QL Resources Bhd

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

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

3. High-level position of responsibility for sustainability?

The company reports it has a Sustainability Steering Committee ("SSC"), "chaired by QL's Group Managing Director and comprises Head of Business Units and Business Functions" which "supports the Board in steering the Group's sustainability efforts". The Group Managing Director is a member of the Board of Directors and it is unclear if the Head of Business Units and Business Functions includes a role specific to high-level responsibility for sustainability.

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

The Executive Chairman and Group Managing Director are members of the Board and form part of the Sustainability Steering Committee.

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

27% - The company states it has 27% women in the management team of its palm oil activities for the year 2021. However, the scope of the reporting within the sustainability report only covers subsidiaries in Malaysia, but the company also operates palm oil plantations in Indonesia.

6. Percentage or number of women board members?

4 (29%) - The company reports four women sit on the board out of a total of 14 (including three Alternate Directors to Executive Directors).

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

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

The company reports that it is working with Wetlands International as a collaboration partner for a mangrove reforestation and rehabilitation programme in Malaysia. However, the program is not clearly in relation to its palm oil operations.

9. Sustainability report published within last two years?

The company's sustainability report is integrated within its annual report.

10. Reports through standardised reporting systems?

The company's sustainability report (integrated within its annual report) claims to be based on Global Reporting Index (GRI) standards, however data has not been referenced in accordance with Core or Comprehensive GRI standards.

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

This indicator is disabled as the company is not a POIG member.

12. Climate risks assessment available?

13. Lists countries and operations?

The company's website states it owns palm oil plantation and palm oil mills in Sabah (Malaysia) and Northern Kalimantan (Indonesia).

14. Lists countries sourcing from?

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

16000 - The company reports a plantation area of 16,000 ha in Malaysia and Indonesia in its annual report. However, the scope of reporting within the annual report only covers two palm oil subsidiaires in Malaysia: QL Plantation Sdn. Bhd. and QL Tawau Biogas Sdn. Bhd and it is unclear if the figure of 16,000 hectares covers all of the company's operations. The company refers to other subsidiaries involved in oil palm cultivation in its Annual Report, including PT. Pipit Mutiara Indah, QL Farms Sdn. Bhd. and its subsidiaries and QL Breeder Farm Sdn. Bhd. It reports PT. Pipit Mutiara Indah has a landbank of 14,177 ha but it is unclear if this is included in the 16,000 ha reported. Individual landbank figures for each of the other subsidiaries are not reported.

16. Total oil palm planted area (ha)?

9000 - The company states "of QL's existing 16,000 hectares of estate holding, 9,000 hectares are cultivated while the remainder lies fallow." However, as above, the scope of this reporting is unclear.

17. Scheme smallholders planted area (ha)?

The company states it has "handed over a mature plantation of 744 hectares to the local farmers of Indonesia" for a plasma plantation. It also states that approximately 20% of land use rights have been set aside for plasma scheme as per the Indonesian regulations, but no total area has been reported and figures cannot be calculated due to the difficulties defining its total area owned for oil palm cultivation.

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

7000 - The company states that 7,000 ha of land lies fallow, however it is not clear if this land is intended for future planting or if this covers all operations.

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

20. Maps of estates/management units?

21. Maps of scheme smallholders?

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

23. Number of company-owned mills?

3 - The company's 2020 Annual Report states it owns two mills in Malaysia and one in Indonesia. These are also available in Global Forest Watch.

24. Names and locations of company-owned mills?

Names and locations are available on Global Forest Watch.

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

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

27. Number of third party supplying mills?

This indicator is disabled as the company does not source from third-party supplying mills.

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

This indicator is disabled as the company does not source from third-party supplying mills.

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

This indicator is disabled as the company does not source from third-party supplying mills.

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

This indicator is disabled as the company does not source from third-party supplying mills.

31. 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 the company does not own refineries.

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

This indicator is disabled as the company does not source from third-party supplying mills.

33. Percentage of supply traceable to mill level?

This indicator is disabled as the company does not source from third-party supplying mills.

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

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

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

This indicator is disabled as the company does not source from third-party supplying mills.

37. Publishes traceability data at refinery level?

This indicator is disabled as the company does not own refineries.

