PUBLIC SUMMARY REPORT ANNUAL SURVEILLANCE ASSESSMENT (ASA3) SIME DARBY PLANTATION Sdn Bhd Management Unit SOU20 Batu Pahat, Johor, Malaysia Report Author Charlie Ross – Prepared July 2013 BSi Group Singapore Pte Ltd (Co. Reg. 1995 02096-N) BSi Services Malaysia Sdn Bhd (Co.Reg. 804473 A) 1 Robinson Road B-08-01, Level 8, Block B, PJ8 #15-01 AIA Tower No. 23, Jalan Barat , Seksyen 8 SINGAPORE 048542 46050 Petaling Jaya Tel +65 6270 0777 SELANGOR MALAYSIA Fax +65 6270 2777 Tel +03 79607801 (Hunting Line) Aryo Gustomo: [email protected] Fax +03 79605801 www.bsigroup.sg [email protected] ii TABLE of CONTENTS Page No SUMMARY ................................................................................................................................................................... 1 ABBREVIATIONS USED ................................................................................................................................................. 1 1.0 SCOPE OF SURVEILLANCE ASSESSMENT ........................................................................................................ 1–6 1.1 Identity of Certification Unit ........................................................................................................................ 1 1.2 Production Volume ...................................................................................................................................... 1 1.3 Certification Details ...................................................................................................................................... 1 1.4 Description of Supply Base ........................................................................................................................... 1 1.5 Progress against Time Bound Plan ............................................................................................................... 6 1.6 Progress of Associated Smallholders/Outgrowers towards RSPO Compliance ........................................... 6 1.7 Organisational Information/Contact Person ................................................................................................ 6 2.0 ASSESSMENT PROCESS...................................................................................................................................... 7 2.1 Assessment Team Members ........................................................................................................................ 7 2.2 Assessment Programme ............................................................................................................................... 7 2.3 Stakeholder Consultation ............................................................................................................................. 7 3.0 ASSESSMENT FINDINGS .............................................................................................................................. 7–16 3.1 Summary of Findings .................................................................................................................................... 7 3.2 Identified Nonconformities and Noteworthy Positive and Negative Observations (ASA3) ....................... 14 3.3 Status of Nonconformities (Major and Minor) Identified during Previous Assessments........................... 15 3.4 Issues Raised by Stakeholders .................................................................................................................... 16 4.0 CERTIFIED ORGANISATION’S ACKNOWLEDGEMENT OF INTERNAL RESPONSIBILITY ........................................ 16 4.1 Date of next Surveillance Visit.................................................................................................................... 16 4.2 Date of Closing Nonconformities (Major and Minor)................................................................................. 17 4.3 Sign-off of Surveillance Assessment Findings ............................................................................................ 17 LIST of TABLES 1 Mill GPS Location ..................................................................................................................................................... 1 2 Production Tonnages. .............................................................................................................................................. 1 3 FFB Tonnages Processed ......................................................................................................................................... 1 4a Age Profile of SOU20 Palms ..................................................................................................................................... 6 4b SOU20 Estates and Areas Planted ........................................................................................................................... 6 5 Status of Nonconformities ..................................................................................................................................... 17 LIST of FIGURES 1 SOU20 Location Map ............................................................................................................................................... 2 2 Chaah Estate Layout ................................................................................................................................................ 3 3 North Labis Estate Layout ........................................................................................................................................ 4 4 Sungai Simpang Kiri Estate Layout ........................................................................................................................... 5 5 BOD (mg/L) of Treated Mill Effluent ........................................................................................................................ 8 6 Average Annual FFB Yield (t/ha/yr) ......................................................................................................................... 9 7 Average Annual OER (%) .......................................................................................................................................... 9 8 Annual Mill Water Usage (t/t FFB) ........................................................................................................................ 10 9 Mill Energy Usage (kWh/t CPO) ............................................................................................................................. 12 LIST of APPENDICES A Supply Chain Assessment B Sime Darby Time Bound Plan C ASA3 Programme D List of Stakeholders Contacted E Evidence for Closing Nonconformity CR07 Public Summary Report – RSPO Annual Surveillance Assessment (ASA3) Page 1 SUMMARY Table 2. The PK extraction rate increased significantly during the year due to improvements in the palm kernel mill, such BSi Group Singapore Pte Ltd (BSi) has conducted the Annual as reduced losses in the fibre cyclone and improved Surveillance Assessment (ASA3) of Sime Darby Plantation efficiency of the nut-cracking equipment. Sdn Bhd Strategic Operating Unit SOU20 (SOU20) comprising Chaah Mill, supply base, support services and infrastructure. BSi concludes that SOU20 operations comply with the Table 2: Production Tonnages requirements of RSPO Principles & Criteria: 2007 ; MY-NI Indicators and Guidance : 2010; and RSPO Supply Chain Chaah Palm Oil Mill CPO PK Certification Standard : November 2011, Module D – CPO Mills : Segregation Estimate at Certification 22,378 7,362 BSi recommends the continuation of the approval of SOU20 as a producer of RSPO Certified Sustainable Palm Oil. ASA1 Actual 18/11/11 – 17/11/12 27,996 6,598 ASA2 Actual 01/07/11 – 30/06/12 22,942 5,186 ABBREVIATIONS ASA3 Actual 01/04/12 – 31/03/13 22,754 7,047 AMESU All Malayan Estates Staff Union BOD Biological Oxygen Demand Projected 01/04/13 – 31/03/14 25,124 7,222 CDA Controlled Droplet Application CHRA Chemical Health Risk Assessment CPO Crude Palm Oil DOE Department of Environment DOSH Department of Occupational Safety & Health 1.3 Certification Details EFB Empty Fruit Bunch FFB Fresh Fruit Bunch Sime Darby RSPO Membership No: 035-04(O) HCV High Conservation Value BSi RSPO Certificate No: SPO 548299 HIRAC Hazard Identification Risk Assessment Control Initial Certification Assessment: 26, 27 & 29 June 2009 MAPA Malayan Agricultural Producers Association Date of Certification: 18 November 2010 MPOB Malaysian Palm Oil Board MY-NI Malaysian National Interpretation NUPW National Union of Plantation Workers OSHAS Occupational Safety & Health Assurance System 1.4 Description of Supply Base OSH Occupational Safety & Health PK Palm Kernel The Chaah Mill supply base is FFB from the three company POME Palm Oil Mill Effluent owned Estates, Chaah, North Labis and Sungai Simpang Kiri. PPE Personal Protective Equipment The FFB production from Company owned Estates for the R&D Research and Development Initial Certificate and actual production for the 12 months SIA Social Impact Assessment previous to ASA3 are listed in Table 3, together with the SOP Standard Operating Procedure projection for the next year. The crop from North Labis Estate will be supplied to another Sime Darby Mill in 2013/2014 and Chaah Mill is projected to process only the 1.0 SCOPE OF SURVEILLANCE ASSESSMENT crop from Chaah and Sungai Simpang Kiri Estates. 1.1 Identity of Certification Unit Table 3: FFB Tonnages Processed The SOU20 Chaah Mill and Estates are located at Batu Pahat, Johor (Figure 1). Additional maps