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FGV Holdings Bhd

Palm oil assessment
  • Latest update: November 2021
  • Next scheduled: November 2022

Show media reports (65) Show ESG scores Show supply chain scores Modify score weighting
  • About this company:

    Established in 2007, Malaysian palm oil and rubber

  • Parent company:
    FELDA (The Federal Land Development Authority)
  • Landbank (oil palm)
    432,821 hectares
  • Market cap:
    1,313,000,000 USD
  • Thomson Reuters ticker:
    FGVH.KL
  • Bloomberg ticker:
    FGV MK
  • ISIN:
    MYL5222OO004
  • Sedol:
    B8L1DR5
  • RSPO member?
    Suspended
  • Website:
  • Substantiated concerns
    • FGV Holdings Bhd currently has its P+C certificate for Kilang Sawit Serting and its supply base suspended, and all certification processes for its uncertified management units suspended as well, following an RSPO Complaints Panel decision on a complaint regarding labour rights. This suspension came into effect 13th January 2020. See further detail and the latest updates here.

Company assessment: FGV Holdings Bhd – November 2021

Assessment date:

Score by disclosure type:

Total: 74.2% 140.24 / 189
  • Organisation: 29 / 37 78.4%
  • Policy: 62 / 76 81.6%
  • Practice: 49.2 / 76 64.8%
  • Self-reported: 8.8 / 76 11.5%
  • External: 12.5 / 76 16.5%
  • Certified: 28 / 76 36.8%
  • Sustainability policy and leadership Sustainability policy and leadership
    9.75 / 11 88.6%
    • Organisation: 6 / 6 100%
    • Policy: 2 / 2 100%
    • Practice: 1.8 / 3 58.3%
    • Self-reported: 1 / 3 33.3%
    • External: 0.8 / 3 25%
    • Certified: 0 / 3 0%
    • Y
      1 / 1

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

      The company has a group sustainability policy which covers multiple dimensions of sustainability across the company's operations covering both social and environmental issues.

    • Y
      1 / 1

      2. Sustainable palm oil policy or commitment applies to all suppliers?

      The company commits its suppliers to its group sustainability policy.

    • Y
      1 / 1

      3. High-level position of responsibility for sustainability?

      The company reports that the Head of Group Sustainability serves as the chair of the Sustainability Synergy Committee (SSC).

    • Y
      1 / 1

      4. One or more members within the board of the company have responsibility for sustainability?

      The company reports having a Board Governance & Risk Management Committee (BGRMC) to assist the board in fulfilling its statutory and fiduciary responsibilities, especially in the areas of governance, risk management, and sustainability. Dato' Yusli Mohamed Yusoff, Dr. Nesadurai Kalanithi, and Dr. Zunika Mohamed are members of the BGRMC.

    • Y
      1 / 1

      5. Percentage or number of women in senior management team?

      7 (14.28%) - The company reports seven (7) female members in the senior management team out of the total forty nine (49) members.

    • Y
      1 / 1

      6. Percentage or number of women board members?

      3 (33%) - The company reports 33% or 3 women board members as of 2020.

    • P
      0.75 / 1

      7. Member of multiple industry schemes or other external initiatives to reduce negative environmental or social outcomes associated with palm oil production?

      [Externally verified] Fair Labor Association (FLA).

    • Y
      1 / 1

      8. Collaboration with stakeholders to reduce negative environmental or social outcomes associated with palm oil production?

      Working with the Indonesian government to implement a Peat Restoration Management Plan; Entered into a joint-venture with Universiti Putra Malaysia for environmental research on the Oil Palm Ecosystem Project, Water Stress Index (WSI) and water footprint; Collaboration with Tenaganita, to educate employees, including migrant workers, about their rights; participated in a one-year joint labor supply chain mapping project organised by the International Organization for Migration (IOM) and the Earthworm Foundation (EF); Participating Company of the Fair Labor Association (FLA) which aims to promote and protect the human rights of workers and improve working conditions worldwide; Programme run in collaboration with Universiti Teknologi MARA (UiTM), to identifying energy-saving initiatives to eliminate wasteful and non-productive patterns of energy consumption and to reduce GHG emissions; Collaboration with the MPOB.

    • Y
      1 / 1

      9. Sustainability report published within last two years?

      The sustainability report for 2018-2019 is published by the company in 2020.

    • Y
      1 / 1

      10. Reports through standardised reporting systems?

      The company has prepared its sustainability report in accordance with the GRI standards, Core option.

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

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

    • N
      0 / 1

      12. Climate risks assessment available?

  • Landbank, maps and traceability Landbank, maps and traceability
    20.32 / 26 78.2%
    • Organisation: 13 / 16 81.3%
    • Policy: 2 / 2 100%
    • Practice: 5.3 / 8 66.5%
    • Self-reported: 1.5 / 8 18.8%
    • External: 0 / 8 0%
    • Certified: 3.8 / 8 47.8%
    • Y
      1 / 1

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

      432,821 - The company reports its total land area managed for palm oil in its RSPO ACOP 2020.

    • Y
      1 / 1

      14. Total oil palm planted area (ha)?

      335,404 - The company reports the total oil palm planted area in its latest annual report.

    • Y
      1 / 1

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

      1,227.23 - The company reports the total scheme smallholders planted area in its RSPO ACOP 2020.

