rspo surveillance audit report rspo standard (in … · rspo surveillance audit report felda -...

RSPO SURVEILLANCE AUDIT REPORT FELDA - KOMPLEX WAHA

RSPO STANDARD (in current version)

agroVet GmbH - agroVet GmbH -

Head Quarter: Office Malaysia:

Königsbrunnerstraße 8 3rd Floor, Wisma RKT, No: 2 Jalan Raja Abdullah

A-2202 Enzersfeld 50300 Kuala Lumpur

Austria Malaysia

www.agrovet.at

RSPO Audit Report Felda, ASA of Komplex Wa Ha / 2013

2

Enzersfeld / Kuala Lumpur |Version 01.10.2013|Revsion 01

TABLE OF CONTENTS

1. Scope of the Certification Assessment 1.1 General Comments

1.2 Location (map and GPS), mill and/or hectarage statement

1.3 Description of supply base (fruit sources)

1.4 Date of plantings and cycle

1.5 Other certifications held (ISO etc)

1.6 Organizational information / contact person

1.7 Tonnages certified

2. Assessment Process 2.1 Assessment methodology (program, site visits, etc.)

2.2 Date of next surveillance audit

2.3 Lead Assessor / assessment team

2.4 Certification Body

2.5 Outline of how stakeholder consultation was managed

3. Assessment Findings 3.1 Summary of findings (template required) – available within 60 days

3.2 Identified Non-Conformances and Noteworthy positive comments

3.3 Issues raised by stakeholders

4. Certified organization’s acknowledgement of internal responsibility 4.1 Formal sign-off of assessment findings

5. Attachments 5.1 Report Confirmations (certification department and client)

5.2 Abbreviations


3


1. Scope of the Certification Assessment

1.1 General Comments

1.1.1 Structure of FELDA – Federal Land Development Authority

FELDA was founded on 1st July 1956 under the Land Development Act 1956. It has a chairman who steers the organization (with the

advice of board of directors) and a Director General who runs the organization at the highest level.

FELDA functions provided under the Act (Amendment 1991) are as follows:

Carry out and implement land development projects

Promote, facilitate and implement the development, management and economic, social, agriculture, settlements, industrial

and commercial as well as other ancillary activities in the areas where authorized Felda land development projects or areas

owned by FELDA and the company.

Implement activities that will help modernize the agriculture sector in areas where Felda authorized governing, especially in

activities related to production, processing and marketing of agricultural produce and livestock.

Assisting, guiding, advising, managing and coordinating the placement of social activities, agricultural, industrial and

commercial development in the FELDA.

See: http://www.felda.net.my

http://www.felda.net.my/


4


1.1.2 FELDA Holdings BHD

Felda manages all the settlers (smallholders) and their settlement (Felda Schemes). Felda formed a holding company (Felda Holdings) to

venture into business and provide services to Felda Group.

See: http://www.feldaholdings.com/content.php?h=61

Felda Holdings' largest shareholder is the Felda Investment Co-operative (Koperasi Permodalan Felda or KPF) which holds 51% ownership

of equity. This makes an exemplary model of a company whose ownership by Felda settlers, their own employees and beneficiaries are

institutionalised within its corporate structure. Felda Global Ventures Holdings Sdn Bhd (Felda Global), a wholly-owned subsidiary of the

Federal Land Development Authority(FELDA), holds the remaining 49% equity, while, the Minister of Finance Incorporated has one

Golden Share.

Amongst those are the Felda Palm Industries Sdn Bhd (that operates all the 70 palm oil mills in Felda), Felda Technoplant Sdn Bhd (that

manages the replantings of Felda schemes when the time is due).

1.1.2.1 Corporate Structure of FELDA Holdings

Felda Holdings is one of the largest holding companies in Malaysia with a total of 56 companies in their stable, of which 47 are fully

operational and 9 are dormant. Of these companies, 15 are direct subsidiaries and 18 are indirect subsidiaries with a combined capital

of RM1.1 billion. In addition, there are 16 associates worldwide, two joint ventures and five investment companies.

See: http://www.feldaholdings.com/content.php?h=1060&lang=EN

http://www.feldaholdings.com/content.php?h=61

http://www.feldaholdings.com/content.php?h=1060&lang=EN


5


1.1.2.2 Direct subsidiaries of FELDA Holdings BHD

More Information see: www.feldaholdings.com/content.php?h=1060&lang=EN

1.1.2.3 Certification relevant structures

Felda Management System

Felda is responsible in all aspects of settler development except on the field operation such as harvesting, manuring and upkeep, (which

the settlers are supposed to do themselves) with the advise and trainings given by Felda or its subsidiaries. Nevertheless the Felda

management (Scheme) coordinates and keeps record of all activities and input/outputs. Occasionally there bound to be some settlers

whom are not able to do the field operations themselves, Felda assists them by contracting the work on their behalf.

FTP Management system

When replanting is due, an agreement is sought with the settlers and Felda appoints Felda Technoplant to take care of replanting and

associated field activities. FTP then appoints suitable contractors to carry out the task. Not withstanding this, some settlers (very-very few)

opt to do replanting themselves and thus doesn’t come under the FTP Management system. These settlers are termed as independent

settlers but nevertheless Felda continues to give the technical advice.



6


1.1.3 FELDA Time Bound Plan for achieving certification (according 4.2.4 of RSPO Certification Systems)

1.1.3.1 Mills and Plantations – Status 2009

Planned Year Mill Projects

(FGVPM, FELDA, FASSB, FTPSB)

PLANTED AREA (ha)

CERTIFICATIONS STATUS

2009

Kota Gelanggi

FASSB Kota Gelanggi 05 &06 3,051.08

Certified 22.07.2010

FTPSB Kota Gelanggi 01 2090.88




Lepar Utara 06

FGVPM Lepar Utara 07 2,054.33




FELDA Lepar Utara 03 920.01


7




(FGVPM, FELDA, FASSB, FTPSB) PLANTED AREA

(ha) CERTIFICATIONS

STATUS

2010

Padang Piol FTP Padang Piol 2,870.60


FTP Sg. Retang 2,120.90

Jengka 3

FTP Jengka 2 1,858.07



FTP Ulu Jempol 2,336.36




Felda Bukit Tajau 448.19


8




(ha) CERTIFICATIONS STATUS

2010

Seroja (Jengka 18)


Audited by BSI in July 2011. Audit report submitted to RSPO Secretariat





FTP Sg. Nerek 979.16

F Jengka 20 1,870.00

F Kg. Awah 533.19






9





2010

Jengka 21


Audited by BSI in July 2011. Audit report submitted to RSPO Secretariat.

