Friday, 28 July 2017 | 17:42 WIB

Malaysia‘s Leading Global Agribusiness Denies Deforestation Claims in Kalimantan

Felda Global Ventures Holdings Bhd (FGV) has refuted claims of deforestation of natural forest at PT Temila Agro Abadi (PT TAA)'s land in West Kalimantan, Indonesia. (The Ecologist)

KUALA LUMPUR, NETRALNEWS.COM - Felda Global Ventures Holdings Bhd (FGV) has refuted claims of deforestation of natural forest at PT Temila Agro Abadi (PT TAA)'s land in West Kalimantan, Indonesia.

FGV said it had appointed a third party independent assessor based in Indonesia, via its wholly-owned subsidiary Felda Global Ventures Kalimantan Sdn Bhd (FGVK), to conduct a verification assessment on the allegations and reporting by Chain Reaction Research (CRR) and its partner, Aidenvironment.

On the contrary, FGV said PT TAA's natural forest had been completely destroyed by massive forest fires in the 1980's and in 1997, by continuous logging operations by timber companies and by the local communities before it acquired the PT TAA's land.

FGV has also complied with Roundtable on Sustainable Palm Oil (RSPO) New Planting Procedure (NPP) 2010 and procured all necessary approvals from the relevant authorities in Indonesia in respect of the development of PT TAA's land which commenced in late 2014.

Observations and measurements by the Assessor show that the buffer zone area in the east side of PT TAA's concession has not been damaged by land clearing and there is no encroachment in the identified High Conservation Value (HCV) areas.

"There are no repeated offences related to peat forest clearance by PT TAA or PT Citra Niaga Perkasa (PT CNP). The clearance in 2015 of HCV area in PT CNP was made at the instructions of the local community to the contractor without PT CNP's knowledge and approval.

"The incident has been reported by FGV to the RSPO in 2016 and a satisfactory solution has been agreed upon. No other offences have taken place since then. Therefore, FGV denies that it is a serious repeat offender of RSPO Principles & Criteria," it said.

FGV also wishes to inform that the No Deforestation Peat and Exploitation (NDPE) policies of its customers prescribe strict requirements regarding plantings on peat soil. By establishing the Group Sustainability Policy in August 2016, FGV has displayed its commitment to the customers'' NDPE and shall ensure that all its future land acquisitions are in compliance with its customers'' NDPE policies.