PT Usaha Agro Indonesia Audit Report

RSPO PRINCIPLES AND CRITERIA
PUBLIC SUMMARY REPORT
PT SAMPOERNA AGRO TBK

PT USAHA AGRO INDONESIA
(USAHA AGRO INDONESIA PALM OIL MILL AND ITS SUPPLY BASE)
Jambi Village, Manis Mata Sub-District, Ketapang District, West

Kalimantan Province, Indonesia
RSPO Membership No.: 1-0031-07-000-00
Certificate No.
Issue Date
Expiry Date
Assessment Type Date of Assessment

Main Assessment 18-21 December 2017
Annual Surveillance Assessment 01
PC03 Public Summary Report-Generic (V4) Page 1 of 106 Rev. Date : 24 April 2018
PUBLIC SUMMARY INFORMATION
Certification Unit’s Information
Company Name PT Usaha Agro Indonesia
Parent Company
PT Sampoerna Agro Tbk
Name
Location Address:
Jambi Village, Manis Mata Sub-District, Ketapang District, West Kalimantan Province
Company Address
Head Office Address:
Jl. Basuki Rahmat, No. 788, Palembang, South Sumatera Province, Indonesia
Country Indonesia
Ms. Yusi Rosalina Phone:

Manager +62 812 712 382 26 / 0711 813 388
Contact Person Contact Details
(Sustainability and Certification) Fax:
+62 0711 811 585
yusi.rosalina@SampoernaAgro.co
Company e-mail Website
m
Certification Scope PT Usaha Agro Indonesia Palm Oil Mill and its Supply Bases
Supply Chain Module Module E: CPO Mills- Mass Balance
POM Capacity 45MT/Hour Total Estates 03 estates
Annual FFB Produced (MT) 124,239 (projected figure for Jan to Dec 2018)
PalmTrace License: RSPO_PO1000006365 License Validity: n/a
Information of Last License Year (PalmTrace) - Not Applicable for Main Assessment
Certified CSPO: n/a Certified CSPK: n/a
Actual CSPO Sold: n/a Actual CSPK Sold: n/a
Actual PK Sold (Other

Actual PO Sold (Other Scheme) n/a n/a
Scheme)
Actual PO Sold (Conventional) n/a Actual PK Sold (Conventional) n/a
Information of This License Year (PalmTrace)
Annual CSPO Produced (MT) 14,659.43 Annual CSPK Produced (MT) 2,638.70
TABLE OF CONTENTS
1. Scope of the certification assessment ............................................................................................. 6
1.1 Introduction ........................................................................................................................................ 6
1.2 Location and Description of the Certification Unit ................................................................................ 6
1.3 Description of Supply Base and Palm Oil Mill Processing Capacity ..................................................... 7
1.4 Date of Planting and Cycles ............................................................................................................... 7
1.5 Other Certification Held by the Certificate Holder ................................................................................ 8
1.6 Organizational Information/Contact Person ........................................................................................ 9
1.7 Time-bound Plan/Progress against Time Bound Plan ......................................................................... 9
1.8 Partial certification.............................................................................................................................. 9
2. Assessment Process ....................................................................................................................... 12
2.1 Assessment Methodology and Program .............................................................................................12
2.2 Date of Next Surveillance Visits .........................................................................................................12
2.3 Lead Assessor and Assessment Team Qualification ..........................................................................12
2.4 Certification Body Background...........................................................................................................16
2.5 Stakeholder Consultation Process .....................................................................................................16
3. Assessment Findings ...................................................................................................................... 17
3.1 Summary of Findings ........................................................................................................................17
3.2 Principles and Criteria for Production of Sustainable Palm Oil (2013) - Generic .................................17
Principle 1: Commitment to Transparency ...................................................................................................17
Principle 2: Compliance with Applicable Laws and Regulations ...................................................................19
Principle 3: Commitment to Long-Term Economic and Financial Viability ....................................................25
Principle 4: Use of Appropriate Best Practices by Growers and Millers .........................................................26
Principle 5: Environmental Responsibility and Conservation of Natural Resources and Biodiversity .............43
Principle 6: Responsible Consideration of Employees and of Individuals and Communities Affected by Growers
and Millers ..................................................................................................................................................51
Principle 7: Responsible Development of New Plantings ..............................................................................63
Principle 8: Commitment to Continuous Improvement in Key Areas of Activity .............................................74
3.3 Supply Chain Requirements ..............................................................................................................76
3.4 Non-Conformances Raised in this Assessment ..................................................................................78
3.5 Status of Non-Conformities Previously Identified ...............................................................................78
3.6 Noteworthy Positive Comments .........................................................................................................78
3.7 Issues Raised by Stakeholders ..........................................................................................................78
4. Certified organization’s acknowledgement of internal responsibility .......................................... 79
4.1 Assessment Conclusion and Recommendation .................................................................................79
4.2 Acknowledgement of Internal Responsibility and Formal Sign-off Assessment Findings .....................79
End of Report .......................................................................................................................................... 106
LIST OF TABLES
Table 1: Location of the Supply Base...................................................................................................................... 6
Table 2: Location and Capacity of the Palm Oil Mill ................................................................................................ 6
Table 3: Crop Projection and Yield ......................................................................................................................... 7
Table 4: Land Profiles of Supply Base .................................................................................................................... 7
Table 5: Age Profiles for the Supply Base ............................................................................................................... 8
Table 8: Auditors Profile and Qualification ............................................................................................................ 12
LIST OF ABBREVIATION
Short Form Meanings

CHRA Chemical Health Risk Assessment
CPO Crude Palm Oil
CU Certification Unit
EFB Empty Fruit Bunch
EIA Environment Impact Assessment
EMS Environmental Management System
EQA Environmental Quality Act
ERT Endangered, Rare and Threatened species
FFB Fresh Fruit Bunches
Ha Hectare
HCV High Conservation Value
IPM Integrated Pest Management
ISO International Organization for Standardization
IUCN International Union for Conservation of Nature and Natural Resources
K Potassium
kW Kilowatt
m Meter
Mg Magnesium
mm Millimeter
MT Metric ton
N Nitrogen
NGO Non Governmental Organization
OER Oil Extraction Rate
OSH Occupational Safety & Health
P Phosphate
P&C Principles and Criteria
PK Palm Kernel
POM Palm Oil Mill
POME Palm Oil Mill Effluent
PPE Personal Protective Equipment
SOP Standard Operating Procedures
Sdn Bhd Sendirian Berhad (Private Limited)
SEIA Social and Environment Impact Assessment
Sg Sungai
SOP Standard Operating Procedures
WHO World Health Organization
1. SCOPE OF THE CERTIFICATION ASSESSMENT
1.1 Introduction
The assessment for PT Sampoerna Agro Tbk (PT Usaha Agro Indonesia) has been conducted against
Roundtable on Sustainable Palm Oil (RSPO) Principles and Criteria for the Production of Sustainable Palm
Oil 2013 (Indonesia National Interpretation of RSPO Principles and Criteria for Sustainable Palm Oil
Production 2016) and RSPO Supply Chain Certification Standard dated 21 November 2014 by Bureau Veritas
Certification Hong Kong Limited on 18-21 Dec 2017.
Scope of the certification assessment certification includes the production of Usaha Agro Indonesia Palm Oil Mill
and its supply base according to the RSPO standard requirement stated above.
PT Sampoerna Agro Tbk is a member of RSPO since January 2007 with membership number 1-0031-07-000-00.
The Certification Unit (CU) is located in Jambi Village, Manis Mata Sub-District, Ketapang District, West Kalimantan
Province, Indonesia which consist of 3 directly Managed Estates. Total combined land areas of the CU are 8,287.20
Ha of which; 6,782.35 Ha had been planted with oil palm.
Sampoerna Agro Group was established since 1970s (through the establishment of PT Aek Anum) as a company
involved mainly in planting of oil palm. In 1993, PT Sampoerna Agro Tbk (initially known as PT Selapan Jaya) was
incorporated to operate oil palm plantation in South Sumatra, Indonesia, in the district of Ogan Komering Ilir. As at
Dec 2006, it has a total planted area of 60,150 hectare oil palm plantations, of which 39,927 ha belongs to
independent smallholders (plasma) and 20,223 ha belongs to the company. Ninety percent of this planted hectarage
is mature. Currently, the total milling capacity of PT Sampoerna Agro Group is 320 tonnes FFB per hour. PT
Sampoerna Agro Tbk produces Crude Palm Oil, Palm Kernel and oil palm planting material (DxP Sriwijaya 1 to DxP
Sriwijaya 5).
1.2 Location and Description of the Certification Unit

Overview of the Palm Oil Mill and its supply base location is simplified in the Table 1 and Table 2 below. Details and
location maps of the supply base for the CU can be referred in Appendix 6, respectively.
Table 1: Location of the Supply Base
GPS Coordinate
No. Name of the Supply Base Location Address
Longitude Latitude
1 Ulin Agro Estate 02° 40‟ 36.3" S 111° 01‟ 45.4" E Jambi Village, Manis Mata
Sub-District, Ketapang
2 Kruing Agro Estate 02° 41' 5.71" S 110° 58' 53.66" E
District, West Kalimantan
3 Meranti Agro Estate 02° 37' 1.2" S 110° 56' 27.6" E Province, Indoensia
Table 2: Location and Capacity of the Palm Oil Mill

Plant GPS Coordinate
Name of the Palm
Capacity Location Address
Oil Mill Longitude Latitude
(MT/Hour)
Jambi Village, Manis Mata
Usaha Agro
Sub-District, Ketapang
Indonesia Palm Oil 45 02° 41‟ 00.4” S 110° 58‟ 32.0” E
District, West Kalimantan
Mill
Province, Indoensia
1.3 Description of Supply Base and Palm Oil Mill Processing Capacity
The FFB is sourced from plantation which is directly managed by the CU as listed above. The budgeted crop yields
from each estate are listed in Table 3 below. Details of transactions for the Certification Unit are tabulated in
Appendix 7.
Table 3: Crop Projection and Yield

Actual Production for this Audit Year (MT) Projected Production for next 12 Months (MT)
Actual + Projection (Jan to Dec 2017) Projection (Jan to Dec 2018)
FFB CPO PK FFB CPO PK
81,850 19,740.51 2,935.50 124,239 31,059.85 5,590.77
Remark: FFB productions in the previous year (Jan-Dec 2017) and in the next 12 months are combination of the
FFB supplied by their supply bases and independent smallholder. Based on the past production record, the OER has
reached 25% because the POM is still new facility which allow the efficiently of the POM production.
1.4 Date of Planting and Cycles

1.4.1 Date of planting
The details of the CU certified area and its planting profiles are described in Table 4 and Table 5.
Table 4: Land Profiles of Supply Base
Planted Area (Ha) Un-Planted Area (Ha)

Total
Name of the
Titled Other
Facilities /
Supply Base Oil Palm agricultural HCV Conservation
Area (Ha) Others*
products
Ulin Agro Estate 2,446.91 2,108.55 - 58.97 - 279.39

Kruing Agro
2,589.00 2,209.08 - 145.65 - 234.27
Estate
Meranti Agro
3,251.29 2,464.72 - 22.47 - 764.10
Estate
TOTAL 8,287.20 6,782.35 - 227.09 - 1,277.76
*Facilities/others include storage, housing, roads, etc.
Tables below show the details of the year of establishment of the CU‟s supplying estates and their planting profiles.
Table 5: Age Profiles for the Supply Base
Age & Year of Oil palm planted area at each estate(ha)

Plantings Ulin Agro Estate Kruing Agro Estate Meranti Agro Estate
Mature area (ha)
2006 - - 338.61
2007 - - 522.9
2008 114.27 999 687.84
2009 166.40 - -
2010 174.53 415.91 580.79
2011 71.17 - -
2012 192.18 166.2 -
2013 43.35 400.52 295.32
2014 1,165.17 66.93 39.26
Total 1,927.07 2,048.72 2,464.72
Immature area (ha)
2015 150.89 - -
2016 30.59 15.67 -
2017 - 144.69 -
Total 181.48 160.36 -
GRAND TOTAL 2,108.55 2,209.08 2,464.72
st
Note: All of the above planted oil palm are 1 cycle plantation
LUCA has been conducted by the company on February 2016 and since then the report has been reviewed twice
with the latest was done in 26 September 2017. Based on the LUCA report, there are a total of 5,697 ha has been
designated as an area deemed to be raw liability. Table 6 of the Report indicates that there is no liability borne by the
company for area owned by the company that has been cleared from Dec 2007 to 31 Dec 2009 and 1 Jan 2010 to 9
May 2014.
1.4.2 Replanting program

Not Applicable. As reflected in the earlier table, all planted oil palm are 1st cycle.
1.5 Other Certification Held by the Certificate Holder

The CU is currently did not hold any certification.
1.6 Organizational Information/Contact Person
The contact person for the Certification Unit is as below:
Contact Person : Ms. Yusi Rosalina

Position : Manager (Sustainability and Certification)
Company Name : PT Usaha Agro Indonesia
Jl. Basuki Rahmat, No. 788, Palembang, South Sumatera Province,
Company Address :
Indonesia
Telephone No. : +62 812 712 382 26 / 0711 813 388
Fax No. : +62 0711 811 585
e-mail Address : yusi.rosalina@sampoernaagro.com
1.7 Time-bound Plan/Progress against Time Bound Plan

See Appendix 1.
1.8 Partial certification

1.8.1 General
Organizations that have a majority shareholding* in and/or management control of more than one autonomous
company growing oil palm will be permitted to certify individual management units and/or subsidiary companies only
if all the following are complied with the requirements mentioned below.
*Majority shareholding: the largest shareholding. Where the largest shareholdings are equal (e.g. 50/50) this applies
to the organisation that has management control
Requirement Findings/Compliance
The parent organization or one of its majorities owned PT Sampoerna Agro Tbk Indonesia is a registered
and/or managed subsidiaries is member of RSPO. member with RSPO as ordinary member 1-0031-07-
000-00 since 9 January 2007.
PT Sampoerna Agro Tbk owned 10 production units
consisting palm oil mill and estates. This has been
verified against latest ACOP documents submitted to
RSPO.
For groups with complex management structures the All units under PT Sampoerna Agro Tbk are managed
following are required: by same legal entity.
a. A statement of the ultimate controlling shareholders
and directors in the managing agency
company/companies.
b. Ditto in respect of each of the operating groups.
c. Application for membership by the top asset owning
company/companies.
d. (d) Application for membership by the managing
agency company/companies
- If one of above mentioned requirements is non-compliant, this leads to a major non-conformity.
The following requirements about a time bound plan (1.8.2) and requirements for uncertified management units and/
or holdings (1.8.3) are applicable, if the registered RSPO member is the holding company or one of its subsidiaries.
1.8.2 Requirements for Time Bound Plan
A challenging time-bound plan for certifying all its Refer Appendix 1 for the timebound plan. The audit
relevant entities (Relevant entities - including both the team observed that a challenging time bound plan has
business units and parent company(s)‟ commitment to been established as determined by memorandum of PT
RSPO, membership status and involvement with palm Sampoerna Agro Tbk Management Commitment signed
oil for each subsidiary) is available. by CEO on June 01, 2015.
The time-bound plan should contain a list of This is the 2nd revised time bond plan of PT
subsidiaries, estates and mills. Sampoerna Agro Tbk. Considering the readiness of all
subsidiaries palm oil mill and estates under PT
Sampoerna Agro Tbk.
The time bound plan is appropriate (in particular, the It was evaluated that the time bound plan has been
time scale is sufficiently challenging, taking into account established appropriately within 5 years period. There is
circumstances around each entity), taking into account no land issues arise in the all units under the company‟s
comments received from stakeholders following the management as of the date of the audit.
public consultation process.
What is the progress of this plan since the last audit? (if Not applicable.
the last audit was done by another CB, the time-bound
plan shall be accepted at the moment of first This is Main Assessment of the company.
acceptance and only check continued appropriateness
shall be checked).
Are there any revisions to the time-bound plan or to the Not applicable.
circumstances of the company?
This is Main Assessment of the company.
If the previous question was answered with yes, the plan Not applicable.
shall be reviewed for whether it is still appropriate, such
that changes to the time-bound plan are permitted only This is Main Assessment of the company.
where the organisation can demonstrate that they are
justified. The requirements will also apply to any newly
acquired subsidiary from the moment that the company
is legally registered with the local notary or chamber of
commerce (or equivalent).
Where there are isolated lapses in implementation of a time-bound plan, a minor non-compliance is raised. Where
there is evidence of systematic failure to proceed with implementation of the plan, a major non-compliance is raised.
1.8.3 Requirements for Uncertified Management Units/or holdings

No replacement of primary forest or any area identified Two new company established under the company i.e.
as containing High Conservation Values (HCVs) or PT Anugrah Palm Indonesia and PT Keduran Prakarsa
required to maintain or enhance HCVs in accordance Nabati is currently under certification process for New
with RSPO criterion 7.3. Any new plantings since Planting procedure.
January 1st 2010 must comply with the RSPO New
Plantings Procedure.
Land conflicts, if any, are being resolved through a The audit team observed that there are ongoing land
mutually agreed process, e.g. RSPO Grievance conflicts in several subsidiaries of PT Sampoerna Agro
procedure or Dispute Settlement Facility, in accordance Tbk with example are as follows:
with RSPO criteria 6.4, 7.5. and 7.6.
 Sumber Sawit estate with has land dispute with total
area 163.19 Ha, this is consist of: land area dispute
with Sidomukti (C3) village about 52.19 Ha (in divi-
sion III); and division V about 27 Ha with Dabuk
Makmur village, and while for 84 Ha still not identi-
fied.
 Sumber Sawit estate with community from Dabuk
Makmur village for 75 Ha, this area was HCV area
and community want transferred this area become
smallholder (palm oil), and until surveillance there is
no agreement to solved this, and company already
carried out meeting to solved this, evidence by
minutes of meeting on November 14, 2015, and the
community did not want to signed the minutes of
meeting.
Further verification indicates that there has been action
taken to resolve the above conflict.
Labour disputes, if any, are being resolved through a There is no labour dispute in all subsidiaries PT
mutually agreed process, in accordance with RSPO Sampoerna Agro Tbk.
criterion 6.3.
Legal non-compliance, if any, are they being resolved in There are two management units under Sampoerna
accordance with the legal requirements, with reference Agro that have not complied with certain legal
to RSPO criteria 2.1. requirements, i.e. PT Sungai Rangit and PT Mutiara
Bunda Jaya, which is regarding the land title.
Further verification indicates that the company has
taken action by inviting the National Land Agency (BPN)
to remeasure the land and resolve the issue. The
process is still ongoing.
- For requirements above, the definition of major and minor non-compliance is stated in the RSPO P&C.
- For example, if non-compliance against a major indicator in a non-certified holding/management unit is

identified, the current certification assessment cannot proceed to a successful conclusion unless that is actively
addressed;
- Failure to address any outstanding non-compliance may lead to certificate suspension(s), in accordance with the
provisions of these Certification Systems.
2. ASSESSMENT PROCESS
2.1 Assessment Methodology and Program
The assessment was conducted on 18 Dec 2017 to 21 Dec 2017 covering onsite audit involving 03 estates of the
certification unit respectively. The audit covers documentation review, internal procedures, management system,
field inspection as well as identification of any significant issues for both environment or social issues. Details of the
actual assessment programme are given in Appendix 2 (Audit Plan). A sample of stakeholders was consulted during
the assessment to get their feedback on the management doing.
The assessment was conducted based on sampling approach in which regulated under RSPO Certification System
for Principles and Criteria (June 2007). Therefore, total numbers of supply based assessed in the audit are 02
estates. Nevertheless, as this is the Main Assessment, the audit team has taken action to visit all of the estates
given that there are only 3 estates under this production unit.
For the purpose of sampling audit, risk assessment of the group member and group manager was carried out prior
to the certification assessment through the documentation. The risk assessment will based on factors i.e.
geographically as well as socioeconomically, there are current replanting activities (very small scale due to the size
of smallholder), there are new members, the group is well established.
2.2 Date of Next Surveillance Visits

Bureau Veritas Certification shall undertake the first annual surveillance audits within twelve months of the certificate
issue date, but not earlier than eight months after the certificate issue date (For Main Assessment). The subsequent
annual surveillance audits shall be undertaken within twelve months of the license expiration dates, but not earlier
than eight months after the expiration date (Palm Trace License).
2.3 Lead Assessor and Assessment Team Qualification

Bureau Veritas Certification holds copies of educational qualifications, certificates and audit logs for each of the audit
team members. This assessment has been conducted by 03 approved assessors which hold sufficient qualification
and experiences to conduct RSPO Assessment. Summary of auditors‟ background and qualifications are listed in
Table 8 below.
Table 6: Auditors Profile and Qualification
Assessment Team Leader: Muhammad Shazaley Abdullah (MSA) – cum Witness Auditor
Requirements Description
A minimum of post high school (post-secondary school) MSA earned the degree in B. Sc. (Hons) Forestry
training in either agriculture/forestry, environmental Science from Universiti Malaysia Sabah since 2008.
science or social sciences;
At least 5 years professional experience in area of work MSA has been working as Cadet Assistant of Oil Palm
relevant to the assessment (e.g., palm oil management; Plantation company since 2009.
agriculture/forestry; ecology; social science);
He then continues his career as Research Executive in
Bio-Fertilizer (Mychorriza sp.) related to oil palm
development.
Since 2012, MSA has joined SGS Malaysia Sdn Bhd as
RSPO Auditor and has qualified as RSPO Lead Auditor
in 2013.
Training in the practical application of the RSPO MSA has undergone RSPO Endorsed Lead Auditor
criteria, and RSPO certification systems; Course conducted by Wild Asia in 2013 (2013-SSP02-
0044).
Successfully completion of an ISO 9000:19011 lead MSA has successfully completed ISO 9001:2008 Lead
assessors course; Auditor Course conducted by Neville Clarke in 2013
(A17399).
A supervised period of training in practical assessment MSA has conducted more than 50Mandays of RSPO
against the RSPO criteria or similar sustainability P&C; ISCC or MSPO assessment as Auditor and Lead
standards, with a minimum of 15 days assessment Auditor more than 3 different organizations.
experience and at least 3 assessments at different
organisations. He has been evaluated by RSPO Accreditation Body
(ASI) and Department of Standard Malaysia (DSM) for
his auditing performance.
For internal BVC qualification process, he has been
witness by Dr. Chaiyaporn Seekao as Lead Auditor in
June 2017.
Team Member(s): Mohd Faisal Jaafar (MFJ) and Andrew Michael (AM) - Auditor under Witness
Requirement Team Members Name Description
Field working experience in the palm MSA has been working as Cadet
oil sector, or demonstrable Assistant of Oil Palm Plantation
equivalent. company since 2009.
He then continues his career as
Research Executive in Bio-Fertilizer
M. Shazaley Abdullah (Mychorriza sp.) related to oil palm
development.
Since 2012, MSA has joined SGS
Malaysia Sdn Bhd as RSPO Auditor
and has qualified as RSPO Lead
Auditor in 2013.
MFJ is a forester by education and
working background. He graduated
from Universiti Putra Malaysia in
Forestry Science.
He has been qualified as RSPO
Mohd Faisal Jaafar (MFJ) P&C Lead Auditor under SGS
Malaysia Sdn Bhd since 2012.
He has been assessing various oil
palm plantations company under
various certification standards
(ISCC, MSPO, RSPO, etc.).
AM is a retire from Sime Darby
Plantation as Sustainability Head.
He has been working directly in oil
palm plantation for more than 25
Andrew Michael (AM) years.
He is also involve in certification
audit when he is working as Internal
Assessor covering RSPO, ISO and
OHSAS.
Good Agricultural Practices (GAP), MSA is direct experience in GAP,
and Integrated Pest Management IPM and fertilizer usage when
(IPM), pesticide and fertilizer use. working as Cadet Assistant in oil
palm plantation company and by
training.
M. Shazaley Abdullah
Auditing oil palm certification
standard has exposed his
qualification and understanding in
GAP, IPM, chemicals usage and
manuring.
MFJ is a qualified auditor for RSPO
Mohd Faisal Jaafar (MFJ) P&C. Experience in auditing oil palm
plantation and operating certification
standard (Malaysian Timber
Certification System - MTCS) has
exposed him to the GAP.
He has undergone various training
related to GAP and IPM in forestry
and oil palm plantation.
AM has been working in oil palm
plantation for more than 25 years in
Sime Darby Plantation. Although he
is not directly manage the oil palm
plantation, however he has involved
in certification compliances during
his service in Sime Darby
Plantation. He and his team are
Andrew Michael (AM) responsible to assess compliances
and performance of oil palm
plantations under SDP towards their
internal documented procedure
(Agricultural Reference Manual).
He has strong knowledge in Legal
Requirements, Safety and Social
aspects related to RSPO P&C.
Health and safety auditing on the MSA has been working in oil palm
farm and in processing facilities, for plantation in 2009.
example OHSAS 18001 or M. Shazaley Abdullah
Occupational, Health & Safety He has undergone series of training
Assurance System. which includes health and safety in
oil palm plantation and operations.
MFJ is experienced in operating and
auditing forestry and oil palm
Mohd Faisal Jaafar (MFJ)
plantation. He has been qualified as
RSPO P&C Auditor since 2012.
AM has been working in oil palm
plantation for more than 25 years in
Sime Darby Plantation.
Although he is not directly manage
the oil palm plantation, however he
has involved in certification
compliances during his service in
Sime Darby Plantation.
He and his team are responsible to
Andrew Michael (AM) assess compliances and
performance of oil palm plantations
under SDP towards their internal
documented procedure (Agricultural
Reference Manual).
He has strong knowledge in Legal
Requirements, Safety and Social
aspects related to RSPO P&C. He
has undergone and successfully
completed OHSAS and EMS Lead
Auditor course in 2007 & 2008.
Worker welfare issues and social MSA has been working in oil palm
auditing experience, for example plantation in 2009.
with SA8000 or related social or
ethical accountability codes. M. Shazaley Abdullah He has undergone series of training
which includes workers welfare
issues and social in oil palm
plantation and operations.
Mohd Faisal Jaafar (MFJ) MFJ is experienced in operating and

auditing forestry and oil palm
plantation.
He has been qualified as RSPO
P&C Auditor since 2012. He has
been working closely with social
expert and been witnessed by ASI to
evaluate his capacity in auditing
social requirements on oil palm
industries.
AM is experienced in sustainability
audit. He has been involved in
internal EMS, Social and RSPO
audit since more than 20 years.
He and his team in Sime Darby
Andrew Michael (AM) Plantation have travel worldwide to
perform internal evaluation related
to environmental, safety, social and
RSPO implementation at all estates
or facilities belongs to Sime Darby
Plantation.
Environmental and ecological MSA has been working in oil palm
auditing, for example experience plantation in 2009.
with organic agriculture, ISO 14001
or Environmental Management M. Shazaley Abdullah He has undergone series of training
Systems (EMS). which includes environmental
protection and management in oil
palm plantation and operations.
MFJ has attended ISO 14001 Lead
Mohd Faisal Jaafar (MFJ) Auditor course. He is qualified
RSPO P&C auditor since 2012.
AM is experienced in sustainability
audit. He has been involved in
internal EMS, Social and RSPO
audit since more than 20 years.
He and his team in Sime Darby
Andrew Michael (AM) Plantation have travel worldwide to
perform internal evaluation related
to environmental, safety, social and
RSPO implementation at all estates
or facilities belongs to Sime Darby
Plantation.
Fluent in Local Language and M. Shazaley Abdullah
English All of the team members are fluent
Mohd Faisal Jaafar (MFJ) in English and Indonesian (local
language).
Andrew Michael (AM)
2.4 Certification Body Background
Created in 1828, Bureau Veritas is a global leader in Testing, Inspection and Certification (TIC), delivering high
quality services to help clients meet the growing challenges of quality, safety, environmental protection and social
responsibility.
As a trusted partner, Bureau Veritas offers innovative solutions that go beyond simple compliance with regulations
and standards, reducing risk, improving performance and promoting sustainable development. Bureau Veritas core
values include integrity and ethics, impartial counsel and validation, customer focus and safety at work.
Bureau Veritas is recognized and accredited by major national and international organizations. RSPO accreditation
status of Bureau Veritas has been obtained by Bureau Veritas Certification Hong Kong Limited (BVC HK) since 2nd
Jun 2014. The RSPO accreditation number for BVC HK is RSPO-ACC-012 for the scopes of P&C (Single Site &
Group) and SCCS worldwide. It was transferred from Bureau Veritas Singapore Pte. Ltd.
2.5 Stakeholder Consultation Process