FTP Jenderak Selatan 1,017.81

FTP Jenderak Utara 2,173.29

Felda Jengka 1 2,215.10

F Jengka 1 2,215.10

FTP Sg. Tekam Utara 1,880.18

F Jengka 24/25 2,217.25

FAS PPPTR/UKA 1,679.79

Jengka 8

F SG. Tekam 793.02







Lepar Utara 4

Felda Lepar Utara 2 693.96

Certified 12.09.2012 FASSB Lepar Utara 10 103.9




10






2011

Kemasul

FGVP Mengkarak 1 2,678.19

Certified 20.12.2012 FGVP Mengkarak 2 2,328.27

FTP Kemasul 1,959.29

Triang

FGVP Triang 2/4 3,424.59

Certified on 15.10.2012 FGVP Triang Selatan 1 3,101.70

F triang 1 934.12

F triang 3 482.32

Kepayang

FGVP Terapai 3 2,437.07

Audited by SIRIM Report submitted to RSPO Secretariat on 28.10.2011

FTP Kepayang 1950.74

FTP Mayam 2,291.08

FTP Kumai 2,336.68

Bukit Mendi

FTP Bukit Mendi 1932.63


FTP Bukit Puchong 1,870.38

F Mengkuang 610.85

F Sg Kemahal 2,583.12

FTP Chemomoi 1838.7


11





2011

Semencu

F Pasak 1,015.11


F Semencu 2,484.67

F Air Tawar 1 2,537.84




Lok Heng

FTP Air Tawar 2 3,114.62


FTP Papan Timur 2,257.07

FTP Aping Barat 1,880.37

F Lok Heng Barat 1,967.89

F Lok heng selatan 1766.71

F Lok Heng Timur 1,986.37

Adela FTP Sg. Mas 2,940.73

Certified 16.04.2012 FTP Senin 2,211.03

Wa Ha

F Aping Timur 2,640.06

Certified 30.05.2012 FTP Bukit Wa Ha 1,454.81

FTP Simpang Wa Ha 2,239.57

FTP Bukit Easter 1,616.86


12






2012

Belitong

F Bukit Tongkat 1,151.61

Audited in December 2012 F Ulu Belitong 1918.26

F Bukit Permai 985.64

F Layang-Layang 748.04

Kulai

FTP Taib Andak 2,901.82

Audited in December 2012

FTP Bukit Batu 953.74

FTP Ulu Tebrau 2,680.65

FTP Sg. Tiram 186.73

FAS Bkt Besar/Taib Andak 116.5

Penggeli

FGVP Inas Selatan 2,343.54

Audited in December 2012

F inas utara 1107.24

FTP Sg. Sibol 1,677.69

FTP Sg. Sayong 1,638.67

FTP Penggeli Timur 1,868.51

FTP Linggiu 2,018.78

F Tunggal 2288.15


13


1.1.3.5 Mills and Plantations – Program 2013




2013

Baiduri Ayu

FGVP Sahabat 09/15 2,172.13

Audit planned to take place before end Q3, 2013

FGVP Sahabat 15 1,465.83



F Sahabat 1 1,148.21

F Sahabat 2 1,193.14

Fajar Harapan







14





2013 Serting Hilir

FASSB Serting Hilir 01 649.7


FASSB Tembangau 09 107.80

FGVP Tembangau 03 2,610.95






FTP Lui Muda 912.93

FTP Tembangau 01 1332.03

FTP Tembangau 02 1257.49

F Sg Lui 173.78

F Serting Hilir 649.70

F Lui Timur 1,610.23

F Serting Hilir 02 491.58






F Selancar 02 1454.50


15





2013

Maokil

FGVP Maokil 06 2,148.54


FGVP Maokil 07 2,654.55

F Maokil 01 1,514.86

F Maokil 02 390.11

Tenggaroh Timur

FGVP Tenggaroh Timur 02 2,916.34


FGVP Tenggaroh 12 2,444.18

F Tenggaroh 03 852.68

F Tenggaroh 06 1,123.41

Palong Timur

FTP Palong Timur 01 1,322.81


FTP Palong Timur 02 1,233.91

FTP Palong Timur 03 851.36

FGVP Palong Timur 4/5 3,957.00

FGVP Palong Timur 06 3,151.04

FGVP Palong 17 2,049.10


FTP Palong 01 1,595.02







16





2013

Keratong 09

F Keratong 10 1,304.70


FGVP Bera Selatan 07 3,042.07

FGVP Keratong Timur 1,258.29

FGVP Merchong 01 1,823.39

FASSB Merchong 382.00

Kechau A

FGVP Kechau 02 2,036.79

Audit planned to take place before end Q3,

2013




FGVP Telang 01 1,884.84

FGVP Chegar Perah 02 2,631.85

FASSB Telang 592.30

Kechau B

FGVP Kechau 08 3,591.22 Audit planned to take place before end Q3,

2013 FGVP Kechau 10 2,307.51



17





2013

Keratong 09




FGVP Keratong Timur 1,258.29

FGVP Merchong 01 1,823.39

FASSB Merchong 382.00

Kechau A



2013




FGVP Telang 01 1,884.84

FGVP Chegar Perah 02 2,631.85

FASSB Telang 592.30

Kechau B

FGVP Kechau 08 3,591.22 Audit planned to take place before end Q3,

2013 FGVP Kechau 10 2,307.51



18






2014

Neram

FTP Seberang Tayor 779.70


FTP Neram 01 3,189.14

FTP Neram 02 2,326.15

FGVP Neram 03 613.10

FGVP Cerul 03 1,842.36

FTP Bukit Kuantan 1,865.35

Panching

FTP Panching Utara 1,532.20 Audit planned to take place before end Q3,

2014 FTP Panching Selatan 1,133.28

FTP Panching Timur 1,185.03

Besout

FGVP Besout 06 2,620.76


FGVP Besout 07 2,987.37

FTP Besout 01 2,170.84



FTP Besout 04 882.12

FTP Besout 05 409.30

Trolak

FTP Trolak Selatan 2,412.69


FTP Sg. Klah 1,035.81

FTP Trolak Utara 1,973.18

FTP Trolak Timur 1,476.97


19





2014

Keratong 02



FGVP Keratong 11 2,241.81

FTP Keratong 01 2,684.60





Keratong 03



2014



FTP Keratong 05 2,121,13


Trolak

FTP Trolak Selatan 2,412.69 Audit planned to take place before end Q3,

2014 FTP Sg. Klah 1,035.81

FTP Trolak Utara 1,973.18

FTP Trolak Timur 1,476.97

Keratong 02



FGVP Keratong 11 2,241.81







20





2014

Keratong 03





FTP Keratong 05 2,121,13


Sg Tengi

FTP Gedangsa 1,591.57 Audit planned to take place before end Q3,

2014 FTP Soeharto 3,097.44

FTP Sg Tengi Selatan 591.22

F SG Tengi 2,039.70

Embara Budi



2014


FGVP Sahabat 13 878.64



F Sahabat 03 1,141.75

F Sahabat 04 868.35

F Sahabat 05 1,258.75

F Sahabat 05 1,258.75

F Sahabat 05 1,258.75

F Sahabat 05 1,258.75

F Sahabat 05 1,258.75

F Sahabat 05 1,258.75


21





2014

Lancang Kemudi







Kembara Sakti

FGVP Sahabat 42 2,629.31 Audit planned to take place before end Q3,

2014 FGVP Sahabat 43 1,727.46



Mercu Puspita



2014



FAS Sahabat 6,9,57 1,763.00

FAS Sahabat 17 1746.30


22






2015

Krau FGVP Krau 02 3,050.34 Audit planned to take place before end Q3,

2015 FGVP Krau 04 3,040.08

Mempaga

FTP KG Sertik 1,143.32


2015

FTP Lakum 1906.4

FTP Bukit Damar 1,926.83

FTP Mempaga 1 1,670.56

FTP Lurah Bilut 213.93

FTP Mempaga 2 787.17

Serting



2015

FGVP Serting 5 1,744.62

FGVP Serting Hilir 8 1,951.42

FGVP Serting Hilir 9 1,590.72


F Raja Alias 1 540.42




FAS Serting Hilir 188.5


23





2015

Pasoh

FTP Pasoh 1 1,832.60






Selancar 2A

F selancar 4 680.23


2015

F Selancar 5 363.72

F Selancar 3 1471.57

F Pemanis 2 74.07

F Medoi 125.04

F Pemanis 1 263.26

FTP Redong 2828.03

FTP Selancar 1 1276.79

Selancar 2B

PGVP Selancar 6 3,273.81 Audit planned to take place before end Q3,

2015 FGVP Selancar 8 1,594.91

FGVP Selancar 9 2,686.63

N. Permata

FGVP Sahabat 50 3,606.89 Audit planned to take place before end Q3,

2015 FGVP Sahabat 51 2,470.38



24





2015 H. Badai







FAS Tambisan 1,000.00


25






2016

Chalok

FGVP Setiu 1 2,560.23


F Chalok 1613.16

F Chalok Barat 1672

F Tersat 773.22

F Tenang Besut 1330.26

F Mengkawang 1493.38

FTP Belara 172.84

FTp Selasih 634.52

J. Barat

FTP Jerangau Barat 149.07 Audit planned to take place before end Q3,

2016 F Cerul 1 593.09

F Cerul 2 814.21

Jerangau

FGVP Rantau Abang 1 2,770.74 Audit planned to take place before end Q3,

2016 FGVP Chador 1 2,522.50

FTP Jerangau 2950.02

FTP Bukit Banding 2561.82


26





2016

Kerteh

FGVP Semaring 1,057.24


FTP Kerteh 1 1,738.58

FTP Kerteh 2 1,613.45

F Kerteh 3 1607.53

F Kerteh 4 1511.33

F Kerteh 5 1510.39

FTP Kerteh 6 1613.53

FAS Kerteh 137.56

Selendang

FGVP Selendang 3 2,076.08


2016

FGVP Selendang 4 3,820.55

F Selendang 2 527.38

FGVP Berabong 1/2 3,061.75

FTP Selendang 1 930.03




27





2016

Kalabakan

FGVP Kalabakan Tengah 1 1,554.62


FGVP Kalabakan Tengah 2 1,357.01

FGVP Kalabakan Utara 1 2,089.49

FGVP Kalabakan Selatan 1 2,350.45

Umas

FGVP Umas 5 1,896.00


2016

FGVP Umas 6 1,934.12

F Umas 1 1,536.79

F Umas 2 566.86

F Umas 3 1,226.62

F Umas 4 1195.68


28






2017

Aring A

FGVP Aring 2 2,091.36







F Aring 1 832.46

Aring B

FGVP Aring 8 3,248.53 Audit planned to take place before end Q3,

2017 FGVP Aring 10 2,090.32


Ciku

FGVP Ciku 4 1,914.21




F Ciku 6 832.56

F Ciku 1 1,806.04

F Ciku 2 1,204.74

F Ciku 3 788.40

F Perasa 836.67

F Ciku 7 1,106.85


29





2017

Kemahang

FGVP Kemahang 04 1,496.13 Audit planned to take place before end Q3,

2017 FTP Kemahang 01 2,591.96

FTP Kemahang 02 1,729.94

F Kemahang 03 1,957.15

Tersang

F Tersang 01 1,962.31


2017

F Tersang 02 1,249.75

F Tersang 03 1,388.70

F Tersang 04 797.04

F Sg Koyan 1 1,371.20

F Sg Koyan 2 1,585.55

F Sg Koyan 3 1,689.32

F Tersang 01 1,962.31


30



(FGVPM, FELDA, FASSB, FTPSB) PLANTED AREA (ha)

CERTIFICATIONS STATUS

2017

Chini 2 FTP Chini 01 1,910.50 Audit planned to take place before end Q3,

2017 FTP Chini 02 1,985.37

Chini 3

FGVP Terapai 01 2,038.71


2017

FTP Chini 03 2,190.81

FTP Chini 04 1,932.58

FTP Chini 05 1,576.02

FTP Chini Timur -2 1,521.81

F Chini Timur 03 715.40

F Chini Timur 01 1,813.11

FGVP Chini Timur 04 1,467.24

Sampadi

FGVP Sampadi 01 1,472.99







31


1.1.4 History of Operation (Komplex Waha)

Waha complex is situated on district of Kota Tinggi in Johor Malaysia. The complex is about 35km from Kota Tinggi town and 162 km from

Johor Bahru (the capitol of the State, Johor). It consists of 5 Felda’s projects which is Felda Bukit Aping Barat, Felda Bukit Aping Timur,

Felda Bukti Easter, Felda Waha and Felda Simpang Waha together with Kilang Sawit Waha .The topography for Waha complex is 20%

hilly, 75% moderately undulating and 5% low lying.

The area was first opened in year 1970, starting with Felda Bukit Aping Timur followed by Felda Bukit Aping Barat (1971), Felda Bukit Waha

(1973), Felda Simpang Waha (1974) and finally Felda Bukit Easter in year (1975). The replanting programmes started in year 2004

converting rubber crop to oil palm (3200 hectare) and maintaning oil palm crop (6250 hectare). The mill started operating in year 1988

The settlers came in year 1976. All of them are of Malay etnic origin and within Johor State. Settlers organization formed are Koperasi,

GPW, Rela, and JKKR). The population for Waha complex now is about 16,000.

Facilities available

The facilities provided by FELDA and goverment within the complex are :

Basic utilities like piped water and electricity; Elementary-, Primary- and Secondary School, Policlinic, Mosque, Grocery Shop, Police

Station and Community hall.

Economic activities and advancement of settler community

The non-farm activities available for settlers are Sawari (one village, one product concept) and Gedung Makanan Negara (commercial

gardening). The average income (from farm and non farm activity) per settler family Is about RM2500 per month. Schemes in this

complex have won many regional and national levels such as:

a) Kampung Indah Peringkat Daerah 1987 – Simpang Waha

b) Rancangan Terbaik Wilayah Johor Tengah 1990 – Simpang Waha

c) Anugerah Kualiti Koperasi 2001 – Simpang Waha

d) Anugerah Belia Kebangsaan 2007 – Simpang Waha

e) Anugerah Keceriaan Kawasan Kampung 2010 – Simpang Waha.

1st Certification Audit 2011 – Certification 2012

Certification Audits took place from 21.02. – 24.02. and from 28. – 29.06.2011. Komplex Waha finally was certified on 30.05.2012. The first

surveillance audit was coordinated and appointed with client in April 2013 (1st year after certification) in 2013.


32


1.1.5 Structure of Operation (Komplex Waha)

Komplex Wa Ha is consisting of 5 major supply bases (schemes / estates) which are delivering FFB to Kilang Sawit Waha / Oil Mill. Due to

FELDAS developing policy the land of the included 5 schemes is owned by settlers. The mill is producing CPO and PKO, detailed figures

will be pointed out below.

1.1.4.1 Structure in General

A) Mill (1) Kilang Sawit Wa Ha (find more explanations below)

B) 5 Supplying Estates (5) 1) FELDA Aping Timur (find more explanations below)

2) FELDA Aping Barat

3) FELDA Simpang Wa Ha

4) FELDA Bukit Easter

5) FELDA Bukit Wa Ha

C) External suppliers (20) (find more explanations below)

Since the majority of all settlers are organized under either Felda Technoplant’s- or Felda Management’s operation, the estates were

classified to be one operational unit. Some of the settlers eventually do not participate in either one of these mentioned options and do

stay independent although coming still under Feldas “roof”, those were classified as independent smallholders.

Felda Management did forward a plan how these independent settlers may be included within the next 3 years to bring them to a

certifiable standard. Consideration has to be given to the fact that the independent smallholders are potentially able to enter and to

leave the referring schemes at various times, this issue needs to be reflected in the specific plan for integration.

Details of each estates structure including main subcontractors may be found in the tables below.


33


1.1.6 Standard Documents

The audit was carried out on base of:

1) RSPO Certification System (Final document approved by RSPO Executive Board / 26th June 2007)

2) National Interpretation of RSPO Principles and Criteria for Sustainable Palm Oil Production / Malaysia

(My-NIWG; including smallholder NI approved by RSPO Executive Board November 2010; the baseline NI indicators and guidance are as in

approved NI dated 26th April 2008)


34


1.2 Location

1.2.1 Google Earth Map

Kemajuan Tanah (FELDA) Bukit Aping Barat

Kemajuan Tanah (FELDA) Simpang Waha

Kemajuan Tanah (FELDA) Bukit Easter

Kemajuan Tanah (FELDA) Bukit Aping Timur

Ladang (FELDA) Bukit Waha

Kilang (FELDA) Sawit Waha


35


1.2.2 Map of estates

Ladang (FELDA) Bukit Waha

Ladang (FELDA) Bukit Easter

Ladang (FELDA) Simpang Waha

Kilang (FELDA) Sawit Waha

Ladang (FELDA) Bukit Aping Timur

Ladang (FELDA) Bukit Aping Barat


36


1.2.3 Geodata

Mill

GPS coordinate

Latitude Longitude

Kilang Sawit Waha 10 47’ 37’’ N 1040 4’ 31’’E

Estates

GPS coordinate

Latitude Longitude

FELDA Aping Timur 10 48’29’’N 1040 0’29’’E

FELDA Aping Barat 10 49’48’’N 1030 59’01’’E

FELDA Simpang Waha 10 42’21’’N 1040 5’36’’E

FELDA Bukit Easter 10 46’18’’N 1040 3’51’’E

FELDA Bukit Waha 10 44’42’’N 1040 3’21’’E


37


1.2.4 Hectarage Statement (hectares Status April 2013, yields Status of December 2012)

ESTATE & INDEPENDENT SETTLERS Total (ha) Planted (ha) FFB Yield (ton)

FELDA Aping Timur 2,684.94 1,963.21 3,7975.99

FELDA Aping Barat 1,658.60 1,646.79 2,0824.41

FELDA Simpang Waha 2,277.99 2,167.23 3,3211.59

FELDA Bukit Easter 1,608.72 1,088.48 1,0340.20

FELDA Bukit Waha 1,366.35 1,366.35 3,2193.42

TOTAL 9,596.60 8,232.06 134,545.61


38


1.3 Description of supply base (fruit sources)

1.3.1 Estates

1.3.1.1 Independent settlers

Within the audited Komplex Waha 5 estates are the relevant FELDA suppliers to the Oil Mill Sawit Waha. Due to FELDAS developing policy

most of the land is owned by settlers. Generally Felda Management is assisting and supervising all settlers and partially the independent

settlers in technical and operational issues. Nevertheless each settler is responsible for the entire operation of his own land.

1.3.1.2 Subcontractors

Settlers have the right to subcontract some (or even all) of their operational activities to a subcontractor.

FELDA again does provide a subcontracting company - FELDA Techno Plant (FTP) - which is primarily responsible for all replanting

activities but after replanting also is taking over entire management of settlers land if this service is requested by the individual settlers.

Hence after replanting most of the settlers subcontract FTP to manage their land. However some of the settlers still stay independent

even after replanting and they use different subcontractors than FTP. Workforce of FTP is facilitated again by an association called

FELDA Koperasi (an organization founded by the settlers themselves), generated out of some special trained settlers.

For communication- and coordination reasons each estate implemented the function of “blockleaders” who specifically are responsible

for a certain area and number of settlers.

Additionally some of the land still is under ownership and control of Felda Management, however even Felda Management is partially

making use of subcontractors.

Hence the decision on fertilization, spraying, storage of PPP, records of application, subcontracting, harvesting etc. finally is made by

Felda Management, subcontractors or sometimes indepenedent settlers themselves. Each settler may change the subcontractor within

a short time period and therefore the number of independent settlers may vary significantly. In terms of supervision and compliance with

the RSPO Standard this structural complexity is a steady challenge for the operation of Komplex Waha.

Find structural details below.


