GRIEVANCE REDRESSAL
Grievance Redressal List
REF. NO. | DATE RECEIVED | COMPANY | SUBJECT MATTER | STAKEHOLDER(S) | PROGRESS |
G35 | July 2019 | PT Menteng Jaya Sawit Perdana (“MJSP”) | Alleged land development on peatland (12 ha).
Satellite images are available here |
Mighty Earth | PT Menteng Jaya Sawit Perdana is alleged to have cleared and developed 12ha of peatland in its concession in Mighty Earth’s “Rapid Response Palm Oil, Report 18” report. The following clarification statement is intended to respond to this allegation :
The alleged area is located within PT MJSP’s permit area (Izin lokasi). It is however no longer within the management control of PT MJSP, as in Y2016 the area has been gazetted by Kementerian Lingkungan Hidup & Kehutanan [“KLHH”] as Community Forest Plantation [Hutan Tanaman Rakyat (“HTR”)] area. A copy of the Ministerial Decree letter [Surat Keputusan Menteri] from KLHH and the location map of the HTR area relative to the alleged area is attached here. It is a local government’s development programme for the local community in collaboration with Gabungan Kelompok Tani Hutan (“Gapoktan”), and is monitored by the Forest Agency [Dinas Kehutanan]. |
G34 | July 2019 | Yuwang | Alleged forest clearance. Report is available here |
Mighty Earth | Indirect suppliers. KLK representatives are engaging with trading partners. |
G33 | July 2019 | WTK | Alleged forest clearance. Report is available here |
Mighty Earth | Indirect suppliers. KLK representatives are engaging with trading partners. |
G32 | July 2019 | Woodman | Alleged peat development. Report is available here |
Mighty Earth | Indirect suppliers. KLK representatives are engaging with trading partners. |
G31 | July 2019 | Sumber Tani Agung | Alleged forest clearance. Report is available here |
Mighty Earth | Indirect suppliers. KLK representatives are engaging with trading partners. |
G30 | July 2019 | Dharma Sawit Nusantara Tbk (“DSN Group”) | Alleged forest clearance. Report is available here |
Mighty Earth | Indirect suppliers. KLK representatives engaged with trading partners in Jul 2019.
Trading partner has engaged with DSN for clarification. Based on DSN internal overlay map, land clearing activities mentioned by Mighty Earth were located outside PT PSA concession (“ILOK”). Trading partner has verified this through internal analysis. However, DSN also informed that they found an encroachment inside PT PSA concession by local communities for the purpose of developing paddy fields in April 2019 involving a total area of 5.67 Ha. This illegal action has been documented and reported to local police, military office and sub district office. |
G29 | July 2019 | PT Agro Sawitmas Lestari, a subsidiary of Kencana Agri Ltd | Alleged clearing of forest. Report is available here |
Mighty Earth | KLK representatives engaged with Kencana Agri on 24 July 2019 where KLK would like to seek clarification on the allegation. Kencana Agri informed that the group including PT Agro Sawitmas Lestari is committed to the Sustainability Policy released on 19 January 2015 which includes no deforestation on High Carbon Stock forest areas and no further land clearing of potential HCS areas until the proposed HCS study is adopted.
They confirmed that the alleged area is located outside of PT Agro Sawitmas Lestari’s HGU and the estate map indicated the alleged area is shared with KLK representative. |
G28 | July 2019 | PT Kurun Sumber Rezeki, a subsidiary of CB Industrial Product Holding (“CBIP”)/Jhonlin Group | Alleged clearing of forest. Report is available here |
Mighty Earth | KLK representatives engaged with Tradewinds on 25 July 2019 where KLK would like to seek clarification on the allegation. Tradewinds clarified that although CBIP holds 30% share in Kumpulan Kris Jati Sdn Bhd (“KKJ”), they do not have management control over the operations of KKJ.