    • Y
      1 / 1

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

      6,491.09 - The company reports the total unplanted area in its RSPO ACOP 2020.

    • Y
      1 / 1

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

      37,173.8 - The company reports the conservation set-aside area (24993.15), including High Conservation Value (HCV) area (12180.61 ha) in its RSPO ACOP 2020.

    • Y
      1 / 1

      18. Maps of estates/management units?

      The company reports to have submitted maps of concessions to the RSPO and that no new concessions have been acquired or undergone ownership changes since the submission of maps to the RSPO.

    • N
      0 / 1

      19. Maps of scheme/plasma smallholders?

    • N
      0 / 1

      20. Names and locations of all third-party supplying plantations?

    • Y
      1 / 1

      21. Number of company-owned mills?

      68 - The company reports the total number of company-owned mills in its Annual Integrated Report and RSPO ACOP 2020.

    • Y
      1 / 1

      22. Names and locations of company-owned mills?

      The names and locations of all company-owned mills are publicly available on the GFW universal mill list and on the company website.

    • N
      0 / 1

      23. Number (or percentage) of company-owned mills that source from company-owned operations and/or third parties?

    • Y
      1 / 1

      24. Reports total volumes (or percentages) sourced by company-owned mills that come from company-owned operations and/or third-parties?

      The company reports that out of total FFB it sources, 30% comes from FGV estates, 40% comes from FELDA settlers, and the remaining 30% comes from out-growers/other suppliers which include independent smallholders, mini/private estates and cooperatives.

    • Y
      1 / 1

      25. Number of third party supplying mills?

      The number of third party mills are reported by the company on its website.

    • Y
      1 / 1

      26. Names and locations of all third-party supplying mills?

      The names and locations of all third-party supplying mills are available on the company website.

    • Y
      1 / 1

      27. Number (or percentage) of third party supplying mills that source from their own plantations and/or third party plantations?

      The company reports the sourcing information for all third party supplying mills.

    • Y
      1 / 1

      28. Reports total volume (or percentages) sourced from third-party supplying mills that come from the supplying mills' own operations and/or third parties?

      The company reports the percentage of sourcing from third-party supplying mills that come from the third parties.

    • 29. Total volume (or percentage) sourced for refineries that comes from intermediary traders and/or refiners rather than directly from mills?

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

    • Y
      1 / 1

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

      The company reports that it has already achieved 100% Traceability to Mills in 2019.

    • Y
      +
      1 / 1
      1 / 1

      31. Percentage of supply traceable to mill level?

      The company reports that 100% of its CPO and PKO supply is traceable to mill. Also, 'FGV Kernel Products Sdn Bhd- Kilang Isi Sawit Pandamaran' has RSPO SCC under SG.

    • Y
      1 / 1

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

      The company reports a target to achieve 100% traceability to plantations for FGV-owned mills and third party mills by 2021.

    • P
      0.82 / 2

      33. Percentage of fresh fruit bunches (FFB) supply to own mills traceable to plantation level?

      82% of supply was traceable to plantation as of 2020.

    • Y
      1 / 2

      34. Percentage of supply from third-party mills traceable to plantation level?

      The company reports the traceability percentage for all its third party supplying mills.

    • P
      0.75 / 1

      35. Publishes traceability data at refinery level?

      The company has published the traceability data for the percentage of supply traceable to plantation level per refinery for all refineries. However, the information reported is not externally verified.

    • P
      0.75 / 1

      36. Publishes traceability data at crusher level?

      The company has published the traceability data for the percentage of supply traceable to plantation level per crusher for all crushing facilities. However, the information reported is not externally verified.

  • Certification standards Certification standards
    10.02 / 17 58.9%
    • Organisation: 2 / 2 100%
    • Policy: 3 / 3 100%
    • Practice: 5 / 12 41.8%
    • Self-reported: 1 / 12 8.5%
    • External: 4 / 12 33.3%
    • Certified: 0 / 12 0%
    • Y
      1 / 1

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

      [Externally verified] 2,016 - The company is a member of the Roundtable on Sustainable Palm Oil (RSPO) since December, 2016.

    • Y
      1 / 1

      38. 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?

      [Externally verified] 2,017 - The company became RSPO member in 2016 and got its first RSPO certification in 2017.

    • Y
      1 / 1

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

      The ACOP 2020 is submitted by the company.

    • Y
      1 / 1

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

      Malaysia (Johor, Kelantan, Negeri Sembilan, Pahang, Perak, Sabah, Sarawak, Terengganu), Indonesia (West Kalimatan).

    • P
      0.45 / 1

      41. Percentage of area (ha) RSPO-certified?

      45.01% - The company reports the percentage of area RSPO certified in its RSPO ACOP 2020.

    • P
      0.43 / 1

      42. Percentage of mills RSPO-certified?

      42.64% - The company reports in its RSPO ACOP 2020 and AR 2020 that out of a total of 68 mills owned by the company, 33 mills are RSPO certified. However, the data on the RSPO website mentions only 29 mills to be RSPO certified.

    • Y
      1 / 1

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

      2,022 - The company reports to achieve 100% RSPO certification of its estates and mills by 2022.

    • Y
      1 / 1

      44. Time-bound plan for achieving 100% RSPO certification of all palm product processing facilities?

      2,022 - The company reports to achieve 100% RSPO certification of all palm product processing facilities by 2022.

