Authorities still in dark over Adelin
The Jakarta Post, Jakarta, 20th November 2007
Law enforcement agencies have yet to locate suspect Adelin Lis who went missing after his recent acquittal for illegal logging charges at Medan District Court.
Junior Attorney General for Intelligence Wisnu Subroto told The Jakarta Post on Monday his office was still investigating Adelin's whereabouts. Adelin is wanted for questioning over money laundering charges.
"We have yet to receive reports from authorities abroad on his presence. Our intelligence officers are still looking for him," he said.
"With his passport confiscated, he would find it difficult to slip out of the country.
National Police spokesman Insp. Gen. Sisno Adiwinoto told the Post "there is a 50:50 chance Adelin is still in Indonesia".
"Adelin may have used a forged passport, as he possess huge financial resources and strong networks within the bureaucracy."
Sisno said the police were still searching for him.
Earlier on Saturday, Wisnu said his office received reports Adelin's name was not on any passenger lists at the country's airports and seaports.
"It is highly likely Adelin is still in the country, but he ... could have left ... via an unofficial gateway through Indonesia's porous borders."
Adelin was arrested at the Indonesian Embassy in Beijing last year. He was acquitted of illegal logging and corruption, allegedly costing the state some Rp 119 billion and US$2,9 million, by the Medan District Court on Nov. 5.
Many people believe the logging boss has already left Indonesia because of a two-day window before he was issued an official travel ban by immigration.
It is widely believed the two-day delay was caused by prosecutors who were late filing the ban with immigration. The ban was issued on Nov. 7, two days after Adelin was released.
Wisnu, however, dismissed the allegations saying prosecutors filed the travel ban on Nov. 5 but it was not until Nov. 7 that the immigration office sent a notification of a delay due to "some problems in administration".
Intelligence observer Wawan Purwanto said Adelin most likely fled during that window.
"It is almost impossible to expect Adelin to surrender himself. The most important thing is to also monitor his family as he will surely contact his family," he told the Post on Monday.
"We can also expect some help from Interpol."
Wawan also suggested that prosecutors should immediately freeze Adelin's assets. (dic)
Tuesday, 20 November 2007
Monday, 19 November 2007
U.S. Illegal Timber Ban Tightens. But What Next
U.S. Illegal Timber Ban Tightens, But What Next?
Source: The Jakarta Post - November 14, 2007 By Windu Kisworo, Washington DC
Despite ongoing enforcement initiatives, illegal logging is still continuing in most of Indonesia's forests. A 2007 report from the United Nations Environmental Program (UNEP) estimated that all the forest in Indonesia might be gone within the next 15 years.
At the same time a report in the Stern Review of the Economics of Climate Change estimates that deforestation contributes 18.3 percent of global carbon emissions. Accordingly, enforcement initiatives to solve these intertwined challenges should involve both producer and consumer countries.
Indeed, combating illegal logging has been a concern of timber consuming countries as well, including the U.S, the biggest importer of global timber products.
Is illegal logging contributing to this? It is inherently difficult to tell, but one must suspect so. While the U.S. trade data indicates that about 1,570 shipments of sawed timber was imported from Indonesia between November 2004 and November 2006, worth some US$30 million, UNEP estimates that 80 percent of Indonesia's total timber exports are from illegal sources. The conclusion is difficult to avoid.
On Oct.14, the U.S. House of Representatives conducted a hearing on an amendment to the Lacey Act. This amendment extends the prohibition of illegal imports to include timber imported to the U.S.
Witnesses from various sectors, including environmental organizations, trade and timber industries, and governments represented various different interests from environmental impact to unfair competition to importers of legal timber. A recent study by the American Forest and Paper Association has suggested that this unfair competition depresses prices of wood products by between 7 to 16 percent.
The Lacey Act amendment contains provisions that would reinforce domestic enforcement in supplier countries like Indonesia. First, it gives the right to the U.S to detain any person (including a corporation) who imports any plants taken in violation of any law or regulation of any supplier state that protects the plants.
The sanctions consist of forfeiture (seizing the illegal product), civil penalties (monetary fines), and criminal penalties. The amendment to the Lacey Act is expected to reduce demand for illegal timber from producer countries.
Second, the amendment requires an importer to declare the species of any plant, a description of the value of importation, the quantity, and the country of origin. It promotes a more transparent procedure that would support the enforcement efforts both in consumer and producer countries.
Finally, the Lacey Act amendment will strengthen law enforcement cooperation between the U.S and the country of origin's authority, including Indonesia, at every stage of the timber trade. In any case, the country of origin can provide evidence in a way that will support ongoing prosecution in the U.S.
Indonesia's situation played prominently in the hearings. It was consistently addressed in the most crucial debates at the hearing. The hearings touched on the level of illegal logging in our country, and the value of U.S timber imports from Indonesia.
The hearings also raised critical questions on the effectiveness of Indonesia's law enforcement efforts to stop illegal logging. In 2006 alone, the U.S spent $7 million on initiatives to combat illegal logging in Indonesia. This amount was complimented by the $13 million in private sector investment in 30 different projects all over Indonesia. Additionally, Indonesia and the U.S. signed a memorandum of understanding to combat illegal logging on Nov. 20, 2006.
Indonesia should capitalize on this momentum in the U.S. in its efforts to combat illegal logging. Indeed, Indonesia has long been called on by consumer countries to enact more pro-active measures to ban illegal timber. Still, challenges in enforcement remain.
One of the important issues addressed by the amendment is determining whether imported timber is illegal. Though it is critical for Indonesian authorities to determine the legality of exported timber from Indonesia, a crucial legal issue will emerge if the U.S. authorities find that the evidence provided by Indonesian authorities is unreliable.
Accordingly, the above problem should be addressed within the framework of cooperation between the two countries. Under this framework, both parties, through multifaceted efforts including cooperative law enforcement, information sharing, and technical assistance programs, should work together to improve Indonesia's ability to identify and confiscate illegal timber. Through such improved capacity building, a determination of illegality by the Indonesian government would carry much more weight in international circles.
More importantly, considering the long supply chains used by international smugglers of illegal timber to mask its illegal origin, enforcement efforts should also be integrated into regional and multilateral cooperation and agreements. This may be included in trade agreements, for example.
The current U.S.-Peru Free Trade Agreement includes provisions to combat illegal logging under its Forest Sectors Governance annex.
Finally, if the memorandum of understanding between the U.S. and Indonesia to combat illegal logging is going to be effective, it should also adopt the above multilateral framework.
Following the development of the Lacey Act amendment and the U.S.'s current efforts to combat illegal logging, enforcement will become a must for Indonesia. Whoever is involved in illegal logging in Indonesia will soon have to accept the fact that illegal timber entering the U.S. will be seized, and the U.S. importers will face sanctions for being involved with illegal logging.
The writer, a researcher at the Indonesian Center for Environmental Law, is a law fellow of the Louis B. Sohn Fellowship for the Human Rights and Environment, the Center for International Environmental Law, Washington DC.
Source: The Jakarta Post - November 14, 2007 By Windu Kisworo, Washington DC
Despite ongoing enforcement initiatives, illegal logging is still continuing in most of Indonesia's forests. A 2007 report from the United Nations Environmental Program (UNEP) estimated that all the forest in Indonesia might be gone within the next 15 years.
At the same time a report in the Stern Review of the Economics of Climate Change estimates that deforestation contributes 18.3 percent of global carbon emissions. Accordingly, enforcement initiatives to solve these intertwined challenges should involve both producer and consumer countries.
Indeed, combating illegal logging has been a concern of timber consuming countries as well, including the U.S, the biggest importer of global timber products.
Is illegal logging contributing to this? It is inherently difficult to tell, but one must suspect so. While the U.S. trade data indicates that about 1,570 shipments of sawed timber was imported from Indonesia between November 2004 and November 2006, worth some US$30 million, UNEP estimates that 80 percent of Indonesia's total timber exports are from illegal sources. The conclusion is difficult to avoid.
On Oct.14, the U.S. House of Representatives conducted a hearing on an amendment to the Lacey Act. This amendment extends the prohibition of illegal imports to include timber imported to the U.S.
Witnesses from various sectors, including environmental organizations, trade and timber industries, and governments represented various different interests from environmental impact to unfair competition to importers of legal timber. A recent study by the American Forest and Paper Association has suggested that this unfair competition depresses prices of wood products by between 7 to 16 percent.
The Lacey Act amendment contains provisions that would reinforce domestic enforcement in supplier countries like Indonesia. First, it gives the right to the U.S to detain any person (including a corporation) who imports any plants taken in violation of any law or regulation of any supplier state that protects the plants.
The sanctions consist of forfeiture (seizing the illegal product), civil penalties (monetary fines), and criminal penalties. The amendment to the Lacey Act is expected to reduce demand for illegal timber from producer countries.
Second, the amendment requires an importer to declare the species of any plant, a description of the value of importation, the quantity, and the country of origin. It promotes a more transparent procedure that would support the enforcement efforts both in consumer and producer countries.
Finally, the Lacey Act amendment will strengthen law enforcement cooperation between the U.S and the country of origin's authority, including Indonesia, at every stage of the timber trade. In any case, the country of origin can provide evidence in a way that will support ongoing prosecution in the U.S.
Indonesia's situation played prominently in the hearings. It was consistently addressed in the most crucial debates at the hearing. The hearings touched on the level of illegal logging in our country, and the value of U.S timber imports from Indonesia.
The hearings also raised critical questions on the effectiveness of Indonesia's law enforcement efforts to stop illegal logging. In 2006 alone, the U.S spent $7 million on initiatives to combat illegal logging in Indonesia. This amount was complimented by the $13 million in private sector investment in 30 different projects all over Indonesia. Additionally, Indonesia and the U.S. signed a memorandum of understanding to combat illegal logging on Nov. 20, 2006.
Indonesia should capitalize on this momentum in the U.S. in its efforts to combat illegal logging. Indeed, Indonesia has long been called on by consumer countries to enact more pro-active measures to ban illegal timber. Still, challenges in enforcement remain.
One of the important issues addressed by the amendment is determining whether imported timber is illegal. Though it is critical for Indonesian authorities to determine the legality of exported timber from Indonesia, a crucial legal issue will emerge if the U.S. authorities find that the evidence provided by Indonesian authorities is unreliable.
Accordingly, the above problem should be addressed within the framework of cooperation between the two countries. Under this framework, both parties, through multifaceted efforts including cooperative law enforcement, information sharing, and technical assistance programs, should work together to improve Indonesia's ability to identify and confiscate illegal timber. Through such improved capacity building, a determination of illegality by the Indonesian government would carry much more weight in international circles.
More importantly, considering the long supply chains used by international smugglers of illegal timber to mask its illegal origin, enforcement efforts should also be integrated into regional and multilateral cooperation and agreements. This may be included in trade agreements, for example.
The current U.S.-Peru Free Trade Agreement includes provisions to combat illegal logging under its Forest Sectors Governance annex.
Finally, if the memorandum of understanding between the U.S. and Indonesia to combat illegal logging is going to be effective, it should also adopt the above multilateral framework.
Following the development of the Lacey Act amendment and the U.S.'s current efforts to combat illegal logging, enforcement will become a must for Indonesia. Whoever is involved in illegal logging in Indonesia will soon have to accept the fact that illegal timber entering the U.S. will be seized, and the U.S. importers will face sanctions for being involved with illegal logging.
The writer, a researcher at the Indonesian Center for Environmental Law, is a law fellow of the Louis B. Sohn Fellowship for the Human Rights and Environment, the Center for International Environmental Law, Washington DC.
Friday, 16 November 2007
Bali hosts two-day conference on palm oil sustainability
Bali hosts two-day conference on palm oil sustainability
The Jakarta Post, Jakarta Jakarta Post online 16th November
The International Conference on Oil Palm and the Environment (ICOPE) kicked off Thursday at Nusa Dua, Bali, aimed at highlighting environmental sustainability in the palm oil industry.
The two-day event is being sponsored by the PT Sinar Mas Agro Resources and Technology (SMART) research institute, French agricultural research center CIRAD-France, and WWF-Indonesia, according to a media release sent Thursday.
The conference is expected to serve as an interactive platform for exchange of knowledge and views among those concerned with oil palm sustainability issues, including the private sector, governments, research institutes and non-governmental organizations.
"All stakeholders in the sector should commit themselves to and implement the sustainability principles set in the Round Table on Sustainable Palm Oil (RSPO) so as to promote sustainable palm oil production," said WWF-Indonesia executive director, Mubariq Ahmad.
The RSPO, established in 2004, is an international multi-stakeholder organization dedicated to bringing sustainable palm oil principles into the marketplace.
Mubariq said that the ICOPE discussions were also expected to pave the way for the upcoming fifth annual RSPO meeting, scheduled to take place next week in Kuala Lumpur.
Malaysia is currently the world's largest producer and exporter of palm oil, providing 47 percent of the world's total palm oil supply. Indonesia, which produces about 36 percent, is in second place. (JP/amr)
The Jakarta Post, Jakarta Jakarta Post online 16th November
The International Conference on Oil Palm and the Environment (ICOPE) kicked off Thursday at Nusa Dua, Bali, aimed at highlighting environmental sustainability in the palm oil industry.
The two-day event is being sponsored by the PT Sinar Mas Agro Resources and Technology (SMART) research institute, French agricultural research center CIRAD-France, and WWF-Indonesia, according to a media release sent Thursday.
The conference is expected to serve as an interactive platform for exchange of knowledge and views among those concerned with oil palm sustainability issues, including the private sector, governments, research institutes and non-governmental organizations.
"All stakeholders in the sector should commit themselves to and implement the sustainability principles set in the Round Table on Sustainable Palm Oil (RSPO) so as to promote sustainable palm oil production," said WWF-Indonesia executive director, Mubariq Ahmad.
The RSPO, established in 2004, is an international multi-stakeholder organization dedicated to bringing sustainable palm oil principles into the marketplace.
Mubariq said that the ICOPE discussions were also expected to pave the way for the upcoming fifth annual RSPO meeting, scheduled to take place next week in Kuala Lumpur.
Malaysia is currently the world's largest producer and exporter of palm oil, providing 47 percent of the world's total palm oil supply. Indonesia, which produces about 36 percent, is in second place. (JP/amr)
Follow the money trail in illegal logging crimes: Indonesian activists
Follow the money trail in illegal logging crimes: Indonesian activists
JAKARTA (AFP)
Indonesian activists are urging authorities here to hunt down illegal loggers using anti money-laundering laws, following the shock acquittal of a high-profile suspect who has gone on the run.
Indonesia's abysmal record on fighting illegal logging -- no timber baron has ever received a substantial jail term here -- is under the spotlight ahead of the nation hosting a global climate change conference in December.
Adelin Lis, the head of logging company Keang Nam Development, fled from custody earlier this month after a court in North Sumatra found he was not guilty of illegal logging charges due to a lack of evidence.
Lis' company was cleared of accusations that it illegally razed prime forest in lush North Sumatra province, where some of Indonesia's last remaining rainforest tracts provide refuge to elephants and endangered tigers.
The logger had originally been nabbed when he tried to extend his passport at the Indonesian embassy in Beijing in 2006. He was described by the embassy as being an "environmental destroyer".
Allegations of court officials being bribed in his case have surfaced, although prosecutors have said they will appeal, while police have named Lis as a suspect in a linked money laundering case.
His lawyers have reportedly said they will present him to police -- who say they have issued an Interpol notice to recapture him -- if they promise not to jail him.
But in perhaps an ominous sign of the difficulties police may face, Indonesia's Attorney General Hendarman Supandji has dismissed efforts so far, saying: "This money laundering comes from which crime? This is not clear."
Derry Wanta, a member of the Indonesian Working Group on Forest Finance (IWGFF) -- an independent lobby group of researchers and activists -- conceded it would be difficult to get Lis back to court "but not impossible".
"It is written in the money laundering law that a suspect can be tried for money laundering independent from the prime crime," he told AFP, speaking after a meeting of the group over bringing Lis to justice on Thursday.
Indonesia's groundbreaking 2002 anti-money laundering law would be more effective in catching the illegal loggers than the conventional criminal code, said the IWGFF's Willem Pattinasarany.
"Most of their financial transactions use bank transfers. Unusual banking profiles can be easily traced -- ask (suspects) to prove that those suspicious transactions are not illegal," Pattinasarany said.
"If there are two crimes indicated to be related, one of them money laundering, we think it's best for the money laundering crime to be processed first" because it would be a simpler case, he said.
Still, police must carefully do their homework.
A recent case in Indonesia's timber-rich Papua province centred on a local police chief receiving large money transfers to his personal account; the officer was cleared, and an appeal dismissed, for administrative reasons.
Police said in May that they were becoming increasingly frustrated with the number of illegal loggers who were inexplicably being acquitted in Papua.
"There are many cases where police or prosecutors have not formed a tight case before going ahead to court. This had caused many cases to be dismissed for administrative reasons," Pattinasarany told AFP.
Sadino, a legal expert with the IWGFF, also urged police to be more careful in planning all their indictments, as sloppy work meant "usually, the man with the chainsaw in the forest gets the blame."
"Forestry crimes are specialty cases -- investigators should be coherent from when they start to collect evidence," Sadino said, adding that a single discrepancy can mean the whole case gets thrown out.
The Indonesian government had estimated illegal logging costs the country about four billion dollars and some 2.8 million hectares of forest cover per year over the past decade.
JAKARTA (AFP)
Indonesian activists are urging authorities here to hunt down illegal loggers using anti money-laundering laws, following the shock acquittal of a high-profile suspect who has gone on the run.
Indonesia's abysmal record on fighting illegal logging -- no timber baron has ever received a substantial jail term here -- is under the spotlight ahead of the nation hosting a global climate change conference in December.
Adelin Lis, the head of logging company Keang Nam Development, fled from custody earlier this month after a court in North Sumatra found he was not guilty of illegal logging charges due to a lack of evidence.
Lis' company was cleared of accusations that it illegally razed prime forest in lush North Sumatra province, where some of Indonesia's last remaining rainforest tracts provide refuge to elephants and endangered tigers.
The logger had originally been nabbed when he tried to extend his passport at the Indonesian embassy in Beijing in 2006. He was described by the embassy as being an "environmental destroyer".