Bureau Veritas initiated the Public Stakeholder Notification (internal and external) by announcing an invitation for
feedback in the RSPO and Bureau Veritas websites on 11 November 2017 as details in web-link below.
https://rspo.org/uploads/default/pnc/PT_Usaha_Agro_Indonesia_IC_PC14_Public_Announcement_(EN).p
df
In addition, Bureau Veritas had also sent the invitation through e-mails and letters to all the relevant stakeholders,
including government agencies and Non-Governmental Organizations (NGOs) before the actual assessment is
performed.
Meetings and interview with the relevant stakeholders has been arranged during the on-site assessment without
interference from members of the group. Meetings were held with stakeholders to seek their views on the
performance of the Certification Unit (CU) with respect to the RSPO requirements and aspects where they
considered that improvements could be made; these included environmental interest groups, local government
agencies and relevant authorities, social groups, and workers‟ unions etc. At the start of each meeting, the assessor
explained the purpose of the audit followed by an evaluation of the relationship between the stakeholder and the
company before discussions proceeded. The interviewer recorded comments made by stakeholders and these have
been incorporated into the assessment findings.
Structured worker interviews with male and female workers and staff were held in private at the workplace in the mill
and the estates. Fieldworkers were interviewed informally in small groups in the field. The method of consultation
with the workers, contractors and staff were through random sampling from each group in each of the FFB supplying
unit and oil mill (e.g. mill operators, harvesters, general workers and sprayers) visited. The consultations which were
conducted at the CU‟s workplace had included solicitation of comments on issues relevant to principles 4, 5 and 6 of
the RPSO P&C Standard. List of the stakeholders contacted and responded during the audit are available in
Appendix 3.
3. ASSESSMENT FINDINGS
3.1 Summary of Findings
The assessment has been conducted as planned using the methodology described in Section 2.1 and Appendix 2:
Audit Program. A total of 04 Major non-conformity and 03 Minor non-conformity against Roundtable on
Sustainable Palm Oil (RSPO) Principles and Criteria for the Production of Sustainable Palm Oil (2013) (Indonesia
National Interpretation of RSPO Principles and Criteria for Sustainable Palm Oil Production 2016) and 01 Major non-
conformity against RSPO Supply Chain Certification Standard (21 Nov 2014); requirements were raised as shown in
Appendix 4.
The CU has taken necessary corrective actions in order to close the Major non-conformities raised. Minor non-
conformities will be verified in the next surveillance assessment. Nonetheless, the CU has submitted their corrective
action plan for the minor non-conformity and has been accepted by the assessment team. The verification
comments for the non-conformities raised in the previous assessment can be seen in Appendix 5.
3.2 Principles and Criteria for Production of Sustainable Palm Oil (2013) - Generic
Principle 1: Commitment to Transparency

Criterion 1.1: Growers and millers provide adequate information to relevant stakeholders on environmental, social and
legal issues relevant to RSPO Criteria, in appropriate languages and forms to allow for effective participation in decision
making
1.1.1 There shall be evidence that growers and millers provide adequate information on (environmental,
social and/or legal) issues relevant to RSPO Criteria to relevant stakeholders for effective Minor
participation in decision making.
Findings Comply?
List of the management documentation specified under Criterion 1.2. are specified under Section 4 of the Yes
Communication, Participation and Consultation Procedure (Ref Doc.: P-SAG-HO-CA&L-08) dated 01
February 2016 and made available for the public disclosure.
The above procedures specifies that for any request of information placed by any stakeholders, a specific
form shall be used i.e. Register of Information Request/Complaint Form (Form FM-SAG-RO-CA&L-
080002). Sample of the Form is made available to the audit team during the audit. Observed that the form
specifies the following:
 Date of the Receipt;
 Name of the Organization;
 Name of the Personnel from the Company Handling the Issues;
 Details of the Issues;
 Date of the Response Made;
 Acknowledgement of the Resolution of Issues by Stakeholders.
The audit team also observed that the company maintained a comprehensive stakeholder list covering the
relevant government agencies, regulatory authority, NGOs and local communities. The latest list updated
07 November 2017 is made available to the audit team during the audit.
The auditor also observed the example of the usage of the above form i.e. Information Request by the
Ministry of Agricultural on several information related to the Occupational Safety and Health, Legal Register
and Permits and Information on Planting Profile of Oil Palm Tree dated 28 March 2016. The above
information request has been responded by the estate manager on 29 March 2016 which was
acknowledged receipt by the Officer In-Charge of the Ministry.
The audit team also observed that the above procedures and mechanism for receiving and handling of the
information request has been made available to all stakeholder during the stakeholder meeting. Latest
stakeholder meeting was conducted on 16 October 2016 which was attended by various stakeholder groups
(both internal and external). Minutes of the above stakeholder meeting has been made available to the audit
team during the audit.
1.1.2 Records of requests for information and responses shall be maintained. Major
Findings Comply?
Observed that the record of request for information and response is maintained and be made available to Yes
the audit team during the audit.
Based on record, the company only receive one Information Requested by the Ministry of Agricultural on
several information related to the Occupational Safety and Health, Legal Register and Permits and
Information on Planting Profile of Oil Palm Tree dated 28 March 2016. The above information request has
been responded by the estate manager on 29 March 2016 which was acknowledged receipt by the Officer
In-Charge of the Ministry.
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.
1.2.1 Publicly available documents shall include, but are not necessarily limited to:
- Land titles/user rights (Criterion 2.2);
- Occupational health and safety plans (Criterion 4.7);
- Plans and impact assessments relating to environmental and social impacts (Criteria 5.1, 6.1,
7.1 and 7.8);
- HCV documentation (Criteria 5.2 and 7.3);
Major
- Pollution prevention and reduction plans (Criterion 5.6);
- Details of complaints and grievances (Criterion 6.3);
- Negotiation procedures (Criterion 6.4);
- Continual improvement plans (Criterion 8.1);
- Public summary of certification assessment report;
- Human Rights Policy (Criterion 6.13)
Findings Comply?
List of the management documentation specified under Criterion 1.2.1 are specified under Section 4 of the Yes
Communication, Participation and Consultation Procedure (Ref Doc.: P-SAG-HO-CA&L-08) dated 01
February 2016.
The audit team also observed that the above information of which is open for public request has been made
acknowledge to all stakeholder during the stakeholder meeting. Latest stakeholder meeting was conducted
on 16 October 2016 which was attended by various stakeholder groups (both internal and external). Minutes
of the above stakeholder meeting has been made available to the audit team during the audit.
Public Summary of the relevant management documentation such as SIA and HCV is also made available
for public viewing in the company‟s website. Moreover, management policies are also placed onto the
company‟s website.
Random interview conducted with the stakeholders during the audit confirmed that they are made aware of
the availability of the above documents during the stakeholder meeting.
Criterion 1.3: Growers and millers commit to ethical conduct in all business operations and transactions.
1.3.1 There shall be a written policy committing to a code of ethical conduct and integrity in all operations
and transactions, which shall be documented and communicated to all levels of the workforce and Minor
operations.
Findings Comply?
A written policy committing to a code of ethical conduct and integrity in the company‟s operation has been Yes
established dated 1 July 2015. Based on the verification, the audit team observed that the policy also
specifies the following elements;
 A respect for fair business and trade;
 A prohibition for all form of bribery, corruption and fraudulent use of funds and resources; and
 A proper disclosure of information in accordance with the applicable regulations and accepted industry
practice.
Observed that the policy is written in local language and has been communicated to all stakeholders during
the stakeholder meeting.
Principle 2: Compliance with Applicable Laws and Regulations

Criterion 2.1: There is compliance with all applicable local, national and ratified international laws and regulations.
2.1.1 Evidence of compliance with relevant legal requirements shall be available. Major
Findings Comply?
List of applicable regulations are available and verified by audit team during the audit in List of Legal Yes
Requirements / Regulations.
Legal requirement listing established by System & Certification Manager (updated 13 July 2017) and
maintained.
Advised that the company‟s Legal & Compliance Affairs (LCA) unit will engage with relevant institutions /
agencies to obtain latest requirements.
Listing is only updated annually based on advised new requirements / updates advised by the company‟s
LCA unit. For interim changes, the PIC - System & Certification stated; these will be advised by the LCA unit
and copies of new regulations / updates obtained.
Based on sampling, noted omissions per the current established listing:
Legal Requirement Issuing Authority Remarks
Penetapan Upah Minimum Kabupaten dan
Gabernur Kalimantan Not included in listing but copy
Upah Minimum Sektoral Kabupaten Ketapang
Barat of regulation available
Tahun 2017
GR President No. 28 year 2011 Management of
Government Regulation Not included in listing
Natural Preserve and Conservation Area
GR President No. 8 year 2001 Plant Cultivation
Government Regulation Not included in listing
Fertilizer. 75
Advised that completeness of the Legal listing is facilitated by the company‟s Legal & Compliance Affairs
(LCA) unit – Head Office, to facilitate required compliance by the company‟s operations.
Copies of legal requirements maintained by company, sampled as follows:
- Legal Requirements / Regulations:
Title Issuing Authority Year
Tentang Sumber Daya Air Undang-Undang Republik Indonesia – No. 7 2004
Keselamatan Kerja Undang-Undang Presiden Republik Indonesia 1970

Nomor I Tahun 1970
Tentang Penerapan Sistem Manajemen Peraturan Pemerintah Republik Indonesia n.a
Keselamatan Dan Kesehatan Kerja Nomor 50 Tahun 2012
Pengelolaan Bahan Berbahaya Dan Peraturan Pemerintah Republik Indonesia 2001
Beracun Nomor 74 Tahun 2001
Nilai Ambang Batas Faktor Fisika Dan Peraturan Menteri Tenaga Kerja Dan 2011
Faktor Kimia Di Tempat Kerja Transmigrasi Nomor Per.13
Alat Pelindung Diri Peraturan Menteri Tenaga Kerja Dan 2010
Transmigrasi Republik Indonesia Nomor
Per.08
Pedoman Teknis Pengkajian Pemanfaatan Menteri Negara Lingkungan Hidup Nomor 28 2003
Air Limbah Dari Industri Minyak Sawit Pada
Tanah Di Perkebunan Kelapa Sawit
Pedoman Teknis Pengkajian Keputusan Menteri Negara Lingkungan Hidup 2003
Pemanfaatan Air Limbah Industri Minyak
Sawit Pada Tanah Di Perkebunan Kelapa
Sawit
Menteri Tenaga Kerja Dan Transmigrasi Kewajiban Melapor Penyakit Akibat Kerja 1981
Nomor : Per.01
- Processing Machinery / Premise - licenses / certificates:
Equipment Permit No. Inspection Date / Validity
8 Sep 2014 /
Steam turbine 560/132/TU/DSTKT/2014.
7 Sep 2018
10 Oct 2014 /
Sterilizer 78/NAKER/2014
9 Oct 2018
10 Oct 2014 /
9 Oct 2018
10 Oct 2014 /
9 Oct 2018
10 Oct 2014 /
Back pressure Vessel 80/NAKER/2014
9 Oct 2018
8 Sep 2014 /
Diesel Motor 560/129/MD/DSTKT/2014
7 Sep 2018
10 Oct 2014 /
Boiler 76/NAKER/2014
9 Oct 2018
Construction / Building Permit 3 Dec 2014 /
23/HGB/BPN.61/2014
(Hak Guna Bangunan - HGB) NA
Schedule waste permit 07 Oct 2016 /
660.1/204/KLH/2016
Keruing Estate & PT Usaha Mill) 06 Oct 2021
25 Jul 2017 /
Land Application Permit 400/PERKIMLH-C/2017
24 Jul 2022
Building Permit 072/KPT-B/2014 20 May 2014
4 AJUL 2014integrated
Building Permit 241/KPT-B/2014 Complex (Kantor Pelayanan
Terpadu)
A documented system, which includes written information on legal requirements, shall be

2.1.2 Minor
maintained
Findings Comply?
a. Advised that the company‟s Legal & Compliance Affairs (LCA) unit will liaise with relevant Yes
institutions/agencies to obtain latest requirements.
 Legal listing is only updated annually based on advised new requirements / updates informed by the
company‟s LCA unit.
 In the interim period till annual review, the company‟s Legal & Compliance Affairs (LCA) unit will source
and disseminate any new legal requirements / updates internally.
 Systems & Certification unit will then receive copies of the updated / new requirements.
 Dissemination by the LCA has relevant regulations / to specific operational (mill / estate) activities.
Copies of applicable regulations are available maintained on soft copy by the operations PICs - System &
Certification Manager and Compliance Assistant (as sampled in 2.1.1 (b) above).
2.1.3 A mechanism for ensuring compliance shall be implemented Minor
Findings Comply?
There is no formal / periodic internal audit exercise conducted on completeness of the established Legal Yes
Listing. However, the PIC – System & Certification unit advised that; once established, the listing is
communicated internally within the company to various departments / functions and senior management
including, Chief Operating Officer, Head Sustainability, Head Internal Audit, Senior General Managers,
General Manager Plantation, Regional Heads, Estate and Mill Managers.
Besides updates from the LCA unit, reliance is also placed on feedback from these internal depts. / functions
on completeness of / any omissions to, the established Legal listing.
For example, it was noted in an e-mail dated 30 May 2017 from Asst. Manager of Sustainability department,
informing about new “Himpunan Peraturan Linkungan Hidup” including updates to regulations relating to
“Pengelolaan dan Fungsi Ekosistem Gambut”, for inclusion in the listing.
Internal audit by Sustainability Team (once a year) and safety committee (three monthly) is the identified
mechanism to ensure that all legal requirements has been complied. Furthermore, the estate manager is
also responsible to ensure that all legal requirements have been implemented according to communication
circulated by LCA unit.
2.1.4 A system for tracking any changes in the law shall be implemented Minor
Findings Comply?
The legal listing is established annually by the LCA unit located at Head Office. The department will be Yes
responsible for sourcing/updating the Legal listing. (Refer 2.1.2 (a) above).
Criterion 2.2:
The right to use the land is demonstrated, and is not legitimately contested by local people who can demonstrate that they
have legal, customary or user rights.
Documents showing legal ownership or lease, history of land tenure and the actual legal use of the
2.2.1 Major
land shall be available.
Findings Comply?
A document showing legal ownership and Land Use Rights is available in List of land use rights/permits. Yes
Sampled titles / permits as follows:
Issuing Authority / Land
Title Reference / Area Date
Use
No. 403
2007
Area: 11,300 Ha
No. 250
11/06/2008 Bupati Ketapang for Oil
Area: 11,300 Ha
palm plantation
Izin Lokasi No. 342
15/9/2008
Area: 11,300 Ha
No. 414
(Ext. No. 342) 27/7/2010
Area: 9,728 Ha
Surat Izin Usaha Dinas Penanaman Modal
Perdagangan 503/528//MENEGAH/KECIL/2017 8/8/2017 dan Pelayanan Terpadu
(SIUP) Satu Pintu for Plantation
No 419 Bupati Ketapang for Oil
28/7/2010
Area: 9,728 ha palm plantation
Izin Usaha
Pekebunan (IUP) No (913/Disbun – D) Bupati Ketapang for Oil
30/12/2016
Area: 9,728 Ha palm plantation
Izin Usaha Industri 535/003/Kop.UKM.Peringag- Bupati Ketapang for Mill

7/7/2014
Pekebunan (IUP) C/KBLI.10431/ VII/2014 Construction
SK Hak Guna Usaha
6/HGU/KEM_ATR/BPN/2015 6/4/2015
(HGU)
No. 108
24/6/2015
Area: 2,465.74 Ha
No. 109
24/6/2015
Area: 3,070.52 Ha
Menteri Agraria/ BPN RI for
Sertifikat HGU No. 110 Oil palm plantation
24/6/2015
Area: 858.30 Ha
No. 111
24/6/2015
Area: 1, 840.56 ha
No. 112
24/6/2015
Area: 52.08 ha
Actual legal land use stated in the land lease agreements (refer table above) - column “Issuing
Authority/Land Use”.
Based on the sampled documents above, it can be concluded that the certification unit are maintaining
evidence of complete legal land ownership.
2.2.2 Legal boundaries shall be clearly demarcated and visibly maintained. Minor
Findings Comply?
The certification unit did maintain and established boundary marker map which indicates the positions of Yes
boundary markers installed. Main boundary marker (primary) installed by the Government are sighted during
site inspection. However, the company has not installed additional boundary makers as preventive measure
to ensure the marker is not disappear. As this is not a requirement for RSPO, the audit team have no issue
with this.
SOP established w.e.f. 2015 – Pengukuran Dan Pembuatan Blok – No. P-SAG-KBN-PML-02 (dd. 2Mar
2015), which includes requirements/specs for installation of boundary markers.
Where there are or have been disputes, additional proof of legal acquisition of title and evidence
2.2.3 that fair compensation has been made to previous owners and occupants shall be available, and Minor
that these have been accepted with free, prior and informed consent (FPIC).
Findings Comply?
There is no land disputes occurred within the concession of the certification unit. However, the certification Yes
unit has established a procedure on conflict resolution as evident in Penangganan Klaim dan Sengketa
Lahan (No. P-SAG-RO-AS-0) dated 1 Aug 2013.
There shall be an absence of significant land conflict, unless requirements for acceptable conflict
2.2.4 resolution processes (see Criteria 6.3 and 6.4) are implemented and accepted by the parties Major
involved.
Findings Comply?
For any conflict or dispute over the land, the extent of the disputed area shall be mapped out in a
2.2.5 participatory way with involvement of affected parties (including neighboring communities where Minor
applicable).
Findings Comply?
To avoid escalation of conflict, there shall be no evidence that palm oil operations have instigated
2.2.6 Major
violence in maintaining peace and order in their current and planned operations.
Findings Comply?
Criterion 2.3: Use of the land for oil palm does not diminish the legal, customary or user rights of other users without their
free, prior and informed consent.
Maps of an appropriate scale showing the extent of recognized legal, customary or user rights
2.3.1 (Criteria 2.2, 7.5 and 7.6) shall be developed through participatory mapping involving affected Major
parties (including neighboring communities where applicable, and relevant authorities).
Findings Comply?
a. SOP on FPIC established – Komunikasi, Partisipasi, Dan Kosultasi – No. P-SAG-O-CA&L-08 - no. P-SAG- Yes
RO-AS-0 (dd. 1 Feb 2016). In addition, SOP on compensation also established – Pelaksanan Ganti Rugi
Lahan dan/atau Tanam Tumbuh - No. P-SAG-RO-CAS-03.
b. Socialization meeting conducted by company with original land owners on 6th Feb 2008 – explaining
purpose of acquisition, acquisition compensation process and potential benefits to be derived by land
owners – meeting minutes are documented, attached with attendance list signed by original land owners
and company reps. FPIC elements also documented in agreements signed by land owners (see point (c)
below).
c. FPIC process in accordance with established SOP. Evidence documented in agreements, land
measurement sketch, land map. (Also refer point (2.3.3) below.
d. Map documented - refer point (f) below.
e. Participation documented in agreement, meeting minutes, land measurement sketch and area land map
signed by land owner, witnesses and company personnel
f. Maps of the land areas‟ documented and agreed/signed-off by the land owners and endorsed by the
government. Maps included title, legend, scaled and geo-referenced coordinates – sampled as follows:
Owner Date Land details No. SPPH
15/SPPH –
Bandi 5/2/14 Ds Jambi, Kec. Manis Mata, Kab
GRTT/UAI/II/2014
Ketapang
19/SPPH –
Abdul Bar 27/2/14 Inti: 21.68 ha
GRTT/UAI/II/2014
Ds Danau Buntar, Kec.
Ujang Sukma 28/1/14 4/SPPH – GRT/UAI/I/2014
Kendawangan, Kab Ketapang
Maps signed-off/agreed by land owner, witnesses and company personnel.
Copies of negotiated agreements detailing the process of free, prior and informed consent (FPIC)
2.3.2 (Criteria 2.2, 7.5 and 7.6) shall be available and shall include: Minor
- Evidence that a plan has been developed through consultation and discussion with all affected
groups in the communities, and that information has been provided to all affected groups,
including information on the steps that shall be taken to involve them in decision making;
- Evidence that the company has respected communities‟ decisions to give or withhold their
consent to the operation at the time that this decision was taken;
- Evidence that the legal, economic, environmental and social implications for permitting
operations on their land have been understood and accepted by affected communities, including
the implications for the legal status of their land at the expiry of the company‟s title, concession
or lease on the land.
Findings Comply?
Negotiated agreements available which were established in consultation with the original land owners vide Yes
the FPC process. (Refer details in point 2.3.1 above).
All relevant information shall be available in appropriate forms and languages, including
2.3.3 Minor
assessments of impacts, proposed benefit sharing, and legal arrangements.
Findings Comply?
Documented meeting minutes, land measurement sketch and area land map and agreements (refer point Yes
2.3.1 above) are documented in Bahasa Indonesia.
Copies of documents (agreements, land measurement sketch, land map) signed by the original land owners,
with copies also retained by them.
Evidence shall be available to show that communities are represented through institutions or
2.3.4 Major
representatives of their own choosing, including legal counsel.
Findings Comply?
a. Nominated representatives of community are as follow: Yes
Area Representatives
Desa Jambi 1. Bpk Jipit
2. Bpk Idun
3. Bpk. Aseng
4. Bpk. Bandi
5. Bpk. Kasisin
6. Bpk. Inyok
7. Bpk. Kardian
Desa Danau Bunta 1. Bpk Tuning
2. Bpk Cawang
3. Bpk Tarli
4. Bpk. Ali. A
5. Bpk. Marinus
6. Bpk. Jambat
7. Bpk. Mitoi
b. These representatives were nominated by the original land owners to represent them in the negotiation
process.
c. Record of Appointment of Representatives is documented as follows:
Authority Community Area Letter Dated
Desa Jambi 7 Mar 2008
Kecamatan Manis Mata
Desa Danau Buntar 2 Feb 2011
Records of nominated reps were submitted by respective Kepala Desa‟s (Pemerintah Kabupaten Ketapang)
to the General Manager UAI.
Principle 3: Commitment to Long-Term Economic and Financial Viability

Criterion 3.1: There is an implemented management plan that aims to achieve long-term economic and financial viability.
A business or management plan (minimum three years) shall be documented that includes, where
3.1.1 Major
appropriate, a business case for scheme smallholders.
Findings Comply?
a. Company has established a business plan (Rencana Bisnis – PT Usaha Agro Indonesia) for period (Year Yes
2016 to 2020), covering its plantation and mill operations.
b. Summary of the business plan contents / omissions, as follows:
Included
Plan Details Remarks
 
Area statement maintained separately – can be
Land area statement 
incorporated to enhance the plan
Scheme smallholders
Not applicable to company‟s operations at present
management plan
Planting program 2016 – 2019 included but no
analysis of material quality. - Can be considered
for inclusion as enhancement.
Planting material quality  Also annual evaluation results of planting

program, incl. consideration of land suitability
study, positive and negative impacts on
environment, to be considered for inclusion as
enhancement.
Crop yield projection trends  Included based on 5 years trend
Included past 2 years trend (since mill
Mill OER tr nds  commenced operation) and 5 year forward trend
for CPO & PK.
Historical & forecast production volumes (CPO
CPO production trends - cost / t 
productions) tated
Production & sales volumes forecast trends
Forecast prices 
included for 2016 - 2020.
Financial indicators – profitabi ity Past 5 yea s historical and 5-year profitability
 
forecast projection trend included.
Housing expansion project details included but
Projected expansion areas 
timeline not stated for expected completion
CSR program initiatives stated but without
timelines / allocation stated. Can include for
Environmental / social enhancement.
management str tegy and 
allocation Environmental management strategy, including
timelines / allocation can also be incorporated for
enhancement.
c. The company has an opportunity to enhance the Business plan by incorporating details such as:
 Area statement incl. planting years, non-planted areas (HCV, conservation areas), fragile soils.
 Quality of planting materials, annual evaluation results of planting program and related environmental
impacts.
 Program for managing plantings on peat land.
 Production cost/mt CPO
 Timeline for expected completion of expansion projects, e.g. housing
 CSR program initiatives with timelines / allocation
d. Environmental management strategy, including timelines / allocation.
e. The Business Plan is reviewed every 5 years. In the interim period any updates / re-assessment are
advised taken up / reflected in the annual Management Plan.
f. Details included for managing plantings on peat land.
g. System in place to establish a Business Plan, including improvement process, as follows:
 PIC identified – CEO PT Usaha Agro who approves the plan
 No specific SOP on updating information established. However, this is practiced vide other methods –
e.g. annual review of the Management Plan, HIRAC, review of Waste Management plan / monitoring
implementation of actions plans.
An annual replanting programme projected for a minimum of five years (but longer where necessary
3.1.2 Minor
to reflect the management of fragile soils, see Criterion 4.3), with yearly review, shall be available.
Findings Comply?
Replanting program not applicable currently - as plantings still relatively young, i.e. less than 9 years old. Yes
Principle 4: Use of Appropriate Best Practices by Growers and Millers