39


1.3.1.3 Structure of the estates in detail (Status April 2013)

Structural Organization – Estate Bukit Aping Timur

Phase/Field Number of

Settlers

Number of

Block Leaders

Operators Supervision by FM Active Subcontractors

Subcontractors

are contracted

by: Independent

Settlers

Settlers

under FTP

Settlers FM only

managed

land (ha)

01 143 7 24 119 - - 2

017-7909380

FTP

02

185

9

23

162

-

- 2

017-7314659

FTP

03 176 9 18 158 - - 1

017-3684354

FTP

801 - - - - - 63.46 1

017-79093380

FELDA

05 37 2 - - 37 149.74 1

012-7445758

FELDA

83/84/85 - - - - - 445.76 1

017-9715437

FELDA

Total 541 27 65 439 37 658.96 8


40


Structural Organization – Estate Bukit Easter

Phase / Field Number of

Settlers

Number of

Block Leaders

Operators Supervision by FM Active

Subcontractors

Subcontractors

are contracted by: Independent

Settlers

Settlers

under FTP

Settlers FM only

managed

land (ha)

01 101 5 6 95 - - 1-Othman bin

Paimon

012-7788599

FTP

02 222 9 7 215 - - - -

03 78 4 4 74 - - - -

Total 401 18 17 384 - - 1 -

Structural Organization – Estate Simpang Waha


Settlers

Number of

Block Leaders


Subcontractors

Subcontractors


Settlers

Settlers

under FTP

Settlers FM only

managed

land (ha)

01 313 13 55 258 - - 1-Mazlan Bin Othman

013-7746900 FTP

02 119 5 - 119 - - - -

03 140 7 - 140 - - - -

Total 572 25 55 517 - - 1 -


41


Structural Organization – Estate Bukit Waha


Settlers

Number of

Block Leaders


Subcontractors

Subcontractors


Settlers

Settlers

under FTP

Settlers FM only

managed

land (ha)

01 351 15 16 335 - - 1-Yahya Abd Ghani

(019 7061718)

FTP

02 12 1 - - 12 - - -

Total 363 16 16 335 12 - 1 -

Structural Organization – Estate Aping Barat


Settlers

Number of

Block Leaders


Subcontractors

Subcontractors


Settlers

Settlers

under FTP

Settlers FM only

managed

land (ha)

01 398 20 96 302 0 61.68 2-Mohd Subari Sarbini

(013 7482411)

FTP

Total 398 20 96 302 0 61.68 2 FTP


42


1.3.1.4 External suppliers / Outgrowers (Status Dec. 2012) not included in one of the estates/schemes)

Nr. Suppliers Deliveries

(Metric tons / year)

Nr. Suppliers Deliveries

(Metric tons / year)

1 Rinting Emas 890.29 11 Koperasi Mawai 1095.92

2 Wan Le Hin Enterprise 4807.69 12 Ladang Fima 3961.57

3 SH Trading Co. Kluang 14791.23 13 Hashim Taslim 0,00

4 Perniagaan Sri Mahti 1029.10 14 Arummugam 421.60

5 Kuasa My Enterprise 5048.90 15 Riduan A Hamid 910.88

6 Che Yu Trading 140.49 16 Moideen Saidu 2538.64

7 Santex Enterprise 114.09 17 Riduan Kasmongin 0,00

8 Lai Brother 2668.61 18 Soon Ker Lang Realty 145.24

9 Kim Ma Oil Palm 6612.92 19 Rosmayati Bin Kadiman 1243.72

10 P.P.N.J 58.33 20 Mohd Roslan Bin Mohd Din 110.12

TOTAL Amount of Metric Tons / Year: 47,849.34 mt


43


1.3.2 Mill

Location Kilang Sawit Waha

Karung Kunci S24

81907 Kota Tinggi

Johor

Malaysia

Tel: 07 8926913

Fax: 07 8926914

Management Mr. Aman Bin Harun

E-mail: [email protected]

The mill is operated by Felda Palm Industries Sdn Bhd (FPISB), a subsidiary of Felda Holdings, no subcontractors are involved.

Management structures are clear and well organized the entity is also ISO certified – see details below. There is no methane capture in

the operation.


44


1.4 Date of plantings and cycle

1.4.1 Ladang Bukit Aping Timur

Planting Cycles – Estate Bukit Aping Timur

Phase / Field Total size

(ha)

1st Planted Replanted Currently under

production

(ha)

Currently

unproductive

(ha) (date) (ha) (date) (ha)

01 579.42 1971 579.42 2003 579.42 572.18 7.24

02 760.01 1972 760.01 2003 760.01 752.01 8.00

03 712.72 1972 712.72 2003 712.72 707.12 5.60

801 63.46 1984 63.46 2006 63.46 63.46 -

05 149.74 1983 149.74 2010 149.74 - 149.74

83/84/85 445.76 1980 445.76 2009 445.76 445.76 -

Total 2711.11 - 2711.11 - 2711.11 2540.53 170.58


45


1.4.2 Ladang Bukit Easter

Planting Cycles – Estate Bukit Easter


(ha)


production

(ha)

Currently

unproductive


01 400.42 1976 400.42 2006 400.42 400.42 -

02 903.63 1976 903.63 2011 903.63 - 903.63

03 317.27 1981 317.27 2011 317.27 - 317.27

Total 1621.32 - 1621.32 - 1621.32 400.42 1,220.90

1.4.3 Ladang Bukit Aping Barat

Planting Cycles – Estate Aping Barat


(ha)


production

(ha)

Currently

unproductive


01 1352.77 1973 1352.77 2004 1352.77 1352.77 -

Total 1352.77 - 1352.77 - 1352.77 1352.77 -


46


1.4.4 Ladang Bukit Waha

Planting Cycles – Estate Bukit Waha


(ha)


production

(ha)

Currently

unproductive


01 1317.88 5/1975 1317.88 2004 1317.88 1317.88 -

03 48.51 9/1986 48.51 2011 48.51 - 48.51

Total 1366.39 - 1366.39 - 1366.39 1317.88 48.51

1.4.5 Ladang Simpang Waha

Planting Cycles – Estate Simpang Waha


(ha)


production

(ha)

Currently

unproductive


01 1237.32 1974 1237.32 4/2005 1237.32 1237.32 -

02 475.28 1974 475.28 2011

475.28 - 475.28

03 565.39 1981 565.39 2011 565.39 - 565.39

Total 2277.99 - 2277.99 - 2277.99 1237.32 1040.67


47


1.5 Other certifications held

1.5.1 ISO

1.5.1.1 Mill

a) ISO 9000:2008 (first certified 2005 - NO. SIJIL: AR 3814)

b) ISO 14001:2004 (first certified 2004 - NO. SIJIL: ER 0347)

1.5.1.2 Estates

No ISO certifications held.

1.5.2 Others

1.5.2.1 Mill

OHSAS 18001:2007 (first certified 2008 - NO. SIJIL: SR 0203)

1.5.2.2 Estates

No other certifications held.


48


1.6 Organizational information / Contact Person

1.6.1 FELDA

Clients Company

Plantation Sustainability And Quality

Management (PSQM) Department, Felda

Global Ventures Plantations Sdn Bhd,

(Malaysia)

Tingkat 8, Balai Felda, Jalan Gurney Satu,

54000 Kuala Lumpur

http://www.felda.net.my/feldav3


Management

Representative

Norazam Bin Abdul Hameed,

(FGVPMSB)

[email protected]

Contact Person Muhamad Shafiq Ariffin,

[email protected]

[email protected]

Audited Unit /

Location

FELDA KOMPLEKS WA HA

81907 Kota Tinggi

Johor

Malaysia

Management

Representative

1) Mill Manager

2) Estate Managers

Contact Person Mr. Muhamad Shafiq Ariffin

Oil Mill(s) Kilang Sawit Wa Ha Supplying

FELDA estates

1) FELDA Aping Timur

2) FELDA Aping Barat

3) FELDA Simpang Wa Ha

4) FELDA Bukit Easter

5) FELDA Bukit Wa Ha

Outgrowers – non

FELDA suppliers

See information above

Product

FFB CPO & PK

http://www.felda.net.my/feldav3


mailto:[email protected]




49


1.6.2 Contact Details of staff relevant for RSPO certification

Contact Details FELDA – Komplex Waha

Entity / Estate

Manager

E-Mail Telefone

Office Mobil

FELDA Management Norazam Bin Abdul

Hameed [email protected] - 019 2652298

FELDA Sustainability

Palm Oil

Anthonius Sani [email protected] 03 26987772 013 3236323

Bukit Easter Othman bin Paimon [email protected] 07 8925284 0127788599

Bukit Aping Timur Ali bin Jaamat [email protected] 07 8910168 019 9972051

Bukit Waha Yahya bin Abd Ghani [email protected] 07 8925277 019 7061718

Bukit Aping Barat Mohd Subari Sarbini [email protected] 07 8910399 013 7482411

Simpang Waha Mazlan Bin Othman [email protected] 07 8925395 0137746900

Kilang Sawit Waha Aman bin Harun [email protected] 07 8926913 019 9051597


50


1.7 Tonnages certified

MILL Annual Output (2012)

Mill Capacity

(mt/hour) CPO (mt) p.a. PK (mt) p.a.

FELDA area only Total FELDA area only Total

Kilang Sawit Waha 29,263.67 39,670.90 6,996.37 9,484.55 30 mt/hour


51


2. Assessment Process

2.1 Assessment Methodology (Program, Site, Visits, etc.)

The ASA of RSPO P&C according NIG Malaysia was appointed and finally carried out in April 2013 (one year after operation was certified);

The sample size of supplying bases was chosen from 5 estates. Derived from the fact that the Management of all 5 estates is centralized, 2

estates have been chosen to be fully assessed (= square root x 0,9), including assessments at independent smallholders in these 2 referring

operations.

Scope Date Audit Team: MG: Matthias Grill;

CHH: Chan Han Hee;

SG: Selvaa

Grapargasem

Program / Activities

Audit Part I

Auditor Meeting 28.04.2013 MG, CHH, SG Final Audit preparation and coordination; Kota Tinggi

Audit Opening 29.04.2013 MG, CHH, SG Welcome by the Auditees (FELDA and Komplex Waha relevant authorities and

representatives), actual opening by MG/agroVet (introduction of audit team, program,

standard, CB, etc.), followed by auditees general introduction of FELDA and recap of

respective structure, the structure and history of Komplex Waha, changes in structure and

staff, responsible persons and organigram, implementation process of RSPO P&C, etc. ;

selection of schemes to be audited


52



CHH: Chan Han Hee;

SG: Selvaa

Grapargasem


Assessment Mill

29.04.2013 MG

Surveillance Audit Mill – Audit Opening

Audit of RSPO P&C relevant for Mill, Audit of RSPO SCC (Mill)

Auditclosing

Ladang

Aping Barat

29.04.2013 CHH, SG

Audit Opening at

Audit of operation according RSPO P&C, complete document check, visit and inspection of

randomly chosen fields, manuring- harvesting and spraying activities checked, GAP check,

inspection of environmental and social relevant aspects, PPP storage and premises of farm

relevant for RSPO P&C; further document check according all principles except NPP

Audit closing at operation


CHH: Chan Han Hee;

SG: Selvaa

Grapargasem


Ladang

Bukit Waha

30.04.2013 MG, CHH, SG

Audit Opening at

Audit of operation according RSPO P&C, complete document check, visit and inspection of

randomly chosen fields, manuring- harvesting and spraying activities checked, GAP check,

inspection of environmental and social relevant aspects, PPP storage and premises of farm

relevant for RSPO P&C; further document check according all principles except NPP

Audit closing at operation


53


2.2 Date of next Surveillance Audit

2.2.1 Mill / unit and Supplying Estates

Date of next surveillance Audit will be approximately april/May 2013.

Caution:

Please consider that agroVet will terminate the accreditation of RSPO P&C by the end of 2013 and therefore the client has to

prepare arrangements with RSPO Secreteriat and with another Certification Body in order to plan the next ASA!


54


2.3 Lead Assessor / Assessment Team

Function Person Field of activity

and special

expertise

Qualification and experience

Lead Auditor Dr. Matthias Grill Lead Auditor,

Quality

Management

System, GAP,

IPM, Traceability,

Supply Chain and

Mass Balance

Auditor; Fluent in

English language

Matthias Grill graduated at the College for Agriculture and Forestry in Raumberg (1976 – 1981) and

became Agricultural Engineer after several years’ practical work in the agricultural business in

Austria and USA. Additionally studies were finalized with a Master in Veterinary Science in 1993. In

the following years Mr. Grill was active in the agricultural and veterinary related sectors. 1998 he

finally focused on agricultural plus veterinary Quality Assurance and was founder of the agroVet

Certification Body (Managing Director from 1998 to 2010). After several Trainings and long time of

experience he became Lead Auditor according EN/ISO 17024, GLOBALGAP train the trainer (fruits

and vegetables), GLOBALGAP Scheme Manager and also Auditor and Scheme Manger for several

national and international Quality Assurance Schemes in the agricultural- and food business. From

2004 Matthias Grill gathered active Audit experience in several countries around the world (South

America, Africa, China, Thailand, Turkey, Romania, Italy, Croatia, Germany, Hungary, Slovenia,

Slovakia, etc.) as Auditor and in house Witness Auditor, also conducting audits in Oil Palm (Malaysia)

since 2007. Since 2008 Mr. Grill is actively involved in RSPO implementation in agroVet and also

became 2010 approved ISCC Auditor and ISCC Scheme Manager. Besides his auditing activities Mr.

Grill is conducting regularly in house trainings within the Certification Body as well as external

Trainings and Presentations on an international level. 2010 Matthias Grill became Business

Development Manager of agroVet, especially responsible for implementation of new Standards as

well as for the entire field of Sustainability. In 1998 Mr. Grill took over the family farm of his parents

and also runs this operation in Austria since. Current operation already was audited by MG in 2011,

Audit Report was generated by him


55


Function Person Field of activity

and special

expertise

Qualification and experience

Co - Auditor Mr. Selvanathan

Grapargasem

Social Auditor

and Co- Expert

(Malaysian, fluent

in English and

Bahasa))

Mr. Grapragasem (SG) is a Third Party Assessment Lead auditor for ISO 9001, ISO 14001,

OHSAS 18001, SA 8000 and has over 4 year’s fieldwork experience in various systems

auditing. SG has successfully completed the IRCA accredited Lead Auditor Course in ISO

9001:2008, ISO 14001:2004, OHSAS 18001:2007 and SA 8001 by SAI, New York. He has

performed over 150 auditing days in quality, environmental, safety & health and SA 8000

(accountability and social responsibility audit). SG does also hold a Diploma of Agriculture

from Putra University in Malaysia (1987/1990) and was also already part of some RSPO

Assessment teams; SG further on was involved in several RSPO P&C audits as and expert

and gained audit experience in related social audits as Lead Auditor and also as Co

expert up to 2013; SG was already working as a Co- Auditor in the certification audit of

Komplex Waha in 2011 and therefore was familiar with the operation already.

Co - Auditor Mr. Chan Han Hee

Plantation and

Agriculture

Auditor and

Expert

(Malaysian, fluent

in English and

Bahasa))

He graduated with Bachelor of Agricultural Science (Honours) from University of Malaya in

1973 and Master of Science from University of Philippines @ Los Banos in 1978. Since

graduation in 1973 until retirement from government service in 2005, he worked in the

Department of Agriculture Malaysia (33 years). Amongst the posts held included as

Director of Pesticide Control and Director of Rice, Industrial Crops and Floriculture. From

2006 to 2009, he was Senior Vice President in MAFC, a Government Linked company

involved in the food supply chain. Since 1993 until now, he has been actively involved in

agricultural standards development and is the current Chairman of the National

Agricultural Industrial Standards Committee. He was a member of the core team that

established SALM, the Malaysian Certification Scheme for GAP. He is also a trained

auditor in ISO 9000; GlobalGAP, ISCC and RSPO. Since 2009, he has been actively

involved in GlobalGAP, ISCC and RSPO audits in Malaysia, both as lead auditor and co-

auditor.