Allegations of court officials being bribed in his case have surfaced, although prosecutors have said they will appeal, while police have named Lis as a suspect in a linked money laundering case.
His lawyers have reportedly said they will present him to police -- who say they have issued an Interpol notice to recapture him -- if they promise not to jail him.
But in perhaps an ominous sign of the difficulties police may face, Indonesia's Attorney General Hendarman Supandji has dismissed efforts so far, saying: "This money laundering comes from which crime? This is not clear."
Derry Wanta, a member of the Indonesian Working Group on Forest Finance (IWGFF) -- an independent lobby group of researchers and activists -- conceded it would be difficult to get Lis back to court "but not impossible".
"It is written in the money laundering law that a suspect can be tried for money laundering independent from the prime crime," he told AFP, speaking after a meeting of the group over bringing Lis to justice on Thursday.
Indonesia's groundbreaking 2002 anti-money laundering law would be more effective in catching the illegal loggers than the conventional criminal code, said the IWGFF's Willem Pattinasarany.
"Most of their financial transactions use bank transfers. Unusual banking profiles can be easily traced -- ask (suspects) to prove that those suspicious transactions are not illegal," Pattinasarany said.
"If there are two crimes indicated to be related, one of them money laundering, we think it's best for the money laundering crime to be processed first" because it would be a simpler case, he said.
Still, police must carefully do their homework.
A recent case in Indonesia's timber-rich Papua province centred on a local police chief receiving large money transfers to his personal account; the officer was cleared, and an appeal dismissed, for administrative reasons.
Police said in May that they were becoming increasingly frustrated with the number of illegal loggers who were inexplicably being acquitted in Papua.
"There are many cases where police or prosecutors have not formed a tight case before going ahead to court. This had caused many cases to be dismissed for administrative reasons," Pattinasarany told AFP.
Sadino, a legal expert with the IWGFF, also urged police to be more careful in planning all their indictments, as sloppy work meant "usually, the man with the chainsaw in the forest gets the blame."
"Forestry crimes are specialty cases -- investigators should be coherent from when they start to collect evidence," Sadino said, adding that a single discrepancy can mean the whole case gets thrown out.
The Indonesian government had estimated illegal logging costs the country about four billion dollars and some 2.8 million hectares of forest cover per year over the past decade.
Thursday, 15 November 2007
Biofuels bonanza facing 'crash'.
Biofuels bonanza facing 'crash'
By Roger Harrabin Environment Analyst, BBC News, Valencia
Mr Steiner warns that Indonesia palm oil may never be sustainableThe biofuels bonanza will crash unless producers can guarantee their crops have been produced responsibly, the UN's environment agency chief has said.
Achim Steiner of the UN Environment Programme (Unep) said there was an urgent need for standards to make sure rainforests weren't being destroyed.
Biofuel makers also had to show their products did not produce more CO2 than they negated, he told BBC News.
Critics say biofuels will lead to food shortages and destroy rainforests.
They point to the destruction of Indonesia's peat swamps as an example of biofuel folly.
The swamps are one the richest stores of carbon on the planet and they are being burned to produce palm oil.
Mr Steiner implied that because of Indonesia's inability to police its land use, biofuels from palm oil grown by the nation might never be deemed to be sustainable.
But he said some biofuels could be considered sustainable. He highlighted ethanol production in Brazil, and a dry land crop called jatropha, which is resistant to pests and droughts.
Mr Steiner urged investors not to turn their backs on developing second or third generation fuels that would use non-food crops and burnable waste.
He feared that beneficial biofuels might be lost as part of a consumer backlash.
Mr Steiner made his comments in response to criticism from a group of independent scientists who said they had written to the Intergovernmental Panel on Climate Change (IPCC) complaining that the climate body's comments on biofuels have been naive.
The independent scientists pointed to two phrases in reports by the IPPC, of which Unep is a co-sponsor, which the scientists said could not be substantiated.
One stated that biofuels were an effective solution in at least a number of countries, while the other suggested that biofuels in the transport sector would generally have positive social and environmental benefits.
False economy
One of the scientists, Tad Patzek from University of California Berkeley, US, said: "In the long-run, the planet cannot afford to produce biofuels because we're going to run out of the land and water and environmental resources.
"In addition, because of the land use changes, drying up peat-swamps, burning tropical forest, these biofuels involve up-front enormous emissions of greenhouse gases that will never be recouped by their later use," he told BBC News.
Professor Patzek also doubted Mr Steiner's confidence in Brazilian ethanol. "The [IPCC] description of Brazilian sugar-cane ethanol production as 'highly advanced' and 'a model' is somewhat of an exaggeration.
"It's neither good nor a model," he said.
Brazilian producers are adamant that their bio-crops are not grown on rainforest land - but the environmental group Friends of the Earth Brazil claim that peasant farmers - dispossessed by biofuel conglomerates - are moving to the Amazon to seek new land.
Biofuels: next generation
Mr Steiner said Brazil had enough land to ensure that biofuel cropping could be sustainable.
The group of scientists said their letter to the head of the IPCC, Professor Pachauri, had not been answered.
BBC News has not been able to obtain a comment from Professor Pachauri, though this may be hardly surprising given that the final summit on the IPCC Fourth Assessment Report (A4R) is currently underway in Valencia, Spain.
Mr Steiner said Unep had set up a high-level task force to study the life-cycle implications of all biofuels. The group is expected to publish its findings next year.
By then much of the Indonesian peat swamps - one of the most valuable stores of carbon in the world - will have been torched.
The only way of stopping may not be through the UN or the Indonesian government, but through one or more private philanthropist with a burning desire to own an Indonesian swamp.
By Roger Harrabin Environment Analyst, BBC News, Valencia
Mr Steiner warns that Indonesia palm oil may never be sustainableThe biofuels bonanza will crash unless producers can guarantee their crops have been produced responsibly, the UN's environment agency chief has said.
Achim Steiner of the UN Environment Programme (Unep) said there was an urgent need for standards to make sure rainforests weren't being destroyed.
Biofuel makers also had to show their products did not produce more CO2 than they negated, he told BBC News.
Critics say biofuels will lead to food shortages and destroy rainforests.
They point to the destruction of Indonesia's peat swamps as an example of biofuel folly.
The swamps are one the richest stores of carbon on the planet and they are being burned to produce palm oil.
Mr Steiner implied that because of Indonesia's inability to police its land use, biofuels from palm oil grown by the nation might never be deemed to be sustainable.
But he said some biofuels could be considered sustainable. He highlighted ethanol production in Brazil, and a dry land crop called jatropha, which is resistant to pests and droughts.
Mr Steiner urged investors not to turn their backs on developing second or third generation fuels that would use non-food crops and burnable waste.
He feared that beneficial biofuels might be lost as part of a consumer backlash.
Mr Steiner made his comments in response to criticism from a group of independent scientists who said they had written to the Intergovernmental Panel on Climate Change (IPCC) complaining that the climate body's comments on biofuels have been naive.
The independent scientists pointed to two phrases in reports by the IPPC, of which Unep is a co-sponsor, which the scientists said could not be substantiated.
One stated that biofuels were an effective solution in at least a number of countries, while the other suggested that biofuels in the transport sector would generally have positive social and environmental benefits.
False economy
One of the scientists, Tad Patzek from University of California Berkeley, US, said: "In the long-run, the planet cannot afford to produce biofuels because we're going to run out of the land and water and environmental resources.
"In addition, because of the land use changes, drying up peat-swamps, burning tropical forest, these biofuels involve up-front enormous emissions of greenhouse gases that will never be recouped by their later use," he told BBC News.
Professor Patzek also doubted Mr Steiner's confidence in Brazilian ethanol. "The [IPCC] description of Brazilian sugar-cane ethanol production as 'highly advanced' and 'a model' is somewhat of an exaggeration.
"It's neither good nor a model," he said.
Brazilian producers are adamant that their bio-crops are not grown on rainforest land - but the environmental group Friends of the Earth Brazil claim that peasant farmers - dispossessed by biofuel conglomerates - are moving to the Amazon to seek new land.
Biofuels: next generation
Mr Steiner said Brazil had enough land to ensure that biofuel cropping could be sustainable.
The group of scientists said their letter to the head of the IPCC, Professor Pachauri, had not been answered.
BBC News has not been able to obtain a comment from Professor Pachauri, though this may be hardly surprising given that the final summit on the IPCC Fourth Assessment Report (A4R) is currently underway in Valencia, Spain.
Mr Steiner said Unep had set up a high-level task force to study the life-cycle implications of all biofuels. The group is expected to publish its findings next year.
By then much of the Indonesian peat swamps - one of the most valuable stores of carbon in the world - will have been torched.
The only way of stopping may not be through the UN or the Indonesian government, but through one or more private philanthropist with a burning desire to own an Indonesian swamp.
Vanishing forests a counterpoint to Indonesia's climate crusade
Vanishing forests a counterpoint to Indonesia's climate crusade
KUALA CENAKU, Indonesia (AFP) — Head man Mursyid Ali stands amid blackened stumps, the remains of much of the rainforest belonging to this village on Indonesia's Sumatra stripped and drained in spite of local protests.
It's a scene repeated across much of Indonesia, where poverty and voracious demand for commodities -- coupled with corruption and poor law enforcement -- drive the destruction of forests.
Thanks largely to the burning of forests and destruction of carbon-rich peatlands, Indonesia is the third biggest emitter of greenhouse gases in the world, a statistic coming under the spotlight ahead of the nation hosting a major international climate change conference next month.
The December 3-14 UN summit on the resort island of Bali will see delegates from around the world -- including more than 100 ministers -- thrash out a framework for negotiations on a global regime to combat climate change when the current phase of the Kyoto Protocol ends in 2012.
Satellite images from environmental watchdog WWF show that only 25 years ago, the majority of Riau province -- home to Ali's village -- was covered in equatorial forest, one of the most ecologically diverse habitats on Earth and a vital absorber of carbon.
Today, four million hectares (nearly 10 million acres), or more than 60 percent, have gone. Land clearing, both legal and illegal, has made way for tree and oil palm plantations, logging concessions and small farms.
In Kuala Cenaku, the landscape has been denuded to make way for oil palm plantations cashing in on booming demand for palm oil -- ironically seen as a source of climate-friendly biofuel.
Ali?s fight is with Indonesian plantation company Duta Palma, two subsidiaries of which were granted permits by the local district head from 2004 to clear the forests around his village and its neighbour Kuala Mulia.
The area was originally granted to state-owned company Inhutani IV in 2002, but public opposition forced the local government and the national forestry ministry to revoke the permit, according to the Riau head of Friends of the Earth Indonesia, Johny Setiawan.
Duta Palma got its concessions by promising to follow a local government regulation stipulating that it hand control of 40 percent of the land to the community and provide them with jobs.
Setiawan said the company has not kept its promises, clearing most of the land for its own use and causing severe fires and choking smoke. Villagers have protested to the local and provincial governments with few results.
"Who can put pressure on this company? The district head and the governor are the ones who can do it, not ordinary citizens like us. All we do is protest, but they accuse us of being anarchists," Ali told AFP.
"We cried and begged (the district head) to stop this company but he paid no attention," he said.
According to Setiawan, district head Raja Thamsir Rachman announced in 2006 that land clearing would be suspended until the dispute was resolved. But when AFP visited the site, heavy machinery continued to clear the land.
Repeated requests by AFP to meet with Duta Palma were declined.
Some of the biggest players reshaping Riau's environment and economy are pulp and paper giants Asia Pulp and Paper (APP) and Asia Pacific Resources International Holdings Limited (April). Each company produces an average of around 2 million tons of pulp in Riau alone every year.
National police have taken over an investigation into illegal logging that was launched in February this year, releasing a list of 14 APP and April partner companies as suspects.
April denies it is involved in illegal logging. Its Riau subsidiary, Riaupulp, is observing a "de facto moratorium" on cutting natural forests during the investigation, said its environment manager, Elizier Lorenzo.
April puts a lot of energy into polishing its green image and is acknowledged by many conservationists as being ahead of the pack when it comes to mitigating the environmental impact of its work.
But even the best intentions can fall flat in the often lawless and disorganised world on the edges of Riau?s dwindling forests.
A proposed boundary of the expanded Tesso Nilo national park looks nothing like it should. In place of what should be a final refuge for endangered elephants and tigers, the land is stripped back, burnt and raw.
WWF and April have been in discussions since 2001 to expand the park from 38,576 hectares to 100,000 hectares.
In 2004, April built its own access road on the edge of the forest, despite objections from WWF, who argued the road would open the way for illegal land clearing.
"Once it's open, you can't stop encroachers from coming in," said Desmarita Murni, a campaigner with WWF, referring to small-scale farmers who take advantage of the access.
April promised to ensure the road would be guarded, but they concede this has not eventuated. They say they now have an agreement with local police to act as forestry officers in a new checkpoint system they hope will be ready by year-end.
WWF satellite images show that more than 12,000 hectares have been cleared in the area since then, much of it inside the proposed new boundaries of the park.
Encroachers on the road corridor to Tesso Nilo live simply, planting small numbers of oil palms, rubber trees or cassava. Most are reluctant to speak to activists and journalists.
Paris Gultom, a father of four from neighbouring North Sumatra province, moved to the area last year. He said most families in the area -- many from his home province -- live on plots of two to four hectares.
Paris bought his own four-hectare plot for 16 million rupiah (1,750 dollars) from a "community leader". He has the papers to prove it, but like everyone else in the area, he knows it's not all above board.
"If (land ownership certificates are) issued legally then there?s money involved, from the head of the district or the head of the village," Murni said.
Legal uncertainty or not, Gultom intends to stay. Here he has land, he says, and with land scarce in his home district, it?s an opportunity too hard to pass up.
KUALA CENAKU, Indonesia (AFP) — Head man Mursyid Ali stands amid blackened stumps, the remains of much of the rainforest belonging to this village on Indonesia's Sumatra stripped and drained in spite of local protests.
It's a scene repeated across much of Indonesia, where poverty and voracious demand for commodities -- coupled with corruption and poor law enforcement -- drive the destruction of forests.
Thanks largely to the burning of forests and destruction of carbon-rich peatlands, Indonesia is the third biggest emitter of greenhouse gases in the world, a statistic coming under the spotlight ahead of the nation hosting a major international climate change conference next month.
The December 3-14 UN summit on the resort island of Bali will see delegates from around the world -- including more than 100 ministers -- thrash out a framework for negotiations on a global regime to combat climate change when the current phase of the Kyoto Protocol ends in 2012.
Satellite images from environmental watchdog WWF show that only 25 years ago, the majority of Riau province -- home to Ali's village -- was covered in equatorial forest, one of the most ecologically diverse habitats on Earth and a vital absorber of carbon.
Today, four million hectares (nearly 10 million acres), or more than 60 percent, have gone. Land clearing, both legal and illegal, has made way for tree and oil palm plantations, logging concessions and small farms.
In Kuala Cenaku, the landscape has been denuded to make way for oil palm plantations cashing in on booming demand for palm oil -- ironically seen as a source of climate-friendly biofuel.
Ali?s fight is with Indonesian plantation company Duta Palma, two subsidiaries of which were granted permits by the local district head from 2004 to clear the forests around his village and its neighbour Kuala Mulia.
The area was originally granted to state-owned company Inhutani IV in 2002, but public opposition forced the local government and the national forestry ministry to revoke the permit, according to the Riau head of Friends of the Earth Indonesia, Johny Setiawan.
Duta Palma got its concessions by promising to follow a local government regulation stipulating that it hand control of 40 percent of the land to the community and provide them with jobs.
Setiawan said the company has not kept its promises, clearing most of the land for its own use and causing severe fires and choking smoke. Villagers have protested to the local and provincial governments with few results.
"Who can put pressure on this company? The district head and the governor are the ones who can do it, not ordinary citizens like us. All we do is protest, but they accuse us of being anarchists," Ali told AFP.
"We cried and begged (the district head) to stop this company but he paid no attention," he said.
According to Setiawan, district head Raja Thamsir Rachman announced in 2006 that land clearing would be suspended until the dispute was resolved. But when AFP visited the site, heavy machinery continued to clear the land.
Repeated requests by AFP to meet with Duta Palma were declined.
Some of the biggest players reshaping Riau's environment and economy are pulp and paper giants Asia Pulp and Paper (APP) and Asia Pacific Resources International Holdings Limited (April). Each company produces an average of around 2 million tons of pulp in Riau alone every year.
National police have taken over an investigation into illegal logging that was launched in February this year, releasing a list of 14 APP and April partner companies as suspects.
April denies it is involved in illegal logging. Its Riau subsidiary, Riaupulp, is observing a "de facto moratorium" on cutting natural forests during the investigation, said its environment manager, Elizier Lorenzo.
April puts a lot of energy into polishing its green image and is acknowledged by many conservationists as being ahead of the pack when it comes to mitigating the environmental impact of its work.
But even the best intentions can fall flat in the often lawless and disorganised world on the edges of Riau?s dwindling forests.
A proposed boundary of the expanded Tesso Nilo national park looks nothing like it should. In place of what should be a final refuge for endangered elephants and tigers, the land is stripped back, burnt and raw.
WWF and April have been in discussions since 2001 to expand the park from 38,576 hectares to 100,000 hectares.
In 2004, April built its own access road on the edge of the forest, despite objections from WWF, who argued the road would open the way for illegal land clearing.
"Once it's open, you can't stop encroachers from coming in," said Desmarita Murni, a campaigner with WWF, referring to small-scale farmers who take advantage of the access.
April promised to ensure the road would be guarded, but they concede this has not eventuated. They say they now have an agreement with local police to act as forestry officers in a new checkpoint system they hope will be ready by year-end.
WWF satellite images show that more than 12,000 hectares have been cleared in the area since then, much of it inside the proposed new boundaries of the park.
Encroachers on the road corridor to Tesso Nilo live simply, planting small numbers of oil palms, rubber trees or cassava. Most are reluctant to speak to activists and journalists.
Paris Gultom, a father of four from neighbouring North Sumatra province, moved to the area last year. He said most families in the area -- many from his home province -- live on plots of two to four hectares.
Paris bought his own four-hectare plot for 16 million rupiah (1,750 dollars) from a "community leader". He has the papers to prove it, but like everyone else in the area, he knows it's not all above board.