Criterion 4.1: Operating procedures are appropriately documented, consistently implemented and monitored.
4.1.1 Standard Operating Procedures (SOPs) for estates and mills shall be documented. Major
Findings Comply?
SOP for estates operations has been established and made available during the audit. The documents have Yes
been reviewed as summarized in (Daftar Dokumen Sampoerna Agro Rev 2016).
The established procedures are found includes key processes in the oil palm plantation operation such as:
a. Land Preparation (Persiapan Lahan (P-SAG-KBN-PML-01))
b. Field Blocking System (Pengukuran dan Pembuatan Blok (P-SAG-KBN-PML-02))
c. Terrace & Drain Maintenance (Perawatan Teras dan Parit (P-SAG-KBN-PML-06))
d. Oil Palm Planting (Persiapan Penanaman Kelapa Sawit (P-SAG-KBN-PML-09))
e. Weeding (Pengendalian Gulma TBM (P-SAG-KBN-PML-12))
The SOP is found to be made available at all audited estates and understood by the workers.
For Usaha Agro Indonesia POM, the SOP related to the mill operations are available, for example as
follows:
a. Recording and Weighing - Pencatatan dan Penimbangan (P-SAG-PKS-PRS-01)
b. Loading Ramp (P-SAG-PKS-PRS-02)
c. Sterilizer - Sterilisasi (P-SAG-PKS-PRS-03)
d. Thresher - Threser (P-SAG-PKS-PRS-04)
It was found that all workers at relevant workstation have been briefed with the SOP prior to start working.
The SOP is made available for reference at the mill‟s office.
4.1.2 A mechanism to check consistent implementation of procedures shall be in place Minor
Findings Comply?
Master list for all SOPs are available as stated in 4.1.1. The company did keep track of the revision in the Yes
same documents. The SOPs have been established in local language (Indonesian).
Training for all workers regarding the SOPs has been conducted for all relevant workers prior to perform any
task. It was briefed by field staff and mandores during morning briefing (daily).
Routine monitoring and supervision of the SOP implementation by workers is conducted by Field Assistant
(daily) and verified by Agronomic Continuous Improvement unit (monthly). The implementations of all SOPs
are verified by Agronomic Continuous and Improvement (ACI) as evident in Field Administration Checklist
(Checklist Administrasi Kebun). Evidence of monitoring record sighted during the audit are:
a. FFB Quality - Penilaian Kualitas Buah (by Mr. Try Wibowo on 3 Oct 2017 at Ulin Estate)
b. Immature Upkeep Evaluation - Rekap Penilaian Pemeliharaan TBM (by Mr. Try Wibowo on 2 Oct
2017 at Keruing Estate)
c. Manuring Quality - Mutu Pemupukan (by Mr. Try Wibowo on 13 Dec 2017 at Meranti Estate)
The assistant manager (ASKEP) and Field Staff has been trained with details of the SOPs implemented in
PT Usaha Agro Indonesia at Training Centre in Sumatera Selatan. Evidence of the training attended by the
assistant is evident in PT Usaha Agro Indonesia STAR Program. The person verified its training record are:
a. Muhtar Pujiono – 16 Nov 2015
b. Karim – 9 Jan 2017
c. Dede Suhardi – 9 Jan 2017
Regular inspection (annually – internal audit) of the implementation of SOP is conducted by Sustainability
Department covering management system and implementation. A record of latest internal audit is available
in internal audit report - Hasil Observasi (FM-SAG-RO-SUS-030005). Latest internal audit has been
conducted on 5 Jun 2017.
4.1.3 Records of monitoring and any actions taken shall be maintained and available, as appropriate Minor
Findings Comply?
Records of monitoring have been verified as explained in 4.1.2. Records of corrective actions has been Yes
discussed by estates management and recorded in the same forms.
For the POM, implementation of management system is evaluated during ISO internal audit. Latest
assessment has been conducted on 5 Jun 2017 by internal auditor. Findings and corrective action plan is
evident in Corrective Action Request (FM-SAG-RO-SUS-040001) form. The form has been signed by both
internal auditor (Mika Asri) and accepted by mill manager (Abdul Munif).
4.1.4 The mill shall record the origins of all third-party sourced Fresh Fruit Bunches (FFB). Major
Findings Comply?
SOP for sourcing of third party FFB is available in Supply Chain System & Traceability (P-SAG-PKS-PRS- Yes
14). All incoming sustainable and non-sustainable FFB are recorded into weighbridge system and updated in
Bukti Timbangan TBS Internal/Plasma/Luar (FM-SAG-PKS-PRS-010201).
All incoming FFBs are recorded into Laporan Penerimaan Tandan Buah Segar (FM-SAG-PKS-PRS-
010204). The form provides sufficient information of:
a. FFB from Supply Base (Sustainable)
b. FFB from Supply Base (Non-Sustainable) – Sanctions
c. FFB from Smallholders (Non-Sustainable)
d. FFB from Out-Grower (Non-Sustainable)
List of all third party suppliers (meaning to the independent smallholder, but not cover to the middle man
and/or intermediaries) are available in Daftar Supplier TBS di PKS Usaha Agro Indonesia. There are 5
suppliers identified for the mill. The listed suppliers are:
a. PT Usaha Agro Indonesia (Ulin, Keruing & Meranti Estate) - Sustainable
b. Koperasi Perkebunan Jambi Mekar Jaya Sempurna - Non-Sustainable
c. Koperasi Perkebunan Sempurna Mandiri - Non-Sustainable
d. PT Pertiwi Lenggara Agromas - Non-Sustainable
e. Mr. Rudi (Smallholder) - Non-Sustainable
Criterion 4.2: Practices maintain soil fertility at, or where possible improve soil fertility to, a level that ensures optimal and
sustained yield.
There shall be evidence that good agriculture practices, as contained in Standard Operating
4.2.1 Procedures (SOPs), are followed to manage soil fertility to a level that ensures optimal and Minor
sustained yield, where possible.
Findings Comply?
SOP for managing soil fertility has been established by Agronomist Continuous & Improvement (ACI) Yes
department. It is evident in a procedure Fertilizer Recommendation - Rekomendasi Pupuk Kelapa Sawit (P-
SAG-RST-ASE-01) which clearly mentioned about Soil Analysis (every 5 years) and Leaf Sampling Analysis
(annually).
It was confirmed that the fertilizer recommendation report (details of fertilizer application is described in
4.2.2) has been established based on foliar analysis conducted in 2016.
Latest soil sampling has been conducted on 1 Dec 2015 at Keruing Estate. Result of the soil sampling has
been produced in Report of Analysis (No. 040/SL/2015) dated 19 Jan 2016 by PT Binasawit Makmur
(Laboratory).
4.2.2 Records of fertilizer inputs shall be maintained. Minor
Findings Comply?
All estates in the production unit have been provided with Fertilizer Recommendation which has been Yes
established as per stated in SOP for Fertilizer Recommendation (Rekomendasi Pupuk Kelapa Sawit: P-SAG-
RST-ASE-01). Example of recommended fertilizer application reviewed during the audit are as follows:
Estate Field Fertilizer Type Dosage (kg)/Palm
Round 1: 2.75
IB0015 NPK SA TM Round 2: 2.75
Round 3: 2.50
Round 1: 1.75
Meranti Agro ID0013 NPK SA Peat Round 2: 1.75
Round 3: 1.50
Round 1: 2.75
IE0024 NPK SA TM Round 2: 2.75
Round 3: 2.50
Round 1: 2.00
IM0534 NPK SA TM Round 2: 1.75
Round 3: 1.75
Round 1: 2.25
Ulin Agro PK0051 NPK SA TM Round 2: 2.25
Round 3: 2.00
Month 0: 0.00
Immature Field CuSO4 Month 8: 0.03
Month 14: 0.04
L011 EFB 40MT/Ha
Keruing Agro
L014 NPK SA TM Round 1: 2.50
Round 2: 2.25
Round 3: 2.25
The fertilizer recommendation has been established based on results of foliar analysis conducted by ACI
Department.
Fertilizer application program in the production unit is summarized in Manuring Program/Block - Program
Pemupukan Per Blok. For example, in Meranti Estate, the program stated for field E0033 (22.02Ha):
a. NPK: (E0033)
- Recommended Dosage: 2.00kg/palm
- Program: December 2017 (7.432MT)
- Realization: December 2017 (7.432MT)
b. MOP: (D0034)
- Recommended Dosage: 0.50kg/palm
- Program: December 2017 (1.250MT)
- Realization: December 2017 (1.250MT)
Records of fertilizer application are available in Mandor logbook - Buku Kerja Mandor. It is verified that the
data recorded in both documents are synchronized and found accurate.
4.2.3 There shall be evidence of periodic tissue and soil sampling to monitor changes in nutrient status Minor
Findings Comply?
SOP for tissue and soil sampling analysis is available in Fertilizer Recommendation - Recommendasi Pupuk Yes
Kelapa Sawit (P-SAG-RST-ASE-01). Latest result of foliar analysis conducted in 2016 has been integrated in
Fertilizer Recommendation report for 2017.
th
Results of Soil Analysis for Keruing Estate is available in Report of Analysis (040/SL/2015 – 19 Jan 2016)
published by Integrated Laboratory Research & Development Department. Soil analysis result for other
estates are also available as below:
a. Ulin Agro Estate (041/SL/2015): 20 Jan 2015
b. Meranti Agro Estate (039/SL/2015): 18 Jan 2016
A nutrient recycling strategy shall be in place, and may include use of Empty Fruit Bunches (EFB),
4.2.4 Minor
Palm Oil Mill Effluent (POME), and palm residues after replanting
Findings Comply?
As mentioned in fertilizer recommendation report, the recommended rate of EFB application is 40MT/Ha. Yes
Records of EFB application record for all estates in the production unit are available in Monitoring Aplikasi
EFB.
Site inspection conducted at Field P0024 of Kruing Estate confirms that the EFB has been evenly distributed
using shredder at the palm basal.
Land application from POME is only conducted in Kruing Agro Estate due to the location which is next to the
Agro Usaha Indonesia Palm Oil Mill.
As of the POM; recycling of biomass are found being implemented by utilizing the fibre and shell in the
boiler.
Criterion 4.3: Practices minimize and control erosion and degradation of soils.
4.3.1 Maps of any fragile soils shall be available Major
Findings Comply?
Maps showing soil types in the production unit is available in Detailed Soil Map - Peta Tanah Detil PT Usaha Yes
Agro Indonesia. The map has been established at rate of 1:100,000.
Fragile soils in the production unit are peat and sandy. Example of soil series identified in the production unit
are:
a. Typic Haplohemists
b. Typic Haplosaprists (Binti)
c. Typic Haplofibrist
Site inspection at both peat and sandy area in the production unit found that best management practices
have been implemented to conserve the fragile area. Bunds for potential flood prone area at the peat are
being constructed to prevent overflow from higher water level area. For sandy area, the production unit is
maintaining grasses and ferns to maintain soil moisture and hold the soil structure.
A management strategy shall be in place for plantings on slopes above a certain limit (this needs to
4.3.2 Minor
be soil and climate specific).
Findings Comply?
The production unit has established a procedure for planting on slopes as evident in Soil and Water Yes
Conservation - Konservasi Tanah dan Air (P-SAG-KBN-PML-05). According to the topography maps
produced by the company, there is no hilly slope available in the production unit.
However, the production unit has established a procedure for terrace construction, planting of cover crops
and drains contractions as part of mitigation measure to minimize soil erosion.
All areas in PT Usaha Agro Indonesia is 5%-8% as evident in Topography Map (Peta Kelas Lereng di Areal
Ijin).
4.3.3 A road maintenance programme shall be in place. Minor
Findings Comply?
The production unit has established a SOP for the construction of road and bridges (Membuat Jalan dan Yes
Jembatan: P-SAG-KBN-PML-07). The SOP is then supported with a road maintenance program as evident
in Perawatan Jalan Manual Periode 2017. The plan has included Maintenance Program and the Realization
Program which is recorded and sighted during the audit. The production unit has also allocated budget for
road maintenance as evident in Expenditure Analysis - Analisa Biaya TM. Example of expenses used for
road maintenance are as below:
a. Ulin Estate: Rp. 2,256,797,000
b. Keruing Estate: Rp. 2,957,321,000
c. Meranti Estate: Rp. 2,670,496,000
Example of road maintenance program and the realization evaluated during the audit are as follows:
a. Field IL0037:
- Program: 5,370m
- Realization: 2,546m
b. Field IL0034:
- Program: 5,185m
- Realization: 2,780m
It was confirmed (through site inspection) that the road maintenance program has been conducted in a way
which minimize the impacts to the environment. The estate is located on a flat area, therefore no road are
constructed in a way which can lead to any erosion.
Subsidence of peat soils shall be minimized and monitored. A documented water and ground cover
4.3.4 Major
management programme shall be in place.
Findings Comply?
The production unit is planting oil palm on peat soil as per procedure for planting on peat - Pembukaan Yes
Lahan di Areal Gambut. Based on the procedure, peat are divided into 3 category which is in accordance to
Peraturan Menteri Pertanian (No. 14/PERMENTAN/PL.110/2/2009) tentang PEDOMAN PEMANFAATAN
LAHAN GAMBUT UNTUK BIDUDAYA KELAPA SAWIT which are:
a. Gambut Dangkal: <1.0m
b. Gambut Sedang (Agak Tebal): 1.0m - 3.0m
c. Gambut Dalam (Tebal): >3.0m
The procedure clearly mentioned water management plan which includes:
a. Saluran Drainase
b. Perawatan Parit
c. Water Management (to maintain ground water level 50-70cm)
The production unit did monitor water level (below ground surface) using piezometer. The production unit
recorded water level using water level monitoring form (Monitoring Level Air). For example, on 18 Jul 2017,
the recorded water level is 10cm - 60cm.
Due to the elevation of peat area within the production unit which is lower compared to nearest river (Sungai
Jelai), the area is frequently flooded. The management has decided to build raised bund/dike to prevent
backflow from the river during flood season. The plan is evidence based on email conversation related to
Peta Rencana Peninggian Benteng. Total costs allocated for the construction of bunds are also evident in
Estimasi Anggaran Peninggian Benteng.
Drainability assessments shall be required prior to replanting on peat to determine the long-term
4.3.5 Minor
viability of the necessary drainage for oil palm growing
Findings Comply?
There are few peat patches available within the production unit (Meranti, Keruing, Ulin Estate) which covers Yes
approximately 27.79% of total areas. The peat areas have been evaluated by an approved consultant during
HCV assessment and Environmental Impact Assessment (AMDAL).
Suitability study for planting has also been conducted by the ACI Department. Recommendation for areas
suitable for planting is evident in a survey and soil evaluation – Survei dan Evaluasi Lahan. The maps
produced indicated those areas which is suitable or unsuitable for plantings.
For the drainability study, the production unit consists of patches of peats surrounded with mineral soils. The
production unit has implemented best management practices to construct drainage system. Most of the peat
areas are located at lower area compared to nearby water catchment/river. Thus, the company has decided
to construct bunds/dike to prevent flooding.
Map indicating areas constructed with flood prone bunds is sighted during the audit.
A management strategy shall be in place for other fragile and problem soils (e.g. sandy, low organic
4.3.6 Minor
matter, acid sulphate soils).
Findings Comply?
There are few peat patches available within the production unit (Meranti, Keruing, Ulin Estate) which covers Yes
approximately 27.79% of total areas. The peat areas have been evaluated by an approved consultant during
HCV assessment and Environmental Impact Assessment (AMDAL). Management plan for sandy soils is
evident in the company SOP. Site verification conducted at sandy area confirms that grasses and soft ferns
are being maintained to prevent/minimized erosion.
Suitability study for planting has also been conducted by the ACI Department. Recommendation for areas
suitable for planting is evident in a survey and soil evaluation – Survei dan Evaluasi Lahan. The maps
produced indicated those areas which is suitable or unsuitable for plantings.
For the drainability study, the production unit consists of patches of peats surrounded with mineral soils. The
production unit has implemented best management practices to construct drainage system. Most of the peat
areas are located at lower area compared to nearby water catchment/river. Thus, the company has decided
to construct bunds/dike to prevent flooding.
Map indicating areas constructed with flood prone bunds is sighted during the audit.
Criterion 4.4: Practices maintain the quality and availability of surface and ground water.
4.4.1 An implemented water management plan shall be in place. Minor
Findings Comply?
The production unit has established a Water Management Plan for PT Usaha Agro Indonesia. The plan has Yes
included:
a. Identified Water Sources
- Bore Well
- Water catchment
- River
- Rainwater
b. Management of Water Sources
- Maintenance of buffer zone
- Routine maintenance of water drainage (peat)
- Maintenance of Water Level
c. Monitoring of Water Sources
- Drinking water quality analysis
- Domestic water quality analysis
- Installation of signage to prevent chemical application
d. Water Quality Monitoring
Besides, the production unit has also established a procedure for water management plan at low-lying area
– Tata Kelola Air di Area Rendahan (P-SAG-KBN-PML-28). This procedure has been established to cater
water management at peat areas.
The water management plan established is also focusing on ensuring local communities, workers and their
families to have access to adequate and clean water for drinking, cleaning and other purposes.
Site inspection conducted at watercourses within the production unit confirms that the buffer zone of 50m is
well maintained. No evidence of any chemical application has been made within the riparian area.
Verification conducted at the land application area (mill effluent discharge) is in good conditions and located
away from any natural waterways.
Protection of water courses and wetlands, including maintaining and restoring appropriate riparian
4.4.2 and other buffer zones (refer to national best practice and national guidelines) shall be Major
demonstrated.
Findings Comply?
The production unit has established a map showing the location of identified natural water courses and Yes
wetlands available in the whole PT Usaha Agro Indonesia. The map is sighted in HCV Map (Peta Kawasan
Bernilai Konservasi Tinggi).
Site inspection conducted to the wetlands in deep peat area (HCV1, 3&4) and Sg. Danau Kapar confirms
that the production unit did maintain the riparian and buffer zones to protect the watercourses. Signage to
educate local communities and workers are found that they are available and visible.
The production unit is maintaining the riparian and buffer zones of the areas as per stated in Section 6.3.1:
HCV Management Plan (Rencana Pengelolaan Areal NKT). Site verification conducted during the audit
confirms that the production unit has implemented the management plan as per recommended by the HCV
assessor.
Appropriate treatment of mill effluent to required levels and regular monitoring of discharge quality,
4.4.3 especially Biochemical Oxygen Demand (BOD), shall be in compliance with national regulations Minor
(Criteria 2.1 and 5.6).
Findings Comply?
The mill effluent treatment method is available in Final Effluent Treatment (P-SAG-PKS-PRS-11). Flow of Yes
the effluent treatment is sighted in the same procedure.
A map indicating the location of effluent treatment plant is evident in the meeting room. Quality of final water
discharge (for land application) is sampled and monitored to ensure it is meeting legal requirements stated
in Izin Pemanfaatan Air Limbah untuk Aplikasi ke Tanah kepada Perkebunan Kelapa Sawit PT Usaha Agro
Indonesia (400/PERKIMLH-C/2017). The approved discharged BOD is <5,000mg/litre.
Sample of discharged BOD is taken on a monthly basis. Example of result at effluent discharge is available
in Report of Analysis from Sucofindo Laboratory. Latest sampling (Report No.: LAB.AKL.3079.2017) has
been made on 1 Nov 2017 which indicates results of BOD at 1,649.21mg/L. This is meeting the regulations
set by local authority.
As of November 2017, volume of POME generated is 1.33m3/ton FFB Processed.
4.4.4 Mill water use per ton of fresh fruit bunches [FFB] - see criterion 5.6 - shall be monitored. Minor
Findings Comply?
The POM is monitoring water consumption for FFB processing as evident in MMR PKS UAI (e.g.: Yes
November). Total water consumption in November 2017 is 13,958.80m3. Total water consumption per MT
FFB is 2.29m3/MT FFB.
Criterion 4.5: Pests, diseases, weeds and invasive introduced species are effectively managed using appropriate
Integrated Pest Management techniques.
4.5.1 Implementation of Integrated Pest Management (IPM) plans shall be monitored. Major
Findings Comply?
The production unit has established documented procedure for monitoring and management of Integrated Yes
Pest Management (IPM). The procedure is available and sighted during the audit as below:
a. Monitoring Hama (P-SAG-KBN-PML-15)
b. Pengendalian Hama Daun (P-SAG-KBN-PML-16)
c. Introduksi dan Pengembangan Tyto Alba (P-SAG-KBN-PML-19)
d. Pengendalian Hama Tikus TBM-TM (P-SAG-KBN-PML-18)
e. Pengendalian Hama Tirataba (P-SAG-KBN-PML-17)
Records of census of pest are available in Buku Pengamatan Hama Tikus (LBB-SAG-KBN-PML-150401)
and Form Ringkasan Sensus Hama Daun (F-SAG-KBN-PML-150201). As of the date of audit, there is no
major outbreak of pest occur in the production unit.
For example, result of bagworm census conducted on 8 Dec 2017 in Meranti Estate indicates total infected
0%. Total infection detected for rats detected are as below:
a. Keruing Agro Estate: 11 Sep 2017 (4.00%)
b. Meranti Agro Estate: 8 Dec 2017 (0.04%)
As there is no outbreak of IPM detected in the production unit, there is no treatment started for the pest
management. However, training for census is of IPM is available and recorded in 4.5.2.
The production unit has also implemented planting of beneficial plant as evident in Record of Turnera,
Antigonon and Casia for all 3 estates. Maps of the planted beneficial plant are made available during the
audit.
4.5.2 Training of those involved in IPM implementation shall be demonstrated. Minor
Findings Comply?
Training related to the implementation of IPM has been conducted as follows: Yes
a. Pelatihan Sensus Hama Daun di KAE dan MAE (10 Oct 2016)
b. Pelatihan Sensus Hama Daun di Ulin Estate (7 Oct 2016)
The training has been conducted by Field Quality Assurance team. Records of the training materials and
attendance are evident during the audit.
As there is no major outbreak of pest, there is no training being conducted for handling of pesticide.
Criterion 4.6: Pesticides are used in ways that do not endanger health or the environment.
Justification of all pesticides used shall be demonstrated. The use of selective products that are
4.6.1 specific to the target pest, weed or disease and which have minimal effect on non-target species Major
shall be used where available.
Findings Comply?
The production unit is using a procedure for spraying which also covers handling of pesticides. The Yes
procedure is available in Pengendalian Gulma TBM (P-SAG-KBN-PML-22) and Pengendalian Gulma TM (P-
SAG-KBN-PML-12).
The company is using several chemicals for targeted weeds species as listed by Pesticides Board (Buku
Hijau). List of pesticides used and target weeds are available in Justification of Chemicals - Justifikasi
Penggunaan Pestisida PT Sampoerna Agro Tbk. Example of chemicals registered are:
a. Amiphosate 480 SL
b. Delata 25 EC
c. Garlon 670 EC
d. Marshal 5g
e. Prima Up 480 SL
Site inspection conducted at Field P0025 founds that the sprayers (19 workers) are applying pesticides in
accordance to the procedure.
Records of pesticides use (including active ingredients used and their LD50, area treated, amount of
4.6.2 Major
active ingredients applied per ha and number of applications) shall be provided.
Findings Comply?
The production unit has established a pesticides application program for every estate as evident in Upkeep Yes
Program - Program dan Realisasi Perawatan TH2017. Example of spraying program evident during the audit
are:
a. Meranti Agro Estate:
- Field No.: ID0026
- Chemical Type: Glyphosate (2.89Liters for 11.55Ha)
- Program: January 2017
- Realization: January 2017 (5.00Liters for 16.00Ha)
b. Keruing Estate:
- Field No.: IK001
- Chemical Type: Glyphosate (6.00Liters for 8.00Ha)
- Program: January 2017
- Realization: February 2017 (6.00Liters for 8.33Ha)
Any use of pesticides shall be minimized as part of a plan, and in accordance with Integrated Pest
4.6.3 Management (IPM) plans. There shall be no prophylactic use of pesticides, except in specific Major
situations identified in national Best Practice guidelines.
Findings Comply?
As of the date of audit, there is no outbreak of pest occurrence in the production unit. Hence, there is no Yes
treatment started.
However, as mentioned in 4.5.1, the company has established a procedure for monitoring, identifying and
treatment method for any case of pest occurrence.
Pesticides that are categorized as World Health Organization Class 1A or 1B, or that are listed by
the Stockholm or Rotterdam Conventions, and paraquat, are not used, except in specific situations
4.6.4 Minor
identified in national Best Practice guidelines. The use of such pesticides shall be minimized and
eliminated as part of a plan, and shall only be used in exceptional circumstances.
Findings Comply?
The production unit is applying Paraquat which is listed in WHO classification of chemicals (Class II). It is Yes
evident that the production unit has kept a complete listing of WHO class 1A, 1B and Stockholm
Conventions pesticides.
The company has shown their commitments in reducing or limiting the usage of Paraquat (Class II) as
evident in Memorandum (No. 084/MD/VI/2013) dated 20 Jun 2013. The memo has clearly explained the
company commitments in reducing the usage of Paraquat for specific weeds (Dicrapnoteris linearis;
Melastoma melabathricum) and its application shall be monitored.
The company did ensure that all workers handling Paraquat has been certified and trained by endorsed
trainer under Pemerintah Provinsi Kalimantan Barat (PT. Mitra Kreasidharma). The certificates for all
sprayers have been made available in Training Certificate - Sertifikat Pelatihan Penggunaan Pestisica
Terbatas (TOPZONE 276 SL). Example of the certified sprayers are:
a. Rasiana T. – Keruing Estate
b. Narsih – Keruing Estate
c. Triman – Ulin Estate
d. Karsun – Ulin Estate
e. Marisem – Meranti Estate
f. Lina Rahayu – Meranti Estate
Records of LD50 of chemical usage per hectare are available in and per MT FFB are available in Pesticide
Toxicity Units Monitored. Example of recorded LD50 are as below (October 2017):
Chemical a.i./FFB a.i./Ha
Prima Up 0.004441 0.003116
Paraquat Dichloride 0.000000 0.000000
Meta Prima 20 0.000012 0.000008
Starane 0.000000 0.000000
Pesticides shall only be handled, used or applied by persons who have completed the necessary
training and shall always be applied in accordance with the product label. Appropriate safety and
4.6.5 Major
application equipment shall be provided and used. All precautions attached to the products shall be
properly observed, applied, and understood by workers (see Criterion 4.7).
Findings Comply?
The production unit has established SOP for application of spraying as evident in Pengendalian Gulma TBM No
(P-SAG-KBN-PML-22) and Pengendalian Gulma TM (P-SAG-KBN-PML-12).
Training for all sprayers has been conducted both internally and externally. Evidence of spraying training has
been sighted during the audit in Spraying Equipment Calibration - Laporan Kalibrasi Alat Semprot as below:
a. Ulin Estate: 14 Sep 2017 (20 Workers & 2 Mandores)
b. Meranti Estate: 23 Nov 2017 (20 Workers & 2 Mandores)
c. Keruing Estate:7 Dec 2017 (26 Workers & 2 Mandores)
The training has been conducted in local language as evaluated during site inspection. It was found that
sprayers interviewed during the audit (Rasiana and Narsih) have been trained in the session. They have
indicated their awareness of implementation of chemicals as per product label.
Site inspection conducted at Field P0025 of Keruing Estate founds that there is no MSDS made readily
available for easy reference for usage of Paraquat.
The pesticides (Paraquat) brought on-site for field operation are found being kept in a way which allow
contamination to the environment, food and human. There is no tray to prevent any spillage of the chemicals
during mixing and transporting.
There is no labelling/signage being displayed to keep the workers aware of the types of chemicals contents
and the hazard.
There is no space allocated for the workers, their food and drink water to avoid risk of contamination with
chemicals and spraying equipment‟s when commuting to the worksites.
During interview with the sprayers, the auditors sighted a group of 3 sprayers which spraying (to finish up
chemicals balance in the pump) with eye goggles and face mask opened.
Major NCR 01
Storage of all pesticides shall be according to recognized best practices. All pesticide containers
4.6.6 Major
shall be properly disposed of and not used for other purposes (see Criterion 5.3).
Findings Comply?
The production unit has established a procedure for pesticides storage. It is evident in Handling of Material Yes
B3 (P-SAG-RO-PCR-05). Training has been conducted related to SW on 7 Dec 2017.
Site inspection and verification has been conducted to the chemical store and found that it was stored in the
recognized best practices. (Please refer findings in 4.6.5).
The company is disposing empty chemical containers through approved collector. Latest disposal of empty
chemical containers are found recorded in Hazardous Waste Manifest dated 15 Dec 2017 as below:
a. No. ATU 000546: Kemasan Limbah B3
b. ATU 000549: Limbah Klinis
c. ATU 000544: Used Battery
4.6.7 Application of pesticides shall be by proven methods that minimize risk and impacts. Minor
Findings Comply?
Work instruction of pesticides application is available in Pengendalian Gulma TBM (P-SAG-KBN-PML-22) Yes
and Pengendalian Gulma TM (P-SAG-KBN-PML-12).
Site inspection confirmed that the application of chemicals in field P0025 is using Conventional Knapsack
Sprayer (CKS) with green nozzles which minimize negative impacts.
Pesticides shall be applied aerially only where there is documented justification. Communities shall
4.6.8 be informed of impending aerial pesticide applications with all relevant information within Major
reasonable time prior to application.
Findings Comply?
There is no application of aerial spray in the production area. n.a
Maintenance of employee and associated smallholder knowledge and skills on pesticide handling
4.6.9 Minor
shall be demonstrated, including provision of appropriate information materials (see Criterion 4.8).
Findings Comply?
There is no scheme smallholders involved in the estates. Workers knowledge and skills on pesticide Yes
handling has been demonstrated to the audit team during the audit. Training on safe working practices has
been provided and records of PPE issuance are maintained by the company. Observed usage of PPE by
workers for sampled activities, as follows:
Unit Activity PPE Provided
Chemical spraying Masks, goggles aprons, safety helmet & boots.
Ulin Agro Estate
Harvesting Safety shoes, safety helmet
The company also maintains a checklist to monitor PPE usage by workers. Checklists used to monitor PPE
usage by harvesters for Keruing and Meranti estates, were sampled for period 5th to 7th Dc 2017.
Proper disposal of waste material, according to procedures that are fully understood by workers and
4.6.10 Minor
managers shall be demonstrated (see Criterion 5.3
Findings Comply?
The production has established a procedure for management of schedules waste as evident in Pengendalian Yes
Limbah di Kebun (P-SAG-KBN-LMB-01). The production unit has also established a procedure for the
management of empty chemical containers and spraying equpments as evident in Pencucian Kemasan
Pestisida dan Peralatan Semprot (WI-SAG-KBN-PML-1207).
Both procedures have been briefed to all relevant personnel and workers during morning briefing dated 11
Sep 2017. The company is disposing empty chemicals containers using approved SW collector PT Indo
Rudy Jaya. The company is approved by local government as SW collector as evident in Company Profile
(Pengangkutan dan Pengumpulan Limbah B3). Record of SW disposal is reported in 4.6.6.
Specific annual medical surveillance for pesticide operators, and documented action to treat related
4.6.11 Major
health conditions, shall be demonstrated.
Findings Comply?
The production unit has established a list of all sprayers in the estates. Total sprayers in all estates are as Yes
below:
a. Ulin Estate: 20 Workers & 2 Mandores
b. Meranti Estate: 20 Workers & 2 Mandores
c. Keruing Estate: 26 Workers & 2 Mandores
All workers handling chemicals has been scheduled to undergo annual medical surveillance to check on the
Cholinesterase in January 2018. As of the date of audit, only 4 chemicals handler has undergone the
checkup and confirmed that they are in conditions of “fit for work” as below:
a. Paiman – Ulin Estate
b. Nurlina – Meranti Estate
c. M. Idris – Ulin Estate
d. Marta – Keruing Estate
Routine annual medical surveillance (General Medical Check-up: Blood Pressure, Weight; Eyes, Diet, etc.)
has been conducted for all workers as evident in Laporan Hasil Pemeriksaan Kesehatan Berkala Tenaga
Kerja for all estates (Ulin, Keruing & Meranti) in November 2017. Based on the medical surveillance, the
audit team confirmed that all workers are fit to work.
4.6.12 No work with pesticides shall be undertaken by pregnant or breast-feeding women. Major
Findings Comply?
The production unit is conducting medical check-ups for all sprayers every 3 monthly. During the session, all Yes
sprayers (ladies) are required to check on the pregnancy test.
The company is implementing a policy to prevent pregnant women or breastfeeding mother from doing work
in contact with chemical (manuring or spraying) as evident in Memorandum (No. 189/SAKR/HR/11/2014)
dated 5 Nov 2014. The memorandum is clearly mentioned Larangan Mepekerjakan Wanita Hamil atau
Menyusui untuk Menyemprot dan Memupuk.
Site inspection and interview conducted at spraying area in P0025 confirms that all sprayers (ladies) are not
pregnant or breastfeeding.
Criterion 4.7: An occupational health and safety plan is documented, effectively communicated and implemented.
The health and safety plan shall cover the following:
- A health and safety policy shall be in place
4.7.1 Major
- A health and safety plan covering all activities shall be documented and implemented, and its
effectiveness monitored
Findings Comply?
a. Safety & Health policy has been established. Yes
b. Safety & Health plan has been established by the Secretary – Safety & Health Committee SHC) assisted
by SHC members. Plan was approved by the Chairman – SHC (, i.e. GM PT. UAI). Plan includes
commitment to:
- Integrate and implement ethics within the operations
- Fulfill customer and legal requirements
- Respect Human Rights, including workers‟ right for collective agreement
- Provide protection for women in the workforce, prevent sexual harassment and protect reproductive
rights.
- Prioritising good work practices towards achieving quality, meeting safety & health and product quality
facilitate/
- Optimising efforts on workplace accident & disease prevention arising from workplace conditions
- Prevention of environmental pollution and cultivating new planting without open burning.
c. Plan has established targets on:
Safety & Health
- Reduce incidence of workplace accidents
- Minimising work related disease
- Ensuring workers are equipped with PPE provided by the company.
Education & Training
- Increase competency of the SHC members
- Increase competency of workers to suit their job requirements
Open Burning
- Prevention of Open Burning
Environmental Compound / Safety & Health
- Ensuring housing compound is kept clean and safe
- Providing timely and effective assistance for workplace accidents
d. Plan target implementation discussed during the quarterly SHC meetings.
e. The plan / implementation progress of its actions plans discussed during the Safety & Health Committee
meetings. Safety & Health Committee includes workers representative as members, which facilitate
sharing / communication of the plan.
f. Plan progress assessed and discussed during the quarterly SHC meetings.
All operations where health and safety is an issue shall be risk assessed, and procedures and
4.7.2 actions shall be documented and implemented to address the identified issues. All precautions Major
attached to products shall be properly observed and applied to the workers.
Findings Comply?
a. Risk assessment prepared for all operations – Meranti Agro, Ulin Agro, Keruling Agro Estates and UAI No
mill, and reviewed annually.
b. Noted the risk assessment of the estates / mill states repeated generic risk control measures, as sampled:
Area Activity Risk Control Additional Measures
Estates
Safety awareness training,
Terkena alat Establish SOP/WI use
Produksi TBS for mandor, consistent use
kerja/TBS/pelepah PPE during work
of PE
Safety awareness training,
Establish SOP/WI use
Pengangkutan TBS Fall or slip for mandor, consistent use
PPE during work
of PE
Effluent control at field Poisonous material Use PPE during work / Socialisation, monitoring
Establish SOP/WI
Mill
Use complete PPE
Weighing FFB Sorting FFB during work / Establish Socialisation, monitoring
SOP/WI
Use complete PPE
Steriliser Pumping condensate water during work / Establish Socialisation, monitoring
SOP/WI
The company management deemed this was acceptable as SOP‟s applicable to the specific activities are
included in the HIRARC. This would facilitate further reference by the operations on specific risk control
measures for the related activity.
c. Accidents cases/reports:
- Are discussed during quarterly Safety & Health (P2K3) meetings
- Noted that Accident reports only detail the events leading to the accident occurrence and first
aid/medical measures provided to victim. These reports do not include identification of remedial
measures/actions to mitigate recurrence.
- The identification of corrective measures for accident cases / were advised only included as part of the
annual risk assessment review / update process.
- For improvement:
 The accident reports need to include identified corrective measures to mitigate future recurrence.
This would enhance the risk assessment review process, as corrective measures are already
identified.
 The risk assessments should be reviewed / updated timely, subsequent to occurrence of any
accident cases to facilitate inclusion of action plans to mitigate future recurrence.
d. SOP‟s have been established for - risk assessment: Indentifikasi Aspek Lingkungan & K3, Penentuan,
Sasaran dan Program Lingkungan & K3 – No. P-SAP-RO-SUS-08 (dd. 1 Jun 2012). This SOP also
incorporated requirements for accident investigation requirements. However, noted that the requirements
on accident reporting was only general in nature, i.e. grouped / relating to general Safety & Health
reporting requirements. There were no specific requirements relating to:
- investigation method/process
- PIC
- classification of accidents
- need for identification of remedial measures
The lack of a specific Accident Investigation & Reporting SOP would hinder effectiveness of the accident
management process.
e. Noted the following issues:
- The MSDS for chemicals / fertilizer were not available for the Chemical, Fertilizer and Lubricant stores at
Ulin Agro, Keruing Agro Estates and UAI mill. Unavailability of MSDS will not facilitate ensuring proper /
complete observance of precautions attached to related products.
- Emergency shower facility was not available / installed at the main Chemical store – representing risk of
delayed response to a chemical splash incident affecting
- The old wooden housing quarters at Ulin Estate potentially represents a significant fire hazard. There
were no fire prevention facilities available in the vicinity of this housing area, e.g. fire extinguishers or fire
hydrant.
- LPG gas tanks were also observed stored at the veranda area of a unit within this Ulin Estate workers
housing quarters. Presumably these were stored by a resident engaging in retail sale of these items
within the housing compound. This represents a serious fire / explosion hazard to the surrounding
community.
- Observed issues on contract workers (subcontractor) performing work at height as follows:
 At Main Division, Ulin Estate - on elevated scaffolding without using any PPE, e.g. gloves, safety
shoes, helmet or attached lifeline
 Main Office Complex – at roof area of construction project without using any PPE, e.g. gloves, helmet
or attached lifeline.
Major NCR 02
All workers involved in the operation shall be adequately trained in safe working practices (see
Criterion 4.8). Adequate and appropriate protective equipment shall be available to all workers at
4.7.3 Major
the place of work to cover all potentially hazardous operations, such as pesticide application,
machine operations, and land preparation, harvesting and, if it is used, burning.
Findings Comply?
a. Workers have been provided with training on safe work practices. Yes
b. Training programs been conducted, as noted for sampled workers:
- Bpk Ardianto: Harvester
- Bpk. Arief: Harvester
c. Inventory of PPE is maintained by the company – safety helmets, shoes / boots, gloves, aprons, goggles,
face masks, aprons, ear plug/muffs.
d. PPE is replaced free of charge upon request by workers, when workers present the damaged / defective
PPE for replacement
e. List of PPE distribution maintained
f. Observed usage of PPE by workers for sampled activities, as follows:
Unit Activity PPE Provided
Chemical spraying Masks, goggles aprons, safety helmet & boots.
Ulin Agro Estate
Harvesting Safety shoes, safety helmet
Safety helmets, ear muffs / ear plug, safety shoes
UAI Mill Mill Processing area
/ boots
The company also maintains a checklist to monitor PPE usage by workers. Checklists used to monitor PPE
usage by harvesters for Keruing and Meranti estates, were sampled for period 5th to 7th Dc 2017.
The responsible person/persons shall be identified. There shall be records of regular meetings
4.7.4 between the responsible person/s and workers. Concerns of all parties about health, safety and Major
welfare shall be discussed at these meetings, and any issues raised shall be recorded.
Findings Comply?
a. Safety and Health committee established with structure determined, members appointed from the Yes
company and workers‟ representatives.
b. Safety & Health committee meeting held on quarterly basis as required by regulation. Sampled meeting
dates / minutes, as follows:
- 15 Jul 2017
- 22 Nov 2017
c. Minutes of meting and attendee list recorded and maintained, for sampled meetings (refer point (b)
above).
d. Issues discusses during the meetings included:
- Safety & Health program
- Evaluation of program progress / achievements
- Accident reporting and analysis
- Workplace inspection
- K3 / Safety Police activities
Accident and emergency procedures shall exist and instructions shall be clearly understood by all
workers. Accident procedures shall be available in the appropriate language of the workforce.
4.7.5 Assigned operatives trained in First Aid should be present in both field and other operations, and Minor
first aid equipment shall be available at worksites. Records of all accidents shall be kept and
periodically reviewed.
Findings Comply?
a. SOPs established for emergency response. However, no specific SOP for accident investigation / reporting No
(refer point 4.7.2 (d) above).
- ERP SOP has adequate coverage of emergences relating to the estate / mill operations including – Fire
(Forest / Plantation / Infrastructure), Flood, Earthquake, Landslide, Typhoon Scheduled/ Waste /
Hazardous material spillage, Rioting
- Noted that Accident reports only detail the events leading to the occurrence and first aid/medical
measures provided to victim. These reports do not include identification of remedial measures/actions to
mitigate recurrence.
- Accident report details are submitted monthly to the local authority – sighted submissions for July to
Nov 2017.
- Noted the ERP procedure prepared in Bahasa Indonesia, as were the accident reports, based on
sampled reports for 2017.
b. Based on interview of sampled workers, they are familiar with ERP procedures, including warning sirens,
evacuation routes and assembly points / areas.
c. Mandore / supervisory level workers have been provided first aid training. Mandores / supervisors assume
this role.
d. Records of training are maintained by the company, as evidenced during sampled site verification
exercise.
e. For the Ulin estate sampled harvesting gang, noted the assigned first aid kit was not brought to site as the
assigned custodian was on leave. Therefore, this harvesting gang was “sharing” a first aid kit with another
harvesting gang at the time.
f. Sampled First aid box / kits:
- At Ulin, Keruing estates and PT Usaha mill were lacking in adequacy of contents stocked.
- In addition, the first aid kit for the Ulin estate sampled spraying gang noted the first aid kit brought to site
also lacked essential required items
- The above represents a concern on ability to provide timely / effective on-site first aid assistance in case
of an accident / incident occurring.
- Based on sampled records, Accident reports are maintained by the company. However, noted that these
reports do not include identification of remedial measures/actions to mitigate recurrence.
Minor NCR 03
4.7.6 All workers shall be provided with medical care, and covered by accident insurance Minor
Findings Comply?
a. Workers are provided with medical care, covered by an umbrella insurance policy scheme covered under Yes
the government - BPJS Ketengakerjakan. - Policy No: 080000009296, registered under MAE PT Usaha
Agro Indonesia.
b. Noted compensation claims were paid from the insurance scheme to 2 sampled workers:
- Bpk. Faris
- Bpk. Hanif
c. Valid insurance policy has been verified during the audit which contains information of coverage. The
scheme policy details stated following compensation quantum:
 Death
- One-off payment - Rp16.200.000,00
- Installments: 24 x Rp200.000,00 = Rp4.800.000,00 (paid as one-off payment)
- Child education - Rp3.000.000,00
- Education assistance for child education for each Participant that passes away due to non-work related
issue and who has participated in the scheme for not less than 5 years.
- Education fund state above amounts to Rp12.000.000,00 for each Participant.
 Injury (Compensation entitlement as % of monthly wages):
- Very low risk: 0,24%
- Low risk: 0,54%
- Medium risk: 0,89%
- High risk: 1,27%
- Very high risk: 1,74%
Sighted details of reriodic contributions made for this scheme by the company for Aug to Nov 2017.
4.7.7 Occupational injuries shall be recorded using Lost Time Accident (LTA) metrics. Minor
Findings Comply?
Occupational accidents / incidents are recorded and categorised as follows: No
- Light injury - First aid cases not involving lost time injury
- Minor injury – Not categorised as reporting metric, i.e. for lost time cases between 1 to 21 days.
Company advised this was being grouped under the “Light injury” classification.
- Serious injury / Permanent disability - Cases involving lost time of more than 21 days (incl. weekends &
public holidays) and/or involving loss of limb / function
- Fatality / Death
- The gap in the LTA metrics / accident classification could be contributed by the lack of a specific SOP
for accident investigation / reporting which clearly details the LTA metrics and classification
requirements.
Minor NCR 04
Criterion 4.8: All staff, workers, smallholders and contract workers are appropriately trained.
A formal training programme shall be in place that covers all aspects of the RSPO Principles and
4.8.1 Criteria, and that includes regular assessments of training needs and documentation of the Major
programme.
Findings Comply?
a. Training list maintained by the company for the full time / part time workers. Yes
b. Training Needs Analysis undertaken by the certification unit to identify requirements and establish an
annual training program for the workers.
c. Sampled provision of training as follows:
Subject / Content Conducted by Attended By Remarks
5 Aug 2017
Increase understanding of Iswanda Hasibuan, - GM, Senior Managers, Sighted course
RSPO Principles: Manager – Sustainability – Estate & Mill Managers contents,
PT.Usaha Agro attendance list and
- Meaning & benefit of RSPO training photo
- Requirements of RSPO
Principles
16 Dec 2017
Facilitate understanding of Meranti Estate: 177 workers Sighted course
RSPO requirements incl.: contents,
Ilham Dwi Putra & Anita attendance list and
- Requirements of RSPO Wiianawati - Asst training photos
Principles Sustainability – PT.Usaha
Agro
- Workers role in facilitating
conformance Meranti Estate: 275 workers Sighted course
contents,
- Company obligation to Ilham Dwi Putra & Anita attendance list and
provide and replace PPE Wiianawati - Asst training photos
Sustainability – PT.Usaha
- Importance of HCV areas and
Agro
protecting RTE species
4.8.2 Records of training for each employee shall be maintained. Minor