56


2.4 Certification Body

Certification Body (CB) Head Quarter:

agroVet GmbH

Königsbrunnerstraße 8

A-2202 Enzersfeld

Austria

www.agrovet.at

Contact person of

Certification Body

Dr. Matthias Grill

RSPO Scheme

Manager

Mag. Klaus Guger

http://www.agrovet.at/


57


2.5 Outlinie of how stakeholder consultation was managed

Not relevant at ASA.


58


3. Assessment Findings

3.1 Summary of findings 3.1.1 Smallholder Integration

Since a few of indepenedent settlers still work autonomously and on a solitary base, the complete implementation of RSPO Principles

and Criteria was still not completed (implementation scheduled within 3 years after certification of operation). All independent settlers

have been informed about the relevant requirements regarding RSPO P&C. Relevant authorities and Management involved of Komplex

Waha’s operation at present are aware of this fact and hence generated a plan to stating that Felda is committed to bring 100% of

those smallholders and also outgrowers to a certifiable standard within 3 years (in reference to 4.2.3 of RSPO Certification System from

June 2007).

Caution: the revised standardversion of RSPO P&C has to be considered within the next ASA!


59


3.1.2 Actual Findings (M = Mill, E1 = Estate 1/ Aping Timur E2 = Estate 2 / Bukit Waha)

Principle 1: Commitment to transparency

Criterion Indicator Compliance: Yes - No - NA (Not applicable)

Comment

Criterion 1.1: Oil Palm growers provide adequate information to other stakeholders on environmental, legal and social issues relevant to RSPO criteria, in appropriate languages & forms to allow for effective participation in decision making.

1.1.1 Records of requests and responses must be maintained. MAJOR compliance

Yes

M: all Malaysian workers are supplied with sufficient information and information sources, only language is Bahasa; stakeholder meeting at first certification audit done; external suppliers meeting 06.03.2013; internal suppliers meeting done 22.03.20113 (plus internal SIA assessment done at that meeting)

Yes E1: About 33 requests noted for year 2013. Last on 27.4.2013 requesting for becoming Felda Cooperative member; seen and given ok

Yes E2: 2 meetings per months with the block-leaders a) meeting with FTP settlers BL b) meeting with total settlers BL External one at certification audit and community meetings once a month (last one done 25th March 2013 Settlers under FTP: 301 Independent Settlers: 16 Total: 317


60



Comment

Criterion 1.2: Management documents are publicly available, except where this is prevented by commercial confidentiality or where disclosure of information would result in negative environmental or social outcomes.

Management documents relating to environmental, social and legal issues relevant to compliance to RSPO criteria. Documents that must be publicly available but not limited to:

1.2.1

Land titles/user rights (2.2) Yes M: Registration and licenses available, operation started in 1987: e.g. MPOB licence valid till 31.04.2014, (includes landtitle issues); operation is within FELDA property

Yes E1: Registration and licenses available, operation started in 1974; all settler titles collected in specific file, random check no deviations

Yes E2: land titles per settler, examples randomly checked, list and title documents complete

1.2.2

Health and safety plan (4.7)

Yes M: ISO 14001:2004 valid to 2014,Internal SOP’ for safety and OHSAS: valid to 01.10.2014, ISO 9001:2008 valid to 01.10.2014 + Safety & Health Policy

Yes E1: Felda internal policies for Health and Safety are base for Summary of HIRARC Sighted Safety & Health Plan 2013 indicating Safe Work Procedure, Denggi Control, Health for 10000 step Run

Yes E2: see C 4.7.1 (OSHA) / HIRHAC

1.2.3

Plans and impact assessment relating to environmental and social impacts (5.1, 6.1, 7.1, 7.3)

Yes M: Both are available and present at audit, some of it updated where necessary (e.g. SIA positive impacts mentioned)

Yes E1: Social and Environment Impact Assessment addressed to mitigate the negative impact and to promote the positive impacts, EIA and SIA updated 2012

Yes E2: Social Assessment update 10.13. 2012; Environmental Assessment update: 25.04.2013

1.2.4

Pollution prevention plans (5.6) Yes M: Internal Policies and ISO 14.000

Yes E1: Domestic Waste Collection Plan, Gotong Royong

Yes E2: Environmental Prevention Plan, see below


61



Comment

Criterion 1.2: Management documents are publicly available, except where this is prevented by commercial confidentiality or where disclosure of information would result in negative environmental or social outcomes.

Management documents relating to environmental, social and legal issues relevant to compliance to RSPO criteria. Documents that must be publicly available but not limited to:

1.2.5

Detail of complaints & grievances (6.3)

Yes M: Internal policies and complaint procedures

Yes E1: Complaints book and procedures are evident

Yes E2: Complain Book and Complain Procedure available (SOP - ML-1A/L2-PR4(0)), see more below…

1.2.6

Negotiation procedures (6.4) Yes M: also covered by ISO certifications

Yes E1: Procedures available / SOP regarding Negotiation procedures seen

Yes E2: Same as above, SOP’s available: ML-1A/L2-PR1(0), see more also below

1.2.7

Continuous improvement plan (8.1)

Yes M: part of ISO Certifications, part of Management review

Yes E1: Continuous improvement plan as sum of specific part of SOP and policies

Yes E2: In place, as stated below


62


Principle 2: Compliance with applicable laws and regulations


Comment

Criterion 2.1: There is compliance with all applicable local, national and ratified international laws and regulations.

2.1.1 Evidence of compliance with legal requirements. MAJOR compliance

Yes M: List complete, updated Sept. 2012

Yes E1: available and updated, also provided by Felda expertise MPOB License 500925402000 dated - due next year

Yes E2: fully accessible – List updated 23.06.2012

2.1.2 A documented system, which includes written information on legal requirements. MINOR compliance

Yes M: same as last audit: Register of legal and other requirements / FPI/L4/QoHSE- 2.1. PIND-0

Yes E1: Register of legal and other requirements noted accordingly- Example: Just Land Acquisition; EQA 1974, FMA, etc

Yes E2: Ahmad Bin Baharum

2.1.3 A mechanism to for ensuring that they are implemented. MINOR compliance

Yes M: as above MPOB license (31.04.2014), rest as in internal procedures: “Notification of New Amended Legal and other requirements”

Yes E1: RSPO-P2/c.2.1/2.1.3 -record noted for implementing

Yes E2: signed, updated versions including distribution list available

2.1.4 A system for tracking any changes in the law. MINOR compliance

Yes M: as above in 2.1.3

Yes E1: “Notification of New Amended Legal and other requirements”, latest issued by Felda HQ on 10.12. 2012

Yes E2: Procedure ML-1AL/L2-PR2(0)


63



Remarks

Criterion 2.2: The right to use the land can be demonstrated and is not legitimately contested by local communities with demonstrable rights.

2.2.1 Evidence of legal ownership of the land including history of land tenure. MAJOR compliance

Yes M: as already in last audit – FELDA operation startedvin 1987

Yes E1: History as explained in Audit Report, MPOB License 500925402000 valid and proving ownership, despite copy of land-use title for FELDA Komplex Wha presented

Yes E2: History of land also mentioned in Certification Audit Report available and presented, land titles given by FELDA are randomly checked on detail ok

2.2.2 Growers must show that they comply with the terms of the land title. MAJOR compliance

Yes M: agreement between FELDA Palm Industries Snd Bhd (Mill) and FELDA Management; rental agreement signed 29.09.2010

Yes E1: individual titles of growers evident at office, accessible and fully available – random check of growers, found complete; no disputes on land titles

Yes E2: MPOB license: expires 31.03.2014, no disputes evident

2.2.3.1 Evidence of boundary stones along the perimeter adjacent to state land and other reserves are being located and visibly maintained. MINOR compliance

NA M: fully fenced

Yes E1: boundary stones / boundary markers randomly checked at field visit and evident at outer borders; Observation: boarders between settlers not always fully visible

Yes E2: Boundary stones at outside borders presented while field visit in field (Block No. 15); Observation: within smallholder parcels still boarders sometimes unclear indicated!


64


Criterion Indicator Compliance: Yes - No - NA

(Not applicable)

Remarks

2.2.3.2 Where there are, or have been, disputes, proof of resolution or progress towards resolution by conflict resolution processes acceptable to all parties are implemented. Cross ref. to 2.3.3, 6.4.1 and 6.4.2. Minor compliance

NA M: not applicable

NA E1: No disputes so far

NA E2: no evidence of any disputes hence nothing documented


65



(Not applicable)

Remarks

Criterion 2.3: Use of the land for oil palm does not diminish the legal rights, or customary rights, of other users, without their free, prior and informed consent.

2.3.1 Where lands are encumbered by customary rights, participatory mapping should be conducted to construct maps that show the extent of these rights. MAJOR compliance


NA E1: not applicable, no conflicts on land rights

NA E2: as already explained by history of Kompex Waha / FELDA, no conflicts evident

2.3.2 Map of appropriate scale showing extent of claims under dispute. MAJOR compliance


NA E1: no disputes evident

NA E2: no disputes

2.3.3. Copies of negotiated agreements detailing process of content. MINOR compliance

NA M: not applicable because no indication

NA E1: no complaints and disputes no agreements necessary

No E2: There is not yet documented contractual agreement with FELDA Plantation Division / FPD about Block 99 (consisting of 2 parcels); this was new planted in 2004 and is not under production, however under control of FELDA Plantation Division 1) Agreements with FPD not accessible, need to be delivered to CB asap… 2) Maps not fully updated update of all relevant maps to be done (with issuing authority and date on it!)


66


Principle 3: Commitment to long-term economic and financial viability


(Not applicable)

Remarks

Criterion 3.1: There is an implemented management plan to achieve long-term economic and financial viability.

3.1.1 Annual budget with a minimum 2 years of projection. MAJOR compliance

Yes M: Budget Plan for 5 years still in operation (2011 – 2015)

Yes E1: Review of plan 2021, 2013 and 2014 evident; for 2012 FFB yield/ha: 25mt, OER: 21

Yes E2: More than 2 years – till 2016 in place; 2013 FFB budget FFB Bukit Waha: 23t/ ha; also costs per mt FFB and ha calculated

3.1.2 Annual replanting programme projected for a minimum of 5 years with yearly review. Minor compliance


Yes E1: No present replanting, last in 2012; details to be found in Audit Report

Yes E2: replanting records visually assessed and integrated in Surveillance Audt Report


67


Principle 4: Use of appropriate best practices by growers and millers


(Not applicable)

Remarks

Criterion 4.1: Operating procedures are appropriately documented and consistently implemented and monitored.

4.1.1 Documented Standard Operating Procedures (SOP) for estates and mills MAJOR compliance

Yes M: SOP’s generated according ISO and internal FELDA procedures (part of QMS)

Yes E1: SOP at scheme level are documented in Operation Manual (Manual operasi Ladang Sawit Lestari) , Sustainable Manual ML-1A (compliance to P&C RSPO) and Best Agriculture Practices (manual oengurusan rancangan); The documents have been explained to small holder

Yes E2: Full set of SOP’s related to best practices for Schemes available

4.1.2 Records of monitoring and the actions taken are maintained and kept for a minimum of 12 months. MINOR compliance

Yes M: fully maintained and kept

Yes E1: Records of monitoring (all activities such as planting, maintenance, harvesting, etc) are kept for 5 years according to company’s policy; All records are in Record of palm oil integretion works “ doc

Yes E2: all kept minimum 12 months 7 years company policy all kept minimum 12 months 7 years company policy


68



(Not applicable)

Remarks

Criterion 4.2: Practices maintain soil fertility at, or where possible improve soil fertility to, a level that ensures optimal and sustained yield. MY-NIWG recommends that the indicators in criterion 4.2 and 4.3 are linked

4.2.1 Monitoring of fertilizer inputs through annual fertilizer recommendations. MINOR compliance


Yes E1: Fertilization activities are recorded in Fartilizer record every cycle (3 month); Fertilizing practice refer to operation manual and advise or recommendation from Felda Agriculturel Services Sdn Bhd (annual fretilizer reccomendation ); Example : recommendation for NPK is 2,9 kg/tree in January 2013 was implemented in FTP Aping Barat – Peringkat 001 B

Yes E2: Monitoring on a regular base by FELDA Agriculturel Services Sdn Bhd, also lab testing and recommendation for application…

4.2.2 Evidence of periodic tissue and soil sampling to monitor changes in nutrient status. MINOR compliance


Yes E1: Fertilizer programme for a year is available in fertilizer recommendation summary for year 2013. Leaf and soil analysis conducted every year for fertilizer recommendation by Felda Agricultural Services Sdn Bhd

Yes E2: Proof of soil- and foliar samples visually assessed, done annually

4.2.3 Monitor the area on which EFB, POME and zero-burn replanting is applied. MINOR compliance


Yes E1: EFB application records in Apling Barat are available (e.g records in EFB transportation); POME applcation is not practiced; Zero burn policy for replanting available in Felda Plantation policy for zero burning , Sustainability manual ML-1A and agreement paper with replanting contractors

Yes E2: EFB application in some easy accessible spots visible, but no POME application; zero burning policy implemented, no evidence of open fires and burning


69



(Not applicable)

Remarks

Criterion 4.3: Practices minimize and control erosion and degradation of soils.