"If (land ownership certificates are) issued legally then there?s money involved, from the head of the district or the head of the village," Murni said.
Legal uncertainty or not, Gultom intends to stay. Here he has land, he says, and with land scarce in his home district, it?s an opportunity too hard to pass up.
Greenpeace blocks shipment of Indonesian palm oil
Greenpeace blocks shipment of Indonesian palm oil
Thu Nov 15, 2007 12:59pm GMT
JAKARTA (Reuters) - Greenpeace has blocked a tanker carrying more than 30,000 tonnes of palm oil from leaving an Indonesian port to protest against forest destruction blamed on plantations, the environmental group said on Thursday.
The protest came less than three weeks before a U.N. climate change meeting on the resort island of Bali, where delegates from 189 countries will debate ways to slow down global warming, including the impact of dwindling tropical rainforests.
The group's Rainbow Warrior ship dropped anchor next to the MT Westama, which was set to leave for India from Dumai in Sumatra island, one of the Southeast Asian nation's main ports handling palm oil.
"We will block this as long as we can. We want the government to immediately issue a moratorium on conversion of forests and peatlands into palm oil plantations," said Bustar Maitar, Greenpeace Indonesia Forest Campaigner, who spoke by telephone from onboard the ship.
Environment groups have blamed palm oil companies for driving the destruction of Indonesia's forests and peatlands.
In a recent report, Greenpeace said that clearing forests that often grow on the country's thick carbon-storing peatlands released more than a billion tonnes of greenhouse gases a year.
The report said the surging demand for palm oil in food, cosmetics and fuel was putting pressure on a ticking "climate bomb."
The palm oil on the MT Westama belongs to Permata Hijau Sawit, one of the largest exporters of palm oil, the group said in a statement.
Greenpeace communications officer Tiy Chung said they had not been told to leave by police or been contacted by the company.
The police came and spoke to our captain. But they left soon after," Chung said by telephone from onboard the ship.
"They were very polite."
(Reporting by Adhityani Arga; Editing by Ed Davies and Bill Tarrant)
Thu Nov 15, 2007 12:59pm GMT
JAKARTA (Reuters) - Greenpeace has blocked a tanker carrying more than 30,000 tonnes of palm oil from leaving an Indonesian port to protest against forest destruction blamed on plantations, the environmental group said on Thursday.
The protest came less than three weeks before a U.N. climate change meeting on the resort island of Bali, where delegates from 189 countries will debate ways to slow down global warming, including the impact of dwindling tropical rainforests.
The group's Rainbow Warrior ship dropped anchor next to the MT Westama, which was set to leave for India from Dumai in Sumatra island, one of the Southeast Asian nation's main ports handling palm oil.
"We will block this as long as we can. We want the government to immediately issue a moratorium on conversion of forests and peatlands into palm oil plantations," said Bustar Maitar, Greenpeace Indonesia Forest Campaigner, who spoke by telephone from onboard the ship.
Environment groups have blamed palm oil companies for driving the destruction of Indonesia's forests and peatlands.
In a recent report, Greenpeace said that clearing forests that often grow on the country's thick carbon-storing peatlands released more than a billion tonnes of greenhouse gases a year.
The report said the surging demand for palm oil in food, cosmetics and fuel was putting pressure on a ticking "climate bomb."
The palm oil on the MT Westama belongs to Permata Hijau Sawit, one of the largest exporters of palm oil, the group said in a statement.
Greenpeace communications officer Tiy Chung said they had not been told to leave by police or been contacted by the company.
The police came and spoke to our captain. But they left soon after," Chung said by telephone from onboard the ship.
"They were very polite."
(Reporting by Adhityani Arga; Editing by Ed Davies and Bill Tarrant)
M'sian lumber firm pays fine to Guyana
M'sian lumber firm pays fine to Guyana - Malaysiakini.com
Nov 15, 07 11:11am
A Malaysian lumber company Wednesday said it agreed to pay Guyana US$470,000 in fines for allegedly under-reporting the number of logs it harvested from the Amazon jungle. Barama Company Limited (BCL) said it would immediately pay the compensatory fines in good faith, without prejudice and without admission to liability.
Last month, when the Guyana Forestry Commission (GFC) announced the penalties, BCL threatened to fire workers and cut production while it appealed to the GFC to hire internationally-recognized experts to investigate the charges. On Wednesday, however, the company admitted breaches by several low-level staffers harvesting in areas where permits were still being processed.
"The company takes the allegations very seriously and is committed to engage with the Guyana Forestry Commission to a comprehensive review of the timber operation procedures and improve the processes going forward," said BCL Chief Executive Officer Peter Ho.
The company admitted to a number of anomalies, including unintentional mixing of tree tags and harvesting in areas where permits were still being processed, but it denied under-declaring all the logs harvested to the GFC.
The GFC said its probe found that BCL declared less logs than it harvested in July from privately-owned Guyanese companies. Malaysian-owned BCL has been operating in the northwestern Amazon jungle of the impoverished South American country for almost 30 years. - AFP
Nov 15, 07 11:11am
A Malaysian lumber company Wednesday said it agreed to pay Guyana US$470,000 in fines for allegedly under-reporting the number of logs it harvested from the Amazon jungle. Barama Company Limited (BCL) said it would immediately pay the compensatory fines in good faith, without prejudice and without admission to liability.
Last month, when the Guyana Forestry Commission (GFC) announced the penalties, BCL threatened to fire workers and cut production while it appealed to the GFC to hire internationally-recognized experts to investigate the charges. On Wednesday, however, the company admitted breaches by several low-level staffers harvesting in areas where permits were still being processed.
"The company takes the allegations very seriously and is committed to engage with the Guyana Forestry Commission to a comprehensive review of the timber operation procedures and improve the processes going forward," said BCL Chief Executive Officer Peter Ho.
The company admitted to a number of anomalies, including unintentional mixing of tree tags and harvesting in areas where permits were still being processed, but it denied under-declaring all the logs harvested to the GFC.
The GFC said its probe found that BCL declared less logs than it harvested in July from privately-owned Guyanese companies. Malaysian-owned BCL has been operating in the northwestern Amazon jungle of the impoverished South American country for almost 30 years. - AFP
Ex Garuda director links spy agency to midair murder of activist
Jakarta Post 15th November
Ex Garuda director links spy agency to midair murder of activist
JAKARTA (AP): A former director of Indonesia's Garudaairline linked the state intelligence agency on Tuesday to the midair poisoning of a human rights activist three years ago.
Indra Setiawan told the Central Jakarta District Court he was asked by the spy agency, known as BIN, to place Pollycarpus Priyanto, an off-duty pilot, on the flight from Jakarta to Singapore as a security agent.
Priyanto was found guilty by a lower court of murdering the activist, Munir Said Thalib, but the Supreme Court overturned the conviction in 2006, citing a lack of evidence. Prosecutors are appealing that decision, saying they now have new evidence.
Setiawan was testifying at the trial of Rohainil Aini, a former deputy vice president of the airline. The two were arrested in April and accused of conspiracy in the murder.
Munir, a vocal critic of Indonesia's military, died in September 2004 while flying from Jakarta to Amsterdam after ingesting a fatal dose of arsenic.
"I had received a letter from BIN, requesting Pollycarpus to be placed on board as aviation security because as a flag carrier, security of Garuda needed to be tightened," Setiawan told the court.
Ex Garuda director links spy agency to midair murder of activist
JAKARTA (AP): A former director of Indonesia's Garudaairline linked the state intelligence agency on Tuesday to the midair poisoning of a human rights activist three years ago.
Indra Setiawan told the Central Jakarta District Court he was asked by the spy agency, known as BIN, to place Pollycarpus Priyanto, an off-duty pilot, on the flight from Jakarta to Singapore as a security agent.
Priyanto was found guilty by a lower court of murdering the activist, Munir Said Thalib, but the Supreme Court overturned the conviction in 2006, citing a lack of evidence. Prosecutors are appealing that decision, saying they now have new evidence.
Setiawan was testifying at the trial of Rohainil Aini, a former deputy vice president of the airline. The two were arrested in April and accused of conspiracy in the murder.
Munir, a vocal critic of Indonesia's military, died in September 2004 while flying from Jakarta to Amsterdam after ingesting a fatal dose of arsenic.
"I had received a letter from BIN, requesting Pollycarpus to be placed on board as aviation security because as a flag carrier, security of Garuda needed to be tightened," Setiawan told the court.
Indonesia Says It May Take Until 2014 to End Illegal Logging
Indonesia Says It May Take Until 2014 to End Illegal Logging
By Naila Firdausi and Arijit Ghosh
Nov. 15 (Bloomberg) -- Indonesia may take at least seven years to halt illegal logging and deforestation in the world's third-largest tropical rainforests, according to the minister responsible for the trees.
Malam Sambat Kaban, minister of forestry, is seeking additional powers to catch and prosecute illegal loggers and may grant more rights to indigenous tribes. The government also plans to prod companies to replant trees by enforcing the terms of existing plantations licenses, he said.
``We are committed, we have a replanting program and we are proposing a law,'' Kaban said in an interview in Jakarta. ``We hope by 2014 the natural forest will not be disturbed.''
The seven-year target may be too slow for environmental groups and neighboring countries Singapore and Malaysia, whose air has been made hazy by forest burn-offs in the Southeast Asian archipelago. Indonesia has granted logging rights over some 58 million hectares (143 million acres) of rainforest, an area bigger than France, and is trying to preserve a similar- sized tract.
``I think the 2014 expectation is impossible,'' said Rully Syumanda, a member of the Jakarta-based Indonesian Forum for Environment. ``Companies are not fulfilling their promises and there's corruption in the police and other authorities.''
Indonesia loses $3 billion to illegal logging annually and is struggling to conserve its forests amid rising demand for timber to make paper and land to plant oil palm and rubber trees, according to the World Bank. China, which buys most of Indonesia's timber exports, and India have been able to reverse deforestation, according to a study funded by the Academy of Finland and the National Science Foundation of China.
No Incentive
``There is no incentive in Indonesia to protect forests,'' said Fitrian Ardiansyah, program director for climate change at the World Wide Fund for Nature in Jakarta. ``The biggest challenge will be putting pressure on industry because there is a huge gap in the capacity put in place in the pulp and paper industry compared with the supply.''
Industrial demand for timber in Indonesia is about 60 million cubic meters a year, compared with supply of 12 million cubic meters from plantations and natural forests, according to World Bank data.
The country, the world's largest archipelago, ranks behind only Brazil and the Congo basin in the size of its tropical jungles.
In 2001, about 83 percent of the 59 million cubic meters of wood consumed in Indonesia came from illegal sources, according to the Bogor, Indonesia-based Center for International Forestry Research.
Illegal Logging
While illegal logging is on the decline, the nation may not be able to reverse deforestation any time soon, said Syumanda of the Indonesian Forum for Environment.
Illegal logging is rampant because of weak inspection and monitoring systems and because few offenders are prosecuted, Syumanda said. Of the 186 suspects arrested for illegal logging in the past two years, 13 have been sentenced, according to the London-based Environmental Investigation Agency.
The government has proposed stricter laws that would force illegal loggers to forfeit assets if caught and convicted.
``We will empower the communities to take care of their forests,'' Kaban said. The proposed bill has been submitted to Parliament, and is expected to be enacted next year, he said.
Hilman Indra, deputy chairman of the parliamentary panel studying the proposed bill, confirmed receipt of the draft, though couldn't give details because he said he hadn't read it.
Emissions Credits
Indonesia may be willing to voluntarily curb the degradation of its forests in return for emissions credits, Alex Kaat, a spokesman for environmental group Wetlands International, said in July. The country is the world's third-biggest contributor of carbon dioxide emissions after the U.S. and China, and the biggest contributor of carbon dioxide emissions from drained peatlands, according to the World Bank.
The government would get 360 million euros ($529 million) a year in tax revenue starting in 2013 from selling credits to companies and countries attempting to meet their emission limits, Gabriel Thoumi, a consultant and fellow at the Erb Institute for Global Sustainable Enterprise at the University of Michigan in Ann Arbor, said in October.
Indonesia's government also expects to convince developed nations at a United Nations meeting on climate change in Bali next month to provide funds to conserve the world's tropical forests, presidential spokesman Dino Pati Djalal said.
Developed nations also have to help Indonesia by refusing to accept illegal timber, said Julian Newman, who represents the Environmental Investigation Agency in Indonesia.
``The markets in the U.S., Europe and China are still open for illegal timber,'' said Newman. ``There is no international agreement to curb the movement of illegal wood.''
By Naila Firdausi and Arijit Ghosh
Nov. 15 (Bloomberg) -- Indonesia may take at least seven years to halt illegal logging and deforestation in the world's third-largest tropical rainforests, according to the minister responsible for the trees.
Malam Sambat Kaban, minister of forestry, is seeking additional powers to catch and prosecute illegal loggers and may grant more rights to indigenous tribes. The government also plans to prod companies to replant trees by enforcing the terms of existing plantations licenses, he said.
``We are committed, we have a replanting program and we are proposing a law,'' Kaban said in an interview in Jakarta. ``We hope by 2014 the natural forest will not be disturbed.''
The seven-year target may be too slow for environmental groups and neighboring countries Singapore and Malaysia, whose air has been made hazy by forest burn-offs in the Southeast Asian archipelago. Indonesia has granted logging rights over some 58 million hectares (143 million acres) of rainforest, an area bigger than France, and is trying to preserve a similar- sized tract.
``I think the 2014 expectation is impossible,'' said Rully Syumanda, a member of the Jakarta-based Indonesian Forum for Environment. ``Companies are not fulfilling their promises and there's corruption in the police and other authorities.''
Indonesia loses $3 billion to illegal logging annually and is struggling to conserve its forests amid rising demand for timber to make paper and land to plant oil palm and rubber trees, according to the World Bank. China, which buys most of Indonesia's timber exports, and India have been able to reverse deforestation, according to a study funded by the Academy of Finland and the National Science Foundation of China.
No Incentive
``There is no incentive in Indonesia to protect forests,'' said Fitrian Ardiansyah, program director for climate change at the World Wide Fund for Nature in Jakarta. ``The biggest challenge will be putting pressure on industry because there is a huge gap in the capacity put in place in the pulp and paper industry compared with the supply.''
Industrial demand for timber in Indonesia is about 60 million cubic meters a year, compared with supply of 12 million cubic meters from plantations and natural forests, according to World Bank data.
The country, the world's largest archipelago, ranks behind only Brazil and the Congo basin in the size of its tropical jungles.
In 2001, about 83 percent of the 59 million cubic meters of wood consumed in Indonesia came from illegal sources, according to the Bogor, Indonesia-based Center for International Forestry Research.
Illegal Logging
While illegal logging is on the decline, the nation may not be able to reverse deforestation any time soon, said Syumanda of the Indonesian Forum for Environment.
Illegal logging is rampant because of weak inspection and monitoring systems and because few offenders are prosecuted, Syumanda said. Of the 186 suspects arrested for illegal logging in the past two years, 13 have been sentenced, according to the London-based Environmental Investigation Agency.
The government has proposed stricter laws that would force illegal loggers to forfeit assets if caught and convicted.
``We will empower the communities to take care of their forests,'' Kaban said. The proposed bill has been submitted to Parliament, and is expected to be enacted next year, he said.
Hilman Indra, deputy chairman of the parliamentary panel studying the proposed bill, confirmed receipt of the draft, though couldn't give details because he said he hadn't read it.
Emissions Credits
Indonesia may be willing to voluntarily curb the degradation of its forests in return for emissions credits, Alex Kaat, a spokesman for environmental group Wetlands International, said in July. The country is the world's third-biggest contributor of carbon dioxide emissions after the U.S. and China, and the biggest contributor of carbon dioxide emissions from drained peatlands, according to the World Bank.
The government would get 360 million euros ($529 million) a year in tax revenue starting in 2013 from selling credits to companies and countries attempting to meet their emission limits, Gabriel Thoumi, a consultant and fellow at the Erb Institute for Global Sustainable Enterprise at the University of Michigan in Ann Arbor, said in October.
Indonesia's government also expects to convince developed nations at a United Nations meeting on climate change in Bali next month to provide funds to conserve the world's tropical forests, presidential spokesman Dino Pati Djalal said.
Developed nations also have to help Indonesia by refusing to accept illegal timber, said Julian Newman, who represents the Environmental Investigation Agency in Indonesia.
``The markets in the U.S., Europe and China are still open for illegal timber,'' said Newman. ``There is no international agreement to curb the movement of illegal wood.''
Wednesday, 14 November 2007
Glenealy expanding (palm oil) landbank
The Star online. Malaysia 14th November.
Glenealy expanding landbank
KUALA LUMPUR: Glenealy Plantations (M) Bhd plans to increase its oil palm plantations and set up new mills in Indonesia as part of its overseas expansion exercise.
The group first ventured overseas through the acquisition of 15,000ha in East Kalimantan this year.
Managing director Yaw Chee Ming said Glenealy was keen to acquire land around its Indonesian plantation.
“However, we will not restrict ourselves to one single location and will continue to look for opportunities in other parts of Indonesia,” he said after the company AGM and EGM yesterday.
Chairman Chan Hua Eng said: “In Indonesia, the question is about land availability and dealing with government agencies. If we can overcome these hurdles, we will get more land bank.”
Yaw said the group would start planting activities in East Kalimantan within the next six months, after receiving approvals from the relevant authorities.
“The 15,000ha is a good size to start an oil palm plantation in Indonesia. Later, we will look at setting up at least two palm oil mills,” he added.
On the local front, Yaw said Glenealy was constructing its third palm oil mill in Lana, Sarawak, slated for completion in September next year.
“Initially, the mill will produce about 40 tonnes per hour and gradually reach full capacity at 60 tonnes per hour,” he said.
The group has mills in Lahat Datu, Sabah and Belaga, Sarawak.
Yaw said Glenealy was interested to acquire additional land bank in Sabah and Sarawak for oil palm plantations.
The group's total hectarage is about 65,000ha, of which 21,332ha are planted.
Glenealy's net profit jumped over 200% to RM15.8mil for the first quarter ended Sept 30 from RM4.5mil in the previous corresponding period.
With higher sales volume and CPO prices, turnover increased to RM53.5mil for the period under review against RM29.4mil previously.