Findings Comply?
Training records for all workers are well maintained by the certification unit. Some of the workers training Yes
records verified during the audit are:
a. Bpk. Hardi
b. Bpk. Rizki
Principle 5: Environmental Responsibility and Conservation of Natural Resources and Biodiversity

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 continual improvement.
5.1.1 An environmental impact assessment (EIA) shall be documented. Major
Findings Comply?
The Social & Environmental Impact Assessment (SEIA) [Analisis Mengenai Dampak Lindungan (AMDAL) Yes
document (ref: no. 29, 2009] dated 16 January 2009 has been established and undertaken through a
participatory methodology which includes the affected stakeholders. Observed that the document covers all
aspects for the establishment and operation of the plantation as well as the mill.
Based on the verification within the above document, the audit team observed that the assessment
conducted for an area totaling to 11,300 ha and addressing all impacts that may arise following to the
operation of the plantation and the mill which is summarized as follows:”
 major planned activities, including planting, mill operations, roads, buildings and infrastructure;
 Flora and fauna;
 natural ecosystems of planned developments, including whether development or expansion will increase
pressure on nearby natural ecosystems;
 Watercourses and wetlands;
 Hydrology and land subsidence;
 Soil composition and topographic, including the identification of steep slopes, marginal and fragile soils,
areas prone to erosion, degradation, subsidence, and flooding;
 Type of land to be used (forest, degraded forest, cleared land);
 Land ownership and user rights;
 Land use patterns;
 Social aspects for the surrounding communities of a plantation - including an analysis of potential effects
on livelihoods, and differential effects on women versus men, ethnic communities, and migrant versus
long-term residents.
Further verification in the above document observed that the assessment captures the changes over time
whereby the assessment and identification of the aspects and impact is outlined based on 4 phases of
operation and development of the plantation and mill as follows:
 Phase 1 – The presumption of the aspects and impacts from the operation based on initial stakeholder
consultation process conducted with the relevant stakeholders such as relevant government and
regulatory authority, local communities and NGOs;
 Phase 2 – the aspects and impacts from the development stage of the plantation and mill is identified
and assessed which covers the social and environmental aspects;
 Phase 3 – the aspects and impacts following the operation of the plantation and mill;
 Phase 4 – the post-operation of the plantation and mill.
Following to the above, the Environmental Management Report and Environmental Mitigation and
Monitoring Report is subsequently be established following to the above aspects and impacts identified. Both
documents are made available to the audit team during the audit.
Where the identification of impacts requires changes in current practices, in order to mitigate
negative effects, a timetable for change shall be developed and implemented within a
5.1.2 Minor
comprehensive management plan. The management plan shall identify the responsible
person/persons.
Findings Comply?
Following to the above, the Environmental Management Report and Environmental Mitigation and Yes
Monitoring Report is subsequently be established following to the above aspects and impacts identified. Both
The management plan has been included timeline for implementation as well as the person in charge for the
implementation. Mitigation measures of negative impacts are identified and plan for the implementation are
tabulated.
This plan shall incorporate a monitoring protocol, adaptive to operational changes, which shall be
implemented to monitor the effectiveness of the mitigation measures. The plan shall be reviewed as
5.1.3 Minor
a minimum every two years to reflect the results of monitoring and where there are operational
changes that may have positive and negative environmental impacts.
Findings Comply?
The environmental monitoring plan has been established as reviewed by the audit team during the audit. The Yes
plan has been reviewed in Mar 2017 which includes monitoring measures for all identified environmental
management plan.
Site verification to the field and POM confirms that the environmental management plan has been
implemented and monitored through workplace inspection (3 monthly) and internal audit (annually).
Criterion 5.2: The status of rare, threatened or endangered species and other High Conservation Value habitats, if any,
that exist in the plantation or that could be affected by plantation or mill management, shall be identified and operations
managed to best ensure that they are maintained and/or enhanced.
Information shall be collated in a High Conservation Value (HCV) assessment that includes both the
5.2.1 Major
planted area itself and relevant wider landscape-level considerations (such as wildlife corridors).
Findings Comply?
PT Usaha Agro Indonesia has appointed a consultant to conduct High Conservation Value area within the Yes
production unit (covering all 3 estates). The appointed consultant is Pusat Kajian Biodiversitas dan
Rehabilitasi Hutan Tropika Indonesia (BIOREF Centre) from Bogor Agricultural Institute.
Initial HCV assessment has been conducted for the company in 2011 and being reviewed by the same
consultant in 2017. Result of the HCV assessment found in 2011 has been used as a baseline for the review
process in 2017. Result of the HCV assessment is available in HCV Verification Report within PT Usaha
Agro Indonesia - Laporan Verifikasi Nilai Konservasi Tinggi di Areal PT Usaha Agro Indonesia.
Result of all protected flora and fauna within the production area from 2011 and 2017 is available in Table V-
8 of the report. Example of identified species compared to IUCN list are:
a. Shorea balangeran – IUCN Critically endangered
b. Shorea seminis – IUCN Critically endangered
c. Nephenthes rafflesiana – IUCN Least concern
d. Gonystylus bancanus – IUCN Vulnerable
The assessment has also identified areas of HCV areas exist in the production area as below:
HCV Category Areas Identified
SS Paya Tarung (43.78 Ha)
1 Rawa Gambut Dalam 1&2 (12.64 Ha & 54.44 Ha)
Rawa Air tawar (13.24 Ha)
Areal Rawa Gambut Dalam 1&2
3
(12.64 Ha & 54.44 Ha)
Sempadan Sungai:
SS Danau Kapar (30.18 Ha)
SS Jambi (61.85 Ha)
4
Areal Rawa Gambut Dalam 1&2 (12.64 Ha & 54.44 Ha)
Rawa Air Tawar (13.24 Ha)
Kawasan Sekitar Mata Air Paya Tarung dengan
Buffer 200 meter (3.85 Ha)
6 Tempat peniatan berupa pohon mentawa (0.002Ha)
The HCV assessment has been conducted by Dr. Nyoto Santoso; HCV-RN ALS Provisionally Licensed
Assessor (ALS14013MS).
Method of the HCV assessment indicated/explained in section 4.4.2: Activity Stages – Tahapan Kegiatan
and Appendix 5: Stakeholders Attendance List; it was confirmed that the assessment/verification has been
conducted in consideration of stakeholder‟s input. The report has included protected flora and wildlife
species. The list is available in Table V-9: Wildlife Status in PT Usaha Agro Indonesia.
Training on HCV has been conducted to local communities and workers within the production unit. It was
evident in Sosialisasi Nilai Konservasi Tinggias below:
a. Dusun Sekar Sari (17 & 22 Apr 2017) – Attended by 12 local communities
b. Dusun Berais (22 Apr 2017) – Attended by 22 local communities
c. Ulin Agro Estate (2 May 2017) – Attended by 12 workers head
d. Keruing & Meranti Estate (29 Apr 2017) – Attended by 45 workers
e. Keruing Estate (10 Oct 2017) – Attended by 46 workers
f. Ulin Agro Sentosa (12 Oct 2017) – Attended by 46 workers
Besides, the production unit has appointed Mr. Petrus Aderman as the Conservation Mandore as evident in
Memorandum (No. 011/Konsv-UAI/X/2017) dated 10 Jan 2017. He has been trained by appointed
consultant; Forestry Faculty of Bogor Agricultural Institute on 6 Apr 2017.
Monitoring of the protected species as well as HCV areas within the production unit are recorded in Daftar
Temuan Satwa Liar which is updated on a monthly basis. The information gathered is then summarized for
annual monitoring and management as evident in Laporan Pengelolaan dan Pemantauan KBKT/Kawasan
Lindung 2017. Samples of monthly monitoring report are sighted as below:
a. November 2017
- Burung Keruak (6 sighted)
- Burung Gagak (3 sighted)
- Monyet Ekor Panjang (10 sigthed)
b. August 2017
- Burung Rangkong (2 sighted)
- Burung Raja Udang (3 sighted)
- Monyet Ekor Panjang (15 sighted)
c. June 2017
- Burung Kutilang (6 sighted)
- Burung Pipit (20 sighted)
- Burung layang-layang (40 sighted)
Where rare, threatened or endangered (RTE) species, or HCVs, are present or are affected by
5.2.2 plantation or mill operations, appropriate measures that are expected to maintain and/or enhance Major
them shall be implemented through a management plan.
Findings Comply?
Monitoring of flora and fauna has been conducted by special HCV team of PT Sampoerna Argo Group and Yes
referring to a SOP No. P-SAG-KBN-NKT-02 on HCV management and monitoring. Result of monitoring has
been used to improve HCV area such as restoration of riverbank, signpost installation, patrol inspection,
flora and fauna monitoring is an implementation of the management and monitoring of HCV. Site inspection
conducted to the identified HCV area confirms that the HCV management plan has been implemented.
Signage to prevent illegal hunting, no open burning as well as the HCV category has been installed to
promote the conservation awareness to all workers and visitors. Training on HCV has been conducted to
local communities and workers within the production unit. It was evident in Sosialisasi Nilai Konservasi Tinggi
as below:
There shall be a programme to regularly educate the workforce about the status of these RTE
species, and appropriate disciplinary measures shall be instigated in accordance with company
5.2.3 Minor
rules and national law if any individual working for the company is found to capture, harm, collect or
kill these species.
Findings Comply?
A program to socialize the status of protected, rare, threatened or endangered species to all workers and Yes
local communities has been conducted by the certification unit. Training on HCV has been conducted to
local communities and workers within the production unit. It was evident in Sosialisasi Nilai Konservasi Tinggi
as below:
The company is implementing the local regulation for the protection of wildlife within the production unit. The
commitments is evident in Memorandum (No. 012/Konsv-UAI/V/2017) dated 8 May 2017.
The memorandum has clearly mentioned the commitment to comply with Regulation No. 5 (1990)
Konservasi Sumberdaya Alam Hayati dan Ekosistemnya. The same procedure also explains the mechanism
to mitigate conflicts within the company areas.
As of the date of audit, there is no disciplinary case recorded in the production unit. Interview conducted with
the workers also confirms that they understand the regulations as well as the disciplinary actions set by the
company.
Where a management plan has been created there shall be ongoing monitoring:
- The status of HCV and RTE species that are affected by plantation or mill operations shall be
5.2.4 Minor
documented and reported;
- Outcomes of monitoring shall be fed back into the management plan.
Findings Comply?
The certification unit has established a management plan for HCV and RTEs available within its operating Yes
areas which could be affected by the plantation and mill operations.
Result of the HCV assessment is available in HCV Verification Report within PT Usaha Agro Indonesia -
Laporan Verifikasi Nilai Konservasi Tinggi di Areal PT Usaha Agro Indonesia. Result of all protected flora and
fauna within the production area from 2011 and 2017 is available in Table V-8 of the report.
Signage to prevent illegal hunting, no open burning as well as the HCV category has been installed to
promote the conservation awareness to all workers and visitors.
Where HCV set-asides with existing rights of local communities have been identified, there shall be
5.2.5 Minor
evidence of a negotiated agreement that optimally safeguards both the HCVs and these rights.
Findings Comply?
Not applicable. Based on the HCV assessment report (Laporan Verifikasi Nilai Konservasi Tinggi di Areal PT Yes
Usaha Agro Indonesia); it was confirmed that there is no HCV areas identified within the certification unit are
overlapped with local communities land.
Criterion 5.3: Waste is reduced, recycled, re-used and disposed of in an environmentally and socially responsible manner.
5.3.1 All waste products and sources of pollution shall be identified and documented Major
Findings Comply?
The production unit has identified all activities/operations within the plantation and mill area which Yes
contributes to waste or pollution. Risk analysis - Form Identifikasi Aspek Mutu, Lingkungan dan K3 Serta
Dampak Penting Lingkungan dan Bahya dan Risiko K3 (for both POM and estates) is sighted during the
audit. The documents identifies waste generated/pollution contribution for every operations such as:
a. Land Preparation
- Organic Waste (leaves, woods)
- GHG emissions
- Schedule Waste (grease, lubricants)
b. IPM Census
- Anorganic Waste (water bottles, plastic, etc.)
- Schedule waste (paint container)
c. Manuring
- Emission of carbon from vehicles
- Schedule Waste (Inner fertilizer bag)
Mitigation and management plan for the waste and pollution sources is evident in the same document.
Training related to waste management for workers and contractors has been conducted by the production
unit.
As to the date of audit, the production unit has not started any recycling program. However, it has been
initiated through a meeting with workers representative.
5.3.2 All chemicals and their containers shall be disposed of responsibly. Major
Findings Comply?
The production unit has established a procedure for the management of empty chemicals containers. The Yes
procedure is available in Pencucian Kemasan Pestisida dan Peralatan Semprot (WI-SAG-KBN-PML-1207).
All empty chemicals containers shall be triple rinsed and kept in SW store prior disposal. Rinsate from the
triple rinse activities are collected for mixing of chemicals purposes on the next day.
There is no empty chemical container available in the SW store during the audit. All empty chemicals
containers have been disposed-off to the approved collector on 15 Dec 2017. Record of delivery is available
in Hazardous Waste Manifest dated 15 Dec 2017 as below:
a. No. ATU 000546: Kemasan Limbah B3
b. ATU 000549: Limbah Klinis
c. ATU 000544: Used Battery
A waste management and disposal plan to avoid or reduce pollution shall be documented and
5.3.3 Minor
implemented.
Findings Comply?
The production unit has established a documented waste management and disposal plan to avoid or reduce No
pollution as evident in Waste Management - Pengendalian Limbah di Kebun (P-SAG-KBN-LMB-01). The
SOP has identified 2 categories of waste such as:
a. Domestic waste
- Organic
- Inorganic
b. Scheduled Waste
- Spent Lubricant
- Clinical Waste
- Used Battery
- Empty Chemical Containers
Furthermore, the production unit has also established a form to identify all sources of pollutions and waste
generated as evident in Form Identifikasi Aspek Mutu, Lingkungan dan K3 Serta Dampak Penting
Lingkungan dan Bahya dan Risiko K3. Management of SW has been specified in procedure KEP-
01/BAPEDAL/09/1995. Domestic wastes (organic and an-organic) collected from workers housing are
disposed into landfill.
Site visit conducted to the landfill located at IN0043 of Ulin Estate confirmed that the landfill has been
segregated into Anorganic and Organic.
As to the date of audit, there is no reduction, re-use and recycle of waste plan has been developed or
implemented by the production unit to promote recycling activities.
It was also found that SW (empty lubricants containers) is being disposed-off at the organic landfill.
Site inspection conducted at Chemical Store at Main Store (caters for all 3 estates) founds that the mixing
activities has been conducted in a conditions which increase the risk of contamination. Surplus trap
construction from the mixing area is not complete (as of the audit date) which allows the surplus to flow
directly on the ground.
Site inspection conducted at workers housing and subcontractor areas at Ulin Estate founds that the waste
management are not implemented. There are evidences of Scheduled Waste (e.g.: spent lubricant; empty
chemical containers; empty lubricant containers) are being disposed-off irresponsibly. Furthermore, it was
found that diesel tank and lubricants are kept within the compound are not kept in a way specified in
Handling of Material B3 (P-SAG-RO-PCR-05) procedure. There are spillage of diesel and lubricants directly
onto the ground which cause pollution to the environment. It was also founds that the workers are using fire
to burn the domestic waste generated from the housing area.
It was found during the audit at housing area (Ulin Estate), that empty chemical containers are being used
for other purposes other than containing identified chemicals (e.g. storage of equipment‟s; measuring
chemicals dosage). The containers are being used to keep diesel.
As per site visit verification conducted to fertilizer store (transit) located at Ulin Estate, it was found that the
store is located in an area which is in risk of contaminating human and environment (e.g.: soil, monsoon
drain). The store is located <10metres from the workers housing. There is no walls/protection to protect the
fertilizer from being exposed to rain and no bunds/drain being constructed to prevent surface water to flow
through the store flooring (bare soil).
It was also found that the store has not being installed with locked doors and accessible by workers/children
staying at the housing complex at any time. No warning sign to give awareness of the hazardous materials
being stored and no spill kit is available.
Site verification conducted at main workshop area founds that schedule waste (used filter cartridge, spend
lubricants oil) are kept at an area which exposed to rain.
Major NCR 05
Criterion 5.4: Efficiency of fossil fuel use and the use of renewable energy is optimized.
A plan for improving efficiency of the use of fossil fuels and to optimize renewable energy shall be in
5.4.1 Minor
place and monitored.
Findings Comply?
Plan for improving the efficiency of fossil fuel usage is available in Chapter IV: GHG Emission Mitigation Yes
Program of Penilaian Cadangan Karbon dan Nilai Emisi GRK dari Alih Guna Lahan. The plan has included
plan for reduction of diesel usage through:
a. Utilization of fibres and shell in the boiler
b. Routine maintenance of all estates vehicles
c. Optimum usage of electric generator
It was found that the reduction plan has been implemented. In POM, total renewable energy usage is
recorded in Daily Limbah Padat. For example, in October 2017:
a. FFB Processed: 4,829.385MT
b. Shell Produced: 149.228MT
c. Fibre Produced: 579.526MT
d. Shell Consumed in Boiler: 149.228MT
e. Fibre Consumed in Boiler: 579.526MT
f. kW/h generated: 185,020kW/h
Consumption of non-renewable energy in the POM is available in summary of diesel usage – Penggunaan
Solar PKS UAI Tahun 2017. For example, total diesel consumption at the POM from Jan-Nov 2017 is as
below:
Diesel Consumption L/FFB Processed L/CPO Produced L/PK Produced
115,606 1.42 5.83 39.82
Criterion 5.5: Use of fire for preparing land or replanting is avoided, except in specific situations as identified in the ASEAN
guidelines or other regional best practice
5.5.1 There shall be no land preparation by burning, other than in specific situations as identified in the Minor
„Guidelines for the Implementation of the ASEAN Policy on Zero Burning‟ 2003, or comparable
guidelines in other regions.
Findings Comply?
The production unit committed on the implementation of zero burning as evident in Kebijakan. The policy has Yes
been signed by Mr. Marc Louette, Chief Executive Officer on 5 Jul 2017.
Besides, the company is also produced a policy to for land clearing – Penebangan dan Pembersihan (P-
SAG-KBN-PML-03) as indicating their commitments for Zero Burning on land development.
Site inspection conducted at all 3 estates (Ulin, Keruing and Meranti) confirms that there is no burning is
practiced during the development by the production unit.
At the entrance to the production unit, signage‟s to prevent use of fire are also evident. The signages are
installed and visible at highly risk areas (e.g.: Peat; Housing).
All contractors and workers are being trained on the implementation of Zero Burning and reminded during
morning briefing.
Where fire has been used for preparing land for replanting, there shall be evidence of prior approval
5.5.2 of the controlled burning as specified in „Guidelines for the Implementation of the ASEAN Policy on Minor
Zero Burning‟ 2003, or comparable guidelines in other regions.
Findings Comply?
Not applicable. There is no use of fire upon land clearing being practiced. n.a
Criterion 5.6: Plans to reduce pollution and emissions, including greenhouse gases, are developed, implemented and
monitored.
Preamble: Growers and millers commit to reporting on operational greenhouse gas emissions. However, it is recognized
that these significant emissions cannot be monitored completely or measured accurately with current knowledge and
methodology. It is also recognized that it is not always feasible or practical to reduce or minimize these emissions.
Growers and millers commit to an implementation period until the end of December 2016 for promoting best practices in
reporting to the RSPO, and thereafter to public reporting. Growers and millers make this commitment with the support of all
other stakeholder groups of the RSPO.
An assessment of all polluting activities shall be conducted, including gaseous emissions;
5.6.1 Major
particulate/soot emissions and effluent (see Criterion 4.4).
Findings Comply?
The production unit has established a document to assess emission of GHG. The document is evident in Yes
Penilaian Cadangan Karbon dan Nilai Emisi GRK Dari Alin Guna Lahan.
All GHG emission for the estate and mill operations has been listed in Chapter IV: GHG Mitigation Program.
The program has listed for example:
No. Program Action Plan
1 Fertilizer application optimization Application of EFB
Utilization of effluent discharge
2 Efficiency of Diesel Usage Utilize the kernel and shell
Regular vehicle maintenance
Limitation of electricity generator
3 Water Management at Peat Area Construction of Watergate
Installation of Piezometer
Avoid new planting on peat area
4 Maintenance of Conservation Identifying carbon stock at HCV area
Area (to absorb carbon emission)
Calculating carbon stock increment within HCV area
Significant pollutants and greenhouse gas (GHG) emissions shall be identified, and plans to reduce
5.6.2 Major
or minimize them implemented.
Findings Comply?
List of all polluting activities which contributes to GHG emissions is available in the documents listed in Yes
5.6.1. Plan to reduce or minimize of the identified pollutions and GHG emission is also specified in the same
documents. The plan has includes objectives to evaluate the carbon stock estimation within PT Usaha Agro
Indonesia as well as the timeframe.
Site inspection to the land application and field confirms that the production unit is utilizing 100% of the
effluent for land application purposes. Verification conducted at field P0024 founds that the EFB has been
evenly distributed to minimize the GHG emission.
Records of POME generated and effluent discharge onto the land has been recorded. Quality of final water
discharge is evident in Report of Analysis produced by Sucofindo Lab. It was found the BOD level at final
discharge is below 5,000mg/L (1,649.21mg/L).
A monitoring system shall be in place, with regular reporting on progress for these significant
5.6.3 Minor
pollutants and emissions from estate and mill operations, using appropriate tools.
Findings Comply?
The production unit is using PalmGHG calculator to evaluate the GHG emissions from its operations. All Yes
information related to GHG emissions has been recorded and monitored by Mr. Ilham Dwi Putra, GHG &
HCS Analyst.
Verification of the data input to PalmGHG has been conducted during the audit and founds that the data
entered are valid and accurate. The production unit is calculating the GHG based on Full Version on
PalmGHG calculator‟s option.
All inputs have been verified during the audit and total emission 4.09MTCO 2/MT CPO. Information entered is
compiled in PalmGHG calculator.
Principle 6: Responsible Consideration of Employees and of Individuals and Communities Affected by

