution. The operational plan developed by all CUs (Ulu Belitong Mill, FASSB Ulu Belitong, Bukit Tongkat Estate, Inas Selatan Div. B Estate and Layang Layang Estate) to avoid or reduce pollution can be further improved its implementation by including both work (mill /estate) and community (quarters/village) area.
Documented plans to mitigate all polluting activities. 5.6 The plans to mitigate all polluting activities by CU (Ulu Belitong Mill) can be further improved by specifying the actual program especially for polluting activities being legally compound by the authority for non-compliance (discharged POME exceeded the BOD limit) in its RSPO documentations and file A documented social impact assessment including records of meetings 6.1.1 There is a SIA for Belitong Complex. However there are certain items in the survey questionnaire which are not discussed in the report. It is suggested that the report be modified to suit the items in the questionnaire.
Maintenance of a list of stakeholders, records of all communication and records of action taken in response to input 6.2.3 from stakeholders. There is a list of stakeholders, internal and external. However, it is suggested that the list of external stakeholders be updated to include immediate neighbours who were missed out in the present list.
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