In a filing with Bursa, Glenealy said the group's outlook continued to remain positive, sustained by potential supply shortage, lower soybean planting hectarage in the United States and South America, bullish reaction to Indonesia's export taxes on palm oil and continued demand for biodiesel supported by the high crude oil prices.
Glenealy expanding landbank
KUALA LUMPUR: Glenealy Plantations (M) Bhd plans to increase its oil palm plantations and set up new mills in Indonesia as part of its overseas expansion exercise.
The group first ventured overseas through the acquisition of 15,000ha in East Kalimantan this year.
Managing director Yaw Chee Ming said Glenealy was keen to acquire land around its Indonesian plantation.
“However, we will not restrict ourselves to one single location and will continue to look for opportunities in other parts of Indonesia,” he said after the company AGM and EGM yesterday.
Chairman Chan Hua Eng said: “In Indonesia, the question is about land availability and dealing with government agencies. If we can overcome these hurdles, we will get more land bank.”
Yaw said the group would start planting activities in East Kalimantan within the next six months, after receiving approvals from the relevant authorities.
“The 15,000ha is a good size to start an oil palm plantation in Indonesia. Later, we will look at setting up at least two palm oil mills,” he added.
On the local front, Yaw said Glenealy was constructing its third palm oil mill in Lana, Sarawak, slated for completion in September next year.
“Initially, the mill will produce about 40 tonnes per hour and gradually reach full capacity at 60 tonnes per hour,” he said.
The group has mills in Lahat Datu, Sabah and Belaga, Sarawak.
Yaw said Glenealy was interested to acquire additional land bank in Sabah and Sarawak for oil palm plantations.
The group's total hectarage is about 65,000ha, of which 21,332ha are planted.
Glenealy's net profit jumped over 200% to RM15.8mil for the first quarter ended Sept 30 from RM4.5mil in the previous corresponding period.
With higher sales volume and CPO prices, turnover increased to RM53.5mil for the period under review against RM29.4mil previously.
In a filing with Bursa, Glenealy said the group's outlook continued to remain positive, sustained by potential supply shortage, lower soybean planting hectarage in the United States and South America, bullish reaction to Indonesia's export taxes on palm oil and continued demand for biodiesel supported by the high crude oil prices.
PM's cash for orangutan just peanuts
The Australian, 13 November
PM's cash for orangutans just peanuts
Stephen Fitzpatrick, Nyaru Menteng, Kalimantan November 14, 2007
LONA Droscher-Nielsen has spent enough time living with wild orangutans to know monkey business when she sees it - and the straight-speaking Dane is suspicious of John Howard's election promise to save her great apes.
Lona Droscher-Nielsen with orangutans at her sanctuary in Kalimantan, Indonesia. She is suspicious of a Coalition plan to save the apes.
"If it were to be spent on habitat protection then I'd say it's worthwhile, but we already know that even the big organisations are not succeeding in doing that," Ms Nielsen said, speaking from the sanctuary she founded eight years ago in the Indonesian province of central Kalimantan.
The Prime Minister this week told how an 11-year-old boy's passion for the endangered species had convinced him to dedicate $500,000 over four years to ensuring the orangutan's future.
However, running costs at Ms Nielsen's centre alone - the world's largest, set in 70ha of rehabilitated forest and former botanical gardens on the hamlet of Nyaru Menteng just outside the provincial capital, Palangkaraya - come to about $US840,000 ($945,750) a year.
The project, run under the umbrella of the international Borneo Orangutan Survival Foundation, is bursting at the seams, providing as it does, a temporary home for 640 of the gentle creatures.
Many are orphans, their mothers killed by hunters in the pay of oil palm companies, or by oil palm farmers who fear their lucrative crop is at risk.
Palm oil, used in an estimated 10per cent of cosmetics and food items, is the new boom plantation for Indonesia and Malaysia, which produce about 80per cent of the world's supply.
Ms Nielsen admitted that half a million dollars would be useful. Any amount of money is important to her shoestring operation, which stumbles along from year to year in the hope of finding new donors, but she warned that the ongoing project to save the apes was far more expensive.
"Rescue centres like this one always need money, and people love to give money for rescue operations, but running the centre on a daily basis is a different thing," she said.
"It's harder and it takes more money."
And it takes the political will to protect Borneo's dwindling rainforests, which at current estimates will have disappeared entirely within 15 years.
Australia has committed $30million to a long-term reforestation and reflooding project in Kalimantan, but even that may be too little, too late.
PM's cash for orangutans just peanuts
Stephen Fitzpatrick, Nyaru Menteng, Kalimantan November 14, 2007
LONA Droscher-Nielsen has spent enough time living with wild orangutans to know monkey business when she sees it - and the straight-speaking Dane is suspicious of John Howard's election promise to save her great apes.
Lona Droscher-Nielsen with orangutans at her sanctuary in Kalimantan, Indonesia. She is suspicious of a Coalition plan to save the apes.
"If it were to be spent on habitat protection then I'd say it's worthwhile, but we already know that even the big organisations are not succeeding in doing that," Ms Nielsen said, speaking from the sanctuary she founded eight years ago in the Indonesian province of central Kalimantan.
The Prime Minister this week told how an 11-year-old boy's passion for the endangered species had convinced him to dedicate $500,000 over four years to ensuring the orangutan's future.
However, running costs at Ms Nielsen's centre alone - the world's largest, set in 70ha of rehabilitated forest and former botanical gardens on the hamlet of Nyaru Menteng just outside the provincial capital, Palangkaraya - come to about $US840,000 ($945,750) a year.
The project, run under the umbrella of the international Borneo Orangutan Survival Foundation, is bursting at the seams, providing as it does, a temporary home for 640 of the gentle creatures.
Many are orphans, their mothers killed by hunters in the pay of oil palm companies, or by oil palm farmers who fear their lucrative crop is at risk.
Palm oil, used in an estimated 10per cent of cosmetics and food items, is the new boom plantation for Indonesia and Malaysia, which produce about 80per cent of the world's supply.
Ms Nielsen admitted that half a million dollars would be useful. Any amount of money is important to her shoestring operation, which stumbles along from year to year in the hope of finding new donors, but she warned that the ongoing project to save the apes was far more expensive.
"Rescue centres like this one always need money, and people love to give money for rescue operations, but running the centre on a daily basis is a different thing," she said.
"It's harder and it takes more money."
And it takes the political will to protect Borneo's dwindling rainforests, which at current estimates will have disappeared entirely within 15 years.
Australia has committed $30million to a long-term reforestation and reflooding project in Kalimantan, but even that may be too little, too late.
Loopholes in logging laws: Expert
Loopholes in logging laws: Expert
Desy Nurhayati, The Jakarta Post, Jakarta 13th November 2007
Legal experts have recommended improvements to the country's regulations on forestry, saying current laws are contradictory provide loopholes for illegal logging activities.
In a discussion on forestry laws on Tuesday, experts said improvements were needed "to avoid misperceptions by law enforcers" around types of forestry crimes and the implementation of criminal lawsuits against illegal loggers.
"Regulations on forest concession have instead triggered illegal logging (as well as) different interpretations among law enforcers," legal expert Bambang Widjojanto said.
"The regulations have caused (inertia) in (the) fight against forestry crimes."
Bambang said there were inconsistencies in forestry laws around the definition of industrial forest areas.
And he said this had caused "difficulties in determining types of charges by law enforcers toward those who allegedly committed to forestry crimes".
"Changes in the laws have made it difficult for law enforcers to decide whether a logging activity ... (is) a violation against the law."
Bambang said the recent acquittal of logging boss Adelin Lis, along with suspects involved in similar cases, was disappointing.
He said such decisions breached environmental efforts and would see forest destruction issues continue to rise.
Adelin was freed of all charges by the Medan District Court in North Sumatra.
He was proven not guilty of illegal logging charges on the grounds his company had obtained a forest concession permit.
But Komariah Emong, criminal law expert from Padjajaran University, said he agreed with the court's decision.
"Prosecutors and judges have to be certain of their charges, and not only justify the permit".
Executive director of environmental group Greenomics, Elfian Effendi, questioned never-investigated illegal logging practices in forest conservation areas.
"The cases of illegal logging in conservation areas had never been touched on, despite the fact they are clear violations of existing laws," Elfian said.
He said the cases that remained untouched were "proof of discrimination in law enforcement against forestry crimes" and said there were "interests behind the cases".
Elfian cited illegal logging activities in the Leuser National Park in Nanggroe Aceh Darussalam and Sebangau National Park in Central Kalimantan.
Suparto Wijoyo, an expert on environmental laws from Airlangga University, said the core problem was a lack of supervision across logging practices.
"After issuing permits on forest concessions, the Forestry Ministry and local administrations should be responsible for further supervision to ensure permits are used appropriately," Suparto said.
The Forestry Ministry said it had issued forest concession permits for 10 million hectares, but only three million hectares had been realized
Desy Nurhayati, The Jakarta Post, Jakarta 13th November 2007
Legal experts have recommended improvements to the country's regulations on forestry, saying current laws are contradictory provide loopholes for illegal logging activities.
In a discussion on forestry laws on Tuesday, experts said improvements were needed "to avoid misperceptions by law enforcers" around types of forestry crimes and the implementation of criminal lawsuits against illegal loggers.
"Regulations on forest concession have instead triggered illegal logging (as well as) different interpretations among law enforcers," legal expert Bambang Widjojanto said.
"The regulations have caused (inertia) in (the) fight against forestry crimes."
Bambang said there were inconsistencies in forestry laws around the definition of industrial forest areas.
And he said this had caused "difficulties in determining types of charges by law enforcers toward those who allegedly committed to forestry crimes".
"Changes in the laws have made it difficult for law enforcers to decide whether a logging activity ... (is) a violation against the law."
Bambang said the recent acquittal of logging boss Adelin Lis, along with suspects involved in similar cases, was disappointing.
He said such decisions breached environmental efforts and would see forest destruction issues continue to rise.
Adelin was freed of all charges by the Medan District Court in North Sumatra.
He was proven not guilty of illegal logging charges on the grounds his company had obtained a forest concession permit.
But Komariah Emong, criminal law expert from Padjajaran University, said he agreed with the court's decision.
"Prosecutors and judges have to be certain of their charges, and not only justify the permit".
Executive director of environmental group Greenomics, Elfian Effendi, questioned never-investigated illegal logging practices in forest conservation areas.
"The cases of illegal logging in conservation areas had never been touched on, despite the fact they are clear violations of existing laws," Elfian said.
He said the cases that remained untouched were "proof of discrimination in law enforcement against forestry crimes" and said there were "interests behind the cases".
Elfian cited illegal logging activities in the Leuser National Park in Nanggroe Aceh Darussalam and Sebangau National Park in Central Kalimantan.
Suparto Wijoyo, an expert on environmental laws from Airlangga University, said the core problem was a lack of supervision across logging practices.
"After issuing permits on forest concessions, the Forestry Ministry and local administrations should be responsible for further supervision to ensure permits are used appropriately," Suparto said.
The Forestry Ministry said it had issued forest concession permits for 10 million hectares, but only three million hectares had been realized
Monday, 12 November 2007
Orangutan Caring Week
To help promote the "Orangutan Caring Week" in Borneo,
these superb posters have been produced and distributed in
West Kaliman (Borneo) by
Yayasan Palung (Gunung Palung
West Kaliman (Borneo) by
Yayasan Palung (Gunung Palung Orangutan Conservation Program).
Despite all the gloom and doom
Despite all the gloom and doom
news we all receive from Borneo,
these posters demonstrate just
how hard local NGOs are working to help save the orangutan.
Few Forestry Firms Seek Certification
Few Forestry Firms Seek Certification:
The Jakarta Post - November 08, 2007
By Pelalawan.
Riau Forestry companies are generally still reluctant to adopt sustainable management practices because most do not see the benefits for their businesses.
According to the Indonesian Ecolabeling Institute (LEI), which introduced a sustainable forestry management scheme to Indonesia in 1998,just 12 of hundreds of forestry-related companies in the country have adopted sustainable forest management practices and earned certification.
Manager of the institute, Gladi Haryanto, said recently most forestry companies felt there was little benefit to obtaining sustainable forest management certification, which is known as ecolabeling.
"Many companies have applied for the certification but when they failed to meet the requirements they withdrew because they can't see its benefit,"Gladi said in Riau recently.
He said the sustainable management scheme was introduced to promote cooperation, mutual understanding and partnership among the various stakeholders in the industry, and to give forestry companies increased access to the international market.
In some developed countries especially in Europe, timber products with no ecolabelling or green certificate are prohibited. But Indonesian forestry companies, which sell most of their products to South Korea and Japan, see no urgency in adopting the scheme.
Gladi said companies with ecolabeling certification benefited because they could export their goods to countries that set high standards for forestry products.
"Most developed countries prefer to have goods that are produced in a sustainable manner, so LEI certification helps them get trust. Several big buyers in Europe have accepted products with LEI certification," he said. LEI, a constituent-based organization established in 1998, consists of panels representing NGOs, indigenous people, academics and business associations.
Besides promoting certification systems for forestry, marine and agricultural products, LEI also takes a role in conflict resolution and policy advocacy.
He said LEI had two schemes of certification -- under third party assessment and under recognition over claim -- to asses the sustainability of forestry entities."Under the first scheme, selected assessors represent the certification body in conducting assessments, and under the second, a guarantor body represents the forestry managing community in conducting an assessment,"Gladi said.
He said that although certification followed two different schemes, the overall process consisted of field pre-assessments, field assessments, gathering public input, performance evaluation, decision making and certification. He said LEI certification, valid for five years,had three levels: gold, silver and bronze.
He said a company that obtained bronze certification would be evaluated five times in a five-year period, silver two or three times and gold just once. "Bronze companies can achieve a higher certification level if the evaluation result is good. On the other hand, if the result is bad, LEI can suspend the certification," Gladi said.
Riau Andalan Pulp and Paper (RAPP), which has bronze certification, says it is improving the sustainable management of its 159,500 hectare concession forest to upgrade its current certification. President director of RAPPRudi Fajar said the company hoped to raise its certification level from bronze to silver within two years to give it greater access in the international market.
Environment manager of RAPP Eliezer P Lorenzo said LEI certification was more difficult to process than certification from the Germany-based international organization Forest Stewardship Council (FSC), because the whole process had to be restarted if an applicant failed to meet any of the requirements needed to obtain certification.
Rudi said with LEI certification, orders for the company's paper products from overseas buyers had gone up because the buyers were sure the raw materials used in production were obtained from sustainable management practices."We will have a road show to disseminate this achievement because we want to make LEI certification a market strength," Rudi said.
The Jakarta Post - November 08, 2007
By Pelalawan.
Riau Forestry companies are generally still reluctant to adopt sustainable management practices because most do not see the benefits for their businesses.
According to the Indonesian Ecolabeling Institute (LEI), which introduced a sustainable forestry management scheme to Indonesia in 1998,just 12 of hundreds of forestry-related companies in the country have adopted sustainable forest management practices and earned certification.
Manager of the institute, Gladi Haryanto, said recently most forestry companies felt there was little benefit to obtaining sustainable forest management certification, which is known as ecolabeling.
"Many companies have applied for the certification but when they failed to meet the requirements they withdrew because they can't see its benefit,"Gladi said in Riau recently.
He said the sustainable management scheme was introduced to promote cooperation, mutual understanding and partnership among the various stakeholders in the industry, and to give forestry companies increased access to the international market.
In some developed countries especially in Europe, timber products with no ecolabelling or green certificate are prohibited. But Indonesian forestry companies, which sell most of their products to South Korea and Japan, see no urgency in adopting the scheme.
Gladi said companies with ecolabeling certification benefited because they could export their goods to countries that set high standards for forestry products.
"Most developed countries prefer to have goods that are produced in a sustainable manner, so LEI certification helps them get trust. Several big buyers in Europe have accepted products with LEI certification," he said. LEI, a constituent-based organization established in 1998, consists of panels representing NGOs, indigenous people, academics and business associations.
Besides promoting certification systems for forestry, marine and agricultural products, LEI also takes a role in conflict resolution and policy advocacy.
He said LEI had two schemes of certification -- under third party assessment and under recognition over claim -- to asses the sustainability of forestry entities."Under the first scheme, selected assessors represent the certification body in conducting assessments, and under the second, a guarantor body represents the forestry managing community in conducting an assessment,"Gladi said.
He said that although certification followed two different schemes, the overall process consisted of field pre-assessments, field assessments, gathering public input, performance evaluation, decision making and certification. He said LEI certification, valid for five years,had three levels: gold, silver and bronze.
He said a company that obtained bronze certification would be evaluated five times in a five-year period, silver two or three times and gold just once. "Bronze companies can achieve a higher certification level if the evaluation result is good. On the other hand, if the result is bad, LEI can suspend the certification," Gladi said.
Riau Andalan Pulp and Paper (RAPP), which has bronze certification, says it is improving the sustainable management of its 159,500 hectare concession forest to upgrade its current certification. President director of RAPPRudi Fajar said the company hoped to raise its certification level from bronze to silver within two years to give it greater access in the international market.
Environment manager of RAPP Eliezer P Lorenzo said LEI certification was more difficult to process than certification from the Germany-based international organization Forest Stewardship Council (FSC), because the whole process had to be restarted if an applicant failed to meet any of the requirements needed to obtain certification.
Rudi said with LEI certification, orders for the company's paper products from overseas buyers had gone up because the buyers were sure the raw materials used in production were obtained from sustainable management practices."We will have a road show to disseminate this achievement because we want to make LEI certification a market strength," Rudi said.
Indonesia to Set Up Holding Company for Estates, May Sell Stock
Indonesia to Set Up Holding Company for Estates, May Sell Stock
By Haslinda Amin and Arijit Ghosh
Nov. 12 (Bloomberg) -- Indonesia, the world's largest palm oil producer, plans to set up a holding company for its 14 state-owned plantation owners, a proposal that may precede a share sale within two years.
The Southeast Asian nation will consolidate the palm oil, coffee and rubber estate companies, known as PT Perkebunan Nusantara I to XIV, by the year's end, State-Owned Enterprises Minister Sofyan Djalil said in an interview in Jakarta.