Growers and Millers
Principle 6: Responsible Consideration of Employees and of Individuals and Communities affected by Growers
and Millers
Criterion 6.1: Aspects of plantation and mill management that have social impacts, including replanting, are identified in a
participatory way, and plans to mitigate the negative impacts and promote the positive ones are made, implemented and
monitored, to demonstrate continual improvement.
6.1.1 A social impact assessment (SIA) including records of meetings shall be documented. Major
Findings Comply?
Dedicated social impact document which clearly identifies positive and negative social affects that maybe Yes
caused by plantation and mills are available as follows:
1. Social Impact Assessment (SIA) Document prepared by SIA Team of Faculty of Forestry of Bogor
University (dated January 2015);
2. The AMDAL (Environmental Impact Assessment) document (ref: no. 29, 2009) dated 16 January 2009.
However, the details of the social impact assessment resulting from this report is not addressed in this
public summary report
Based on the social impact assessment conducted, the auditing team observed that the SIA is conducted
within a 3-days on-site audit (21-23 November 2014) with a participatory manner with relevant stakeholders.
In addition, there is also evidence that a socialization programme with local communities is conducted as
part of the social impact assessment which was conducted on 22 November 2014 covering the local
communities of 2 villages i.e. Desa Jambi and Desa Danau Buntar as well as representative of workers
union.
Evidence of the Focus Group Discussion conducted as part of the SIA is made available within the SIA.
Observed also that the SIA outlines the areas of concerns and issues by the stakeholders consulted. All of
and Millers
the issues articulated by the stakeholders are listed and formed as part of the aspect identified which
subsequently utilized to formulize the Social Management Plan.
There shall be evidence that the assessment has been done with the participation of affected
6.1.2 Major
parties.
Findings Comply?
As reflected earlier, the social impact assessment is conducted within a 3-days on-site audit (21-23 Yes
November 2014) with a participatory manner with relevant stakeholders.
In addition, there is also evidence that a socialization programme with local communities is conducted as
part of the social impact assessment which was conducted on 22 November 2014 covering the local
communities of 2 villages i.e. Desa Jambi and Desa Danau Buntar as well as representative of workers
union.
Plans for avoidance or mitigation of negative impacts and promotion of the positive ones, and
6.1.3 monitoring of impacts identified, shall be developed in consultation with the affected parties, Major
documented and timetabled, including responsibilities for implementation.
Findings Comply?
Observed that the SIA outlines the areas of concerns and issues by the stakeholders consulted. All of the Yes
issues articulated by the stakeholders are listed and formed as part of the aspect identified which
subsequently utilized to formulize the Social Management Plan.
Based on record, the audit team observed that the Social Management Plan has been established and be
made available to the audit team during the audit. Observed that the Social Management Plan for 2017
outlines the impacts identified, activities to be conducted, strategies, challenges, opportunities, output (end-
result), Person-In-Charge and the estimated time for completion.
Impacts identified as part of the social management plan are as follows:
 Land tenure;
 Establishment of communication and networking with relevant stakeholders;
 Improving public education quality;
 Improving public health quality; and
 Local community empowerment.
The plans shall be reviewed as a minimum once every two years and updated as necessary, in
6.1.4 those cases where the review has concluded that changes should be made to current practices. Minor
There shall be evidence that the review includes the participation of affected parties.
Findings Comply?
The Social Management Plan has been reviewed on a yearly basis with the latest review conducted on Yes
January 2017. Observed that the review was conducted with the participation of the stakeholders both
internal and external.
Particular attention shall be paid to the impacts of smallholder schemes (where the plantation
6.1.5 Minor
includes such a scheme).
Findings Comply?
Not applicable. n.a
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 Consultation and communication procedures shall be documented. Major
Findings Comply?
and Millers
The company has established the communication and consultation procedures as per in the Communication, Yes
Participation and Consultation Procedure (Ref. Doc.: P-SAG-HO-CA&L-08) dated 01 February 2016. The
audit team observed that the procedure specifies the means for communicating and consulting with both the
internal and external stakeholders. A Flow-Chart outlining the mechanism for handling the communication
and consultation with the internal and external stakeholders is also specified in the above procedures.
The audit team also observed that the above procedures and mechanism has been established in local
language and is understood by the stakeholders. Interview conducted with the representative of Desa Jambi
and Desa Danau Buntar confirmed that they have been made aware of the above procedures and
mechanisms during the stakeholder meeting on 16 October 2016. The interview also confirmed that they are
understood of the process and steps to be taken form communication and consultation with the company.
6.2.2 A management official responsible for these issues shall be nominated. Minor
Findings Comply?
The company has appointed one personnel from Plantation Support Staff i.e. Plantation Support Assistant Yes
who is irrespective of his responsibility as the Plantation Support Assistant, also responsible for handling the
consultation and communications with the relevant stakeholders covering the local communities, relevant
government agencies and regulatory authorities, NGOs etc. the Plantation Support Assistant also
responsible for coordinating the CSR programme for the company to be implemented for the stakeholders.
Evidence of the appointment letter for the above personnel dated 2 January 2017 and signed by the Regional
Head of Plantation Support is made available to the audit team during the audit.
A list of stakeholders, records of all communication, including confirmation of receipt and that effort
6.2.3 are made to ensure understanding by affected parties, and records of actions taken in response to Minor
input from stakeholders, shall be maintained.
Findings Comply?
Stakeholder list are available. The list listed all relevant stakeholders identified within Indonesia especially Yes
Kalimantan Barat Region covering the relevant government agencies, relevant NGOs (both social and
environmental, neighbouring estates, local communities and contractors, women group, that have direct and
indirect impact with the plantation operations of the PT UAI.
For the purpose of communication, the company has established procedure for handling communication.
The procedure entitled Communication, Participation and Consultation Procedure (Ref Doc.: P-SAG-HO-
CA&L-08) dated 01 February 2016 is made available to the audit team during the audit.
The above procedure specifies means and steps to be taken for handling and responding to communication
with any stakeholders. The procedures also specifies that a specific form shall be used i.e. Register of
Information Request/Complaint Form (Form FM-SAG-RO-CA&L-080002) for receiving and responding to the
communication. Sample of the Form is made available to the audit team during the audit. Observed that the
form specifies the following:
The auditor also observed the example of the usage of the above form i.e. Information Request by the
Ministry of Agricultural on several information related to the Occupational Safety and Health, Legal Register
and Permits and Information on Planting Profile of Oil Palm Tree dated 28 March 2016. The above
information request has been responded by the estate manager on 29 March 2016 which was acknowledged
receipt by the Officer In-Charge of the Ministry.
The audit team also observed that the above procedures and mechanism for receiving and responding the
communication has been made available to all stakeholders during the stakeholder meeting. Latest
stakeholder meeting was conducted on 16 October 2016 which was attended by various stakeholder groups
(both internal and external). Minutes of the above stakeholder meeting has been made available to the audit
team during the audit.
and Millers
Criterion 6.3: There is a mutually agreed and documented system for dealing with complaints and grievances, which is
implemented and accepted by all affected parties.
The system, open to all affected parties, shall resolve disputes in an effective, timely and
6.3.1 Major
appropriate manner, ensuring anonymity of complainants and whistleblowers, where requested.
Findings Comply?
The company has established a procedure for handling the complaints and grievances as per in Section 7.4: Yes
Handling of Complaints and Grievances of the Communication, Participation and Consultation Procedure
(Ref. Doc.: P-SAG-HO-CA&L-08) dated 01 February 2016. The audit team observed that the above
procedures outlining the mechanism in handling the complaints and grievances that can be divided into two
i.e. internal and external stakeholders.
With regards to the Internal Stakeholders (workers), the audit team observed that the procedures for
handling the complaints and grievances will be handled based on the “Perjanjian Kerja Bersama” (Collective
Employment Agreement) which is signed between the workers and the company. The procedures also
specifies the timeliness of the complaints and grievances expressed by the workers i.e. which will be handled
within 3 working days.
As for external stakeholders, the company has outlined the procedures for handling the grievances and
complaints which also includes the mechanisms for handling as follows:
 Routine Negotiation;
 Direct Negotiation;
 Arbitration and Mediation; and
 Resolution through legal means.
The procedure also specifies for any complaints and grievances handled, the records of communication and
resolution shall be kept and maintained for future reference.
The audit team also observed that the above procedures and mechanism has been established in local
language and is understood by the stakeholders. Interview conducted with the representative of Desa Jambi
and Desa Danau Buntar confirmed that they have been made aware of the above procedures and
mechanisms during the stakeholder meeting on 16 October 2016. The interview also confirmed that they are
understood of the process and steps to be taken.
Documentation of both the process by which a dispute was resolved and the outcome shall be
6.3.2 Major
available.
Findings Comply?
The company has not yet to receive any complaint from any stakeholders as of the date of the audit. Yes
However, the company has established a specific record book to compile all complaints received from the
stakeholder as per in the Stakeholder Communication Log Book.
On the other hand, a specific form has been established and shall be used for handling complaints and
grievances i.e. Register of Information Request/Complaint Form (Form FM-SAG-RO-CA&L-080002). Sample
of the Form is made available to the audit team during the audit. Observed that the form specifies the
following:
Criterion 6.4: Any negotiations concerning compensation for loss of legal, customary or user rights are dealt with through
a documented system that enables indigenous peoples, local communities and other stakeholders to express their views
and Millers
through their own representative institutions.
A procedure for identifying legal, customary or user rights, and a procedure for identifying people
6.4.1 Major
entitled to compensation, shall be in place.
Findings Comply?
PT UAI has established a specific SOP for identifying legal, customary or user rights as well as procedure Yes
for identifying people entitled for compensation as per in the Procedure for Handling the Land Claims and
Disputes (Ref. Doc.: P-SAG-RO-CAS-09) dated 01 August 2013.
The auditor team also observed that procedure specifies the resolution through civil court as the ultimate
means for solving the issues relating to land claims and customary rights.
A procedure for calculating and distributing fair compensation (monetary or otherwise) shall be
established and implemented, monitored and evaluated in a participatory way, and corrective
actions taken as a result of this evaluation. This procedure shall take into account: gender
6.4.2 Minor
differences in the power to claim rights, ownership and access to land; differences of transmigrates
and long-established communities; and differences in ethnic groups‟ proof of legal versus
communal ownership of land.
Findings Comply?
PT UAI has establish a procedure for calculating and distributing fair compensation as per in the Procedure Yes
Implementation of Compensation of Land and Estate (Ref. Doc.: P-SAG-RO-CAS-03) dated 03 December
2013. The procedure also specifies the mechanism for determining, calculating and distributing fair
compensation for the identified personnel/stakeholders entitled for compensation.
As of the date of the audit, there is evidence of compensation related to land made by the company to the
local communities.
Observed that the records of identification of people entitled to receive compensation and compensation
made are available and updated regularly as per in the document [Daftar rekapitulasi ganti rugi lahan (Land
Compensation Summary List) (updated 1 June 2014)].
Historically, the local communities has been settling the land for more than 20 years i.e. from early 1990s of
which such area was a secondary forest with some patches of the local communities has been planted with
rubber tree for latex production. The land acquisition process of the company has been conducted with the
spirit of FPIC whereby the communities has been duly consulted prior to the acquisition of the land with the
adequate representation from the communities and their mediation i.e. Pemerintah Kabupaten Katapang.
The process and outcome of any negotiated agreements and compensation claims shall be
6.4.3 Major
documented, with evidence of the participation of affected parties, and made publicly available.
Findings Comply?
As reflected earlier, as of the date of the audit, there is evidence of compensation related to land made by Yes
the company to the local communities. Observed that the records of identification of people entitled to
receive compensation and compensation made are available and updated regularly as per in the document
[Daftar rekapitulasi ganti rugi lahan (Land Compensation Summary List) (updated 1 June 2014)].
Based on records a total of 8,787.22ha of land area has been compensated to the local communities
residing within and adjacent to the company i.e. Desa Jambi and Desa Danau Buntar.
The above process has been conducted with the coordination by the Government Authority as specified in
the Letter of Statement (Surat Pernyataan) issued by Government of Ketapang District (Pemerintah
Kabupaten Ketapang) dated 15 May 2014.
Interview with the representative of the local communities during the audit confirmed the above process and
that they have been consulted, negotiated and compensated fairly and agreed upon for every land area that
has been acquired by the company.
Copies of negotiation documents detailing process of consent are available, clearly demonstrating an
agreement between traditional owners of the land and PT UAI with the example are as follows:
 Agreement document dated 10 June 2008 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah Dan
Tanam Tumbuh” Letter of Agreement for Land and Tree Planting Compensation) (No. 99/SPK–
GRTT/UAI/VI/08);
 Agreement document dated 23 December 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah
and Millers
Dan Tanam Tumbuh” Letter of Agreement for Land and Tree Planting Compensation) (No. 127/SPK–
GRTT/UAI/XII/2010);
 Agreement document dated 15 October 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah
GRTT/UAI/X/2010);
 Agreement document dated 15 July 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah Dan
GRTT/UAI/VII/2010); and
 Agreement document dated 16 November 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah
GRTT/UAI/XI/2010).
Based on the verification conducted. The audit team observed that the above process clearly demonstrates
the free, prior and informed consent from the traditional owners to sell their land to PT UAI for a stipulated
price and coordinated by the provincial government. This document is complete with maps showing the
extent of the land encumbered by customary rights.
Criterion 6.5: Pay and conditions for employees and for contract workers always meet at least legal or industry minimum
standards and are sufficient to provide decent living wages.
6.5.1 Documentation of pay and conditions shall be available. Major
Findings Comply?
Records for employees and contractor‟s workers‟ pay slips are verified. All workers have salary over the Yes
minimum wage as governor letter regarding minimum wage at Kalimantan Barat for 2016 (2,172,500 IDR).
Observed also that the payslips specifies element such as the name of the workers, job position, month of
salary, total overtime, total wages, total working days, rate per day and total deduction (Social Security). It
was confirmed that all workers (including subcontractor‟s worker) has been paid according to the minimum
wages set for Kalimantan Barat province.
With regards to the deduction, the audit team notes that the company impose a deduction for the Social
Security of the workers which is deduced at fixed rate @ Rp49,600.
Example of the verified payslips during the audit are as follows:
Estate / Mill Name Field/Position
Dede Manuring
Ulin Agro Estate Nuryamah Spraying
Sujana Harvesting
Kliwen Manuring
Hasmiati Manuring
Norlina Spraying
Meranti Agro Estate
Fitriaton Spraying
Eli Foenale Harvesting
Sainnuding Harvesting
Subiyah Spraying
Ica Suriyanti Spraying
Sumarni Spraying
Kruing Agro Estate
Turah Spraying
Narsi Spraying
Purwanting Manuring
and Millers
Tambir Harvesting
Alipin Sutipno Mandore Harvesting
Habib Muyamin Harvesting
Widodo Engine Room Operator
Mawardi T Pressing Room Operator
Usaha Agro POM
Asmadi Kernal Station
Erhan Lawono Boiler Operator
Labour laws, union agreements or direct contracts of employment detailing payments and
conditions of employment (e.g. working hours, deductions, overtime, sickness, holiday entitlement,
6.5.2 Major
maternity leave, reasons for dismissal, period of notice, etc.) shall be available in the languages
understood by the workers or explained carefully to them by a management official.
Findings Comply?
All workers are employed based on the Collective Labour Agreement that is signed between the workers and Yes
the company. Observed that the Collective Labour Agreement that is approved by the Ministry of Manpower
and Transmigration (No. 147, 2016) with the approval no. 100/PP/STKT-C/X/2016 dated 6 October 2016.
The audit team observed that the labour agreement outlines items such as validity of the contract, wages,
overtime pay, holiday, working hours and days, insurance, medical, occupational safety and health etc.
Example of the verified labour agreement are as follows:
Estate / Mill Name Field/Position
Gunawan Harvester
Alex Yundani Sprayer
Sri Lestari Sprayer
Ulin Agro Supryati Sprayer
Eben Nezer Manalu Field Mandore
Karsun Loader
Pujawati Manuring
Suberi Harvesting
Botok Harvesting
Narkam Harvesting
Kruing Agro
Desi Ulandari Spraying
Pebriani Manuring
Mina Spraying
Daud Patola Harvesting
Dickson Kake Harvesting
Mulli Rusmiati Djen Spraying
Meranti Agro
Umming Spraying
Teguh Wiyanto Manuring
Rosmina Manuring
Yuliansyah Lab Clerk
Usaha Agro Indonesia
Asep Iman Heriyana Lab Assistant
and Millers
Widodo Engine Room Operator
Mawardi T Pressing Room Operator
Asmadi Kernal Station
Erhan Lawono Boiler Operator
Growers and millers shall provide adequate housing, water supplies, medical, educational and
6.5.3 welfare amenities to national standards or above, where no such public facilities are available or Minor
accessible.
Findings Comply?
All workers are provided with free housing, water supplies, electricity, medical coverage (including the No
workers families), educational, and other facilities for employees. For workers have children or babies, PT
UAI have provided child care and kindergarten during working hour.
The above facilities are provided in accordance with the Article 100 (1) of the Manpower Regulation (Act 13,
2003).
However, verification during the visit to the workers quarters at Ulin Agro Estate indicates the following:
 No water quality sampling conducted to determine the water quality for domestic usage and
consumption;
 Evidence of stagnant water drainage system due to evidence of domestic waste in the drainage that
leads to the availability of mosquito larvae in the drain;
 There is no fire extinguisher available at the workers quarters;
 Improper bathroom sanitary water drainage system constructed;
 Improper (exposed) electrical wiring at the workers quarters;
 Improper storing of LPG tank at workers quarters without proper signages; and
 Open burning at sub-contractors housing.
Major NCR 06
Growers and millers shall make demonstrable efforts to monitor and improve workers‟ access to
6.5.4 Minor
adequate, sufficient and affordable food.
Findings Comply?
There is evidence of sundry shops established within the company. The company observed that the sundry Yes
shops are established on cooperation basis where workers or the local communities are share-investing for
the operation of the sundry shop.
On the other hand, there is also a weekly market established in the neighbouring villages i.e. Desa Jambi of
which the workers are free to by their desired daily goods at the market.
Criterion 6.6: There The employer respects the rights of all personnel to form and join trade unions of their choice and to
bargain collectively. Where the 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 A published statement in local languages recognising freedom of association shall be available. Major
Findings Comply?
PT UAI has documented company policy which recognizing the freedom of association of their workers. The Yes
policy is incorporated within the Para 4 of the Code of Ethical Conduct and Integrity dated 1 July 2015.
The audit team observed that the policy is written in the local language. Random interview conducted with
the workers during the field verification confirmed that they are well aware of the written policy and that they
have been brief of the policy during their first day of the working with the company.
6.6.2 Minutes of meetings with main trade unions or workers representatives shall be documented. Minor
and Millers
Findings Comply?
The company has established and conducted the specific platform for the workers and the company‟s top No
management to meet and discuss a specific issue with respect to the employment and its conditions. The
above has been established in line with the Article 106 (1) of the Law No. 13 of 2003 pertaining to Manpower
which specifies that for the company employing more than 50 workers, the company shall establish the
Lembaga Kerjasama Bipartit (LKS Bipartit) (Joint Consultative Committee Meeting).
The Lembaga Kerjasama Bipartit (LKS Bipartit) (Joint Consultative Committee Meeting) is a coalition
between the top management of the company and the workers representative.
With regard to the workers representative, the audit team observed that 10 workers representatives (each
representing the workers groups of the workers as well as their working field) are a member of the
committee that has been elected in a democracy manner through voting process by their colleague workers.
The established JCC Meeting is endorsed by the Ministry of Manpower of Indonesia. Based on record, the
latest committee was established in 01 October 2015 and valid for 3 years (until 30 September 2018). Letter
of endorsement of the committee by the Ministry dated 01 October 2015 is made available to the audit team
during the audit. Observed that the letter specifies the term and condition as well as code of conduct for the
committee.
Unfortunately, since the establishment of the committee, only one meeting held so far i.e. on 19 September
2016 which is not in line with the term and condition of the committee specified in the above letter that
requires the committee to be held at least once a month.
Minor NCR 07
Criterion 6.7: Children are not employed or exploited.

6.7.1 There shall be documentary evidence that minimum age requirements are met. Major
Findings Comply?
Based on the employment record for all three estates, the audit team observed that they youngest workers Yes
employed are 18 years and 11 months old during the employment date (Ms. Puspawati – employed in 2013;
currently 23 years old) which in line with the Article 23 of the Manpower Regulation (Act 13, 2003) which
specifies that the minimum lawful age of the workers to be employed by the company is 18 years old.
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.
A publicly available equal opportunities policy including identification of relevant/affected groups in
6.8.1 Major
the local environment shall be documented.
Findings Comply?
PT UAI has documented company policies which emphasize the need for equal employment opportunity and Yes
treatment irrespective of race, caste, national origin, religion, gender etc. The policy is incorporated within
the Para 4 & 5 of the Code of Ethical Conduct and Integrity dated 1 July 2015.
have been brief of the policy during their first day of the working with the company during the general
meeting with the latest was held on 16 December 2017.
Evidence shall be provided that employees and groups including local communities, women, and
6.8.2 Major
migrant workers have not been discriminated against
Findings Comply?
As reflected earlier, the audit team observed that the policy is written in the local language. Random Yes
interview conducted with the workers during the field verification confirmed that they are well aware of the
written policy and that they have been brief of the policy during their first day of the working with the
company.
6.8.3 It shall be demonstrated that recruitment selection, hiring and promotion are based on skills, Minor
and Millers
capabilities, qualities, and medical fitness necessary for the jobs available.
Findings Comply?
The audit team observed that the company keep and maintain a record of their workers work credential and Yes
medical history within the Employees Position, Records and Manpower.
The company is found to be implementing indiscriminatory policy during the recruitment, selection, hiring
and promotion process as per stated in the local regulations.
The recruitment, selection and hiring of workers are based on skills, capabilities and medical fitness
according to job scope. The positions held by workers are commensurate with their skills and experience
i.e., Boilerman, Lab Supervisor, Engine Room Operator and Mill Supervisor at POM. General workers
(foreign workers) are mostly based on medical fitness confirmed by the estate‟s doctor.
Criterion 6.9: There is no harassment or abuse in the work place, and reproductive rights are protected.
A policy to prevent sexual and all other forms of harassment and violence shall be implemented and
6.9.1 Major
communicated to all levels of the workforce.
Findings Comply?
PT UAI has outlined a policy on sexual and other forms of harassment and violence that is stated in Para 5 Yes
of the Code of Ethical Conduct and Integrity dated 1 July 2015.
In addition, the company also has established the Gender Committee as a committee to discuss areas of
concern with respect to women‟s right. Evidence of the establishment of the gender committee in the form of
the appointment letter for all members is made available to the audit team during the audit. Meeting also has
been conducted i.e. on 13 November 2017 and 14 December 2017. Minutes of the above meetings are made
available to the audit team during the audit.
A policy to protect the reproductive rights of all, especially of women, shall be implemented and
6.9.2 Major
communicated to all levels of the workforce.
Findings Comply?
PT UAI has outlined a policy on protecting the reproductive rights for all women workers that is stated in Yes
Para 5 of the Code of Ethical Conduct and Integrity dated 1 July 2015.
Gender committee also has been established as a platform to discuss and coordinating the program with
respect to discuss areas of concern with respect to women‟s right. Evidence of the establishment of the
gender committee in the form of the appointment letter for all members is made available to the audit team
during the audit. Meeting also has been conducted i.e. on 13 November 2017. Minutes of the above
meetings are made available to the audit team during the audit.
The audit team observed that the above policy has been communicated to the workers during the above
meeting.
A specific grievance mechanism which respects anonymity and protects complainants where
6.9.3 Minor
requested shall be established, implemented, and communicated to all levels of the workforce.
Findings Comply?
No evidence or practices that contradict this policy observed during the audit. Yes
A mechanism for recording harassment is also available and be made available to the audit team during the
audit. Observed that the flowchart indicating the mechanism for recording and handling the grievances
raised specifies the means for receiving, investigating and resolving the grievances and complaints raised.
Moreover the flowchart also specifies the timeframe for the complaints and grievances to be solve. As per in
and Millers
the flowchart, the timeframe for the complaints to be investigated and resolved is between 15-20 working
days.
Aside from the above, the audit team also observed that the company has formulated an annual Gender
Committee Programme which specifies the planned programme such as awareness briefing on the
complaint mechanism to all workers, coordination with neighbouring estate on the information sharing
pertaining to the gender issues and gender committee meeting etc. Observed the latest programme for 2018
has been established and be made available to the audit team during the audit.
As for 2017, the briefing on the above mechanism has been conducted on 14 December 2017.
Interview with the workers confirmed the above and also shows that the company provides fair and just
treatment to women.
Criterion 6.10: Growers and millers deal fairly and transparently with smallholders and other local businesses.
6.10.1 Current and past prices paid for Fresh Fruit Bunches (FFB) shall be publicly available. Minor
Findings Comply?
PT UAI sources their FFB from the external suppliers i.e. from surrounding plasma owned by the local Yes
communities.
Observed that the current and past FFB prices are made available at the company‟s notice board. The audit
team also observed that the FFB pricing are based on the Indonesia‟s regulation of the Minister of
Agriculture No. 14/Permentan/OT.140/2/2013 that is updated on a monthly basis.
Evidence of the pricing which is updated by the Minister i.e. Statement on FFB Prices by the Minister of
Agriculture for a Period I and Period II of October 2017.
The above prices has been used for the payment of the FFB supplied on November 2017. Examples of the
payment receipt are specified in Indicator 6.10.4.
Evidence shall be available that growers/millers have explained FFB pricing, and pricing
6.10.2 mechanisms for FFB and inputs/services shall be documented (where these are under the control of Major
the mill or plantation).
Findings Comply?
As reflected earlier, PT UIA sources their FFB from the external suppliers. Further verification confirmed that Yes
each of the FFB suppliers has signed the MOU with the POM for supplying their FFB to the mill.
Observed that the MOU specifies the pricing mechanisms for the FFB supplied to the mill which is based on
the Indonesia‟s regulations of the Minister of Agriculture No. 14/Permentan/OT.140/2/2013 that is updated
on a monthly basis.
Evidence shall be available that all parties understand the contractual agreements they enter into,
6.10.3 Minor
and that contracts are fair, legal and transparent.
Findings Comply?
PT UAI has established the MOU which serves as the contract that binds both PT UAI with the FFB Yes
suppliers.
Observed that the MOU established MOU are signed by both parties and that the contracts are fair, legal
and transparent.
Copies of the MOU signed by the mill management with the FFB suppliers are available for verification
during the audit as follows:
 Koperasi Perkebunan Jambi Mekar Jaya Sempruna dated 20 November 2014;
 Koperasi Perkebunan Sempurna Mandiri dated 20 December 2011; and
 Koperasi Perkebunan Sempurna Bersatu dated January 2012.
6.10.4 Agreed payments shall be made in a timely manner Minor
Findings Comply?
and Millers
All of the payment for the FFB supplied has been made according to the stipulated provision in the Yes
agreement i.e. 20th to 30th day of each of the month. Based on the samples verified, the audit team
observed that the payment has been made as per in the agreement. Samples of the payment receipt verified
are as follows:
No. Receipt Supplier Date
KB/KBS/IDR/000006399 Koperasi Perkebunan Sempurna Bersatu 23 November 2017
KB/KBS/IDR/000006398 Koperasi Perkebunan Jambi Mekar Jaya Sempurna 23 November 2017
KB/KBS/IDR/000006420 Koperasi Perkebunan Sempurna Mandiri 30 November 2017

The above payment has been made according to the pricing statement issued by the Minister (as shown in
the Indicator 6.10.1).
Criterion 6.11: Growers and millers contribute to local sustainable development where appropriate.
Contributions to local development that are based on the results of consultation with local
6.11.1 Minor
communities shall be demonstrated.
Findings Comply?
There is evidence of the company‟s contribution to the local development through the company‟s corporate Yes
social responsibility covering education, employment opportunity, financial support for event, employment
contract (building construction, road construction, and transportation), health facility, providing
transportation to the children to school.
As for the workers, contribution to workers has also been provided for the following:
 usage of facilities for wedding event;
 during the wedding of the workers;
 donation to assist local communities as and when there is a death;
 assistance for mobiling the children to the nearest school;
 donation for medical treatment of workers who suffer from serious illness.
All activities and contribution rendered are recorded in the CSR Record Book on a yearly basis.
Where there are scheme smallholders, there shall be evidence that efforts and/or resources have
6.11.2 Minor
been allocated to improve smallholder productivity.
Findings Comply?
Not applicable. n.a
Criterion 6.12: No forms of forced or trafficked labour are used.