It is confirmed that there is no relationship between Tradewinds and PT Kurun Sumber Rezeki (“KSR”). Tradewinds does not have any management control over CBIP or KSR. Tradewinds representative then confirmed that they are supportive and will comply with customers’ NDPE Policy, including KLK Sustainability Policy. |
G27 | July 2019 | PT Jabontara Eka Karsa | Deforestation of orangutan habitat. Report is available here |
1. Wilmar 2. Sime Darby 3. Bunge 4. LDC |
Inquiries were received from buyers on alleged deforestation of orangutan habitat at PT Jabontara Eka Karsa (“PT JEK”) – a subsidiary of KLK, in East Kalimantan this year. The following clarification statement is intended to respond to the above: The alleged area is located outside of PT JEK concession area (Figure 1). It is confirmed that there is no new land clearing at PT JEK for the year of 2019. PT JEK’s plantation development has been completed since 2014, and its palm oil mill receives FFBs from its own plantations and plasma only. |
G26 | Apr 2019 | Kwantas Group | Alleged forest clearance in Kwantas Pelita Plantation (Balingian) Sdn Bhd concession. Report is available here |
Mighty Earth | Indirect supplier. KLK representatives engaged with trading partner in Apr 2019.
Trading partner is engaging with Kwantas and the progress is monitored via their Grievance list. |
G25 | Apr 2019 | Anglo Eastern Plantations (“AEP”) | Alleged forest clearance in PT. Kahayan Agro Plantation concession. Report is available here |
Mighty Earth | Indirect suppliers. KLK representatives engaged with trading partners in Apr 2019.
Trading partners engaged with AEP. HCS-HCV assessments and a peer-review process were conducted. Evidence showed that the alleged cleared area actually occurred outside the HCV and HCS area which had been identified from the assessment. The HCS-HCV assessment is expected to be published by AEP in May 2019. |
G24 | Apr 2019 | Tsani Hutani Abadi Group | Alleged forest clearance in PT. Rayatama Jaya concession. Report is available here |
Mighty Earth | Indirect supplier. KLK representatives engaged with trading partner in Apr 2019.
Trading partner has engaged with Tsani Hutani Abadi and confirmed new purchases suspended since Oct 2018. |
G23 | Apr 2019 | Pactra Group | Alleged forest clearance in PT. Arjuna Sawit Utama concession. Report is available here |
Mighty Earth | Indirect supplier. KLK representatives engaged with trading partner in Apr 2019.
Trader has stopped purchases from Pactra Group since Oct 2018. |
July 2019 | Alleged land clearance preparation. Report is available here |
KLK representatives are engaging with SOPB team. | |||
G21 | Mar 2019 | Palma Serasih | Alleged forest clearance. Report is available here |
Mighty Earth | Indirect supplier. KLK representatives engaged with trading partner in Mar 2019.
Trading partner confirmed has stopped purchases from Palma Serasih. (Updated 3 July 2019) Survey of Population and Habitat of Orangutan was also conducted by Borneo Orangutan Survival foundation in May 2016. They also clarified its operational activities has obtained the legality and permits. |
July 2019 | Alleged land clearance preparation. Report is available here |
Indirect suppliers. KLK representatives are engaging with trading partners. | |||
G19 | Feb 2019 | Everbright Resources Corporation via PT Buana Tunas Sejahtera | Alleged peat forest clearance. Report is available here |
Mighty Earth | Indirect supplier. KLK representatives engaged with trading partner in Feb 2019.
Trader confirmed new purchases suspended since Oct 2018. |
July 2019 | PT Arvenasepakat, a part of Incasi Raya Group | Alleged forest clearance. Report is available here |
KLK representatives are engaging with Incasi Raya Group. | ||
July 2019 | Alleged peat development and land clearance preparation. Report is available here |
Mighty Earth | Indirect suppliers. KLK representatives are engaging with trading partners. | ||
G16 | Sept 2018 | NPC Resources | Alleged no public NDPE policy. Alleged clearance of forest including orangutan habitat and peatland forest by PT Sumber Alam Selaras (“PT SAS”). Greenpeace publication ‘’Final Countdown” dated Sept 2018 Report is available here |
Greenpeace | Indirect suppliers. KLK representatives engaged with trading partners in Sept 2018.