The holding company will have a single board and may help the government pare costs and take greater advantage of surging prices of palm oil, rubber and coffee. Malaysia's Synergy Drive Bhd., created to buy that nation's state-backed palm oil growers and boost efficiency, is set to start trading this month.
``In terms of financial strength, a large entity can better turn to the financial markets and not just rely on bank loans for expansion and diversification,'' said Derom Bangun, the head of the Indonesian Palm Oil Association.
Indonesia's government in 2005 owned 962,055 hectares (2.4 million acres) of plantations, and produced 2.5 million metric tons of palm oil, rubber and five other farm products. The country, Southeast Asia's largest economy, straddles the equator and is a major producer of tropical commodities. Neighboring Malaysia is the world's second-largest palm oil grower.
Mining Companies
Indonesia has been reorganizing companies in which it holds stakes, and selling shares in some to boost efficiency and help to plug a budget deficit. The government is also considering the creation of a holding company for state-linked mining companies, Djalil said in the Nov. 5 interview.
Malaysia's Synergy Drive, set to be the world's largest oil palm grower after buying companies including Sime Darby Bhd., will start trading in Kuala Lumpur on Nov. 30. The group will have a stock market value of more than 50 billion ringgit ($15 billion), Synergy said last month. potentially making it the country's largest listed company, surpassing Malayan Banking Bhd.
To be sure, the Indonesian holding company may encounter difficulties as the 14 estate units ``have complex problems,'' according to Bustanul Arifin, an analyst at the Institute for Development of Economics and Finance in Jakarta.
``The idea is okay for efficiency but it won't be easy to implement,'' said Arifin. ``It would be better to set up several holding companies based on the commodity.''
Palm oil futures in Malaysia touched a record 3,013 ringgit ($903) a metric ton on Nov. 9, and have gained 79 percent over the past 12 months. Bangun, the head of the palm oil association, said Nov. 8 that the price may rise as high as $1,000 a ton next year on increased demand and a shortfall in vegetable oil supplies.
`Aggressively Expanding'
Indonesia ``has been aggressively expanding its oil palm cultivation in the past 10 years,'' Credit Suisse Group analysts led by Andrew Garthwaite said in a report on rising agricultural prices dated Nov. 6. ``Food-price inflation is likely to remain elevated over the next three to five years.''
China and India, the biggest vegetable oil buyers, import palm oil to fill shortages in supplies of soybean, groundnut and canola oils. China purchased 3.9 million tons of palm oil from January to September, 1 percent more than a year earlier, while India imported 2.62 million tons, up 32 percent from a year ago.
Palm oil prices have also been boosted by a surge in crude oil to a record as the commodity can be used to make biodiesel.
``The crude palm oil price remains robust, supported by an exciting palm oil demand outlook coupled with strong price of grains and competing oil,'' Rachman Koeswanto, an analyst with Deutsche Bank AG, said in a note on Oct. 24. ``The growing demand from China, India and to a lesser extent the U.S. has been the main driving force.''
Shares of PT Astra Agro Lestari, Indonesia's biggest publicly traded agricultural company, have risen 87 percent this year. The Jakarta-based company tripled profit in the third quarter on higher palm oil prices.
Rubber futures in Tokyo have gained 35 percent over the past year and traded at 279 yen ($2.52) a kilogram at 10:57 a.m. in Tokyo. The commodity is used to make car tires. London futures for robusta coffee, which accounts for about 85 percent of Indonesia's crop, have gained 49 percent over the past year.
By Haslinda Amin and Arijit Ghosh
Nov. 12 (Bloomberg) -- Indonesia, the world's largest palm oil producer, plans to set up a holding company for its 14 state-owned plantation owners, a proposal that may precede a share sale within two years.
The Southeast Asian nation will consolidate the palm oil, coffee and rubber estate companies, known as PT Perkebunan Nusantara I to XIV, by the year's end, State-Owned Enterprises Minister Sofyan Djalil said in an interview in Jakarta.
The holding company will have a single board and may help the government pare costs and take greater advantage of surging prices of palm oil, rubber and coffee. Malaysia's Synergy Drive Bhd., created to buy that nation's state-backed palm oil growers and boost efficiency, is set to start trading this month.
``In terms of financial strength, a large entity can better turn to the financial markets and not just rely on bank loans for expansion and diversification,'' said Derom Bangun, the head of the Indonesian Palm Oil Association.
Indonesia's government in 2005 owned 962,055 hectares (2.4 million acres) of plantations, and produced 2.5 million metric tons of palm oil, rubber and five other farm products. The country, Southeast Asia's largest economy, straddles the equator and is a major producer of tropical commodities. Neighboring Malaysia is the world's second-largest palm oil grower.
Mining Companies
Indonesia has been reorganizing companies in which it holds stakes, and selling shares in some to boost efficiency and help to plug a budget deficit. The government is also considering the creation of a holding company for state-linked mining companies, Djalil said in the Nov. 5 interview.
Malaysia's Synergy Drive, set to be the world's largest oil palm grower after buying companies including Sime Darby Bhd., will start trading in Kuala Lumpur on Nov. 30. The group will have a stock market value of more than 50 billion ringgit ($15 billion), Synergy said last month. potentially making it the country's largest listed company, surpassing Malayan Banking Bhd.
To be sure, the Indonesian holding company may encounter difficulties as the 14 estate units ``have complex problems,'' according to Bustanul Arifin, an analyst at the Institute for Development of Economics and Finance in Jakarta.
``The idea is okay for efficiency but it won't be easy to implement,'' said Arifin. ``It would be better to set up several holding companies based on the commodity.''
Palm oil futures in Malaysia touched a record 3,013 ringgit ($903) a metric ton on Nov. 9, and have gained 79 percent over the past 12 months. Bangun, the head of the palm oil association, said Nov. 8 that the price may rise as high as $1,000 a ton next year on increased demand and a shortfall in vegetable oil supplies.
`Aggressively Expanding'
Indonesia ``has been aggressively expanding its oil palm cultivation in the past 10 years,'' Credit Suisse Group analysts led by Andrew Garthwaite said in a report on rising agricultural prices dated Nov. 6. ``Food-price inflation is likely to remain elevated over the next three to five years.''
China and India, the biggest vegetable oil buyers, import palm oil to fill shortages in supplies of soybean, groundnut and canola oils. China purchased 3.9 million tons of palm oil from January to September, 1 percent more than a year earlier, while India imported 2.62 million tons, up 32 percent from a year ago.
Palm oil prices have also been boosted by a surge in crude oil to a record as the commodity can be used to make biodiesel.
``The crude palm oil price remains robust, supported by an exciting palm oil demand outlook coupled with strong price of grains and competing oil,'' Rachman Koeswanto, an analyst with Deutsche Bank AG, said in a note on Oct. 24. ``The growing demand from China, India and to a lesser extent the U.S. has been the main driving force.''
Shares of PT Astra Agro Lestari, Indonesia's biggest publicly traded agricultural company, have risen 87 percent this year. The Jakarta-based company tripled profit in the third quarter on higher palm oil prices.
Rubber futures in Tokyo have gained 35 percent over the past year and traded at 279 yen ($2.52) a kilogram at 10:57 a.m. in Tokyo. The commodity is used to make car tires. London futures for robusta coffee, which accounts for about 85 percent of Indonesia's crop, have gained 49 percent over the past year.
Native group seeks help to stop logging giant
Native group seeks help to stop logging giant
- Malaysiakini.com Tony ThienNov 10, 07 4:29pm
The Sarawak Dayak Iban Association (Sadia) has called for pressure to be exerted on the state government to stop global logging giant Rimbunan Hijau from “discriminating, robbing and depriving the indigenous people of the natives’ customary land rights.”
In a worldwide appeal sent via email, the local NGO concerned with native land rights alleged that Rimbunan has been “vandalising, discriminating and displacing local natives in the Balleh Basin in Kapit Division in central Sarawak.” “This giant company had been carrying out logging activities even on native people’s land for nearly half a decade,” it said, adding that this has not been noticed as the Balleh Basin is an isolated area.
It specifically sought the help of the federal government and all concerned parties and sympathisers around the world to pressure the state government to act on Rimbunan. Sadia said Rimbunan had been emboldened by a Sibu High Court decision on Nov 1, 2007 granting it an injunction to stop local natives from stopping the company to pass through their NCR land. However, the local peoples are still in high spirits defending their land, according to the Sadia appeal.
“They are very determined, even willing to go against the injunction order and face whatever consequences that may come.” The local natives said “this is the only land given by Almighty God to their ancestors and to be passed to among themselves and only to be kept for their grandchildren and their future siblings.”
Sadia said it was concerned about the local peoples’ safety because of the court's decision and the situation up there, likewise the unforeseen and the unpredictable circumstances in the coming days to come.
“It did not elaborate on this, but this seems to be a warning there may be serious fights or troubles on the ground between the company workers and the native landowners unless the authorities intervene immediately and resolve the issues.
Using penghulu to scare locals. In another district of Simunjan of Samarahan Division Sarawak, the Sadia statement claimed that Rimbunan also started bulldozing and destroying native land with planted rubber and nurseries for oil palm “The company is said to use the local chief, the penghulu, to frighten the local natives.
There are increasing police reports being made by the local communities on the encroachment of NCR land by outsiders. Many villagers like Kampung Temiang, Kampung Keniong, Kampung Tebuan, Kampung Sungai Lingkau, Kampung Sengkalan, have already approached their lawyers to file legal suits against the company.
Besides pursuing legal action, the local communities have also hinted of their intention to set up blockades to stop the company from further destroying their crops, Sadia said. Sadia called on all concerned people, both within and outside the country, to direct their appeal on behalf of the affected local natives in their fight to protect their land rights against the company to Sarawak Chief Minister Abdul Taib Mahmud.
- Malaysiakini.com Tony ThienNov 10, 07 4:29pm
The Sarawak Dayak Iban Association (Sadia) has called for pressure to be exerted on the state government to stop global logging giant Rimbunan Hijau from “discriminating, robbing and depriving the indigenous people of the natives’ customary land rights.”
In a worldwide appeal sent via email, the local NGO concerned with native land rights alleged that Rimbunan has been “vandalising, discriminating and displacing local natives in the Balleh Basin in Kapit Division in central Sarawak.” “This giant company had been carrying out logging activities even on native people’s land for nearly half a decade,” it said, adding that this has not been noticed as the Balleh Basin is an isolated area.
It specifically sought the help of the federal government and all concerned parties and sympathisers around the world to pressure the state government to act on Rimbunan. Sadia said Rimbunan had been emboldened by a Sibu High Court decision on Nov 1, 2007 granting it an injunction to stop local natives from stopping the company to pass through their NCR land. However, the local peoples are still in high spirits defending their land, according to the Sadia appeal.
“They are very determined, even willing to go against the injunction order and face whatever consequences that may come.” The local natives said “this is the only land given by Almighty God to their ancestors and to be passed to among themselves and only to be kept for their grandchildren and their future siblings.”
Sadia said it was concerned about the local peoples’ safety because of the court's decision and the situation up there, likewise the unforeseen and the unpredictable circumstances in the coming days to come.
“It did not elaborate on this, but this seems to be a warning there may be serious fights or troubles on the ground between the company workers and the native landowners unless the authorities intervene immediately and resolve the issues.
Using penghulu to scare locals. In another district of Simunjan of Samarahan Division Sarawak, the Sadia statement claimed that Rimbunan also started bulldozing and destroying native land with planted rubber and nurseries for oil palm “The company is said to use the local chief, the penghulu, to frighten the local natives.
There are increasing police reports being made by the local communities on the encroachment of NCR land by outsiders. Many villagers like Kampung Temiang, Kampung Keniong, Kampung Tebuan, Kampung Sungai Lingkau, Kampung Sengkalan, have already approached their lawyers to file legal suits against the company.
Besides pursuing legal action, the local communities have also hinted of their intention to set up blockades to stop the company from further destroying their crops, Sadia said. Sadia called on all concerned people, both within and outside the country, to direct their appeal on behalf of the affected local natives in their fight to protect their land rights against the company to Sarawak Chief Minister Abdul Taib Mahmud.
Sunday, 11 November 2007
Forestry minister denies backing illegal loggers
Forestry minister denies backing illegal loggers
Alfian and Apriadi Gunawan, The Jakarta Post, Jakarta, 11th November 2007
Forestry minister M.S. Kaban has said he had nothing to do with the Medan District Court's recent ruling -- in which businessman Adelin Lis was acquitted of all charges -- and blamed the prosecutors for indicting the logging boss with weak charges that ended in his acquittal.
Addressing a radio talk show titled You destroy the forest, I set you free, Kaban, who was in Medan, North Sumatra, said over the telephone he did not defend Adelin, but the forest concession issued by the forestry ministry.
"The company (Adelin's company) was legal, in the sense that it had permission to operate there," he said.
But, the minister said, the prosecutors should have learned from previous experiences where cases were initially perceived and built as illegal logging cases but later found to be only administrative violations.
"There were 23 cases (identified as illegal logging) in Papua. But, all of the alleged perpetrators were eventually acquitted by the court there on the grounds they had only committed administrative violations," Kaban said.
"So, why are (the prosecutors) still using the same article (against Adelin)?" asked Kaban, adding two executives from Adelin's company had also been acquitted from all illegal logging charges.
But, Kaban said, those perpetrators could be charged with violating Law No. 41/1999 on Forestry if there were indications of environmental destruction within their concession areas.
"It is the duty of the (legal) apparatus to prove that," the minister said.
In this regard, he said, experts at the forestry ministry could assist the police and prosecutors in determining whether the forest had been destroyed or not.
However, Kaban said his ministry had never been consulted in such investigations.
A letter sent to Adelin's lawyer, according to Kaban, was just a regular letter, but it had been politicized.
"I sent a lot of other letters to other lawyers in response to their questions. Why weren't they questioned also?"
Chairman of the Indonesian Forest Conservation Cooperation Secretariat, Indro Cahyono, however, believes Kaban's letter was a kind of intervention.
He said if the minister wanted to provide information on the case, he could have simply appeared and testified as a witness in court.
"By doing so (writing the letter), it is likely he was intervening with court proceedings. That is a violation of the law and he can be prosecuted," Indro said.
Indro said Adelin likely had strong support from local legislators and executives.
"There is a strong indication ... his impunity indicates he also has strong support at the national level."
He added Adelin's case was only one small example of how illegal loggers could be so powerful.
"Illegal logging has become a corporate crime, infecting those with power in politics, the military and the police, as well as the judicial system," said Indro.
"As a result, they (illegal loggers) are never punished. Our investigation found that only 0.1 percent of all illegal logging suspects had been convicted by the court ... and all of them were eventually acquitted," he added.
Indra said illegal loggers allegedly financed candidates in the 2004 presidential election.
He declined to mention names, but said one of the logging companies that supported a candidate in 2004 is now being investigated.
Alfian and Apriadi Gunawan, The Jakarta Post, Jakarta, 11th November 2007
Forestry minister M.S. Kaban has said he had nothing to do with the Medan District Court's recent ruling -- in which businessman Adelin Lis was acquitted of all charges -- and blamed the prosecutors for indicting the logging boss with weak charges that ended in his acquittal.
Addressing a radio talk show titled You destroy the forest, I set you free, Kaban, who was in Medan, North Sumatra, said over the telephone he did not defend Adelin, but the forest concession issued by the forestry ministry.
"The company (Adelin's company) was legal, in the sense that it had permission to operate there," he said.
But, the minister said, the prosecutors should have learned from previous experiences where cases were initially perceived and built as illegal logging cases but later found to be only administrative violations.
"There were 23 cases (identified as illegal logging) in Papua. But, all of the alleged perpetrators were eventually acquitted by the court there on the grounds they had only committed administrative violations," Kaban said.
"So, why are (the prosecutors) still using the same article (against Adelin)?" asked Kaban, adding two executives from Adelin's company had also been acquitted from all illegal logging charges.
But, Kaban said, those perpetrators could be charged with violating Law No. 41/1999 on Forestry if there were indications of environmental destruction within their concession areas.
"It is the duty of the (legal) apparatus to prove that," the minister said.
In this regard, he said, experts at the forestry ministry could assist the police and prosecutors in determining whether the forest had been destroyed or not.
However, Kaban said his ministry had never been consulted in such investigations.
A letter sent to Adelin's lawyer, according to Kaban, was just a regular letter, but it had been politicized.
"I sent a lot of other letters to other lawyers in response to their questions. Why weren't they questioned also?"
Chairman of the Indonesian Forest Conservation Cooperation Secretariat, Indro Cahyono, however, believes Kaban's letter was a kind of intervention.
He said if the minister wanted to provide information on the case, he could have simply appeared and testified as a witness in court.
"By doing so (writing the letter), it is likely he was intervening with court proceedings. That is a violation of the law and he can be prosecuted," Indro said.
Indro said Adelin likely had strong support from local legislators and executives.
"There is a strong indication ... his impunity indicates he also has strong support at the national level."
He added Adelin's case was only one small example of how illegal loggers could be so powerful.
"Illegal logging has become a corporate crime, infecting those with power in politics, the military and the police, as well as the judicial system," said Indro.
"As a result, they (illegal loggers) are never punished. Our investigation found that only 0.1 percent of all illegal logging suspects had been convicted by the court ... and all of them were eventually acquitted," he added.
Indra said illegal loggers allegedly financed candidates in the 2004 presidential election.
He declined to mention names, but said one of the logging companies that supported a candidate in 2004 is now being investigated.
Saturday, 10 November 2007
Iban headman locked up for a night (re: palm oil)
Iban headman locked up for a night
Mlaaysiakini.com Tony ThienNov 9, 07 6:16pm
A Iban longhouse chief was arrested on Wednesday and locked up overnight in the Miri police station in connection with an alleged attack on Indonesian workers at an oil palm plantation in Niah, Sibuti in Sarawak.
Tuai Rumah Rajang ak Sengalang 43, from Kampung Wawasan was, however, released on police bail pending further police investigations into the complaints of causing hurt to the workers who had allegedly destroyed oil palm trees belonging to the Ibans.
Kuching-based NGO Sarawak Dayak Iban Association secretary-general Nicholas Mujah told Malaysiakini the arrest followed a conflict on the ground between the 46-door longhouse community with the Miri-based company Mega Jutamas which has been given a 60-year 2,145ha lease of plantation land.
