22 August 2014 To Ravin Khrisnan RSPO Complaint Coordinator Dear Mr Ravin, RE: Complaint PT Nabatindo Karya Utama (Bumitama Agri Ltd.) We would like to share our progress for the month of July on the required implemented activities in NKU on the following pages as seen below. Thank you. Yours Sincerely, Lim Sian Choo Group Head of Corporate Secretary and CSR
NKU Progress June 2014 RSPO a) Prepare a HCV management plan to identify all HCV areas within the concession, prepare an action plan and a monitoring plan. Update the list of management activities recommended by BOSF in the survey report quarterly. 1) NKU has uploaded summary of the HCV Management Plan, Action Plan and Monitoring Plan onto the RSPO website by 6 February 2014, as part of the NPP documents. 2) The sustainability team have socialised and prepared instructions of these plans to the Regional Head ( RH ) and Estate Managers ( ES ), for example; Make boundaries (4x4 m) along the buffer zone. 1) Done. 2) Further progress: The feasibility/practicalit y of a buffer zone (not all area is under NKU concession, there are other PTs involved) is being discussed with relevant external stakeholder (BOSF). In the meantime an assessment is being made by NKU team with assistance with a consultant during the 4 th week of May. The result will be discussed with relevant stakeholders in 1) Done 2) Further progress: The assessment was completed but still being analysed by the team and consultant. The boundary can be determined and drawn once the report from the consultant is ready. NKU is seeking the assistance of BOSF on this matter (Borneo Orangutan Survival Foundation), arising from discussion in a meeting held with BOSF on May 2014. 1) Done. 2) Further progress: The stratification report of HCS completed at the end of July. Discussion with BOSF is on-going with the completion of this stratification report.
June/July. Conduct detail survey and produce maps on the HCV location and riparian buffer zone. Survey of the HCV and riparian buffer zone is half completed. Expected to be able to complete by 10 June, if not earlier. Survey of the HCS and riparian buffer zone was completed in June, but the team is still finalising the report for corrective and preventive actions for the riparian buffer zone. Survey completed. Disseminate SOP on the HCV Management and BMP on the mitigation of conflict between humanorangutan. Dissemination of SOP on the HCV management and BMP on the mitigation of conflict between human-orangutan - Done. Completed Completed. Produce signboards, posters, and other public awareness material on the importance of wildlife. Have started working on signboards in the riparian area in May, expecting to complete by July. Will start a poster Placements of signboards along the riparian area ongoing. Arranging for a poster competition as part of public Placements of signboards along the riparian area on-going. Additional fire Prevention training has been conducted
competition for promotion and to raise interest and awareness. awareness drive on importance of preserving wildlife from July to September together with ASMR Ground truthing training for LUC analysis conducted in July. Search for seedlings of local plants and make nursery (for enrichment of buffer zone with plants beneficial for wildlife and community needs). To start in June. Hopes to get seedling for planting around Sept and Oct (just before start of the rainy season). Nursery is currently being developed to collect local seedlings. Done Implement the enrichment. Monitoring the enrichment. Additional training for the Satgas team of NKU together with ASMR team in June/July who besides patrolling for biodiversity, will also monitor on enrichment progress. Training on proper fire prevention was conducted on 24-26 June in Kumai Hilir ASMR. 5 NKU staff joined the training. A separate training on HCV monitoring will be organised in July. Additional training for patrolling and monitoring in August (refer to below). 3) Reporting format and documents will be prepared by mid May 2014 to improve on communication between Consultation with the NKU staff on the reporting format and documents has Sustainability staff from Jakarta will be training the NKU staff on proper data Training by Sustainability staff completed in July 2014.
