Sampoerna Agro Tbk PT

1. Sustainable palm oil policy or commitment for all its operations?

The company details its Policies on Sustainability but these have limited environmental scope.

2. Policy or commitment applies to direct and third-party suppliers?

3. High-level position of responsibility for sustainability?

The company states its Research and Development Director is responsible for directing implementation of strategies and policies related to sustainability, amongst other issues.

4. Sustainability report published within last two years?

Published as part of the company's Annual Reports.

5. Member of multiple industry schemes or other external initiatives to improve sustainability in relation to palm oil?

The company reports that it is a member of the High Conservation Value Network Indonesia.

6. Verification report on compliance with POIG Charter, if a POIG member?

This indicator is disabled as it is not applicable to this company.

7. Activities with government, NGOs or academic institutions to improve palm oil sustainability?

The company states it "cooperates with the Government to actively monitor the presence of areas with HCV" and that it engaged with an NGO and central and regional government agencies in a fire vigilance program.

8. Total land area managed/controlled for oil palm (ha)?

241058 - The figure is reported in the company's 2017 ACOP, but in its 2017 Annual Report it states its palm oil operations cover 242,000 hectares.

9. Total oil palm planted area (ha)?

99804.5 - The figure refers to the company's 2017 ACOP, but in its 2017 Annual Report it states that planted land for oil palm operations amounts to 136,000 hectares.

10. Plasma/scheme smallholders planted area (ha)?

66959.5 - This figure is reported in the company's 2017 ACOP, but in its 2017 Annual Report it states that plasma oil palm plantations reach 53,100 ha.

11. Unplanted (areas designated for future planting) (ha)?

60706.5

12. Conservation set-aside area, including HCV area (ha)?

13588 - Sum of HCV areas and other conservation areas reported in 2017 ACOP.

13. Area for infrastructure (ha)?

14. Number and names of company owned mills?

7 - The company reports it is building its eighth mill in 2018. Three mills are listed under RSPO certified growers, but no other mill names are provided.

15. Maps or coordinates of company owned mills?

One mill is listed in GFW.

16. Number and names of supplier mills?

This indicator is disabled as it is not applicable to this company.

17. Maps of estates/management units?

Some concession boundaries are available on Global Forest Watch and GeoRSPO, but it is unclear if these represent all of the company's palm oil estates.

18. Maps of scheme/plasma smallholders?

19. Time-bound commitment to achieve 100% traceability to mill level?

This indicator is disabled as it is not applicable to this company.

20. Time-bound commitment to achieve 100% traceability to plantation level?

21. Percentage of supply traceable to mill level (above 80%)?

This indicator is disabled as it is not applicable to this company.

22. Percentage of fresh fruit bunches (FFB) from own mills traceable to plantation level (above 75%)?

23. Percentage of fresh fruit bunches (FFB) from supplier mills traceable to plantation level (above 75%)?

This indicator is disabled as it is not applicable to this company.

24. Commitment to zero deforestation?

The company states that it does not clear primary forest and HCS areas, but does not clearly commit to no deforestation, or that it will not develop on HCV and peatland.

25. Deforestation commitment applies to scheme smallholders and independent suppliers?

26. Criteria for defining deforestation?

Primary forest, HCS.

27. Evidence of monitoring deforestation?

28. Examples of habitat management and/or habitat restoration?

The company reports that it has placed signs in HCV areas, and has undertaken enrichment planting and restoration in HCV areas although it is unclear whether this has been with native species.

29. Implementing a landscape-level approach to biodiversity conservation?

30. Commitment to biodiversity conservation?

31. Commitment to not endanger species of conservation concern, referencing international or national system of species classification?

32. Commitment to no hunting or only sustainable hunting of species?

33. Examples of species conservation activities?

The company states that it records protected plants and animals within HCV areas, but does not provide details on how it uses this information to implement conservation.

34. Commitment to conduct High Conservation Value (HCV) assessments?

35. HCV commitment applies to scheme smallholders and independent suppliers?

36. Commitment to only use licensed High Conservation Value (HCV) assessors accredited by the HCV Resource Network's Assessor Licensing Scheme (ALS)?

37. High Conservation Value (HCV) assessments for planting undertaken prior to January 2015, and associated management and monitoring plans?

38. High Conservation Value (HCV) assessments for all estates planted since January 2015?

Two summaries are publicly available for two assessments submitted to the HCVRN in 2016 (for subsidiary PT Usaha Agro Indonesia) and 2017 (for subsidiary PT Kedurang Prakarsa Nabati). One further assessment was submitted in 2017, and eight more were submitted in 2018, but none of these have documents publicly available.

39. High Conservation Value (HCV) management and monitoring plans for all estates planted since January 2015?

Two HCV assessment summaries, including management recommendations, are publicly available but this does not cover all new planted areas.