    • N
      0 / 1

      45. Percentage of scheme/plasma smallholders (ha) RSPO-certified?

    • Y
      1 / 1

      46. Time-bound plan for achieving 100% RSPO certification of scheme/plasma/associated smallholders and outgrowers within 5 years or target already achieved?

      2,025 - The company reports achieving 100% RSPO certification of scheme smallholders by 2025.

    • N
      0 / 1

      47. Percentage of FFB supply (tonnes) from independent smallholders/outgrowers/third-party FFB suppliers that is RSPO-certified?

    • P
      0.14 / 1

      48. Percentage of all palm oil and oil palm products handled/traded/processed (tonnes) that is RSPO-certified?

      13.94% - The percentage of all palm oil and oil palm products handled/traded/processed (tonnes) that is RSPO-certified is reported as 13.94% in the RSPO ACOP 2020.

    • N
      0 / 1

      49. Sells RSPO-certified palm oil through Segregated or Identity Preserved supply chains?

    • N
      0 / 1

      50. Processes/trades RSPO-certified palm oil through Segregated or Identity Preserved supply chains?

    • N
      0 / 1

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

    • Y
      1 / 1

      52. Malaysia Sustainable Palm Oil (MSPO) certified?

      [Externally verified] The company reports that 100% of its complexes are MSPO certified. Certificates are available on the MSPO database.

    • Y
      1 / 1

      53. Certified under voluntary sustainability certification scheme (e.g. ISCC, SAS, RSB)?

      [Externally verified] ISCC.

  • Deforestation and biodiversity Deforestation and biodiversity
    10.45 / 18 58.1%
    • Organisation: 0.5 / 2 25%
    • Policy: 4.5 / 10 45%
    • Practice: 5.4 / 6 90.8%
    • Self-reported: 0 / 6 0%
    • External: 2 / 6 33.3%
    • Certified: 3.4 / 6 57.5%
    • N
      0 / 1

      54. Commitment to zero conversion of natural ecosystems?

    • Y
      1 / 1

      55. Commitment to zero deforestation?

      The company reports its commitment to 'No Deforestation and Planting on Peat' in its sustainability policy.

    • Y
      1 / 1

      56. Commitment to zero deforestation applies to all suppliers?

      The company commits its suppliers to 'No Deforestation and Planting on Peat'.

    • Y
      1 / 1

      57. Criteria and cut-off date for defining deforestation?

      Primary forests, High Carbon Stock (HCS), and High Conversation Value (HCV) areas. The company reports the effective date as 29 May 2019.

    • Y
      1 / 1

      58. Evidence of monitoring deforestation?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank.

    • Y
      1 / 1

      59. Evidence of monitoring deforestation in supplier operations?

      [Externally verified] The company reports using the Global Forest Watch (GFW) Pro platform to trace and monitor deforestation activities within supplier operations. The company's SR 2018/19 is externally verified by SIRIM QAS International Sdn. Bhd against sustainability-related activities reported in the SR 2018/19.

    • P
      0.5 / 1

      60. Amount of illegal/non-compliant deforestation recorded in own operations?

      The company logs instances of non-compliant deforestation in its grievance mechanism. However, the area of deforestation is not always disclosed and there is no total figure reported.

    • N
      0 / 1

      61. Amount of illegal/non-compliant deforestation recorded in supplier operations?

    • P
      0.5 / 1

      62. Commitment to restoration of non-compliant deforestation/conversion?

      The company has only committed to restoring the ecological function of peatlands planted after 25 August 2016.

    • N
      0 / 1

      63. Commitment to restoration of non-compliant deforestation/conversion applies to all suppliers?

    • Y
      1 / 1

      64. Implementing a landscape or jurisdictional level approach?

      [Externally verified] The company reports to perform biodiversity assessments in all its operations at least once every five years, followed by periodic monitoring on wildlife activity. Information gathered from these assessments is used to develop HCV Management and Monitoring Plans. To date, the company has developed 16 monitoring plans and are developing three landscape plans (sun bear conservation program, rafflesia program, mega biodiversity program). The company reports to have contributed RM1.7 million to support the re-establishment, restoration and protection of key migratory routes, especially of Borneo pygmy elephants and orangutans, to allow safe migration within the Lower Kinabatangan Basin in Sabah as a part of its Mega Biodiversity Corridor Conservation Project. It also reports to have developed partnership with the Borneo Conservation Trust (BCT), which has conducted a number of activities such as organising the ?Honorary Wildlife Warden' (HWW) capacity building program in November 2018. The company's SR 2018/19 is externally verified by SIRIM QAS International Sdn. Bhd against sustainability-related activities reported in the report.

    • N
      0 / 1

      65. Biodiversity policy?

    • N
      0 / 1

      66. Biodiversity policy applies to all suppliers?

    • Y
      +
      1 / 1
      0.45 / 1

      67. Identified species of conservation concern, referencing international or national system of species classification?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company has also identified the species of conservation concern, referencing the IUCN Red List international system of species classification, and reported the same in its sustainability report.

    • Y
      1 / 1

      68. Examples of species and/or habitat conservation management?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports multiple examples of species and habitat conservation management in its sustainability report.

    • Y
      1 / 1

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

      The company reports to have developed guidelines to manage potential human-wildlife conflict which includes prohibition of any illegal hunting of wildlife activities in the plantation, except special privileges granted for local communities granted by authorities. The scope of these guidelines is aligned with Malaysian Sustainable Palm Oil (MSPO) and Roundtable on Sustainable Palm Oil (RSPO) requirements.

