Material topics relevant to lonsum palm oil operations
- Protection of Forests, Peatlands and Biodiversity
- Fire Control and Haze Prevention
- Climate Change and GHG Emissions
- Water, Waste and Effluents
- Use Of Fertilisers, Pesticides and Chemicals
- Responsible Business Conduct (RBC)
- Community Rights and Relations
- Occupational Health and Safety
- Smallholder Engagement and Livelihoods
- Supply Chain Traceability and Transparency
- Sustainability Certification
- Product Quality and Safety
- Yield Resilience and Innovation
- Human, Child and Labour Rights
- Pandemic Resilience
Pandemic Resilience
Relevant Topics 15
No |
Goal/Target |
Progress (see pages 27-46) |
1 |
Communicate business continuity plans in the face of significant disruptions |
Updated and communicated business continuity plans in line with changing government regulations |
2 |
Conduct annual reviews of Business Continuity Management to stay updated and prepared |
Reviewed Business Continuity Management |
3 | Regularly assess key risks in supply chain |
Identified key risks posed by pandemics
|
4 |
Engage employees, smallholders and communities that Lonsum operates in on matters related to pandemic preparedness |
Established Task Force to socialise pandemic protocols to stakeholders |
|
| |
Responsible Business Conduct
Relevant Topics 16
No |
Goal/Target |
Progress (see pages 27-46) |
1 |
Zero cases of bribery and corruption
|
Zero confirmed incidents of bribery and corruption in our operations in 2024 |
Protecting Our Environment
Relevant Topics 1, 2, 3, 4, 5
No |
Goal/Target |
Progress (see pages 27-46) |
1 |
Reduce energy consumption ratio in palm oil mills |
5% reduction of energy intensity in mills compared to 2020 baseline |
|
|
2 |
Reduce GHG emissions per tonne of palm product |
8% reduction in Total GHG emissions from mills and estate operations |
3 |
Reduce water consumption ratio in palm oil mills |
2% increase of water intensity for mills compared to 2020 baseline |
|
|
4 |
Maintain effluent levels to be within local regulation thresholds |
All effluent levels within regulation thresholds |
5 |
By 2020: ISO 14001 certification for 11 mills |
Achieved |
6 | Continue maximize use of renewable fuel (palm shell )
| 98% of fuel used in mills is from renewable products.
|
7 | Continue to strengthen fire mitigation procedures
| Fire control training session have been conducted at 24 or 38% locations to ensure coverage throughout the our plantation
|
8 | Ensure quality of training for fire control teams and fire specialists across all our plantations
| Our fire specialists receive regular training conducted together with the Ministry of Environment and Forestry, the military, police, and the local government |
|
|
9 | Continue to engage local communities and villages on fire-fighting and prevention
| Engaged 32 villages on fire prevention since 2017.
|
10 | No planting on peatland and continue maintaining peat water levels
| Since 2013, no new planting on peatlands and water levels maintained in all peatlands under our control
| |
|
11 | Compliance with our policy of no deforestation and zero HCV loss
| No primary forest or HCV land was affected during new planting and replanting in 2020
|
12 | To achieve 100% use of available organic fertilizer (Empty Fruit Bunches (EFBs) and Palm Oil Mill Effluent (POME) from our mills) | Achieved
|
|
|
13 | Continue to improve on Integrated Pest Management to reduce reliance on chemical pesticide use
| 1% decreased of total pesticides used compared to 2023
|
Sourcing Traceability
Relevant Material Topics: A, C, D, E, F, G, H, I, J
Certification is a key tool to help deliver on our Policy goals on deforestation, peatland, burning and human rights. Please see detail on sourcing targets below.
No |
Goal/Target |
Progress (see pages 47-58) |
1 |
By end 2026: ISPO certification for all estates
|
Achived 94% of targeted hectarage |
2 |
By end 2026: ISPO certification for all estates |
Achieved certification for 9 out of 12 mills. Additional 3 mills have undergone first round of audits and one has been subject to the second round of audit |
3 | Maintain 100% traceability to mills
| Achieved
|
4 |
Maintain 100% traceability to plantation for FFB processed at our mills |
Achieved |
5 | Obtain ISPO certificate for 4 KUD Smallholders in 2024 and conduct 6 audits for 6 KUD for first ISPO Certification by 2025
| Four KUD certified as of 2024. The others are undergoing the audit process
|
6 | Annual replanting supplied by ganoderma-tolerant seeds since 2018
| Achieved
|
7 | Support Training on Sustainable agriculture for 65 KUD
| Achieved
|
8 | Ganoderma-tolerant seed production to meet annual replanting requirements for owned plantations since 2018
| Continued to improve in R&D on Ganoderma-tolerant seeds
|
9 | Conduct R&D for climate change resilience and adaptation
| Continued to improve in R&D on dr ought-resistant seeds
|
Our People
Relevant material topics: E, F, J
No |
Goal/Target |
Progress (see pages 59-72) |
1 |
Zero fatalities (across total workforce) |
We regret to report two fatality in our palm oil operation |
2 |
Reduce accident frequency rate (AFR) by 10% between 2018-2020 |
AFR remains stable from 2019 level at 0.6 |
3 |
By 2020: SMK3 certification for 11 mills | 10 mills received SMK3 certification. 1 mill audited |
4 | Comply with all Indonesian laws and regulations on human rights and labour rights
| Full compliance with regulations across all operations
|
5 | Revise safety plans for pandemics to ensure safety of workers
| Safety plans revised to account for pandemics
|
6 | Maintain no forced labour or child labour in our operations and suppliers
| Zero incidents of forced labour or child labour
|
No |
Goal/Target |
Progress (see pages 27-46) |
1 |
Comply with all Indonesian laws and regulations on land rights and land management
|
Full compliance with regulations |
2 |
Maintain zero incidents of FPIC violations on new development area
|
Zero incidents of FPIC violations on new development area |