40. Satisfactory review of all High Conservation Value (HCV) assessments undertaken since January 2015 by the HCV ALS Quality Panel?

One HCV assessment submitted to the HCVRN in 2016 was declared satisfactory for subsidiary PT. Usaha Agro, and another in 2017 for subsidiary PT. Kedurang Prakarsa Nabati. Nine further assessments have been submitted incomplete (IS) or they are not ready for review (NR) and are with assessors.

41. Commitment to the High Carbon Stock (HCS) Approach?

The company states "Prior to land clearing, the Company performs a Carbon Stock Assessment using a calculation method verified by Roundtable on Sustainable Palm Oil (RSPO)".

42. High Carbon Stock (HCS) assessments?

43. Commitment to conduct social and environmental impact assessments (SEIAs)?

44. Social and environmental impact assessments (SEIAs) undertaken, and associated management and monitoring plans?

45. Commitment to no planting on peat of any depth?

The company states it manages peatlands in accordance with government regulations, but does not state it does not plant on peat of any depth, or that this applies to all new development.

46. Peat commitment applies to scheme smallholders and independent suppliers?

The company stated in 2016 that its peat commitment applied to plasma and independent smallholders, but the commitment itself does not clearly cover all new planting or specify peat depth.

47. Commitment to best management practices for soils and peat?

48. Landbank or planted area on peat?

49. Evidence of best management practices for soils and peat?

50. Commitment to zero burning?

51. Zero burning commitment applies to scheme smallholders and independent suppliers?

52. Evidence of management and monitoring fires?

53. Details/number of hotspots/fires in company estates?

54. Details/number of hotspots/fires within surrounding landscape/smallholders?

55. Time-bound commitment to reduce greenhouse gas (GHG) emissions intensity?

The company only has a general commitment to reduce GHG emissions.

56. GHG emissions from land use change?

The company reported land conversion GHG emissions for its Belida mill in its 2016 ACOP; the GHG emission report uploaded with the 2017 ACOP was not accessible at the time of assessment.

57. Methodology used to calculate GHG emissions?

PalmGHG.

58. Progress towards commitment to reduce GHG emissions intensity?

1682.27 - The company reports that the intensity of emission from its entire plantations in 2017 reached 1.682.27 kg CO2e per ton of FFB, while the mills recorded emission intensity of 14.73 kg CO2e per ton of CPO production. However, the company does not have a time-bound target for emission intensity reduction.

59. Percentage of mills with methane capture (100%)?

2 (28.6%)

60. Time-bound commitment to improve water use per tonne of FFB Processed?

The company only has a general commitment to reduce water use.

61. Time-bound commitment to improve water quality (BOD and COD)?

62. Progress towards commitment on water use?

63. Progress towards commitment on water quality (BOD and COD)?

64. Protection of natural waterways through buffer zones?

65. Evidence of treating palm oil mill effluent (POME)?

66. Commitment to minimise the use of chemicals, including pesticides and chemical fertilisers?

The company states it strives to minimise the use of chemical pesticides, but does not mention fertilisers.

67. No use of paraquat?

The company only aims to reduce "the use of paraquat from year to year through a very selective method" and reports it has "reduced the use of paraquat and applied it very selectively to wipe out weeds under certain conditions".

68. No use of World Health Organisation (WHO) Class 1A and 1B pesticides?

69. No use of chemicals listed under the Stockholm Convention and Rotterdam Convention?

70. Integrated Pest Management (IPM) approach?

71. Chemical usage per ha or list of chemicals used?

72. Commitment to human rights, referencing the UN Declaration of Human Rights or UN Guiding Principles on Business and Human Rights?

The company states it is committed to respect human rights, but does not mention the UN Declaration or UN Guiding Principles on Human Rights.

73. Commitment to human rights applies to scheme smallholders and independent suppliers?

74. Commitment to respect legal and customary land tenure rights?

75. Commitment to respect indigenous and local communities' rights, referencing the UN Declaration on the Rights of Indigenous Peoples or ILO 169?

The company states it protects the rights of local communities, but does not reference the UN Declaration on the Rights of Indigenous Peoples or ILO 169.

76. Commitment to free, prior and informed consent (FPIC)?

77. FPIC commitment applies to independent suppliers?

78. Details of free, prior and informed consent (FPIC) process available?

79. Details of process for addressing land conflicts available?

The company only states "for the purpose of avoiding conflicts with Plasma farmers, the company continues to maintain and improve business governance with the farmers and treat them as its business partners".

80. Commitment to mitigate impacts on food security?

The company states that its CSR programs are aligned with the objective of increasing food security, but does not clearly relate this to local communities. The company provides details on economic empowerment from mushroom farming that it states potentially supports national food security as an alternative livelihood.

81. Commitment to provide essential community services and facilities?

The company supports education including providing one school for early age education, and renovating kindergarten classrooms; and maintains village roads and builds village bridges, provides clean water in some communities, and provides medical check ups and free medicine in some communities.

