Kencana Agri Ltd

1. Sustainable palm oil policy or commitment for all its operations?

The company has published a sustainable palm oil policy which covers all palm oil operations.

2. Sustainable palm oil policy or commitment applies to all suppliers?

3. High-level position of responsibility for sustainability?

The company reports having a Head of Sustainability in charge of the Sustainability Team.

4. One or more members within the board of the company have responsibility for sustainability?

The company reports having a Vice-Chairman sitting on the Board of Directors and is responsible for the team leading on sustainability.

5. Percentage or number of women in senior management team?

0 (0%) - The company reports having a key management team and the profiles are available but the gender balance is not reported directly.

6. Percentage or number of women board members?

1 (14.28%) - The company reports having one woman member on the board of directors out of seven directors.

7. Member of multiple industry schemes or other external initiatives to reduce negative environmental or social outcomes associated with palm oil production?

8. Collaboration with stakeholders to reduce negative environmental or social outcomes associated with palm oil production?

The company reports collaborating with NGOs, academic institutions and local communities to support positive environmental, health and social activities.

9. Sustainability report published within last two years?

The company has published its Sustainability Report 2022.

10. Reports through standardised reporting systems?

The company has published its Sustainability Report 2022 in accordance with GRI standards.

11. Verification report on compliance with POIG Charter, if a POIG member?

This indicator is disabled as the company is not a POIG member.

12. Climate risks assessment available?

13. Lists countries and operations?

The company have Plantation, Mills and Crushers located in Indonesia.

14. Lists countries sourcing from?

The company has plantations located in Sumatra, Kalimantan and Sulawesi, Indonesia.

15. Total land area managed/controlled for oil palm (ha)?

68152 - The company reports the total planted area only and does not cover the company's known scope of operations.

16. Total oil palm planted area (ha)?

68152 - The company reports its total planted area of the nucleus and plasma area.

17. Scheme smallholders planted area (ha)?

16469 - The company reports its plasma area.

18. Unplanted (areas designated for future planting) (ha)?

19. Conservation set-aside area, including HCV area (ha)?

42600 - The company reports in 2019 that it conserves and protects more than 42,600 ha of HCV forest inside its concession areas. Data is between two and five years old.

20. Maps of estates/management units?

The company has only provided a static map of all its estates, and a map of one subsidiary is available on the GFW database.

21. Maps of all scheme smallholders?

22. Maps of all third-party supplying plantations?

23. Number of company-owned mills?

6 - The company reports operating six mills.

24. Names and locations of company-owned mills?

The company provides the map of all company-owned mills on the GFW Universal mill list.

25. Number (or percentage) of company-owned mills that source from company-owned operations and third parties?

26. Reports total volumes (or percentages) sourced by company-owned mills that come from company-owned operations and third-parties?

The company reports that it produced a total of 767,862 tonnes of fresh fruit bunches (617,454 tonnes and 150,408 tonnes from the nucleus and plasma estates respectively).

27. Number of third party supplying mills?

28. Names and locations of all third-party supplying mills?

29. Number (or percentage) of third party supplying mills that source from their own plantations and third party plantations?

30. Reports total volume (or percentages) sourced from third-party supplying mills that come from the supplying mills' own operations and third parties?

31. Total volume (or percentage) sourced for refineries that comes from intermediary traders and/or refiners rather than directly from mills?

This indicator is disabled as the company does not own refineries.

32. Time-bound commitment to achieve 100% traceability to mill level?

33. Percentage of supply traceable to mill level?

34. Time-bound commitment to achieve 100% traceability to plantation level?

35. Percentage of fresh fruit bunches (FFB) supply to own mills traceable to plantation level?

36. Percentage of supply from third-party mills traceable to plantation level?

37. Publishes traceability data at refinery level?

This indicator is disabled as the company does not own refineries.

38. Publishes traceability data at crusher level?

39. Member of the Roundtable on Sustainable Palm Oil (RSPO)?

40. RSPO-certified within three years of joining the RSPO or by November 2010, for companies joining prior to finalisation of the RSPO certification systems in November 2007?

41. Submitted most recent RSPO Annual Communication of Progress (ACOP)?

42. Percentage of area (ha) RSPO-certified?

43. Percentage of mills RSPO-certified?

44. Time-bound plan for achieving 100% RSPO certification of estates and mills within 5 years?

45. Time-bound plan for achieving 100% RSPO certification of all palm product processing facilities within 5 years?

46. Percentage of scheme smallholders (ha) RSPO-certified?

47. Time-bound plan for achieving 100% RSPO certification of scheme/associated smallholders and outgrowers within 5 years or target already achieved?

48. Percentage of FFB supply (tonnes) from independent smallholders/outgrowers/third-party FFB suppliers that is RSPO-certified?