The Iban is the largest indigenous group in Sarawak. Kampung Wawasan is located about 80km from Miri. “The local community claims that the lease overlaps with its native customary rights and have repeatedly objected against it, but Mega Jutamas and the Sarawak authorities failed to take the objections into account,” Mujah said.
Nov 28 court hearingRecently, the community reported that oil palm plantation workers of Indonesian origin had been found to destroy the community’s own smallholder oil palm gardens. The dispute is to be heard before a local court on Nov 28. The Ibans will be represented by Miri-based lawyer Harrison Ngau.
In support of their longhouse chief, the local community gathered at the Miri police station and were told he would be released soon.. There are reports of increasing conflicts on the ground in many lands that the Dayaks claim to be NCR land. One area where there are new blockages against logging is Sejugan-Linggah area in Julau and Sungai Julau river valley.
A 64,000 acre plantation lease has been issued to a company in which one of Chief Minister Abdul Taib Mahmud’s sisters has a major stake, and a Sibu-based company has been given contract to remove commercial timber from the area.
Mlaaysiakini.com Tony ThienNov 9, 07 6:16pm
A Iban longhouse chief was arrested on Wednesday and locked up overnight in the Miri police station in connection with an alleged attack on Indonesian workers at an oil palm plantation in Niah, Sibuti in Sarawak.
Tuai Rumah Rajang ak Sengalang 43, from Kampung Wawasan was, however, released on police bail pending further police investigations into the complaints of causing hurt to the workers who had allegedly destroyed oil palm trees belonging to the Ibans.
Kuching-based NGO Sarawak Dayak Iban Association secretary-general Nicholas Mujah told Malaysiakini the arrest followed a conflict on the ground between the 46-door longhouse community with the Miri-based company Mega Jutamas which has been given a 60-year 2,145ha lease of plantation land.
The Iban is the largest indigenous group in Sarawak. Kampung Wawasan is located about 80km from Miri. “The local community claims that the lease overlaps with its native customary rights and have repeatedly objected against it, but Mega Jutamas and the Sarawak authorities failed to take the objections into account,” Mujah said.
Nov 28 court hearingRecently, the community reported that oil palm plantation workers of Indonesian origin had been found to destroy the community’s own smallholder oil palm gardens. The dispute is to be heard before a local court on Nov 28. The Ibans will be represented by Miri-based lawyer Harrison Ngau.
In support of their longhouse chief, the local community gathered at the Miri police station and were told he would be released soon.. There are reports of increasing conflicts on the ground in many lands that the Dayaks claim to be NCR land. One area where there are new blockages against logging is Sejugan-Linggah area in Julau and Sungai Julau river valley.
A 64,000 acre plantation lease has been issued to a company in which one of Chief Minister Abdul Taib Mahmud’s sisters has a major stake, and a Sibu-based company has been given contract to remove commercial timber from the area.
Friday, 9 November 2007
Need for cheap palm oil drives deforestation
Need for cheap palm oil drives deforestation
By Paul Eccleston
The Telegraph (UK) November 11, 2007
Big international companies are fuelling the wholesale destruction of critically important rainforests and peatlands in Indonesia in their search for cheap palm oil, a hard-hitting report claims.
Vast swathes of pristine forest are disappearing in a slash-and-burn policy creating palm oil plantations to feed the demand of multi-nationals who accept no responsibility for the resulting degradation, according to Greenpeace.
It says unless steps are taken to halt the destruction, emissions from the plundered areas may trigger a 'climate bomb'.
Greenpeace investigations centred on the tiny Indonesian province of Riau on the island of Sumatra which contains 25 per cent of Indonesia's palm oil plantations. Its peat swamps and forests are among the world's most concentrated carbon stores.
They contain an estimated 14.6bn tonnes of carbon and their destruction would release the equivalent of total global greenhouse gas emissions for a year.Greenpeace claims the burning of Indonesia's peatlands and forests releases 1.8bn tonnes of greenhouse gases annually - equal to four per cent of the global total - even though it occupies 0.1 per cent of the land on Earth.
The report alleges international companies including Unilever, Nestle and Procter and Gamble - who produce global brands such as Flora margarine, Kit-Kat, and Pringles - are buying palm oil which encourages producers responsible for the large scale and illegal clearance of land in flagrant violation of Indonesian Presidential decree and forestry regulations.
Greenpeace holds the companies responsible for the expansion of the palm oil industry at the expense of Indonesia's peatlands.It accuses them of using the Roundtable on Sustainable Palm Oil (RSPO) which was set up by companies and producers to regulate the industry, as a cover for the deforestation that was taking place.
"This investigation shows that a handful of international corporations are ultimately responsible for the slashing and burning of Indonesia's peatland forests for food, fuel and laundry detergent.
Some of the best known brands in the world are literally cooking the climate," said Emmy Hafild, Executive Director of Greenpeace Southeast Asia.
Launching the report, Greenpeace UK's John Sauven said: "These are extraordinarily important areas for the storing of carbon and if they go up in smoke we can say goodbye to the climate."He criticised RSPO for being a "get-out- of-jail-free card", allowing the companies in it to avoid cleaning up the industry.Pat Venditti, head of Forest Campaign, said:
" Every time you spread Flora or take a bite out of a Kit-Kat you are also taking a bit out of the forest and the climate.He added: "Trashing rainforests to grow palm oil for biofuels is nothing short of climate vandalism.
"Without safeguards to stop palm oil making its way into our fuel tanks, our governments are driving rainforest destruction and increasing carbon emissions in the name of saving the climate.
"The report said Indonesia is a critical example of why CO2 emissions from deforestation and land-use change needs to be dealt with at international level, by governments and corporations.Indonesia holds the global record for greenhouse gas emissions through deforestation, putting it third behind the USA and China in terms of total man-made GHG emissions.
During the last 50 years, over 74 million hectares of Indonesia's forests have been destroyed - logged, burned, degraded, pulped -and its products shipped round the planet.
Because it is a developing country Indonesia is not a signatory to the Kyoto climate treaty and is not required to set a target to reduce its emissions. And because there are currently no incentives to prevent rainforest destruction, the expansion of palm oil into carbon-rich landscapes such as peatlands and rainforests is expanding for short-term economic gains which made no ecological sense.
All the companies named in the report denied Greenpeace's allegations. Nestlé said it had been committed to sourcing palm oil in an environmentally and socially responsible way for many years.
"The Greenpeace report exaggerates Nestlé's role, as the Company uses a negligible proportion of world production in a variety of products, including KitKat," the company said in a statement.
"Nestlé does not use crude palm oil but rather buys products derived from palm oil from reputable manufacturers. About 95 per cent of this palm oil and palm kernel oil comes from suppliers who are members of the RSPO and who therefore have a declared a commitment to sustainable sourcing.
"Procter and Gamble said it too was committed to sustainable palm oil. " We share our sustainability guidelines with our suppliers. We encourage our suppliers to follow sustainable practices and we support various initiatives for the sustainable production and use of palm products, such as the RSPO through our joint venture partner in Malaysia," it said.
The report calls for a halt to tropical deforestation and an end to peatland fires and conversion, as well as rehabilitation of degraded areas and building a funding mechanism into the post-Kyoto agreement to prevent forest loss.
By Paul Eccleston
The Telegraph (UK) November 11, 2007
Big international companies are fuelling the wholesale destruction of critically important rainforests and peatlands in Indonesia in their search for cheap palm oil, a hard-hitting report claims.
Vast swathes of pristine forest are disappearing in a slash-and-burn policy creating palm oil plantations to feed the demand of multi-nationals who accept no responsibility for the resulting degradation, according to Greenpeace.
It says unless steps are taken to halt the destruction, emissions from the plundered areas may trigger a 'climate bomb'.
Greenpeace investigations centred on the tiny Indonesian province of Riau on the island of Sumatra which contains 25 per cent of Indonesia's palm oil plantations. Its peat swamps and forests are among the world's most concentrated carbon stores.
They contain an estimated 14.6bn tonnes of carbon and their destruction would release the equivalent of total global greenhouse gas emissions for a year.Greenpeace claims the burning of Indonesia's peatlands and forests releases 1.8bn tonnes of greenhouse gases annually - equal to four per cent of the global total - even though it occupies 0.1 per cent of the land on Earth.
The report alleges international companies including Unilever, Nestle and Procter and Gamble - who produce global brands such as Flora margarine, Kit-Kat, and Pringles - are buying palm oil which encourages producers responsible for the large scale and illegal clearance of land in flagrant violation of Indonesian Presidential decree and forestry regulations.
Greenpeace holds the companies responsible for the expansion of the palm oil industry at the expense of Indonesia's peatlands.It accuses them of using the Roundtable on Sustainable Palm Oil (RSPO) which was set up by companies and producers to regulate the industry, as a cover for the deforestation that was taking place.
"This investigation shows that a handful of international corporations are ultimately responsible for the slashing and burning of Indonesia's peatland forests for food, fuel and laundry detergent.
Some of the best known brands in the world are literally cooking the climate," said Emmy Hafild, Executive Director of Greenpeace Southeast Asia.
Launching the report, Greenpeace UK's John Sauven said: "These are extraordinarily important areas for the storing of carbon and if they go up in smoke we can say goodbye to the climate."He criticised RSPO for being a "get-out- of-jail-free card", allowing the companies in it to avoid cleaning up the industry.Pat Venditti, head of Forest Campaign, said:
" Every time you spread Flora or take a bite out of a Kit-Kat you are also taking a bit out of the forest and the climate.He added: "Trashing rainforests to grow palm oil for biofuels is nothing short of climate vandalism.
"Without safeguards to stop palm oil making its way into our fuel tanks, our governments are driving rainforest destruction and increasing carbon emissions in the name of saving the climate.
"The report said Indonesia is a critical example of why CO2 emissions from deforestation and land-use change needs to be dealt with at international level, by governments and corporations.Indonesia holds the global record for greenhouse gas emissions through deforestation, putting it third behind the USA and China in terms of total man-made GHG emissions.
During the last 50 years, over 74 million hectares of Indonesia's forests have been destroyed - logged, burned, degraded, pulped -and its products shipped round the planet.
Because it is a developing country Indonesia is not a signatory to the Kyoto climate treaty and is not required to set a target to reduce its emissions. And because there are currently no incentives to prevent rainforest destruction, the expansion of palm oil into carbon-rich landscapes such as peatlands and rainforests is expanding for short-term economic gains which made no ecological sense.
All the companies named in the report denied Greenpeace's allegations. Nestlé said it had been committed to sourcing palm oil in an environmentally and socially responsible way for many years.
"The Greenpeace report exaggerates Nestlé's role, as the Company uses a negligible proportion of world production in a variety of products, including KitKat," the company said in a statement.
"Nestlé does not use crude palm oil but rather buys products derived from palm oil from reputable manufacturers. About 95 per cent of this palm oil and palm kernel oil comes from suppliers who are members of the RSPO and who therefore have a declared a commitment to sustainable sourcing.
"Procter and Gamble said it too was committed to sustainable palm oil. " We share our sustainability guidelines with our suppliers. We encourage our suppliers to follow sustainable practices and we support various initiatives for the sustainable production and use of palm products, such as the RSPO through our joint venture partner in Malaysia," it said.
The report calls for a halt to tropical deforestation and an end to peatland fires and conversion, as well as rehabilitation of degraded areas and building a funding mechanism into the post-Kyoto agreement to prevent forest loss.
Thursday, 8 November 2007
Villagers Call For Halt To Palm Oil Project
Villagers Call For Halt To Palm Oil Project
By Alexander Rheeney in Port Moresby
Thursday: November 08, 2007
Disgruntled villagers have urged authorities to scrap plans to set up a 60,000 hectare oil palm estate on an island.
Woodlark Island in Papua New Guinea’s Milne Bay Province has a total land area of 85,000 hectares, driving fear into villagers that the project would trigger the extinction of the island’s flora and fauna as well as result in employees of the estate overrunning the local population, which is only 6,000.
Over 100 Woodlark Islanders and supporters gathered at the Milne Bay provincial government headquarters in Alotau and demanded that their land be returned and the project scrapped.
They gave a petition to Milne Bay deputy governor and Samarai-Murua MP Gordon Wesley to pass on to the PNG national government.
“We staged a protest and gave the petition to the deputy governor Gordon Wesley. He promised he’ll raise it in Parliament as he did in the last Parliament. We’ll wait for the member (Wesley) to table the petition and for him to come back to us,” said Dr. Simon Piywes, a doctor and a Woodlark Islander who has taken up the fight on behalf of his people.
The proposed oil palm estate is part of a project by Malaysian firm Vitroplant Ltd. and includes the building of a US$300 million (K886.26 million) 100,000-tonne capacity oil palm methyl ester plant in Alotau.
The plant, which will get palm oil beans from Woodlark as well as Abau district in the neighboring Central Province, will convert palm oil into bio-diesel for sale in both the PNG and international markets.
But the sticky issue is at least two former lands ministers in previous PNG governments had promised the islanders that their land – which became “alienated land’’ in the 1880s and was taken over by colonial powers at that time – would be returned to the customary owners.
Dr. Piywes said former ministers Boyamo Sali (1978-1980) and Charlie Benjamin (2003) declared the land would be returned to his people.
Despite the assurances, the provincial government of then Milne Bay Governor Tim Neville announced plans early this year to set up an estate on the island.
Speaking during the project’s ground-breaking ceremony in March, Neville said foreign exchange earnings and spin-off benefits from the project would be enormous over a five-year period.
Speaking to Pacific Magazine recently, Wesley said he has been in the dark on the issue after tabling a petition in Parliament on the eve of the 2007 general elections.
“The national government gave the lease (but) I petitioned the government and (despite that) they went ahead and gave the lease. Previous governments made promises to give the land back but it hasn’t happened, previous governments also gave an undertaking to give 80 percent (of the land) back to the people,” he added.
Attempts to contact the Alotau office of Vitroplant Ltd. were unsuccessful but it is understood the project, which was suppose to start last month, is behind schedule.
By Alexander Rheeney in Port Moresby
Thursday: November 08, 2007
Disgruntled villagers have urged authorities to scrap plans to set up a 60,000 hectare oil palm estate on an island.
Woodlark Island in Papua New Guinea’s Milne Bay Province has a total land area of 85,000 hectares, driving fear into villagers that the project would trigger the extinction of the island’s flora and fauna as well as result in employees of the estate overrunning the local population, which is only 6,000.
Over 100 Woodlark Islanders and supporters gathered at the Milne Bay provincial government headquarters in Alotau and demanded that their land be returned and the project scrapped.
They gave a petition to Milne Bay deputy governor and Samarai-Murua MP Gordon Wesley to pass on to the PNG national government.
“We staged a protest and gave the petition to the deputy governor Gordon Wesley. He promised he’ll raise it in Parliament as he did in the last Parliament. We’ll wait for the member (Wesley) to table the petition and for him to come back to us,” said Dr. Simon Piywes, a doctor and a Woodlark Islander who has taken up the fight on behalf of his people.
The proposed oil palm estate is part of a project by Malaysian firm Vitroplant Ltd. and includes the building of a US$300 million (K886.26 million) 100,000-tonne capacity oil palm methyl ester plant in Alotau.
The plant, which will get palm oil beans from Woodlark as well as Abau district in the neighboring Central Province, will convert palm oil into bio-diesel for sale in both the PNG and international markets.
But the sticky issue is at least two former lands ministers in previous PNG governments had promised the islanders that their land – which became “alienated land’’ in the 1880s and was taken over by colonial powers at that time – would be returned to the customary owners.
Dr. Piywes said former ministers Boyamo Sali (1978-1980) and Charlie Benjamin (2003) declared the land would be returned to his people.
Despite the assurances, the provincial government of then Milne Bay Governor Tim Neville announced plans early this year to set up an estate on the island.
Speaking during the project’s ground-breaking ceremony in March, Neville said foreign exchange earnings and spin-off benefits from the project would be enormous over a five-year period.
Speaking to Pacific Magazine recently, Wesley said he has been in the dark on the issue after tabling a petition in Parliament on the eve of the 2007 general elections.
“The national government gave the lease (but) I petitioned the government and (despite that) they went ahead and gave the lease. Previous governments made promises to give the land back but it hasn’t happened, previous governments also gave an undertaking to give 80 percent (of the land) back to the people,” he added.
Attempts to contact the Alotau office of Vitroplant Ltd. were unsuccessful but it is understood the project, which was suppose to start last month, is behind schedule.
Booming palm oil demand fuelling climate crisis
Booming palm oil demand fuelling climate crisis
Thu Nov 8, 2007 10:05am GMT
By Jeremy Lovell LONDON (Reuters) - Booming world demand for palm oil from Indonesia for food and biofuels is posing multiple threats to the environment as forests are being cleared, peat wetlands exposed and carbon released, a report said on...";
LONDON (Reuters) - Booming world demand for palm oil from Indonesia for food and biofuels is posing multiple threats to the environment as forests are being cleared, peat wetlands exposed and carbon released, a report said on Thursday.
The massive forest clearance for palm plantations underway in Indonesia removes trees that capture carbon dioxide, and the draining and burning of the peat wetlands leads to massive release of the gas, said environment group Greenpeace in its report "Cooking the Climate."
On top of that, the booming demand for biofuels that include vegetable oils to replace mineral oil is in many cases actually generating more climate warming gases, the report said.
"Tropical deforestation accounts for about a fifth of all global emissions," said the report. "Indonesia now has the fastest deforestation rate of any major forested country, losing two percent of its remaining forest every year."
"Indonesia also holds the global record for greenhouse gas (GHG) emissions from deforestation, which puts it third behind the U.S. and China in terms of total man-made GHG emissions," it added.
It said that on top of Indonesia's existing six million hectares of oil palms, the government had plans for another four million by 2015 just for biofuel production. Provincial governments had plans for up to 20 million hectares more.
The report is aimed directly at a meeting next month of UN environment ministers on the island of Bali which activists hope will agree on urgent talks to find a successor to the Kyoto Protocol on cutting carbon emissions which expires in 2012.
DEGREDATION AND BURNING
It said every year 1.8 billion metric tons of carbon dioxide -- the main climate change culprit -- are released by the degradation and burning of Indonesia's peatlands.
Once the peatlands are drained, they start to release CO2 as the soils oxidize. Burning to clear the land for plantations adds to the emissions.