The progress is monitored via Grievance list of KLK trading partners. Updates include consultant engaged to assess compliance against NDPE requirements. |
G15 | Sept 2018 | IJM Corporation | Alleged no public NDPE policy. Greenpeace publication ‘’Final Countdown” dated Sept 2018 Report is available here |
Greenpeace | Indirect suppliers. KLK representatives engaged with trading partners on Sept 2018.
The progress is monitored via Grievance list of KLK trading partners. |
G14 | Sept 2018 | GAMA | Alleged no public NDPE policy. Greenpeace publication ‘’Final Countdown” dated Sept 2018 Report is available here |
Greenpeace | Indirect suppliers. KLK representatives engaged with trading partners in Sept 2018.
The progress is monitored via Grievance list of KLK trading partners. |
G13 | Sept 2018 | Djarum | Alleged no public NDPE policy. Greenpeace publication ‘’Final Countdown” dated Sept 2018 Report is available here |
Greenpeace | Indirect suppliers. KLK representatives engaged with trading partners in Sept 2018.
The progress is monitored via Grievance list of KLK trading partners. |
G12 | Sept 2018 | Sungai Budi Group / Tunas Baru Lampung | Alleged no public NDPE policy. Alleged forest clearance including peatland forest. Alleged breaches of community land rights. Greenpeace publication ‘’Final Countdown” dated Sept 2018 Report is available here |
Greenpeace | KLK representatives engaged with Sungai Budi Group/ Tunas Baru Lampung team in Sept 2018. Continual monitoring status.
Tunas Baru Lampung (“TBLA”) adopted and implemented Indonesian Sustainable Palm Oil (“ISPO”) guidelines. Several of TBLA’s estates have already obtained ISPO certification. For indirect suppliers, the progress is monitored via Grievance list of KLK trading partners. |
G11 | Sept 2018 | IOI Group | Alleged illegal planting, clearance of peatland and HCV forest including orangutan habitat. Alleged breaches of community land rights. |
Greenpeace | KLK representatives engaged with IOI group team in Sept 2018.
The case is now being handled by RSPO’s Complaints Panel (“CP”). IOI is working closely with the CP and there has been a considerable effort made to resolve the conflict in a new way. For indirect suppliers, the progress is monitored via Grievance list of KLK trading partners. |
Apr 2019 | PT Citra Sawit Cemerlang, a subsidiary of Genting Plantations Berhad | Alleged clearance of forest. Report is available here |
Mighty Earth | KLK representative engaged with Sustainability representative from Genting Plantations on 15 April 2019.
The representative informed that PT Citra Sawit Cemerlang has conducted High Carbon Stock Assessment in 2017 and the draft report is now being finalised by the assessor. It will then be submitted to HCSA for peer review process and they confirmed that a stop work order on new land clearing has been put in place. |
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G09 | Sept 2018 | First Resources | Alleged relationship between First Resources and PT Ciliandry Anky Abadi (“PT CAA”) Group. Greenpeace publication ‘’Final Countdown” dated Sept 2018 Report is available here |
Greenpeace | KLK’s representatives engaged with First Resources team in Sept 2018.
First Resources explained that PT CAA is neither a subsidiary, associated company, or related party of First Resources. First Resources also responded, there is no financial or operational relationship with PT CAA. For indirect suppliers, the progress is monitored via Grievance list of KLK trading partners. |
G08 | Sept 2018 | Bewani Oil Palm Plantations, Papua New Guinea | Alleged clearing of forests, licensing issues and land conflict. Report is available here |
Greenpeace / Mighty Earth | KLK representatives engaged with Prosper Group in September 2018 and subsequently on 28 December 2018 where KLK highlighted its revised Sustainability Policy and sought clarification on the allegations.
Prosper Group informed that a Sustainable Palm Oil Policy has developed and implemented since 1 October 2018. The company is also in the progress of obtaining MSPO Certification and target to be certified by next year. As for the Bewani Oil Palm Project in PNG, they informed that this is not owned nor managed by any of the existing companies under Prosper Group. The companies under Prosper Group is currently only having plantation operations within Peninsular Malaysia. Nonetheless, the individual Shareholder who is linked to the Bewani Oil Palm Project is currently considering various options with a decision expected to be made within the next two months. |
G07 | Mar 2018 | PT Citra Niaga Perkasa (“PT CNP”), PT Temila Agro Abadi (“PT TAA”), subsidiary of FGV |
Alleged clearing of forests and peatlands.