49. Percentage of all palm oil and oil palm products handled/traded/processed (tonnes) that is RSPO-certified?

50. Sells RSPO-certified palm oil through Segregated or Identity Preserved supply chains?

51. Processes/trades RSPO-certified palm oil through Segregated or Identity Preserved supply chains?

52. Indonesia Sustainable Palm Oil (ISPO) certified (100%)?

53. Malaysia Sustainable Palm Oil (MSPO) certified?

This indicator is disabled as the company does not operate in Malaysia.

54. Certified under voluntary sustainability certification scheme (e.g. ISCC, SAS, RSB)?

[Externally verified] The company reports subsidiaries to be ISCC certified.

55. Commitment to zero conversion of natural ecosystems?

56. Commitment to zero conversion of natural ecosystems applies to all suppliers?

57. Commitment to zero deforestation?

The company commits to no development in High Conservation Value (HCV), High Carbon Stock (HCS) and peatland areas.

58. Commitment to zero deforestation applies to all suppliers?

59. Criteria and cut-off date for defining deforestation?

The company reports no deforestation of high carbon stock and land clearing of potential HCS areas until the results of the proposed HCS study but does not specify any cut-off date.

60. Criteria and cut-off date for defining deforestation in supplier operations?

61. Evidence of monitoring deforestation and/or ecosystem conversion?

62. Evidence of monitoring deforestation and/or ecosystem conversion in supplier operations?

63. Amount of deforestation and/or ecosystem conversion recorded in own operations since cut-off date?

64. Amount of deforestation and/or ecosystem conversion recorded in supplier operations since cut-off date?

65. Commitment to restoration of deforestation/conversion in own operations since cut-off date?

66. Commitment to restoration of deforestation/conversion in supplier operations since cut-off date?

67. Implementing a landscape or jurisdictional level approach?

68. Biodiversity policy?

69. Biodiversity policy applies to all suppliers?

70. Identified species of conservation concern, referencing international or national system of species classification?

[Externally verified] The company reports wildlife species on its estates to be classified according to national systems of classification (Ministry of Environment and Forestry Regulation No. P.106 of 2018 on Preservation of Flora and Fauna). The information is not externally verified.

71. Examples of species and/or habitat conservation management?

The company only self-reports habitat management in its sustainability report 2022.

72. Commitment to no hunting or only sustainable hunting of species?

73. Commitment to no hunting or only sustainable hunting of species applies to all suppliers?

74. Commitment to conduct High Conservation Value (HCV) assessments?

The company commits to conduct HCV assessments.

75. Commitment to conduct High Conservation Value (HCV) assessments applies to all suppliers?

76. High Conservation Value (HCV) assessments for planting undertaken prior to January 2015, and associated management and monitoring plans?

77. High Conservation Value (HCV) assessments for all estates planted/planned planting since January 2015?

78. High Conservation Value (HCV) or combined HCV/HCS management and monitoring plans for all estates planted/planned planting since January 2015?

79. Commitment to only use licensed High Conservation Value (HCV) assessors accredited by the HCV Resource Network's Assessor Licensing Scheme (ALS)?

The company commits to conducting assessments through accredited independent HCV assessors but not clearly ALS.

80. Commitment to only use licensed High Conservation Value (HCV) assessors accredited by the HCV Resource Network's Assessor Licensing Scheme (ALS) applies to all suppliers?

81. Satisfactory review of all High Conservation Value (HCV) assessments undertaken since January 2015 by the HCV ALS Quality Panel?

82. Commitment to the High Carbon Stock (HCS) Approach?

The company carries out HCS assessments but does not specifically refer to the HCS Approach.

83. Commitment to the High Carbon Stock (HCS) Approach applies to all suppliers?

84. High Carbon Stock (HCS) assessments available?

85. Peer review of all High Carbon Stock (HCS) assessments undertaken since April 2015 by the HCSA Quality Assurance Process?

86. Commitment to conduct social and environmental impact assessments (SEIAs)?

The company commits to conduct social and environmental impact assessments.

87. Commitment to conduct social and environmental impact assessments (SEIAs) applies to all suppliers?

88. Social and environmental impact assessments (SEIAs) available, and associated management and monitoring plans?

89. Commitment to no planting on peat of any depth?

The company commits to no planting on peat of any depth.

90. Commitment to no planting on peat of any depth applies to all suppliers?

91. Landbank or planted area on peat (ha)?

92. Implementation of commitment to no planting on peat of any depth?

93. Commitment to best management practices for soils and peat?

94. Commitment to best management practices for soils and peat applies to all suppliers?

The company implements best management practices only for soil but does not mention for peat.