38. Publishes traceability data at crusher level?

This indicator is disabled as the company does not own palm kernel crushing facilities.

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

The company withdrew from the RSPO in 2018.

40. 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?

The company withdrew from the RSPO in 2018.

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

The company withdrew from the RSPO in 2018.

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

The company withdrew from the RSPO in 2018.

43. Percentage of mills RSPO-certified?

The company withdrew from the RSPO in 2018.

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

The company withdrew from the RSPO in 2018.

45. Time-bound plan for achieving 100% RSPO certification of all palm product processing facilities within 5 years?

This indicator is disabled as the company is only a grower or miller.

46. Percentage of scheme smallholders (ha) RSPO-certified?

The company withdrew from the RSPO in 2018.

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

The company withdrew from the RSPO in 2018.

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

The company withdrew from the RSPO in 2018.

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

This indicator is disabled as the company is only a grower or miller.

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

The company withdrew from the RSPO in 2018.

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

The company withdrew from the RSPO in 2018.

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

The company states "Our palm oil plantation is grounded on good agriculture practice and we comply with the environmentally sustainable methods of the Indonesian Sustainable Palm Oil (ISPO) certification." However, no certificates could be found.

53. Malaysia Sustainable Palm Oil (MSPO) certified?

[Externally verified] 1,215.76 ha of the company's plantations and both Malaysian mills are MSPO certified according to the MSPO database.

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

55. Commitment to zero conversion of natural ecosystems?

56. Commitment to zero deforestation?

57. Commitment to zero deforestation applies to all suppliers?

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

59. Criteria and cut-off date for defining deforestation in supplier operations?

60. Evidence of monitoring deforestation and/or ecosystem conversion?

61. Evidence of monitoring deforestation and/or ecosystem conversion in supplier operations?

62. Amount of deforestation and/or ecosystem conversion recorded in own operations since cut-off date?

63. Amount of deforestation and/or ecosystem conversion recorded in supplier operations since cut-off date?

64. Commitment to restoration of deforestation/conversion?

65. Commitment to restoration of deforestation/conversion applies to all suppliers?

66. Implementing a landscape or jurisdictional level approach?

67. Biodiversity policy?

68. Biodiversity policy applies to all suppliers?

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

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

The company reports it has "identified Wetlands International as a strategic partner to roll out a mangrove reforestation and rehabilitation programme in Malaysia" however the project has been delayed due to the COVID-19 pandemic. The website states that 1 ha of mangrove has been conserved and 1,000 mangrove seedlings planted as of 2020.

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

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

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

The company commits to not clear HCV areas.

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

The company's policy only encourages suppliers to be guided by its policy.

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

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

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

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

79. 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?

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

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

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

83. High Carbon Stock (HCS) assessments available?

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

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

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

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

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

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

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

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

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

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

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

95. Commitment to zero burning?

96. Commitment to zero burning applies to all suppliers?

97. Evidence of fire monitoring and management?

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

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

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

The company commits to reduce GHG emissions intensity by 20% by the year 2026 against its 2020 baseline.

101. GHG emissions intensity?

The company reports its GHG emissions intensity for its palm oil operations based on its sales as 14.2 tCO2e/mil RM revenue. Emissions intensity is not reported per hectare or tonne of product.

102. GHG emissions from land use change?

103. Progress towards commitment to reduce GHG emissions intensity?

The company reports its GHG emissions intensity decreased from 15.9 tCO2e/mil RM revenue in 2020 to 14.2 tCO2e/mil RM revenue in 2021 for its POCE (palm oil and clean energy) business. However, intensity figures are not reported per hectare or tonne of product.

104. Methodology used to calculate GHG emissions?

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

1 (33%) - one mill in Malaysia has methane capture, the other two mills do not.

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

107. Water use intensity?

The company reports its water use intensity for its POCE (palm oil and clean energy) business as 2,277 m3/mil revenue in 2021. Intensity is not reported for amount of product processed.

108. Progress towards commitment on water use intensity?

The company reports its water use intensity for its POCE (palm oil and clean energy) business as 2,366 m3/mil revenue in 2020 vs 2,277 m3/mil revenue in 2021. Intensity is not reported for amount of product processed.