4.3.1 Documented evidence of practices minimizing soil erosion and degradation (including maps). MINOR compliance


Yes E1: According to slope area and riparian zone protection policy, it is not allowed to plant in 25ᵒ in new planting area, plant cover crop such as Mucuna bracteata, maintain the natural crop such as soft grass, for slope area > 25ᵒ will be planted wooden trees. Making buffer zone in right and left or river, frond staking between rows and U shape; soil map is available

Yes E2: Mulching, cover crops, also sometime unintentional minimized “circle spraying” done with the effect of more plants growing in the field; mulching partly done by FTP, … also composting of branches in the field; waterways are observed, natural vegetation is mainly quite well grown

4.3.2 Avoid or minimize bare and exposed soil within estates. MINOR compliance


Yes E1: Soil conservation practices in plantation are shown: cover crop, frond staking between rows, teraccing, EFB mulching

Yes E2: Bare soil well avoided, visually assessed

4.3.3 Presence of road maintenance programme. MINOR compliance


Yes E1: Programme for road maintenance is availble in annual budget; working order to contractor for road maintenance was shown for 2013

Yes E2: implemented, visually assessed – sucbcontractors are assigned to do the final work, pointed out in budget plan also…


70



(Not applicable)

Remarks

Criterion 4.3: Practices minimize and control erosion and degradation of soils.

4.3.4 Subsidence of peat soils should be minimized through an effective and documented water management programme. MINOR compliance


NA E1: No peat soils in Aping Barat scheme

NA E2: no evidence of peatland

4.3.5 Best management practices should be in place for other fragile and problem soils (e.g. sandy, low organic matter and acid sulphate soils). MINOR compliance


Yes E1: Based on soil maps there are Holyrood soil 161 hectares (12%) that categorized as marginal soil (loamy sand to sandy loam, very friable; Best practice management in marginal soil: e.g. EFB mulching, soft grasses, frond staking

Yes E2: no sensitive or low organic matter soils present


71



(Not applicable)

Remarks

Criterion 4.4: Practices maintain the quality and availability of surface and ground water.

4.4.1 Protection of water courses and wetlands, including maintaining and restoring appropriate riparian buffer zones at or before replanting along all natural waterways within the estate. MAJOR compliance


Yes E1: According to slope area and riparian zone protection policy, no chemical application in riparian buffer zone and keep natural vegetation around buffer zone: > 40 meter/ river width : 50 meter

20-40 meter /river width : 40 meter 10-20 meter /river width : 20 meter 5-10 meter /river width : 10 meter

< 5 meter/river width: 5 meter

Yes E2: Basically well maintained, SOP’s present Observation: …however one fertilizer spreader sometimes did not obey a bufferzone to little river better training needed Observation: Mr. Afiki (ind. SH: PPP in field!)

4.4.2 No construction of bunds/weirs/dams across the main rivers or waterways passing through an estate. MAJOR compliance


Yes E1: No visible evidence during field visit

NA E2: no actual river in Scheme


72



Remarks


4.4.3 Outgoing water into main natural waterways should be monitored at a frequency that reflects the estates and mills current activities which may have negative impacts (cross ref to 5.1 and 8.1). MAJOR compliance

Yes M: Effluent water monthly checked by own FELDA Lab: last one March 2013 ok

NA E1: not applicable for schemes because no evidence of negative impacts

NA E2: not applicable for schemes because no evidence of negative impacts

4.4.4 Monitoring rainfall data for proper water management. MINOR compliance

Yes M: monthly measured; water sourced from river

Yes E1: Monitoring of rainfall is recorded in Rain Fall Record Book by staff; summary of rainfall data is available with the data and graphics

Yes E2: well documented – year 2012: total 2.920 mm

4.4.5 Monitoring of water usage in mills (tonnage- water use/tonne FFB processed). MINOR compliance

Yes M: Monitoring in progress, also usage reduction program for water in 2012 implemented: 5% reduction 129 mt / 1 mt FFB

NA E1: not applicable for schemes


4.4.6 Water drainage into protected areas is avoided wherever possible. Appropriate mitigation measures will be implemented following consultation with relevant stakeholders. MINOR compliance

Yes M: effluent water as above, drainage of roads, buildings etc. goes into “Air Sungai” this again into Sungai Sedeli

NA E1: No protected area around scheme; no water drainage into protected area

NA E2: no drainage into protected areas


73



(Not applicable)

Remarks


4.4.7 Evidence of water management plans. MINOR compliance

Yes M: fully available as mentioned above

Yes E1: As in guideline for water management

Yes E2: In Guideline for 4.4.7 / Water –Management


74



(Not applicable)

Remarks

Criterion 4.5: Pests, diseases, weeds and invasive introduced species are effectively managed using appropriate Integrated Pest Management (IPM) techniques.

4.5.1 Documented IPM system. MINOR compliance


Yes E1: IPM System is documented in Best Agricultural Practice Manual and “Risalah Kawalan Tanaman” and also other relevant procedures

Yes E2: Guideline 4.5.1 for IPM (28.02.2013)

4.5.2 Monitoring extent of IPM implementation for major pests. MINOR compliance


Yes E1: Monitoring of pests: e.g 2013‘ rats census barn owl nest maintainance is available; caterpillars census monitoring in 2011 beneficial plant program was shown (e.g 10.000 trees in Block 1ABC)

Yes E2: also mentioned in above guideline -4.5.1 according IPM activities

4.5.3 Recording areas where pesticides have been used. MINOR compliance


Yes E1: Records for areas of usage of pesticides and rats poison (butik super) are available

Yes E2: Observation:records available, however maps are not fully updated, therefore slight misunderstandings about block boarders and parcels maps to be updated!

4.5.4 Monitoring of pesticide usage per hectare or per ton e.g. total quantity of active ingredient (a.i) used/tonne of oil. MINOR compliance


Yes E1: annual monitoring records of used pesticides per hectares and per ton FFB available for past years

Yes E2: Monitoring for past years available, Observation: (e.g. Paraquat: total amounts still increasing, totally 2012 used amount of active ingredient was 130lit. highest value of all past years!)


75



(Not applicable)

Remarks

Criterion 4.6: Agrochemicals are used in a way that does not endanger health or environment. There is no prophylactic use of pesticides, except in specific situations identified in national Best Practice guidelines. Where agrochemicals are used that are categorized as World Health Organisation Type 1A or 1B, or are listed by the Stockholm or Rotterdam Conventions, growers are actively seeking to identify alternatives, and this is documented.

4.6.1 Written justification in Standard Operating Procedures (SOP) of all chemicals in use. MAJOR compliance


Yes E1: Written justification for chemical use is available in Sustainable manual ML-1A/L3-GP1 (0), March 2012

Yes E2: ML-1A/L3-GP1(0)Manual Sustainability 1A (issued 03/2012) Observation: Independent settler illegally stores PPP Mix and schedule waste in field! (See: RSPO Certification Systems Final document approved by RSPO Executive Board, 26 June 2007 - 4.2.3: “…the mill will develop and implement a plan to ensure that 100% of associated smallholders and out-growers are of certifiable standard within 3 years). Plan to be presented!

4.6.2 Pesticides selected for use are those officially registered under the Pesticides Act 1974 (Act 149) and the relevant provision (Section 53A); and in accordance with USECHH regulations (2000). MAJOR compliance


Yes E1: Use of agrochmical that approved by MPOA; List of pesticide use in FTP Aping approved by FELDA FTP

Yes E2: Listed and recognized by FTP and also listed in current Report of CHRA


76



(Not applicable)

Remarks


4.6.3 Pesticides shall be stored in accordance to the Occupational Safety and Health Act 1994 ( Act 514) and Regulations and Orders and Pesticides Act 1974 (Act 149) and Regulations. MAJOR compliance


Yes E1: Pesticides are stored in accordance to OSH act 1994 (act 514), visually assessed

Yes E2: Storage visually assessed and basically found it is according regulations however at the FTP storage was one observation: Observation 1: washing water for PPE goes to concrete sink: actually planned for reuse, however a small leakage was detected so bottom of the sink has to be sealed; Additional observation: Observation 2: Independent settler stores PPP Premix in field (as above in 4.6.1)


77



(Not applicable)

Remarks


4.6.4 All information regarding the chemicals and its usage, hazards, trade and generic names must be available in language under-stood by workers or explained carefully to them by a plantation management official at operating unit/level. MAJOR compliance

Yes M: Observation: Datasheets in chemical store (to be better maintained) and window of storage to be repaired (window currently is partly not functional)

Yes E1: MSDS in chemical store are available and complete

Yes E2: Workers are Malaysian or Indonesian field check, Cecep (Indonesian) does confirm of proper understanding of signs; datasheets available and complete related to inventory

4.6.5 Annual medical surveillance as per CHRA for plantation pesticide. MAJOR compliance


Yes E1: Annual medical surveillance for sprayer is available : in 2013 there were 10 identified workers for medical surveillance on 26.04.2013

Yes E2: Letter from FTP HQ confirming that sprayers have been to medical surveillance but results still have to come (dated 15.04.2013)

4.6.6 No work with pesticides for confirmed pregnant and breast-feeding women. MAJOR compliance


NA E1: no female sprayers or persons working with pesticides identified

Yes E2: only male sprayers operating; interview with female storekeeper shows required information was given by FELDA (personal letter from FTP checked for storekeeper: contains that info also)


78



(Not applicable)

Remarks

Criterion 4.6: Agrochemicals are used in a way that does not endanger health or environment. There is no prophylactic use of pesticides, except in specific situations identified in national Best Practice guidelines. Where agrochemicals are used that are categorized as World Health Organisation Type 1A or 1B, or are listed by the Stockholm or Rotterdam Conventions, growers are actively seeking to identify alternatives, and this is dcoumented.

4.6.7 Documentary evidence that use of chemicals categorized as World Health Organization Type 1A or 1B or listed by the Stockholm or Rotterdam Conventionss and paraquat, is reduced and /or eliminated. Adoption of suitable economic alternative to paraquat as suggested by the EB pending outcome of the study on IWM. MINOR compliance


Yes E1: Guidelines, policy and interviews confirm awareness of management

No E2: FELDA Policy on these aspects is issued and well known, however Paraquat use still is not decreasing but in reality increasing!

4.6.8 Documented justification of any aerial application of agrochemicals. No aerial spraying unless approved by relevant authorizes. MAJOR compliance


NA E1: No aerial application of agrochemicals

NA E2: No aerial application of agrochemicals

4.6.9 Evidence of chemical residues in CPO testing, as requested and conducted by the buyers. MINOR compliance

NA M: No testing done so far for pesticides because no request by clients



4.6.10

Records of pesticide use (including active ingredients used, area treated, amount applied per ha and number of applications) are maintained for either a minimum of 5 years or starting 2007. MINOR compliance


Yes E1: Observation: Records available and visually checked, no detailed info on applied PPP mix per each application, only general information of mix available

Yes E2: Observation: Records available however not complete as the active ingredient may not be traced back to each intervention; only basically stated that either e.g. Glyphosate, Paraquat or Ally was used but no further specification add that active ingredient to each treatment and make it traceable


79



(Not applicable)

Remarks

Criterion 4.7: An occupational health and safety plan is documented, effectively communicated and implemented.

4.7.1 Evidence of documented Occupational Safety Health (OSH) plan which is in compliance with OSH Act 1994 and Factory and Machinery Act 1967 (Act 139). MAJOR compliance

Yes M: as certificate OHSAS proves: valid to 01.10.2014; OSH procedures visually assessed related to practical implementation; documentation and plan part of integrated QMS; Individual checks done one issues in the left column Observation: First Aid Kits to be regularly cleaned, refilled and maintained (in work shed kid there is old material in a slightly dusty box…)

Yes E1: Policy of health and safety is available and found complete according specific guidance

Yes E2: A safety and health policy seen, date July 2010 by Dao Dzulkifli Abd Wahab; Director of Felda; communicated and implemented. Publically available a) Organizational structure for Occupational Safety & Health (OSH) Year 2013 seen. Committee available b) Accident and Emergency Procedures exist. Warning (Danger) signage was observed various points within the office and scheme premises. c) Scheme manager Mr.Yahya Ab Ghani is the responsible person for OSH in the Bkt. Waha. d) All operations have been risk assessed and workers provided with appropriate PPE e.g. helmets, safety boots, ear plugs e) Regular meetings are being held. However recent records of meetings dated 12.03.2013 sighted. Issue on workers hostel, accident were discussed. f) Workers are trained in safety, PPE. Seen PPE records showing that the PPE is given and received by the workers (workers-Makbullah dated 22.8.2012, for safety glove) g) Safety & Health audit performed by JKKS (Safety & Health Committee); to be conducted with records for years to come. h) First aid box seen monitored and installed at common area. Medicine checked are good condition. (Basidin- Expiry 6/15, Dettol-Exp 4/13)


80



(Not applicable)

Remarks

Criterion 4.7: An occupational health and safety plan is documented, effectively communicated and implemented.

4.7.2 Records should be kept of all accidents and periodically reviewed at quarterly intervals. MAJOR compliance

Yes M: monthly recorded and summarized (by HQ); last year complete recorded, 2013 no accidents

Yes E1: Records assessed and fully available

Yes E2: Records are kept. No report of serious accidents for the last 3 years

4.7.3 Workers should be covered by accident insurance. MAJOR compliance

Yes M: SOCSO (Social Security Organization) – covered as per law; Malaysian workers only! Sometimes an external company is doing maintenance work (workers employed there…); evidence also in pay slips by deducted amount for it…

Yes E1: Insurance for workers is available by Axxa annual insurance

Yes E2: Workers are covered by SOCSO as per requirement of the law. Seen deduction made for SOCSO contribution at the pay slip: e.g. sighted for Mohd Radhi, Mohd Noor of payments made for March 2013, found complying


81



(Not applicable)

Remarks

Criterion 4.8: All staff, workers, smallholders and contractors are appropriately trained.

4.8.1 A training programme (appropriate to the scale of the organization) that includes regular assessment of training needs and documentation, including records of training for employees are kept. MAJOR compliance

Yes M: Complete Training file with program and involved positions available; updated and well maintained

Yes E1: Training for workers documented and fully recorded

Yes E2: Seen Training Programme for e.g. OSH 2013; planned for training on Safe Work Place; planned in May 2013; Staff training is arranged by FELDA HQ also at Scheme Level. Example: Fire Training (with Bombas), fully recorded


82


Principle 5: Environmental Responsibility and Conservation of Natural Resources and Biodiversity


(Not applicable)

Remarks

Criterion 5.1: Aspects of plantation and mill management, including replanting, that have environmental impacts are identified, and plans to mitigate the negative impacts and promote the positive ones are made, implemented and monitored, to demonstrate continuous improvement.