82. Commitment to respect all workers' rights?

The company commits "to respect human rights, including the right of all employees to form labor unions and to discuss matters collectively, as well as provide equal opportunity and treatment in employment practices.".

83. Reference to Fundamental ILO Conventions or Free and Fair Labour Principles?

The company states it is strongly against the practice of forced labour; it has a policy prohibiting employment of underaged workers, with a minimum age of 18; it respects the right of employees to form unions and discuss matters collectively; it provides equal opportunity and treatment in employment practices.

84. Total number of employees?

8259 - The number of employees across all operations.

85. Percentage or number of temporary employees?

22 (0.3%) - Contract employees.

86. Percentage or number of women employees?

1744 (21.1%) - The number of female employees across all operations.

87. Commitment to pay minimum wage?

The company states that wages are determined by referring to applicable minimum wage in each province, targeted for plantation sectors, but does not provide evidence.

88. Commitment to address occupational health and safety?

89. Time lost due to work-based injuries?

90. Number of fatalities as a result of work-based accidents?

91. Provision of personal protective equipment and pesticide training?

The company reports that it provides protective equipment, but does not clearly refer to pesticide or chemical training.

92. Member of the Roundtable on Sustainable Palm Oil (RSPO)?

2007

93. Submitted most recent RSPO Annual Communication of Progress (ACOP)?

94. Listed all countries and regions in which operates in most recent RSPO Annual Communication of Progress (ACOP)?

Indonesia (Kalimantan Barat; Kalimantan Tengah; Sumatera Selatan).

95. Time-bound plan for achieving 100% RSPO certification of estates within 5 years or achieved 100% RSPO-certification of estates?

2022

96. Time-bound plan for achieving 100% RSPO certification of scheme/associated smallholders within 5 years or achieved 100% RSPO-certification of scheme/associated smallholders?

2025

97. Year expected to achieve 100% RSPO certification of all palm product processing facilities?

This indicator is disabled as it is not applicable to this company.

98. RSPO-certified within three years of joining the RSPO or by November 2010, for companies joining prior to finalisation of the RSPO certification systems in November 2007?

2011

99. Percentage of mills RSPO-certified (above 75%)?

4 (57%)

100. Percentage of area (ha) RSPO-certified (above 75%)?

22091.1 (9.2%) - The company reported 22,091.07 ha certified in its 2017 ACOP, and this represents 9.2% of the total land controlled/managed for palm oil reported in the 2017 ACOP. However, the RSPO certified companies webpage states that the company has a certified production area of 14,436 ha.

101. Percentage of scheme/associated smallholders (ha) RSPO-certified (above 75%)?

6782.1 (10.1%) - Land under scheme/plasma certified = 6782.1. Land under scheme/plasma uncertified = 60,177.43. Certified/total: 6782.1/(6782.1+60,177.53) = 10.1%.

102. Percentage of FFB supply (tonnes) from independent FFB suppliers that is RSPO-certified (above 75%)?

0 (0%)

103. Percentage of all palm oil and oil palm products handled/traded/processed (tonnes) that are RSPO-certified (above 75%)?

This indicator is disabled as it is not applicable to this company.

104. Sells or processes/trades RSPO-certified palm oil through Segregated or Identity Preserved supply chains?

The company does not report any segregated or identity preserved products sold in its 2017 ACOP, but states in its 2017 Annual Report that it is "transforming the supply chain of its CPO raw materials, from mass balance to identity preserved or segregated (100% of the supply chain be sustainability certified)" for one of its mills.

105. Indonesia Sustainable Palm Oil (ISPO) certified (100%)?

The company reports that 65% of its total oil palm plantations are ISPO-certified, as are all seven of its palm oil mills.

106. Malaysia Sustainable Palm Oil (MSPO) certified?

This indicator is disabled as it is not applicable to this company.

107. Certified under voluntary sustainability certification scheme (e.g. ISCC, SAN, RSB, etc.)?

Some of the company's operations are ISCC certified.

108. Programme to support scheme smallholders?

The company supports plasma smallholders.

109. Number or percentage of scheme smallholders involved in programme?

26500 - The company reports that "at the close of 2017, the Company managed and provided guidance to 168,000 ha planted areas and more than 26,500 plasma farmers".

110. Programme to support independent smallholders?

111. Number or percentage of independent smallholders involved in programme?

112. Process used to prioritise, assess and/or engage suppliers on compliance with company's policy and/or legal requirements?

113. Suspension or exclusion criteria for suppliers?

114. Percentage of suppliers assessed and/or engaged on compliance with company requirements?

115. Commitment to ethical conduct and prohibition of corruption?

116. Whistleblowing procedure?

117. Own grievance or complaints system?

118. Grievance or complaints system is accessible to internal and external stakeholders?

119. Details of grievances disclosed?