6.12.1 There shall be evidence that no forms of forced or trafficked labour are used. Major
Findings Comply?
No evidences of force labour evidenced during the audit. There is no foreign worker employed by the Yes
company.
6.12.2 Where applicable, it shall be demonstrated that no contract substitution has occurred. Minor
Findings Comply?
No contract substitution by the company. Yes
6.12.3 Where temporary or migrant workers are employed, a special labour policy and procedures shall be Major
and Millers
established and implemented.
Findings Comply?
No foreign workers employed by the company. Yes
Criterion 6.13: Growers and millers respect human rights.

A policy to respect human rights shall be documented and communicated to all levels of the
6.13.1 Major
workforce and operations (see Criteria 1.2 and 2.1).
Findings Comply?
PT UAI has documented company policy which accentuates the need to respect human rights. The policy is Yes
incorporated within the Para 3 & 4 of the Code of Ethical Conduct and Integrity dated 1 July 2015.
meeting with the latest was held on 16 December.
Principle 7: Responsible Development of New Plantings

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.
An independent social and environmental impact assessment (SEIA), undertaken through a
7.1.1 Major
participatory methodology including the relevant affected stakeholders, shall be documented.
Findings Comply?
The Social & Environmental Impact Assessment (SEIA) [Analisis Mengenai Dampak Lindungan (AMDAL) Yes
document (ref: no. 29, 2009] dated 16 January 2009 has been established and undertaken through a
participatory methodology which includes the affected stakeholders. Observed that the document covers all
aspects for the establishment and operation of the plantation as well as the mill.
Based on the verification within the above document, the audit team observed that the assessment
conducted for an area totalling to 11,300 ha and addressing all impacts that may arise following to the
operation of the plantation and the mill which is summarized as follows:
 major planned activities, including planting, mill operations, roads, buildings and infrastructure;
 Flora and fauna;
 natural ecosystems of planned developments, including whether development or expansion will
increase pressure on nearby natural ecosystems;
 Watercourses and wetlands;
 Hydrology and land subsidence;
 Soil composition and topographic, including the identification of steep slopes, marginal and fragile
soils, areas prone to erosion, degradation, subsidence, and flooding;
 Type of land to be used (forest, degraded forest, cleared land);
 Land ownership and user rights;
 Land use patterns;
 Social aspects for the surrounding communities of a plantation - including an analysis of potential
effects on livelihoods, and differential effects on women versus men, ethnic communities, and migrant
versus long-term residents.
Further verification in the above document observed that the assessment captures the changes over time
whereby the assessment and identification of the aspects and impact is outlined based on 4 phases of
operation and development of the plantation and mill as follows:
 Phase 1 – The presumption of the aspects and impacts from the operation based on initial
stakeholder consultation process conducted with the relevant stakeholders such as relevant
government and regulatory authority, local communities and NGOs;
 Phase 2 – the aspects and impacts from the development stage of the plantation and mill is identified
 Phase 3 – the aspects and impacts following the operation of the plantation and mill;
 Phase 4 – the post-operation of the plantation and mill.
Following to the above, the Environmental Management Report and Environmental Mitigation and Monitoring
Report is subsequently be established following to the above aspects and impacts identified. Both
Appropriate management planning and operational procedures shall be developed and implemented
7.1.2 Minor
to avoid or mitigate identified potential negative impacts
Findings Comply?
As reflected earlier Environmental Management Report and Environmental Mitigation and Monitoring Report Yes
is subsequently be established following to the above aspects and impacts identified. Both documents are
made available to the audit team during the audit.
Based on the verification conducted, the above documents are established and reviewed every 6 months
with the latest report conducted for January to June 2017 (Report dated September 2017).
Where the development includes an out grower scheme, the impacts of the scheme and the
7.1.3 Minor
implications of the way it is managed shall be given particular attention
Findings Comply?
Not applicable. n.a
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.
Soil suitability maps or soil surveys adequate to establish the long-term suitability of land for oil
7.2.1 Major
palm cultivation shall be available and taken into account in plans and operations.
Findings Comply?
Soil surveys adequate to establish the long-term suitability of land for the cultivation of oil palm cultivation is Yes
available and has taken into account in the planning and operations of the plantation. Observed that the
AMDAL has outlined the type of soil (Ref: Section 3.1.5) within the plantation area which can be summed as
follows:
Total Area
Type of Soil
Ha %
Gleisol Eutrik 645 5.69
Gleisol Histrik 2,024 18.04
Kambisol 4,628 40.84
Organosol Hemik Dalam 507 4.47
Organosol Saprik 1,616 14.37
Podsolik 558 4.92
Regosoal 1,322 11.67
Total 11,300 100
Soil surveys and analysis has been conducted based on the above type of soils which covers parameters
such as pH, organic compound, soil texture and mineral compound. The analysis is specified in the Table
3.8 of the AMDAL document.
Aside of the above, soil erosion survey also has been conducted as part of the AMDAL as per in Section
3.1.5(3). Observed that the AMDAL has outlined that there is no or minimal possibility of erosion may occur
in the plantation area. However, the situation will be different should there is a continuous rain occur in the
area.
Moreover, the soil map is also available in the AMDAL document as per in the “Peta Jenis Tanah” (Soil
Map). The map is found to be outlining the location of type of soils (as mentioned above) within the
plantation area.
Topographic information adequate to guide the planning of drainage and irrigation systems, roads
7.2.2 Minor
and other infrastructure shall be available and taken into account in plans and operations.
Findings Comply?
Topographic information for the purpose of planning the drainage and irrigation system, roads and Yes
infrastructure is available as per in the Topography Map of the AMDAL. Observed that the map outline the
proposed drainage and irrigation system and roads within the plantation area. The audit team also observed
that the topography map specifies the elevation of the land area. In general the plantation area is a low-lying
area with elevation below 25m asl.
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.
There shall be evidence that no new plantings have replaced primary forest, or any area required to
maintain or enhance one or more High Conservation Values (HCVs), since November 2005. New
7.3.1 Major
plantings shall be planned and managed to best ensure the HCVs identified are maintained and/or
enhanced (see Criterion 5.2).
Findings Comply?
It was confirmed during the audit (through stakeholder‟s consultation and site verification) that the new Yes
planting within the certification unit has not replace any primary forest or any areas required to maintain
HCVs.
PT Usaha Agro Indonesia has appointed a consultant to conduct High Conservation Value area within the
3
(12.64 Ha & 54.44 Ha)
4 Riparian (Sempadan Sungai):
SS Jambi (61.85 Ha)
Kawasan Sekitar Mata Air Paya Tarung dengan Buffer 200 meter (3.85 Ha)
Training on HCV has been conducted to local communities and workers within the production unit. It was
evident in Sosialisasi Nilai Konservasi Tinggi as below:
Besides, the production unit has appointed Mr. Petrus Aderman as the Conservation Mandore as evident in
Memorandum (No. 011/Konsv-UAI/X/2017) dated 10 Jan 2017. He has been trained by appointed
consultant; Forestry Faculty of Bogor Agricultural Institute on 6 Apr 2017.
Monitoring of the protected species as well as HCV areas within the production unit are recorded in Daftar
Temuan Satwa Liar which is updated on a monthly basis. The information gathered is then summarized for
annual monitoring and management as evident in Laporan Pengelolaan dan Pemantauan KBKT/Kawasan
Lindung 2017. Samples of monthly monitoring report are sighted as below:
 November 2017
- Burung Keruak (6 sighted)
- Burung Gagak (3 sighted)
- Monyet Ekor Panjang (10 sigthed)
 August 2017
- Burung Rangkong (2 sighted)
- Burung Raja Udang (3 sighted)
- Monyet Ekor Panjang (15 sighted)
 June 2017
- Burung Kutilang (6 sighted)
- Burung Pipit (20 sighted)
- Burung layang-layang (40 sighted)
There is also evidence of Land Use Change Analysis that is conducted for the following objective:
 To identify the condition of land cover prior to land clearing by the company;
 To analyse the use of land for each period in the year prior to planting and land clearing;
 To determine the basis for calculation of compensation value liability with a coefficient of vegetation
according to land cover status.
Based on the above assessment, the audit team observed that the company has collected several landsat
map to determine and study the land use change for the title area which the details are as follows:
Name Date Source
Landsat 5 8 October 2005 USGS
Landsat 5 28 September 2007 USGS
Landsat 7 8 August 2009 USGS
Landsat 7 10 July 2010 USGS
It can be summarised that the status of the land area from prior to the establishment of the plantation until
the establishment of the oil palm plantation are as follows:
Land Use Map / Size (ha)
Usage types Landsat 5 dated Landsat 5 dated Landsat 7 dated Landsat 7 dated
8 Oct 2005 28 Sept 2007 8 Aug 2009 10 July 2010
Bushes 2,147.45 2,151.87 1,502.12 515.01
Land Clearing - 76.72 275.34 -
Mixed agricultural
2,040.37 985.45 280.99 139.99
land
Open land 140.24 161.03 165.92 4.41
Palm Oil 978.20 3,526.34 5,597.35
Secondary Forest 663.95 663.95 663.95 663.95
Shrubs 1,543.24 1,523.24 1,269.34 1,081.72
Swamp 2,284.24 2,284.24 1,343.47 1,225.44
Swamp Shrub 3,684.43 3,657.50 3,475.50 3,274.35
Note: Figure illustrated above representing all three estates

A comprehensive HCV assessment, including stakeholder consultation, shall be conducted prior to
any conversion or new planting. This shall include a land use change analysis to determine changes
7.3.2 Major
to the vegetation since November 2005. This analysis shall be used, with proxies, to indicate
changes to HCV status.
Findings Comply?
3
(12.64 Ha & 54.44 Ha)
Sempadan Sungai:
SS Jambi (61.85 Ha)
4
Kawasan Sekitar Mata Air Paya Tarung dengan
Buffer 200 meter (3.85 Ha)
The Land Use Change Analysis is found to be taking into consideration the HCV Assessment that was
conducted in 2010 by the external consultant.
7.3.3 Dates of land preparation and commencement shall be recorded. Minor
Findings Comply?
Records of land preparation and clearing dates are available. Observed that the records specifies the land Yes
clearing and planting date that is sorted based on block no. and estate. Example of verified record are as
follows:
Estate Block No. Month Cleared Ha
IL0032 Nov 2008 27.35
Ulin Agro IL0037 Dec 2009 17.9
IM0039 Mar 2009 24.71
IC0013 Dec 2006 21.98
IC0016 Sept 2007 17.89
Meranti Agro ID0014 Apr 2008 31.11
PE0007 Jun 2006 15.11
PE0013 Jul 2007 9.53
PJ0001 Jul 2010 22.24
Kruing Agro
IJ0009 Jun 2010 29.64
PJ0004 Oct 2012 15.50
Although the month of clearing for the estates is after Jan 2010, it has been verified that the area is cleared
by local communities and newly acquired land by the company from local communities (between 2012-
2014). The certification unit has undergo NPP process and now pending for NPP verification by CB.
An action plan shall be developed that describes operational actions consequent to the findings of
7.3.4 the HCV assessment, and that references the grower‟s relevant operational procedures (see Major
Criterion 5.2).
Findings Comply?
The certification unit has developed action plans which describe the operational approach on the findings Yes
from HCV assessments according to the recommendations made by the assessor (Dr. Nyoto Santoso; HCV-
RN ALS Provisionally Licensed Assessor (ALS14013MS).
Site verification within the certification unit confirms that the listed or identified action plan has been
implemented (by stages).
Areas required by affected communities to meet their basic needs, taking into account potential
positive and negative changes in livelihood resulting from proposed operations, shall be identified in
7.3.5 Minor
consultation with the communities and incorporated into HCV assessments and management plans
(see Criterion 5.2).
Findings Comply?
Rehabilitasi Hutan Tropika Indonesia (BIOREF Centre) from Bogor Agricultural Institute. The HCV
assessment has been conducted by Dr. Nyoto Santoso; HCV-RN ALS Provisionally Licensed Assessor
(ALS14013MS).
conducted in consideration of stakeholder‟s input.
Criterion 7.4: Extensive planting on steep terrain, and/or marginal and fragile soils, including peat, is avoided.
Maps identifying marginal and fragile soils, including excessive gradients and peat soils, shall be
7.4.1 Minor
available and used to identify areas to be avoided.
Findings Comply?
Maps showing the location of mineral, sandy and peat soils are available in Detailed Maps - Peta Detil UAI. Yes
There is no steep area available in the production unit. The maximum elevation available in the production
area is <8%.
Maps showing depth of peat is available in HCV Maps. Based on the HCV maps, the production unit has
conducted soils study survey and resulted into Soils Suitability Map.
The production unit has conducted Environmental Impact Assessment as evident in Analisis Dampak
Lingkungan Hidup (AMDAL). It was found that the fragile soils (i.e.: peat) have been taken into account upon
conducting environmental impact assessment.
Site verification conducted at the operation area confirms that there is no extensive planting has taken place
in the sensitive area.
Where limited planting on fragile and marginal soils, including peat, is proposed, plans shall be
7.4.2 Major
developed and implemented to protect them without incurring adverse impacts.
Findings Comply?
The identified sensitive areas (peat) have been incorporated into HCV assessment and EIA (AMDAL). Yes
Program to mitigate and manage the fragile soils has been developed to protect those areas from adverse
impact. Example of identified management plan are:
a. Maintaining species and habitat of HCV 1:
- Installation of signage‟s
- Patrolling to the areas
- Enrichments on local species to enhance growth
b. Maintaining Water quality in HCV 4 areas:
- Maintaining buffer zone
- Training related to fire hazard
- Prevent usage or application of chemicals within the identified areas
Site inspection at HCV1, 3 and 4 area (deep peat >3m) confirms that the management plan has been
implemented.
Criterion 7.5: No new plantings are established on local peoples‟ land where it can be demonstrated that there are legal,
customary or user rights, without their free, prior and informed consent. This is dealt with through a documented system
that enables these and other stakeholders to express their views through their own representative institutions.
Evidence shall be available that affected local peoples understand they have the right to say „no‟ to
operations planned on their lands before and during initial discussions, during the stage of
7.5.1 information gathering and associated consultations, during negotiations, and up until an agreement Major
with the grower/miller is signed and ratified by these local peoples.
Refer also to criteria 2.2, 2.3, 6.2, 6.4 and 7.6 for Indicators and Guidance on compliance.
Findings Comply?
Based on the AMDAL and as reflected earlier, the assessment captures the changes over time whereby the Yes
assessment and identification of the aspects and impact is outlined based on 4 phases of operation and
development of the plantation and mill as follows:
 Phase 1 – The presumption of the aspects and impacts from the operation based on initial stakeholder
consultation process conducted with the relevant stakeholders such as relevant government and
regulatory authority, local communities and NGOs;
 Phase 2 – the aspects and impacts from the development stage of the plantation and mill is identified
 Phase 3 – the aspects and impacts following the operation of the plantation and mill;
 Phase 4 – the post-operation of the plantation and mill.
Phase 1 has been conducted whereby the pre-assessment process covering the stakeholder consultation
has been conducted which also includes the local communities; with an objective to seek the initial opinion
from the local communities following the establishment of the plantation within their area. Based on the
AMDAL and as per in the summary of the Opinion from the Stakeholders, the audit team observed that the
affected local communities i.e. Desa Jambi and Desa Danau Buntar are welcoming the establishment of the
plantation.
The AMDAL also highlighting the issues pertaining to the land acquisition from the local communities.
Negotiation has been conducted prior to the establishment of the plantation to acquire the land from the
local communities. Based on the records, the audit team observed that the negotiation resulted the local
communities in both villages are willing to surrender their land to the company with an agreed sum of
compensation. As specified earlier, a total of 8,787.22ha of land area has been compensated to the local
communities residing within and adjacent to the company i.e. Desa Jambi and Desa Danau Buntar.
Criterion 7.6: Where it can be demonstrated that local peoples have legal, customary or user rights, they are compensated
for any agreed land acquisitions and relinquishment of rights, subject to their free, prior and informed consent and
negotiated agreements.
Documented identification and assessment of demonstrable legal, customary and user rights shall
7.6.1 Major
be available.
Findings Comply?
AMDAL has outlined the identification and assessment of legal, customary and user rights which is specified Yes
in Section 3.3: Social-economic and Culture. Observed that the document specifies the following:
a. Demographic:
 Distribution of the local communities;
 Age structure of the communities;
 Religion;
 Schooling status;
b. Socio-economic:
 Economic;
 Livelihood and Source of Income of the communities;
 Land Tenureship.
c. Culture:
 Culture and Tradition;
 Religion and Tradition;
 Assimilation of modern culture;
 Social change;
 Reacceptances of the local communities on the plantation operation.
Moreover, the HCV Assessment also has been conducted to identify potential HCV areas which are available
within the operation of the plantation. Several HCV has been identified of which one of them relating to local
communities tradition i.e. HCV 6 which is the Mentawa Tree that is worshipped by the local communities.
Interview conducted with the local communities confirmed the above whereby the communities are consulted
with free, prior and informed consent pertaining to the development of their land and acquisition of their land
from the company for the establishment of the plantation.
7.6.2 A system for identifying people entitled to compensation shall be in place. Major
Findings Comply?
PT UAI has established a specific SOP for identifying legal, customary or user rights as well as procedure Yes
for identifying people entitled for compensation as per in the Procedure for Handling the Land Claims and
Disputes (Ref. Doc.: P-SAG-RO-CAS-09) dated 01 August 2013.
Observed also that procedures specifies the resolution through civil court as the ultimate means for solving
the issues relating to land claims and customary rights.
A system for calculating and distributing fair compensation (monetary or otherwise) shall be in
7.6.3 Major
place.
Findings Comply?
a. Agreement document dated 10 June 2008 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah Dan
GRTT/UAI/VI/08);
b. Agreement document dated 23 December 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah
GRTT/UAI/XII/2010);
c. Agreement document dated 15 October 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah
GRTT/UAI/X/2010);
d. Agreement document dated 15 July 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah Dan
e. Agreement document dated 16 November 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah
GRTT/UAI/XI/2010).
Communities that have lost access and rights to land for plantation expansion shall be given
7.6.4 Minor
opportunities to benefit from plantation development.
Findings Comply?
Random interview conducted with the local communities in Desa Jambi and Desa Danau Buntar confirmed Yes
that they are given opportunity to benefit from the plantation development and operation. Observed that the
communities have been provided covering education, employment opportunity, financial support for event,
employment contract (building construction, road construction, transportation), health facility, providing
transportation to the children to school.
The process and outcome of any compensation claims shall be documented and made publicly
7.6.5 Minor
available.
Findings Comply?
a. Agreement document dated 10 June 2008 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah Dan
GRTT/UAI/VI/08);
b. Agreement document dated 23 December 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah
GRTT/UAI/XII/2010);
c. Agreement document dated 15 October 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah
GRTT/UAI/X/2010);
d. Agreement document dated 15 July 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah Dan
e. Agreement document dated 16 November 2010 titled, “Surat Perjanjian Kesepakatan Ganti Rugi Tanah
GRTT/UAI/XI/2010).
Observed that the above documents has been acknowledge, signed and be made available to the local
communities.
Evidence shall be available that the affected communities and rights holders have access to
7.6.6 information and advice that is independent of the project proponent, concerning the legal, Minor
economic, environmental and social implications of the proposed operations on their lands.
Findings Comply?
Random interview conducted with the stakeholders during the audit confirmed that they are made aware of Yes
the access to information concerning the legal, economic, environmental and social implications of the
proposed operations on their lands.
Based on the interview conducted, the above are made available to them during the stakeholder meeting.
Moreover, the company has established specific procedures for requesting the information pertaining to the
plantation and other management documentations.
Criterion 7.7: No use of fire in the preparation of new plantings other than in specific situations, as identified in the ASEAN
guidelines or other regional best practice.
There shall be no land preparation by burning, other than in specific situations, as identified in the
7.7.1 „Guidelines for the Implementation of the ASEAN Policy on Zero Burning‟ 2003, or comparable Major
guidelines in other regions.
Findings Comply?
There is no evidence of burning practiced by the company for the establishment of the new plantation. Yes
In exceptional cases where fire has to be used for preparing land for planting, there shall be
evidence of prior approval of the controlled burning as specified in „Guidelines for the
7.7.2 Minor
Implementation of the ASEAN Policy on Zero Burning‟ 2003, or comparable guidelines in other
regions.
Findings Comply?
There is no evidence of burning practiced by the company for the establishment of the new plantation. Yes
Criterion 7.8: New plantation developments are designed to minimise net greenhouse gas emissions.
Preamble: It is noted that oil palm and all other agricultural crops emit and sequester greenhouse gases (GHG). There has
already been significant progress by the oil palm sector, especially in relation to reducing GHG emissions relating to
operations. Acknowledging both the importance of GHGs, and the current difficulties of determining emissions, the
following new Criterion is introduced to demonstrate RSPO’s commitment to establishing a credible basis for the Principles
and Criteria on GHGs.
Growers and millers commit to reporting on projected GHG emissions associated with new developments. However, it is
recognized that these emissions cannot be projected with accuracy with current knowledge and methodology.
Growers and millers commit to plan development in such a way to minimize net GHG emissions towards a goal of low
carbon development (noting the recommendations agreed by consensus of the RSPO GHG WG2).
Growers and millers commit to an implementation period for promoting best practices in reporting to the RSPO, and after
December 31st 2016 to public reporting. Growers and millers make these commitments with the support of all other
stakeholder groups of the RSPO.
The carbon stock of the proposed development area and major potential sources of emissions that
7.8.1 Major
may result directly from the development shall be identified and estimated
Findings Comply?
The production unit has conducted carbon stock emission in the proposed development area as evident in Yes
Penilaian Cadangan Karbon dan Nilai Emisi GRK dari Alih Guna Lahan. The estimated carbon emission from
the production unit is tabulated in Table 2: Estimation of Carbon Emission. The coefficient factor used for
the calculation as below:
Type Area (Ha) TonC/Ha Total TonC
Bush 2,147.45 46 98,782.70
Mix Agricultural Land 2,030.37 75 152,277.75
Secondary Forest 663.95 128 84,985.60
The certification unit has submitted LUCA and NPP documents to RSPO Secretariat approval.
There shall be a plan to minimize net GHG emissions which takes into account avoidance of land
7.8.2 Minor
areas with high carbon stocks and/or sequestration options.
Findings Comply?
Records of plan to minimize GHG emissions from new development area are evident in Bab IV: GHG Yes
Emission Mitigation Program. The program has included a few options to maintain or reduce GHG
emissions as below (for example):
No. Program Action Plan
1 Fertilizer application optimization  Application of EFB
 Utilization of effluent discharge
2 Efficiency of Diesel Usage  Utilize the kernel and shell
 Regular vehicle maintenance
 Limitation of electricity generator
3 Water Management at Peat Area  Construction of Watergate
 Installation of Piezometer
 Avoid new planting on peat area
4 Maintenance of Conservation  Identifying carbon stock at HCV area
Area (to absorb carbon emission)
 Calculating carbon stock increment within HCV area
Principle 8: Commitment to Continuous Improvement in Key Areas of Activity
Principle 8: Commitment to Continual Improvement in Key Areas of Activity

Criterion 8.1: Growers and millers regularly monitor and review their activities and develop and implement action plans
that allow demonstrable continual improvement in key operations.
8.1.1 The action plan for continual improvement shall be implemented, based on a consideration of the Major
Principle 8: Commitment to Continual Improvement in Key Areas of Activity
main social and environmental impacts and opportunities of the grower/mill, and shall include a
range of Indicators covered by these Principles and Criteria. As a minimum, these shall include, but
are not necessarily be limited to:
- Reduction in use of pesticides(Criterion 4.6);
- Environmental impacts (Criteria 4.3, 5.1 and 5.2);
- Waste reduction (Criterion 5.3);
- Pollution and greenhouse gas (GHG) emissions (Criteria 5.6 and 7.8);
- Social impacts (Criterion 6.1);
- Optimising the yield of the supply base.
Findings Comply?
The action plan for monitoring as part of its continual improvement plan which considering the social and Yes
environmental impacts and routine evaluation of the plantation ans mill operations is available. The
planning, monitoring and evaluation by the operations include:
 Long term Business Plan established (5-year plan - 2016 to 2020) which is reviewed every 5 years. In the
interim, any updates / re-assessments taken up / reflected in the annual Management Plan.
 Risk assessment prepared for all operations and reviewed / reassessed annually.
 Training Needs Analysis undertaken annually to identify requirements and establish training program for
the workers.
 Review of established Safety & Health program including:
 Evaluation of program progress / achievements
 Accident reporting and analysis
 K3 / Safety Police activities and workplace inspections
 Plan targets / implementation progress discussed during the quarterly SHC meetings.
 Checklist established to monitor PPE procedure implementation and adherence / usage by workers.
However, noted some environmental monitoring has not been adequately carried out periodically, to
facilitate action plans for enabling continuous improvement/corrective action (as necessary), e.g.
monitoring/measurement of the domestic water quality provided (for consumption) to the operations. - Point
for improvements
With regard to the improvement for social aspects, the audit team observed that the company has
established the Social Improvement Plan outlining the aspects identified, action plan, implementation period,
PIC and status of implementation. Observed the latest Social Improvement Plan for 2017 are available
specifying the following:
 Improvement on economic, education, facilities and cultural of local communities;
 Awareness on the prohibition of burning for land clearing among the local communities and workers;
 Improvement on the facilities for workers at the workers housing.
3.3 Supply Chain Requirements
PT Usaha Agro Indonesia Palm Oil Mill has decided to use Module E in this assessment. Findings and objective
evidence collected during the assessment are outlined in below. Results for each indicator from each of the operational
areas were evaluated to provide an assessment of conformity. A statement is provided for each of the RSPO indicators in
order to support the findings of the assessment team.
3.3.1 Module D (CPO Mills): Identity Preserved – Not Applicable
3.3.2 Module E (CPO Mills): Mass Balance