Report is available here |
Greenpeace | KLK representatives met with Sustainability and Engagement Team of FGV on 5 December 2018.
KLK team highlighted its revised Sustainability Policy and requested FGV to comment on the allegations under reference. FGV informed that they have put a stop work order on PT Citra Niaga Perkasa and PT Temila Agro Abadi since April 2018. An announcement on this commitment had been made public. FGV has also consulted Kementerian Lingkungan Hidup dan Kehutanan (“KLHK”) on the issue of deep peat. It added that water monitoring facilities have subsequently been installed in such areas as recommended by KLHK. Progress report on the water monitoring would be submitted to KLHK as per their advice. Restoration activity has started in the peat area categorised under ‘Protection’ that was cleared earlier and there would be no replanting in those areas. For existing peat area under ‘Economic’ category, their hydrological function would be maintained. On the labour rights allegation highlighted in the RSPO Complaints Panel Decision Letter, FGV confirmed that it was in the midst of preparing an action plan, targeted to be ready and made public by February 2019. |
28 Nov 2018 | Serting POM and its supply base, subsidiary of FGV | Alleged abuses over labour rights.
Report is available here |
Wall Street Journal / RAN | ||
G06 | 22 Oct 2018 9 Aug 2018 |
PT Menteng Jaya Sawit Perdana (“MJSP”) | Alleged land clearing activities on peatland. Satellite images are available here |
1. Bunge 2. Wilmar |
Inquiries were received from Wilmar and Bunge on the alleged land clearance on peatland at PT MJSP, a subsidiary of KLK, in Kalimantan.
The following clarification statement is intended to response to the above: The alleged land clearing is currently taking place in HTR area. It is conducted by Gapoktan as part of the above-mentioned project. In addition, there was oil palm planting (Y2009-2011) within the HTR area by PT MJSP. This land will eventually be surrendered to Gapoktan. |
G05 | 6 Nov 2018 | Indofood / Salim Group | Alleged legal and labour violations. Report is available here |
Rainforest Action Network (“RAN”) / Indonesian Labour Rights Association (“OPPUK”) / International Labour Rights Forum (“ILRF”) |
A complaint had been filed against PT PP London Sumatra Indonesia Tbk by RSPO Secretariat in October 2016 following the report published by RAN, OPPUK and ILRF. In November 2017, the RSPO Complaints Panel (“CP”) announced that an independent verification would be carried out to determine the veracity of the allegations. This independent verification was done on 8 June 2018 followed by a decision by RSPO CP dated 2 November 2018. It involves suspension of certificates of the audited units as well as demand for full audits of all other RSPO-certified units of Indofood’s palm oil subsidiary within three months.
KLK has put on hold purchases from Indofood with effect from September 2016 pending a concrete action plan from Indofood / Salim to be made public. |
G04 | 12 Apr 2018 | PT Persada Kencana Prima, a subsidiary of TH Plantation Berhad, in North Kalimantan, Indonesia |
Alleged clearance of forested peatlands. Report is available here |
Chain Reaction Research / GreenPeace | KLK representatives met with Sustainability Team of THP on 20 August 2018.
KLK team reiterated its Sustainability Policy and sought clarification on the allegations. THP informed that they have put a stop work order on PT Persada Kencana Prima and Hydroflow Sdn Bhd since July 2018. The stop work order continues, pending a Board decision on the Group’s Sustainability Policy and Commitments which would be made public. A follow-up meeting was held between KLK representatives and Sustainability Team of THP on 24 April 2019. THP confirmed that the stop work order continues on Hydroflow since July 2018 and there are no heavy machineries placed within the estate. They also informed that no funds have been channeled to Hydroflow for any further development. THP shared that their Board has endorsed the Group’s Sustainability Policy and the Policy is now being finalised by Sustainability team and will shared with all suppliers by May 2019. The Company is in the midst of revamping their corporate website and this Policy will be published once the website is live. |
G03 | 17 Nov 2017 | PT Kahayan Agro Plantation (“PT KAP”), a subsidiary of Anglo Eastern Plantations | Alleged deforestation, land conflict, licensing issues and sourcing of non-compliant palm products. Report is available here |
Mighty Earth | Representatives from KLK engaged with those from Anglo Eastern Plantations (“AEP”) on 17 April 2018. The former reiterated its Sustainability Policy and sought clarification on the allegations.