    • N
      0 / 1

      70. Commitment to no hunting or only sustainable hunting of species applies to all suppliers?

  • HCV, HCS and impact assessments HCV, HCS and impact assessments
    11.75 / 15 78.3%
    • Organisation: 0 / 0 0%
    • Policy: 7 / 8 87.5%
    • Practice: 4.8 / 7 67.9%
    • Self-reported: 0 / 7 0%
    • External: 4.8 / 7 67.9%
    • Certified: 0 / 7 0%
    • Y
      1 / 1

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

      The company commits under the RSPO New Planting Procedures (NPP) as an RSPO member reporting as a grower. The company also reports its own commitment to conduct High Conservation Value (HCV) assessments.

    • Y
      1 / 1

      72. Commitment to conduct High Conservation Value (HCV) assessments applies to all suppliers?

      The company commits its suppliers to conduct High Conservation Value (HCV) assessments.

    • Y
      1 / 1

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

      [Externally verified] The HCV assessments of PT. Temila Agro Abadi, PT Citra Niaga Perkasa and Asian Plantations Limited Sdn Bhd are available on the RSPO website.

    • Y
      1 / 1

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

      [Externally verified] The company reports in its RSPO ACOP 2017 that it has submitted NPPs to the RSPO. The HCV report of LADANG TAWAI 1 AND LADANG TAWAI 2 is publicly available. Company's ACOP 2020 confirms that no new plantings have been done.

    • Y
      1 / 1

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

      [Externally verified] The company reports in its RSPO ACOP 2017 that it has submitted NPPs to the RSPO. The HCV management and monitoring plan of LADANG TAWAI 1 AND LADANG TAWAI 2 is publicly available. Company's ACOP 2020 confirms that no new plantings have been done.

    • Y
      1 / 1

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

      The company commits under the RSPO New Planting Procedures (NPP) as an RSPO member reporting as a grower.

    • N
      0 / 1

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

    • P
      0.75 / 1

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

      [Externally verified] The HCV assessment of Ladang Tawai 1 and Ladang Tawai 2 FGVP has been deemed satisfactory. However, it is unclear if this covers all the estates planted since 2015.

    • Y
      1 / 1

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

      The company commits under the RSPO New Planting Procedures (NPP) as an RSPO member reporting as a grower. The company also reports its own commitment to High Carbon Stock (HCS) Approach.

    • Y
      1 / 1

      80. Commitment to the High Carbon Stock (HCS) Approach applies to all suppliers?

      The company commits its suppliers to the High Carbon Stock (HCS) Approach.

    • N
      0 / 1

      81. High Carbon Stock (HCS) assessments available?

    • N
      0 / 1

      82. Peer review of all High Carbon Stock (HCS) assessments undertaken since April 2015 by the HCSA Quality Assurance Process?

    • Y
      1 / 1

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

      The company commits under the RSPO New Planting Procedures (NPP) as an RSPO member reporting as a grower. The company also reports its own commitment to undertake 'Social and Environmental Impact Assessment (SEIA)' prior to new plantings or operations.

    • Y
      1 / 1

      84. Commitment to conduct social and environmental impact assessments (SEIAs) applies to all suppliers?

      The company commits its suppliers to undertake 'Social and Environmental Impact Assessment (SEIA)' prior to new plantings or operations.

    • Y
      1 / 1

      85. Social and environmental impact assessments (SEIAs) available, and associated management and monitoring plans?

      [Externally verified] SEIAs for Asian Plantations Limited, PT Temila Agro Abadi, and PT Citra Niaga Perkasa are publicly available.

  • Peat, fire and GHG emissions Peat, fire and GHG emissions
    14.4 / 20 72%
    • Organisation: 2.5 / 5 50%
    • Policy: 8 / 8 100%
    • Practice: 3.9 / 7 55.7%
    • Self-reported: 1 / 7 14.3%
    • External: 0 / 7 0%
    • Certified: 2.9 / 7 41.4%
    • Y
      1 / 1

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

      The company commits under the RSPO New Planting Procedures (NPP) as an RSPO member reporting as a grower. The company also reports its own commitment to no new planting on peat land regardless of depth.

    • Y
      1 / 1

      87. Commitment to no planting on peat of any depth applies to all suppliers?

      The company commits its suppliers to no new planting on peat land regardless of depth.

    • N
      0 / 1

      88. Landbank or planted area on peat (ha)?

    • N
      0 / 1

      89. Implementation of commitment to no planting on peat of any depth?

    • Y
      1 / 1

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

      The company reports its commitment to best management practices for soils and peat.

    • Y
      1 / 1

      91. Commitment to best management practices for soils and peat applies to all suppliers?

      The company commits its suppliers to best management practices for soils and peat.

    • Y
      +
      1 / 1
      0.45 / 1

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

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports to retain undeveloped peatland as buffer to mitigate flooding, maintain hydrological function of peatlands in existing plantations and determine viability for replanting on cultivated peatland as a part of its no peat policy. The company reports to produce its own organic compost by enabling the aerobic decomposition of EFB mixed with POME which is beneficial to increased plant growth and yields as it helps to maintain soil moisture, prevents soil erosion and serves as an effective alternative source of weed control. EFB ash is also used as sustainable organic fertiliser.

