Indonesia gives Cargill palm oil mills the thumbs up for green environmental practices
Cargill’s palm oil mills at PT Hindoli and PT Harapan Sawit Lestari praised for green practices by Indonesia’s Ministry of Environment and Forestry and Ministry of Industry
JAKARTA, Indonesia - December 22, 2016 - Five palm oil mills at Cargill’s PT Hindoli (Hindoli) and PT Harapan Sawit Lestari (HSL) oil palm plantations in Indonesia were recently recognized for achievements in environmental management by the Indonesian Ministry of Environment and Forestry and Ministry of Industry.
Cargill’s Tanjung Dalam mill (Hindoli) and Paku Juang and River View mills (HSL) received Blue awards, while its Sungai Lilin mill (Hindoli) and Manis Mata mill (HSL) received Green awards in Indonesia’s Program for Pollution Control, Evaluation and Rating (PROPER) 2016 in the Agroindustry category. The awards were presented to Cargill at a ceremony held at the office of the Vice President of the Republic of Indonesia, H. Muhammad Jusuk Kalla, on December 7. The Vice President was joined by Environment and Forestry Ministry Dr. Siti Nurbaya.
Cargill’s environmental best practices were further lauded by Industry Minister Airlangga Hartato at the Green Industry Awards 2016 on December 20. Hindoli’s Sungai Lilin and Tanjung Dalam mills received the highest award, Level V, for their sustainable production processes.
“We are very grateful for the recognition received by the Vice President of Indonesia, Bapak Jusuk Kalla, the Minister of Environment and Forestry, Dr. Siti Nurbaya, and the Minister of Industry, Bapak Airlangga Hartato. Cargill is pleased to contribute to Indonesia’s development in tandem with our global commitment to operate responsible supply chains,” said John Hartmann, chief executive officer of Cargill Tropical Palm Holdings Pte Ltd. He added, “These awards from Indonesia’s government will inspire our Indonesian teams and their global colleagues to continue advancing environmentally and socially responsible practices.”
Both awards are testament to Cargill’s ongoing pursuit of its global environmental goals – using energy and fresh water more efficiently, reducing greenhouse gases (GHG), and drawing power from renewable energy sources - all of which bring economic, environmental and social benefits to customers, communities and businesses.
Since 2012, three of Cargill’s palm oil mills have made significant improvements in energy¹ and fresh water² efficiency, and seen a reduction in GHG intensity³.
As of May 31, 2016; from a 2012 baseline4:
- Sungai Lilin mill: 10.70 per cent improvement in energy efficiency, GHG intensity improved 0.60 per cent, and fresh water efficiency improved 3.70 per cent
- Manis Mata mill: 13.25 per cent improvement in energy efficiency, GHG intensity improved 5.00 per cent, and fresh water efficiency improved 17.43 per cent
As of May 31, 2015; from a 2012 baseline5:
- Tanjung Dalam mill: 2.24 per cent improvement in energy efficiency, GHG intensity improved 2.60 per cent, and fresh water efficiency declined 4.17 per cent6
All three mills run on 100 percent renewable energy sourced from the conversion of palm kernel shells and fiber into electricity by the mills’ biomass boilers. This clean energy source extends beyond the mills’ operations; powering close to 700 Cargill employee homes around the mills.
In addition to the recognition for Cargill’s sustainable oil palm plantation business this year, nine other Cargill subsidiaries in Indonesia (feed mills, starches and sweeteners plants and a copra crushing plant) also received the Blue PROPER rating. Cargill’s copra crushing plant in Amurang, North Sulawesi, also received the Green Industry Award (Level IV), which is the second highest achievement in the awards program.
PROPER is an annual program by the Ministry of Environment and Forestry to encourage the compliance of companies in environmental management and drive companies that have good environmental performance to adopt cleaner practices. The PROPER assessment system is divided into five categories - Gold, Green, Blue, Red and Black, with the Gold rating being the highest level that a company can achieve.
The Green Industry Award is an appreciation for industrial companies for their participation in preserving the environment through the responsible use of water, increasing energy efficiency, and the implementation of sustainable production processes. The Level V award is the highest achievement that a company can achieve.
¹Energy efficiency calculated as a ratio of energy consumed per ton of fresh fruit bunches
²Fresh water efficiency calculated as a ratio of fresh water consumed per ton of fresh fruit bunches
³GHG intensity calculated as a ratio of GHG emitted per ton of crude palm oil produced
42012 baseline: June 2012 to May 2013
52012 baseline: June 2012 to May 2013
6Decline in freshwater efficiency due to higher consumption of fresh water needed to stabilize the free fatty acid standard at Tanjung Dalam mill
Cargill’s 160,000 employees across 70 countries work relentlessly to achieve our purpose of nourishing the world in a safe, responsible and sustainable way. Every day, we connect farmers with markets, customers with ingredients, and people and animals with the food they need to thrive. We combine 154 years of experience with new technologies and insights to serve as a trusted partner for food, agriculture, financial and industrial customers in more than 125 countries. Side-by-side, we are building a stronger, sustainable future for agriculture.
About Cargill in Indonesia
Cargill began doing business in Indonesia in 1974 by establishing a feed mill in Bogor, West Java. Today, Cargill is headquartered in Jakarta and has more than 19,000 employees. We have 59 locations with offices, manufacturing plants and facilities throughout the country and business activities comprise animal nutrition, cocoa, copra, seaweed, processed food exporting, grain and oilseeds, palm oil, as well as starches and sweeteners. For further information, please visit http://www.cargill.co.id.