100810 IVEX Presentation - SMART final.pdf2
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1. Introduction 2. Summary of Greenpeace claims 3. Summary of
findings 4. Key points 5. Findings 6. Conclusion
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THE INDEPENDENT VERIFICATION TEAM Appointed in April 2010 after
consulting Unilever CUC, BSI and assisted by Bogor Agricultural
Institute experts
Prof. Dr. Bambang Hero Saharjo and Dr. Ir. H. Yanto Santosa
SCOPE To verify the claims in the Greenpeace reports:
- Burning Up Borneo - Illegal Forest Clearance and RSPO Greenwash:
Case Studies of
Sinar Mas - Caught Red Handed: How Unilever’s Use Of Palm Oil Is
Having A
Devastating Impact On Rainforest, The Climate And Orang-Utans
- New Evidence: Sinar Mas – Rainforest and Peatland
Destruction
- Sinar Mas Continues Rainforest Destruction
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SCOPE To provide accurate, complete and contextual information
to
assess Greenpeace claim, and identify gaps, if any To verify claims
against:
– Prevailing laws and regulation in Republic of Indonesia – The
Indonesian national interpretation of Roundtable on
Sustainable Palm Oil (RSPO) principles and criteria – SMART’s
standard operating procedures
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Covered 11 concession areas 182,528 ha, over 40% of GAR total
planted area of 430,200 ha
Field work Concessions
Central 17 May – 22 May
- PT BAP - PT BAT - PT LUJ - PT MKA - PT SKU - PT TN
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- PT ALM - PT KPC - PT KGP - PT PGM - PT PIP
1. Destroying primary forests, orang-utan habitats and HCV areas 2.
Clearing and planting on peat land 3. Burning forests 4. Clearing
land without permits 5. Causing social conflict 6. Engaging in
selective RSPO membership
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1. Degradation process of primary forest areas that were habitats
for Borneo orang-utan happened before SMART started the operations
of the concessions. All 11 concessions are on degraded land.
2. Clearing peat land is not as extensively as claimed. 1.8% (3,210
ha) of peat (>3m deep) cultivated on 182,528 ha of total
concessions
3. Could not find evidence of burning in land clearing and
preparation
4. In compliance with necessary permits, although in Central
Kalimantan, the environmental impact assessment or AMDAL process
completed after Plantation Business Permit
5. Small holders and wider community perceive positive impact from
plantations
6. GAR not RSPO member, only SMART and PT Ivo Mas Tunggal are
members
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within the laws Vital player and part of the
solution
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Findings
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THE FINDINGS: All concessions consist of degraded land Orang-utan’s
habitat already affected by earlier activities
such as logging, slash and burn economy
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OUR STAND: We believe in protecting and conserving
the orang-utan as a vital part of Indonesia’s and the world’s
heritage
1,400 ha sanctuary in Central Kalimantan Active role in the
National Orang-Utan
Working Group Committed to conserve HCV
THE FINDINGS: Not responsible for the deforestation of primary
forest All plantations are confirmed to be degraded land
OUR STAND: Complies with laws and regulations Complies with
principles and criteria of RSPO Committed not to plant on primary
forests, peat land and
HCV area
Source: UNFCC Secretariat 2007
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51.5 million square hectares (28%) of Indonesia’s total land mass
of 187.8 is classified as protected forest and conserved area
NO1119.9Natural/conservation forest
% of total land mass
Convertible forest 22.8 12 NO
Limited production forest 22.5 12 NO
Hunting parks 0.2 Negligible NO
Total 133.7 71
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* Including coffee, cocoa, sugar, pepper and tobacco ** Including
peanuts, sweet potatoes and cassava
Plantation Crops
Farm Crops
Palm Oil : More sustainable
Palm oil uses only 5% of global oilseed land use
Palm products supply 31% of global edible oil
Source: Oil World Annual 2010
Data per 2009
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THE FINDINGS: HCV is dynamic and ambiguous, with varying results
HCV assessment is a daunting task to identify and conserve HCV
Cleared 37,698 ha or 21.0% of the concession areas before HCV
assessment
OUR STAND: We will not develop HCV land Working with stakeholders
to implement the necessary remedial
action
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Strengthened standard operating procedures - no longer develop land
without HCV assessments
HCV identified in 20,933 ha (11.5%) and are conserved in Central
and West Kalimantan
THE FINDINGS: 1.8% of concessions developed on peat of >3m
deep
OUR STAND: Serious action against non-compliance with our
standard
operating procedures Reinstated deep peat and suspended the
plantation managers
responsible
Percentage (%) 2.1 1.4 1.8
Clearing and planting on peat land: Not extensively as
depicted
THE FINDINGS: No evidence of burning in land clearing and
preparation Hotspots likely to have been caused by
slash-and-burn
practices of the local community
OUR STAND: Absolutely against burning, established policy in 1997
Prompt action towards illegal fires Routine fire patrols during the
dry season Regular fire fighting training for staff, dedicated fire
fighting
squads
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THE FINDINGS: Environmental Impact Assessment (EIA) or AMDAL for
all 5
concessions in West Kalimantan in order In Central Kalimantan,
AMDAL process completed after land
clearing for all 6 concessions which is not in compliance
OUR STAND: SMART pursues compliance SMART obtained the in-principle
business permits and
proceeded to clear the land while AMDAL is being processed SMART
has subsequently obtained AMDAL for all the 6 central
Kalimantan concessions Going forward, SMART ensures that AMDAL is
obtained
before land clearing as in West Kalimantan
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Land development permits : Pursuing compliance
THE FINDINGS: No evidence of negative relations with local
landholders - including
those that did not sell land to SMART Evidence that the plantations
improved livelihoods SMART documentation of land transaction
process should be
improved Relations with indigenous people were not addressed
OUR STAND: We believe in treating local landowners and communities
fairly Many local landowners become small holders working in
partnership with the plantation We estimate that their income can
range between US$9 and
US$12 per day We provide 129 schools for 21,800 students and 2,455
university
scholarships (including through the Eka Tjipta Foundation)
21
THE FINDINGS: SMART and PT Ivo Mas Tunggal are members They are in
the process of RSPO certification
OUR STAND: To obtain RSPO certification for all of GAR’s existing
palm oil
operating units by 2015 GAR to become RSPO member
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within the laws Vital player and part of the
solution
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