Page 28 - sr_2012.pdf

regulations and voluntary certifications
indonesian regulatory
environment
The Indonesian palm oil industry is directly regulated by
plantation, agrarian, conservation, forestry, cultivation
system, land-use and environmental laws. In this section,
we highlight a few of them.
environmental permits
In Indonesia, a company is required by the Ministry of
Environment under Regulation No. 5 of 2012 (Permen
LH nomor 5 tahun 2012) to undertake an Environment
Impact Assessment known as AMDAL before embarking
on a project that can have substantial impact on the
environment.
In addition, the company is required to implement an
environmental management system for monitoring and
managing the environmental impact caused by the
business and its activities. The government will inspect
the project every three to six months as directed in the
Regulation No. 45 of 2007 (Permen LH nomor 5 tahun
2007).
IndoAgri complies with ISO 14001 guidelines for our
environmental management system. All of PT Lonsum’s
RSPO estates are ISO 14001-certified.
Occupational Safety and Health (OHS)
The Government Regulation No. 50 of 2012xi on the
implementation of Occupational Safety and Health (OHS)
management system is known as Sistem Manajemen
Keselamatan dan Kesehatan Kerja (SMK3), which
stipulates the following:
t $PNQBOJFT UIBU FNQMPZ PS NPSF FNQMPZFFT
or are categorised as high safety risk, must
implement an OHS management system
t $PNQBOJFT NVTU FTUBCMJTI BO 0)4 QPMJDZ
in the workplace
t $PNQBOJFT NVTU JOGPSN BMM XPSLFST PG UIF
OHS policy
t $PNQBOJFT NVTU IBWF 0)4 QMBOOJOH JODMVEJOH
hazard identification, emergency response plan,
and risk management
t $PNQBOJFT NVTU QSPWJEF JOGPSNBUJPO BOE
procedure, appoint a competent person-in-
charge, document all safety related activities
and accidents
t $PNQBOJFT NVTU SFWJFX BOE JNQSPWF UIF
performance of their OHS Management Systems
This regulation also includes the guidelines for evaluating
the implementation of the OHS management system,
as well as the audit criteria and results. SMK3 shares
many similarities with the voluntary international OHSAS
18001:2007 certification standard.
food safety
Food safety in Indonesia is regulated by the Food Law
Regulation No. 7 of 1996, Consumer Protection Law
Regulation No. 8 of 1999 and Government Regulation
No. 69 of 1999 on Food Labelling and Advertisement
Regulation No. 28 of 2004 on Food Safety, Quality, and
Nutrition. All our refineries have achieved ISO 9001
certification.
waste and packaging
responsibility xii
Extended Producer Responsibility (EPR) is one of the
crucial waste management paradigm shifts stipulated
in Regulation No. 18 of 2008 where individuals and
communities are required to take responsibility in reusing,
recycling and recovering waste.
The law’s implementing Regulation No. 81 of 2012 was
ratified in November 2012 to allow a transition period
of 5 to 10 years for companies to institutionalise EPR.
The law urges companies to go beyond CSR effort and
seek solutions in new packaging materials that are
biodegradable, reusable or recyclable and that can
reduce landfill space.
In 2010, the Packaging Waste Coalition Forum, which
comprises Unilever, Coca Cola, Danone, Nestle, Tetrapak
and Indofood, was set up to address plastic waste issues.
A pilot waste bank project was initiated in Northern
Jakarta subsequently. In 2012, IndoAgri introduced a
new pouch packaging for our edible oils and fats. Its
collapsible design will significantly reduce landfill space.
voluntary certification
Programme for Pollution Control, Evaluation, and Rating
(PROPER)
PROPER is a national-level public environmental reporting
initiativexiii launched by the Indonesian government in
June 1995 to promote industrial compliance with pollution
control regulations, facilitate and enforce the adoption of
practices contributing to “clean technology,” and ensure
a better environmental management system.
Companies can request to be audited by PROPER
voluntarily, or they can also be requested by the national
or provincial government to undertake the audit.
A simple five-colour rating scheme comprising gold,
green, blue, red and black is used to grade the different
levels of pollution control practiced by factories against
the regulatory standards informing the community and
market of the environmental impact of the company.
Indofood Agri Resources Ltd.