95. Evidence of best management practices for soils and peat?

The company reports some best management practice implementation for soil only but no information is available for peat.

96. Commitment to zero burning?

The company commits to zero burning.

97. Commitment to zero burning applies to all suppliers?

98. Evidence of fire monitoring and management?

The company reports training employees to monitor, manage and extinguish forest fires and uses a satellite mapping program with the capability to track the hotspots.

99. Details/number of hotspots/fires in company estates?

The company reported zero fires in its operational area in 2022.

100. Details/number of hotspots/fires within surrounding landscape/smallholders?

101. Time-bound commitment to reduce greenhouse gas (GHG) emissions intensity?

102. GHG emissions intensity?

The company reports its GHG calculation in plantation, mills, and transportation activities in PT Alam Raya Kencana was 702.03 kgCO2/dry-ton CPO, while for PT Sawindo Kencana was 694.20 kgCO2/dry-ton CPO. This does not cover the full scope of the company's operations.

103. GHG emissions from land use change in company's own operations (scope 1)?

104. GHG emissions from land use change in supplier operations (scope 3)?

105. Progress towards commitment to reduce GHG emissions intensity?

The company reports GHG emissions for its PT Alam Raya Kencana and PT Sawindo Kencana operations but does not show progress and the information is not externally verified.

106. Methodology used to calculate GHG emissions?

The company uses the ISCC EU System 205 V.3.0 standard methodology to calculate GHG emissions.

107. Percentage of mills with methane capture (100%)?

108. Time-bound commitment to improve water use intensity?

109. Water use intensity?

1.32 - The company reports 1.32 m3 of water per tonne of FFB.

110. Progress towards commitment on water use intensity?

[Externally verified] The company reports water use intensity (m3 of water per tonne of FFB) for , 2020, 2021 and 2022 to be 1.43 m3 per ton FFB and 1.44 m3 per ton FFB and 1.32 m3 per ton FFB respectively.

111. Time-bound commitment to improve water quality (BOD and COD)?

The company reports that it maintains its BOD level safely below the standard and the commitment is unclear.

112. Progress towards commitment on water quality (BOD and COD)?

The company reports that BOD is below the standard. But the information is not externally verified.

113. Treatment of palm oil mill effluent (POME)?

The company reports treatment of POME and use as fertiliser and no POME was discharged from the operational sites into water bodies.

114. Treatment of palm oil refinery effluent (PORE)?

This indicator is disabled as the company does not own refineries.

115. Commitment to protect natural waterways through buffer zones?

The company commits to protect natural waterways through buffer zones.

116. Implementation of commitment to protect natural waterways through buffer zones?

117. Commitment to minimise the use of chemicals, including pesticides and chemical fertilisers?

The company is committed to reducing the use of chemicals including pesticides and chemical fertilisers. But the commitment is unclear.

118. Commitment to minimise the use of chemicals, including pesticides and chemical fertilisers, applies to all suppliers?

119. Commitment to no use of paraquat?

120. Commitment to no use of paraquat applies to all suppliers?

121. Commitment to no use of World Health Organisation (WHO) Class 1A and 1B pesticides?

122. Commitment to no use of World Health Organisation (WHO) Class 1A and 1B pesticides applies to all suppliers?

123. Commitment to no use of chemicals listed under the Stockholm Convention and Rotterdam Convention?

124. Commitment to no use of chemicals listed under the Stockholm Convention and Rotterdam Convention applies to all suppliers?

125. Chemical usage per ha or list of chemicals used?

126. Implementation of commitment to minimise inorganic fertiliser use?

The company reports using empty fruit bunches as organic fertiliser on its plantation but the information is not externally verified.

127. Integrated Pest Management (IPM) approach?

[Externally verified] The company reports implementing an Integrated Pest Management approach (IPM). But the information is not externally verified.

128. Waste management system in place to avoid negative impacts?

The company reports a waste management system in place to avoid negative impacts. The information is not externally verified.

129. Commitment to human rights?

The company commits to the Universal Declaration of Human Rights.

130. Commitment to human rights applies to all suppliers?

131. Progress on human rights commitment?

132. Commitment to respect indigenous and local communities' rights?

The company commits to respecting indigenous and local community rights in relation to FPIC. However, it does not refer to the UN Declaration on the Rights of Indigenous Peoples or the ILO Indigenous and Tribal Peoples Convention.

133. Commitment to respect indigenous and local communities' rights applies to all suppliers?

134. Commitment to respect legal and customary land tenure rights?

The company commits to respect legal and customary land tenure rights.

135. Commitment to respect legal and customary land rights applies to all suppliers?

136. Commitment to free, prior and informed consent (FPIC)?

The company commits to respect FPIC.

