Environmental sustainability is about making sure that long-term economic success is achieved while caring for the environment.The Group takes pride that environmental stewardship is within the tenets of its business plans and policies since the inception of the company. The Group is committed to the conservation of natural resources and promotion of biodiversity by using best management practices in the estates and mills. The Group’s policies, procedures and strategies ensure compliance with statutory environment laws and regulations. This include environmentally-friendly good estate management practices such as zero-burning, integrated pest management, reduced herbicide consumption, soil and water conservation and utilisation of palm oil mill by-products.
Operational Best Management Practices
Zero Burning Policy
The Group has a zero-burning policy in both new plantings and replantings of oil palm, which contributes towards a cleaner environment and enhances soil fertility by returning nutrients and organic matter to the land. This technique has now taken a step further by the utilisation of oil palm chips from felled oil palm trees placed in a single layer along new planting rows which has the additional benefit of curtailing breeding sites for Oryctes rhinoceros beetles. This zero-burning policy is incorporated in all land clearing contracts.
Soil Conservation
The planting of leguminous cover crops (LCC) is a standard Group practice. LCC protects surface soil from erosion and recycles plant nutrients while enhancing the soil’s organic and moisture content. In addition, a green policy of minimal weeding is practiced. Blanket spraying of groundcover species is strictly prohibited, contributing to the enhancement of biodiversity in the estate ecosystem. Contour terraces are constructed on hilly terrain. Biocompost and empty fruit bunches (EFB) mulch are applied on land. During land development operations, steep areas are carefully identified and left undisturbed in its natural state as conservation areas.Water Conservation
Water conservation goes hand in hand with soil conservation practices. Significant areas are set aside as water catchments where the original vegetation is usually left intact and where necessary, additional trees are planted. Water reservoirs are created in selected areas in the estates by taking advantage of the natural topography of the land. Riparian reserves are established and maintained along rivers and major waterways. Rainfall parameters are routinely monitored by each operating unit on a daily basis.Integrated Pest Management (“IPM”)
The Group’s IPM practices involve combinations of various pest management techniques to maintain a high level of biodiversity within the ecosystem to keep the level of pest population below their thresholds. A proven pest census system is used to monitor the population levels of pests and the presence of their natural predators. An integral part of Group’s IPM practice is the planting of beneficial plants such as Turnera subulata, Antigonon leptopus and Cassia cobanensis to encourage the proliferation of natural enemies in the control of bagworms and nettle caterpillars. The Group also breeds and multiplies predatory insects in insectariums for biological control of leaf-eating pests. In situations which call for the use of insecticides, the Group adopts trunk injection of insecticides in place of spraying in order to protect beneficial insects. Pheromones are used to trap the Oryctes rhinoceros beetles, instead of chemical control.Zero Discharge Through Biocomposting
The Group uses EFB and POME to produce bio-compost for our palms. The benefits are two fold, as compost enriches the soil whilst reducing the usage of chemical fertilisers.
Innovations and Technologies
A drip irrigation system has been installed in Desa Talisai estate nursery as part of its continuous improvement efforts. This precision technology has enhanced the nursery performance because of its relatively low levels of water requirement and homogeneous water coverage produces healthy, vigorous and uniform oil palm seedlings for field planting.Ongoing field trials are being carried out in various estates in the Group to test soil inoculants, a wide range of microencapsulated beneficial microbes especially for the purpose of nitrogen fixation.
Controlled Agrochemical Utilisation
Fertiliser programmes are recommended by experienced agronomists with inorganic fertiliser rates controlled for optimal benefits and costs. A weed management policy effectively reduces the application of herbicides whilst maintaining desirable ground vegetation to reduce soil erosion and minimise nutrient leaching losses.
Waste Management and Utilisation of Natural Resources
Palm oil mills produce large quantities of by-products, particularly EFB and treated Palm Oil Mill Effluent (POME). To be environmental-friendly and to reduce wastage, these by-products are mostly recycled into the fields, providing an excellent source of plant nutrients and irrigation water; in compliance with environmental legislation. Rotary driers installed in the palm oil mills produce dried decanter cakes for application to selected estate fields. Desa Talisai palm oil mill incinerates EFB to produce bunch ash to replace inorganic potash fertilisers. Elsewhere, EFB that is no longer incinerated are systematically used as organic mulch in the fields. Other bio-mass by-products such as mesocarp fibres and fruit shells are utilised as fuel, making the Group’s palm oil mills and their surrounding estates houses self sufficient in energy requirements.
