Expert Consultation on: “Direct and indirect impact of biofuel policies on tropical deforestation in Malaysia” 20-22 November 2008, Kuala Lumpur, Malaysia Editors: J.F. Dallemand, K. Sundram, H.J. Stibig EUR 23979 EN - 2009 The mission of the JRC-IE is to provide support to Community policies related to both nuclear and non-nuclear energy in order to ensure sustainable, secure and efficient energy production, distribution and use. European Commission Joint Research Centre Institute for Energy Contact information Joint Research Centre Institute for Energy Renewable Energy Unit TP 450 I-21027 Ispra (Va) Italy E-mail: [email protected] Tel.: 39 0332 78 9937 Fax: 39 0332 78 9992 http://ie.jrc.ec.europa.eu/ http://www.jrc.ec.europa.eu/ Legal Notice Neither the European Commission nor any person acting on behalf of the Commission is responsible for the use which might be made of this publication. 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Stibig Acknowledgements This Expert Consultation on “Direct and indirect impact of biofuel policies on tropical deforestation in Malaysia", was held in Kuala Lumpur, Malaysia on 20-21 November 2008. This meeting was jointly organised by Jean-Francois Dallemand (Biofuels Action, Renewable Energies Unit, Institute for Energy, Joint Research Centre, European Commission), Kalyana Sundram (Malaysian Palm Oil Council - MPOC) and Hans-Jürgen Stibig (TREES Action, Institute for Environment and Sustainability, Joint Research Centre, European Commission). The organisers acknowledge the input from all the participants and from the chairs and rapporteurs: Datu Hj. Len Talif Salleh (Forest Department Sarawak, Malaysia), Chan Kook Weng (Malaysian Palm Oil Board, Malaysia), Steffen Preusser (Sime Darby Plantation, Malaysia), Gary Theseira (Forest Research Institute Malaysia), Nils Rettenmaier (Institute for Energy and Environmental Research, Germany), Birka Wicke (Utrecht University, Netherlands) and Wolter Elbersen (Wageningen University). The preparation of the Proceedings benefited from the input from Nicolae Scarlat (Institute for Energy, Joint Research Centre, European Commission) and Michael Ng Foo Yuen (Malaysian Palm Oil Council). Special thanks to Yusof Basiron (CEO Malaysian Palm Oil Council) and Peter Chin Fah Kui (Malaysian Plantation Industries and Commodities Minister) for their support. The support of Vincent Van Den Berk (Project officer, European Commission Delegation to Malaysia) and Vincent Piket (Head of European Commission Delegation to Malaysia) has also been very useful. This meeting was organised within the framework of the activities of the Biofuels/Bioenergy Action (Institute for Energy, Joint Research Centre, European Commission). The digital version of the Proceedings can be found on the Biofuel /Bioenergy web site (http://re.jrc.ec.europa.eu/biof/). 5 6 Table of Content Acknowledgements …..……………………………………………………………………….……..……..…… 5 Introduction to Session 1: Forest monitoring & deforestation. Objectives and topics to be discussed: how to improve knowledge on forest change and its relation to oil palm development …….…….……..………………………………………………….…………………………....… 11 H.J. Stibig, Global Forest Monitoring Project (TREES-3): South & Southeast Asia, European Commission, Joint Research Centre, Institute for Environment and Sustainability, Italy Direct and indirect impacts of biofuels policies (national, European and global) on deforestation …………………….…………………………………………………………………………….... 23 J. Wong, Forest Department Sarawak, Malaysia Report on Session 1: Deforestation–forest monitoring …………….…………..…...………………..... 31 G. Theseira, Tropical Forest Biodiversity Centre, Forest Research Institute Malaysia (FRIM), Malaysia Introduction to Session 2: GHG emissions, from oil palm cultivation to biodiesel production …. 41 M. Basri Wahid, Malaysian Palm Oil Board, Malaysia Report on Session 2: LCA and GHG emissions …………….……………...…...…………..………….... 55 N. Rettenmaier, IFEU - Institute for Energy and Environmental Research Heidelberg, Germany Introduction to Session 3: Status of biofuels sustainability certification and wildlife conservation ……..……………………………………………………………………………………………... 61 S. Preusser, Sime Darby Plantation, Malaysia Report on Session 3: Sustainability certification and wildlife conservation …………………..……. 