Socfin Group

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

The company has a responsible management policy and group sustainability policy.

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

3. High-level position of responsibility for sustainability?

The company only states that its Board takes an active role in the sustainability strategy. It is looking to hire a sustainability manager.

4. Sustainability report published within last two years?

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

TFT.

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 works with multiple NGOs to improve palm oil sustainability, including ZSL, and national governments.

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

407741

9. Total oil palm planted area (ha)?

128189 - Figure calculated from 2017 Sustainability Report (Total Oil palm planted area) - the total column in the report shows 128,188ha, but the sum of individual hectarages in the table comes to 88,995 ha.

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

Indicator disabled. The company does not have scheme smallholders.

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

1757.03 - Figure of 1,757.03ha in 2017 RSPO ACOP only covers operations in Indonesia.

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

31964 - The 2016 Sustainability Report states that there are 31,964 ha of protected forests within the concessions. The company's website states 21,000 ha but this figure is undated.

13. Area for infrastructure (ha)?

14. Number and names of company owned mills?

20 - 20 existing mills, and 2 mills which are expected to become operational in 2019. Only 9 mills reported in 2017 RSPO ACOP, which only covers operations in Indonesia. The names of all mills could not be found.

15. Maps or coordinates of company owned mills?

Available on the company's TFT dashboard.

16. Number and names of supplier mills?

This indicator is disabled as the company does not have supplier mills. Its one operational refinery only sources from its own mill.

17. Maps of estates/management units?

The company makes KML shapefiles of its concession boundaries available for all its operations. Indonesia concessions have also been submitted in previous RSPO ACOPs. Maps will become available on GeoRSPO.

18. Maps of scheme/plasma smallholders?

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

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

This indicator is disabled as the company does not have supplier mills. Its one operational refinery only sources from its own mill.

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

The company commits to "Obtain traceability for 100% of its raw materials supplies" but this commitment is not time-bound. It also planned to collect and publish traceability data by September 2017.

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

This indicator is disabled as the company does not have supplier mills. Its one operational refinery only sources from its own mill.

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

The company states it has achieved "full traceability for the first level" but it is unclear what this includes.

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

This indicator is disabled as the company does not have supplier mills. Its one operational refinery only sources from its own mill.

24. Commitment to zero deforestation?

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

26. Criteria for defining deforestation?

HCS, HCV, peat.

27. Evidence of monitoring deforestation?

The company only states "In terms of monitoring, we will calculate the forest area and estimate the canopy coverage every year: the total must at least remain the same, year after year (at Group level)".

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

The company has reforestation programs and is restoring riparian zones.

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?

The company only states it prevents illegal hunting.

33. Examples of species conservation activities?

The company states that it carries out education of local communities about rare and endemic species and has installed birdhouses and perches for birds of prey, among other activities.

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)?

This company does not have an explicit commitment itself, but commits under the RSPO New Planting Procedures (NPP) as an RSPO member.

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?

HCV assessments are available for:
Lima Puluh Estate/PT Socfin
Okomu Extension 1
Okomu Extension 2
Socfinaf Ghana Limited.

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

Short HCV management and monitoring plans are only available for some of the HCV assessments.

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

The company has four satisfactory HCV assessments under the company Socfin and its subsidiary Okomu.

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

42. High Carbon Stock (HCS) assessments?

Carbon stock assessments for Okomu and PSG are available on the company's TFT dashboard.

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

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

There is one SEIA assessment available for Lima Pulah Estate with only a very short management and monitoring plan.

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

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

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?

The company only details best management practices for soils.

50. Commitment to zero burning?

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

52. Evidence of management and monitoring fires?

The company reports fire monitoring on its DRC concessions: "Farm guards selected by the community are ... posted to report fires." The company does not report fire management practices.

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 GHGs but it is not time-bound and it does not set a specific target.

56. GHG emissions from land use change?

57. Methodology used to calculate GHG emissions?

PalmGHG calculator.

58. Progress towards commitment to reduce GHG emissions intensity?

The company reports a GHG intensity for 2017 ACOP but does not report progress and has no time-bound target.

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

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

In 2015, the company reported a target of 0.6 m3/T FFB. In 2017 the company set a target of 2 m3/T FFB, but this is not time-bound.

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

The company states in its 2017 Sustainability Report that discharge water for the pond is monitored and that BOD and COD "are kept within permitted levels (local regulations or IFC and/or RSPO standards, whichever applies)".

62. Progress towards commitment on water use?

The company reports average water usage per tonne of FFB in 2017 as both 1.19 m3/T FFB and 1.14 m3/T FFB within the same report. The company previously reported water consumption levels of 1.15m3/T FFB in 2015 and 1.16m3/T FFB in 2016, which is also inconsistent with the data reported for these years in the 2017 Sustainability Report.

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

In 2015, the company reported figures for BOD and COD and states it keeps within permitted levels, but no recent data could be found.

64. Protection of natural waterways through buffer zones?

The company states that the riparian zones' management and rehabilitation strategy is implemented in Cameroon however it is unclear if buffer zones are in place across all operations to protect waterways.

