sime darby plantation decarbonizing palm oil...sime darby plantation decarbonizing palm oil 26...
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Sime Darby Plantation
Decarbonizing Palm Oil
26 September 2019
World’s largest producer of Certified Sustainable Palm Oil (CSPO)
Supplying essential ingredients to world-famous brands in food and non-food products
We are the world’s largest oil palm producer by planted area with total
landbankof more than 600,000 hectares across Malaysia, Indonesia, PNG &Liberia
95,537 workforceacross 15 countries
633,000 hectaresof planted area in Malaysia, Indonesia, PNG, Solomon Islands (SI) and Liberia.
250 71 11Estates Mills Crushing Plants
(inclusive of soy crushing plant)
633,000 hectaresof planted area in Malaysia, Indonesia, PN
3.8 mn MT p.a.Total Refining Capacity (11 Refineries)
Market leader in R&DEdison Award 2017 under Energy & Sustainability category (Genome Select Oil Palm Project)
Note: Figures as at 31 December 2018 unless stated otherwise1 Estimatedbasedon global plantedarea of 21.5 mn ha worldwide
Business OverviewIntegrated Plantation Company Involved in the Entire Palm Oil Value Chain
>15% % of global supply
Issues distilled to 6 key areas…
Decarbonizing Palm Oil
What is the carbon
burden?
Do we know where the
carbon comes from?
What’s on it?
Can we help fix climate change?
Are our people
included in the solution?
Exploitation
Equilibrium
Can we go beyond carbon neutral?
Issues: How land is cleared
Haze is a transboundary issue
Risk to business
Infrastructure Risk
Enterprise Risk
Biological Risk
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2
3
Managing the risks
Managing the risks
ReducingMitigatingAdapting
AdaptingMitigatingReducing
1 2 3
1 2 3
Reducing deforestation – Crosscheck
Tracing the supply of palm oil
NDPE - no deforestation, no development on peatland, no exploitation
Reducing deforestation – Hotspot Alert
Hotspot Dashboard tracks and reports hotspot occurring within our
concession areas. We implemented zero burning policy for over
three decades, and we strictly adhere to it.
Mitigating Climate Change – Methane capture plants
Reduce GHG emissions from our operations by 40% by 2030
Capture & Flare
FIT | CNG | CoF
Electricity generation Captive power Compressed natural gas
Mitigating Climate Change – Other existing initiatives
• Sea level riseo Mangrove forest
rehabilitation• Free Fire Alliance• Enhance carbon sequestration
o Tree plantingo Forest rehabilitation
• Management of carbon rich area that we own
• Biodiesel• Solar power
Adapting to Climate Change
23 23 23Once all off our Malaysian estates are planted with GenomeSelect™ palms,
we will produce additional oil would be equivalent to what would previously require 50,000 ha of new land
• High yield planting material –Genome Select
• Precision agriculture• Mosaic farming• Close loop agriculture• Stability of Altered Forest
Environment (SAFE) project
No deforestation and no development on peatland
Zero burningpolicy
No new planting on peat policy
Expansion only in low
carbon environment
Draw the line on
deforestation policy
19852013
20142019
THANKYOU