The report said peatland emissions of CO2 are expected to rise by at least 50 percent by 2030 if the anticipated clearances for expansion of palm oil plantations goes ahead.
It cited a report by environmental NGO Wetlands International that said production of one metric ton of palm oil from peatlands released up to 30 metric tons of CO2 from peat decomposition alone without accounting for carbon released during the production cycle.
Greenpeace also noted that the European Union's push to boost the use of biofuels as part of its plans to cut carbon emissions by 20 percent by 2020 was a decisive factor in booming palm oil demand.
"This use alone equates to the harvest from 400,000 hectares or 4.5 percent of global palm oil production," it said.
"Meanwhile, palm oil use in food continues to increase, partly as food manufacturers shift to using palm oil instead of hydrogenated fats and partly as it replaces other edible oils being used for biodiesel," the report added.
Greenpeace called for a ban on peatland forest clearance, urged the palm oil trade not to buy and sell produce from degraded peatland areas and said governments should exclude palm oil from biofuel and biomass targets.
Thu Nov 8, 2007 10:05am GMT
By Jeremy Lovell LONDON (Reuters) - Booming world demand for palm oil from Indonesia for food and biofuels is posing multiple threats to the environment as forests are being cleared, peat wetlands exposed and carbon released, a report said on...";
LONDON (Reuters) - Booming world demand for palm oil from Indonesia for food and biofuels is posing multiple threats to the environment as forests are being cleared, peat wetlands exposed and carbon released, a report said on Thursday.
The massive forest clearance for palm plantations underway in Indonesia removes trees that capture carbon dioxide, and the draining and burning of the peat wetlands leads to massive release of the gas, said environment group Greenpeace in its report "Cooking the Climate."
On top of that, the booming demand for biofuels that include vegetable oils to replace mineral oil is in many cases actually generating more climate warming gases, the report said.
"Tropical deforestation accounts for about a fifth of all global emissions," said the report. "Indonesia now has the fastest deforestation rate of any major forested country, losing two percent of its remaining forest every year."
"Indonesia also holds the global record for greenhouse gas (GHG) emissions from deforestation, which puts it third behind the U.S. and China in terms of total man-made GHG emissions," it added.
It said that on top of Indonesia's existing six million hectares of oil palms, the government had plans for another four million by 2015 just for biofuel production. Provincial governments had plans for up to 20 million hectares more.
The report is aimed directly at a meeting next month of UN environment ministers on the island of Bali which activists hope will agree on urgent talks to find a successor to the Kyoto Protocol on cutting carbon emissions which expires in 2012.
DEGREDATION AND BURNING
It said every year 1.8 billion metric tons of carbon dioxide -- the main climate change culprit -- are released by the degradation and burning of Indonesia's peatlands.
Once the peatlands are drained, they start to release CO2 as the soils oxidize. Burning to clear the land for plantations adds to the emissions.
The report said peatland emissions of CO2 are expected to rise by at least 50 percent by 2030 if the anticipated clearances for expansion of palm oil plantations goes ahead.
It cited a report by environmental NGO Wetlands International that said production of one metric ton of palm oil from peatlands released up to 30 metric tons of CO2 from peat decomposition alone without accounting for carbon released during the production cycle.
Greenpeace also noted that the European Union's push to boost the use of biofuels as part of its plans to cut carbon emissions by 20 percent by 2020 was a decisive factor in booming palm oil demand.
"This use alone equates to the harvest from 400,000 hectares or 4.5 percent of global palm oil production," it said.
"Meanwhile, palm oil use in food continues to increase, partly as food manufacturers shift to using palm oil instead of hydrogenated fats and partly as it replaces other edible oils being used for biodiesel," the report added.
Greenpeace called for a ban on peatland forest clearance, urged the palm oil trade not to buy and sell produce from degraded peatland areas and said governments should exclude palm oil from biofuel and biomass targets.
Japanese timber ships still ‘stranded’ in Sarawak ports
Japanese timber ships still ‘stranded’ in S’wak ports -Malaysiakini
Tony Thien Nov 3, 07 3:11pm
Numerous Japanese-registered ships are still being made to wait at various ports in Sarawak for their ‘entry permits’ to load timber products destined for Japan.
Sources in the shipping industry attribute this long-standing problem to Achi Jaya Shipping, which holds exclusive rights as the agent for all vessels dealing in timber exports. Malaysiakini understands that only Japanese-registered ship are being affected because their owners reportedly refused to pay between US$2 and US$3 per metric tonne as ‘rebates’ to an offshore account linked to the agent.
About a dozen such ships are presently made to wait at various ports, including Kuala Baram, Bintulu and Tanjung Manis. Their owners are said to be haggling with agents over the matter. This ships belong to a Japanese cartel which has been appointed by the Japanese timber buying houses to import timber from Sarawak. Due to Japanese probe? The stand-off is likely a result from an international scandal involving RM32 million in kickbacks paid by Japanese shipping companies for timber from the resource-rich state.
According to a Japan Times report, the multi-million ringgit ‘commission’ - made over a period of seven years - was paid to a Hong Kong company said to be linked to Sarawak Chief Minister Abdul Taib Mahmud and his family.
This was uncovered by Japanese tax authorities who deemed the payments made by the shipping companies as ‘illegitimate expenses’ since the Hong Kong agency, believed to be a paper company, did little ‘substantive work’ to justify the payments. According to tax authorities, the shipping companies had tried to disguise the payments as ‘business expenses’ and were thus not taxed.
The companies were then fined heavily for the offense. A shipping industry source said cartel members have since refused to pay the rebates to Achi Jaya - which incidently is linked to Taib’s brother, Onn Mahmud - and thus cannot obtain their ‘entry permits’. “It is definitely a retaliatory move (against the Japanese). There is no indication when the issues are going to be resolved,” said the source. Industry affected Local shipping firms are also said to be unhappy with Achi Jaya’s monopoly over timber carriers in Sarawakian ports.
“We had a request from a Miri-based timber conglomerate to arrange for ships to carry their finished timber products contracted to Japanese buyers,” said a senior official from a Bintulu-based shipping company. “It is very unfortunate, that only they control the ‘entry permits’,” said the official who revealed that some shipping firms are trying to become Achi Jaya’s sub-agents.
The senior official added that the present stand-off between Japanese ships and Achi Jaya has taken a toll on Sarawak's timber industry. Industry sources indicate that timber prices have dipped recently due to over supply and reduced Japanese demand. The stand-off at the ports are also making matter worse. Sarawak plywood mills have allegedly also slashed production, some as much as 50 percent.
Tony Thien Nov 3, 07 3:11pm
Numerous Japanese-registered ships are still being made to wait at various ports in Sarawak for their ‘entry permits’ to load timber products destined for Japan.
Sources in the shipping industry attribute this long-standing problem to Achi Jaya Shipping, which holds exclusive rights as the agent for all vessels dealing in timber exports. Malaysiakini understands that only Japanese-registered ship are being affected because their owners reportedly refused to pay between US$2 and US$3 per metric tonne as ‘rebates’ to an offshore account linked to the agent.
About a dozen such ships are presently made to wait at various ports, including Kuala Baram, Bintulu and Tanjung Manis. Their owners are said to be haggling with agents over the matter. This ships belong to a Japanese cartel which has been appointed by the Japanese timber buying houses to import timber from Sarawak. Due to Japanese probe? The stand-off is likely a result from an international scandal involving RM32 million in kickbacks paid by Japanese shipping companies for timber from the resource-rich state.
According to a Japan Times report, the multi-million ringgit ‘commission’ - made over a period of seven years - was paid to a Hong Kong company said to be linked to Sarawak Chief Minister Abdul Taib Mahmud and his family.
This was uncovered by Japanese tax authorities who deemed the payments made by the shipping companies as ‘illegitimate expenses’ since the Hong Kong agency, believed to be a paper company, did little ‘substantive work’ to justify the payments. According to tax authorities, the shipping companies had tried to disguise the payments as ‘business expenses’ and were thus not taxed.
The companies were then fined heavily for the offense. A shipping industry source said cartel members have since refused to pay the rebates to Achi Jaya - which incidently is linked to Taib’s brother, Onn Mahmud - and thus cannot obtain their ‘entry permits’. “It is definitely a retaliatory move (against the Japanese). There is no indication when the issues are going to be resolved,” said the source. Industry affected Local shipping firms are also said to be unhappy with Achi Jaya’s monopoly over timber carriers in Sarawakian ports.
“We had a request from a Miri-based timber conglomerate to arrange for ships to carry their finished timber products contracted to Japanese buyers,” said a senior official from a Bintulu-based shipping company. “It is very unfortunate, that only they control the ‘entry permits’,” said the official who revealed that some shipping firms are trying to become Achi Jaya’s sub-agents.
The senior official added that the present stand-off between Japanese ships and Achi Jaya has taken a toll on Sarawak's timber industry. Industry sources indicate that timber prices have dipped recently due to over supply and reduced Japanese demand. The stand-off at the ports are also making matter worse. Sarawak plywood mills have allegedly also slashed production, some as much as 50 percent.
Big food companies accused of risking climate catastrophe
Big food companies accused of risking climate catastrophe
The rush to palm oil and biofuels threatens to release 14 billion tonnes of carbon from Indonesia's peatlands
John Vidal, environment editor
The Guardian
Thursday November 8 2007
Many of the largest food and fuel companies risk climate change disaster by driving the demand for palm oil and biofuels grown on the world's greatest peat deposits, a report will say today.
Unilever, Cargill, Nestlé, Kraft, Procter & Gamble, as well as all leading UK supermarkets, are large users of Indonesian palm oil, much of which comes from the province of Riau in Sumatra, where an estimated 14.6bn tonnes of carbon - equivalent to nearly one year's entire global carbon emissions - is locked up in the world's deepest peat beds.
More than 1.4m hectares of virgin forest in Riau has already been converted to plantations to provide cooking oil, but a further 3m hectares is planned to be turned to biofuels, says the Greenpeace report
Carbon is released when virgin forests are felled and the swampy peatlands are drained to provide plantation land. The peat decomposes and is broken down by bacteria and the land becomes vulnerable to fires which often smoulder and release greenhouse gases for decades.
If the peatlands continue to be destroyed to make way for palm oil plantations, this will significantly add to global climate change emissions, the report says. Nearly half of Indonesia's 22m hectares of peatland has already been cleared and drained, resulting in it having the third-highest man-made carbon emissions, after the US and China. Destruction of its peatlands already accounts for nearly 4% of all global greenhouse gas emissions.
The peat soils of Riau, which are eight metres deep in areas, have the highest concentration of carbon stored per hectare anywhere in the world. "This huge store is at risk from drainage, clearance and fire," the report says. "The area of peatland is relatively small, but destroying it would be the equivalent of releasing five years' emissions from all the world's coal and gas power stations."
Riau's plantations already provide 40% of all Indonesia's palm oil, and half the province is expected to be covered in plantations within a few years.
The Indonesian plantations, which Greenpeace says provide oil used in global brands like Flora margarine, Pringles, KitKat, Cadbury's Flake and Philadelphia cream cheese, feed a rising global demand for cheap vegetable oil used in producing food, cosmetics and, increasingly, vehicle fuel. "Demand [for palm oil as a cooking oil] is predicted to double within 25 years and triple by 2050. Further expansion in Indonesia is expected to be on the wet peatlands, because most of the dry forests have already been converted", the report says.
The report accepts that retail companies and food manufacturers have virtually no way of tracing where the palm oil they use comes from. Oils from different regions, and even countries, are blended, stored and shipped in shared vessels. "Due to the logistics of this commodity market, real traceability is simply not possible at this time," a major food retailer, who asked not to be named, told Greenpeace.
But the environment group said yesterday that the companies could not be exonerated from blame. "Faced with impending climate catastrophe, the palm oil industry is grabbing available cheap land like Indonesia's carbon-rich peatlands. The big food giants are supporting the rapid growth of CO2 emissions that may render halting dangerous climate change impractical, if not impossible," said John Sauven, director of Greenpeace UK.
Meeting European demand for palm oil alone would require nearly 60,000 square miles of plantations, says the report. Europe expects biofuels to make up 10% of all its transport fuel by 2010, China 20% by 2012, India 20% by 2012, and the US 10% by 2020.
"Substituting even 10% of the world demand for diesel fuel for road transport would require more than 75% of the world's total current demand for soya, palm oil and rapeseed oil," said Greenpeace.
As well as Indonesian provinces such as Riau, Asian entrepreneurs are already looking to Papua on the Indonesian island of New Guinea, one of the last great expanses of rainforest in south-east Asia. "There is already evidence of large scale land grabbing in the name of biofuel, with one company alone laying claim to nearly 3m hectares of forest," the Greenpeace report says.
"Feeding the growing demand is likely to take place through expanding palm oil productions in Indonesia. It will feed off forest destruction and fuel not only cars, but climate change."
The food companies deny direct involvement in the creation of palm plantations, but accept that there is a problem sourcing sustainable oil. In a letter to Greenpeace, Nestlé, which uses 170,000 tonnes of palm oil from Malaysia and Indonesia, said it sourced its supplies from "responsible" suppliers. "At present there is no palm oil that is certified as sustainable. As soon as the principles are adopted, Nestlé will do its part in promoting their adoption."
Unilever, which uses 1.2 m tonnes of palm oil a year, said it had invested a lot of time and money in ensuring that its palm oil supplies were grown in an environmentally responsible way: "Our work ... has recently been made harder by the rush into biofuels. We have lobbied hard with governments to alert them to the unintended consequences of this policy on global food supply and deforestation."
Cargill, which imports 535,000 tonnes of palm oil a year to Britain, said: "We already make impact assessments for new developments and do not develop in areas of high conservation value."
Indonesia will next month host the UN climate change conference in Bali, where countries will begin to negotiate a worldwide deal to combat global warming. At the moment, developing countries such as China and Indonesia are not required to limit emissions.
In numbers
11m The number of hectares of Indonesian peatlands already cleared and drained.
4% Current share of global greenhouse gas emissions from peatland destruction.
25 Years from now the demand for palm oil for cooking will be double today's rate.
The rush to palm oil and biofuels threatens to release 14 billion tonnes of carbon from Indonesia's peatlands
John Vidal, environment editor
The Guardian
Thursday November 8 2007
Many of the largest food and fuel companies risk climate change disaster by driving the demand for palm oil and biofuels grown on the world's greatest peat deposits, a report will say today.
Unilever, Cargill, Nestlé, Kraft, Procter & Gamble, as well as all leading UK supermarkets, are large users of Indonesian palm oil, much of which comes from the province of Riau in Sumatra, where an estimated 14.6bn tonnes of carbon - equivalent to nearly one year's entire global carbon emissions - is locked up in the world's deepest peat beds.
More than 1.4m hectares of virgin forest in Riau has already been converted to plantations to provide cooking oil, but a further 3m hectares is planned to be turned to biofuels, says the Greenpeace report
Carbon is released when virgin forests are felled and the swampy peatlands are drained to provide plantation land. The peat decomposes and is broken down by bacteria and the land becomes vulnerable to fires which often smoulder and release greenhouse gases for decades.
If the peatlands continue to be destroyed to make way for palm oil plantations, this will significantly add to global climate change emissions, the report says. Nearly half of Indonesia's 22m hectares of peatland has already been cleared and drained, resulting in it having the third-highest man-made carbon emissions, after the US and China. Destruction of its peatlands already accounts for nearly 4% of all global greenhouse gas emissions.
The peat soils of Riau, which are eight metres deep in areas, have the highest concentration of carbon stored per hectare anywhere in the world. "This huge store is at risk from drainage, clearance and fire," the report says. "The area of peatland is relatively small, but destroying it would be the equivalent of releasing five years' emissions from all the world's coal and gas power stations."
Riau's plantations already provide 40% of all Indonesia's palm oil, and half the province is expected to be covered in plantations within a few years.
The Indonesian plantations, which Greenpeace says provide oil used in global brands like Flora margarine, Pringles, KitKat, Cadbury's Flake and Philadelphia cream cheese, feed a rising global demand for cheap vegetable oil used in producing food, cosmetics and, increasingly, vehicle fuel. "Demand [for palm oil as a cooking oil] is predicted to double within 25 years and triple by 2050. Further expansion in Indonesia is expected to be on the wet peatlands, because most of the dry forests have already been converted", the report says.
The report accepts that retail companies and food manufacturers have virtually no way of tracing where the palm oil they use comes from. Oils from different regions, and even countries, are blended, stored and shipped in shared vessels. "Due to the logistics of this commodity market, real traceability is simply not possible at this time," a major food retailer, who asked not to be named, told Greenpeace.
But the environment group said yesterday that the companies could not be exonerated from blame. "Faced with impending climate catastrophe, the palm oil industry is grabbing available cheap land like Indonesia's carbon-rich peatlands. The big food giants are supporting the rapid growth of CO2 emissions that may render halting dangerous climate change impractical, if not impossible," said John Sauven, director of Greenpeace UK.
Meeting European demand for palm oil alone would require nearly 60,000 square miles of plantations, says the report. Europe expects biofuels to make up 10% of all its transport fuel by 2010, China 20% by 2012, India 20% by 2012, and the US 10% by 2020.
"Substituting even 10% of the world demand for diesel fuel for road transport would require more than 75% of the world's total current demand for soya, palm oil and rapeseed oil," said Greenpeace.
As well as Indonesian provinces such as Riau, Asian entrepreneurs are already looking to Papua on the Indonesian island of New Guinea, one of the last great expanses of rainforest in south-east Asia. "There is already evidence of large scale land grabbing in the name of biofuel, with one company alone laying claim to nearly 3m hectares of forest," the Greenpeace report says.
"Feeding the growing demand is likely to take place through expanding palm oil productions in Indonesia. It will feed off forest destruction and fuel not only cars, but climate change."
The food companies deny direct involvement in the creation of palm plantations, but accept that there is a problem sourcing sustainable oil. In a letter to Greenpeace, Nestlé, which uses 170,000 tonnes of palm oil from Malaysia and Indonesia, said it sourced its supplies from "responsible" suppliers. "At present there is no palm oil that is certified as sustainable. As soon as the principles are adopted, Nestlé will do its part in promoting their adoption."