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

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

67. No use of paraquat?

The company phased out paraquat in 2017.

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

The company states it is committed to prohibiting the use of WHO class 1A and 1B chemicals, but that small quantities of chemicals classified 1B by the WHO are still used in the oil palm plantations (no time-bound plan). However, in 2016 Carbofuran was reduced by 47.02% compared to 2015. In 2017, this was reduced by 32.34% compared to 2016.

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?

The company details pesticides used, toxic products used and organic fertiliser used.

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

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?

The company states that it follows the "FAO Manual on Free, Prior and Informed Consent".

79. Details of process for addressing land conflicts available?

The company has a grievance procedure which has been used to record and respond to land conflict related grievances.

80. Commitment to mitigate impacts on food security?

The company does not explicitly commit to food security for local communities, but does refer to alternative subsistence activities to limit communities' dependence on forests and protected areas and reducing the impacts of climate change on the livelihoods of the local populations. SoGB gave ?12,000 of financial support to the SoGB women's union for vegetable production projects to promote local products and make them available at affordable prices.

81. Commitment to provide essential community services and facilities?

While the company does not commit to provide essential community services, it states in its 2017 Sustainability Report that 'Each village, depending on its distance or proximity to certain more lively and urban centres, has the infrastructure needed for village life: schools, health outpost, shops, boreholes, market places, sports fields, bars, etc.' Socfin dedicates funds to health care, access to credit and education.'.

82. Commitment to respect all workers' rights?

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

84. Total number of employees?

49164

85. Percentage or number of temporary employees?

16266 (33.1%) - Sum of contractors, temporary and daily workers.

86. Percentage or number of women employees?

5019 (17%) - Figures provided applies to permanent employees only, more women as part of temporary workers, contractors and daily workers but not recorded.

87. Commitment to pay minimum wage?

The company commits to pay minimum wage but no evidence is provided.

88. Commitment to address occupational health and safety?

89. Time lost due to work-based injuries?

59 - Lost days per 100 employees average. The company also reports an accident rate per 100 employees of 14.53.

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

3

91. Provision of personal protective equipment and pesticide training?

The company states it makes Personal Protective Equipment available. There is also a mention of training, including related to Carbofuran use and water quality in the 2017 Sustainability Report.

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

2004 - The company (PT Socfindo and Socfinco - two plantation subsidiaries in Indonesia) has been a member of the RSPO since 2004. However, the company's other plantation subsidiaries are not members of the RSPO. The company states its holding company Socfinaf, grouping all African subsidiaries, applied for RSPO membership in 2015.

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)?

The company only states that it operates in Indonesia (Aceh, North Sumatra). It does not state that it operates in Sierra Leone, Nigeria, Cote d'Ivoire, Ghana, Sao Tome & Principe, Cameroon and Democratic Republic of Congo.

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

2022 - An original time-bound plan of 2013 was extended to 2014 and then 2015 only for operations in Indonesia - the company states in its 2016 RSPO ACOP that all estates are 100% certified in Indonesia. In its 2016 Sustainability Report, the company stated that all the Group's African plantations will be certified by 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?

Indicator disabled. The company does not have scheme smallholders.

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

2021

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 - Only for operations in Indonesia.

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

9 (45%)

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

39391 (30.7%) - Sum of total certified area divided by planted area (128,189 ha), as total land area managed/controlled includes both palm oil and rubber.

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

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

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

ACOP 2017 states that no FFB is sourced from independent suppliers in Indonesia, and therefore no certified palm oil seems to be sourced from independent suppliers. However the 2017 Sustainability Report states that "The plantation companies source from independent smallholders.".

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

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

Mass Balance, Identity Preserved.

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

All nine of the Indonesian sites have achieved ISPO certification. The remaining 4 Indonesian sites are rubber plantations or storage sites and do not require ISPO certification.

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.)?

ISCC, ISO 14001.

108. Programme to support scheme smallholders?

Indicator disabled. The company does not have scheme smallholders.

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

Indicator disabled. The company does not have scheme smallholders.

110. Programme to support independent smallholders?

The company states that it "organises awareness and training sessions for smallholders and subcontractors. It offers them decision-making and technical support.".

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?

The company states "the contractors and suppliers must comply with the companies rules and they are requested to sign our environmental and social policies. They are regularly audited by the staff in the framework of the management systems in order to ensure that their operations are the Group's environmental and social objectives. Training is provided if necessary.".

113. Suspension or exclusion criteria for suppliers?

The company states that it ensures smallholders comply with the company's policy and requirements and that any supplier not taking immediate remedial actions to correct serious failures or which does it repeatedly shall be removed from the Group's list of approved suppliers. It states that planters can be banned from its supplier list in the event of blatant reluctance, however it does not give timeframes for action or clearly state the criteria for exclusion.

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?

The company states that a whistleblowing procedure will be implemented in 2018 but it is not currently available.

117. Own grievance or complaints system?

A new grievance mechanism was published on the company's TFT dashboard in 2017.

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

Grievance procedure is publicly available on the TFT dashboard.

119. Details of grievances disclosed?

The grievance log is available through the company's TFT dashboard.