ES and sustainability team. been conducted during the field surveys for HCS, peat and orangutan. collections and reporting forms on various matters. b) Process to execute all measures to conform to the New Planting Procedures, including a notification of new planting for public consultation. 1) Refer to (a)(1) above. 2) Currently conducting carbon stock assessment. The carbon stock assessment is ongoing. Completed. Completed the ground truthing of the HCS assessment and currently waiting for the consultant s stratification report. Completed Completed the HCS Report and report indicated no HCS concerns outside of Hutan Produksi area. c) Conduct a survey as prescribed in the Guidelines for the BMP on Avoidance, Mitigation, and Management of Human- Orangutan Conflict in and around Oil Palm Plantations (WWF, 2007) s. These surveys should focus on the yet uncleared areas in blocks H, I, J, K and the western part of the licensed area. NKU has conducted orangutan survey in the NKU area with BOSF (Borneo Orangutan Survival Foundation) and COP (Center for Orangutan Protection, the complainant) in the end of December 2013. The report is comprehensive and was delivered in February 2014. NKU has discussed the recommendations with the BOSF in February 2014 and BOSF has taken into account the NKU Action Plan. We will Will have in place an MOU with BOSF to act as a consultant and facilitator on such matter. Satgas reports will keep NKU updated on possible During the ground truthing exercise as well as the peat survey exercise in NKU, the both teams reported zero sighting of orangutan except for 1 old nest found in the eastern part of the concession. The satgas team will be further trained to conduct monitoring The monitoring and patrol team sighted a female oragutan with her baby and a new nest on Tuesday 22 July 2014 in the forested area in the western part of concession, near the boundary of the concession. Will continue to monitor. A refreshment monitoring and
discuss with various stakeholder if the report may suffice. presence of OU and other matters. and patrolling in July 2014. patrolling wildlife training for satgas is scheduled in August. d) Enlarge the riparian buffer zone for the purpose of future wildlife (including Orangutan). The independent verified recommends the minimum width of the riparian buffer zone for this purpose to be at least 100 m on each side of the river. NKU will conduct inventory of all rivers and buffer zone in the NKU area. Currently there are 8 small rivers, all of them are below 15 m wide. The only big river, Sungai Cempaga, 40-50 m wide, has been released from NKU IUP and its distance is about 200-300 m from NKU border. NKU will find the best method to manage the riparian buffer zone. No Name of River Wide Length Sungai (m) (km) 1 S. Mirah Lui 3-10 4.19 2 S. Mirah 1-6 Hujan 5.29 3 S. Mirah 8-15 11.68 4 S. Mirah 5-10 Minting 5.18 5 Anak S. Mirah 5-6 Minting 1.75 6 S. Sandung 8-12 1.40 7 S. Koling 10-15 2.65 8 S. Batur 1-2 4.27 Source: NKU HCV Report (2013) Currently doing inventory and measurement of rivers using satellite maps and verifying the rivers width accordingly as further proof that 50 metres is sufficient as in accordance to RSPO procedures. As reported in (a)(2) above, NKU team had completed checking on the riparian buffer area and is now preparing the report to the management. The team had been told to also conduct a survey along Sungai Cempaga which is outside of NKU Izin Lokasi (IL) and Izin Usaha Perkebunan (IUP). Inventory of rivers confirmed and completed together with the HCS report. On-going placement of signboards along the riparian area. Our legal and operational team confirmed Sungai Cempaga is running across many concessions outside of Bumitama s span of control and is also outside of NKU permit. All work in this area is cancelled due to Bumitama s lack of control and nil chance of success.
e) BAL to do a Land Use Change analysis and prepare compensation proposal to be submitted to the Compensation Panel for review. 1) On 15 April 2014 BAL have been assigned a Compensation Panel. As shared in the BHCV Working Group meeting, all LUC will be overseen by this Compensation Panel. 2) NKU is in the midst of preparing for the LUC report scheduled to be ready by end May 2014 (due to lack of manpower in GIS department). Verification of data and LUC analysis is still on-going and is expected to be ready by July 2014. NKU is currently finalising the LUC report and will submit the report to Compensation Panel in July 2014. Liability/LUC declaration has been submitted to the Compensation panel at the end of July 2014. f) Submit a progress report to the RSPO on the implementation of items a- e on a monthly basis for the next 6 months and subject to field inspection if deemed necessary. NKU will continue to submit a progressive report over the next 6 months. Progress report from April to September 2014 will be provided accordingly. NKU will continue to submit a progressive report over the next 3 months. NKU will continue to submit a progressive report over the next 2 months.