    • Y
      1 / 1

      93. Commitment to zero burning?

      The company reports commitment to no burning in its sustainability policy.

    • Y
      1 / 1

      94. Commitment to zero burning applies to all suppliers?

      The company commits its suppliers to no burning.

    • Y
      +
      1 / 1
      0.45 / 1

      95. Evidence of fire monitoring and management?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports a few evidences which includes registering the FGV KL Volunteer Fire and Rescue Team under the Fire and Service Department with objectives to respond to any fire and other than fire emergencies if happen within the vicinity of Jalan Raja Laut, Kuala Lumpur; conducting emergency response training for employees, emergency response and volunteer fire and rescue teams at WISMA FGV. This included health and safety and fire drills. However, company's own reporting is not robust enough.

    • Y
      1 / 1

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

      The company reports the details of six fires that occurred in 2018. No fires were recorded in 2019.

    • P
      0.5 / 1

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

      3 - The company's response to mighty earth's allegations mentions that three fire incidences occurred in the land of plasma smallholders in 2018.

    • Y
      1 / 1

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

      The company reports to reduce GHG emissions by 45% by 2030 based on the 2005 baseline year.

    • Y
      1 / 1

      99. GHG emissions intensity?

      The company reports the GHG emission intensity of its plantations for 2019 as 107,801(tCO2e).

    • N
      0 / 1

      100. GHG emissions from land use change?

    • P
      0.5 / 1

      101. Progress towards commitment to reduce GHG emissions intensity?

      The company reports its GHG emissions (tCO2e) progress for its plantations for the period between 2017-2019. But the 2019 (107,801) data does not show progress as compared to data reported in 2018 (101,775).

    • Y
      1 / 1

      102. Methodology used to calculate GHG emissions?

      The company reports that its GHG inventory follows GHG Protocol's Corporate Accounting and Reporting Standard and is developed based on the 2006 IPCC Guidelines for National Greenhouse Gas Inventories, as well as country-specific data based on the latest journals and publications, where more accurate emission estimations are published.

    • P
      0.5 / 1

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

      The company reports having 30 biogas capture plants in 30 mill sites.

  • Water, chemical and pest management Water, chemical and pest management
    19.05 / 25 76.2%
    • Organisation: 2 / 2 100%
    • Policy: 9 / 11 81.8%
    • Practice: 8 / 12 67.1%
    • Self-reported: 1.3 / 12 10.4%
    • External: 0 / 12 0%
    • Certified: 6.8 / 12 56.7%
    • P
      0.5 / 1

      104. Time-bound commitment to improve water use intensity?

      The company reports that to minimise the usage of water within its mill operations, it closely monitors water consumption on a daily, monthly and yearly basis by benchmarking against a ratio of less than 1.20 (mt of water: mt FFB Processed). However, a time-bound commitment is not reported.

    • Y
      1 / 1

      105. Water use intensity?

      1.28 - The company reports that in 2020, it used 1.28 MT/MT of FFB, with a total water consumption of 17,406,383 m3.

    • P
      0.75 / 1

      106. Progress towards commitment on water use intensity?

      The company reports figures on water use intensity for 2019 as 1.29 MT/MT FFB and for 2020 as 1.28 MT/ MT FFB. The intensity has improved as compared to last year, however the company's target of achieving 1.20 MT/MT FFB is not yet met. Also, the information is not externally verified.

    • P
      0.5 / 1

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

      The company reports reducing its chemical oxygen demand (COD) by 85-95% in relation to POME and reports to ensure that the biological oxygen demand (BOD) levels meet regulatory limits. However, the commitment reported is not time-bound.

    • P
      0.5 / 1

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

      The company only reports ensuring that the biological oxygen demand (BOD) levels meet regulatory limits and it will continue to improve its processes further to ensure it meets all regulatory requirements. The company reports the final BOD discharge for 2019 as 74 mg/L and for 2020 as 78 mg/L.

    • Y
      +
      1 / 1
      0.45 / 1

      109. Treatment of palm oil mill effluent (POME)?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports information on treatment of POME which involves three levels of effluent treatment.

    • N
      0 / 1

      110. Treatment of palm oil refinery effluent (PORE)?

    • Y
      1 / 1

      111. Commitment to protect natural waterways through buffer zones?

      The company reports to maintain riparian reserves in river systems in plantations to ensure natural filtration of sediments in rivers and mitigate floods.

    • Y
      +
      1 / 1
      0.45 / 1

      112. Implementation of commitment to protect natural waterways through buffer zones?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank.

    • Y
      1 / 1

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

      The company reports its commitment to minimise the use of chemicals, including pesticides and chemical fertilisers.

    • N
      0 / 1

      114. Commitment to minimise the use of chemicals, including pesticides and chemical fertilisers, applies to all suppliers?

    • Y
      1 / 1

      115. Commitment to no use of paraquat?

      The company reports its commitment to no use of paraquat, except in specific situations.

    • Y
      1 / 1

      116. Commitment to no use of paraquat applies to all suppliers?

      The company commits its suppliers to no use of paraquat, except in specific situations.

    • Y
      1 / 1

      117. Commitment to no use of World Health Organisation (WHO) Class 1A and 1B pesticides?

      The company reports its commitment to no use of World Health Organisation (WHO) Class 1A and 1B pesticides.