81 B. Wicke, Science, Technology and Society Group, Copernicus Institute for Sustainable Development and Innovation, Utrecht University, The Netherlands Closing remarks ………………..………………….…..…..………..…………..………………….....……….. 87 W. Elbersen, Wageningen University and Research Centre, The Netherlands Meeting Motivation ……………………………………………………………………………........…...…..… 91 Meeting Agenda ……………………………………………………………...……………………….....……... 97 List of Participants ……………………………………….………………………………...……………….... 101 Annexes Annex 1. Carbon footprint of Malaysian palm oil and future areas of research .………………….. 111 Chan Kook Weng, Malaysian Palm Oil Board (MPOB), Selangor, Malaysia Annex 2. Tropical lowlands peats: to conserve or develop them? .……………....……………..….. 129 S. Paramananthan, Param Agricultural Soil Surveys (M), Petaling Jaya, Malaysia Annex 3. The LCA approach to illustrate palm oil’s sustainable advantage .………..……….….... 149 C. Sau Soon, Environment & Bioprocess Technology Centre, Selangor, Malaysia Annex 4. Comparative LCA analysis of different edible oils and fats .………………….…....…….. 161 K. Kinabalu, Carbon Solutions 7 Annex 5. Estimation of soil carbon stocks in Malaysian soils and the implication on the carbon balance in oil palm cultivation .………………….….………………………...…………………. 181 Y. Foong Kheong, Malaysian Palm Oil Council (MPOC), Selangor, Malaysia Annex 6. Overview of global oils and fats & the Malaysian palm oil industry .………………...….. 199 Y. Basiron, Malaysian Palm Oil Council (MPOC), Selangor, Malaysia Annex 7. LCA of palm oil biodiesel (PME): life cycle comparison .……….…….……………..…….. 233 N. Rettenmaier, IFEU - Institute for Energy and Environmental Research Heidelberg, Germany Annex 8. The potential of palm oil for developing countries and its role in the food and fuel debate ……………………………………………………………………………………………………... 241 Y. Basiron and F.K. Yew, Malaysian Palm Oil Council Annex 9. Tropical lowland peats: to conserve or develop them? (full paper) .………………...….. 259 S. Paramananthan, Param Agricultural Soil Surveys, Selangor Malaysia Annex 10. The LCA approach to illustrate palm oil’s sustainability advantage (full paper) .….... 285 S.S. Chen, Environmental & Bioprocess Technology Centre, Shah Alam, Malays Annex 11. Bioenergy sustainability - WWF’s perspective .………….….…...………………………... 295 L. Máthé, WWF - World Wide Fund For Nature – Scotland Annex 12. Input by WWF for the: “Direct and indirect impact of biofuel policies on deforestation expert consultation”, Kuala Lumpur, Malaysia .………………….…...…………………………..…….. 305 L. Máthé, WWF - World Wide Fund For Nature - Scotland 8 Expert Consultation on: “Direct and indirect impact of biofuel policies on tropical deforestation in Malaysia” 20-22 November 2008, Kuala Lumpur, Malaysia SESSION 1: Forest monitoring & deforestation 9 10 Expert Consultation MPOC & JRC 20-22 Nov 2008 Kuala Lumpur Session1: Forest Monitoring & Deforestation Hans-Juergen Stibig Global Forest Monitoring Project (TREES-3): South & Southeast Asia European Commission Joint Research Centre Institute for Environment and Sustainability, Italy Session 1 Objective: Improve knowledge on forest change and its relation to oil palm development Where do we have Where do we have incomplete / Where is knowledge good knowledge? contradicting missing – need for information? further research? 11 Topics •Types of forest land / related forest policies •Forest Monitoring & Reporting •Estimates and trends in forest area change (lowland forests, peat-land forests) •Oil palm as a driver of forest change – how present projections affect forests •Oil palm plantation practices (including fire) • Potential impact of an increasing demand for palm oil as bio-fuel on remaining forests •Impact of potentially increasing plantation area on environment & biodiversity The JRC Global Forest Monitoring Action – TREES-3 Main motivation: 1. to reduce uncertainties in global estimates of forest cover change and related biosphere-atmosphere processes - one main focus on tropical forests 2. to provide information to European Commission services in support to the definition of policies in the framework of multilateral environmental agreements ¾ two main activities: 12 Main activity (1): Up-date regional forest cover maps • based on satellite imagery of ‘coarse’ spatial resolution Main activity (1): Up-date regional forest cover maps Satellite image composite: Insular SE-Asia: Peninsular Malaysia (MODIS,