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

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

The company states the average BOD concentration of its mills is 18 mg/L which is below the regulatory stipulation of 20 mg/L. However, it is unclear if this includes its mill in Indonesia as the integrated annual report states it only covers its main subsidiaries in Malaysia.

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

The company states that wastewater is treated before being discharged but this does not clearly relate to POME. It states POME is monitored and tested but does not mention treatment.

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

This indicator is disabled as the company does not own refineries.

113. Commitment to protect natural waterways through buffer zones?

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

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

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

117. Commitment to no use of paraquat?

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

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

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

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

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

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

124. Implementation of commitment to minimise inorganic fertiliser use?

125. Integrated Pest Management (IPM) approach?

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

The company reports having a waste management plan, however it is unclear if this covers all operations of the company.

127. Commitment to human rights?

The company commits to the Universal Declaration of Human Rights.

128. Commitment to human rights applies to all suppliers?

The company's policy only states "The Group's Suppliers and other Business Associates are encouraged to be guided by this Policy when performing business on the Group's behalf". The company also has a Code of Business Ethics policy for its suppliers which mentions human rights but does not refer to the UN Declaration of Human Rights or UN Guiding Principles on Business and Human rights.

129. Progress on human rights commitment?

The company reports that 874 employees attended the human rights and labour standards policy briefing.

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

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

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

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

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

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

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

137. Examples of local stakeholder engagement to prevent conflicts?

138. Details of process for addressing land conflicts available?

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

140. Commitment to mitigate impacts on food security?

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

142. Commitment to provide essential community services and facilities?

The company commits to support the community with employment and through corporate philanthropy activities however this only appears to apply to its Malaysian operations.

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

The company reports multiple examples including upgrading school facilities, construction of an activity centre and contributing to orphanages.

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

The company commits to supporting the community through employment however this appears to only apply to its operations in Malaysia.

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

The company reports a commitment to all of the ILO conventions apart from equal remuneration.

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

The company policy for suppliers only refers to three of the ILO conventions (forced labour, child labour and minimum age).

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

The company states that 874 employees attended the human rights and labour standards policy briefing.

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

The company commits to prevent employment-related discrimination based on gender.

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

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

151. Percentage or number of temporary employees?

52% - In 2021, the company reported that 52% of its employees in its palm oil operations are contract based which include temporary and part-time workers.

152. Percentage or number of women employees?

20% - The company states that 20% of its palm oil operations workforce are female.

153. Commitment to pay a Decent Living wage?

The company commits to complying with local minimum wage requirements only.

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

The company commits its suppliers to comply with legal minimum wage requirements only.

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

156. Reporting of salary by gender?

157. Commitment to address occupational health and safety?

The company commits to address health and safety at work for all workers.

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

The company commits all suppliers to address health and safety at work for all workers.

159. Provision of personal protective equipment and related training?

The company carries out safety awareness training and provides PPE.

160. Time lost due to work-based injuries?

4.41 - The company reports a Lost Time Injury Frequency Rate of 4.41 per million hours. A graph in the same report records the units as LTIFR-12MMA and it is not clear what this refers to. It is not clear if this figure covers all of the company's palm oil operations.

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

1 - The company reported one fatality in 2021.

162. Commitment to support smallholders?

163. Programme to support scheme smallholders?

164. Percentage of scheme smallholders involved in programme?

165. Programme to support independent smallholders?

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

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

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

169. Suspension or exclusion criteria for suppliers?

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

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

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

This indicator is disabled as the company does not source from mills.

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

This indicator is disabled as the company does not source from mills.

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

This indicator is disabled as the company does not source from mills.

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

This indicator is disabled as the company is only a grower or miller.

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

This indicator is disabled as the company is only a grower or miller.

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

This indicator is disabled as the company is only a grower or miller.

178. Commitment to ethical conduct and prohibition of corruption?

The company commits to ethical conduct and the prohibition of corruption.

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

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

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

The company reports that 666 participants attended 14 sessions covering its Code of Business Ethics and Conduct, Anti-Bribery Policy and Whistle Blower Policy. It also states that 100% of its operations were assessed for risk related to corruption.

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

182. Whistleblowing procedure?

The company has a Whistleblowing Policy.

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

The company reports it has a a formal grievance and harassment procedure however the procedure itself is not publicly available and it only appears to apply to employees.

184. Details of complaints and grievances disclosed?