Biodiversity, Tree Planting and Carbon Sequestration
The Group maintains pockets of natural forests on estates as conservation sites while a long term tree planting project has started in Sugut. The Sugut Tree Conservation Plot and Mini Arboretum, a 70 acres conservation site located in Sg. Sabang estate conserves various tropical rainforest and cultivation of fruit tree species. In addition, many animals such as mammals and birds are protected permanent residents in the site. The arboretum also host a garden of medicinal plant collection with over 150 species of medicinal and other types of herbaceous plants collected and planted to-date for both conservation and educational purposes.More than 3 species or sub-species of Pitcher plants (Nepenthes spp.), which normally flourish in higher altitudes in Sabah were found in the conservation area adjacent to Sabang estate in Sugut region. A wooden board-way has been erected for accessibility to its natural habitat.
A recent exciting and interesting biodiversity finding was the sighting of a thriving presence of fireflies in Sugut. The fireflies, identified as Pteroptyx spp. were found on mangrove trees (Lumnitzera littorea) beside the main road.
Another conservation area covering over 300 acres plot surrounding an oxbow lake in Sugut has been left intact for the purposes of research, education and conservation through collaboration with Universiti Malaysia Sabah (UMS).
The Sugut Tree Planting Project covers areas identified to be unsuitable for oil palm cultivation. A timber tree nursery for assorted tree species has been established. Two tree species, evaluated and found to be more resistant to prolonged flooding, namely bongkul (Neonauclea subdita) and sepat (Mitragna speciosa) have been identified for site rehabilitation programmes adjacent to mangrove areas. Where there are remnant areas in the estates, timber tree species such as mahogany and sentang (Azadirachta excelsa) have also been planted.
The estimated carbon fixed by the oil palm trees can be calculated using a methodology developed by Malaysian Palm Oil Board (MPOB).
Carbon sequestered by the Group’s oil palm trees in Year 2008
The Sugut Tree Planting Project covers areas identified to be unsuitable for oil palm cultivation. A timber tree nursery for assorted tree species has been established. Two tree species, evaluated and found to be more resistant to prolonged flooding, namely bongkul (Neonauclea subdita) and sepat (Mitragna speciosa) have been identified for site rehabilitation programmes adjacent to mangrove areas. Where there are remnant areas in the estates, timber tree species such as mahogany and sentang (Azadirachta excelsa) have also been planted.
The estimated carbon fixed by the oil palm trees can be calculated using a methodology developed by Malaysian Palm Oil Board (MPOB). Based on total planted area and the age profile of the oil palm trees of the Group, the total carbon sequestered was over 590,000 metric tonnes in the reporting year.
Stakeholders Engagement on Sustainability
IJMP is an active member of the Roundtable on Sustainable Palm Oil (RSPO). The RSPO is a global multi-stakeholder initiative on sustainable palm oil that was formally established under Article 60 of the Swiss Civil Code on 8 April 2004. It is a unique platform for pragmatic worldwide stakeholders’ co-operation for the expansion of production and use of sustainable palm oil. IJMP has been involved in the National Interpretation of Principles and Criteria for sustainable palm oil production, environmental reporting, free sharing of digital images and stakeholder dialogues. The Group shall focus on internalising the Principles and Criteria for sustainable palm oil production throughout its operations involving all levels of its employees.The Group has always been open to stakeholders’ engagement in relation to its business ventures and continuously engages various stakeholders from both local and abroad hosting them through organised visits to the operating units covering the estates, mills and research centre. Visitors include environmental journalists and researchers, members from both environmental and social NGOs, students and the local community.
Occupational Safety and Health (“OSH”)
Occupational Safety and Health is a cross-disciplinary focus on protecting the safety, health and welfare of the people. In this respect, the Group is committed to the OSH of all employees at their workplace. The Group continues to provide training and retraining of employees and contractors in order to conduct all activities in a responsible, safe and healthy manner. Various aspects of plantation operations are subjected to continuous safety and health reviews. The Group continues its “Improving Productivity with Smart Alternatives” partnership with Bayer CropScience. Both partners are engaged in the establishment of a common platform to collaborate in awareness, promotion, training and implementation of innovative and safe crop protection products to ensure compliance with the local legal requirements and further enhance the safety and health of employees.
The Group employs a qualified Safety Officer to carry out periodical audit, advisory and training of safety and health practices in all the operating units. In-house trainings which include identifying and managing hazards on chemical usage, fire drills, industrial first-aid which include cardiopulmonary resuscitation, safety practices in work area, principles of industrial housekeeping under Total Productive Maintenance and general health briefings. Chemical Health Risk Assessments have been carried out in all the Group’s palm oil mills and moving into the estates.