Indonesian Palm Oil Pledge (IPOP)

BACKGROUND

AAL takes environmental stewardship very seriously, which is reflected in the numerous environmental awards it has received. AAL complies with extensive laws and  regulations in Indonesia, has made commitments that go beyond legal requirements, and discloses its practices in this area in its annual Sustainability Report.  AAL  only ever develops plantations on land designated and granted by the Government for plantation use, which are outside protected forest and conservation areas. AAL   adheres to the Indonesian Government’s Indonesian Sustainable Palm Oil Principles and Criteria, and engages certification agencies to ensure it meets the required   standards.

AAL provides extensive facilities to meet the needs of its 35,000 employees, including housing, electricity, clean water, places of worship, health facilities, sports  facilities and education facilities. AAL also holds strong relationships with local communities in Indonesia, which it strives to support as part of the Group’s  philosophy of being an asset to the nation. The development of palm oil in Indonesia has raised the living standards of many rural people in a significant and  sustainable manner. AAL has strategic partnerships with some 54,000 local oil palm farmers from whom AAL buys-produce and to whom AAL provides education on production  improvements and sustainable practices. It also has an active support programme for communities around its plantations, where it provides extensive formal education and  health services.

AAL demonstrates a deep commitment to its surrounding environment and has developed conservation strategies in areas where it holds land rights, including support for  endangered species, the restoration of river banks and peatlands, the development of nurseries for rare plants, and the restoration of mangrove swamps. In addition to  the Company’s existing standard operating procedures on endangered species, AAL signed a Memorandum of Understanding in 2015 with the Indonesian Ministry of Forestry to  support a comprehensive programme to protect the habitat of Sumatran elephants and mitigate conflict between humans and wild elephants. In 2014, the Indonesian  Government conferred its highest environmental award, the KALPATARU award, to an AAL company for its services in environmental conservation.


ASTRA AGRO LESTARI DECLARES ITS SUPPORT FOR IPOP
MAY 19th, 2015

The Company supports the Indonesian Palm Oil Pledge (“IPOP”), designed to advance Indonesia’s sustainable palm sector. IPOP was established in September, 2014 in  pursuit of sustainable palm oil that is deforestation free, respects human and community rights and delivers shareholder value.

AAL takes environmental stewardship very seriously. It has always complied with the extensive laws and regulations in Indonesia, and has made commitments that go beyond  legal requirements. AAL continually reviews its practices and commitments in this area and believes that its sustainability practices are among the best in the  industry.

AAL welcomes the IPOP initiative and is in the process of carrying out a detailed assessment of its practices necessary to develop the required policy to meet the IPOP  obligations.

AAL President Commissioner and Astra International President Director, Prijono Sugiarto commented, “This is an important initiative for Indonesia and we look forward to  playing our full role in participating in IPOP.  This move has the full support of Astra International in its long-term vision to contribute to the nation’s advancement  and environmental sustainability.”

AAL will work closely with certain NGOs and other stakeholders over the coming months to put into effect its commitment to IPOP.



ASTRA AGRO LESTARI TAKES A MAJOR STEP TOWARDS IPOP
JUNE 11th, 2015


As a key initiative in developing its commitment to becoming a signatory to the Indonesian Palm Oil Pledge (“IPOP”), Astra Agro Lestari (“AAL”) has today introduced an  immediate moratorium whereby it will stop all land conversion.  Accordingly, AAL will ensure that there will be no clearance of any natural forest either by the Company  or any of its contractors across all its operations in Indonesia.

Consistent with the principles of no deforestation, respect for community rights and the conservation of peat lands, AAL is now in the process of formulating a detailed  sustainability policy which will include the need for carrying out High Conservation Value (HCV) and High Carbon Stock (HCS) assessments prior to any future expansion.  This will also involve the imminent appointment of technical consultants, alongside engagement with key stakeholders, to help advise on detailed aspects of all IPOP requirements.

“AAL welcomes the IPOP initiative and is in the process of carrying out a detailed assessment of its practices necessary to develop the required policy to meet the  required obligations, which we are aiming to complete as soon as possible”, said AAL Director, Joko  Supriyono.


“This is an important initiative for Indonesia and we look forward to playing our role in participating in IPOP.  This move has the full support of Astra International  in its long-term vision to contribute to the nation’s advancement and environmental sustainability”, Supriyono added.