137. Commitment to free, prior and informed consent (FPIC) applies to all suppliers?

138. Details of free, prior and informed consent (FPIC) process available?

139. Examples of local stakeholder engagement to prevent conflicts?

The company states it holds feedback and awareness meetings, stakeholder forums for complaints, and grievance resolution to prevent conflict. The information is not externally verified.

140. Details of process for addressing land conflicts available?

The company reports having a process to resolve conflicts, but limited details have been provided.

141. Supports the inclusion of women across palm oil operations, including addressing barriers faced?

The company provides information on the inclusion of women across palm oil operations. The information is not externally verified.

142. Commitment to mitigate impacts on food security?

143. Progress on commitment to mitigate impacts on food security?

144. Commitment to provide essential community services and facilities?

The company commits to provide essential community services and facilities.

145. Progress on commitment to provide essential community services and facilities?

The company provides various programmes and progress on the commitment to providing facilities and services to communities. But the information is not externally verified.

146. Commitment to provide business/work opportunities for local communities?

The company commits to the plasma scheme and establishes additional areas for the benefit of neighbouring communities but there is no clear commitment to provide business opportunities for local communities.

147. Commitment to Fundamental ILO Conventions or Free and Fair Labour Principles?

148. Commitment to Fundamental ILO Conventions or Free and Fair Labour Principles applies to all suppliers?

149. Progress on commitment to respect all workers' rights?

150. Commitment to eliminate gender related discrimination with regards to employment?

The company commits to prevent employment-related discrimination based on gender.

151. Commitment to eliminate gender related discrimination with regards to employment applies to all suppliers?

152. Progress on commitment to eliminate gender related discrimination with regards to employment?

153. Percentage or number of temporary employees?

5333 (64.62%) - The company reports non-permanent employees in its workforce.

154. Percentage or number of women employees?

1430 (17.33%) - The company reports 1,229 employees are women in its workforce. 8253.

155. Commitment to pay a Living Wage?

The company reports employees including operative and entry-level jobs, are paid at or above the local minimum wage ("UMR") in each of our business locations.

156. Commitment to pay a Living Wage applies to all suppliers?

157. Progress on commitment to pay a Living Wage?

The company reports having a standard entry-level wage by gender compared to the local minimum wage.

158. Reporting of salary by gender?

159. Commitment to address occupational health and safety?

The company commits to address health and safety at work for all workers.

160. Commitment to address occupational health and safety applies to all suppliers?

161. Provision of personal protective equipment and related training?

The company reports enforcing strict procedures for the use of all personal protective equipment (PPE) but the information is not externally verified.

162. Time lost due to work-based injuries?

The company has reported a severity rate of 315.69 based on the number of recordable work-related injuries and the number of hours worked.

163. Number of fatalities as a result of work-based accidents?

3 - The company reports three fatalities in 2022.

164. Commitment to support smallholders?

The company has published a commitment to support smallholders.

165. Programme to support scheme smallholders?

The company reports having multiple programmes to support its plasma smallholders, but the information is not externally verified.

166. Percentage of scheme smallholders involved in programme?

167. Programme to support independent smallholders?

The company reports a programme for independent smallholders but the information is between two and five years old and not externally verified.

168. Percentage of independent smallholders/outgrowers involved in programme?

169. Process used to prioritise, assess and/or engage suppliers on compliance with company's policy and/or legal requirements?

170. Number or percentage of suppliers assessed and/or engaged on compliance with company's policy and/or legal requirements?

171. Suspension or exclusion criteria for suppliers?

172. Time-bound action plans (including Key Performance Indicators) for suppliers to be in compliance with palm oil sourcing commitments?

173. Proportion of supply from suppliers that is verified as deforestation- and/or conversion-free (DCF)?

174. Time-bound plan to engage with all high risk mills within 3 years?

175. Programme to support high risk mills to become compliant with sourcing policies?

176. Regularly engages with a subset of high risk mills?

177. Procedures in place to assess all own and third party supplying palm oil mills for risk level?

178. Regularly assesses and categorises the risk level of all their own and third party supplying mills?

179. Regularly reports the risk level of all own and third party supplying mills identified in its supply chain?

180. Commitment to ethical conduct and prohibition of corruption?

The company commits to ethical conduct and the prohibition of corruption.

181. Commitment to ethical conduct and prohibition of corruption applies to all suppliers?

182. Progress on commitment to ethical conduct and prohibition of corruption?

183. Disclosure of the company's management approach to tax and payments to governments?

184. Whistleblowing procedure?

The company reports it has a whistleblowing policy and procedure in place with proper reporting channels but no details are provided.

185. Own grievance or complaints system open to all stakeholders?

The company reports having a grievance system but with limited information.

186. Details of complaints and grievances disclosed?