Unilever, which uses 1.2 m tonnes of palm oil a year, said it had invested a lot of time and money in ensuring that its palm oil supplies were grown in an environmentally responsible way: "Our work ... has recently been made harder by the rush into biofuels. We have lobbied hard with governments to alert them to the unintended consequences of this policy on global food supply and deforestation."
Cargill, which imports 535,000 tonnes of palm oil a year to Britain, said: "We already make impact assessments for new developments and do not develop in areas of high conservation value."
Indonesia will next month host the UN climate change conference in Bali, where countries will begin to negotiate a worldwide deal to combat global warming. At the moment, developing countries such as China and Indonesia are not required to limit emissions.
In numbers
11m The number of hectares of Indonesian peatlands already cleared and drained.
4% Current share of global greenhouse gas emissions from peatland destruction.
25 Years from now the demand for palm oil for cooking will be double today's rate.
Wednesday, 7 November 2007
Police in dark over logging boss' whereabouts
Police in dark on logging boss' whereabouts
Jakarta Post November 8.
MEDAN (JP):Police are still looking for logging boss Adelin Lis, whose whereabouts have been unknown since he was acquitted of corruption by a court here on Monday.
His acquittal has caused a furor among environment and legal activists across the nation, while the Medan Police want to question him in relation to a new set of charges.
National Police spokesman Insp. Gen. Sisno Adiwinoto said Wednesday the police were still pursuing Adelin and that he should be banned from leaving the country.
In Medan, North Sumatera Police chief Insp. Gen. Nurudin Usman said the police had no information on the whereabouts of Adelin.
However, he said he had ordered his men to search widely.
Moreover, the North Sumatra Police have formally placed Adelin on their most-wanted list, the DPO.
"As of Wednesday we have officially placed him on the DPO," he said.(Apriadi Gunawan) -->
Jakarta Post November 8.
MEDAN (JP):Police are still looking for logging boss Adelin Lis, whose whereabouts have been unknown since he was acquitted of corruption by a court here on Monday.
His acquittal has caused a furor among environment and legal activists across the nation, while the Medan Police want to question him in relation to a new set of charges.
National Police spokesman Insp. Gen. Sisno Adiwinoto said Wednesday the police were still pursuing Adelin and that he should be banned from leaving the country.
In Medan, North Sumatera Police chief Insp. Gen. Nurudin Usman said the police had no information on the whereabouts of Adelin.
However, he said he had ordered his men to search widely.
Moreover, the North Sumatra Police have formally placed Adelin on their most-wanted list, the DPO.
"As of Wednesday we have officially placed him on the DPO," he said.(Apriadi Gunawan) -->
RI now world's biggest palm oil producer
RI now world`s biggest palm oil producer : ministerDenpasar, Bali (ANTARA News)
Indonesia has become the biggest palm oil producer in the world with its output last year estimated to total 16 million tons, Agriculture Minister Anton Apriyantono said.Palm oil and its by-products were expected to contribute US$4.8 billion to the country`s foreign exchange earnings this year, he said when opening a conference on palm oil and its price outlook in 2008 here Wednesday.
"Opportunities to produce palm oil in the country are still wide open thanks to the availability of the needed resources and technology," he said. Global demand for palm oil had of late shown an upward trend following worldwide campaigns to develop alternative energy to reduce dependence on fossil fuel, he said.
"Therefore, we need to continue to develop oil palm plantations in areas where such plantations are agro-economically feasible," he said. Despite the good prospects of the palm oil business, development of oil palm plantations had came under fire for failing to observe environmental conservation principles, he said.
"Deforestation and loss of biodiversity are two aspects we cannot ignore in developing bio-fuel for export to Europe," he said.
Therefore, the principle of sustainable development which served as the basis for the development of palm oil must really be observed, he said.
To improve Indonesia`s image as a palm oil producer in the eyes of the world community, the government and palm oil society were holding workshops on promoting sustainable palm oil in a number of European countries such as the Netherlands and Britian, he said.(*)
Indonesia has become the biggest palm oil producer in the world with its output last year estimated to total 16 million tons, Agriculture Minister Anton Apriyantono said.Palm oil and its by-products were expected to contribute US$4.8 billion to the country`s foreign exchange earnings this year, he said when opening a conference on palm oil and its price outlook in 2008 here Wednesday.
"Opportunities to produce palm oil in the country are still wide open thanks to the availability of the needed resources and technology," he said. Global demand for palm oil had of late shown an upward trend following worldwide campaigns to develop alternative energy to reduce dependence on fossil fuel, he said.
"Therefore, we need to continue to develop oil palm plantations in areas where such plantations are agro-economically feasible," he said. Despite the good prospects of the palm oil business, development of oil palm plantations had came under fire for failing to observe environmental conservation principles, he said.
"Deforestation and loss of biodiversity are two aspects we cannot ignore in developing bio-fuel for export to Europe," he said.
Therefore, the principle of sustainable development which served as the basis for the development of palm oil must really be observed, he said.
To improve Indonesia`s image as a palm oil producer in the eyes of the world community, the government and palm oil society were holding workshops on promoting sustainable palm oil in a number of European countries such as the Netherlands and Britian, he said.(*)
Palm Oil campaign
HOW TO HELP SAVE ORANGUTANS
Please will YOU take part in
our postcard campaign and
help bring an end to the
slaughter of thousands
more orangutans?
This postcard campaign has
been very successful to date
in helping British food retailers
understand the
problems and help apply pressure
on the palm oil industry.
To date, food retailers like Sainsburys, Waitrose
and Asda has been both positive and helpful.But!
We could still do with more cards being sent.
Do you live in the UK and think you might be able to help?
The cards are in sets of four, all pre-addressed to household
name supermarkets.
If you can help, please let us know how many sets of cards you would like, along with your postal address - UK only please.
Send us an email sw@naturealert.org
Thank you for caring.
Please will YOU take part in
our postcard campaign and
help bring an end to the
slaughter of thousands
more orangutans?
This postcard campaign has
been very successful to date
in helping British food retailers
understand the
problems and help apply pressure
on the palm oil industry.
To date, food retailers like Sainsburys, Waitrose
and Asda has been both positive and helpful.But!
We could still do with more cards being sent.
Do you live in the UK and think you might be able to help?
The cards are in sets of four, all pre-addressed to household
name supermarkets.
If you can help, please let us know how many sets of cards you would like, along with your postal address - UK only please.
Send us an email sw@naturealert.org
Thank you for caring.
Attorney General's Office prepares to appeal logging boss' acquittal
This news story concerns a national scandal.
Please scroll on down this page to see the first article on this
subject and what you can do about it. Thank you.
The Jakarta Post Nov. 7.
Attorney General's Office prepares to appeal logging boss' acquittal
Apriadi Gunawan, The Jakarta Post, Jakarta, Medan
The Attorney General's Office is gearing up to file an appeal with the Supreme Court to reverse Monday's ruling by the Medan District Court that saw Adelin Lis freed from corruption and forest destruction charges.
The appeal against the alleged illegal logging boss' release must be submitted within 14 days of the initial court ruling.
"We're still waiting for a copy of the court's ruling before preparing and completing the supporting documents for the appeal," Office spokesman Thomson Siagian told reporters Tuesday.
"The documents will include a study of the court's decision and the prosecutors' legal basis for proving the charges are appropriate," he said.
Prosecutors had asked the Medan court to sentence Adelin, the finance director of PT Keang Nam Development Indonesia, to 10 years in prison and a Rp 1 billion (US$110,000) fine for corruption and forest destruction in Mandailing Natal regency, North Sumatra.
Thomson said although Adelin had been freed of all charges by the Medan Court, the Attorney General's Office would still keep an eye on his movements.
"The ban for Adelin to leave the country will remain in effect until there's an order to lift it and a final ruling is achieved," he said.
"In addition, the Attorney General's Office, in cooperation with related institutions, will watch his every move," Thomson added.
Adelin's lawyer, Sakti Hasibuan, said his client would not leave the country.
Meanwhile, the National Police expressed its support for the prosecutors' decision to file an appeal with the Supreme Court.
"The police will support the appeal. We hope the illegal logger who has caused forest destruction and initially faced 10 years in prison will not be acquitted on appeal," police spokesman Insp. Gen. Sisno Adiwinoto said as quoted by detik.com
He said the controversial ruling was not based on actual conditions, but was more about the judges' opinions.
"In order to support the appeal, the Office needs to do an in-depth field report on forest destruction in Mandailing Natal regency," Sisno said.
North Sumatra Police said although the Mandailing Natal regency illegal logger had been acquitted, the police were planning to arrest him again on money laundering charges.
Police officers had raided Adelin's house in search of evidence for the money laundering case.
The police said Adelin was suspected of laundering funds from illegal logging activities.
A police source said the arrest should have been conducted when Adelin was released from jail as the required documents were already complete. But Adelin's lawyer had asked the police to allow him to be free for a few days after spending two years in prison.
"We will arrest him for money laundering soon," said National Police chief detective, Comr. Gen. Bambang Hendarso Danuri as quoted by detik.com.
Adelin's lawyer, Sakti Hasibuan, said, however, there was no legal basis for the police to arrest him again.
"The court has cleared him of his corruption and illegal logging charges. So it's impossible to arrest him for that again," Sakti told The Jakarta Post. (ndr)
------------------------------------------------------------------
Illegal logging justice
Adelin Lis' acquittal of illegal logging charges in North Sumatra seemed to surprise no one but Adelin himself, who said after the verdict was announced: "It turns out there is still justice in the country."
Why was no one really surprised by Adelin's acquittal? If you look at those illegal logging cases that have made it to the courts -- most cases are dropped long before they get that far -- you would know most of the suspects in the cases walked free.
Earlier this year in North Sumatra, two illegal logging suspects, Lingga Tanuwidjaja and Washington Pane, from two different companies under the Mujur Timber Group led by Adelin, were also acquitted of illegal logging charges by district courts.
Adelin believes justice has been upheld, but many people living in North Sumatra who have seen their forests disappear would see it differently. For them, the justice system has failed to protect their forests.
It is particularly sad to learn that Forestry Minister MS Kaban supported Adelin Lis during the trial by submitting a letter to the police - later being used by Adelin's defense team -- stating that Adelin's activities did not amount to a crime but were an administrative error.
It was completely unethical on the part of Kaban to submit this letter and could be considered obstruction of justice.
We do not understand why the forestry minister has not only failed to act to save our forests, but is actively encouraging illegal logging by classifying the felling of trees outside concession areas as an administrative error.
But the forestry minister and officials are just one link in a long chain of hidden support for illegal logging. It is no secret that illegal logging operations could not thrive as they do without the help of forestry officials, regional administrations and law enforcement bodies.
This is not only happening in North Sumatra, where illegal logging is rampant and the perpetrators easily evade justice.
In West Sumatra, seven illegal logging cases were dismissed in the past year. In Papua, suspects in 14 illegal logging cases were acquitted. A number of illegal logging suspects were also acquitted in Aceh and West Kalimantan.
In most cases, these suspects were freed by the courts despite what activists and even officials referred to as "compelling evidence" that they were involved in illegal logging.
This in turns leads to finger-pointing at our courts and allegations that judges have been bribed. Court officials defend themselves by saying the prosecutors failed to build strong cases against the suspects.
Along with the courts and prosecutors, the police and the Forestry Ministry are also taking part in this dangerous blame game.
The police and the Forestry Ministry are at odds over the handling of illegal logging cases in Riau, where the police are zealous about netting suspected illegal loggers but forestry officials defend logging activities there as legal.
When law enforcers are at odds with each other, how can we expect them to uphold justice and protect our remaining forests?
We all know illegal logging is responsible for much of the deforestation in the country. At the present rate of deforestation, thought to be the world's fastest with an area the size of Switzerland being lost every year, Indonesia could lose its remaining forests within 15 years.
Already, according to the Forestry Ministry, 37.6 million hectares of forests, including mangrove forests, are in critical condition. Illegal logging must stop now.
We have heard many times from the police, the prosecutors and the forestry minister that they want harsh penalties for illegal loggers, but reality tells a different story. Adelin's acquittal is a good example.
We call on all concerned parties, especially the President and the Supreme Court, to get our law enforcers together in the fight against illegal logging.
Credibility in the legal process is needed to fight illegal logging, not money from developed countries as we are trying to secure at the upcoming climate change summit in Bali.
We cannot continue to plunder our forests, while at the same time begging for money to protect these same forests. That would just bring shame to all of us.
Please scroll on down this page to see the first article on this
subject and what you can do about it. Thank you.
The Jakarta Post Nov. 7.
Attorney General's Office prepares to appeal logging boss' acquittal
Apriadi Gunawan, The Jakarta Post, Jakarta, Medan
The Attorney General's Office is gearing up to file an appeal with the Supreme Court to reverse Monday's ruling by the Medan District Court that saw Adelin Lis freed from corruption and forest destruction charges.
The appeal against the alleged illegal logging boss' release must be submitted within 14 days of the initial court ruling.
"We're still waiting for a copy of the court's ruling before preparing and completing the supporting documents for the appeal," Office spokesman Thomson Siagian told reporters Tuesday.
"The documents will include a study of the court's decision and the prosecutors' legal basis for proving the charges are appropriate," he said.
Prosecutors had asked the Medan court to sentence Adelin, the finance director of PT Keang Nam Development Indonesia, to 10 years in prison and a Rp 1 billion (US$110,000) fine for corruption and forest destruction in Mandailing Natal regency, North Sumatra.
Thomson said although Adelin had been freed of all charges by the Medan Court, the Attorney General's Office would still keep an eye on his movements.
"The ban for Adelin to leave the country will remain in effect until there's an order to lift it and a final ruling is achieved," he said.
"In addition, the Attorney General's Office, in cooperation with related institutions, will watch his every move," Thomson added.
Adelin's lawyer, Sakti Hasibuan, said his client would not leave the country.
Meanwhile, the National Police expressed its support for the prosecutors' decision to file an appeal with the Supreme Court.
"The police will support the appeal. We hope the illegal logger who has caused forest destruction and initially faced 10 years in prison will not be acquitted on appeal," police spokesman Insp. Gen. Sisno Adiwinoto said as quoted by detik.com
He said the controversial ruling was not based on actual conditions, but was more about the judges' opinions.
"In order to support the appeal, the Office needs to do an in-depth field report on forest destruction in Mandailing Natal regency," Sisno said.
North Sumatra Police said although the Mandailing Natal regency illegal logger had been acquitted, the police were planning to arrest him again on money laundering charges.
Police officers had raided Adelin's house in search of evidence for the money laundering case.
The police said Adelin was suspected of laundering funds from illegal logging activities.
A police source said the arrest should have been conducted when Adelin was released from jail as the required documents were already complete. But Adelin's lawyer had asked the police to allow him to be free for a few days after spending two years in prison.
"We will arrest him for money laundering soon," said National Police chief detective, Comr. Gen. Bambang Hendarso Danuri as quoted by detik.com.
Adelin's lawyer, Sakti Hasibuan, said, however, there was no legal basis for the police to arrest him again.
"The court has cleared him of his corruption and illegal logging charges. So it's impossible to arrest him for that again," Sakti told The Jakarta Post. (ndr)
------------------------------------------------------------------
Illegal logging justice
Adelin Lis' acquittal of illegal logging charges in North Sumatra seemed to surprise no one but Adelin himself, who said after the verdict was announced: "It turns out there is still justice in the country."
Why was no one really surprised by Adelin's acquittal? If you look at those illegal logging cases that have made it to the courts -- most cases are dropped long before they get that far -- you would know most of the suspects in the cases walked free.
Earlier this year in North Sumatra, two illegal logging suspects, Lingga Tanuwidjaja and Washington Pane, from two different companies under the Mujur Timber Group led by Adelin, were also acquitted of illegal logging charges by district courts.
Adelin believes justice has been upheld, but many people living in North Sumatra who have seen their forests disappear would see it differently. For them, the justice system has failed to protect their forests.
It is particularly sad to learn that Forestry Minister MS Kaban supported Adelin Lis during the trial by submitting a letter to the police - later being used by Adelin's defense team -- stating that Adelin's activities did not amount to a crime but were an administrative error.
It was completely unethical on the part of Kaban to submit this letter and could be considered obstruction of justice.
We do not understand why the forestry minister has not only failed to act to save our forests, but is actively encouraging illegal logging by classifying the felling of trees outside concession areas as an administrative error.
But the forestry minister and officials are just one link in a long chain of hidden support for illegal logging. It is no secret that illegal logging operations could not thrive as they do without the help of forestry officials, regional administrations and law enforcement bodies.
This is not only happening in North Sumatra, where illegal logging is rampant and the perpetrators easily evade justice.
In West Sumatra, seven illegal logging cases were dismissed in the past year. In Papua, suspects in 14 illegal logging cases were acquitted. A number of illegal logging suspects were also acquitted in Aceh and West Kalimantan.
In most cases, these suspects were freed by the courts despite what activists and even officials referred to as "compelling evidence" that they were involved in illegal logging.
This in turns leads to finger-pointing at our courts and allegations that judges have been bribed. Court officials defend themselves by saying the prosecutors failed to build strong cases against the suspects.
Along with the courts and prosecutors, the police and the Forestry Ministry are also taking part in this dangerous blame game.
The police and the Forestry Ministry are at odds over the handling of illegal logging cases in Riau, where the police are zealous about netting suspected illegal loggers but forestry officials defend logging activities there as legal.
When law enforcers are at odds with each other, how can we expect them to uphold justice and protect our remaining forests?
We all know illegal logging is responsible for much of the deforestation in the country. At the present rate of deforestation, thought to be the world's fastest with an area the size of Switzerland being lost every year, Indonesia could lose its remaining forests within 15 years.
Already, according to the Forestry Ministry, 37.6 million hectares of forests, including mangrove forests, are in critical condition. Illegal logging must stop now.
We have heard many times from the police, the prosecutors and the forestry minister that they want harsh penalties for illegal loggers, but reality tells a different story. Adelin's acquittal is a good example.
We call on all concerned parties, especially the President and the Supreme Court, to get our law enforcers together in the fight against illegal logging.
Credibility in the legal process is needed to fight illegal logging, not money from developed countries as we are trying to secure at the upcoming climate change summit in Bali.
We cannot continue to plunder our forests, while at the same time begging for money to protect these same forests. That would just bring shame to all of us.
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