Module E- CPO Mills: Mass Balance
D1: Definition: Certification for CPO mills is necessary to verify the volumes of certified and uncertified FFB entering the
mill and volume sales of RSPO certified producers. A mill may be taking delivery of FFB from uncertified growers, in
addition to those from its own certified land base. In that scenario, the mill can claim only the volume of oil palm products
produced from processing of the certified FFB as MB.
E2: Explanation
Requirements Findings Comply?
E.2.1 The estimated tonnage of CPO and PK Estimated tonnage of CPO and PK production of the Yes
products that could potentially be palm oil mill is available in crop projection - Proyeksi
produced by the certified mill shall be TBS2017. The recorded projection is as below:
recorded by the CB in the public summary
Non
of the P&C certification report. Estate Sustainable Total
Sustainable
For an independent mill, the estimated Ulin 5,832.63 7,810.30 13,642.93
tonnage of CPO and PK products shall be
recorded in the RSPO IT platform, supply Keruing 17,515.98 14,611.40 32,127.38
chain certificate and public summary audit
Meranti 35,289.12 14,569.00 49,858.12
report.
TOTAL 58,637.73 36,990.70 95,628.43
This figure represents the total volume of
certified oil palm product (CPO and PK) CPO 14,659.43 9,247.68 23,907.11
that the certified mill is allowed to deliver
PK 2,638.70 1,664.58 4,303.28
in a year.
The actual tonnage produced shall then be
recorded in each subsequent annual
surveillance report.
E.2.2 The mill shall also meet all registration and As to the date of audit, the POM has not register to No
reporting requirements for the appropriate RSPO IT Platform.
supply chain through the RSPO supply
chain managing organization (RSPO IT NC01
platform).
E3: Documented Procedures
E.3.1 The site shall have written procedures The POM has established written procedures Yes
and/or work instructions to ensure the relating to the implementation of RSPO Supply
implementation of all the elements Chain procedure as evident in Supply Chain System
specified in these requirements. & Traceability (P-SAG-PKS-PRS-14) procedure.
This shall include at minimum the The POM has identified Mr. Abdul Munip Lubis, Mill
following: Manager as the person responsible for the
implementation of RSPO SCCS requirements in the
a) Complete and up to date procedures POM. His responsibility is explained in Section 5.5:
covering the implementation of all the Mill Manager‟s Responsibility. Interview conducted
elements in these requirements; during the audit founds that he is aware of the new
b) The role of the person having overall RSPO SCCS requirements (Jun 2017). He has
responsibility for and authority over the undergone training related to RSPO SCCS
implementation of these requirements and conducted by Mr. Ilham Dwi Putra on 8 Dec 2017.
compliance with all applicable Record of the training is evident.
requirements. All procedures related to sustainability certification is
This person shall be able to demonstrate monitored and controlled by Sustainability
awareness of the site‟s procedures for the Department.
implementation of this standard.
E.3.2 The site shall have documented The company is using Mass Balance model for the Yes
procedures for receiving and processing Supply Chain certification.
certified and non-certified FFBs.
Procedure related to receiving and processing
sustainable and non-sustainable FFB is explained in
Section 7: Procedure Explanation of the procedure.
All RSPO certified FFB received will be stamped
with information related to the traceability
requirements. Information require d to maintain
traceability is evident in Table 1: Traceability Item
which among others includes:
a. Address
b. Unique Identification Number
c. Distance to POM
d. SCCS Model
e. RSPO Certificate Number
As the POM choose to use MB model, processed
FFBs and CPO produced are recorded into Mass
Balance table.
E4: Purchasing and Goods In
E.4.1 The site shall verify and document the As to the date of audit, the POM has not received Yes
volumes of certified and non-certified FFBs any RSPO certified FFB from its supply base.
received.
All incoming sustainable and non-sustainable FFB
are recorded into weighbridge system and updated
in Bukti Timbangan TBS Internal/Plasma/Luar (FM-
SAG-PKS-PRS-010201).
FFB supplied by FFB supplied by
their own estate independent
during Jan-Dec smallholder during Jan-
2017 Dec 2017
124,239
All incoming FFBs are recorded into Laporan
Penerimaan Tandan Buah Segar (FM-SAG-PKS-
PRS-010204). The form provides sufficient
information of:
e. FFB from Supply Base (Sustainable)
f. FFB from Supply Base (Non-Sustainable) –
Sanctions
g. FFB from Smallholders (Non-Sustainable)
h. FFB from Out-Grower (Non-Sustainable)
This information is extracted automatically from the
weighbridge system.
For the processing of FFB, the POM has established
an accounting system (in Excel format) to give
allocation/proportion to specifically allocate
percentage of sustainable and non-sustainable
incoming FFB, CPO and PK production; as well as
the delivered CPO and physical stock. The form has
been evaluated during the audit.
E.4.2 The site shall inform the CB immediately if The procedure (Supply Chain System & Traceability) Yes
there is a projected overproduction of has indicated a mechanism to inform certification
certified tonnage. body for any projected overproduction (Section 7.5
(9): Perhitungan Traceable Mass Balance Report,
dan Stock RSPO).
E5: Record Keeping
E.5.1 a. The site shall record and balance all a. The POM did records all FFBs received (from Yes
receipts of RSPO certified FFB and sustainable/non-sustainable sources) as evident in
deliveries of RSPO certified CPO and Mass Balance PKS UAI.
PK on a real-time basis and / or three-
monthly basis. As to the date of audit, the POM has not received
any RSPO certified FFB. Template of Mass
b. All volumes of palm oil and palm kernel Balance table is evident established on a 3 months
oil that are delivered are deducted from basis.
the material accounting system
according to conversion ratios stated by b. All volumes of CPO and PK that are delivered or
RSPO. deducted are correctly calculated as evident in
Mass Balance PKS UAI (Simulation).
c. The site can only deliver Mass Balance
sales from a positive stock. Positive c. As to the date of audit, the POM has not received
stock can include product ordered for any RSPO certified materials.
delivery within three (3) months. d. The POM is aware of the possibilities to shell
However, a site is allowed to sell short. short; however, they would not implement the
(i.e.: product can be sold before it is in options as part of risk management.
stock.)
For further details refer to Module C.
3.4 Non-Conformances Raised in this Assessment

As outlined, objective evidence was obtained separately for each of the RSPO Indicators and criterion for the mills
and estates. The results for each indicator from each of the operational areas were evaluated to provide an
assessment of conformity. A statement is provided for each of the RSPO indicators in order to support the findings
of the assessment team. Details statement of non-conformance raised in this audit are summarized in Appendix 4.
3.5 Status of Non-Conformities Previously Identified

Status of non-conformities identified in previous assessment is summarized in Appendix 5.
3.6 Noteworthy Positive Comments

The production unit has demonstrated their fullest commitments to comply with all RSPO P&C and SCCS
requirements. A sustainability team has been formed and is found competent to ensure implementation and
continuous maintenance of sustainability requirements implementation. On-site personnel have indicated their
interest in ensuring all requirements are met, therefore a positive effort and ideas have been shown.
3.7 Issues Raised by Stakeholders

A list of stakeholders contacted and their feedback (if any) is included as Appendix 3.
4. CERTIFIED ORGANIZATION’S ACKNOWLEDGEMENT OF INTERNAL RESPONSIBILITY
4.1 Assessment Conclusion and Recommendation
The audit team concludes that the organization has / has not established and maintained its management
system in line with the Roundtable on Sustainable Palm Oil (RSPO) Principles and Criteria for the Production of
Sustainable Palm Oil 2013 / Indonesia National Interpretation of RSPO Principles and Criteria for Sustainable Palm
Oil Production 2016 and RSPO Supply Chain Certification Standard (Nov 2014) standard and demonstrated the
ability of the system to systematically achieve agreed criterion & requirements.
4.2 Acknowledgement of Internal Responsibility and Formal Sign-off Assessment Findings
Signing by PT Usaha Agro Indonesia

I the undersigned, being the most senior relevant management representative of the operation seeking or holding
certification, agree with the contents and audit findings as presented in this document .
I also confirm:
 Acceptance of liability in execution of the instructions given.
 That this company was made aware that the findings of the audit team are tentative; pending review and
decision making by the duly designated representatives of Bureau Veritas Certifications.
 That during the closing meeting all agenda items was covered by the Lead Auditor.
Acknowledge by:
Ms. Yusi Rosalina
Name
yusi.rosalina@SampoernaAgro.com
Position Manager (Sustainability and Certification)
Date Signature
Signing by the Bureau Veritas Certification Hong Kong Ltd.

I the undersigned, being the Lead Auditor, confirm that this report is an accurate record of the findings and of the
closing meeting. I further confirm that the summary of the findings as presented in this report are a true
representation of the actual findings of the audit team.
Acknowledge by: Signature
Name M. Shazaley Abdullah
Position Lead Auditor
Date 17 May 2018
APPENDIX 1: TIMEBOUND PLAN
PT Sampoerna Agro Tbk is a member of RSPO and has been involved in the certification since January 2007; the
membership number with RSPO is 1-0031-07-000-00.
PT Sampoerna owns and operates 10 mills and 64 oil palms estates, together with 10 operating unit covering approximately
141,000 ha in Indonesia. PT Sampoerna Agro Tbk has developed a time-bound plan for the phased implementation of the
RSPO P&C, commencing with mills and estates. PT Sampoerna Agro Tbk will use the experience gained from achieving
certification of the first few mills and estates to implement the RSPO P&C in parallel with the remainder of its operations.
Bureau Veritas Certification assessment team considers that PT Sampoerna Agro Tbk is on track which is reasonable and
challenging, given the widespread geographic locations of its properties, the resources required and the numbers of
smallholders involved.
Time Bound Plan
Requirement Findings and any action required Compliance

Does the plan include all subsidiaries, The plan has included all subsidiaries Yes
estates and mills? under the PT Sampoerna Agro Tbk.
There are 10 operating units covering
141,000 Ha.
Is the time bound plan challenging? Refer Table A for the timebound plan. Yes
a. Age of plantations The audit team observed that a
challenging time bound plan has been
b. Location establish as determined by
c. POM development memorandum of PT Sampoerna Agro
Tbk Management Commitment signed
d. Infrastructure by CEO on June 01, 2015.
e. Compliance with applicable law This is the 2nd revised time bond plan
of PT Sampoerna Agro Tbk.
Considering the readiness of all
subsidiaries palm oil mill and estates
under PT Sampoerna Agro Tbk.
Have there been any changes since the Not Applicable. This is Main NA
last audit? Are they justified? Assessment Audit.
If there have been changes, what Not Applicable. This is Main NA
circumstances have occurred? Assessment Audit.
Have there been any stakeholder There are some comments articulated Yes
comments? by the Stakeholders consulted during
the audit.
All of their remarks and comments has
been addressed during the audit.
Details are captured in the audit report.
Have there been any newly acquired Two new company established under Yes
subsidiaries? the company i.e. PT Anugrah Palm
Indonesia and PT Keduran Prakarsa
Nabati is currently under certification
process for New Planting procedure.
The audit team observed that there are
ongoing land conflicts in several
subsidiaries of PT Sampoerna Agro
Tbk with example are as follows:
 Sumber Sawit estate with has land
dispute with total area 163.19 Ha,
this is consist of:
- land area dispute with Sidomukti
(C3) village about 52.19 Ha (in
divi-sion III); and
- division V about 27 Ha with Dabuk
Makmur village, and
- while for 84 Ha still not identified.
 Sumber Sawit estate with
community from Dabuk Makmur
village for 75 Ha, this area was HCV
area and community want
transferred this area become
smallholder (palm oil), and until
surveillance there is no agreement
to solved this, and company already
carried out meeting to solved this,
evidence by minutes of meeting on
November 14, 2015, and the
community did not want to signed
the minutes of meeting.
Further verification indicates that there
has been action taken to resolve the
above conflict.
Have there been any isolated lapses in This is Main Assessment Audit. NA
implementation of the plan?
The assessment of this section will be
verified during the next audit
(Surveillance Audit)
Un-Certified Units or Holdings
Note: Companies may demonstrate compliance by clear evidence of a self-audit (i.e. an internal audit for all
subsidiaries, estates and Palm Oil Mills)
Requirement Findings and any action required Compliance
Did the company conduct an internal PT Sampoerna Agro Tbk has Yes
audit? If so, has a positive assurance conducted the Internal Review through
statement been produced? the commencement of the Internal
Auditing process.
The timebound plan is found to be
reviewed during the internal review and
the positive confirmation of the
targeted time bound plan is specified
in the internal review.
No replacement after dates defined in There is evidence of Land Use Change Yes
NIs Criterion 7.3: Analysis that is conducted for the
following objective:
a. Primary forest
 To identify the condition of land
b. Any area identified as containing cover prior to land clearing by the
High Conservation Values (HCVs) company;
c. Any area required to maintain or  To analyse the use of land for each
enhance HCVs in accordance with period in the year prior to planting
RSPO criterion 7.3 and land clearing;
 To determine the basis for
calculation of compensation value
liability with a coefficient of
vegetation according to land cover
status.
Based on the above assessment, the
audit team observed that the company
has collected several landsat map to
determine and study the land use
change for the title area.
The Land Use Change Analysis is
found to be taking into consideration
the HCV Assessment that was
conducted in 2010 by the external
consultant.
Based on the HCV Assessment
conducted, the assessment involves a
participatory stakeholder consultation
process covering various stakeholder
groups such as relevant government
agencies, local communities, NGOs
etc. The audit team also observed that
the HCV Assessment conducted based
on the Guidance for Identifying HCV in
Indonesia (HCV Toolkit Indonesia),
2008.
Any new plantings since January 1st As reflected earlier, PT Sampoerna Yes
2010 must comply with the RSPO New Agro Tbk is acquiring new areas and
Plantings Procedure. expending its oil palm plantation which
also involving new planting.
For the above purpose, PT
Sampoerna Agro Tbk has established
close engagement with RSPO for the
guidance on the way forward.
Any Land conflicts are being resolved As of the date of the audit BVC does Yes
through a mutually agreed process, not receive any input from any
e.g. RSPO Grievance procedure or stakeholders or from PT Sampoerna
Dispute Settlement Facility, in
Agro Tbk with respect to the existing
accordance with RSPO criteria 6.4, 7.5
and 7.6. land conflict occur with any entity or
local communities.
Any Labor disputes are being resolved As of the date of the audit BVC does Yes
through a mutually agreed process, in not receive any input from any
accordance with RSPO criterion 6.3. stakeholders or from PT Sampoerna
Agro Tbk with respect to the labor
disputes occur with their workers.
Did the company conduct an internal PT Sampoerna Agro Tbk has Yes
audit? If so, has a positive assurance conducted the Internal Review through
statement been produced? the commencement of the Internal
Auditing process.
The timebound plan is found to be
reviewed during the internal review
and the positive confirmation of the
targeted time bound plan is specified
in the internal review.
Any Legal non- compliance is being As reflected earlier, the audit team Yes
resolved in accordance with the legal observed that there are ongoing land
requirements, with reference to RSPO conflicts in several subsidiaries of PT
criteria 2.1 and 2.2. Sampoerna Agro Tbk with example
are as follows:
 Sumber Sawit estate with has land
dispute with total area 163.19 Ha,
this is consist of: land area dispute
with Sidomukti (C3) village about
52.19 Ha (in divi-sion III); and
division V about 27 Ha with Dabuk
Makmur village, and while for 84 Ha
still not identi-fied.
 Sumber Sawit estate with
community from Dabuk Makmur
village for 75 Ha, this area was HCV
area and community want
transferred this area become
smallholder (palm oil), and until
surveillance there is no agreement
to solved this, and company already
carried out meeting to solved this,
evidence by minutes of meeting on
November 14, 2015, and the
community did not want to signed
the minutes of meeting.
Further verification indicates that there
has been action taken to resolve the
above conflict.
Table A: PT Sampoerna Agro Tbk – RSPO Certification Commitment
Certification Proposed
FFB Supplier / Estate Location Area (ha)
Unit / POM Certification Year
Belida South Sumatera 2,747 Certified in 2011

Permata Bunda Satu South Sumatera 540 Certified in 2016
Belida Smallholder (KUD Tekad Mandiri, KUD
South Sumatera 1,837 Certified in 2016
Panca Sawit Makmur)
Belida Mill – Mesuji Estate Smallholder (KUD Jaya
PT Aek Tarum South Sumatera 525 Certified in 2016
Bersama)
Limau Sundai Smallholder (KUD Rahayu
Bhakti, KUD Mulya Jaya, KUD Mekar Sari, South Sumatera 3,587 2017
KUD Sumber Rezeki)
Sari Indah Smallholder (KUD Karya Makmur South Sumatera 1,358 2017
Mesuji South Sumatera 2,161 Certified in 2011
Surya Adi South Sumatera 541 Certified in 2016
Mesuji Smallholder (KUD Bina Sawit Utama,
South Sumatera 2,559 2017
Permata KUD Citra Sawit Mandiri, KUD Mekar Sawit
Bunda Mill – Permata Bunda Smallholder (KUD Marga
PT Mutiara South Sumatera 4,086 2017
Mulya, KUD Surya Bhakti)
Bunda Jaya
Harapan Bunda Smallholder (KUD Surya Adi,
KUD Sinar Jaya)
Surya Karta Smallholder (KUD Tunas
South Sumatera 756 2017
Harapan)
Sumber Sawit South Sumatera 4,191 Certified in 2016
Permata Bunda Dua South Sumatera 1,213 Certified in 2016
Sumber Sawit Hikmah Tiga South Sumatera 3,108 2017

Mill – PT Hikmah Lima South Sumatera 2,220 2017
Gunung Tua
Abadi Hikmah Lima Smallholder (KUD Dewa
Makmur)
Sumber Sawit Smallholder (KUD Makmur
South Sumatera 455 2018
Bersama)
Hikmah 2 South Sumatera 2,351 Certified in 2017
Belida Smallholder (KUD Mulya Indah
Permai, KUD Jadi Mandiri, KUD Bina South Sumatera 2,986 2017
Sejahtera)
Gading Jaya Smallholder / Limau Manis
Smallholder (KUD Maju Lancar, KUD Madya South Sumatera 6,950 2018
Selapan Jaya Karya Bhakti, KUD Intan, KUD Marga Mulya)
Mill – PT Gading Jaya Smallholder / Sari Indah
Sampoerna Smallholder (KUD Permata Bunda, KUD South Sumatera 3,996 2018
Agro Tbk Karya Makmur, KUD Subur Makmur)
Gading Jaya Smallholder / Sungai Pangeran
Smallholder (KUD Sumber Sentosa, KUD South Sumatera 3,177 2018
Serba Usaha)
Gading Jaya Smallholder (KUD Ipoh Raya,
KUD Puger Mulya, KUD Harapan Jaya South Sumatera 4,216 2018
Mandiri, KUD Balian Sejahtera Abadi)
Telaga Hikmah Satu South Sumatera 3,612 2017
Hikmah Mill – Hikmah Empat South Sumatera 2,612 2017
PT Telaga
Hikmah Gading Jaya South Sumatera 3,078 2017
Mega Terang South Sumatera 1,651 2017
Tanjung Sari South Sumatera 2,855 2017
Sepucuk South Sumatera 1,172 2019
Limau Kesturi South Sumatera 3,751 2018
Jaya Permai South Sumatera 3,049 2018
Nawa Surya South Sumatera 3,306 2018
Tanjung Sari Smallholder – Rantau Durian
Smallholder (KUD Tanjung Mesayu, KUD South Sumatera 1,847 2019
Sumber Makmur, KUD Sari Makmur
Nawa Surya Smallholders South Sumatera 1,921 2019
Limau Kesturi Smallholders South Sumatera 779 2020
Baboti Central Kalimantan 3,522 2017
Rauk Naga Central Kalimantan 2,972 2017
Waringin Central Kalimantan 3,350 2017
Sungai Rangit
Mill – PT Sukamara Central Kalimantan 3,253 2017
Sungai Rangit
Telaga Bintang Central Kalimantan 3,118 2017
Sungai Sagu Central Kalimantan 3,142 2017
Sungai Rangit Smallholder Central Kalimantan 3,061 2019
Ulin Agro West Kalimantan 3,476 2017
Kruing Agro West Kalimantan 3,405 2017
Usaha Agro
Indonesia Mill Meranti Agro West Kalimantan 2,309 2017
– PT Usaha
Agro PT Anugrah Palm Indonesia West Kalimantan 0 2022
Indonesia
Usaha Agro Indonesia Smallholder West Kalimantan 1,686 2019
PT Anugrah Palm Indonesia Smallholder West Kalimantan 0 2025
Lanang Agro Bukit Subur West Kalimantan 3,053 2019

Bersatu Mill –
Bukit Makmur West Kalimantan 3,542 2019
PT Lanang
Agro Bersatu Lanang Agro Bersatu Smallholder West Kalimantan 1,221 2021
PT Tebar Tandan Tenerah West Kalimantan 2,493 2022
PT Nusantara Sarana Alam West Kalimantan 1,561 2022
Landak Area PT Kedurang Prakarsa Nabati West Kalimantan 0 2022

Wilayah 1 PT Tebar Tandan Tenerah Smallholders West Kalimantan 289 2025
PT Nusantara Sarana Alam Smallholders West Kalimantan 328 2025
PT Kedurang Prakarsa Nabati Smallholders West Kalimantan 0 2025
PT Pertiwi Agro Sejahtera West Kalimantan 1,377 2022
PT Kusuma Mentari Makmur West Kalimantan 431 2022
Landak Area PT Agro Planindo Utama West Kalimantan 547 2022

Wilayah 2 PT Pertiwi Agro Sejahtera Smallholders West Kalimantan 1,377 2025
PT Kusuma Mentari Makmur Smallholders West Kalimantan 12 2025
PT Ahro Planindo Utama Smallholders West Kalimantan 103 2025
APPENDIX 2: ASSESSMENT PROGRAM
Date Time Auditor Activities/Areas to Assess Key Contact

17 Dec 2017
0725 - 0830 ALL Auditors Travelling (KUL – CGK – SRG – PKN) BVC
(Sunday)
Opening Meeting
a. Introduction of Audit Team
0830 - 0900 b. Introduction of BVC Hong Kong Mika Asri
c. General certification system process
d. Discussion on audit programme
Field Inspection (Ulin Agro Estate)
a. Field Operations
b. Boundary Stone
c. High Conservation Value Area
0900 - 1230 d. Riparian/Watercourses Protection Mika Asri
e. Waste Management Plan
f. Storage Facilities
18 Dec 2017 g. Workers Housing
(Monday) h. Etc.
1230 - 1400 Lunch Break Mika Asri

Document Review (Ulin Agro Estate)
a. Policies
b. Aspect and Impact Assessment (Social,
Environment, Etc.)
1400 - 1700 c. Management Plan (Water, Waste, Environment, Mika Asri
HCV, Social, Etc.)
ALL
d. Records (Training, Meeting, Accidents, Etc.)
e. Integrated Pest Management
f. Etc.
1700 Discussion of Day 1 Mika Asri

Field Inspection (Kruing Agro Estate)
a. Field Operations
b. High Conservation Value Area
c. Riparian/Watercourses Protection
0800 - 1230 Mika Asri
d. Waste Management Plan
e. Storage Facilities
f. Workers Housing
19 Dec 2017 g. Etc.
(Tuesday) 1230 - 1400 Lunch Break Mika Asri
Document Review (Kruing Agro Estate)
a. Policies
1400 - 1700 Environment, Etc.) Mika Asri
c. Management Plan (Water, Waste, Environment,
HCV, Social, Etc.)
f. Etc.
Stakeholders Consultation
a. Government Agencies
TBC Mika Asri
b. Local Communities
c. Workers Representative

Field Inspection (Meranti Agro Estate)
a. Field Operations
b. Boundary Stone
c. High Conservation Value Area
0800 - 1230 d. Riparian/Watercourses Protection Mika Asri
e. Waste Management Plan
f. Storage Facilities
g. Workers Housing
h. Etc.
20 Dec 2017 1230 - 1400 Lunch Break Mika Asri
ALL
(Wednesday)
Document Review (Meranti Agro Estate)
a. Policies
Environment, Etc.)
1400 - 1700 Mika Asri
c. Management Plan (Water, Waste, Environment,
HCV, Social, Etc.)

Site Inspection (Usaha Agro Indonesia POM) Mika Asri
a. FFB Receiving Ramp
b. Processing Unit
0830 - 1230 ALL
c. Delivery Areas
Mika Asri
d. Waste Treatment Plant
e. Etc.
1200 - 1400 Lunch Break Mika Asri

Document Review (Usaha Agro Indonesia POM)
a. Supply Chain Certification Procedure
21 Dec 2017 b. Incoming FFB Record
(Thusday)
1400 - 1500 c. Delivered CPO Record Mika Asri
ALL d. Mass Balance Table
e. Quality Management Documents
f. Etc.
Closing Meeting
a. Presentation of Audit Findings
1530 - 1600
b. Discussion
c. Recommendation for Certification
Auditor Travelling (Manis Mata - Pangkalan Bun)
1600 ALL Mika Asri
Overnight at Pangkalan Bun
22 Dec 2017
0735 - 0845 ALL Auditor Travelling (PKN – SRG – CGK - KUL) BVC
(Friday)
APPENDIX 3: LIST OF STAKEHOLDERS CONSULTED
Verification or Follow-Up Required by

Consulted Stakeholder Feedback/Comments Received
Clients / Bureau Veritas
Local Communities of The company has been constantly engaging The audit team has verified the records of
Desa Jambi on with the communities through the periodical the stakeholder meeting in particular the
stakeholder consultation/meeting. meeting held with the external stakeholder
19 Dec 2017 and confirmed that the estate has been in
There is no other issue articulated with constant communication and consultation
10.00am respect to the company‟s management and with the local communities. Evidence is
Local Communities of operations on the communities‟ daily captured in the earlier section of the audit
Desa Danau Buntar on livelihood. report.
19 Dec 2017 The local communities articulated that they With regards to the land acquisition, the
have been consulted with regards to the evidence of the land acquisition is specified
12.00pm acquisition of their land. They also have in the audit report (Criteria 6.4 and 7.5)
emphasized that the process has been made
in transparent manner with free, prior and
informed consent and with the present of the
government authority
Workers and Workers 
Contract established in local language which Verification has been made by the auditor
Representative understood by them; and all input has been verified as per in the
audit report.
20 Dec 2017  Signing of the contract is witnessed by the
workers representative;
4.00pm
 Wages are well duly informed especially on
the requirements as per in the local laws and
legislation;
 PPE are provided and free to be replaced
once worn-out.
 Summary:
 In summary, the stakeholder meetings conducted found no pertinent issues against the company‟s operation except on
some occasion which further clarification as indicated above is needed to be obtained from the company during the audit to
confirm the validity.
 Interview sessions conducted in free atmosphere without the presence of the company‟s representative.
 All input articulated from the stakeholders are anonymous.
APPENDIX 4: NON CONFORMITIES RAISED IN THIS AUDIT
NCR No. M01 Date Issued 21 Dec 2017
Category Major Due Date 20 Feb 2018

