Sustainability Commitment

Palm oil is an important edible crop that supports the livelihoods of millions of people, is an important driver of economic growth, and is the most efficient vegetable oil crop from a land use perspective. However, the rapid expansion of oil palm plantation has led to deforestation and the conversion of peatlands, both of which lead to significant concerns over climate change and other environmental impacts.

At BKP, we recognise our responsibility to the environment and the communities in which we are situated. We are convinced that a strong commitment to sustainability is not only socially responsible, but also crucial for securing the long-term future of our company. Central to our corporate strategy and operations are policies to reduce our environmental impact, including our No Deforestation, No Peat, No Exploitation (NDPE) policy, which applies to all palm and palm kernel oil we use and covers our entire supply chain.

No Deforestation

Conservation of High Conservation Value (HCV) Areas and High Carbon Stock (HCS) Forests

Tropical rainforests hold large stores of carbon and biodiversity, and are homes to indigenous communities who depend on them for their livelihoods. Deforestation leads to this biodiversity and these communities being threatened. The High Carbon Stock (HCS) Approach is a methodology that distinguishes forest areas for protection from degraded lands with low carbon and biodiversity values which may be developed, and is widely accepted as a transparent and scientifically robust approach to balancing the needs of the environment, local peoples and development. At BKP, we ensure that all BKP suppliers do not develop or plant on areas identified as HCV areas and HCS forests.

Assessment of Land Use before Clearing

We put encourage and support our suppliers to identify and monitor HCV areas and require that they carry out Social and Environmental Impact Assessments (SEIAs) prior to undertaking any new land development. We also abstain from sourcing from suppliers whose plantations are located in sensitive locations or locations which have not been adequately assessed to be safe for development.

No Burning, Reckless or Harmful Activities

We do not tolerate burning activities as defined by the RSPO either in new land development or replanting, and will blacklist any suppliers found or suspected to be involved in such practices.

No Peat

No New Development on Peatland

We do not accept any new development on peatland, defined as soil containing greater than 65% organic matter, regardless of the depth of peat.

Implementation of Best Management Practices for Existing Plantations

We work with suppliers to ensure the application of best management practices for existing plantations on peat, as described in the RSPO Manual on Best Management Practices for Management and Rehabilitation of Natural Vegetation Associated with Oil Palm Cultivation on Peat.

No Exploitation

Free, Prior and Informed Consent (FPIC)

The production of palm oil must respect the rights of indigeneous and local communities to give or withhold their free, prior and informed consent (FPIC) to operations on lands to which they hold proven legal, communal or customary rights. Further, we expect suppliers to respect indigenous peoples’ and local communities’ formal and customry rights to lands and resources where proven. We are committed to ensuring legal compliance as well as the implementation of international best practices.

Respect the Rights of Children and Their Welfare

We do not tolerate any form of child labour or child exploitation, and are committed to its elimination within our supply chain.

Respect Internationally Recognised Human Rights

We are committed to ensuring that every employee and participant in our supply chain (including temporary, migrant and contract workers) is treated with dignity and respect, and in accordance with the full extent of their rights under national and international law. In particular, we are committed to:

NDPE Complaint

We continuously improve our complaint handling mechanisms which enable stakeholders, including our employees and the local community, to file their concerns of our operation and supply chain, so that we are able to assess and solve all problems efficiently. All complaints that we accept will be verified by our independent team through checking the validity of the concern including all proofs through the right steps.

NDPE Complaint Mechanism

Incidents of NDPE Violation

Stakeholders (employees or community included) are concerned of the operation or supply chain conduct in Bina Karya Prima

Grievance Acceptance

The complainant submits a complaint to the BKP Website, or sends and email to ndpe.complaint@bkpprima.com. The email contains the type of complaint, the target audience, and the important points of the complaint (along with evidence)

Validation and Classification

2 working days after receipt of complaint
The investigation team will group the parties where the complaint is addressed: Complaints against BKP or against our suppliers.

Assessment of Complaints

5 working days after the validation and verification process
Our investigation team will conduct conflict analysis and look deeper into the complaint case, along with the evidence that the complainant has provided.

Handling of Complaints

Our team will carry out a series of resolution planning in the form of an action plan, and continue to monitor the follow-up to these complaints.