    • Y
      1 / 1

      118. Commitment to no use of World Health Organisation (WHO) Class 1A and 1B pesticides applies to all suppliers?

      The company commits its suppliers to no use of World Health Organisation (WHO) Class 1A and 1B pesticides.

    • Y
      1 / 1

      119. Commitment to no use of chemicals listed under the Stockholm Convention and Rotterdam Convention?

      The company reports its commitment to no use of chemicals listed under the Stockholm Convention and Rotterdam Convention.

    • Y
      1 / 1

      120. Commitment to no use of chemicals listed under the Stockholm Convention and Rotterdam Convention applies to all suppliers?

      The company commits its suppliers to no use of chemicals listed under the Stockholm Convention and Rotterdam Convention.

    • Y
      1 / 1

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

      The company reports that it has completely stopped using the Class 1 chemicals in 2019.

    • Y
      +
      1 / 1
      0.45 / 1

      122. Implementation of commitment to minimise inorganic fertiliser use?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports to reduce usage of chemical fertilisers with the usage of microbes to enhance plant growth, use of biomass (EFB, fronds, oil palm trunks) as organic fertiliser to substitute chemical fertilisers.

    • Y
      +
      1 / 1
      0.45 / 1

      123. Integrated Pest Management (IPM) approach?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports that as a part of Integrated Pest Management (IPM) strategy, it uses barn owl (Tyto alba) as a biological control to manage the rat population in its estates. In 2020, it has introduced barn owls at its estates in Sabah.

    • Y
      1 / 1

      124. Waste management system in place to avoid negative impacts?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also has its own waste management system in place.

  • Community, land and labour rights Community, land and labour rights
    31 / 34 91.2%
    • Organisation: 3 / 4 75%
    • Policy: 19.5 / 21 92.9%
    • Practice: 8.5 / 9 94.4%
    • Self-reported: 0.5 / 9 5.6%
    • External: 0 / 9 0%
    • Certified: 8 / 9 88.9%
    • Y
      1 / 1

      125. Commitment to human rights?

      The company reports that it is committed to respecting human rights by upholding international human rights principles and standards as encapsulated in the Universal Declaration of Human Rights (UDHR), and other applicable international human rights treaties, subject to the laws and regulations of the countries and territories in which the company operates. In fulfilling its responsibility to respect human rights, the company reports that it is guided by the United Nations Guiding Principles on Business and Human Rights (UNGPs).

    • Y
      1 / 1

      126. Commitment to human rights applies to all suppliers?

      The company commits its suppliers to respecting human rights by upholding international human rights principles and standards as encapsulated in the Universal Declaration of Human Rights (UDHR).

    • Y
      1 / 1

      127. Progress on human rights commitment?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company is also a participating company of the Fair Labor Association (FLA) since October 2019, as a part of its commitment to human rights and labour standards. The company also reports having its own human rights framework in place.

    • Y
      1 / 1

      128. Commitment to respect indigenous and local communities' rights?

      The company reports its commitment to respect the rights of indigenous and local communities, including their rights to give or withhold their consent to land over which they hold legal, communal or customary rights.

    • Y
      1 / 1

      129. Commitment to indigenous and local communities' rights applies to all suppliers?

      The company commits its suppliers to respect the rights of indigenous and local communities, including their rights to give or withhold their consent to land over which they hold legal, communal or customary rights.

    • Y
      1 / 1

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

      The company reports its commitment to respect the rights of indigenous and local communities, including their rights to give or withhold their consent to land over which they hold legal, communal or customary rights.

    • Y
      1 / 1

      131. Commitment to legal and customary land rights applies to all suppliers?

      The company commits its suppliers to respect the rights of indigenous and local communities, including their rights to give or withhold their consent to land over which they hold legal, communal or customary rights.

    • Y
      1 / 1

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

      The company commits under the RSPO New Planting Procedures (NPP) as an RSPO member reporting as a grower. The company also reports its own commitment to observe the principles of free, prior and informed consent (FPIC) in any new land development.

    • Y
      1 / 1

      133. Commitment to free, prior and informed consent (FPIC) applies to all suppliers?

      The company commits its suppliers to observe the principles of free, prior and informed consent (FPIC) in any new land development.

    • Y
      1 / 1

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

      The RSPO Principles and Criteria 2018 contain guidance and requirements on the process to conduct free, prior and informed consent (FPIC). Points have therefore been awarded on the basis of the company's commitments under the RSPO New Planting Procedures (NPP) as an RSPO member reporting as a grower.

    • P
      0.5 / 1

      135. Examples of local stakeholder engagement to prevent conflicts?

      The company reports examples of stakeholder engagement to prevent conflicts in its sustainability report 2016/2017.

    • P
      0.5 / 1

      136. Details of process for addressing land conflicts available?

      The company provides limited details on process for addressing land conflicts.

    • Y
      1 / 1

      137. Supports the inclusion of women across palm oil operations, including addressing barriers faced?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports that in February 2021, it established a committee on Gender Equality and Women Empowerment to advance the gender equality and women empowerment agenda for all women under it's duty of care, comprising employees at all levels including migrant workers and relevant community members.

    • Y
      1 / 1

      138. Commitment to mitigate impacts on food security?

      The company reports that it supports the country's national food security aspirations which are shaping its diversification initiatives and where applicable it shall work with local communities to address food security concerns.