5.1.1 Documented aspects and impacts risk assessment that is periodically reviewed and updated. MAJOR compliance

Yes M: Aspect and Impact Identification updated as in Borang FPI/L4/QOHSE-1.7 Pindaan 0; last update July 2012

Yes E1: Identification of environmental aspect and impact assessment document is available (done in 01.01.2013)

Yes E2: Identification of environmental aspect and impact assessment document is also available, update done in 15.04..2013

5.1.2 Environmental improvement plan to mitigate the negative impacts and promote the positive ones, is developed, implemented and monitored. Minor compliance

Yes M: e.g. resource reduction program (Objective and Target Program) full check of progress recorded in Borang FPI/L4/QOHSE-3.4 Pind 0

Yes E1: Environmental Management Plan is available (updating done in 01.01.2013)

Yes E2: Environmental Management Plan also available (updated 15.04.2013) checked parts of it in detail e.g. Program 3R (reduced, re-use-recycle) and Waste Handling


83



(Not applicable)

Remarks

Criterion 5.2: The status of rare, threatened or endangered species (ERTs) and high conservation value habitats, if any ,that exists in the plantation or that could be affected by plantation or mill management, shall be identified and their conservation taken into account in management plans and operations .

5.2.1 Identification and assessment of HCV habitats and protected areas within landholdings; and attempt assessments of HCV habitats and protected areas surrounding landholdings. MAJOR compliance

NA M: not applicable, no HCV area affected

Yes E1: Identification and assesement of HCV conducted in Kompleks Waha, - no HCV identified in Aping Barat

Yes E2: HCV report is available that identifying HCV habitats and protected areas in Komplex Waha. It was conducted in 04.05.2011 by HCV team involving FELDA staff and some external expert (university Sains Malaysia). There is HCV 1 identified as riparian buffer zone

5.2.2 Management plan for HCV habitats (including ERTS) and their conservation. MAJOR compliance

NA M: not applicable, as no HCV area affected

Yes E1: Management plan is available , no HCV management plan as no affected area

Yes E2: Bukit Waha Management Plan for identified HCV area is available, included in HCV Identification Report

5.2.3 Evidence of a commitment to discourage any illegal or inappropriate hunting fishing or collecting activities, and developing responsible measures to resolve human-wildlife conflicts. MINOR compliance

NA M: not applicable at mill

Yes E1: Sign board to no hunting in plantation area, role call monthly with stakeholders, issues regarding this commitment discussed regularly , no indication for illegal acts at audit

Yes E2: - Identification ERTs of fauna and conservation status is

available refer to IUCN - Sign board to no hunting in plantation area in 14 September

2010

Communicated with stakeholders and also part of monthly role call; no evidence found for inappropriate activities at field visit


84



(Not applicable)

Remarks

Criterion 5.3: Waste is reduced, recycled and re-used and disposed off in an environmentally and socially responsible manner.

5.3.1 Documented identification of all waste products and sources of pollution. MAJOR compliance

Yes M: Still Waste Management / Document Manual Procedure FPI/L2/QOHSE -9.0 with records maintained and updated – besides that Waste&Schedule Act

Yes E1: Identification of all waste product -includes: domestic waste, farm waste and schedule waste document is available

Yes E2: All waste identified such as schedule waste, farm- and domestic waste

5.3.2 Having identified waste and pollutants, an operational plan should be developed and implemented, to avoid or reduce pollution. MINOR compliance

Yes M: Visual assessment proving compliance, records on disposal updated Observation: Metall waste material behind workshed to be disposed asap!

Yes E1: Observation: Schedule waste is reused after triple rinsing for another use in work shop; domestic waste is disposed to waste central in Bandar Penawar (managed by goverment); waste collected by Perniagaan Zawiyah (public, every two days)

Yes E2: Observation: Operation plan for waste handling is available. Schedule waste such as empty container are Reused after triple rinsing for another use. Domestice waste are disposed to waste central in Bandar Penawar (manage by goverment). Wate collected by Perniagaan Zawiyah ( every two days) Observation: some used fertilizer packs (schedule waste) are stored in unappropriate place


85



(Not applicable)

Remarks

Criterion 5.3: Waste is reduced, recycled and re-used and disposed off in an environmentally and socially responsible manner.

5.3.3 Evidence that crop residues/biomass are recycled MINOR compliance

Yes M: EFB used for mulching in schemes

Yes E1: Crop residues/biomass such as EFB and frond are used as organic fertilizer

Yes E2: EFB / crop residues is used for composting in the field organic fertilization


86



(Not applicable)

Remarks

Criterion 5.4: Efficiency of energy use and use of renewable is maximized.

5.4.1 Monitoring of renewable energy use per ton of CPO or palm product in the mill. MINOR compliance

Yes M: Fibre and Shell incineration for heat and steam production (recorded in Bucu Shell and Bucu Fibre)

NA E1: Not relevant for Plantation

NA E2: Not relevant for Plantation

5.4.2 Monitoring of direct fossil fuel use per ton of CPO or kW per ton of palm product in the mill (or FFB where the grower has no mill). MINOR compliance

Yes M: 0,73 l/t FFB (December 2012); no electricity from public grid;

NA E1: Not relevant for Plantation. Monitoring at the mill

NA E2: Not relevant for Plantation. Monitoring at the mill


87



(Not applicable)

Remarks

Criterion 5.5: Use of fire for waste disposal and for preparing land for replanting is avoided except in specific situations, as identified in the ASEAN Guidance or other regional best practice.

5.5.1 No evidence of open burning. Where controlled burning occurs, it is as prescribed by the Environmental Quality (Declared Activities (Open Burning) Order 2003. MAJOR compliance

NA M: not relevant for mill operation

Yes E1: FELDA has implemented a zero burn policy for all land preparation of palms. There is a SOP for felling and chipping of oil palm trunks

Yes E2: No evidence of open burning. FELDA has no burning policy which is not allowing open burning for land clearing or replanting acivity (policy signed on 12.07. 2011)

5.5.2 Previous crop should be felled/mowed down, chipped /shredded, windrowed or pulverized/ploughed and mulched. MINOR compliance


Yes E1: “FAS for Replanting Procedure: “Penentuan Kerja Menebang Secara Makanikal, Mencincang dan Mengumpul (Tanpa Bakar) Pind 1/2004; specific SOP for felling and chipping of oil palm trunks

Yes E2: Policy for replanting in place, evidence for shredded/chipped crop visible at replanted area

5.5.3 No evidence of burning waste (including domestic waste). MINOR compliance


Yes E1: During the inspection, there was no open burning sighted

Yes E2: Field checking showed no evidence of burning waste or crop


88



(Not applicable)

Remarks

Criterion 5.6: Plans to reduce pollution and emissions, including greenhouse gases, are developed, implemented and monitored.

5.6.1 Documented plans to mitigate all polluting activities (cross ref C 5.1). MAJOR compliance

Yes M: as above in Manual Procedure FPI/L2/QOHSE -9.

Yes E1: Several items (used fertilizer bags, plastic, glass, used metals, woods, paper, used PPE, used tires, used pesticide containers and domestic refuse) have been identified as pollution items; Action Plan to reuse, recycle and reducing has been developed - reference document: RSPO 2010 (Criteria 5.1/5.3/5.6) dated 05.06.2010

Yes E2: Plan to mitigate polluting activities document is available and checked

5.6.2 Plans are reviewed annually. MINOR compliance

Yes M: updated each month

Yes E1: Plan reviewed on 19.4.2011.

Yes E2: all available and updated – see also 5.1

5.6.3 Monitor and reduce peat subsidence rate through water table management (within range specified in C 4.3). MINOR compliance


NA E1: No peatland at Bukit Aping Barat

NA E2: No peat affected in Bukit Waha


89


Principle 6: Responsible Consideration of Employees and of Individuals and Communities by Growers and Millers


(Not applicable)

Remarks

Criterion 6.1: Aspects of plantation and mill management, including replanting, that have social impacts are identified in a participatory way, plans to mitigate the negative impacts and promote the positive ones are made, implemented and monitored, to demonstrate continuous improvement.

6.1.1 A documented social impact assessment including records of meetings. MAJOR compliance

Yes M: internal suppliers meeting done 22.03.20113 (plus internal SIA assessment done at that meeting); external stakeholdermeeting done 06.March 2013, Kota Tinggi and Action Plan 29.03.2013

Yes E1: Another exercise for SIA conducted in March 2013 - Internal Stakeholder (mainly from Settler, etc related to Komplex Waha); seen the survey form (staff and settlers and foreign labor inputs)

Yes E2: Within SIA also internal stakeholder meeting conducted on 13.10.2012; again mainly for internal settlers, employees, youth, etc; seen the survey form, records of meeting seen through Impact Assessment Report, approved by Mr. Ahamad Baharum


90



(Not applicable)

Remarks

Criterion 6.1: Aspects of plantation and mill management, including replanting, that have social impacts are identified in a participatory way, plans to mitigate the negative impacts and promote the positive ones are made, implemented and monitored, to demonstrate continuous improvement.

6.1.2 Evidence that the assessment has been done with the participation of affected parties. MINOR compliance

Yes M: List of attendance and issues shown

Yes E1: Data analysis available to conclude the survey, example: positive impact such as Good infrastructure for people, additional income through extra activities; negative impact such as student spend more time in internet, foreign worker manner clothing which not as per local manner…

Yes E2: Result of analysis stated that positively on infrastructure; negatively on debt accumulation with FELDA, Domestic Waste collection etc.

6.1.3 A timetable with responsibilities for mitigation is reviewed and updated as necessary. MINOR compliance

Yes M: in Action Plan as mentioned above in place

Yes E1: All the social impacts factors e.g. access roads, cultural etc. seen has been included in the survey; conclusion available, evidence on how the conclusion were made and justification on the action taken seen also available; Management Plan assessed

Yes E2: Assessement finding proves that these activities are

reflected, implemented where necessary and Action Plan

available


91



(Not applicable)

Remarks

Criterion 6.2: There are open and transparent methods for communication and consultation between growers and/or millers, local communities and other affected or interested parties.

6.2.1 Documented consultation and communication procedures. MAJOR compliance

Yes M: external stakeholder meetings and internal procedures available, seen Doc FPI/2/QOHSE-6.0 (Consultation, Participation and Communication)

Yes E1: Seen Doc ML-1A/L2PR3 (0) dated Mac 2012 for Consultation, Participation and Communication

Yes E2: Documents for consultation and communication assessed and found consistent and complete

6.2.2 A nominated plantation management official at the operating unit responsible for these issues. MINOR compliance

Yes M: Mr. Aman Bin Harun

Yes E1: Nominated is Social Development Assistant Ms. Nur Azawati, dated 13.9.2012

Yes E2: Ms. Ramlah Yunus nominated for that position on 08.02.2012 (Social Development Assistant)


92



(Not applicable)

Remarks

Criterion 6.2: There are open and transparent methods for communication and consultation between growers and/or millers, local communities and other affected or interested parties.

6.2.3 Maintenance of a list of stakeholders, records of communication and records of actions taken in response to input from stakeholders. MINOR compliance

Yes M: fully accessible and presented, relevant internal staff and stakeholders involved, records available

Yes E1: Seen list of stakeholders, example: Pengetua-Mohd Affandi,

Umno Women- Ms Misfon and also for settlers, employees,

etcLast Updated February 2012. Communication seen been

provided through meeting in

1. Local Community Meetings. 2. Gender Committee 3. Replanting Committee 4. Staff Meeting 5. Morning Roll Call

Yes E2: Updated list of stakeholder meetings including issues

discussed assessed, detailed check of meeting in February 2012

Again following groups and evidences involved:

1. Local Community Meetings 2. Gender Committee 3. Replanting Committee 4. Staff Meeting 5. Morning Roll Call


93



(Not applicable)

Remarks

Criterion 6.3: There is a mutually agreed and documented system for dealing with complaints and grievances, which is implemented and accepted by all parties.

6.3.1 Documentation of the processes by which a dispute was resolved and the outcome. MAJOR compliance

Yes M: in minutes of external stakeholder meetings, internally in complaint book

Yes E1: Seen records being kept. As per this assessment, 10 year records kept

Yes E2: Checked Documents such as ML-1A/L2-PR4 (0) dated March 2012 - Complaints & Grievances

6.3.2 The system resolves disputes in an effective, timely and appropriate manner. MINOR compliance

Yes M: as documented in minutes of meeting and as in Action Plan of SIA

Yes E1: Seen Complaint Book; e.g. example 02.11.2012: from Samsiah Sulaiman, settler- next door shop selling drugs, she is selling cake, afraid of losing customer; also seen another complaint logs : action taken by evidence of corrective action and effectiveness of the action taken

Yes E2: Several examples in complaint book checked e.g. entry 26.04.2013: from Sabariah Abu Bakar, settlers wife requesting RM 300,00 from his husbands pay to be deducted as her monthly allowance; seen complaint log ; action taken do refer that this case went to Head Village and to court

6.3.3 The system is open to any affected parties. MINOR compliance

Yes M: as documented in all records of meeting and complaints-book

Yes E1: visually assessed and as presented by auditee

Yes E2: audited system confirming compliance


94



(Not applicable)

Remarks

Criterion 6.4: Any negotiations concerning compensation for loss of legal or customary rights are dealt with through a documented system that enables indigenous peoples, local communities and other stakeholders to express their views through their own representative institutions.

6.4.1 Establishment of a procedure for identifying legal and customary rights and a procedure for identifying people entitled to compensation. MAJOR compliance

NA M: not applicable at mill level

NA E1: No indigenous people

NA E2: No indigenous people

6.4.2 A procedure for calculating and distributing fair compensation (monetary or otherwise) is established and implemented. This takes into account gender differences in the power to claim rights, ownership and access to land; and long-established communities; differences in ethnic groups’ proof of legal versus communal ownership of land. MINOR compliance

NA M: not applicable at mill level

NA E1:as no disputes and negotiations no compensations necessary

NA E2: Not relevant because no ownership disputes

6.4.3 The processes and outcome of any compensation claims is documented and made publicly available. MINOR compliance This criterion should be considered in conjunction with Criterion 2.3.