AEP is committed to conduct HCS assessment using HCS Approach methodology for all new development area. There is no plan to have new expansion in peat land area. For existing plantations in peat, the company will adopt best management practice. On 18 May 2018, AEP updated its commitment towards Environmental and Corporate Responsibility which include a statement of no planting of primary forest which is now published on its corporate website. KLK representatives has engaged with AEP on 26 June 2019. AEP representative shared that AEP has just released the Sustainability Policy on 15 June 2019. They informed that PT KAP has completed the HCS assessment and the report has submitted to HCSA for peer review process. They confirmed that all land clearing activities have been suspended since 3 June 2019 while waiting for the outcome of the peer review process by HCSA. |
G02 | 3 Nov 2017 | Myanmar Stark Prestige Plantation (“MSPP”), a subsidiary of the Samling Group in Myanmar | Alleged deforestation, land grabs and indigenous rights violations.
Report is available here. |
GreenPeace / Mighty Earth | KLK representatives engaged with Samling Group on 29 January 2018 and subsequently on 27 December 2018 where KLK reiterated its Policy and sought clarification on the allegations.
They clarified its position on the allegations that are backed with supporting documents concerning their operation in Myanmar. Moratorium on land clearing activities on their Myanmar operation started since February 2017. HCV assessment has been conducted for the plantation in Myanmar by a licensed HCVRN assessor and activities to resume guided by the HCV assessment. |
20 Dec 2018 | Samling-Lana Plantations, a subsidiary of the Samling Group in Sarawak | Alleged clearing of forest.
Report is available here. |
We were told that Samling was in the process of divesting their PNG concession in 2017. The divestment process had completed in early 2018. Samling has also committed to a moratorium on land clearing activities in their Indonesia operation.
On the forest clearance allegation highlighted in Mighty Earth Rapid Response Report 11, Samling Group informed that the areas highlighted at Samling-Lana Plantations was actually harvesting of acacia trees planted within the Samling Group’s Licensed Planted Forest (“LPF”) concession and not oil palm. KLK representative has engaged with Samling Group on 10 June 2019. Samling Group confirmed that there is no new planting for oil palm in Jelalong LPF. The activities in the area was actually harvesting of acacia trees which were planted under the Licensed Planted Forest concession. |
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10 Jun 2019 | Jelalong LPF, a subsidiary of the Samling Group in Sarawak | Alleged clearing of forest.
Report is available here. |
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July 2019 | Syarikat Samling Timber Sdn Bhd (“LPF 0014”), a subsidiary of the Samling Group in Sarawak | Alleged clearing of peat.
Report is available here. |
KLK representative has engaged with Samling Group on 28 July 2019.
Samling Group confirmed that the area stated in report is for Industrial Tree Planting which has the Licensed Planted Forest (“LPF”) license and the area is planted with forest species. |
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G01 | 20 Feb 2015 | Austindo Nusantara Jaya Agri (“ANJ”), in Sorong, West Papua, Indonesia | Alleged clearance of potential High Carbon Stock (“HCS”) forest. Related media article is available here. |
Mongabay | KLK has initiated the first engagement with Austindo Nusantara Jaya Agri (“ANJ”) on 6 October 2016 and subsequently in November 2016 and 16 March 2017. ANJ has officially adopted a comprehensive “No Deforestation, No Peat, No Exploitation” (“NDPE”) policy” in November 2016. KLK has put on hold purchases with effect from December 2016 pending a concrete action plan from ANJ to be made public. |
As at: 20 December 2018
This grievance redressal list merely states what we are aware of at present, based on information gathered or feedback by direct or indirect suppliers at the time of publication. The information or decisions stated herein may not be relied upon for purposes of regulatory compliance, litigation or for similar purposes.