    • Y
      1 / 1

      139. Progress on commitment to mitigate impacts on food security?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports having an Integrated Farming program whose goals include is to contribute to the National Food Security Strategy.

    • Y
      1 / 1

      140. Commitment to provide essential community services and facilities?

      The company reports that it is committed to promoting sustainable economic growth, prosperity and to enhancing the livelihoods of its employees and local communities, in particular its associated smallholders.

    • Y
      1 / 1

      141. Progress on commitment to provide essential community services and facilities?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports multiple evidence in concern of providing different essential community services and facilities, in its sustainability report.

    • Y
      1 / 1

      142. Commitment to provide business/work opportunities for local communities?

      The company also reports its commitment to provide job opportunities for local communities.

    • Y
      1 / 1

      143. Commitment to Fundamental ILO Conventions or Free and Fair Labour Principles?

      The company reports its commitment to uphold and respect employees' rights in line with national laws and international labour standards as enshrined in the International Labour Organization (ILO) Declaration on Fundamental Principles and Rights at Work as well as other applicable ILO conventions.

    • Y
      1 / 1

      144. Commitment to Fundamental ILO Conventions or Free and Fair Labour Principles applies to all suppliers?

      The company commits its suppliers to uphold and respect employees' rights in line with national laws and international labour standards as enshrined in the International Labour Organization (ILO) Declaration on Fundamental Principles and Rights at Work as well as other applicable ILO conventions.

    • Y
      1 / 1

      145. Progress on commitment to respect all workers' rights?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports that as a part of it's commitment to uphold labour standards, it became a participating company of the Fair Labor Association (FLA) in October 2019.The company is currently implementing a long-term and comprehensive Five-Year Labour Rights Action Plan under its affiliation to the FLA that comprises a number of initiatives to further strengthen various aspects of its labour practices such as its recruitment process, human rights training programmes, working and living conditions, as well as grievance mechanisms, among others. This action plan was adopted and published on 31 March 2020 in consultation with the FLA and with various other stakeholders including civil society organisations.

    • Y
      1 / 1

      146. Commitment to eliminate gender related discrimination with regards to employment?

      The company reports its commitment to eliminate gender related discrimination with regards to employment.

    • Y
      1 / 1

      147. Commitment to eliminate gender related discrimination with regards to employment applies to all suppliers?

      The company commits its suppliers to eliminate gender related discrimination with regards to employment.

    • Y
      1 / 1

      148. Progress on commitment to eliminate gender related discrimination with regards to employment?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports that in February 2021, it established a Committee on Gender Equality and Women Empowerment to advance the gender equality and women empowerment agenda for all women under it's duty of care, comprising employees at all levels including migrant workers and relevant community members. The committee will assist the group in promoting full respect and support for the rights of women in the workplace on the basis of equality and non-discrimination.

    • 149. Percentage or number of temporary employees?

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

    • Y
      1 / 1

      150. Percentage or number of women employees?

      2,383 (15%) - The company reports the total number of female employees across all operations in 2020.

    • P
      0.5 / 1

      151. Commitment to pay a Decent Living wage?

      The company only reports commitment to paying at least the minimum wage or the appropriate prevailing wage, whichever is higher, to complying with all legal requirements on wages, and to provide any fringe benefits required by law or contract.

    • P
      0.5 / 1

      152. Commitment to pay a Decent Living wage applies to all suppliers?

      The company only commits its suppliers to paying at least the minimum wage or the appropriate prevailing wage, whichever is higher, to complying with all legal requirements on wages, and to provide any fringe benefits required by law or contract.

    • Y
      1 / 1

      153. Progress on commitment to pay a Decent Living wage?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank.

    • N
      0 / 1

      154. Reporting of salary by gender?

    • Y
      1 / 1

      155. Commitment to address occupational health and safety?

      The company reports its commitment to providing a safe and healthy workplace.

    • Y
      1 / 1

      156. Commitment to address occupational health and safety applies to all suppliers?

      The company commits its suppliers to providing a safe and healthy workplace.

    • Y
      1 / 1

      157. Provision of personal protective equipment and related training?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company reports to have a #GOHOMESAFE PROGRAMME which is a comprehensive safety program that promotes an injury-free workplace that includes training and campaign. The program started off with two (2) safety campaigns, namely, Near Miss and Safety Observation (NeMSO) Reporting and PATUH PPE at several locations in FGV premises. Till date, the company has conducted 16 training sessions under this program.

    • Y
      1 / 1

      158. Time lost due to work-based injuries?

      2.43 - The company reports a Lost Time Frequency Rate as 2.43 for 2020.

    • Y
      1 / 1

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

      4 - The company reports that there were four fatalities in 2019 involving an FGV staff, a migrant worker, a contractor, and a third-party worker.

  • Smallholders and suppliers Smallholders and suppliers
    7.5 / 16 46.9%
    • Organisation: 0 / 0 0%
    • Policy: 3 / 6 50%
    • Practice: 4.5 / 10 45%
    • Self-reported: 1.5 / 10 15%
    • External: 1 / 10 10%
    • Certified: 2 / 10 20%
    • Y
      1 / 1

      160. Commitment to support smallholders?

      The company reports that it promotes the inclusion of smallholders and outgrowers into its supply chain in a fair, transparent and equitable manner.

    • Y
      1 / 1

      161. Programme to support scheme/plasma smallholders?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports information on the support its provides to smallholders.