NA M:Not applicable at mill level

NA E1: Not applicable as above

NA E2: Not relevant as already menionted


95



(Not applicable)

Remarks

Criterion 6.5: Pay and conditions for employees and for employees of contractors always meet at least legal or industry minimum standards and are sufficient to provide decent living wages.

6.5.1 Documentation of pay and other conditions. MAJOR compliance

Yes M: according Malaysian Legislation; net payment plus EPF; visual assessment of examples; Malaysian workers only employed

Yes E1: Seen Appointment Letter for Ms. Nur Azwati, Social Development Assistance dated 13.09.2012; seen work criteria, pay amount, allowances are witten.;working hours and overtime (48 hours) stated appropriately in “Surat Pekeliling”; also seen papers of Headman Mr. Nurhanim Baharudin work description, roles and responsibility attached and acknowledged by Mr. Mohd Ali Aman

Yes E2: Appointment Letter for Mr. Mohammad Syafiq checked (field supervisor, dated 12.01.2011), work criteria, pay amount, allowances are written and available; again working hours and 48 hours overtime regulation stated appropriately in “Surat Pekeliling” and “Syarat –Syarat Perlantikan dated 01.01.2007”


96



(Not applicable)

Remarks


6.5.2 Labor laws, union agreements or direct contracts of employment detailing payments and conditions of employment (e.g. working hours, deductions, overtime, sickness, holiday entitlement, maternity leave, reasons for dismissal, period of notice, etc) are available in the language under-stood by the workers or explained carefully to them by a plantation management official in the operating unit. MINOR compliance

Yes M: as above

Yes E1: Special labor policy for migrants available; included together in the contract and overall policies; seen e.g. payslip for Mr Sulaiman: foreign worker received pay Jan. 2013 for RM 511.98 -including traceable deduction; others such as e.g. Mohd Syafii seen RM 1,569.15 earned when he performed “Pruning” including overtime; deducted only AIPS and water supply

Yes E2: Special labor policy for migrants available; included together in the contract and overall policies; payslips of 4 examples checked in detail, e.g. local staff worker received a payment of RM 1,545 on Feb. 2013; deduction only for KWSP, Perkeso, Etiqa


97



(Not applicable)

Remarks


6.5.3 Growers and millers provide adequate housing, water supplies, medical, educational and welfare amenities in accordance Workers’ Minimum Standard of Housing and Amenities Act 1990 9act 446) or above, where no such public facilities are available or accessible (not applicable to smallholders). MINOR compliance

NA M: no housing at premises of mill

Yes E1: Seen on visual inspection, while pass through and walkthrough; housing, water, electric-, medical/clinic- and other welfare facilities (futsal, field, school, etc.) are in superb condition and provided fully; visual inspection of foreign worker housing, condition is acceptable; e.g. odor, drainage; proper washrooms, bedding situation, etc…

No E2: While passing and walking through housing area the entire situation was inspected: housing in general, water and , electric supply, medical/clinic plus welfare installations such as futsal, playground and school are in good condition and provided; Finding: Foreign worker housing provided by Hasrol Technoplant (subcontractor of FTP) situated in Bukit Waha/ Bukit Easter the condition is not acceptable; example: odor, drainage; no proper washroom, bedding situation and domestic waste situation not satisfying: however quarters under FTP are acceptable; situation has to be clarified with subcontractor


98



(Not applicable)

Remarks

Criterion 6.6: The employer respects the right of all personnel to form and join trade unions of their choice and to bargain collectively. Where right to freedom of association and collective bargaining are restricted under law, the employer facilitates parallel means of independent and free association and bargaining for all such personnel.

6.6.1 Documented minutes of meeting with main trade unions or workers representative. MAJOR compliance

Yes M: Union Representative: Chairman Mr. Abdul Rahim bin Sani, 2 meetings annually; last 22.03.2013

Yes E1: Meeting minutes available between management and workers represented by Workers Representative; last meeting held on 01.04.2013 as 5th meeting of the year: discussing on divers workers issues

Yes E2: Last meeting out of several documented ones held on 15.04.2013, minutes available; participants management and workers (represented by Workers Representative)

6.6.2 A published statement in local languages recognizing freedom of association. MINOR compliance

Yes M: Malaysian workers only

Yes E1: Seen policy of freedom of association established; communicated, displayed and publically available. Interview of Mr. Mohd Syarifudin; Administration Assistant able to explain the policy

Yes E2: Policy of freedom of association evidently is communicated, displayed and publically available; e.g. by interviewing Mr. Mohd Zahid a Field Supervisor it was also evident that he was able to understand and explain that policy


99



(Not applicable)

Remarks

Criterion 6.7: Children are not employed or exploited. Work by children is acceptable on family farms under adult supervision, and when not interfering with education programmes. Children are not exposed to hazardous working condition.

6.7.1 Documented evidence that the minimum age requirement is met. MAJOR compliance

Yes M: Legal Requirment (SOCSO), 18 years company policy (Polisi Pekerja Kanak-Kanak), no evidence found in audit that younger once around; papers of employees (listed by name and age) do prove compliance

Yes E1: Seen policy on Child Labor established; communicated and publically available; other issue of interview with Mr. Mohd Syarifudin, he is also aware of it and able to explain - minimum age is determined with 17; no evidence of child labour found during audit

Yes E2: Policy implemented and publically available: in interview with Mr. Mohd Zahid it was proven that workers and staff do understand that policy und support it; no evidence during audit found for undergoing the minimum age of 17


100



(Not applicable)

Remarks

Criterion 6.8: Any form of discrimination based on race, caste, national origin, religion, disability, gender, sexual orientation, union membership, political affiliation, or age, is prohibited.

6.8.1 A publicly available equal opportunities policy. MAJOR compliance

Yes M: “Polisi Keseteraan Peluang” displayed and implemented

Yes E1: Seen policy of equal opportunities established; communicated, displayed and publically available; Interview Mr. Tumiran-Head of Planting; able to explain appropriately

Yes E2: Communicated, displayed and publically available policy of equal opportunities; interviewed Mr. Ahamad Baharum-Assistant Manager – explains sufficiently

6.8.2 Evidence that employees and groups including migrant workers have not been discriminated against. MINOR compliance

Yes M: no evidence found

Yes E1: Found at audit that there is no issue of discrimination/grievance raised during SIA or in workers interviews

Yes E2: No evidence occurred that any discrimination/grievance evident – neither SIA nor in workers interviews


101



(Not applicable)

Remarks

Criterion 6.9: A policy to prevent sexual harassment and all other forms of violence against women and to protect their reproductive rights is developed and applied.

6.9.1 A policy on sexual harassment and violence and records of implementation. MAJOR compliance

Yes M: “Polisi Ganguan Seksual Dan Keganasan”

Yes E1: Seen policy on sexual harassment established; communicated, Gender Minutes of meeting sighted, latest on Jan. 2013

Yes E2: Displayed and publically available policy on sexual harassment implemented; communicated as in minutes (December 2012) of Gender Minutes, chaired by Puan Kalsom Salihin

6.9.2 A specific grievance mechanism is established. MAJOR compliance

Yes M: SOP’s and complaint book

Yes E1: Seen a simple flow chart of grievance established; also Women Action Committee established - headed by Hajah Ramlah Yunus for the whole Komplex; Last meeting held on 28.01.2013 within the Scheme Women in Felda

Yes E2: Mechanism implemented, again relevance of Women Action Committee: headed by Hajah Ramlah Yunus for the whole Komplex


102



(Not applicable)

Remarks

Criterion 6.10: Growers and millers deal fairly and transparently with smallholders and other local businesses.

6.10.1 Pricing mechanisms for FFB and inputs/services shall be documented. MAJOR compliance

Yes M: Price clearly displayed according MPOB actual prices

Yes E1: Follow MPOB pricing. Last price updated is today for the price of RM 449 per tone; OER 21.25

Yes E2: same pricing mechanism for entire Komplex Waha and FELDA operations

6.10.2 Current and past prices paid for FFB shall be publicly available. MINOR compliance

Yes M: in front of weighbridge displayed

Yes E1: Prices displayed at the office notice board for public information

Yes E2: Pricing published and displayed

6.10.3 Evidence that all parties understand the contractual agreements they enter into, and that the contracts are fair, legal and transparent. MINOR compliance

Yes M: contracts according regulations of FELDA and legal framework

Yes E1: Seen various contracts and payments as e.g. contract number 2000082707 with received payment on 25.06.2011 inlcuding acceptance signature of the contractor

Yes E2: Several contracts and payments checked; example: contract 2000094040, payment matches with contract

6.10.4 Agreed payments shall be made in a timely manner. MINOR compliance

Yes M: paid on monthly base

Yes E1: Payment made on timely manner for the SMKZ Maju Jaya; check of e.g. payment voucher dated 18.3.2013; approved by Tomiran, Head of Planting

Yes E2: Received payment on 15.4.2013 for March work for above said contractor; acceptance signature of the contractor for the said job evident


103



(Not applicable)

Remarks

Criterion 6.11: Growers and millers contribute to local sustainable development wherever appropriate.

6.11.1 Demonstrate contributions to local development that are based on the results of consultation with local communities. MINOR compliance

Yes M: Job opportunity, contractor works, student tutoring, playground for community within vicinity of mill

Yes E1: Contribution seen on many occasions, example: July 2012, support for Raya festival; Tuition Scheme: paid to enhance the educational activities of the settlers children; Higher Education Support (for 1st day entry to reduce flash expenses); also for diploma and degree student as example: Mohd Fared Kasmen

Yes E2: Proof available that several activities were supported widely; as e.g. Skim Tuisyen for Education purposes & Scholarship (for settler kids for higher education); paid to enhance the educational activities of the settlers children; also Siti Halijah & Mohd Hairulzulfahmi – contribution to elder people with chronic diseases as example of Ibrahim Jais (Dialysis) shows


104


Principle 7: Responsible Development of New Plantings


(Not applicable)

Remarks

Criterion 7.1: A comprehensive and participatory independent social and environmental impact assessment is undertaken prior to establishing new plantings or operations, or expanding existing ones, and the results incorporated into planning, management and operations.

7.1.1 An independent and participatory social and environmental impact assessment (SEIA) to be conducted and documented ( Cross ref to 7.2, 7.3, 7.4, 7.5, 7.6. MAJOR compliance

NA M: not relevant at mill level

NA E1: no new plantings


7.1.2 The results of the SEIA to be incorporated into an appropriate management plan and operational procedures developed, implemented, monitored and reviewed. MINOR compliance




7.1.3 Where the development includes smallholder schemes of above 500ha in total, the impacts and implications of how it is managed should be documented and a plan to manage the impacts produced . MINOR compliance





105



(Not applicable)

Remarks

Criterion 7.2: Soil surveys and topographic information are used for site planning in the establishment of new plantings, and the results are incorporated into plans and operations.

7.2.1 Soil suitability maps or soil surveys adequate to establish the long-term suitability of land for oil palm cultivation should be made available. MAJOR compliance




7.2.2 Topographic information adequate to guide the planning of drainage and irrigation systems, roads and other infrastructure should be available. MINOR compliance





106



(Not applicable)

Remarks

Criterion 7.3: New plantings since November 2005, have not replaced primary forest or any area required to maintain or enhance one or more High Conservation Values.

7.3.1 An HCV assessment, including stakeholder consultation, is conducted prior to any conversion. MAJOR compliance




7.3.2 No conversion of Environmentally Sensitive Areas (ESAs) to oil palm as per Peninsular Malaysia National Physical Plan (NPP) and Sabah Forest management Unit under the Sabah Forest Management License Agreement. MAJOR compliance




7.3.3 No new plantings on floodplains (reference made to State DID). MAJOR compliance




7.3.4 Dates of land preparation and commencement are recorded. MINOR compliance





107



(Not applicable)

Remarks

Criterion 7.4: Extensive planting (to be determined by SEIA) on steep terrain, and /or marginal and fragile soils, is avoided.

7.4.1 All new plantings should not be cultivated on land more than 300m above sea and on land more than 25 degrees slope unless specified by local legislation (Ref: MSGAP Part 2: OP 4.4.1.3 & 4.4.1.4). MAJOR compliance




7.4.2 Where planting on fragile and marginal soils is proposed, plans shall be developed and implemented to protect them without incurring adverse impacts (e.g. hydrological) or significantly increased risks (e.g. fire risk) in areas outside the plantation. MINOR compliance





108



(Not applicable)

Remarks

Criterion 7.5: No new plantings are established on local peoples’ land without their free, prior and informed consent, dealt with through a documented system that enables indigenous peoples, local communities and other stakeholders to express their views through their own representative institutions.

7.5.1 This activity should be integrated with SEIA required by C 7.1. MAJOR compliance





109



(Not applicable)

Remarks

Criterion 7.6: Local people are compensated for any agreed land acquisitions and relinquishments of rights, subject to their free, prior and informed consent and negotiated agreement.

7.6.1 Documented identification and assessment of legal and customary rights. MAJOR compliance




7.6.2 Establishment of a system for indentifying people entitled to compensation. MAJOR compliance




7.6.3 This activity should be integrated with SEIA required by C 7.1 MAJOR compliance




7.6.4 Establishment of a system for calculating an distributing fair compensation (monetary or otherwise). MAJOR compliance



NA

E2: no new plantings


110



(Not applicable)

Remarks

Criterion 7.6: Local people are compensated for any agreed land acquisitions and relinquishments of rights, subject to their free, prior and informed consent and negotiated agreement.

7.6.5 The process and outcome of any compensation claims should be documented and made publicly available. MAJOR compliance




7.6.6 Communities that have lost access and rights to land for plantation expansion are given opportunities to benefit from plantation development. MINOR compliance





111



(Not applicable)

Remarks

Criterion 7.7: Use of fire in the preparation of new plantings is avoided other than in specific cases as identified in the ASEAN Guidance or other regional best practice .