4.6.5: Evidence of pesticide application by trained person and in accordance with
application guidelines in product label and storage guidelines shall be available.
Requirements/Indicators Appropriate safety equipment shall be provided and utilized. All precautions attached to
the products shall be properly observed, applied, and understood by workers (see
Criterion 4.7)
There are evidences showing that the application of chemicals has not been conducted in
Statements of NC accordance with product labels and storage guidelines and not all safety equipment‟s has
been utilized by sprayers.
Site inspection conducted at Field P0025 of Keruing Estate founds that there is no MSDS
made readily available for easy reference for usage of Paraquat.
The pesticides (Paraquat) brought on-site for field operation are found being kept in a way
which allow contamination to the environment, food and human. There is no tray to
prevent any spillage of the chemicals during mixing and transporting.
There is no labelling/signage being displayed as required by product label to keep the
workers aware of the types of chemicals contents and the hazard.
Objective Evidence(s)
There is no space allocated for the workers, their food and drink water to avoid risk of
contamination with chemicals and spraying equipment‟s when commuting to the
worksites. During interview with the sprayers, the auditors sighted a group of 3 sprayers
which spraying (to finish up chemicals balance in the pump) with eye goggles and face
mask opened.
Site inspection at main chemical store (cater for all 3 estates) founds that a broken Prima-
Up container (with full contents) are only sealed using black tape which still may cause
spillage.
 The MSDS has been placed at the mobile carrier. However due to the weather
condition, the MSDS has been detached from its place.
 Secondary containment that is function to contain the spillage of the pesticide during
the pre-mixing was not brought to the field during such working day.
There is yet to have a designated area for storing the pesticide in the mobile carrier.
 Pesticide label that indicates the type, characteristic and hazards level as well as the
Root Cause Analysis scheduled waste level has been paste. However, the label has been peeled off due to
exposure to the rain water.
 Designated area for storing the food not been provided to the workers. The workers is
not aware the need to store their food at the safe area in the mobile carrier.
 The sprayers has not understand the need to wear PPE until the given task finished.
 The broken Prima Up container is not replaced in good conditions containers
immediately to prevent spillage
 Laminated MSDS has been paste on the mobile carrier and monitoring on its condition
is currently being periodically conducted.
 Secondary containment for containing the spillage that may occur during pre-mixing is
placed at the designated area in the mobile carrier. Field mandore is responsible to
ensure that the secondary containment is made available at the designated area in the
Corrective Action mobile carrier.
 Designated area for storing of pesticide has been allocated in the mobile carrier,
completely separated from area designated for storing food and drinks.
 Pesticide label that indicating the type and characteristic of the chemical, hazards level
of the chemical as well as scheduled waste label for empty chemical container has
been established.
 A special place equipped with board and cover for placing and storing food and drinks
has been prepared. In addition, the design function for the mobile carrier has been
optimized according to its function.
 Providing briefing, instruction and reprimand against employees who do not use PPE
that has been given to them at work. The field mandore is required to continually
reassures all workers using PPE.
 Replacement of unfavorable packaging of pesticide with the packaging with the similar
characteristics and condition of the standard packaging. The leaking pesticide package
has been removed and stored at scheduled waste store.
 Periodically perform the monitoring of the availability of the MSDS. Field Assistant and
Foreman to ensure MSDS is always available.
 Conducting a briefing regarding the safe use of the pesticide.
 Every morning before mobilizing the workers to the working area, the field assistant and
foreman must ensure that secondary containment have been properly placed at the
designated area in the mobile carrier, pesticides are placed in the designated pesticide
storage areas and safety standards have been complied with.
 Conducting data collection, manufacture and re-installation of damaged scheduled
waste labels and symbols.
Preventive Action  To ensure that the pesticide is handled in accordance with the label on the packaging.
 Provide periodic briefing about the dangers of pesticide exposure to food and beverages
for health.
 The spraying mandore to conducts intensive monitoring of spraying activities from
beginning of work until finish.
 Provide briefing about the benefits of using PPE safely and correctly.
 To monitor consistency of the usage of PPE during working.
 Regularly monitor the condition of pesticide container packaging.
 Provide briefing to workers on best and proper pesticide storage management.
The audit team has been provided with objective evidences indicating that all proposed
corrective action plan has been implemented. All NCR closure have been submitted to the
audit team through email in form of Photographs, Videos and Documentation/Records.
Verification of Corrective The explanation of root cause analysis is clear whereby it has covers all aspects which
Action(s) lead to the non-conformity at the first place.
After thorough evaluation and verification, this non conformity has been accepted for
closure by the audit team.
Status Closed Date of Closure 20 Feb 2018

4.7.2 A documented risk assessment shall be available and its implementation shall be
Requirements/Indicators
recorded
Statements of NC A documented risk assessment is not adequately implemented.
The following non-conformities are observed during the audit:
 With regards to accidents cases/reports, the audit team observed that:
Objective Evidence(s)  The review of accident cases/identified corrective measures are advised only
included as part of the annual risk assessment review/update process;
 Moreover, the accident reports only detail the events leading to the occurrence and
first aid/medical measures provided to victim. These reports do not include
identification of remedial measures/actions to mitigate recurrence.
 There is no specific procedures for reporting an accident that occur in the production
unit covering the following:
 Accident investigation method/process;
 Person in-charge / responsible personnel;
 Classification of accidents;
 Need for identification of remedial measures.
 The MSDS for chemicals / fertilizer are not available for the Chemical, Fertilizer and
Lubricant stores at Ulin Agro and Keruling Agro Estates as well as UAI mill;
 Emergency shower facility is not available / installed at the Chemical store at the Main
Building Complex;
 The old wooden housing quarters at Ulin Agro Estate potentially represents a serious
fire hazard whereby there are no fire prevention facilities available in the vicinity of this
housing area, e.g. fire extinguishers or fire hydrant;
 LPG gas tanks are also observed stored at the veranda area of a unit within the Ulin
Agro Estate workers housing quarters;
 Field observation on contract workers (subcontractor workers) performing work at

height indicates the following:
 At Main Division, Keruing Estate - on elevated scaffolding, the workers are found to
be working without using any PPE, e.g. gloves, safety shoes, helmet or attached
lifeline
 Main Building Complex – at roof area of construction project, the workers are found
to be working without using any PPE, e.g. gloves, helmet or attached lifeline
 Accident investigation form work is available, but yet to accommodate the corrective
action taken for each occurrence of accidents and preventive action in order for the
accident work does not happen again.
 There are no specific procedures that govern the methods of accident investigation,
occupational accident classification and preventive identification.
 MSDS that has been installed in the storage area has not been properly monitored in
term of its condition and its existence.
 Location of the chemical store is close to rinse house which is also equipped with
Root Cause Analysis
emergency shower which is also known to cover chemical store.
 Fulfillment of equipment for fire prevention is done gradually and still focused on areas
prone to fire.
 Lack of employees understanding about means to correct store of LPG gas cylinders
and the risks that can arise from storage and laying errors.
 Contractor workers do not understand the dangers / risks of the type of work performed.
Contractor parties do not fully implement their term and condition of their employment
contract clause related to OHS.
 A column of corrective actions taken for each occurrence of occupational accidents and
preventive measures has been established in the accident reporting form to ensure that
the accident does not happen again.
 Special procedures are available (HRS no. 001 / SAKR / HR / 1/2018) regulating the
Corrective Action
methods of accident investigation, occupational accident classification and preventative
identification. This Memorandum will be strengthened with Integrated Management
System.
 Disposed/missing MSDS has been installed in chemical, fertilizer and lubricant store.
 A designated area/space for chemical mixing and equipment such as Chemical trap box
and emergency shower has been installed in the chemical warehouse building to reduce
the risk of exposure to chemicals.
 Priority for the installation of fire extinguisher has been given for higher fire risk
housing. The action plan is also established that lists the requirement for fire
extinguisher and currently is being gradually implemented.
 Reaffirmed through the GM Memorandum of PT. UAI no 001 / UAI-KBS / I / 2018,
concerning the safety of gas cylinder and Lubricant/Diesel Oil storage. Build a special
place for those who want to sell LPG that complete with a warning / signboard. The
building shall be separated from the housing.
 Briefing has been conducted pertaining to the importance of using PPE in accordance
with the employment agreement clause. Calling and issuing a reprimanding letter
against the contractor who does not run the Work Agreement Letter (SPK) relating to
the fulfillment of OSH aspect.
 Briefing and training on the means to fill the form of occupational accidents to the
ERP/OSH Unit and to monitor the report on the form of accident every month.
 Briefing and training on the special procedures that govern the methods of investigation
of occupational injury, occupational accident classification and preventive identification
to ERP/OSH Units and paramedics.
 Periodically monitor the availability of MSDS and disseminate to the warehouse officer
regarding the content of MSDS.
 Ensure storage areas of hazardous toxic chemicals (B3) are used effectively.
Emergency showers are available and function properly.
 Briefing and training on fire hazard and prohibition of burning activity in residential area.
Preventive Action
 Conducting training and simulation of fire prevention in residential area.
 Ensure that the fire extinguisher is available and its condition is periodically inspected.
 Providing guidance to employees about the danger of putting LPG tubes in the open
area.
 Monitoring and supervision for employees who sell LPG and provide briefing and
training to them on the risk of LPG.
 Provide guidance to contractors / third party workers on OSH and Personal Protective
Equipment (APD).
 Effectively monitor the usage of PPE by contractors.
corrective action plan has been implemented. All NCR closure have been submitted to the
NCR No. m03 Date Issued 21 Dec 2017
Category Minor Due Date Next Surveillance

4.7.5 A procedure for emergency and work accident shall be available in Indonesian
Requirements/Indicators Language; and the workers, who have attended First Aids training, are available in the
working areas
Statements of NC A procedure for emergency and work accident are not adequately implemented
Objective Evidence(s)  Sampled First aid box / kits verified during the audit indicates the following:
- at Ulin Agro and Keruing Agro Estates and PT Usaha Agro Indonesia mill are
lacking in adequacy of contents stocked of the first aid kit;
- the first aid kit for spraying gang verified during the visit to the Ulin Agro Estate
indicates that the first aid kit is lacking of essential required items;
 For the verified first aid kit for harvesting gang in Ulin Agro Estate, the audit team
observed that the first aid kit is not brought to site as the assigned custodian and
trained first aider is on leave;
 Based on the sampled records, Accident reports are maintained by the company.
However, the audit team noted that these reports do not include identification of
remedial measures/actions to mitigate recurrence.
Root Cause Analysis To be reviewed in the next surveillance audit
Corrective Action To be reviewed in the next surveillance audit
Preventive Action To be reviewed in the next surveillance audit
Verification of Corrective
To be reviewed in the next surveillance audit
Action(s)
Status Open Date of Closure ddMMMyyyy
Category Minor Due Date Next Surveillance
Requirements/Indicators 4.7.7 Occupational injuries shall be recorded using Lost Time Accident (LTA) metrics.
Statements of NC Occupational injuries are not properly recorded using Lost Time Accident (LTA) metrics.
There is no specific procedure for the classification of accident category. Verification
during the audit showed that currently the classification for accident as specified in form
used for submitting the accident statistic to the local authority specifies only the following
classification:
a. 0 days – Light injury;
b. 21 days – serious injury and permanent disability;
c. Fatality
Based on the above, there is a gap observed whereby there is no specific classification for
cases involving LTI between 1-21 days.
Action(s)

5.3.3 A documented waste management plan to avoid or reduce pollution and its
Requirements/Indicators
implementation shall be available.
Statements of NC Waste management plan to avoid or reduce pollution is not being fully implemented.
As to the date of audit, there is no reduction, re-use and recycle of waste plan has been
Objective Evidence(s) developed or implemented by the production unit to promote recycling activities. The audit
team also observed that the SW (empty lubricants containers) is being disposed-off at the
organic landfill.
Site inspection conducted at Chemical Store located at Main Building Complex founds
that the mixing activities has been conducted in a conditions which increase the risk of
contamination on the ground. Surplus chemical trap observed to be in the progress of
being constructed at the mixing area and found to be not in the workable condition (as of
the audit date) which allows the surplus chemical to flow directly on the ground. There is
also evidence of leaked chemicals containers (Paraquat) are left without any containing
trays to contain the leakage in the chemical store.
Moreover, site inspection conducted at workers housing and contractor areas at Ulin Agro
Estate founds that waste management plan are not being implemented. There are
evidences of Scheduled Waste (e.g.: spent lubricant; empty chemical containers; empty
lubricant containers, etc.) are being disposed-off irresponsibly. Furthermore, the audit
team observed that diesel tank and lubricants are kept within the compound and are not
kept in a way specified in Handling of Material B3 (P-SAG-RO-PCR-05) procedure. There
are also evidences of diesel and lubricant spillage directly onto the ground which cause
pollution to the environment. The audit team also observed that there is evidence of
burning of domestic waste occurred at the housing area.
Visit to the workers housing area in Ulin Agro Estate showed that empty chemical
containers are being used for other purposes other than containing identified chemicals
(e.g. storage of equipment‟s; measuring chemicals dosage), whereby the containers are
being used to keep diesel.
Site verification conducted at fertilizer store (transit) in Ulin Agro Estate indicates that the
store is located in an area which is in risk of contaminating human health and
environment (e.g.: soil, monsoon drain). Moreover, the store is located <10metres from
the workers housing. There is no walls/protection to protect the fertilizer from being
exposed to rain and no bunds/drain being constructed to prevent surface water to flow
through the store flooring (bare soil).
The audit team also found that the fertilizer store is not equipped with lock and hence is
accessible by workers/children staying at the housing complex at any time. No warning
sign erected to give awareness of the hazardous materials being stored. There is also no
spill kit available at the store.
Site verification conducted at workshop in the Main Building Complex founds that
schedule waste (used filter cartridge, spend lubricants oil) are kept at an area which
exposed to rain.
Site verification during field visit at POM showed that there is evidence of scrapped metal
is not poorly organize and segregated from other waste such as organic waste and
recyclable waste. In addition, used tyres are not properly handled and disposed where the
audit team observed that the waste tyre are left in the open area.
Based on the above, the audit team is off the view that the above non-compliances
warrant a Major Non-conformity.
 The new waste management is only limited to the separation between organic and
inorganic waste that is disposed to the final waste disposal site (landfill). However,
there is still mixed scheduled waste (contaminated packaging) in the form of oil
packaging sourced from employees that is mixed with organic trash.
 Employees still do not understand the types of waste that classified as scheduled
waste.
 Chemical mixing sites / places are readily available. However, Chemical spill
containment shelters (chemical trapbox) are in the process of construction.
Root Cause Analysis
 Lack of awareness and inconsistency of implementation of waste management among
the contractors and employees at their housing.
 Understanding on the proper and proper handling and management of scheduled waste
among the contractors and employees at the housing is still lacking.
 Lack of awareness of the workers and hence there are still workers burning domestic
waste at their housing.
 Lack of employees' understanding on the hazards of them using the empty scheduled
waste container.
 The location of the storage of fertilizer is only temporary and will be applied directly to
the field. In the meantime the company only provide a wood pallet to avoid direct
contact with the soil and as well as tarpaulin to ensure that the fertilizer is not exposed
to rain and sunlight.
 The location of the fertilizer storage is close to the employee housing location.
Signboard prohibiting any unauthorized entrance at the storage area of fertilizer has
been damaged.
 Lack of employees' understanding of the risk of putting scheduled waste in the open
area within the workshop.
 Waste in the form of scrap metal and used tires have not been well managed as its still
mixed with other garbage in the open area.
 Awareness on proper storage of used tires is still lacking. Resulting in the availability of
used tires are still stored in the open area.
 Create an integrated waste management site to separate organic and inorganic waste
and utilize recyclable waste.
 Scheduled waste in the form of oil lubricant container derived from employees housing
is collected and placed in scheduled waste store.
 Chemical mixing vessels and chemical trap containment spots have been constructed
and is available for use.
 Conducting briefing and training as well as giving warning to the contractors and
employees of the housing residents who do not manage the waste properly.
- Provide the landfill for employee contractors and housing.
- Reevaluate the presence of contractors in the company‟s operation area in the light
that the working areas of the contractors are outside of the operations of PT. UAI.
Encourage contractors to comply with clauses in the Working Agreement on
environmental management and OHS discipline.
 Reaffirmed GM's Memorandum no 008 / GM / UAI-APIN / II / 2018 on Prohibition of
Garbage Burning. Installing boards of appeals that it is not permissible to burn
domestic waste.
Corrective Action  Giving a warning letter to the Contractor to comply with the employment agreement on
safety and health clauses as well as safeguarding the environment.
 Conducting inspections on employee housing, collecting and storing of scheduled waste
container to the scheduled waste store.
 All B3 packaging is not justified for reuse and must be collected at scheduled waste
store.
 The fertilizer warehouse (transit) at Ulin Agro Estate has been cleared and is not used
anymore to store fertilizer. Fertilizer is dispatched to the field directly from the central
warehouse. Currently Transit warehouse functioned as car parking / garage and / or
Dump truck.
 Fertilizer warehouse has been cleaned and not used anymore because it is too close to
the employee housing. Currently serves as a vehicle parking lot.
 Transferring scheduled waste originating from workshop to scheduled waste store.
 Provide temporary and confined space to accommodate scheduled waste before
transferring to scheduled waste store.
 Separate organic and inorganic waste from pile of scrap metal and collected at landfill.
 Used tires are reused as potted plants.
 Provide briefing and training to employees to improve understanding about the types of
organic and inorganic waste and how to manage it.
Preventive Action
 Collect scheduled waste regularly from employee housing and store it at the scheduled
waste store.
 Provide guidance and supervision of warehouse officers when mixing chemicals.
 Ensuring guidance in mixing chemicals at chemical warehouse locations is well
implemented.
 Ensure chemical trapbox works properly and effectively.
 To provide training and briefing pertaining to the proper waste management procedures
to employees and contractors and to prohibit them from burning the domestic waste.
 Monitoring the management of scheduled waste by the contractors.
 Briefing and training to employees regarding the hazards of re-use of scheduled waste
container.
 Install the Scheduled Waste sticker / symbol on any empty container.
 Ensure transit warehouses are not used to store fertilizer.
 Performing maintenance workers as well as replanting the former transit warehouse
compound.
 Conducting periodic briefing and training in ensuring that scheduled waste originating
from the workshop is collected and stored at the scheduled waste store regularly.
 Monitoring the management of organic and inorganic waste.
 Providing briefing and training to employees on the organic, inorganic & scheduled
waste grouping.
corrective action plan has been implemented. All NCR closure has been submitted to the

6.5.3 Growers and millers shall provide adequate housing, water supplies, medical,
Requirements/Indicators educational and welfare amenities to national standards or above, where such public
facilities are unavailable or inaccessible.
Growers and millers are not provide adequate housing, water supplies and welfare
Statements of NC amenities to national standards or above, where such public facilities are unavailable or
inaccessible.
Verification during the visit to the workers quarters at Ulin Agro Estate indicates the
following non-conformities:
a. No water quality sampling conducted to determine the water quality for domestic
usage and consumption;
b. Evidence of stagnant water drainage system due to evidence of domestic waste in
the drainage that leads to the availability of mosquito larvae in the drain;
c. There is no fire extinguisher available at the workers quarters;
d. Improper bathroom sanitary water drainage system constructed;
e. Improper (exposed) electrical wiring at the workers quarters;
f. Improper storing of LPG tank at workers quarters without proper signages; and
g. Open burning at sub-contractors housing.
Root Cause Analysis 1. Management of drinking water quality has not done well.
2. No complaints from employees using groundwater drawn from drilled wells and hence
there is no water analysis was conducted
3. Lack of care and attention of employees in the maintenance of domestic sewerage
4. APAR tube is available, but it is being refilled resulted in no fire extinguisher available
5. Buildings for drainage of water are temporary of which it is not permanently settled at
the site. Hence, the employees do not perform maintenance properly
6. Still lack of understanding of employees in minimizing the risk of electrical short circuit
7. There is no specific place to store LPG cylinders in employee housing
8. Lack of awareness and understanding of contractor employees regarding fire hazards
and emissions release resulting in air pollution
9. .
10. Performing the water sampling program for domestic consumption. Performing
evaluation and water quality sampling for consumption at the workers housing once a
year. The first water sampling has been dispatched to the laboratory for testing.
11. Performing the water treatment for domestic sewage.
12. Performing housekeeping and drainage cleaning at the housing.
13. Performing periodic inspection and repair process for any sewage pipe and drain
which not in workable condition.
14. Erecting and establishing the signboard prohibiting from disposing solid waste into the
drainage system at the housing.
Corrective Action 15. Fire extinguisher has been placed at the housing. High risk area are given priority.
16. Performing a routine monitoring to inspect the condition of the fire extinguisher.
17. Routine conservation and rehabilitation of the drainage for domestic waste.
18. Providing training and briefing to the workers on danger of short circuit and
electrocution as well as providing dangerous signage.
19. Performing monitoring and maintenance of electric wiring at the worker‟s housing.
20. Designated area for placing the LPG will be equipped with hazard signage.
21. Providing training and briefing to the contractor‟s workers on danger of fire.
22. Erecting and establishing the signage prohibiting on domestic fire at the housing.
1. Performing housekeeping and drainage cleaning at the housing on a regular basis (3
Monthly)
2. Water sampling at the contractor‟s worker housing is evaluated at periodic interval by
the contractors.
Preventive Action
3. Electrical wire (exposed) has been rewired to minimize the possibility of short circuit.
4. LPG tanks have now been relocated at designated area with proper signage.
5. To perform training and briefing to the contractor‟s workers on the prohibition of open
burning.
Following to the audit, the company has taken immediate action to resolve the above
issues by submitting the close-out evidence in the form of training record and pictorial
evidence showing action that has been taken to address the Major NCR issued. The
evidence was submitted via email stating the following evidences:
 Pictorial evidence of the drainage system at the workers housing;
Action(s)  Pictorial evidence of the drainage system at the contractor‟s housing;
 Pictorial evidence of the electrical wiring of the workers housing;
 Training records and training details that have been conducted.
With the above close-out evidences, the Major NCR 06 issued is now closed.
Category Minor Due Date Next surveillance
Requirements/Indicators 6.6.2 Records of meetings with labor unions or workers representatives shall be available
Statements of NC Records of meeting with labor unions or workers representatives are not available.
The established JCC Meeting is endorsed by the Ministry of Manpower of Indonesia.
Based on record, the latest committee was established in 01 October 2015 and valid for 3
years (until 30 September 2018). Letter of endorsement of the committee by the Ministry
dated 01 October 2015 is made available to the audit team during the audit. Observed
Objective Evidence(s) that the letter specifies the term and condition as well as code of conduct for the
committee.
Unfortunately, since the establishment of the committee, only one meeting held so far i.e.
on 19 September 2016 which is not in line with the term and condition of the committee
specified in the above letter that requires the committee to be held at least once a month.
Action(s)
APPENDIX 5: NON CONFORMITIES IDENTIFIED PREVIOUSLY
Not applicable. This is Main Assessment.
APPENDIX 6: LOCATION MAPS OF THE CERTIFICATION UNIT
Map 1: Ulin Agro Estate
Map 2: Kruing Agro Estate
Map 3: Meranti Agro Estate
APPENDIX 7: RECORDS OF CERTIFIED AND NON-CERTIFIED
TRANSACTION SINCE LAST AUDIT
Monthly Records of Certified and Uncertified FFBs Received Since Last Audit
Remarks:
 If this is Main Assessment, the figures used are from the last 12 Months
 If this is Annual Surveillance Assessment, the figures used are since last audit.
No. Month – Year Certified Supplier (MT) Uncertified Supplier (MT) Total (MT)
01 Jan-Dec 2017 124,239.00 n.a 124,239.00
TOTAL (MT) 124,239.00 n.a 124,239.00
Monthly Records of Certified CPO and PK Produced Since Last Audit

Remarks:
 If this is Main Assessment, the figures used are from the last 12 Months
 If this is Annual Surveillance Assessment, the figures used are since last audit.
No. Month – Year Certified CPO (MT) Certified PK (MT)
01 Jan-Dec 2017 3,105.985 559.077
TOTAL (MT) 3,105.985 559.077
Monthly Records of Certified CPO and PK Sold under Palm-Trace Platforms since Last Audit (if any)
Remarks:
 If this is Main Assessment, this table is Not Applicable.
 If this is Annual Surveillance Assessment, the figures used are since last audit based on RSPO Palm Trace transaction
Report.
No. Transaction ID No. Certified CPO (MT) Certified PK (MT)
Nil Nil Nil
APPENDIX 8: GREENHOUSE GAS (GHG) REPORTING SUMMARY
The GHG emissions produced by the Certification Unit‟s (POM and its supply bases) in the period of Jan 2017 until Dec
2017 have been calculated using the RSPO PalmGHG Calculator (version 3.0.1). The Certification Unit has selected the
following options from the PalmGHG Calculator when preparing inputs for the GHG emissions calculations:
Apply Full Version
Apply Nov. 2005 Cut Off for LUC
Exclude LUC Emissions (Obsolete)
The assessment team had verified the data input by the Certification Unit in the PalmGHG Calculator against operations
and verifiable records. Example of documents and records verified by the assessment team during the audit are (but not
necessary limited to) as follows:
1. Total Land Bank Area 5. Fertilizers Applied by the Certification Unit
2. Planted Area (Age Profiles) 6. Chemicals Applied by the Certification Unit
3. Diesel and Lubricants Usage 7. FFB Production
4. Electricity Consumption 8. CPO and PK Produced
A. Based in the verification conducted; Summary of net GHG emissions from the PalmGHG calculator for this
Certification Unit within the above-mentioned period can be simplified as follows:
1. Summary of Emissions
Description tCO2eq/t product Extraction t/year
CPO 7.62 OER 24.12
PK 7.62 KER 3.58
PKO 0.00
PKE 0.00
Land Use Ha Production t/year
OP Planted Area 6782.12 FFB Processed 98388
OP Planted on Peat 2411.14 CPO Produced 23728
Conservation (Forested) 0.00
Conservation (Non-Forested) 245.50
Total 9438.76
2. Summary of Plantation/Field Emissions and Sink
rd
Own Group 3 Party
Description Total
tCO2e tCO2e/ha tCO2e/t FFB tCO2e tCO2e/ha tCO2e/t FFB tCO2e tCO2e/ha tCO2e/t FFB
Land Conversion 62766.05 9.25 1.03 0 0 0 0 0 0 62776.33

CO2 Emission from
867.13 0.13 0.01 0 0 0 0 0 0 867.27
Fertilizer
N2O Emission 19425.48 2.86 0.32 0 0 0 0 0 0 19428.66
Fuel Consumption 1149.28 0.17 0.02 0 0 0 0 0 0 1149.47
Peat Oxidation 164560.30 24.26 2.71 0 0 0 0 0 0 164587.3
Crop Sequestration -63492.40 -9.36 -1.05 0 0 0 0 0 0 -63502.8

Sequestration in
-1912.95 -0.28 -0.03 0 0 0 0 0 0 -1913.26
Conservation Area
Total 183362.89 27.04 3.02 0 0 0 4595.40 0 0
*Note: Includes both estates and smallholders
*Note: 3rd Party without dataset
3. Summary of Mill Emission and Credits
tCO2 tCO2e/t FFB
Description
POME 19285.71 0.2
Fuel Consumption 363.20 0.0
Grid Electricity Utilization 0.00 0.0
Export of Excess Electricity to Housing & Grid -33.25 0.0
Sales of PKS 0.00 0.0
Sales of EFB 0.00 0.0
Total 19615.67 0.2
4. Palm Oil Mill Effluent (POME) Treatment
Description %
Diverted to Compost 0
Divert to anaerobic digestion 100
5. POME Diverted to Anaerobic Digestion
Description %
Diverted to anaerobic pond 100
Diverted to methane capture (Flaring) 0
Diverted to methane capture (electricity generation) 0
End of Report

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RSPO PRINCIPLES AND CRITERIA

PUBLIC SUMMARY REPORT

PT SAMPOERNA AGRO TBK

Jambi Village, Manis Mata Sub-District, Ketapang District, West

Assessment Type Date of Assessment

Certification Unit’s Information

Company Name PT Usaha Agro Indonesia

Ms. Yusi Rosalina Phone:

Supply Chain Module Module E: CPO Mills- Mass Balance

POM Capacity 45MT/Hour Total Estates 03 estates

PalmTrace License: RSPO_PO1000006365 License Validity: n/a

Certified CSPO: n/a Certified CSPK: n/a

Actual CSPO Sold: n/a Actual CSPK Sold: n/a

Actual PK Sold (Other

Information of This License Year (PalmTrace)

Short Form Meanings

1.2 Location and Description of the Certification Unit

Table 1: Location of the Supply Base

Table 2: Location and Capacity of the Palm Oil Mill

Table 3: Crop Projection and Yield

1.4 Date of Planting and Cycles

Table 4: Land Profiles of Supply Base

Planted Area (Ha) Un-Planted Area (Ha)

Ulin Agro Estate 2,446.91 2,108.55 - 58.97 - 279.39

Table 5: Age Profiles for the Supply Base

Age & Year of Oil palm planted area at each estate(ha)

1.4.2 Replanting program

1.5 Other Certification Held by the Certificate Holder

Contact Person : Ms. Yusi Rosalina

1.7 Time-bound Plan/Progress against Time Bound Plan

1.8 Partial certification

1.8.3 Requirements for Uncertified Management Units/or holdings

- For example, if non-compliance against a major indicator in a non-certified holding/management unit is

2.2 Date of Next Surveillance Visits

2.3 Lead Assessor and Assessment Team Qualification

Table 6: Auditors Profile and Qualification

Requirement Team Members Name Description

Mohd Faisal Jaafar (MFJ) MFJ is experienced in operating and

2.5 Stakeholder Consultation Process

Principle 1: Commitment to Transparency

Principle 2: Compliance with Applicable Laws and Regulations

Principle 2: Compliance with Applicable Laws and Regulations

Keselamatan Kerja Undang-Undang Presiden Republik Indonesia 1970

A documented system, which includes written information on legal requirements, shall be

Izin Usaha Industri 535/003/Kop.UKM.Peringag- Bupati Ketapang for Mill

Principle 3: Commitment to Long-Term Economic and Financial Viability

Principle 3: Commitment to Long-Term Economic and Financial Viability

Planting material quality  Also annual evaluation results of planting

Principle 4: Use of Appropriate Best Practices by Growers and Millers

Principle 4: Use of Appropriate Best Practices by Growers and Millers

4.8.2 Records of training for each employee shall be maintained. Minor

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

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

Principle 6: Responsible Consideration of Employees and of Individuals and Communities Affected by

Criterion 6.7: Children are not employed or exploited.

KB/KBS/IDR/000006398 Koperasi Perkebunan Jambi Mekar Jaya Sempurna 23 November 2017

KB/KBS/IDR/000006420 Koperasi Perkebunan Sempurna Mandiri 30 November 2017

Criterion 6.12: No forms of forced or trafficked labour are used.

Criterion 6.13: Growers and millers respect human rights.

Principle 7: Responsible Development of New Plantings

Principle 7: Responsible Development of New Plantings

Bushes 2,147.45 2,151.87 1,502.12 515.01

Land Clearing - 76.72 275.34 -