    • P
      0.5 / 1

      162. Percentage of scheme/plasma smallholders involved in programme?

      2,568 - The company only reports the number of plasma smallholders under Plasma Transmigration Programme (PTP) at its PT TAA and PT Citra Niaga Perkasa (PT CNP) plantations.

    • Y
      1 / 1

      163. Programme to support independent smallholders?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports information on the support its provides to the independent smallholders.

    • Y
      1 / 1

      164. Percentage of independent smallholders/outgrowers involved in programme?

      [Externally verified] 6,162 - The company reports the number of independent smallholders involved in the program in its sustainability report 2018/19. This report is externally verified by SIRIM QAS International Sdn. Bhd.

    • Y
      1 / 1

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

      The company reports that prior to appointment of suppliers it conducts a pre-qualification exercise to ascertain the suppliers' suitability. Suppliers are required to comply with the SCOC that spells out company's sustainability requirements and expectations. To monitor the performance of suppliers, the company uses a vendor management system known as e-Daftar, an online system that is connected to company's SAP system. This system allows the company to monitor the status of suppliers (i.e. active and inactive). Blacklisted suppliers are put on a watchlist. By referring to e-Daftar, the company is able to avoid engaging with blacklisted and inactive suppliers.

    • P
      0.5 / 1

      166. Number or percentage of suppliers assessed and/or engaged on compliance with company's policy and/or legal requirements?

      76% - The company reports that 76% of its external indirect suppliers are traceable to plantations and 100% sustainability risk mapping has been done on all traceable suppliers.

    • P
      0.5 / 1

      167. Suspension or exclusion criteria for suppliers?

      The company reports that non-compliance to the SCOC will result in the application of the company's Supplier Delinquency Guidelines, with the possibility of the offending supplier/vendor being suspended or terminated and blacklisted should they fail to demonstrate willingness to rectify gaps in their practices. However, a time-frame for actions is not reported by the company.

    • N
      0 / 1

      168. Time-bound action plans (including Key Performance Indicators) for suppliers to be in compliance with palm oil sourcing commitments?

    • N
      0 / 1

      169. Proportion of direct and indirect supply that comes from palm oil plantations which are compliant with palm oil sourcing policies?

    • N
      0 / 1

      170. Time-bound plan to engage with all high risk mills within 3 years?

    • N
      0 / 1

      171. Programme to support high risk mills to become compliant with sourcing policies?

    • N
      0 / 1

      172. Regularly engages with a subset of high risk mills?

    • P
      0.5 / 1

      173. Procedures in place to assess all own and third party supplying palm oil mills for risk level?

      The company states that is assessing the risk of suppliers. However, details on the risks being assessed and the classification of mills is unclear. It is also unclear if the company's own mills are assessed.

    • P
      0.5 / 1

      174. Regularly assesses and categorises the risk level of all their own and third party supplying mills?

      The company plans to assess all suppliers for risk by 2021, it is not clear how often these assessments will take place and if the company's own mills are included.

    • N
      0 / 1

      175. Regularly reports the risk level of all own and third party supplying mills identified in its supply chain?

  • Governance and grievances Governance and grievances
    6 / 7 85.7%
    • Organisation: 0 / 0 0%
    • Policy: 4 / 5 80%
    • Practice: 2 / 2 100%
    • Self-reported: 1 / 2 50%
    • External: 0 / 2 0%
    • Certified: 1 / 2 50%
    • Y
      1 / 1

      176. Commitment to ethical conduct and prohibition of corruption?

      The company reports that it is committed in applying highest standards of ethical conduct and integrity in its business activities by putting in place adequate policies and procedures to prevent corruption and bribery.

    • Y
      1 / 1

      177. Commitment to ethical conduct and prohibition of corruption applies to all suppliers?

      The company commits its suppliers to ethical conduct and prohibition of corruption.

    • Y
      1 / 1

      178. Progress on commitment to ethical conduct and prohibition of corruption?

      Points for external verification have been awarded on the basis of the company's RSPO-certified landbank. The company also reports that since obtaining the ISO 37001:2006 Anti-Bribery Management System certification in December 2019, it has been running awareness programs on the organisation's zero tolerance for any form of corruption or abuse of power. It has since strengthened the whistleblowing mechanism, and in 2020, published the FGV Anti-Corruption Action Plan (FGVACP) that is developed in accordance to the National Anti-Corruption Plan and the newly introduced Section 17A Corporate Liability provision of Malaysian Anti-Corruption Commission (MACC) Act 2009.

    • N
      0 / 1

      179. Disclosure of the company's management approach to tax and payments to governments?

    • Y
      1 / 1

      180. Whistleblowing procedure?

      The company has a whistleblowing procedure in place.

    • Y
      1 / 1

      181. Own grievance or complaints system open to all stakeholders?

      The company reports to have its own grievance system which is open to internal and external stakeholders.

    • Y
      1 / 1

      182. Details of complaints and grievances disclosed?

      The company has disclosed the details of grievances on its website.

Media monitor: FGV Holdings Bhd

SPOTT monitors global media sources for coverage of assessed companies. The media monitor gathers reports about specific activities related to the assessment indicator categories. ZSL does not assess or score the validity of media coverage, but users can explore the media monitor to provide context on implementation, and infer risks associated with reported operations on the ground.

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