7.7.1 No evidence of clearing by burning. This activity should be integrated with the SEIA required by C 7.1. MAJOR compliance




7.7.2 Evidence of approval for controlled burning as per Environmental Quality (Declared Activities) (Open Burning) Order 2003. MAJOR compliance





112


Principle 8: Commitment to Continous Improvement in Key Areay of Activity


(Not applicable)

Remarks

Criterion 8.1: Growers and millers regularly monitor and review their activities and develop and implement action plans that allow demonstrable continuous improvement in key operations.

8.1.1 Minimise use of certain pesticides (C 4.6). MAJOR compliance


Yes E1: Action Plan an Monitoring implemented, tendency of reduction may be enforced

Yes E2: Action Plan for Paraquat is available, however not fully implemented yet as amount of use still is not decreasing – nevertheless fully monitored! Observation: performance of action plan still not according internal goals

8.1.2 Environmental impacts (C 5.1). MAJOR compliance

Yes M: as mentioned above also in improvement plans (e.g. reduction water usage, diesel usage, etc.)

Yes E1: Implemented and updated – as in above comments

Yes E2: updated EIA Assessment 2012, see previous statements

8.1.3 Maximizing recycling and minimizing waste or by-products generation. MAJOR compliance

Yes M: as far as possible on mill site (for domestic and schedule waste system in place)

Yes E1: Visual assessment and documentation show compliance

Yes E2: As proven in audit (visual and documentational evidence)

8.1.4 Pollution prevention plans (C 5.3) MAJOR compliance

Yes M: in Pollution Prevention Plan (Records and SOP)

Yes E1: SOP’s, Plans and Records available and implemented

Yes E2: Plans documented (in SOP’s and guidance’s), implementation was assessed


113



(Not applicable)

Remarks

Criterion 8.1: Growers and millers regularly monitor and review their activities and develop and implement action plans that allow demonstrable continuous improvement in key operations.

8.1.5 Social impacts 9C 6.1). MAJOR compliance

Yes M: Fully implemented as in above statements

Yes E1: SIA available, reviewed and updated

Yes E2: Impacts assessed in SIA - documentation of updates available

8.1.6 A mechanism to capture the performance and expenditure in social and environmental aspects. MINOR compliance

Yes M: Regular SIA Adaption (latest 2013), same in EIA

Yes E1: Regular updates on Social and Environmental Impacts documented and plausible

Yes E2: Perfomance and expenditure of these issues complying according all above mentioned audit findings


114


3.2 Identified Non-Conformances and Noteworthy positive comments

NC/O

Nr.

Criterion

Non Conformance (NC)

(or Observation [O] )

Corrective Action Implementation

required until

1

(O)

2.2.3.1 Evidence of boundary

stones along the perimeter

adjacent to state land

and other reserves are

being located and visibly

maintained.

MINOR compliance

boundary stones / boundary

markers randomly checked at field

visit and evident at all visited outer

borders; however boarders

between settlers not always fully

visible

Mechanism have to be found to enforce

the commitment and motivation of

smallholders to fully implement RSPO

Principles and Criteria regarding

boundary markers

2nd Surveillance

Audit

2

(NC)

2.3.3. Copies of negotiated

agreements detailing

process of content.

MINOR compliance

There is not yet documented

contractual agreement with FELDA

Plantation Division / FPD about Block

99 (consisting of 2 parcels); this was

new planted in 2004 and is not

under production, however under

control of FELDA Plantation Division

1) Agreements with FPD not

accessible

2) Relevant maps not fully updated

A) Contractual agreement hast to be

generated and mutually signed

B) Appropriate Maps have to be

updated (with issuing authority and date

on it!)and attached to the agreement

Post Audit forwarded documents

(05.09.2013) prove that theses

documents have been revised and

completed

-


115


NC/O

Nr.

Criterion




required until

3

(O)

4.4.1 Protection of water

courses and wetlands,

including maintaining and

restoring appropriate

riparian buffer zones at or

before replanting along all

natural waterways within

the estate.

MAJOR compliance

A) Basically well maintained, SOP’s

present, however one fertilizer

spreader sometimes did not obey a

bufferzone to little river

B) Mr. Afiki (independent

Smallholder: PPP waste found in the

field!)

A) Improve trainings better training

needed

B) Improve information and integration of

independent Smallholders

2nd Surveillance

Audit

4

(O)

4.5.3 Recording areas where

pesticides have been

used.

MINOR compliance

Records available, however maps

are not always fully updated,

therefore slight misunderstandings

about block boarders and parcels

Maps need to be updated! 2nd Surveillance

Audit

5

(O)

4.5.4 Monitoring of pesticide

usage per hectare or per

ton e.g. total quantity of

active ingredient (a.i)

used/tonne of oil.

MINOR compliance

Policies etc. available, also

monitoring for past years available

(e.g. Paraquat), however total

amounts still increasing)

Revise and implement a feasible internal

action plan in order to reach the goals


(05.09.2013) were not found sufficient yet

to close out that observation

2nd Surveillance

Audit

6

(O)

4.6.1 Written justification in

Standard Operating

Procedures (SOP) of all

chemicals in use.

MAJOR compliance

Independent settler illegally stores

PPP Mix and schedule waste in field

Actions have to be taken to improve the

commitment and motivation of

smallholders to completely comply with

this relevant RSPO Criteria

(See: RSPO Certification Systems Final document

approved by RSPO Executive Board, 26 June 2007 -

4.2.3: “…the mill will develop and implement a plan

to ensure that 100% of associated smallholders and

out-growers are of certifiable standard within 3

years). Plan to be presented!

2nd Surveillance

Audit


116


NC/O

Nr.

Criterion




required until

7

(O)

4.6.3 Pesticides shall be stored

in accordance to the

Occupational Safety and

Health Act 1994 ( Act 514)

and Regulations and

Orders and Pesticides Act

1974 (Act 149) and

Regulations.

MAJOR compliance

Storage visually assessed and

basically found it is according

regulations however at the FTP

storage was one observation:

washing water for PPE goes to

concrete sink: actually planned for

reuse, however a small leakage was

detected

Seal the bottom of the sink (Bukit

Waha)

2nd Surveillance

Audit

8

(O)

4.6.4 All information regarding

the chemicals and its

usage, hazards, trade and

generic names must be

available in language

under-stood by workers or

explained carefully to

them by a plantation

management official at

operating unit/level.

MAJOR compliance

Mill: Datasheets in chemical store

(to be better maintained) and

window of storage to be repaired

(window currently is partly not

functional)

Improve the storage of chemicals and

displayed information accordingly 2nd Surveillance

Audit


117


NC/O

Nr.

Criterion




required until

9

(NC)

4.6.7 Documentary evidence

that use of chemicals

categorized as World

Health Organization Type

1A or 1B or listed by the

Stockholm or Rotterdam

Conventions and

Paraquat, is reduced and

/or eliminated. Adoption

of suitable economic

alternative to Paraquat as

suggested by the EB

pending outcome of the

study on IWM.

MINOR compliance

FELDA Policy on these aspects is

issued and well known, however

Paraquat use still is not decreasing

but in reality increasing (Bukit

Waha)!

Revise and implement a feasible

internal action plan in order to reach

the goals


(05.09.2013) were not found sufficient

yet to close out that observation;

It also has to be considered that only full

data of the current year may be used

again to compare with the past year in

order to evaluate a positive

development from one year to the next

one

2nd Surveillance

Audit

10

(O)

4.6.10

Records of pesticide use

(including active

ingredients used, area

treated, amount applied

per ha and number of

applications) are

maintained for either a

minimum of 5 years or

starting 2007.

MINOR compliance

Records available and visually

checked, however info sometimes

not detailed enough (e.g. info on

applied PPP mix, active ingredient,

etc.)

Add the missing information to relevant

records (“including active ingredients

used, area treated, amount applied per

ha and number of applications”)


(05.09.2013) prove that theses

documents have been revised and

completed

-


118


NC/O

Nr.

Criterion




required until

11

(O)

4.7.1 Evidence of documented

Occupational Safety

Health (OSH) plan which is

in compliance with OSH

Act 1994 and Factory and

Machinery Act 1967 (Act

139).

MAJOR compliance

OSH Plan implemented however it

was found that First Aid Kits

sometimes are not clean or fully

equipped

First Audit Kits to be regularly

cleaned, refilled and maintained in

order to implement that OSH plan

2nd Surveillance

Audit

12

(O)

5.3.2 Having identified waste

and pollutants, an

operational plan should

be developed and

implemented, to avoid or

reduce pollution.

MINOR compliance

Visual assessment proving

compliance, records on disposal

updated, however in some

particular spots the final

implementation of that plan is not

visible (minor deficiencies visually

assessed)

Fully implement that plan and clean up

that particular spots 2nd Surveillance

Audit

13

(NC)

6.5.3 Growers and millers

provide adequate

housing, water supplies,

medical, educational

and welfare amenities in

accordance Workers’

Minimum Standard of

Housing and Amenities Act

1990 9act 446) or above,

where no such public

facilities are available or

accessible (not applicable to

smallholders). MINOR compliance

Foreign worker housing provided

by Hasrol Technoplant

(subcontractor of FTP) situated in

Bukit Waha/ Bukit Easter the

condition is not acceptable;

example: odor, drainage; no

proper washroom, bedding

situation and domestic waste

situation not satisfying: however

quarters under FTP are acceptable;

situation has to be clarified with

subcontractor

Fully improve the housing situation

accordingly 2nd Surveillance

Audit


119


NC/O

Nr.

Criterion




required until

14

(O)

8.1.1 Minimize use of certain

pesticides (C 4.6).

MAJOR compliance

Action Plan for Paraquat is

available and implemented,

however goals were not reached

as amount of use still is not

decreasing – nevertheless fully

monitored!

Revise and newly implement the current

action plan in order to reduce the use

of Paraquat in all operations

2nd Surveillance

Audit

15

(NC)

RSPO Certification

System

(icv)

4.2.4. b

The unit of certification

shall be the mill and its

supply base:a time-bound

plan for achieving

certification of all relevant

entities is submitted

to the certification body

during the first

certification audit. The

certification body will

be responsible for

reviewing the

appropriateness of this

plan (in particular, that

the time scale is

sufficiently challenging),

and verifying and

reporting on progress in

subsequent surveillance

visits;

MAJOR compliance

Time bound plan was under

revision as the latest one was not

realistic to implement, adapted

plan found as a part of ASA Report

Communicate that particular control

point with RSPO Secretariat and

coordinate further actions regarding

entire FELDA Group operation

Immediately


120


3.3 Issues raised by stakeholders

Not relevant at ASA


121


4. Certified organisation’s acknowledgedgement of internal responsibility

4.1 Formal sign-off of assessment findings

Addtional comments by Auditors

1. The entire Audit Team likes to thank Felda Management, all staff and workers of Komplex Waha for a very constructive cooperation and

for their hospitality throughout the entire Surveillance Audit

2. The Audit Team likes to mention that in general significant posivitiv changes were evident in comparison between first certification audit

and first Surveillance Audit

3. Caution: please consider that agroVet GmbH will terminate the RSPO P&C certification activities and therefore will not be available for

the next ASA: hence we ask you to coordinate that service with another Certification Body which will be auditing RSPO P&C!

4. We also ask to communicate thatabove mentioned fact in time wit RSPO Secretariat!

5. -

Lead Auditor, Matthias Grill

Place, Name, Date and Signature

Enzersfeld, Matthias Grill 02.10.2013

Confirmed by Audit Team Kuala Lumpur, 02.10..2013 1) Chan Han Hee

2) Selvaa Grapragrasem


122


5. Attachments

5.1 Report Confirmations

5.2.1a Report Confirmation - Client

The representative person of the audited entity has acknowledged this report and likes to:

1. confirm this result by signature: Place, Name, Date

und Signature

…………………………, ……………….., ……………………………………..

or

2. confirm this result by signature and make

additional comments to it (see table 9.2

below)

Place, Name, Date

und Signature

…………………………, ……………….., ……………………………………..

or

3. reject this report and will further more not

accept audit results

(Comments, complaints and justifications

may be added at table 5.2.1b below)

Place, Name, Date

und Signature

…………………………, ……………….., ……………………………………..


123


5.2.2 Report Confirmation – Certification Department

The Certification Officer has acknowledged this report and likes to:

1. confirm this result by signature: Place, Name, Date

und Signature

…………………………, ……………….., ……………………………………..

or

2. disagree on audit report and is asking for

additional action to be taken: Ort, Name, Datum

und Unterschrift

…………………………, ……………….., ……………………………………..

Nr. Additional action Comment Responsibilities and time frame

1

2

and

3. finally to confirm the result after all relevant

and additional corrective actions have

been closed out (including Lead Auditors

re-confirmation) and signalizes compliance

for issuance of certificate

Ort, Name, Datum

und Unterschrift

…………………………, ……………….., ……………………………………..


124


5.2 Abbreviations

ASA Annual Surveillanc Audit

CB Certification Body

CHRA Chemical Health Risk Assessment

CPO Crude Palm Oil

DID Department of Irrigation and Drainage

EFB Empty Fruit Bunches

FASSB Felda Agricultural Services Sdn Bhd

FM Felda Management

FTP Felda Techno Plant

FFB Fresh Fruit Bunches

GAP Good Agricultural Practice

HCV High Conservation Value

HQ Head Quarter

IPM Integrated Pest Management

JKKR Jawatan Kuasa Kemajuan dan kesihatan Rancangan / Settlers comittee on health and social matters

QMS Quality Management System

QM Quality Management

MPOB Malaysian Palm Oil Board


125


mt metric tonn

NC Non Conformance

O Observation

PKO Palm Kernel Oil

PK Palm Kernel

PPP Plant Protection Product

p.a. per annum

Q3 3rd quarter of a year (e.g. Q2 = 2nd quarter of year, etc.)

QMS Quality Management System

QM Quality Management

SIA Social Impact Assessment

SOP Standard Operating Procedures

SOCSO Social Security Organization